Micro Market Analysis by group 1 AGSB Clark

ATENEO BUSINSS SCHOOL –CLARK

ENTREPRENEURSHIP

MICRO MARKET ANALYSIS

Submitted to:

Professor Jorge Saguinsin

Submitted by:

Group 1:

Jose Tiburcio Canlas

Elizabeth Timbol

DR Eduardo Tuazon

Arlene A. Panganiban

Christine Tubig

March 10, 2014

The observations of the micro market economy were done in separate settings. One was in the mall at SM Pampanga and the area near the jitney station at Robinson Mall Pampanga, and the other one was in the street near St Dominic subdivision, Dolores cross section of Mac Arthur Highway, San Fernando, Pampanga.

Inside the mall, the fast food stores observed were Jollibee, Chow king and Pizza Hut. The street foods were observed in the streets by Mac Arthur Highway and jitney stations by Robinson Mall were the fish and squid balls cart and the mami/lugaw carts.

JOLLIBEE

Jollibee is an active fast food outlet. Kids of all social classes are very much the biggest part of the customers. The kids are excited, hopeful for an entertaining possible appearance of the mascot, and the fun to eat with the rest of the family. Burgers are the fast moving items together with the very famous chicken joy with rice as one the Filipino family staple food. Customers are very patient in line but moving around for their tables and chairs. The customers are mostly those kids and younger adults like students mainly because of the affordability of the menus. But on the contrary Jollibee has established their name in the fast food section that is delicious and dependable in their taste. Food is hot, tasty, and fast and affordable with a good service in general. Their taste is Pinoy style since the owners are Filipinos; burgers are pinoy taste with their choice of cheese. The spaghetti is also Pinoy as they are sweeter than others. Adults are also seen especially those with the limited budget and those in a hurry. So as a whole Jollibee captures the general market now, in all social status just depending on the customers wants at the time. The menus are enough in sizes too. But the health buffs are not attracted to the fried burgers and deep fried battered chicken, and other price cutting ingredience to provide the low cost as advertised.

 People can meet there to discuss casual business as going to coffee shops like Starbucks where business agents may feel awkward in case their clients will order expensive items. It may be noisy but some hours can be tolerable.

Parties are mostly for kids and so the mascot can excite them more. Some sales presentations or group meetings are also done in Jollibee. Prices of menus are aired in TV and so people can actually memorize their food items and corresponding prices that leave no surprises especially if the budget is not so flexible. Jollibee is seen almost every corner and has become landmarks when getting directions. 

Jollibee has stand-alone outlets, seen almost every corner, seen mostly in mall both lower income and high end mall.

McDonalds

We can compare Jollibee with McDonalds but generally they have the same market. McDonalds are seen enough but not as often like Jollibee. They have almost same menus and items, McDonalds was originated from the US and has a different taste though accepted by Pinoy. Their cheese is more American and spaghetti is not as sweet. They serve hot, tasty, fast and affordable food but slightly higher than Jollibee. The atmosphere is the same and the service is the same if not better than Jollibee.

PIZZA HUT

Pizza hut is an Italian fast-food,but has has been a part of the Filipino lifestyle and cuisine. Pizza Hut is one of the expensive fast food pizzas that are not quite fast food. It is not the most expensive.  It has window orders that can be considered fast food but a lot of their items inside the restaurant has a casual dining twist to it, their soups are not quite familiar to the low income sector and their variations of their pizza is also not quite popular to those with limited budget. They have very good advertisements on TV and they are much known to the general public who may not eat there as often. Pizza Hut’s spaghetti is not sweet. It is delicious, not that fast, nor affordable to the general public to eat there weekly. Service is in a different style than those of Jollibee and McDonalds where customers fall in line to the cashier to order. The customers of Pizza Hut are seated and given the menus after being seated. Food sale per customer may be averaged to a minimum of 250 to 300 pesos or more. Customers are mostly working adults with kids or families. Locations are mostly in mall or stand-alone outlets on areas close to offices .Location is a big factor for Pizza Hut to survive. Delivery is also an option for sales. Service is more attentive as waiters will give their names and provide drawing papers and crayons to their young customers.  A different atmosphere is seen in this business. Customers are quieter and tables are more in order. They have some loyal customers because we see a lot of individuals who eat by themselves.

As a whole, Jollibee will survive wherever it is placed. It pioneered all fast foods in provinces and smaller towns. It can do so because of the brand it carries that serve all ages in the budget that is affordable for all. McDonalds cater to the same customers and also have been a leader going to smaller towns and far away big provinces. Pizza Hut outlets have to choose location, and even in the cities, their location makes a difference in earnings.  

STREET FOODS

Street foods are seen in areas very close to big foot traffic. It is mostly seen near the bus or jeep terminals and or tricycle stations, in front of schools and intersections. They are in small carts or even just in big pots on tricycles or bikes. We would like to focus on fish or squid balls, and on mami or lugaw food.

There are lot of customers from construction workers, students, employees and anyone big and small. Street food is very common and available in the everyday lives of Filipinos. This is a very common site not only in the Philippines but in Asia. Street food is not considered dirty or unhealthy as seen by foreigners. In general, street food is not regulated by health/ or sanitation permits. It has no license, cannot provide hospitalizations to those who will complain and has no guidelines to how customers are treated or served. It is cheap because there are no employees and no rentals, to pay. Street food provides income to the very poor who are able to think of a way to earn and use the same capital today for tomorrow. It is one of the underground economies that sustain the poor section of the Philippines. They can earn well, grow bigger and become more successful after hard work and some help. So the hope is there to sustain them, and the needs of the family that needs to be met. Competition is always there but somehow they have learned to come and go where they will find better income.

There are a lot of street foods and not just limited to fried food. There are sweets, bottled pickles or shrimp paste and others made from home. They are mostly called vendors who may run from different places.