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INTRODUCTION

Background of the Study

In the modern world, the meat processing business is extremely important. Meat

production reached 315 million tons worldwide in 2014. Meat, in the broadest sense, is

any animal tissue consumed as food. The meat industry is one of the world's leading food

industries and vital to human diets (Arumugam & Rafiq, 2018). Many people get their

protein from meat, the most valuable livestock product. Meat is consumed either as

processed meat products or as an ingredient in home-cooked meals (Heinz & Hautzinger,

2012).

Despite being highly regulated, the meat and poultry business struggled with

supply chain disruptions, labor concerns, market changes, and compliance and

regulations (Challenges Facing the Meat and Poultry Industry, 2022). Nyamu and

Ndwiga (2014) found that government policies, competition, inefficient market

information systems, and noncompliance with international standards cause meat sector

problems. According to Abao et al. (2014), an animal disease outbreak could also harm

meat producers, wholesalers, and retailers and change the dynamic linkage between meat

type prices at different meat supply chain levels, increasing retail price margins relative

to farm and wholesale levels (Economic Analysis of the Meat Supply Chain, n.d.). In

addition, the meat industry prioritized consumer behavior and attitudes because they

affect business profitability. Unfortunately, the meat industry had been found to have
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significant problems with consumer perception, particularly in health (nutrition), animal

welfare, and convenience (Gokirmakli & Bayram, 2017).

Organizations were held accountable for their own and their suppliers' operations'

environmental, social, and economic impacts. Risks are unavoidable in a supply chain for

perishable items. When risks are high, supply chain disruptions might influence

perishable product sustainability. If improperly stored, processed, packaged, and

transported, meat spoils quickly. Meat has a short shelf life, and high turnover makes it

perishable (Bogataj et al., 2020). It is one of the reasons why meat items are thrown

instantly if they are not sold within the labeled expiration date, and it is the primary cause

of retail waste. Inadequate quality of the obtained meat and products may also result in

losses throughout the meat processing stage, particularly if they do not fulfill safety

criteria or are processed under unsanitary conditions (Karwowska et al., 2021).

In 2018, the Philippines' fresh meat category led the Filipino meat sector in value

and volume. At the same time, the packaged cooked meats sector was expected to

experience the highest value growth from 2018 to 2023. The country's primary channels

for meat distribution were hypermarkets and supermarkets. The Filipino meat industry's

primary packaging material was flexible packaging. The Philippines' meat market was

expected to grow 5.2% from PHP204.9 billion (US$3.9 billion) to PHP264.5 billion

(US$4.8 billion) between 2018 and 2023 due to rising employment and disposable

income. Frozen meat had a value share of 30.0% in 2018, while retail-counter-accessible

fresh meat had 43.6% (GlobalData, 2019).

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In the Municipality of Tupi, Jeri's Meats is a sole proprietorship meat shop

located at Aguinaldo Street, Purok 8, Poblacion, Tupi, South Cotabato. Jeri's Meas

primarily engaged in the wholesale, and retail of meat and processed-meat products

within and outside the locality. With the increasing demand for meat products among

customers, underlying issues were limiting the business in terms of organizational,

operational, marketing, and financial aspects. The problems faced by the company

include supply chain disruptions, labor concerns, and market changes. The purpose of

this study was to evaluate Jeri's Meat's current position in the meat sector and to

recommend any necessary strategies for its improvement, taking into account the

underlying issues that may affect the business.

Review of Related Literature

This section presents several sections related to the meat industry sectors.

Meat Industry

Meat is a crucial source of nutrition for many individuals around the world. In the

past half-century, meat supplies have nearly tripled, and their global demand is rising

(Ritchie, 2017). Meat production is a significant contributor to local, national, and

international commerce as well as the global economy. (Savell, 2017).

Pork is one of the most commonly consumed meats in the Philippines, and its per

capita consumption has surpassed 14 kilograms (Statista, 2020). In 2021, the Philippines

consumed 10.66 kilograms of pork per person and 14.05 kilograms of poultry per person

(Statista, 2021). According to the Philippine Statistics Authority (2017), pork

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consumption per capita was the highest among all livestock products, at 6.29 kilograms

annually. Pork consumption in South Cotabato was assessed to be 8.82 kilograms per

capita, while pork consumption in urban barangays was estimated to be 8.20 kilograms

per capita and beef consumption was 0.99 kilograms per capita.

Moreover, the value of the meat industry in 2022 is $22.2 billion (or 1.14 trillion

Philippine pesos), and hypermarkets and supermarkets are the country's primary

distribution channels for meat (Filipino Wealth, n.d.). According to Global Data (2021),

the fresh meat (counter) category leads the Filipino meat industry in terms of both value

and volume in 2018, while the packaged cooked meat category is expected to experience

the highest value growth from 2018 to 2023, and flexible packaging is the most prevalent

packaging material in the Filipino meat industry.

Organization in the Meat Industry

In the Philippines, sole proprietorships are the predominant form of business

ownership in the meat sector. This is because it is the simplest and most affordable form

of business to establish. However, the owner assumes personal liability for the business's

debts and obligations, which can be minimized through liability insurance (Philippine

Competition Commission, n.d.).

A meat shop has many moving parts which required several different staff

members to operate. Some of these employees worked on preparing meat products, while

others interacted with customers (Bureau of Labor Statistics, 2022).

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The organizational structure of a business is crucial in achieving its primary

objective of maximizing profit margins while minimizing expenses. A standardized

approach to workflow simplifies operations, reduces complexity, and boosts productivity.

The concept of organization enables firms to assign roles and responsibilities based on

staff qualifications, distribute the workload, and allocate resources efficiently (Vedantu,

2022).

Operation in the Meat Industry

With the rising complexity of manufacturing and supply chains, food quality and

storage suitability are essential for all chain members. The food manufacturing industry

realized that competing on price alone was not enough to meet customer needs, as quality

was a key buying factor. Sustainable production was another meat industry requirement.

Dohlen et al. (2019) suggested that poor quality control and information exchange in

meat supply chains may increase food waste at retail and consumer levels, increasing the

industry's environmental impact.

Food waste occurs across the supply chain, particularly in the meat industry.

Farming/rearing and transporting to slaughter conditions caused losses in most primary

production meat sectors (Karwowska et al., 2021). Meat spoils quickly if not properly

stored, processed, packaged, and transported. Pre-slaughter protocols, animal age,

slaughtering management, temperature restrictions, processing and distribution,

preservation methods, packaging, and consumer storage affected meat perishability.

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Intelligent technologies were needed to decrease post-harvest loss, reduce lead times, and

manage perishability dynamics in repeated meat exports (Bogataj et al., 2020).

In addition, due to regulatory restrictions, many businesses had to invest in their

facilities. Many companies upgraded their slaughtering and processing facilities, such as

floors, refrigerators, spice rooms, lunchrooms, lighting, and monitoring equipment.

Regulatory issues included inspection and paperwork, wherein abattoirs and processors

face regulatory restrictions, high overhead expenses, and a workforce shortage. Though

regulatory restrictions were not the only issue, they remained a challenge to proprietors

since these regulatory issues hindered their firms. Smaller slaughterhouses close due to

paperwork overload. Due to a lack of financial flow, abattoirs with fewer than four

employees may not be able to hire someone to manage the paperwork (Charlebois &

Summan, 2014).

Furthermore, meat is processed into various meat-based products by processing.

According to a study by Lummus, Vokura, and Akkerman (1999), cited by Kumar

(2017), the concept of distribution for a food processing and distribution company was a

significant component of processed packaged foods. Without a good distribution channel

and inventory supply management, there is a high probability that packaged food items

may spoil.
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Marketing in the Meat Industry

Marketing identifies customer needs and wants, determines which target markets

the organization can best serve, and develops products, services, and programs to serve

these markets, according to Kotler and Armstrong (1996) as cited by Team (2022). A

new business needs good marketing to succeed. To create the best product, price,

distribution, and promotion package for a small business, an organization needs market

orientation and marketing expertise (Groenewald et al., 2014).

Successful small businesses understood their markets, segments, demographics,

and how to interact with them (Nieman, Hough & Niewenhuizen, 2003, p. 18;

Groenewald et al., 2014). Smaller businesses understood their customers better. They

discussed customer needs. In the research from Ehmke et al. (2016) cited in the study of

Bisschoff and Liebenberg (2017), product promotion included all internal and external

services and activities. Meat advertising and promotion heavily relied on the meat's

presentation and a clean environment. Market recognition boosted small businesses. If

small meat merchants want their branded product to be seen as superior, they must focus

on what makes it better than the competition. Small meat retailers must first ensure a

positive customer experience and then build brand knowledge through marketing

(Groenewald, 2014).

Moreover, quality and price were undoubtedly the primary factors influencing

consumers' selection of a point of sale when shopping for meat and meat

products. Souček and Turčínková (2015) examined consumer decision-making factors for
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meat store selection. The results showed that customers considered store-related factors

like cleanliness and layout, easy orientation, short cashier wait times, and quick service

and care when choosing a store. Manufacturers and retailers were seeking more

customers to improve business performance (Grubor et al., 2021).

Financial in the Meat Industry

Inventory management broadly means commodity stock control. Every firm needs

inventory to run efficiently. Inventory management policies and procedures monitor

inventory levels, identify the appropriate level, and link production and distribution. A

sound inventory management system will improve long-term profits and efficiency. The

rise in raw material waste, lost sales, product shortages, and backorder fines may be due

to inventory management knowledge. Inventory control must address operator-related

restrictions to prevent perishable food-related economic collapse. Food manufacturing

and distribution organizations need inventory and supply chain management because of

the massive food storage. Meat products are mass-produced regardless of demand. For

the efficient operation of a business, inventory management is essential, for it determines

stock levels (Arumugam & Rafiq, 2018).

Moreover, inventory management is a vital factor in any meat business's success.

Buffering inventory is a straightforward decision that smaller firms can make to result in

more revenue, a higher return on investment, and lower operating costs (McCann &

Bielaczyc, 2017). According to Kumar (2017), the concept of inventory control is one of

the most valuable assets in any industry, but it costs half of the invested capital.
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Companies' managers must ensure that a sound inventory control system is recognized.

On the one hand, corporations use varying levels of inventory models to reduce recurrent

costs. However, on the other hand, customers are dissatisfied with regular inventory

outages, also known as stock-outs. For this reason, every business must strike a balance

between various inventory levels.

Conceptual Framework

The figure 1 shows the conceptual framework for this research study.

Owner
 Company’s
Background
 Organizational
 Operational
 Marketing
 Financial

Corporate Strategic Plan

Customers
 Demographic
 Product
 Price
 Owner
Promotion
 Place
 Process

Figure 1. Conceptual Framework

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This research aimed to evaluate the business's current state and develop and

recommend strategies for Jeri's Meats in the Municipality of Tupi, South Cotabato.

To achieve the objectives of this study, data were collected from the owner on

internal analysis considering the major aspects of the business, namely,

organizational, operational, marketing, and financial. Moreover, the customer's

data profile and assessment of marketing mix elements; product, price, promotion,

place, and business process were also gathered.

Statement of the Problem

This study aimed to evaluate the business’s current position and recommend

strategies for the improvement of Jeri’s Meats in the retail meat industry in the

Municipality of Tupi.

Specifically, it aimed to:

1. Describe the profile of Jeri’s Meats.

2. Present the internal and external analysis of Jeri’s Meats in the

following aspects:

a. Organizational;

b. Operational;

c. Marketing; and

d. Financial.

3. Develop and recommend strategies in the following aspects:

a. Organizational;
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b. Operational;

c. Marketing; and

d. Financial.

Significance of the Study

The study is significant to the following:

Business Owner. This study will help owner to identify the factors that has a big

influence in purchase preferences of meat customers. It will enable them to assess or

evaluate and monitor the factors that can give satisfaction to their customers that will

bring them to a high sales and profitability. It can also give necessary details and

information about the current position of its business in terms of its competitive

advantage, business needs, and future plans for improvement in the field of meat

business.

Meat Producers. The result of this study is beneficial to the meat producers to

enable them to supply quality meat products in the most efficient way to address the

increasing demand of meat consumers in the economy despite the global concern in meat

industry.

Consumers. This study will significantly contribute to the awareness of the

consumers on their preferred meat products. It could keep them well-informed on the

factors that has a great influence on their buying behavior or purchase decisions.
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Future Researchers. The results of this study will serve as an additional

literature and references to the future investigations related to this study which other

researchers will conduct. It will give them knowledge and understanding for a further

study about consumer preferences in buying certain goods and services.

Definition of Terms

The following terms of this study are operationally defined:

Financial Aspects. The study’s section relative to Jeri’s Meats financial

position and performance. It includes the projected financial statement, cash flow

statement, investment costs, and capital budgeting of the business. It is also the

representation of the current financial condition of the firm.

Marketing Aspect. The study's section includes marketing strategies such

as promotional tools needed for capturing customers' attention to the products

offered by Jeri’s Meats. It contributes to business growth by intensifying

competition while maximizing profit.

Organizational Aspect. The study's section pertains to the business form

of ownership, organizational structure, employees' job description and

specification, and management style.

Operational Aspect. The study's section pertains to the business

methods and procedures in the production process that contribute to the

organizational activities' efficiency.

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METHOD

Research Design

In this study, a quantitative-descriptive research design was utilized to

evaluate the current position of Jeri’s Meats and recommend strategies based on the

result of the study.

Locale

The researcher conducted the study at Jeri’s Meats in Aguinaldo Street,

Purok 8, Poblacion, Tupi, South Cotabato. Tupi is a first-class municipality in the

province of South Cotabato. The researcher chose the area due to its economic

dynamism, government efficiency, and infrastructure. The location's increasing

economic and population growth also had a significant impact on the study's focus.

Local Map

Figure 3. Map of the

study
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Sources of Data

The researcher collected primary data by using a self-made interview guide and

survey questionnaire. The major industry players, published books, literature, journals,

and articles were the secondary sources of data.

Respondents

The respondents of the study were Jeri's Meats business owner, and customers.

The business owner responded to interview guide questions about organizational,

operational, marketing, and financial aspects. The researcher collected data from

customers who have purchased meat products from the mentioned business

establishment. The data collection also included walk-in customers who will agree to

participate in the survey. As a result, this provided sufficient data to complete the study.

Samples and Sampling Techniques

The study used purposive sampling to identify the business owner. The study

utilized a sample size of 100 customers in total using quota sampling. According to

Alshibly (2018), a minimum sample size of one hundred (100) samples is considered

when the population is large. The researcher utilized non-probability convenience

sampling in selecting the respondents of the study.

Research Instrument

The researcher used two (2) research instruments, an interview guide

questionnaire and survey questionnaire to gather information from business owner, and

customers.
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The interview guide contained five (5) parts. The first part was composed of four

(4) questions about the company’s background. The second part covered four (4)

questions about the organizational aspect of the company. The third part contained eight

(8) questions about the operational aspect of the organization. The fourth part consisted

of five (5) questions related to marketing aspect and the last part composed of four (4)

questions about the financial aspects of the organization.

For the customers, a survey questionnaire was employed to collect data. Part I of

the questionnaire contained relevant questions on the demographic profile of respondents.

Part II included twenty (20) questions about the customer’s level of agreement which are

divided into five marketing mix elements, namely product, price, promotion, place and

process. An open-ended question was also included to clarify some queries. Respondents

will rate the survey questions using the scale below:

Table 1. Rating Scale for the Survey Questionnaire

Scale Description
5 Strongly Agree
4 Agree
3 Neutral
2 Disagree
1 Strongly Disagree

Data Gathering Procedure

After the researcher had prepared the above-mentioned questionnaires to collect

the necessary data, the researcher followed the steps for data gathering below:
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A thorough study proposal was submitted to the research adviser for approval.

The researcher prepared two sets of research questionnaires. Various specialists validated

the research instrument drafts. The researcher wrote an official letter to Jeri's Meats

requesting permission to conduct the study. After the approval was granted, the

researcher selected the respondents and scheduled the interviews and distributed the

survey questionnaire to the respondents.

To conduct the personal interview with the business owner, the researcher sent a

formal letter requesting permission and approval to perform the study's data collection

procedures. The owner asked to schedule an interview time that was most convenient for

him.

On the day of the survey or interview, the respondents were informed of the

study's objectives and asked for their consent to complete the questionnaire. The

confidentiality of their information was secured. They had sufficient time to respond to

every survey question.

The researcher gathered the completed questionnaires and enter the data into

Microsoft Excel. The same systematic tabulation of results was used as the basis for the

statistical analysis.

Data Analysis

In this study, the researcher used descriptive analysis and statistical tools such as

frequency, percentage, and weighted mean to analyze and interpret the data that will be
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gathered from the respondents. The application of the frequency and percentage were

utilized to analyze the demographic profile of the respondents. The weighted mean was

used to measure and rank factors using the Likert Scale.

The results of the data collection were interpreted using a five-point Likert scale

as follows:

Table 2

Likert Scale Interpretation for Level of Agreement

Likert-Scale Likert-Scale Interval Likert-Scale Description

1 1.00-1.80 Strongly disagree

2 1.81-2.60 Disagree
3 2.61-3.40 Strongly agree nor disagree
4 3.41-4.20 Agree
5 4.21-5.00 Strongly agree

Respondents indicated their level of agreement with a question on a five-

point Likert scale. Interpretation of means: 1.00 to 1.8 for 1-strongly disagree

1.81-2.60 for disagree 2.61-3.40 for strongly agree nor disagree, 4.21-5.00 for

strongly agree.

Limitation of the Study

The study's limitations covered the company's profile and four significant aspects:

organizational, operational, marketing, and financial. The respondents were restricted to

the business owner and 100 customers of Jeri's Meats. The primary limitation of this

study was the information provided by respondents. Jeri's Meat's financial statement was
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restricted by the confidentiality of its data. Due to the limited information provided, the

researcher relied on the available data provided by the owner to make assumptions and

estimates for the discussion of Jeri's Meats' financial statement. The researcher did not

have an exact figure for the estimated financial statement and instead relies on a

percentage agreed upon by the owner.

RESULTS

The Industry

This section includes the presentation of the products, market, major players in

the industry, Porter’s Five Forces Model, key success factors, and government policies.

Products

Meat is a fleshy part of an animal that can be consumed because of its essential

source of nutrients. It can be categorized as red meat (e.g., pork, beef, and goat), poultry

(e.g., chicken, and duck), seafood, offal meat (liver, heart, kidney, and intestines) and

processed meat which include sausages (Sui, et al., 2017). The meat shop businesses

offered similar products in the market. It supplies and sells its products to customers

that are the same as what its competitors are offering. The essential features that set

apart each company's operations include how they strategically diversify, market, and

compete for customers based on aspects including product quality and variety, pricing,

place, promotion, and process.

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In the local industry of the Municipality of Tupi, frequently sold products

offered by meat businesses are pork, chicken, beef, processed meats, and other frozen

products. Presented on Table 3, 4, 5, 6, 7, 8, and 9 are the detailed list of meat products

and frozen products with its corresponding prices in range. Prices are subject to change

without prior notice.

Chicken

Chicken refers to a type of bird raised on a farm for its eggs or meat. Its flesh

used as food.

Table 3 and 4 shows the common chicken products offered by meat shop

business in the Municipality of Tupi with corresponding price range.

Table 3
Chicken Meat
Common Chicken Meat Image Unit per kilogram Price Range
Whole 1kg ₱200.00-230.00

Drum sticks 1kg 125.00-240.00

Thighs 1kg 130.00-235.00

Breast 1kg 120.00-245.00

Chicken quarter cut 1kg 130.00-240.00

(Wings)

Wings 1kg 130.00-240.00

Meat shops in the Municipality of Tupi offered chicken meat products

depending on price, cuts, sizes, and kilograms. Additionally, chicken meat is commonly
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sold in pieces or as a whole chicken. The most popular chicken meat cuts include the

breast, thigh, wings, and drumsticks.

Table 4
Chicken Offal Meat
Common Chicken Meat Image Unit per kilogram Price Range

Feet 1kg 120.00-150.00

Head 1kg 80.00-100.00

Neck 1kg 115.00-150.00

Gizzard 1kg 175.00-190.00

Heart 1kg 160.00-180.00

Liver 1kg 110.00-200.00

Proven 1kg 90.00-110.00

Instestines 1kg 90.00-110.00

The offal meat of chicken products offered by the meat shop in the locality

varies on price, sizes, kilograms, and per packs. The best seller products are chicken

feet, neck, head, gizzard, liver, proven, and intestines.

Pork

Pork refers to a flesh of hogs or meat of pigs that is usually slaughtered between

ages of five to six months.

Table 5 and 6 shows the common pork products offered by meat shop business

in the Municipality of Tupi with corresponding price range.

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Table 5
Pork Meat
Common Pork Meat Image Unit per kilogram Price Range
Pork Laman 1kg 190.00-370.00

Pork Belly Sliced 1kg ₱200.00-280.00

Pork Liempo 1kg 200.00-280.00

Pork Ribs 1kg 150.00-250.00

Pork Chop 1kg 200.00-280.00

Pork Ham 1kg 190.00-370.00

Pork Pata 1kg 220.00-240.00

Ground Pork 1kg 250.00-300.00

Meat shops in the Municipality of Tupi offered pork meat products depending

on price, cuts, sizes, and kilograms. Some of the most popular parts of pork meat

include pork laman, belly sliced, liempo, ribs, chop, ham, pata, and ground pork.
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Table 6
Pork Offal Meat
Common Pork Meat Image Unit per kilogram Price Range

Pork Bones 1kg 220.00-240.00

Pork Feet 1kg 135.00-200.00

Head 1kg 200.00-230.00

Mask 1kg 100.00-200.00

Liver 1kg 140.00-180.00

Heart 1kg 140.00-180.00

Lungs 1kg 140.00-180.00

Pork Intestines 1kg 140.00-180.00

The offal meat of pork products offered by the meat shop in the locality varies

on price, sizes, kilograms, and per packs. The best seller products are pork bones, feet,

head, and mask. Other parts like the liver, kidney, and intestines are also popular among

some consumers.

Beef

Beef refers to a meat or flesh of a cattle used as food.

Table 7 and 8 shows the common beef products offered by meat shop business

in the Municipality of Tupi with corresponding price range.

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Table 7
Beef Meat
Common Beef Meat Image Unit per kilogram Price Range
Beef Shank Cross Cut 1kg ₱185.00-370.00

Beef Rump 1kg 375.00-500.00

Beef laman 1kg 235.00-455.00

Beef T- Bone 1kg 350.00-470.00

Beef Ribs 1kg 155.00-300.00

Beef Brisket 1kg 350.00-430.00

Ground Beef 1kg 165.00-320.00

Meat shops in the Municipality of Tupi offered beef meat products depending on

price, cuts, sizes, and kilograms. Generally, it is more expensive than chicken and pork.

The best seller products are beef shank cross cut, rump, laman, T-bone, ribs, brisket,

and ground beef.

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Table 8
Beef Offal Meat
Common Beef Meat Image Unit per kilogram Price Range

Beef bones 1kg 90.00-170.00

Beef skin 1kg 120.00-215.00

Beef tail 1kg 120.00-215.00

Liver 1kg 120.00-214.00

Lungs 1kg 120.00-215.00

Heart 1kg 110.00-220.00

Beef Skull 1kg 250.00-300.00

Beef intestines 1kg 120.00-150.00

The offal meat of beef products offered by the meat shop in the locality varies

on price, sizes, kilograms, and per packs. The best seller products are beef bones, skin,

tail, liver, lungs, heart, skull, and intestines.

Processed Meat and Frozen Products

Meat that has been preserved via curing, salting, smoking, drying, or canning is

considered processed meat. Whereas, frozen products are foods or raw materials that

have been frozen and stored at the appropriate temperature. Table 9 shows the common
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processed meat products and frozen products offered by meat shop business in the

Municipality of Tupi with corresponding price range.

Table 9
Processed Meat and other frozen products
Common Processed/Frozen Products Unit per Pack/Roll Price Range
Pork chorizo Per pack ₱60.00-150.00
Beef chorizo Per pack 60.00-150.00
Chicken chorizo Per pack 60.00-150.00
Tuna chorizo Per pack 60.00-150.00
Chicken tucino Per pack 70.00-120.00
Chicken nuggets Per pack 35.00-160.00
Tuna flakes Per pack 100.00-120.00
Potato Fries Per pack 100.00-120.00
Fish ball Per pack 100.00-120.00
Siomai Per pack 100.00-120.00
Lumpia Per pack 100.00-120.00
Siopao Per pack 115.00-130.00
Burger Patties Per pack 65.00-85.00
Squid balls Per pack 100.00-120.00
Quekiam Per pack 100.00-120.00
Cheese stick Per pack 45.00-60.00
Hotdog Per pack 35.00-200.00
Chicken loaf Per pack 160.00-180.00
Ham Per pack 45.00-230.00
Longganisa Per roll 35.00-55.00
Embutido Per roll 60.00-120.00
Inasal Per pack 75.00-85.00
Spicy Neck Per pack 95.00-100.00
Marinated Bangsi Per pack 150.00-300.00
Marinated bangus Per pack 115.00-130.00
Salmon belly Per pack 160.00-170.00
Tuna belly Per pack 200.00-300.00
Tuna panga Per pack 200.00-270.00
Tuna chunks Per pack 150.00-200.00
Tuna buntot Per pack 85.00-170.00

Meat shops in the Municipality of Tupi offered frozen products depending on

price, cuts, sizes, piece counts and kilograms or grams. It is also sold by pack, roll, in

bulk or in smaller portions. Common saleable product that a meat shop can offer is

frozen processed meat products like sausages, ham, and hotdogs. It also include frozen
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ready-to-cook products like marinated meat or pre-seasoned meat products, and frozen

seafood products like tuna panga, belly and etc.

Market
According to the Tupi Municipality's Business Permits and Licensing Office

(BPLO), there are twenty-seven (27) existing meat shops in the area, and majority of

them are operated by sole proprietors. Most meat shops concentrate primarily on meat

wholesale and retail. Typical target markets include households, canteens, carinderias,

restaurants, and catering services, as well as employees of both public and private

enterprises. The majority of customers are aged 26 to 40 years old and aged 41 to 60

years old.

42% of the 100 consumers surveyed in the Municipality of Tupi, which

represents the entire local population, prefer purchasing pork, followed by 35% chicken

and 23% beef. 55% of the customers are female and 45% are male from lower- to

middle-class income categories.

Figure 4. Channel of Distribution

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Figure 4 illustrates the common distribution channels utilized by local meat

shops to reach their consumers. The channel structure depends on intermediary number.

In Tupi, the meat business sells directly to consumers. A physical store is the meat

shop's main distribution channel. The meat business can also sell directly to retailers,

who sell to consumers. Moreover, the meat shop sells bulk meat to a wholesaler, who

then sells it to the retailer. The retailer then sells the meat to the end consumer.

Major Players in the Industry

The researcher select three (3) major players in the industry from among the

numerous meat shop business in the Municipality of Tupi based on their location and

length of existence in the market. These include, X Meat shop, Y shop, and Z Meat

shop.

Organizational aspect

X Meat Shop located at Purok 8, Poblacion, Tupi, South Cotabato is a sole

proprietorship form of business owned by Mrs. X. It was established in the year 2021

and has been in business for more than 2 years. It is a family run business. Figure 6

shows the organizational structure of X Meat Shop.

Owner/Manager

Production and Operation Sales and Marketing

Driver Butcher Cashier Bagger

Figure 6. Organizational Structure of X Meat Shop

 28

The owner and her husband, who holds the role of Manager, are responsible for

the whole operation of their meat shop business. The manager oversees every area of

the meat shop's operations, from production and operations to finance, human resources,

sales, and marketing. The meat business has one (1) driver and butcher, as well as one

(1) cashier and bagger for the company.

Operational aspect
Mr. X, the husband of the proprietor, supervises the business and is responsible

for its overall operation. Monday through Sunday, 7:00 a.m. to 7:30 p.m. is the

business's hours of operation. Knives, cutting boards, meat slicers, meat grinders,

weighing scales, freezers, trays, plastic wraps, and vehicles for transporting meat are

necessary equipment. Since they raise their own cattle and pigs, the meat shop provides

its own pork and beef. In the event of a supply shortage caused by an increase in

customer demand, they also engaged in outsourcing. The company purchased its live

pigs and cattle from Banga and Surallah, South Cotabato. Also, it has a direct beef

supplier from a Mariano-owned business in Tupi, South Cotabato, as well as a frozen

goods supplier from Davao. Its chicken products are sourced from Tupi poultry and

Polomolok, South Cotabato's Bounty Fresh.

The purchased livestock, particularly pigs and calves, are delivered directly to

the slaughterhouse before being transported to the meat shop for sale. The company

replenishes its inventory weekly to prevent stockouts due to high customer demand and

to maintain the quality of its meat products in response to market needs. Due to African
 29

swine fever (ASF) and regulatory restrictions on transporting live pigs and other pork

products, the company is currently marketing non-pork products.

Barn-Breeding

Feedlot

Slaughter

Processing

Distribution

Retail

Consumption

Figure 7. Basic Production flow

Figure 7 illustrates the procedures followed by X Meat Shop and other livestock

and poultry growers to convert livestock and poultry animals into raw meat for human

consumption. Production involves: (1) Breeding animals to produce genetically superior

offspring. (2) Feeding animals to satisfies their nutritional needs and encourages

growth. (3) Slaughtering animals for food. Hogs take 5–6 months to reach 90–100 kilos

(90–100 pounds) for slaughter. This depends on breed, nutrition, and management.

Some breeds reach appropriate weight in four months, while others take longer.
 30

Cattle take longer to reach beef slaughter weight. Cattle take 18–24 months to

reach 450–500 kg, the slaughter weight range. The time required for pork and beef to be

available for slaughter can vary based on a number of variables, including breed,

feeding and management practices, and market demand. (4) Processing involves

making goods from butchered meat. (5) Next is the distribution wherein selling

products at retail and wholesale markets. (6) Lastly is the consumption in which

consumers buy livestock products and eat them as protein or in meals.

Marketing aspect
The meat shop's available product offerings are beef and chicken, including

organ meat, as well as processed meat products and other frozen products. Among the

other products offered by the business, beef has the biggest sales volume. Muslims,

Café Cerveza, Brew Pub, and other walk-in customers make up the majority of its

customers. It also delivers its products outside of the local area, specifically to General

Santos City.

Competition from other meat suppliers and government laws, particularly those

pertaining to African swine fever, are obstacles for the business. The company utilized

active social media accounts, such as its Facebook page, for business promotion and

word-of-mouth marketing. The business also provides a discount for orders placed in

large quantities and free delivery service. The meat shop used a competitor-based

pricing strategy to match its competitor’s price offerings.

Table 12 are the list of available chicken product offerings of X Meat Shop with

its corresponding price range.

 31

Table 12
X Meat Shop Chicken Products
Chicken Unit per kilogram Price Range
Whole 1kg ₱200.00-230.00
Breast 1kg 120.00-245.00
Drum sticks 1kg 125.00-240.00
Thighs 1kg 130.00-235.00
Wings 1kg 130.00-240.00
Chicken quarter cut (Wings) 1kg 130.00-240.00
Head 1kg 80.00-100.00
Neck 1kg 115.00-150.00
Gizzard 1kg 175.00-180.00
Proven 1kg 90.00-110.00
Heart 1kg 160.00-180.00
Liver 1kg 110.00-200.00
Feet 1kg 120.00-150.00
Instestines 1kg 90.00-110.00

The chicken products available at the meat shop vary in price, kilograms, sizes,

and packs. The offered products are nearly identical to those offered by the industry.

Table 13 are the list of available chicken product offerings of X Meat Shop with

its corresponding price range.

Table 13
X Meat Shop Beef Products
Beef Products Unit per kilogram Price Range
Beef Shank Cross Cut 1kg ₱300.00-335.00
Beef Ribs 1kg 150.00-300.00
Beef laman 1kg 300.00-330.00
Ground Beef 1kg 200.00-300.00
Beef bones 1kg 220.00-250.00
Beef T- Bone 1kg 300.00-470.00
Beef Rump 1kg 375.00-500.00
Beef Brisket 1kg 350.00-430.00
Beef skin 1kg 180.00-220.00
Beef Tail 1kg 180.00-220.00
Beef Skull 1kg 250.00-300.00
Beef Feet 1kg 150.00-200.00
Heart 1kg 180.00-200.00
Liver 1kg 180.00-200.00
 32

The beef products offered by the meat shop are sold per kilograms and per pack

especially those offal meat products. It also differs in terms of cuts and sizes. The price

range and availability of the products are comparable to those of the industry.

Table 14 are the list of available chicken product offerings of X Meat Shop with

its corresponding price range.

Table 14
X Meat Shop Processed and Frozen Products
Processed/Frozen Products Unit per Pack/Roll Price Range
Beef chorizo Per pack 35.00-100.00
Chicken chorizo Per pack 35.00-100.00
Tuna chorizo Per pack 35.00-100.00
Potato Fries Per pack 190.00-370.00
Chicken tucino Per pack 70.00-120.00
Chicken nuggets Per pack 35.00-160.00
Tuna flakes Per pack 100.00-120.00
Tuna cheese lumpia Per pack 135.00-150.00
Tuna panga Per pack 200.00-270
Tuna cubes Per pack 160.00-200.00
Salmon belly Per pack 160.00-170.00
Longganisa Per roll 35.00-55.00
Embutido Per roll 60.00-120.00
Squid balls Per pack 100.00-120.00
Hot dog Per pack 35.00-200.00
Siomai Per pack 100.00-120.00
Quekiam Per pack 100.00-120.00
Cheese stick Per pack 45.00-60.00
Siopao Per pack 115.00-130.00

The meat shop's processed meat and frozen items are sold by the pack and roll.

It also varies by piece count, kilograms/grams, cut, and size. Prices and types of product

brand names are dependent on the product supplied.

Financial aspect

The estimated start-up capital of the business is ₱500, 000.00. The bank loan

serves as the owner's source of capital. The business has an average daily sales of
 33

₱100,000.00. The owner is currently renting a building for ₱20, 000.00 per month.

Further financial information-related details have not been disclosed to the researcher.

Y Meat Shop

Organizational aspect

Y Meat Shop is a sole proprietorship form of business organization owned by

Mrs. Y located at Purok 11-B, Poblacion, Tupi, South Cotabto. The business established

in the year 2020 and has been in business for more than 3 years.

Owner/Manager

Production and Sales and Marketing

Operation

Staff Staff

Figure 8. Organizational structure of Y Meat Shop

The meat shop owner also the manager is responsible for overseeing the flow of

its day-to-day business operations. The proprietor manages and monitor the business

production and operation and its sales and marketing. There are also three (3) family

members assigned to the business who function as staff; two of them are the driver and

butcher, while the third is the cashier and bagger.

 34

Operational aspect

The business is open from 7:00 AM to 6:00 PM, Monday through Sunday. The

proprietor of the firm and her family members are responsible for overseeing,

monitoring, and assessing the daily business operations, including product sales,

inventory, price, and quality, to assure customer satisfaction. The company's equipment

resembles that of other meat shops, including meat cutters, meat grinders, knives,

freezers, a weighing scale, meat display trays, bags, and a vehicle for transporting meat.

The business complied with all legal requirements, such as a business permit

and certificate of registration, to ensure the legitimacy of its operations. The company

obtained its raw materials for pork, beef, and chicken from local suppliers. The business

transports the purchased live pigs and calves directly to the community slaughterhouse

for a safe and secure slaughtering process. If there are insufficient supplies of meat, the

business will outsource its supplies to the neighboring municipality to meet customer

demand, provided that the accessible suppliers are not affected by government

restrictions, specifically on travel bands of pork products due to the spread of ASF.

Marketing aspect

Y Meat Store sells pork, beef, chicken, and other frozen meats, with pork

generating the most revenue. Customers of the business include the carinderia,

employees, and other walk-ins. To attract customers, the company used tarpaulins,

word-of-mouth marketing, and reasonable prices as part of its marketing strategy.

 35

Competition and high prices of raw materials due to animal illness are some of the

challenges faced by the business.

Table 15 contains the chicken products offered by Y Meat Shop with its

corresponding price range.

Table 15
Y Meat Shop Chicken Products
Chicken Products Unit per kilogram Price Range

Whole 1kg ₱200.00-230.00

Breast 1kg 130.00-240.00
Drum sticks 1kg 125.00-240.00
Thighs 1kg 130.00-235.00
Wings 1kg 130.00-240.00
Chicken quarter cut (Wings) 1kg 130.00-240.00
Neck 1kg 115.00-150.00
Gizzard 1kg 175.00-190.00
Heart 1kg 160.00-180.00
Liver 1kg 110.00-200.00
Feet 1kg 120.00-150.00

The chicken products offered by the meat shop varies in prices, kilograms, cuts,

sizes and packs. The offered products are almost similar as the industry offered.

Table 16 contains the pork products offered by Y Meat Shop with its

corresponding price range.

 36

Table 16
Y Meat Shop Pork Products
Pork Products Unit per kilogram Price Range
Pork Belly Sliced 1kg ₱200.00-215.00
Ground Pork 1kg 196.00-382.00
Pork Ribs 1kg 127.00-245.00
Pork Chop 1kg 207.00-388.00
Pork Liempo 1kg 320.00-390.00
Pork Pata 1kg 200.00-300.00
Pork Bones 1kg 104.00-180.00
Pork Ham 1kg 190.00-370.00
Pork Feet 1kg 135.00-200.00
Pork Laman 1kg 190.00-370.00
Mask 1kg 250.00-280.00
Lungs 1kg 140.00-190.00
Heart 1kg 160.00-200.00
Liver 1kg 104.00-200.00
Skull 1kg 200.00-230.00
Pork Intestines 1kg 150.00-200.00

The pork products offered by the meat shop are sold per kilograms and per pack

especially those offal meat products. It also differ on cuts, and sizes. The price range

and availability of the products are almost the same with the industry offerings.

Table 17 contains the beef products offered by Y Meat Shop with its

corresponding price range.

Table 17
Y Meat Shop Beef Products
Beef Products Unit per kilogram Price Range
Beef Shank Cross Cut 1kg ₱185.00-370.00
Beef Ribs 1kg 155.00-300.00
Beef laman 1kg 235.00-450.00
Ground Beef 1kg 165.00-320.00
Beef bones 1kg 90.00-170.00
Beef T- Bone 1kg 350.00-470.00
Heart 1kg 160.00-200.00
Liver 1kg 110.00-215.00
 37

The beef products offered by the meat shop are sold per kilograms and per pack

especially those offal meat products. It also differ on cuts, and sizes. The price range

and availability of the products are almost the same with the industry offerings.

Table 18 contains the frozen products offered by Y Meat Shop with its

corresponding price range.

Table 18
Y Meat Shop Frozen Products
Frozen Products Unit per Pack/Roll Price Range
Pork chorizo Per pack ₱115.00-130.00
Beef chorizo Per pack 120.00-135.00
Chicken chorizo Per pack 40.00-130.00
Tuna chorizo Per pack 30.00-110.00
Potato Fries Per pack 130.00-140.00
Fish ball Per pack 70.00-90.00
Siomai Per pack 125.00-160.00
Lumpia Per pack 120.00-140.00
Siopao Per pack 115.00-120.00
Burger Patties Per pack 65.00-85.00
Squid balls Per pack 100.00-120.00
Quekiam Per pack 100.00-120.00
Cheese stick Per pack 45.00-60.00
Hotdog Per pack 180.00-200.00
Chicken loaf Per pack 160.00-180.00
Ham Per pack 45.00-230.00
Longganisa Per roll 35.00-55.00
Embutido Per roll 60.00-120.00
Inasal Per pack 75.00-85.00
Spicy Neck Per pack 95.00-100.00
Marinated Bangsi Per pack 95.00-120.00
Marinated bangus Per pack 115.00-130.00
Salmon belly Per pack 120.00-130.00

The frozen products offered by the meat shop are sold per pack and per roll. It

also varies based on number of pieces, kilograms/grams, cuts, and sizes. The product

offerings matter on prices and types of product brand names.

 38

Financial aspect

The estimated start-up capital of the business is around ₱200, 000.00. Further

financial information-related details have not been disclosed to the researcher.

Z Meat Shop

Organizational aspect

Z Meat Shop is a sole proprietorship form of business organization owned by

Mr. Z located at Purok 6, Poblacion, Tupi, South Cotabato. The business established in

the year 2020 and has been in operation for three years already. It is run and managed

by the owner and his family members. The figure 9 shows the organizational structure

of the business.

Owner/Manager

Driver/Butcher Inventory Controller Cashier/Bagger

Figure 9. Organizational structure of Z Meat Shop.

The production and operation, as well as the sales and marketing of the business,

are all supervised by the owner, who is also the manager of the business while the

proprietor’s wife is the inventory controller. The owner also serves as the meat shop

butcher and driver, while two family members are the cashier and bagger.

Operational aspect

The management of their business's entire operation is under the control of Mr.

Z, the establishment's owner, and his wife, Mrs. Z. The business's regular working days
 39

and hours are Monday to Sunday, 8:00 AM to 6:00 PM. The company's equipment are

meat cutters, meat grinders, knives, freezers, a weighing scale, meat display trays,

plastic wrap, and a meat transport vehicle. The business obtained necessary legal

clearances and permits from the local government unit to ensure that the business

operation complies with the health and safety of its customers while purchasing the

meat products it sold. The meat shop purchased its meat supplies from the

slaughterhouse and stored them in the refrigerator after pickup to preserve their

freshness and eliminate odors until they were sold.

Marketing aspect

The products that the business sells are only pork and beef, with pork accounting

for the majority of sales. The majority of the customers are their neighbors and

relatives. One of the difficulties they faced was competition when selling the products.

The business promotes its products through word-of-mouth marketing and maintains

good customer relationships while offering a reasonable price to its customers.

Table 19 shows the chicken products offered by Z Meat Shop with its

corresponding price range.

Table 19
Z Meat Shop Chicken Products
Chicken Products Unit per kilogram Price Range
Whole 1kg ₱210.00-230.00
Breast 1kg 120.00-245.00
Drum sticks 1kg 130.00-240.00
Thighs 1kg 130.00-235.00
Wings 1kg 130.00-240.00
Chicken quarter cut (Wings) 1kg 135.00-240.00
Heart 1kg 160.00-180.00
Liver 1kg 110.00-200.00
Feet 1kg 120.00-160.00
 40

The chicken products offered by the meat shop varies in prices, kilograms, cuts,

sizes and packs. The offered products are almost similar as the industry offered.

Table 20 shows the pork products offered by Z Meat Shop with its

corresponding price range.

Table 20
Z Meat Shop Pork Product
Pork Products Unit per kilogram Price Range
Pork Belly Sliced 1kg ₱200.00-275.00
Pork Ribs 1kg 200.00-260.00
Pork Liempo 1kg 280.00-350.00
Pork Pata 1kg 230.00-250.00
Pork Bones 1kg 200.00-280.00
Pork Feet 1kg 135.00-200.00
Pork Laman 1kg 300.00-335.00
Ground Pork 1kg 250.00-300.00
Heart 1kg 140.00-180.00
Liver 1kg 140.00-180.00
Skull 1kg 80.00-120.00
Pork Intestines 1kg 150.00-200.00

The pork products offered by the meat shop are sold per kilograms and per pack

especially those offal meat products. It also differ on cuts, and sizes. The price range

and availability of the products are almost the same with the industry offerings.

Financial aspect

The estimated start-up capital of the business is ₱100, 000.00. Further financial

information-related details have not been disclosed to the researcher.

 41

Porter’s Five Forces

The threats posed by potential entrants, substitute products, supplier bargaining

power, buyer bargaining power, and the degree of competitive rivalry are the key

elements in Porter's analysis.

The threat of New Entrants

There is a strong possibility of new entrants in the local meat industry of Tupi due

to its low capital investment and relatively low product differentiation because of the

similarity of product offerings. In addition, the raw materials needed are not difficult to

access because of the numerous number of suppliers and manpower availability in the

local area and neighboring cities. Thus, the threat of new entrants is high.

Threats of Substitute Products

The presence of sidewalk meat vendors, backyard growers, and customers'

ability to raise their own pigs, cattle, and chicken and produce the products themselves,

rather than buying them at the Tupi local market, implies a substantial risk of

substitutes. In the lack of substitute meat product lines in the local market, customers

will have the option of seeking out other industry players who offer similar products at

lower prices and of higher quality than the local industry. Moreover, the existence of

malls and public markets in nearby cities and towns would increase the variety of

products available to customers. Hence, the threat of substitution is high.

 42

Buyer’s Bargaining Power

Customers in the Municipality of Tupi are geographically dispersed and large in

numbers. A low customer-based concentration is an indicator that the buyer’s power is

weak. Customers have no power to dictate prices due to their intense desire to own the

product. They are willing to pay higher prices despite the rise in the price of meat in order

to meet their basic demands. Thus, this implies that the bargaining power of buyers is

relatively low.

Supplier’s Bargaining Power

Government regulations on animal-borne disease prevention, control, and other

issues concentrate meat supply in the local area of Tupi. These restrictions limit the

movement of meat products in areas with animal diseases like African swine fever and

avian flu, resulting in a shortage of meat to meet customer demand. According to the

Business Permits and License Office, there are a total of 26 livestock and poultry growers

in the area who are capable of supplying meat products. Hence, suppliers have the power

to dictate prices due to the limited number of meat suppliers in the local area who are

available and accessible, making the switching costs high. Thus, the bargaining power of

supplier is high.

Competitive Rivalry

Existing and potential competitors can provide customers with similar products or

services. New entrants can enter the local market through wholesale, retail, and even

local production and distribution of meat products. Existing market players can sell
 43

products to the same target market using a range of marketing strategies. Strong

competition exists since not all customers are loyal to established brands. Customers are

easily persuaded and tend to switch brands to those that provide the same degree of utility

in terms of product quality, value for money, price, sale promotions, customer service,

availability, and convenience.

In order to achieve market position, customer retention, and profitability in the

market industry, market players with same product quality and undifferentiated products

employ aggressive pricing and targeting strategies. This implies that rivalry within the

industry is intense.

THREAT OF NEW ENTRANTS

(HIGH)

BARGAINING
BARGAINING
COMPETITIVE POWER OF BUYERS
POWER OF
RIVALRY (LOW)
SUPPLIERS (HIGH)
(HIGH)

THREAT OF SUBSTITUTES
(HIGH)

Figure 10. Porter’s Five Forces in Meat Industry

 44

Key Success Factors

The following are the key success factors that will contribute for the success of

the meat industry.

Company’s Brand Image

A strong brand image will help the business to retain its positive brand

recognition in customers’ minds, contributing to a high market share and defending its

market position against competitors.

Good Management System

A well-managed organization will contribute to the optimal use of resources,

lower expenses, streamline business operations, and ensure good leadership, and

increase productivity and efficiency.

Product Quality

Offering the best quality products will satisfy customers and create a good brand

image with the public leading to low production costs, higher investment returns, and

revenue increases.

Customer Service

Providing excellent customer service will increase consumer trust and loyalty,

add value to products, and create a great brand image.

Corporate Social Responsibility

A socially responsible firm that acts ethically and sustainably towards society

and the environment can improve public image, brand awareness, and recognition.
 45

Accessibility

Quick access and reachable business location will make customers more

convenient to buy products from those business establishments saving their time and

lessening their expenses.

Government Policies

The government required basic requirements to accomplish by any entity that

desires to start up a new business. It includes policies and regulations that serve as

guidelines in achieving efficient and smooth flow of business operation.

Department of Trade and Industry

One of the important requirement for a sole proprietorship business is a DTI

registered business name. The issued certificate of DTI protects the legal rights and

gives authority to registered business for its business operation.

Barangay Clearance

The barangay clearance is a certificate required by the Barangay Government

Unit where the businesses are located.

Local Government Unit (Mayor’s Office)

The Mayor’s Business Permit confirms that the business is in compliance with

the cities or municipality's ordinances and standards, including zoning clearance, annual

inspection, sanitary permit, fire safety inspection certificate and other requirements such

as Health Card for food establishments and food servers, Environmental Compliance
 46

Certificate and etc. The permit is obtain after securing registration to DTI, Barangay

clearance, Social Security System, PhilHealth, and Pag-IBIG Fund.

Bureau of Internal Revenue

The BIR certificate of registration gives the business an authorization to print its

official receipts and register its books of accounts. The BIR certification also indicates

the trade name of the business, Tax Identification Number (TIN) of the business, line of

business and taxes that are needed to be filed and remitted.

Internal Analysis

This section includes the presentation of the Jeri’s Meats profile which includes

the corporate logo and brand name. It also contains discussions about the company’s

organizational, operational, marketing, financial aspects and analysis of its current

position in the meat industry.

Company Profile

Jeri's Meats is a meat shop that wholesales and retails meat products inside and

beyond its immediate area. It was founded by Jeri C. Leoncio in 2011 in Aguinaldo

Street, Purok 8, Poblacion, Tupi, South Cotabato. The owner saw a business opportunity

in the sale of beef and pork bones from the Triple-A community slaughterhouse at

significantly reduced prices.

The proprietor borrowed ₱1,500 from his mother as start-up capital while he was

still in his fourth year of college. His uncle, who worked for San Miguel Company and
 47

was designated as head of the butchery area, slaughtered an average of 200 heads of

cattle four (4) times a week in the local slaughterhouse, and bones such as those meant

for bulalo, which are still of good quality, were buried. His uncle regarded it as a waste to

bury the bones, so he came up with an idea to pack them, store them in a blast freezer,

and try to sell them for ₱15.00 per kilogram, although they only cost ₱8.00 per kilogram.

The proprietor purchased it for fifteen pesos per kilogram and sells it for thirty-five pesos

per kilogram, resulting in an income that is significantly greater than his initial

investment. He began purchasing 1 and 2 cartons of packed bones until the firm started

growing. The proprietor started trading in 2011 and delivers products to Koronadal and

General Santos City.

The business has no physical store until he completes his education and takes the

board exam. In 2012, the company opened a small physical store. During the first year of

operation, the proprietor was responsible for all aspects of business operations, including

chopping, packing, and cashiering. As a result of the owner's passion for business and his

desire to establish a successful meat shop, and his awareness of investing time, effort,

dedication, and inspiration in outworking all of his competitors leads him to become the

market leader for meat shops in the area. Since then, Jeri's Meats continues to provide

customers with high-quality meat products and excellent customer service while

remaining competitive in the meat sector.

 48

Mission

Jeri’s Meats in the Municipality of Tupi, South Cotabato has no

documented company vision.

Vision

There is no documented vision for Jeri’s Meats in the Municipality of

Tupi, South Cotabato.

Goal

There is no documented goal for Jeri’s Meats in the Municipality of Tupi,

South Cotabato.

Corporate Logo and Brand Name

Figure 11. Logo of Jeri’s Meats

Figure 11 shows the logo of Jeri’s Meats. This logo depicts the company's name

derived from the name of the business owner, Mr. Jeri C. Leoncio, with a butcher knife in

the background to indicate that the company is involved in the meat business. The color
 49

red represents the company’s energy, strength, and firmness to stand out from its

competitors. It also shows love and passion toward its stakeholders as a primary

contributor to its success. The color blue represents the sense of stability, harmony, and

trustworthiness of the customers to the company’s brand. The white color signifies the

business integrity, goodness, and humility in managing employees and dealing with

suppliers, and customers.

Additionally, the year 2012 in the logo represents the foundation of Jeri's Meats'

first physical store in Tupi, South Cotabato. The circle represents the security, continuity,

and protection of the company's long-term business plans and goals.

Organizational Aspect

Mr. Jeri C. Leoncio owns and operates Jeri's Meats in the Municipality of Tupi as

a sole proprietorship. The owner serves as the business's general manager. There are a

total of fourteen (14) employees, including an inventory controller, storage manager,

scaler, cashier, and butcher.

The company provides regular employees with two years of service SSS,

PhilHealth, and Pag-Ibig as their principal government-mandated benefits. The

management granted them seven (7) annual leave credits. Based on their performance at

work, employees also receive an increase in their base salary as a type of monetary

reward. In addition, they are entitled to separation pay following a one-month grace

period to recruit a replacement. Moreover, the business is preparing to provide training

and workshops to its employees to equip them with supplementary knowledge and skills
 50

enhancement they need to perform their tasks and responsibilities in delivering quality

service to the customers. The employee’s salaries are released every week.

Organizational Structure

An organizational structure is a system that specifies how various operations

within an organization are directed to meet its objectives. These activities may involve

rules, duties, and responsibilities. Information moves between firm levels based on

organizational structure. Although Jeri's Meats does not currently have a detailed

organizational structure, the individuals engaged are doing well in their separate roles to

maintain the business's efficiency and daily operation flow.

In addition, there is a democratic (participatory) form of leadership within the

organization. When making decisions to ensure employee satisfaction in the workplace,

the owner values group discussion and provides all relevant information to the team,

while remaining rational. Employees are encouraged to share ideas, provide feedback,

and participate in the decision-making process as an additional contribution to the

organization’s short-term and long-term growth strategies.

Operational Aspect

Jeri's Meats is open seven days a week, from 6:30 AM and 6:00 PM. The business

will be closed on Christmas, New Year's, and Good Friday to observe the holiday

seasons. The firm operates with the following facilities and equipment: a point-of-sale

(POS) system, a bone cutter/bone saw, a meat grinder, freezers, stainless tables, and meat
 51

hangers, weighing scales, knives, bags, butcher paper and packing materials, and

transportation equipment including a delivery van, a live howler, and a top-down.

Figure 12. Jeri’s Meats Meat shop

The National Meat Inspection Service (NMIS) inspected the quality and hygienic

standards of meat products during an unannounced surprise inspection. The company

employs a storage manager and a scaler to oversee the storage and quality control of meat

products.

The business is supplied by piggeries and random backyard farmers in the

surrounding area and nearby cities while its main supplier of chicken and frozen products

is from Magnolia. The owner prefers the random backyard owner over the piggery as

their source of supplies due to the cheaper price. Due to the lack of supplies from

backyard farmers as a result of government regulations over African swine fever (ASF),

the proprietor purchased the majority of its supplies for pork from QPigs located in the
 52

vicinity. He also outsourced offal meat (such as balat and lamang loob) from his

Tampakan-based supplier.

When local suppliers increase the pricing of key raw materials, particularly pig

suppliers, the firm encounters difficulties. This allows the business to provide customers

with a 2 grace period before increasing pricing.

Regarding stock replenishment, the company slaughtered the purchased live pigs

and calves seven (7) times each day at the local slaughterhouse before transporting the

meat to them for butchering and deboning. On a daily basis, an average of five (5) pigs

are slaughtered from piggeries and seven (7) heads of pigs if it is purchased from

backyards and three (3) calves are slaughtered per week. Moreover, pork and chicken are

replenished daily.

Currently, the business is prepared to apply for accreditation to meet the quality

standards and business processes. The production flow, and customer service flow in

Jeri’s Meats is presented in figure 13, and 14.

Livestock growers/suppliers

Local Slaughterhouse

Delivery

Receiving

Butchering

Inventory storage

Sale

Figure 13. Jeri’s Meats Production Flow

 53

Pigs and calves purchased from suppliers by Jeri's Meats are transported to a local

slaughterhouse before being delivered to the meat shop. Once the delivery vehicle has

arrived, both beef and pork raw meats will be received for unloading. The meat will next

be butchered for cutting and deboning before being placed in inventory storage and sale.

Customer product selection.

Order placement

Receiving

Packing

Scanning

Payment

End

Figure 14. Jeri’s Meats Customer Service Flow

The steps of in-store customer service flow are as follows: The customer will

select the items to be purchased, and the responsible staff will assess the customer before

they complete the order. The bagger will then accept the order for packing and hand it to

the cashier for barcode scanning. Before the customer leaves the meat shop area, the

cashier will collect payment for the exact price of the item and provide a receipt.
 54

Marketing Aspect

Jeri's Meats competes with market competition by employing various marketing

methods and promotional tools to gain customers. It enters the market by boosting its

strategic position and marketing strategies involving its product, price, and location.

Marketing practices

Jeri's Meats utilized a Facebook page with pertinent information about its

products, location, phone number, and business hours as part of its marketing approach to

capture the market. To increase brand awareness, the company participated in a

basketball league and gave out T-shirts and calendars to customers. It also used signage

to help customers in recognizing the business's name and location.

Figure 15. Jeri’s Meats Promotional Tools

Products

The company is offering a huge product line of pork, beef, chicken and frozen

products. Pork laman and pork bones account the highest sales while beef and chicken

are nearly the same. Most of its customers are carinderias, restaurants, and walk-in

customers in Tupi, South Cotabato. Also, the company serves customers from Koronadal
 55

City, Polomolok, and General Santos City. For the convenience of its consumers, the

company's sales and distribution channel is its own established meat shop.

Table 21 are the Jeri’s Meats pork product offering with corresponding price.

Table 21
Jeri’s Meats Pork Products
Pork Products Unit per kilogram Price
Belly 1kg ₱345.00
Bone In 1kg 330.00
Bones 1kg 270.00
Carcass 1kg 260.00
Fats 1kg 215.00
Ginisa Cut 1kg 330.00
Jowl 1kg 280.00
Laman 1kg 320.00
Mask 1kg 285.00
Ordinary 1kg 180.00
Pata 1kg 310.00
Ribs 1kg 325.00
Skull 1kg 115.00
Liver 1kg 215.00
Lungs 1kg 75.00
Intestines 1kg 70.00
Bagaso 1kg 50.00
Bulaklak 1kg 150.00
Pork Entrails 1kg 150.00
PE Set Per set 250.00

The pork products are sold per kilograms, per pack and set especially those offal

meat products. It also varies in terms of cuts and sizes. The price range and availability

of the products are similar to those of the industry.

Table 22 are the Jeri’s Meats beef product offerings with corresponding price.
 56

Table 22
Jeri’s Meats Beef Products
Beef Products Unit per kilogram Price
Beef entrails 1kg ₱180.00
Bones 1kg 250.00
Cantao 1kg 310.00
Laman 1kg 350.00
Mask B. 1kg 180.00
Ordinary 1kg 140.00
Lungs 1kg 40.00
Pata 1kg 190.00
Ribs 1kg 325.00
Sebo 1kg 50.00
Shank 1kg 325.00
Shoulder blade 1kg 310.00
Sirlion 1kg 340.00
Skin 1kg 180.00
Skull 1kg 120.00
Soap #5 1kg 170.00
T-bone 1kg 350.00
Tail 1kg 260.00
Tounge 1kg 230.00

The beef products are sold per kilogram and pack especially those offal meat

products. It also differs in terms of cuts and sizes. The product's price range and

availability are comparable to those of the industry.

Table 23 are the Jeri’s Meats chicken product offerings with corresponding price.
 57

Table 23
Jeri’s Meats Chicken Products
Chicken Products Unit per kilogram Price
Whole 1kg ₱185.00
Crops 1kg 130.00
Cut-ups 1kg 190.00
Gizzard 1kg 180.00
Halanghalang 1kg 195.00
Liver 1kg 200.00
Marinated 1kg 100.00
Spicy Marinated 1kg 225.00
Neck 1kg 150.00
Proven 1kg 130.00
Small Intestine 1kg 120.00
Large Instestine 1kg 130.00

Chicken products come in a variety of sizes and cuts. Once delivered by its

suppliers, it is sold either by kilogram or pack.

Table 24 are the Jeri’s Meats frozen product offerings with corresponding price in

range.
 58

Table 24
Jeri’s Meats Frozen Products
Frozen Products Pieces/Packs Price Range
Pork Chorizo Per pack ₱40.00-150.00
Beef Chorizo Per pack 40.00-150.00
Chicken Chorizo Per pack 40.00-150.00
Chicken Loaf Per pack 45.00-65.00
Embotido Per roll 65.00-100.00
Tocino Per pack 45.00-55.00
Lumpia Per pack 135.00-145.00
Hotdog Per pack 135.00-165.00
Siomai Per pack 135.00-150.00
Quekiam Per pack 135.00-150.00
Fries Per pack 150.00-160.00
Squid ball Per pack 85.00-95.00
Cheesy stick Per pack 45.00-55.00
Star nuggets Per pack 35.00-60.00
Cream dory Per pack 200.00-220.00
Chiliflakes Per pack 130.00-180.00
Ice cube Per pack 30.00-50.00
Bangsi Per pack 150.00-180.00
Salmon belly Per pack 180.00-200.00
Tuna cubes Per pack 160.00-200.00
Tuna kilaw Per pack 170.00-200.00
Tuna belly Per pack 130.00-140.00
Tuna panga Per pack 250.00-300.00

The meat shop sells its processed meat and frozen products by the pack and the

roll. The prices of these items vary based on the number of pieces, kilograms/grams, cuts,

sizes, and packaging brand names.

Prices

The company priced its products using a cost-plus pricing strategy. Cost-plus

pricing involves adding a mark-up to the original unit cost of a product in calculating its

final selling price. It is the addition of a fixed percentage to the production cost of one

unit of a product. It also offers discounts that are exclusive to bulk orders or large

quantities.
 59

Place

Jeri's Meats is the dominant player in the Municipality's meat shop industry. The

meat shop's location is near the municipal hall, municipal terminal, public market, and

landbank office, as well as along a national highway where potential customers can view

it. Moreover, Jeri's Meats transports its products to the cities of Koronadal, Polomolok,

and General Santos.

Financial Aspect

Jeri's Meats invested a total of ₱1, 000,000.00 in the expansion of the building

and ₱1, 500,000.00 in equipment. The company recovered its return on investment

(ROI) on its invested capital approximately eight to nine months following the

completion of building construction. The average daily sales for the company is

₱150,000.00.
 60

Table 25
Statement of Financial Position of Jeri’s Meats

JERI’S MEATS
STATEMENT OF FINANCIAL POSITION

As of Years Ended
December 31
2022 2021
Assets

Current Assets:
Cash and Cash Equivalents 82.10% 70.20%

Non-Current Assets
Property and Equipment, Net 17.90% 29.80%

TOTAL ASSETS 100% 100%

Liabilities and Owner’s Equity

Liabilities
Current Liabilities
Accounts Payable 21.87% 26.95%
Total Current Liabilities 21.87% 26.95%

Owner’s Equity
Leoncio, capital 78.13% 73.05%

TOTAL LIABILITIES AND OWNER’S 100% 100%

EQUITY

Table 25 presents the Financial Position of Jeri’s Meats.

 61

Table 26
Statement of Financial Performance of Jeri’s Meats

Jeri’s Meats
Statement of Financial Performance

As of Years Ended
December 31
2022 2021

Sales 100% 100%

Less: Cost of Sales 29.59% 39.86%
Gross Profit 70.41% 60.14%
Less: Operating Expenses 21.15% 24.10%

NET INCOME 49.26% 36.04%

Table 26 presents the Financial Performance of Jeri’s Meats.

 62

Table 27
Key Financial Rtaios of Jeri’s Meats

Jeri’s Meats
Key Financial Ratios

As of Years Ended
December 31
2022 2021

Current Ratio 3.75 2.60

Debt Ratio 0.22 0.27
Working Capital Turnover Ratio 1.67 2.31
Gross Profit Ratio 70.41% 60.14%

Analysis of the financial statements of Jeri’s Meats shows the following:

1. Current ratio is a financial ratio that evaluates a company's ability to cover current

liabilities with current assets. In 2021, the company had ₱2.60 of current assets

for ₱1 of current liabilities. This ratio indicates that the company's liquidity was

sufficient to meet its short-term obligations. In 2022, the company's current ratio

increased to 3.75, indicating a stronger liquidity position. A current ratio of 3.75

indicates that the company had ₱3.75 in current assets for every ₱1 in current

liabilities, which is a strong indication that the company was in a stronger position

to meet its short-term obligations in 2022.

 63

2. The debt ratio measures the proportion of a company's assets financed by debt. A

debt ratio of 0.27 in 2021 indicates that 27% of the company's assets were

financed by debt, or that the company's creditors provided 27 cents for every ₱1

in assets. This ratio shows that the company was moderately leveraged in 2021,

but financed a substantial portion of its assets with equity. The company's debt

ratio decreased to 0.22 in 2022, indicating a decline in the proportion of its assets

financed by debt. Positively, this decrease in the debt ratio indicates that the

company relied less on debt financing in 2022 than in 2021. A lesser debt-to-

equity ratio may indicate that the company is less risky and less vulnerable to

financial distress or insolvency.

3. The company's working capital turnover ratio decreased from 2.31 in 2021 to

1.67 in 2022, indicating that the company became less efficient in using its

working capital to generate sales in 2022 compared to 2021. It is important to

investigate the reasons for this decline and take the necessary steps to improve

the efficiency of the company's working capital management, such as improving

inventory management, optimizing accounts receivable and payable, and

streamlining cash management.

4. The gross profit ratio is a financial ratio that indicates the profitability of a

company's revenues after the cost of goods sold (COGS) has been subtracted. A

greater ratio indicates that the company generates a greater profit from sales. In

this case, the Gross Profit Ratio increased from 60.14 % in 2021 to 70.44 % in
 64

2022. This increase indicates that, after accounting for the cost of goods sold,

the company was able to generate a higher profit from its sales in 2022

compared to 2021. The increase in the Gross Profit Ratio could be due to

improved production efficiency, pricing strategies, and reductions in costs. This

is a good indicator of increased profitability and return on investment.

SWOT Analysis

Internal (Strengths and Weaknesses) and external (Opportunities and Threats)

factors are represented by the acronym SWOT. It analyses the organization's internal

and external aspects in order to identify incoming problems and develop suitable

responses.

SWOT ANALYSIS
Strengths Weaknesses
1. Excellent brand reputation 1. No established vision, mission, and
2. Excellent customer service goals
Internal Factors

3. High- quality product 2. Informal organizational structure

4. Strategic location 3. Limited promos and discounts
5. Fast moving products
Opportunities Threats
1. Increasing demand of meat 1. Inflation
2. Technological advancement 2. Fortuitous event
External Factors

3. Government Programs and 3. Animal-Borne Disease

Accreditation 4. Government Policy

Figure 16. SWOT Analysis of Jeri’s Meats

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TOWS Analysis

The TOWS (Threats, Opportunities, Weaknesses, and Strengths) study

advances the SWOT model. Situational assessment or situational analysis is a

method used to assist an individual or organization in identifying its strengths,

weaknesses, opportunities, and threats to business competition or project

planning. It allows a company to focus on its strengths and overcome its internal

weaknesses, as well as learn how to cope with them effectively. Externally, a

business learns to carefully search for market opportunities and identify

opportunities. And they get the ability to manage and overcome possible threats.
 66

Internal Factors
Strengths (S) Weaknesses (W)
1. Excellent brand reputation 1. No established vision, mission,
2. Excellent customer service and goals
3. High-quality product 2. Informal organizational
TOWS Matrix 4. Strategic location structure
5. Fast moving goods 3. Limited promo and discounts
Opportunities (O) Strength / Opportunities (SO) Weaknesses / Opportunities
(WO)
1. Increasing demand of (S1, S2, S3, S5: O1, O2,O3) (W1,W2,W3:O1,O2,O3)
meat Acquire new machineries and Craft and establish the vision,
2. Technological equipment to upgrade facilities. mission, goals, and structure of
advancement the company.
3. Government programs (S1,S2,S3,S5: O1,O3)
and accreditation Established a strategic alliance (W3:O1,O2,O3)
(putting up barbeque house) and Intensify marketing strategy by
collaborate with local businesses engaging in sponsoring events,
such as restaurants, and advertising, and sales discounts
catering services and incentives to loyal
customers.
(S1,S2: O1,O2)
Offer other payment options,
such as debit, credit card, and
GCash, for faster transactions.
Threats (T) Strengths / Threats (ST) Weaknesses / Threats (WT)
1. Inflation (S1,S2, S3, S4 : T3, T4) (W1, W2: T1, T3)
2. Fortuitous event Apply for certification and Build long-term partnership
3. Animal-borne disease accreditation for meat safety and with suppliers through
4. Government Policy quality to strengthen brand consignment to ensure
credibility and integrity. availability of raw materials.

(S1, S2, S3, S5: T1, T3)

Establish backward integration
through raising own livestock
External Factors

and poultry.

(S1,S3:T2,T3)
Develop contingency plans such
as quarantine area in the event
of unanticipated situations.

Figure 17. TOWS Matrix of Jeri’s Meats

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Strategic Tools

This section discusses the important and most common business strategy tools

that companies employ to implement their strategic goals and gain a sustainable

competitive advantage.

Internal Factor Evaluation (IFE) Matrix

The Internal Factor Evaluation (IFE) matrix is a strategic management tool

employed by several organizations to evaluate their internal environment. This strategy-

formulation tool describes and evaluates the organization's functional areas' strengths and

weaknesses and provides a framework for comparing their relationships.

The IFE matrix rates a company's strengths and weaknesses. 4 is major strength, 3

minor strength, 2 minor weakness, and 1 major weakness. Strengths can only be rated 4

and 3 and weaknesses 2 and 1. Table 24 shows Jeri's Meats' IFE Matrix.

Table 28
Internal Factor Evaluation (IFE) Matrix of Jeri’s Meats
KEY INTERNAL FACTORS WEIGHT RATING WEIGHTED
SCORE
Strength:
1. Excellent brand reputation .14 4 .56
2. Excellent customer service .14 4 .56
3. High-quality product .14 4 .56
4. Strategic location .15 4 .60
5. Fast moving goods .12 3 .36
Weaknesses:
1. No established vision, mission, and goals .11 1 .11
2. Informal organizational structure .10 2 .20
3. Limited promo and discounts .10 2 .20
Total Weighted Score: 1.00 3.15
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As shown in Table 28, the weighted average score is 3.15, indicating that Jeri's

Meats is internally strong and able to leverage its strengths to address for its weaknesses.

The applicable strategies to be considered are market development, market penetration,

and product development, and backward integration.

External Factor Evaluation (EFE) Matrix

The External Factor Evaluation (EFE) Matrix is a strategic management tool that

analyzes an organization's external environment and identifies opportunities and threats.

The matrix will show the company's present strategy's response to risks and

opportunities.

EFE matrix scores indicate how well a company handles opportunities and

threats. 4 signifies a company has excellent response, 3 means above average, 2 means

average response, and 1 is poor. Table 25 shows the Jeri’s Meats EFE Matrix.

Table 29
External Factor Evaluation (EFE) Matrix of Jeri’s Meats
WEIGHTED
KEY EXTERNAL FACTORS WEIGHT RATING SCORE
Opportunities:
1. Increasing demand of meat .20 4 .80
2. Technological advancement .16 2 .32
3. Government programs and accreditation .14 2 .28

Threats:
1. Inflation .17 3 .51
2. Fortuitous event .13 2 .26
3. Animal-borne disease .20 3 .60
Total Weighted Score: 1.00 2.77
 69

The total EFE weighted score for Jeri's Meats is 2.77 (Table 29), indicating that

the meat shop is performing well by capitalizing on the available opportunities and

minimizing the negative effects of the threats. The meat shop should focus on strategies

such as market development, market penetration, and product development, and

backward integration.

Survey Results

The researcher conducted the study to 100 random customers of Jeri’s Meats

using a survey questionnaires which are categorized into two (2) types: (1) Demographic

profile of customers, and (2) Customer’s level of agreement.

Demographic Profile of Customer

The survey was administered to 100 customers randomly selected from Jeri's

Meats. The following tables detail the demographic profile of the respondents and their

level of agreement.
 70

Table 30
Demographic Profile of Customers
Demographic Categories Frequency Percentage
Age Group
18-25 years old 18 18%
26-40 years old 50 50%
41-60 years old 27 27%
61 years old and above 5 5%
Total 100%
Civil Status
Single 45 45%
Married 52 52%
Widow 3 3%
Separated 0 0%
Total 100 100%
Sex
Male 45 45%
Female 55 55%
Total 100 100%
Household Income
Below Php 10,000 38 38%
Php10, 001- Php 20, 000 31 31%
Php 20, 001- Php 30, 000 20 20%
Php 30, 001-Php 40, 000 8 8%
Php 40, 001 and above 3 3%
Total 100 100%

Table 30 presents the demographic profile of the respondents. Based on the result,

50% of the surveyed population was between 26 and 40 years old. This shows that the

meat shop's primary consumer demographic consists mainly of individuals who are

young to middle-aged adults.

In terms of civil status, the majority of respondents (52%) were married. This

suggests that the meat shop's products may be purchased for household consumption.
 71

On the other hand, in terms of sex, results showed that the majority of the

respondents were females who constitute 55% of the population while males constitute

the other 45%. This implies that majority of the respondents who frequently purchase

meat were female.

Moreover, the point that the majority of respondents' household income was

below Php 10,000 (38%) suggests that the majority of respondents earned the minimum

wage. The results also indicate that the mentioned market segment may be highly

sensitive to pricing.

Table 31 Frequency Percent

How much do you spend on purchasing meat per week?
Below Php 1,000 58 58%
Php 1,001-5,000 33 33%
Php 5,001-10,000 6 6%
Php 10,001 and above 3 3%
Total 100 100%

Table 31 shows the weekly amount spent by respondents on purchasing meat.

Results indicated that 58% of the population spent below Php 1,000 in purchasing meat

per week. This may be due to the lower income level of the majority of respondents

and the availability of cheaper meat options on the market. Hence, the meat shop may

want to concentrate on providing a variety of mid-priced options that appeal to the

majority of the population, while also providing options of higher quality for those

willing to spend more.

 72

Customer’s Level of Agreement

The customer’s level of agreement for Jeri’s Meats marketing mix element are

categorized into four (4) parts: product, price, promotion, place, and process. The

summary of the responses of the respondents are shown below.

Table 36 N Min Max Mean Mean

PRODUCT Interpretation
The meat shop offers fresh and quality 100 3 5 4.50 Strongly Agree
meat products.
The meat shop provides constant 100 3 5 4.14 Agree
product availability.
The meat shop has a well-done 100 3 5 4.17 Agree
packaging.
The meat shop has a good brand name 100 3 5 4.55 Strongly Agree
and image.
Overall Mean 4.34 Strongly Agree

Table 36 presents the customer’s level of agreement in terms of product. Based

on the results of the survey, it can be concluded that the respondents have a high level

of satisfaction with the meat shop's products. The mean scores of 4.55 and 4.50,

respectively, for the statements "the meat shop has a good brand name and image" and

"the meat shop provides fresh and high-quality products," indicate that respondents

strongly agree with these statements. This indicates that the meat shop has a good

reputation among customers and can provide high-quality products.

In addition, the high mean scores of 4.17 and 4.14 for the statements "the meat

shop has well-done packaging" and "the meat shop provides constant product

availability," respectively rated as agree, suggest that the meat shop has effective

packaging and inventory management strategies. This can contribute to the overall

satisfaction of the customer.

 73

Overall, the mean average score of 4.34 for the respondents' level of agreement

with the meat shop's products indicates that the meat shop is exceeding its customers'

expectations in terms of product quality, brand reputation, packaging, and availability.

Table 37 N Min Max Mean Mean

PRICE Interpretation
The meat shop offers cheaper price. 100 2 5 3.88 Agree
The meat shop offers value for money in 100 3 5 4.18 Agree
terms of quality.
The meat shop offers value for money in 100 3 5 4.12 Agree
terms of quantity.
The meat shop offers discount. 100 1 5 2.85 Neither agree nor
disagree
Overall Mean 3.76 Agree

Table 37 indicates the customer’s level of agreement in terms of price. The

survey results imply that customers generally agree that the meat shop offers value for

money in terms of quality and quantity, with average mean scores of 4.18 and 4.12,

respectively. This indicates that customers perceive the meat shop's products to be

worth the price they are paying for. However, the average score of 3.88 for offering

cheaper prices implies that the meat shop's pricing strategy can be improved. The

respondents neither agree nor disagree with a mean score of 2.85 for offering discounts.

This suggests that the meat shop should consider implementing discounts or promotions

to attract customers. The average score of 3.76 indicates that the majority of

respondents agree with the price of the meat shop's products.

 74

Table 38 N Min Max Mean Mean

PROMOTION Interpretation
The meat shop has active social media 100 1 5 3.37 Neither agree nor
account. disagree
The meat shop offers reward for repeat 100 1 5 2.65 Neither agree nor
purchases. disagree
The meat shop has a strong word-of- 100 1 5 3.52 Agree
mouth promotion.
The meat shop has an outdoor 100 1 5 3.56 Agree
advertising (e.g., signage, billboards,
tarpaulins, etc.).
Overall Mean 3.28 Neither agree nor
disagree

Table 38 depicts the customer’s level of agreement in terms of promotion.

According to the results of the survey, it appears that the meat shop has a strong brand

image and provides fresh, high-quality products that are highly valued by its consumers.

In terms of price, however, the customers rated the meat shop as providing value for

money in terms of quality and quantity, but only a small percentage of respondents

agreed that the shop offers lower prices or discounts. This indicates that the meat shop

product offerings in terms of promos and discounts are only limited to bulk purchases

specifically on trade customers. This may indicate that the meat shop should

concentrate on developing pricing strategies to attract more price-conscious customers.

Promotionally, the meat shop has outdoor advertising and a strong word-of-

mouth promotion, which could attract potential customers. Customers appear indifferent

to the meat shop's social media presence and rewards program, indicating that the meat

shop may need to reevaluate its marketing strategies and develop more effective

methods to engage its customers.

 75

Overall, the average mean of 3.28 indicated that the respondents were neither

agree nor disagree in terms of meat shop promotion.

Table 39 N Min Max Mean Mean

PLACE Interpretation
The meat shop’s location is convenient 100 3 5 4.59 Strongly Agree
and accessible.
The meat shop has a clean and well- 100 3 5 4.55 Strongly Agree
maintained environment.
The meat shop has a wide parking 100 2 5 4.20 Agree
space.
The meat shop has a wide space layout. 100 2 5 4.14 Agree
Overall Mean 4.37 Strongly Agree

Table 39 shows the customer’s level of agreement in terms of place. The results appears

that customers are very satisfied with the meat shop's location. The high mean scores for

convenience, accessibility, cleanliness, parking, and wide space layout indicate that the location

and physical environment of the meat shop play a significant role in the overall satisfaction of

customers.

Table 40 N Min Max Mean Mean

PROCESS Interpretation
The meat shop offers speed deliver 100 1 5 3.97 Agree
service.
The meat shop opens and closes at 100 1 5 4.35 Strongly Agree
convenient hours.
The meat shop has excellent customer 100 3 5 4.36 Strongly Agree
service.
The meat shop follows food safety and 100 2 5 4.49 Strongly Agree
standards meat production.
Overall Mean 4.29 Strongly Agree

Table 40 presents the customer’s level of agreement in terms of process. It

appears from the survey results that customers have a highly positive view of the meat

shop's process with an overall mean of 4.29. The high mean scores indicate that

customers strongly agree that the meat shop follows food safety and quality standards in
 76

meat production, provides excellent customer service, and is open during convenient

hours. This positive image can lead to customer retention and loyalty.

Table 41 Overall Rank

SUMMARY OF CUSTOMER’S LEVEL OF Mean
AGREEMENT FOR JERI’S MEATS
MARKETING MIX ELEMENT
Product 4.34 2
Price 3.76 4
Promotion 3.28 5
Place 4.37 1
Process 4.29 3

The analysis of the overall summary of customer agreement for each element of

Jeri's Meats' marketing mix presented in Table 41 indicates that place is the most

important element for customers, with an overall mean score of 4.37, followed closely by

product, with an overall mean score of 4.34, indicating that customers place a high value

on the quality and freshness of the shop's meat products. With an overall mean score of

4.29, the process is the third most important factor, indicating that customers value the

shop's food safety and standard meat production, customer service, and convenient

operating hours.

Price, however, has a lower overall mean score of 3.76, indicating that it is less

essential to customers than the other elements of the marketing mix. However, it is still

significant, and the shop needs to try to offer competitive pricing and value to maintain

customer loyalty and satisfaction.

The promotion received the lowest overall mean score of 3.28, indicating that it is

the least essential factor to customers. This result may indicate that the meat shop should
 77

reevaluate its promotion strategies and place greater emphasis on other elements of the

marketing mix to better meet the needs and preferences of its customers.

DISCUSSION

Internal-External (IE) Matrix

The Internal-External (IE) matrix is a strategic management tool used to examine

the working situations and strategic position of an organization. The IE matrix is based on

an analysis of internal and external business factors which are combined into one

suggestive model. This strategic management tool was used in analyzing the current

position of the divisions and suggest strategies for the future for better results. The matrix

are divided into three major regions. Region I that consists Quadrant I, II, and IV represents

grow and build. Region II that falls into quadrant III, V and VII represents hold and

maintain. Region III that consists quadrant VI, VIII and IX represents harvest or divest.

Figure 18 below is the IE Matrix of Jeri’s Meats.

TOTAL IFE WEIGHTED SCORE

STRONG AVERAGE WEAK

3.00-4.00 2.00-2.99 1.00-1.99
3.15 3.0 2.0 1.0
2.00 to 2.99 3.00 to 4.00

4.0
I II III
HIGH
TOTAL EFE WEIGHTED SCORE

GROW AND HOLD

3.0 IV V VI
2.77
MEDIUM

BUILD AND HARVEST

2.0
VII VII IX
1.0 to 1.99

MAINTAIN OR DIVEST
LOW

1.0

Figure 18. IE Matrix of Jeri’s Meats

 78

Figure 18 shows that Jeri’s Meats has an IFE weighted score of 3.15 and an EFE

weighted score of 2.77 falling in the cell I and IV, which means that its strategy should be

GROW and BUILD. The meat shop should consider market development, market

penetration, product development, and backward integration as applicable strategies to

address internal and external factors and to ensure its long-term growth and profitability.

Strategic Position and Action Evaluation (SPACE) Matrix

SPACE Matrix is an analytical technique used in strategic management and

planning. It assesses the internal and external environment of the organization that will

provide a guide to design an appropriate strategy. It analyzes four different dimensions for

the company – competitive advantage, financial strength, industry strength, and

environmental stability that will represent four quadrants in a graphic.

Table 42
Space Matrix Axis Calculation
Internal Strategic Position Score External Strategic Position Score
Competitive Advantage (CA) Industry Strength (IS)
(-6 worst, -1 best) (+1 worst, +6 best)
Customer Service -1 Barrier to entry 3
Product Life Cycle -6 Resource Utilization 4
Product Quality -1 Financial Stability 3
Brand and Image -1 Labor productivity 5
Average: -2.25 Average: 3.75
Financial Strength (FS) Environmental Stability (ES)
(+1 worst, +6 best) (-1 worst, -6 best)
Return on Investment (ROI) 5 Price of Competing products -2
Profitability 5 Inflation Rates -3
Efficiency Ratio 3 Technological Change -2
Liquidity 3 Pressure from the substitutes -1
Average: 4 Average: -2
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Result Analysis:

CA Average = -9/ 4 = -2.25 IS Average = 15 / 4 = 3.75

FS Average = 16 / 4 = 4 ES Average = -8 / 4 = -2

Direction Vector Coordinates: X Axis = (-2.25) + 3.75 = +1.5

Y Axis = 4+ (-2) = +2

3
Conservative Position Aggressive Position
2

0
-6 -5 -4 -3 -2 -1 0 1 2 3 4 5 6
-1

-2

-3
Defensive Position Competitive Position
-4

-5

-6

Figure 19. SPACE Matrix of Jeri’s Meats

Figure 19 shows that Jeri's Meats should adopt an aggressive strategy for exploiting

opportunities and increasing its market share. The meat has a strong competitive position

in the market with rapid growth. It also indicates that the organization has both internal
 80

strengths and external opportunities. Thus, the firm should use market penetration, and

market development strategies.

Boston Consulting Group (BCG) Matrix

The Boston Consulting group's product portfolio matrix (BCG matrix) is used to

analyse different business units and make decisions about strategy and investment based

on market share and business growth. It is designed to help create long-term strategic plans

by prioritizing which products or services the company should be prioritized. Figure 20

below shows the BCG Matrix of Jeri’s Meats:

Figure 21. BCG Matrix of Jeri’s Meats

The figure above shows that Jeri’s Meats is in Star Quadrant. Meaning, the products

of the meat shop have a high growth market with a high market share. Strong brand

recognition, high-quality products, and increasing customer demand for meat products,
 81

particularly pork, chicken, and beef, indicate that the business is performing well, which

contributes to the growth of the business. Thus, the company should implement strategies

such as market development, and market penetration.

The Quantitative Strategic Planning Matrix (QSPM)

Quantitative Strategic Planning Matrix or QSPM is a high-level strategic

management approach for evaluating possible strategies. QSPM provides an analytical

method for comparing feasible alternative actions.

Table 44
QSPM Matrix of Jeri’s Meats
Alternative 1 Alternative 2 Alternative 3
Key External Factors Market Market Backward
Development Penetration Integration
Strengths Weight AS TAS AS TAS AS TAS
Excellent brand reputation .14 4 0.56 4 0.56 3 0.42
Excellent customer service .14 4 0.56 4 0.56 2 0.28
High-quality products .14 4 0.56 4 0.56 4 0.56
Strategic location .15 4 0.6 4 0.6 1 0.15
Fast moving goods .12 3 0.36 3 0.36 4 0.48
Weaknesses
No established vision, mission, and goals .11 3 0.33 3 0.33 2 0.22
Informal organizational structure .10 3 0.3 3 0.3 1 0.10
Limited promos and discounts .10 2 0.2 4 0.4 2 0.2
Opportunities
Increasing demand of meat .20 4 0.8 4 0.8 4 0.8
Technological advancement .16 3 0.48 3 0.48 3 0.48
Government programs and accreditation .14 3 0.42 3 0.42 1 0.14
Threats
Inflation .17 3 0.51 3 0.51 4 0.68
Fortuitous event .13 3 0.39 3 0.39 3 0.39
Animal-borne disease .20 4 0.8 3 0.6 3 0.6
Total Sum of Attractiveness Scores: 6.87 7.35 5.50
Note: Attractiveness Score: 1 = not acceptable; 2 = possibly acceptable; 3 = probably acceptable; 4 = most
acceptable
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As per the result of the QSPM, market penetration strategy is the top strategy that

the organization can utilize with a total attractiveness score of 7.35. This indicates that

Jeri's Meats should aggressively promote a product or service using a variety of marketing

strategies and tools, with a concentration on promotional efforts to capture the market such

as offering discounts or loyalty programs, and improving its customer service. Intensifying

marketing efforts through effective advertising can increase the company's sales and

market share in its current market. This can also help the business to attract new customers

and retain existing ones.

Findings and Recommendation

Based on the results of the study, observations, and evaluations made by the

researcher, the following are the results of an internal analysis of the major aspects of

Jeri’s Meats and the strategies for putting these results into action.

Organizational Aspect

Organizational strategy is how an organization achieves its aims. It includes

defining a mission and vision, setting goals and objectives, assessing internal and

external environments, and creating a resource allocation plan. A clear organizational

plan ensures that everyone in the organization is aligned and using resources efficiently.

It guides company priorities and decisions.

Finding 1: Jeri’s Meats has no established vision, mission, goals and has informal

organizational structure.
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A. Recommended Strategy

Craft and establish the vision, mission, goals, and structure of the company.
B. Specific Plan of Action 1

Below is the proposed mission, vision, and goals for the company:

VISION STATEMENT:

To become the leading provider of high-quality, sustainably sourced meat

products in the local market, while promoting ethical and environmentally conscious

practices.

MISSION STATEMENT:

Our mission is to provide customers with the freshest and best quality meats,

sourced from local farmers who practice responsible animal husbandry and sustainable

farming techniques. We strive to provide exceptional customer service, expert advice on

meat selection and preparation, and an enjoyable and informative shopping experience.

GOALS:

1. Source and offer a wide variety of high-quality, sustainably raised meat products,

including beef, pork, and chicken.

2. Establish partnerships with local farmers and producers who share our values of

ethical and sustainable practices.

3. Build a loyal customer base through exceptional customer service, personalized

recommendations, and a commitment to product quality.

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4. Expand our product offerings to include value-added products such as marinades,

spices, and prepared meals.

5. Implement environmentally conscious practices, such as reducing waste and

minimizing energy consumption, throughout all aspects of our business

operations.

6. Maintain competitive pricing while ensuring fair compensation for our suppliers

and staff.

7. Create a welcoming and informative purchasing environment that promotes the

benefits of sustainable and ethical meat consumption.

8. Continuously improve our business practices, product offerings, and customer

service to exceed customer expectations and remain a leader in the local meat

market.

Specific Plan of Action 2

Organizational structure is crucial to the success of a business or

organization. It clarifies roles and responsibilities, facilitates growth, improves

communication, and improves accountability. A well-designed structure provides

a distinct hierarchy of authority and communication channels, enabling faster

decision-making, streamlined processes, and a more coordinated effort to reach

organizational objectives. Figure 22 is the proposed organizational structure of

Jeri’s Meats.
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Figure 22. Recommended Organizational Structure

Operational Aspect

An organization's operational strategy refers to the methods and approaches

employed to attain operational objectives. It involves the use of resources, processes, and

systems to achieve operational excellence and a competitive advantage. This strategy

focuses on optimizing the company's processes, systems, and procedures to ensure that

all available resources are utilized efficiently and effectively to attain business objectives.

Finding 1: Jeri's Meats encounters a scarcity of supplies from its local suppliers of

raw materials and struggles when suppliers increase the prices of these materials.

A. Recommended Strategy

Establish backward integration through raising own livestock and poultry.

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B. Specific Plan of Action

1. Conduct a feasibility analysis to determine the costs and possible benefits of

establishing a livestock and poultry farm.

2. Identify appropriate land and obtain the required permits and licenses.

3. Create a business plan for the livestock and poultry farm, including a budget,

marketing strategy, and operational strategies.

4. Invest in premium animal nutrition, facilities, and equipment to ensure

optimal animal health and growth.

5. Recruit and instruct personnel with the required animal veterinary skills and

knowledge.

6. Develop a brand image and marketing strategy to promote to consumers the

benefits of locally sourced meat products.

7. Monitor and evaluate the performance of the livestock and poultry farm on a

regular basis, and make any necessary adjustments to ensure compliance with

applicable regulations and guidelines pertaining to animal welfare and food

safety.

C. Budget

Table 45 is the estimated cost for establishing backward integration

through raising own livestock and poultry in the local area.

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Table 45
Proposed estimated cost for establishing backward integration
Particulars Cost (PHP)
Land ₱1,000,000.00
Building 500,000.00
Equipment and machinery 1,500,000.00
Livestock 100,000.00
Poultry 50,000.00
Feed and nutrients 100,000.00
Veterinary care 50,000.00
Labor and wages 100,000.00
Utilities 50,000.00
Other expenses 50,000.00
Total Estimated Cost ₱3,500,000.00

The actual cost may vary depending on the size and location of the

operation and specific requirements of the business.

Marketing Aspect

A marketing strategy is a plan that outlines how an organization will accomplish

its marketing objectives. It is the general strategy that a business employs to promote its

products or services to its target market and achieve its marketing objectives. It consists

of the company's target market, positioning, marketing mix, and budget. It also facilitates

the communication of a company's value proposition to its target market.

Finding 1: Limited promos and discounts

A. Recommended Strategy

Intensify marketing strategy by engaging in sponsoring events,

advertising, and sales discounts and incentives to loyal customers.

B. Specific Plan of Action

 88

1. Determine the target market and the most efficient marketing channels for

reaching it.

2. Participate in relevant events, such as food festivals or community gatherings, and

distribute promotional materials to attract customers.

3. Promote the meat shop via various channels, including social media, and radio.

4. Offer loyal customers sales discounts and incentives, such as reward programs.

5. Monitor the effectiveness of the marketing strategy and adjust it as required to

enhance the results.

C. Budget

Table 47 is the proposed budget for participation in relevant events such as

food festivals or community gatherings, and distribute promotional materials to

attract customers. Depending on the specific event and the quantity of

promotional materials, the actual cost may vary.

Table 47
Proposed Budget for Participation in Relevant Events
Particulars Quantity Estimated Budget
Event participation
Registration fee 2 days ₱1,000.00
Booth space or stall 2 days 10,000.00
rental
Food and drinks 4 Pax (200 x 2 meals) 1,600.00
4 Pax (100 x 2 snacks) 800.00
Staff 3 persons (500 x 3 x 2 days) 3,000.00
Promotional materials
Flyers and brochures 400 pcs. (500 x 4) 2,000.00
T-shirts 15 pcs. (400 x 15) 6,000.00
Tarpaulin 1 pc. (30x40) 650.00.00
Total ₱25,050.00
 89

Financial Aspect

There is a limited result reflected due to unavailability of data in financial aspect

of Jeri’s Meats in the Municipality of Tupi.

Conclusion

Based on the result of the study, the following conclusions were formulated:

Company Profile

Jeri's Meats is a local meat shop that wholesales and retails meat products inside

and beyond its immediate area. It is located at Aguinaldo Street, Purok 8, Poblacion,

Tupi, South Cotabato operating for 13 years since its first foundation on 2011. Jeri’s

Meats is a sole proprietorship form of organization founded and owned by Jeri C.

Leoncio.

Organizational Aspect

1. Jeri’s Meats is internally strong and able to leverage its strengths to address for its

weaknesses.

2. The meat shop is performing well by capitalizing on the available opportunities

and minimizing the negative effects of the threats.

3. Jeri’s Meats lacks an established vision, mission, goals, and organizational

structure.

Operational Aspect

1. Customers strongly agree that the meat shop follows food safety and quality

standards in meat production, provides excellent customer service, and is open

during convenient hours.

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2. Customers strongly agree that the meat shop provides fresh and high-quality

products.

3. The meat shop employ effective packaging and inventory management strategies.

4. Meat products are quickly sold to customers, resulting in rapid stock

replenishment, especially for pork and chicken.

5. Jeri's Meats faces challenges as a result of the scarcity of supplies from local

suppliers of raw materials and corresponding price increases.

6. Jeri's Meats currently lacks a contingency plan for unanticipated events

Marketing Aspect

1. The meat shop has a strong competitive position in the market with rapid growth

and should adopt an aggressive strategy for exploiting opportunities and

increasing its market share.

2. Market penetration strategy is the top strategy that the organization can utilize .

3. The meat shop has a strong competitive advantage over its competitor in the

locality.

4. The meat shop has limited promos and discounts.

Financial Aspect

1. Jeri's Meats has been successful in its recent investment in building expansion and

equipment, as evidenced by its ability to recover its return on investment (ROI)

within eight to nine months following completion of the construction.

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2. The average daily sales of ₱150,000.00 indicates that the company is generating a

significant amount of revenue.

3. The analysis suggest that the business is in a strong financial position and has the

potential for future growth and profitability.

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Appendix D
Interview Guide Questionnaire for the Owner
A. Company’s Background

1. What is the name your business?

2. When was the business established?

3. How did the idea for your business come about?

4. Can you share a brief background of your company from first year of operation up

to present?

B. Organizational Aspect of the Organization

5. What is the structure of the organization?

6. What methods does the company utilize to manage or reward employee

performance?

7. What are the various divisions present in your organization?

8. What kind of leadership style exists in the organization?

C. Operational Aspect of the Organization

9. What facilities and equipment are used to produce and distribute meat products?

10. What are the legal requirements for meeting health and safety guidelines in the

meat industry?

11. Have you ever negotiated contracts with vendors or suppliers?

12. Who and which departments are accountable for optimizing quality control and

inventory management?

13. What are the products that your company offers?

14. Is your current number of employees enough to cope the demands of the product you

offer?
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15. What problems or issues you encounter with your inventory?

16. Do you have handbook of procedures to be followed in your company?

D. Marketing Aspects of the Organization

17. Is there a strategic promotional plan in place to attract customers?

18. Who is currently purchasing the offered products?

19. What products of your company account the highest sales?

20. What are the challenges you encounter when marketing your products?

21. What are the common marketing practices of this organization?

E. Financial Aspects of the Organization

22. Does the organization have a strategic annual budget plan for all aspects of

financial?

23. Who is/are in charge of the control in and out of resources of the organization?

24. Do the organization forecast cost of goods sold, expenses, and capital spending at

least once per quarter?

25. Does the company prepare quarterly profit and loss forecasts and review them with

the management?