HIRAYA MARKETING AGENCY

A Feasibility Study
Presented to the Faculty of
Institute of Graduate and Professional Studies
Lyceum-Northwestern University
Dagupan City

In Partial Fulfillment
of the Requirements for the Degree
Master in Business Administration

Jolina A. Reyes

June 05, 2020

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 CERTIFICATION AND APPROVAL SHEET

This feasibility study entitled “Hiraya Marketing Agency” has been

prepared and submitted by Jolina A. Reyes in partial fulfillment of the
requirements for the degree Master in Business Administration, has been
examined and is recommended for Final Oral Examination on June 5, 2020.

GENOVEVA YALUNG REYES, CPA, Ph.D, FRIAcc

Adviser

Approved on June 5, 2020 by the Panel of Examiners on Oral Examination

with a grade of ___%.

PEDRO F. SISON, CPA, DBA

CHAIRMAN

JOY C. GAMBOA, Ph. D. MARIETTA B. SORIO, CPA, DBA

MEMBER MEMBER

Accepted and approved in partial fulfillment of the requirements for the

degree Master in Business Administration.

MARINA O. ABELLA, Ed.D

VP-Academic Affairs
Dean,IGPS

Comprehensive Exam: ____% Date: March 7, 2020

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 ACKNOWLEDGMENT

The completion of this feasibility study was made possible through the

encouragement and assistance of some persons who gave their time and

solicited advice to this study to:

Dr. Genoveva Y. Reyes, my adviser, for her patience, guidance,

encouragement and for sharing her expertise in writing this feasibility study;

Dr. Joy Gamboa and Dr. Marietta B. Sorio, members of panel of

evaluators, for their suggestions and recommendation for the improvement of

this study;

Dr. Pedro Sison, the Dean of the Institute of Graduate and Professional

Studies and the Chairman of the panel of evaluators, for her extraordinary effort

to further improve this study;

my parents, for their unconditional understanding and for sharing their

wisdom that inspire me to push beyond my limit and as well as the financial and

moral support;

my friends and colleagues, that spend their time and consumed a lot

of effort to help me make this feasibility study a success;

Above all, I give my sincerest gratitude to my Lord Jesus Christ, for His

abundant graces and blessings showered onto me.

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 -Jolina-

DEDICATION

This feasibility study is wholeheartedly dedicated to my beloved parents,

Enrique Reyes and Teodora Reyes who serves as my inspiration and support

system in the completion of this study;

to my siblings, Joana Marie Reyes and Samuel Reyes; who gave me

support, morally and physically supported me to successfully complete this

venture;

to my loving partner, John Moises Espique; who has also lent a hand

and support throughout my journey;

to Dr. Genoveva Reyes, my mentor and adviser for the trust and

guidance that she gave that helps me in achieving my dreams;

and lastly, my almighty God, the source of my strength and hope, and

the one who graciously gave me wisdom in the completion of my feasibility

study.

Thank you all!

-Jolina-

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 TABLE OF CONTENTS
Page
Title Page ……………………………………………...…………….…… …………. I
Certification and Approval………………….……………….…………. II
Acknowledgment ………………………………………...…………….…… III
Dedication ………………………………………...…………….…… IV
Table of Contents ……………………………………….……………….…… V
List of Tables ………………………………………………….………….……. VII
Abstract ………………………………………………………………. X
List of Figures ………………………………………………………….……………. XI

Chapter 1 The Problem …………………….……………………………………. 1

Rationale ……………………………………………………………… 1
Skeletal Framework ……………………………………………. 3
Conceptual Framework ……………………………………………. 4
Statement of The Problem ……………………………………………. 6
Methodology ………………………………………………………………… 6
Significance of The Study ……………………………………………. 7
Scope of Delimitations ………………………………………………. 8
Definition of Terms ……………………………………………………. 8
Chapter 2 Marketing Aspect ……………………………………………… 10
Service Description …………………………………………...……………. 10
Comparison of the Product with the Competitor…………………… 13
Business Name and Logo …………………………………………………… 14
Market Area ………………………………………………… 16
Market Share ……………………………………………………… 17
Demand Analysis …………………………………………….…….…… 21

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 Supply Analysis …………………………………………….…….…… 26
Demand-Supply Gap Analysis ………………………………….…….…… 30
Sales Forecast ………………………………………….……………….…. 31
Price Study ……………………………………………………………... 33
Promotional Strategies ……………………………….…………………… 33
SWOT Analysis ……………………………….…………………… ………. 39

Chapter 3 Technical Aspect ………………………………………. 42

Technical Process ………………………………………………………. 42
Location of the Business ……………………………………………………… 47
Facility Lay Out …………………………………………………………... 48
Building Perspective ………………………………………………………... 49
Fixed Capital …………………………………………………………. 50
List of Equipment …………………………………………………………........ 51

Waste Disposal …………………………………………………. 52

Gantt Chart ………………………………………… 53
Chapter 4 MANAGEMENT ASPECTS …………………………………. 55
Management Team ………………………………………….……… 55
Organizational Chart ……………………………………………………… 56
Forms of Business Organization …………………………………………. 57
Duties and Responsibilities …………………………………………….... 58
Uniform and Merchandises………………………………………………… 60

Business Policies …………………………………………………………… 61

Chapter 5 Financial Aspect.…………… ………………..…………… 73
Financial Assumption …………………………………….………………. 73
Project Cost …………………………………………………….…………. 76
Project Financing …………………………………………………………. 76
Projected Cash Flow …………….…………………………………. 77

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 Projected Income Statement ………………….………………………… 78
Projected Balance Sheet ……………….……………………………. 78
Financial Ratio Analysis …………….………………………………….... 79
Return on Equity ……………………………………….… 79
Return on Investment ……………………………………………. 80
Payback period …………………………………….……. 81
Chapter 6 Socio-Economic Aspect …………………………………………. 82
Chapter 7 Summary, Conclusion and Recommendation……….… 84
Summary …………………………………….……………….……………. 84
Conclusion …………………………………….……………….……………. 86
Recommendation ……………………………………………………………. 87
Bibliography ……………………………………….………………… 88
Appendices ………………………………………………………………… 90
Letter of Request to Interview …….………….……………….… 92
Survey Questionnaire ………………….………………….………. 93
List of Business Registration ………….…..…………………… 94
Computation of Sample Size………………………………………… 95
Notes to Financial Statement ………………………………... 96
Freelancer Contract of Agreement …………………….………. 98
Plagiarism and Grammarly Test ………………………………….. 102

Curriculum Vitae ……………………….……………………………………………. 103

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 LIST OF TABLES

Table Title Page

1 Market Share 20
2 Business Size 21
3 Historical Demand 23
4 Projected Demand 24
5 Arithmetic Straight-Line Method 25
6 Projected Demand Formula 25
7 Supply Analysis 26
8 Historical Supply 27
9 Projected Supply 27
10 Arithmetic Straight-Line Method 28
11 Projected Supply 28
12 Historical Supply and Demand Gap 29
13 Projected Supply and Demand Gap 30
14 Operational Equipment 50
15 Other Equipment 50
16 Furniture and Fixtures 51
17 Operational Supplies 51
18 Pre-Operating Gantt Chart 53

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19 Duties and Responsibilities 57
20 HMA Project Cost 76
21 HMA Projected Cash Flows 77
22 HMA Projected Income Statement 78
23 HMA Projected Balance Sheet 78
24 HMA Return on Equity 79
25 HMA Return on Investment 80
26 HMA Payback Period 81

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 ABSTRACT

TITLE : Hiraya Marketing Agency

AUTHOR : Jolina A. Reyes

Institute : Institute of Graduates and Professional Studies

Lyceum-Northwestern University
Dagupan City

DEGREE : Master of Business Administration

Date of Defense : May 13, 2020

ADVISER : Genoveva Y. Reyes, Ph.D, CPA, FRIAcc

The primary purpose of this paper is to express an in-depth and

comprehensive feasibility study for a marketing agency in Malasiqui, Pangasinan
which specialized in full service digital marketing. The business will be delivering
digital marketing solutions that work in order to meet the clients marketing goals
and create exemplary results that will help increase business online growth. The
chosen research method for this feasibility study a mixed method: qualitative as
the research topic needs further understanding and consideration, and
quantitative as numerical data are included in the feasibility analysis.
The feasibility study contains six categories: the problem, market feasibility
study, technical feasibility study, financial feasibility and social economic
feasibility study. It is concluded that the comprehensive project backed by all

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sections of a full feasibility study supports the integration of Hiraya Marketing
Agency. The finding shows that there is a positive return of investment of 62%
for the year 1, increasing return on equity and the payback period is just about
1.5 years. The recommendation is to invest in this proposal, since all of the
analysis techniques suggest will be successful.

Keywords: Feasibility Study; Marketing Agency; Digital Services.

LIST OF FIGURES
Figure Title Page
1 Skeletal Framework 6
2 Services Offered by the Business 11
3 Comparison of the services 13
4 Business Logo 15
5 Geographical target Area 17
6 Respondent’s Preferences 22
7 Historical Demand 23
8 Projected Demand 24
9 Historical Supply and Demand Gap 29
10 Projected Supply and Demand Gap 30
11 Revenue Forecast 31
12 Revenue Forecast Line Graph 32
13 Brochure Sample 33
14 Social Media Marketing 33
15 Facebook Advertising 34
16 Instagram Advertising 36
17 Business Trade 37
18 Service Packages 38

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19 Technical process 42
20 Brand Strategy 43
21 HMA Team 45
22 Logo, Claim and Branding 45
23 Photography 45
24 Design Guidelines 45
25 Advertising Measures 46
26 Evaluation 46
27 Vicinity Map 47
28 Floor Plan 48
29 Building Perspective 49
30 Organizational Chart 56
31 Uniform and Merchandises 60
32 Return on Equity Line Graph 79
33 Return on Equity Line Graph 80

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