CHAPTER IV

TECHNICAL FEASIBILITY

Product:

Big Brew Milk Tea Shop offers a diverse range of high-quality beverages, including milk teas, coffees, and
snacks. The products are designed to cater to the preferences of a wide customer base, with various
flavors and toppings available. The careful selection and roasting of beans ensure a symphony of flavors
in every cup, setting Big Brew apart in the competitive market.

Delivery of Goods:

The delivery of goods is crucial for maintaining a steady supply of inventory. Big Brew Philippines, being
a franchise, is responsible for the initial setup and delivery of essential equipment, such as blenders,
dispensing equipment, cups, lids, straws, flavored powders, fructose dispenser, and milk tea shaker
cups. The franchise package also includes barista training and store layout assistance.

Architectural Design Assistance:

The architectural design of the physical store is essential for creating a welcoming and efficient space.
The renovation fee of ₱50,000.00 includes labor and materials to ensure the store's aesthetics align with
the brand image. The layout of the store is part of the franchise package, ensuring consistency with the
overall brand identity of Big Brew Philippines.

Delivery Process:

The delivery process involves coordination between the franchise and the partners. The franchise will be
responsible for the initial setup, equipment delivery, and training. The partners, on the other hand, will
be involved in the selection of the store location, signing the contract with Big Brew Philippines, and
attending the training program offered by the master franchise.
Flow Chart of Delivery Process:

Start

Initial Setup

Equipment
Delivery

Staffing

Training

Operation of the
Branch

End
Booth Layout:

Plant Location:

The chosen plant location for Big Brew Milk Tea Shop is at 147 Matatag St, Diliman, Quezon City, 1100
Metro Manila. The strategic location, situated outside Q & A Canteen and surrounded by establishments
like Suntrust Capitol Plaza and nearby hospitals, ensures high foot traffic and a diverse customer base.

Simple Plant Location:

The simple plant location is depicted at 147 Matatag St, Diliman, Quezon City, 1100 Metro Manila,
emphasizing its proximity to Q & A Canteen and other key establishments.
Location Map from SPCC:

Simple Location Map:

A simplified location map provides a clear overview of the store's position, making it easily identifiable
for potential customers and partners.

Utilities:

Utilities, including electricity, are factored into the cost projections. The assumed monthly cost of
electricity is ₱2,500, with a 10% annual increase. Efficient utility management is crucial for maintaining
operational sustainability.
Waste Disposal:

Waste disposal is an essential aspect of the operation. Proper waste management practices will be
implemented, considering the environmental impact and adherence to local regulations.

Chapter V:

1. Income Statement

2. Balance Sheet

3. Computation of Daily Net Income:

| Daily Sales | 105 persons * ₱39/person | ₱4,095 |

| Daily Cost of Goods Sold | 4,095 * 0.5 | ₱2,047.50 |

| Daily Gross Profit | 4,095 - 2,047.50 | ₱2,047.50 |

| Daily Operating Expenses | 34,000 / 30 | ₱1,133.33 |

| Daily Net Income | 2,047.50 - 1,133.33 | ₱914.17 |

4. Computation of Payback Period:

| Investment Cost | ₱450,000 |

| Daily Net Income | ₱914.17 |

| Payback Period | Investment Cost / Daily Net Income | 450,000 / 914.17 ≈ 492 days (16.4 months) |

5. Net Income Per Month:

| Net Income (from Income Statement) | ₱30,499 |

Analysis:

Based on the financial projections, the Big Brew Milk Tea Shop in Diliman is expected to be profitable.
The project generates a monthly net income of ₱30,499 and has a payback period of approximately 16.4
months. However, this analysis relies on estimated data and assumptions. It is vital to conduct thorough
market research
Chapter VI:

This chapter examines the potential social impact of establishing a Big Brew Milk Tea Shop at 147
Matatag St, Diliman, Quezon City. We assess the project's positive and negative contributions to the
surrounding community, local economy, and environment.

Establishing a Big Brew Milk Tea Shop at 147 Matatag St., Diliman, Quezon City, presents a promising
venture from a commercial standpoint. However, the project's success requires a deeper understanding
of its potential social impact. This chapter delves into the project's anticipated contributions and
concerns, ensuring a holistic assessment of its desirability for the surrounding community.

Positive Impacts:

The shop will inject life into the local economy by:

Job creation: Hiring three salespeople directly translates to income generation and poverty reduction
within the community.

Increased revenue: Purchasing supplies, equipment, and ingredients from local businesses stimulates
economic activity.

Tax contributions: Franchise fees and taxes paid to the government support public infrastructure and
services.

Foot traffic magnet: Attracting customers to the area can benefit nearby businesses through increased
sales and visibility.

Community Enlivener: The shop can become a vibrant hub for social interaction, fostering a sense of
community and belonging. It provides:

Gathering space: Students, employees, and residents can enjoy a friendly atmosphere for casual
interaction and relaxation.

Support for local events: Sponsoring or hosting community events further strengthens the shop's
connection with the neighborhood.

Convenience Catalyst: The shop offers the community:

Accessibility: Easy access to high-quality, affordable beverages and snacks.

Variety: Diverse and customizable menu options cater to different preferences and dietary needs.

Time-saving: Quick and efficient service fulfills the need for convenient refreshment during busy
schedules.

Charitable Opportunities: Partnering with local charities or donating a portion of profits to community
causes allows the shop to contribute to social well-being and build goodwill.

Negative Impacts:

Competition Concerns: Increased competition in the food and beverage sector may negatively impact
existing businesses, potentially leading to reduced sales and revenue. Open communication and
collaboration with neighboring establishments can promote a healthy competitive environment.

Waste Worries: The project will generate waste from packaging, food scraps, and disposable items.
Improper waste management can lead to environmental pollution and sanitation issues. Implementing
eco-friendly practices, such as compostable packaging and responsible waste disposal procedures, is
crucial.

Traffic Tangles: Increased foot traffic could contribute to congestion in the surrounding area, particularly
during peak hours. Encouraging alternative modes of transportation like walking, cycling, or delivery
options can help mitigate this challenge.

Noise Nuisances: Depending on operating hours and customer behavior, the shop might generate noise
that disrupts residents or workers in the vicinity. Establishing designated seating areas and
implementing time-based noise restrictions can address this concern.

Finding the Sweet Spot:

Mitigating negative impacts is essential to ensure the project's long-term viability and positive social
contribution. Here are some potential strategies:
Sustainable Practices: Implement eco-friendly packaging, energy-efficient equipment, and responsible
waste management plans to minimize environmental impact.

Community Engagement: Foster strong relationships with local businesses and organizations through
collaborative initiatives, open communication, and joint efforts to address common concerns.

Responsible Operation: Maintain reasonable operating hours, control noise levels, and promote
responsible customer behavior to ensure the well-being of the surrounding community.

Traffic Management: Explore options like designated parking areas, bike racks, or partnerships with
delivery platforms to manage traffic flow and minimize congestion.

Sweetening the Deal for Everyone:

By proactively addressing potential concerns and contributing positively to the environment and
community, the Big Brew Milk Tea Shop can transform from a mere business venture into a valuable
asset for Diliman. With a responsible and integrated approach, the project can create a win-win
situation for the shop, the local economy, and the community as a whole.