Case study on Manoylechoncebu.com in Talisay City Cebu

Date

2010

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Tricia C. Ascan

Request Access

To request access of this material, please email the administrator at uscs-mainlib.uplb@up.edu.ph

Abstract

The manoylechoncebu.com is the newest online store registered in the Department of Trade and Industry under the Australasia E IT solution. This firm is venturing lechon from Cebu extending quick and easy service to Filipinos to any point of airport of the country. This is in partnership with pioneer Cooks with years of experience. Due to the dynamic environment, the business has to assess its four business functions to see if it is operating to its full potential. It is significant to conduct a study on the firm to give the management of manoylechoncebu.com recommendations or feasible actions to help solve the issues or problems faced by the firm; and also to provide directions to the company. This study specifically aims to present a noteworthy business issues which has company-wide implications; evaluate the business environment prevailing at a particular time of the case; evaluate the company in terms of the four business functions namely, Marketing, Operations, Human Resource, and Finance; define the problem relevant to the business issues being studied; recommend feasible solutions that can address the problems; and design implementation plan for the firm to utilize. Primarily and secondary data were used in conducting the study. Primary data were gathered using key informat interview with the owners; survey among selected lechon vendors and customers, and observations done by the researcher. Secondary data were collected from reports of the manoylechoncebu.com; past undergraduate and graduate theses; journals, magazines, and comprehensive websites. Strategic business analysis model was used to analyze the data gathered to come up with a decision and recommendation to the firm. This included evaluation of the external and internal environment of the firm and supply chain. The external environment analysis showed that customer in this kind of industry wanted a more convenient way of purchasing the product, low sensitivity to price relative to the product quality, more accessible drop off point of delivery or house to house delivery. It was also found out that intense competition among related firms were being experienced by this kind of business, however, the government and other private sector respond to the need of coordinating body to further develop the e-commerce in the country. This led to the formulation of the Republic Act No. 8792 or the E-commerce Law. This law basically explains the legal recognition of electronic transactions and appointed the Department of Trade and Industry as the directive function of e-commerce authority of the country.

The internal strengths and weakness, opportunities and threats were identified and analyzed using SWOT analysis to assess the current operation of manoylechoncebu.com and help formulate strategies. The strengths of the firm were high quality product, low prices, offering of several options, well trained and flexible employees, reliable suppliers, good recovery strategy, intensive advertising, and highly IT skilled managers. The weaknesses included unable to preserve the crispiness of the skin, inadequate supply during peak season, lack of quality control, low entrepreneurial skills of managers, improper bookkeeping, and distant location of the drop off point of delivery. Opportunities such as increasing expenditure family for special occasions, increasing internet growth population, proclamation of Tima Asia Magazine of Lechon Cebu as the best of Asia, development of advance and sophisticated technologies while the threats identified were low barrier to entry of small SMEs, Philippines being blacklisted by some international websites and payment site, lack of clear procedures as how complaints shall be filed and resolve on consumer protection and data privacy, Manila entrepreneurs hiring lechoneros fronm Cebu, increasing number of lechon dealers, lack of inter-bank Fund Transfer (IBFT), and no budget for NBI and PNP for their training and cybercrime equipment. The manoylechoncebu.com faced different issues such as low entrepreneurial skills of the management, lack of direct contact to suppliers, inefficient utilization of available resources, inadequate supply during peak season, lack of financial monitoring, lack of research and development, and uncommitted supplies. Using the SWOT analysis, four alternatives were formulated such as (1) market penetration through intensive marketing using the internet social networking, (2) strategic alliance with logistics companies for deliveries far from the airport, (3) market development through introducing present product to institutional buyers such as hotels and restaurants, and (4) backward integration through putting up their own production plant. To arrive at the best alternative, preference rating matrix was employed. The chosen alternative based on the result of preference rating matrix is market penetration through intensive marketing using the internet social networking. The firm could increase promotional activities through having their page in top rated social networking sites in the country. Using this strategy will allow the firm to increase publicity and could possibly tap more buyers, thus addressing the problem on low market share therefore the business can now consistently grow. The key in social networking in the internet is to expand network easily since the firm will be more visible to other people outside with the help of their current network. Moreover, this will also help strengthen their current market considering that they could use this social networking site pages to accept comments and suggestions from their patrons.

Formal vision and mission statements were developed to provide the hospital clearer and better strategic directions. Furthermore, market development, market penetration, backward integration, and research and development were recommended to help improve the firm’s performance, services, and operation. To implement the chosen alternative, recommendations given included (1) hiring a new secretary/manager who will be the point person for manoylechoncebu.com, (2) conduct a regular visit to the suppliers, (3) seeking and adding more qualified suppliers, (4) efficient bookkeeping and record system, (5) expand promotional or marketing effort and utilize new developed technologies related to electronics, and lastly (6) offer alternative way of delivering the product. But in case the chosen alternative does not work effectively, the firm could then employ alternative 3 which market development through introducing present product to institutional buyers such as hotels and restaurants.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2010 M17 C35

Document Type

Thesis

This document is currently not available here.

Share

COinS