CHAPTER I

INTRODUCTION

Project Background and Description

Hygiene has been a big deal to most Filipinos. Taking a bath at least once a day has
been a norm. Filipinos have been putting a lot of effort into being presentable and smelling
fresh, which is why they use different fragrances or scented products to enhance their aura
aside from taking a bath. A good fragrance could be an identity of someone or could remind
us of a portion of our memory. Smell can evoke feelings and bring back memories we forget
(Panda, 2023).
There have been different varieties of fragrances. One of the most popular products
of fragrance is perfume. Egyptians were responsible for the origin of perfumes. They utilized
scents in everything from religious ceremonies to burial preparations and daily wear.
Perfume slowly spread throughout the globe and for a while, the scent was reserved mainly
for religious ceremonies. In Paris, commercial perfume production began in 1190 and from
there, it blossomed into a massive industry once more (Armaf, 2019).
The proposed product comes in four different scents. Apple and strawberry-scented
vodka perfumes are female scents that give consumers the distinct, fresh, fruity, and non-
toxic fragrance of green apple and sweet strawberry. Woody and aquatic-scented vodka
perfumes are male scents that give consumers cool vibes, whereas woody scents feel strong
and steady, and aquatic scents convey a fresh and free feeling. Aside from smelling good,
the product would benefit the consumer because vodka has many health benefits. Vodka as
a perfume ingredient is an odor-neutralizer, so it would keep consumers from having a bad
odor. Vodka is also an insect-repellant, so this product would effectively keep mosquitoes
away. Vodka could also help in skin irritation treatment such as itch or rashes. This cologne
would serve many purposes because of its ingredient benefits and would provide the
consumer with a good and refreshing fragrance (World Economic Forum, 2023).
Fragrances make people feel good and improve relationships. These are the new
frontiers being explored by the industry. The sense of smell is considered a right brain
activity, which rules emotions, memory, and creativity. Aromatherapy, smelling oils and
fragrances to cure physical and emotional problems, is being revived to help balance
hormonal and body energy. The theory behind aromatherapy states that using essential oils
helps boost the immune system when inhaled or applied topically. Smelling sweet, like an
apple, also affects one’s mood and can be used as a form of psychotherapy.
Alcohol is a primary ingredient in making perfume. Vodka has a lot of benefits. It has
been known for its odor-neutralizer capability, and it also helps with skin irritations such as
itches (Perfume, 2024). Apple, on the other hand, is one of the most cultivated and
consumed fruits in the world and is continuously being praised as a “miracle food” (Brown,
2019).
Fragrances were normally made using ointments and balms with essential oils mixed
to provide scent. But as time goes by, with the development of the procedure in making
fragrances. Perfumes and colognes were developed. The alcohol content and its ratio with
the essential oils’ combination are the basis of the fragrance that was considered cologne or
perfume.
Researchers, as Filipinos, experienced the Philippine climate themselves. The
country has a tropical climate, so fresh scents are good all year round. Vodka's essence
evokes a clean scent. A perfume made from it has a unique, refreshing scent that
consumers might find appealing in the hot Philippine climate. Note that this perfume will
not smell like pure vodka. It has a more complex and fresh scent profile. Vodka's neutrality
helps other perfume ingredients shine. It acts like a blank canvas, allowing the desired
scents to take center stage. The researchers would like to explore potential innovations or
improvements in perfume where the main ingredient is vodka through a project study to
determine whether it is profitable, marketable, and feasible. To address this, the marketing
aspect, technical aspect, financial aspect, socio-economic aspect, management aspect, and
environmental aspect shall be dealt with.

Project Objectives

The primary objective of this feasibility study is to determine the viability of

establishing a Vodka Perfume line in Calamba City. Specifically, the study aims to:

1. Market Aspect
1.1 To offer a unique selling point in the fragrance market.
1.2 To find out who the competitors are for the proposed product.
1.3 To determine the market demand and supply for the proposed business.
1.4 To identify the target market of the proposed business.
2. Technical Aspect
2.1 To manufacture a large enough quantity of the proposed product.
2.2 To describe what tools, materials, and equipment should be used in the business
operations, as well as the raw materials required for manufacturing.
3. Financial Aspect
3.1 To figure out how much the product will cost to make.
3.2 To assess the capital investment needed to start the proposed business.
3.3 To determine the amount of capital required at the outset of the firm and who
will provide that capital.
4. Management Aspect
4.1 To be aware of the workers' responsibilities, obligations, and qualifications.
4.2 To assess the operation's employment aspect.
5. Socio-Economic Aspect
5.1 To provide job opportunities for the community.
5.2 To promote economic growth in the community of Calamba City.
6. Environmental Aspect
6.1 To determine how the business may provide benefits without causing
environmental harm.

Importance of the Study

The study will give a valuable source of information and benefits for the following:
Perfume Business Owners. This study will be helpful to perfume business owners
who want to market the same product since they will discover that this variety of perfume
is feasible. It will also help them to think of new approaches to improving their product.
Consumer. The consumer will be able to try a new fruity scent and give them
information about the non-toxic fragrance. Also, consumers are an important part of this
study since they will provide honest feedback on whether the new product is feasible.
Community. This study will produce perfume products and will benefit the
community but also help Calamba City to give job opportunities to those people who are
qualified for the jobs that may result from this research.
Environment. Creating a vodka perfume with natural and organic ingredients
sourced from sustainable and ethically responsible suppliers reduces the environmental
impact of production.
Researchers. They will be able to determine the success of their product or service
based on whether it aligns with their planned objectives and outcomes.
Future Researcher. This research could serve as a basic source of information and
reference for the related research. Also, the researchers will gain new knowledge and help
them to gather valuable information that they need to further their research.

Method of Analysis

In this generation, the processes of marketing, technical, and management systems

for perfume businesses are growing. Hence, it is one of the major challenges among the
perfume businesses in Calamba City to market their business and increase profit. This
means that to be able to achieve the objectives posted in this feasibility study, the
researchers intend to employ a certain method of analysis, including the research design,
research locale, population of the study, research instrument, data gathering procedure,
and treatment of data.
The research design that will be used in this study is descriptive and quantitative
research. To understand customer interest and satisfaction, the student researchers used a
combination of surveys and interviews to collect data. They designed a survey with
multiple-choice questions that allowed them to statistically analyze the results. To ensure
they got a representative sample of the target audience, they used Slovin’s formula.
Moreover, this study will be conducted in Calamba City. This selection is justified by the
area's strategic location and anticipated growth, making it a promising investment
opportunity. Additionally, the establishment of the business in Calamba could aid in
conducting the feasibility study.
The researcher utilized survey questionnaires to be given through Google Forms as
the primary data-gathering tool. The survey questionnaire will be divided into two
categories: one is composed of questions about their demographic profile, and the other is
a question related to the feasibility of the product in the selected area. The data collected
were tallied carefully and asserted according to the research framework of this study.
Moreover, the proponents will use a simple random sampling method using Google Forms
to gather respondents. This approach will ensure that the study’s total population is fairly
and evenly distributed. Slovin’s formula was also used to calculate the sample size of the
needed respondents.
The formula to determine the number of respondents is:

Where:
n = sample size
N = total population
e = margin of error

Table 1 shows the summary of the analysis method, consisting of the study’s
research design and sampling technique. To have accurate data, Slovin’s formula was used
to determine the sample size of the respondents. The research instrument used was a
survey questionnaire with open-ended questions distributed through Google Forms. Finally,
to determine the distribution of the variables used and to answer the objectives of the
study, the researchers used frequency and mean.
Table 1
Methodological Matrix

CONTENT DESCRIPTION

Research Design Descriptive and Quantitative

Sampling Technique Simple Random Sampling

Number of Respondents Slovin’s Formula

Locale Calamba City

Data Sources Survey Questionnaire

Data Collection Technique Dissemination of the survey questionnaires

using Google forms
CHAPTER II

MARKET STUDY

A market study examines the level of demand in the market for a specific good or
service. It analyzes market activity about factors that may or may not impact property
value, such as location, demand, and competition. Demand is the primary factor in
determining a business's profitability. The market study should be given more importance
than the feasibility study, which mainly depends on demand.

Product Description

The proposed product name will be “Frush." This product name combines the words
"fresh" and "fruity" to reflect the distinct and invigorating fragrance of the vodka perfume.
It signifies a refreshing and non-toxic scent experience that captures the essence of
freshness and fruitiness. The proposed product comes in four different scents. Apple and
strawberry-scented vodka perfumes are female scents that will give consumers the distinct,
fresh, fruity, and non-toxic fragrance of green apple and sweet strawberry. Woody and
aquatic-scented vodka perfumes are male scents that will give consumers cool vibes, where
woody scents feel strong and steady, and aquatic scents give a fresh and free feeling. In this
aspect, it will explore the creative journey undertaken to develop the fragrance, from
conceptualization to formulation. Through a combination of vodka, essential oil scent, and
water, it will create a “frush” perfume.
Aside from smelling good, the product would be of great benefit to the consumer
because vodka, aside from being a distilled alcoholic beverage, has many health benefits.
The benefits that a consumer could get from vodka as a perfume ingredient: it is an odor-
neutralizer, so it would keep you from having a bad odor. Vodka is also an insect-repellant,
so this product would effectively keep mosquitoes away. Vodka could also help in skin
irritation treatment such as itch or rashes. This cologne would serve lots of purposes
because of its ingredient benefits and would provide the consumer with a good and
refreshing fragrance.
Youths and adults are potential major users of vodka perfume. As they explore their
sense of identity and style, they often seek out fragrances that reflect their personality.
Vodka perfume offers a unique and trendy option for this demographic, allowing them to
stand out and make a statement with their scent. Vodka perfume products are primarily
found in Paciano Rizal near Checkpoint Mall Calamba City, Laguna. Since Paciano Rizal is an
urban Barangay of Calamba City, the distribution of vodka perfume products mainly targets
residents of Paciano Rizal. Additionally, distribution can extend to other barangays near the
area of Paciano Rizal, Calamba City, like Barangay Canlubang, Barangay Parian, and
Barangay Real, to ensure that customers have a chance to purchase Vodka Perfume
products.

Demand-Supply Analysis

Demand
Businesses utilize market demand analysis to determine the level of customer
demand for a certain good or service. This study supports management in determining
whether they can profitably enter a market and generate enough income to grow their
company. Understanding this aspect enhances decision-making for businesses, particularly
in terms of projecting their production and profits.
To determine the primary target market, the appropriate price for the product, and
the profits that the business could earn, the researchers utilized survey questionnaires as an
instrument to gather the needed information for the study. The student researcher
gathered primary data from 400 respondents based on the computed sample size from
Slovin’s formula. The student researcher used Google Forms to gather data.

Figure 1
Gender

Figure 1 shows that most of the respondents were female, with a percentage of
51.7% in a total of 207 respondents, and the remaining 48.3% in a total of 193 respondents
belonged to the male.
Figure 2
Residency of the respondents

Figure 2 shows the distribution of the respondents according to which area or

location they reside in. Most of the respondents were from Barangay Bucal, which has 88
out of 400 respondents (22%), 10.5% Barangay Real, 9% Barangay Paciano Rizal, 8.8%
Barangay Halang, 6.5% Barangay Canlubang, 5.3% Calamba Bayan, 5% Parian, 4.5% Barangay
Pansol, 3.5% Mayapa, 3% La Mesa, 2% Bagong Kalsada, 2% Barangay Lawa, 1.8% Villa De
Calamba, 1.8% Banlic, 1.5% Barangay Palingon, 1.5% Barangay Sirang Lupa, 1.5% Barangay
Looc, 1% Barangay Tres, 1% Barangay uno, 1% Barangay Banadero, 0.8% Barangay Lecheria,
0.8% Villa Remedios, 0.8% Barangay Mamatid, 0.8% Barangay Milagrosa, 0.5% Barangay
Barandal, 0.5% Masili, while the remaining 3% or 10 respondents were from Barangay Del
Pilar, Barangay Palo Alto, Barangay Saimsim, Barangay Sampiruhan, Barangay Tibag,
Barangay Cinco, Barangay lingga, Barangay Makiling, Barangay Punta, and Barangay Bunggo.

Figure 3
Age

Figure 3 shows that 50.7% or 203 of the respondents were 15 to 25 years old, 27.7%
or 111 of the respondents were 26–35 years old, 10.8% or 43 of the respondents were 36–
45 years old, and the remaining 10.8% or 43 of the respondents were 46 years old and
above.

Figure 4
Occupational
Figure 4 shows the occupation of the respondent. It shows that 44.5% of the
respondents were employed, 35.3% were students, 11.8% were self-employed, and 8.5%
were unemployed.

Figure 5
Civil Status

Figure 5 shows the civil status of the respondents. It reveals that 71.3%, or 285
respondents, are single, while the remaining 28.7%, or 115 respondents, are married.

Figure 6
Number of respondents who wear perfume

Figure 6 shows the number of respondents who wear perfume. Ninety-nine-point

five percent (99.5%) of the respondents were wearing perfume, while 0.5%, or 2
respondents, did not wear perfume.

Figure 7
The frequency of how often respondents wear perfume

Figure 7 shows the frequency of how often the respondents wear perfume. Seventy-
four percent (74%) wear perfume daily; 20.5% wear perfume occasionally; and 5.5% of
respondents said they rarely wear perfume.

Figure 8
Frequency of how often respondents buy perfume

Figure 8 shows the frequency of the respondents buying perfume. It shows that
40.8% of the respondents bought perfume once in three months, 30.8% bought perfume
once in two months, and 28.5% bought perfume once a month.

Figure 9
Distribution of the respondents based on the perfume size they usually buy

Figure 9 shows the distribution of the respondents based on the perfume size they
usually buy. Most of the respondents, or 74.5%, said they usually buy 100 ml of perfume,
while on the other side, 25.5% of the respondents said they usually buy 50 ml of perfume.

Figure 10
Frequency of the perfume longevity importance to the respondent
Figure 10 shows how important the longevity of the perfume is to the respondents.
Most of the respondents, or 83%, answered that longevity was very important, while 16.5%
answered that it was somewhat important.

Figure 11
Number of respondents who are willing to visit our store at Paciano Rizal, Calamba

Figure 11 shows the willingness of the respondents to visit the store at Paciano Rizal,
Calamba. Most of the respondents, or 95%, answered yes, while the other 5% answered no.

Figure 12
Distribution of the respondents based on the factors in choosing perfume
Figure 12 shows the factors that influence the decisions of the respondents when
choosing a perfume. Most respondents, 84%, answered fragrance, which influenced their
decision to buy perfume. 12. 5% of respondents answered price, 2% answered ingredients,
and 1.5% answered packaging.

Figure 13
Distribution of respondents who have heard of vodka perfume before

Figure 13 shows the number of respondents who have heard of vodka perfume
before. 69.5% of respondents have not heard of vodka perfume before, while 30.5% of them
are already familiar with vodka perfume.
Figure 14
Distribution of respondents who would like an alcohol perfume

Figure 14 shows the distribution of respondents who would like alcohol perfume.
Eighty-nine percent (89%) of the respondents would like alcohol perfume, while 11% of
them answered no, which means they would not like alcohol perfume.

Figure 15
Distribution of respondents based on their preference to buy vodka perfume size

Figure 15 shows the distribution of respondents based on their preferred size for
vodka perfume. It shows that 56.3% of respondents prefer to buy 100 ml, and 43.8% of
respondents prefer to buy 50 ml.
Figure 16
Distribution of respondents based on their willingness to pay for a 50ml bottle of vodka perfume

Figure 16 shows the distribution of respondents based on how much they are willing
to pay for a 50-ml bottle of vodka perfume. It shows that 40.3% of the respondents are
willing to pay 170 pesos; 30.7% are willing to pay 200 pesos; and 29% are willing to pay 230
pesos for a 50-ml bottle of vodka perfume.

Figure 17
Distribution of respondents based on their willingness to pay for a 100ml bottle of vodka perfume
Figure 17 shows the distribution of respondents based on how much they are willing
to pay for a 100-ml bottle of vodka perfume. 39.5% of the respondents are willing to pay
250 pesos; 32.8% are willing to pay 300 pesos; and 27.7% are willing to pay 350 pesos for a
100-ml bottle of vodka perfume.

Figure 18
Distribution of respondents in terms of refillable perfume

Figure 18 shows how the respondents would like the refillable perfume. Most of the
respondents, or 97.8%, answered yes that they would like refillable perfume, and 2.2%
answered no that they would not like it.
Figure 19
Matter of packaging for the respondents

Figure 19 shows the matter of packaging for the respondents. Most of the
respondents, or 78%, answered yes, while the others answered no.

Figure 20
Percentage of the respondents in terms of how they would like to purchase our product

Figure 20 shows the percentage of respondents in terms of how they would like to
purchase the product. It shows that 57% of the respondents are willing to go to physical
stores, while the remaining 43% would prefer to go online.
Figure 21
Distribution of respondents who would be willing to buy vodka perfume

Figure 21 shows the percentage of respondents who will buy vodka perfume. It
reveals that 97.8% of the respondents are willing to buy perfume. However, 2.2% of the
respondents are not willing to buy perfume.

Demand Analysis
The proponents estimated the demand for the proposed product, frush perfume, in
the city of Calamba using the data they had gathered. From the results of the survey tool,
the proponents were able to forecast demand for the next five years. According to Calamba,
Philippine Metro Area Population latest census figures in 2024 denote a growth rate of
2.43%. The proponents will use the growth rate of 2.43% to determine the expected
projected population from 2025 to 2029. The population of 2024, which is 581,399, will be
multiplied by a growth rate of 2.43%. The result will be added to the population for the year
2024, which will be the population for the year 2025. The formula below was used to
calculate the projected demand.

Projected demand = Projected population x percentage of customers who prefer to buy

50ml/100ml x percentage of willingness to purchase frush perfume
The table below shows the projected demand for Frush perfume in the next five
years. The projection on the increase in demand as well as the population in the years to
come was based on the mentioned 2.43% growth rate of population in Calamba City.
Table 2
Projected Demand for 50ml

YEAR POPULATION PREFERED TO WILLINGNESS TO PROJECTED

BUY 50ML PURCHASE DEMAND

2025 595,527 43.8% 97.8% 255,102

2026 609,998 43.8% 97.8% 261,301

2027 624,821 43.8% 97.8% 267,651

2028 640,004 43.8% 97.8% 274,155

2029 655,556 43.8% 97.8% 280,817

Table 3
Projected Demand for 100ml

YEAR POPULATION PREFERED TO WILLINGNESS TO PROJECTED

BUY 100ML PURCHASE DEMAND

2025 595,527 56.3% 97.8% 327,906

2026 609,998 56.3% 97.8% 335,873

2027 624,821 56.3% 97.8% 344,035

2028 640,004 56.3% 97.8% 352,395

2029 655,556 56.3% 97.8% 360,958

Table 4 shows the historical population of Calamba City, Laguna, from 2024 to 2020.

Table 4
Historical Population Data of Calamba City, Laguna

YEAR POPULATION

2024 581,399

2023 567,603

2022 553,519

2021 539,157

2020 524,577

Supply Analysis
There are no direct competitors that have the same offerings as the proposed
business. However, four indirect competitors are also in the perfume industry which are
Prescripto, Aficionado, Ian Darcy, and Zen Zest. The student researcher interviewed the staff
to determine how many customers purchase perfume in a day and how many days they
operate in a year. The researcher gathered this data in May 2024. To know the total number
of customers who purchase perfume in a year, the student researcher used the formula
below.

Total number of bottles sold per year = number of customers who purchase perfume ×
operation days
Table 5
Total number of customers who purchase perfume in a year by Prescripto

COMPETITORS UNIT OF NUMBER OF OPERATION TOTAL NUMBER OF

MEASUREMEN CUSTOMERS WHO DAYS CUSTOMERS WHO
T PURCHASE PURCHASE PERFUME
PERFUME IN A DAY IN A YEAR

Prescripto 50ml 100 363 36,300

Table 6
Total number of customers who purchase perfume in a year by Aficionado

COMPETITORS UNIT OF NUMBER OF OPERATION TOTAL NUMBER OF

MEASUREMEN CUSTOMERS WHO DAYS CUSTOMERS WHO
T PURCHASE PURCHASE PERFUME
PERFUME IN A DAY IN A YEAR

Aficionado 50ml 20 363 7,260

100ml 60 363 21,780

TOTAL 80 29,040

Table 7
Total number of customers who purchase perfume in a year by Ian Darcy

COMPETITORS UNIT OF NUMBER OF OPERATION TOTAL NUMBER OF

MEASUREMEN CUSTOMERS WHO DAYS CUSTOMERS WHO
T PURCHASE PURCHASE PERFUME
PERFUME IN A DAY IN A YEAR

Ian Darcy 100ml 27 363 9,801

Table 8
Total number of customers who purchase perfume in a year by Zen Zest

COMPETITORS UNIT OF NUMBER OF OPERATION TOTAL NUMBER OF

MEASUREMEN CUSTOMERS WHO DAYS CUSTOMERS WHO
T PURCHASE PURCHASE PERFUME
PERFUME IN A DAY IN A YEAR

Zen Zest 50ml 7 363 2,541

100ml 3 363 1,089

TOTAL 10 3,630

The table below shows the summary of the total number of customers who
purchase perfume in a year by the competitors. It reveals that the total supply projected for
2024 is 78,771.

Table 9
Summary of the total number of customers who purchase perfume in a year by the competitors

COMPETITORS NUMBER OF CUSTOMERS OPERATION TOTAL NUMBER OF

WHO PURCHASE PERFUME DAYS CUSTOMERS WHO
IN A DAY PURCHASE PERFUME IN A
YEAR

Prescripto 100 363 36,300

Aficionado 80 363 29,040

Ian Darcy 27 363 9,801

Zen Zest 10 363 3,630

TOTAL 78,771
The table below shows the projected supply of competitors for the coming years.
The student researcher showed the growth of the projected supply of competitors for
2025–2029, a total of five years. The increase in average projected supply was based on
multiplying the 11.40% business growth rate of perfume industry by the total number of
who purchase perfume in a year by the competitors.

Table 10
Projected Supply

YEAR PROJECTED SUPPLY

2025 87,751

2026 97,755

2027 108,899

2028 121,313

2029 135,143

Summary of Demand and Supply

The projected supply of the competitors was not enough to exceed the projected
demand of the target market. Supply and demand are the driving forces behind economic
activity. Within the economy, these two factors determine the price of consumer products
and services. The market influences demand and supply. They are influenced by consumer
tastes and preferences, price fluctuations, trends, population, and alternative and
complementary items. The target market’s predicted demand exceeds competitors’
projected supply, implying that present market competitors are unable to achieve
customers’ total satisfaction by supplying products and services that are aligned with their
needs, wants, and preferences.
The table below shows the combined summary of protected supply and demand in
five years, from 2025 to 2029.

Table 11
Summary of Projected Demand and Supply

YEAR PROJECTED DEMAND PROJECTED DEMAND PROJECTED SUPPLY

FOR 50ML FOR 100ML

2025 255,102 327,906 87,751

2026 261,301 335,873 97,755

2027 267,651 344,035 108,899

2028 274,155 352,395 121,313

2029 280,817 360,958 135,143

Unsatisfied Demand

Determining the unsatisfied demand of the target market is very important since
this helps the proponents know if the market is saturated and if there is an opportunity for
the proposed business to penetrate the market. It will also help them to know if there are
unsettled customers that they can acquire. The formula for calculating the unsatisfied
demand is shown below.

Unsatisfied Demand = Projected Demand - Projected Supply

Table 6 shows a significant gap in supply and demand, making the proposed
business feasible since the number of unsatisfied demands was a big gap, and it shows that
it will continue to increase for the next 5 years. It is an excellent opportunity for the
proposed business to supply the unfulfilled demand of the customers and get a bigger
market share than its competitors.

Table 12
Unsatisfied Demand for 50ml

YEAR PROJECTED DEMAND PROJECTED SUPPLY UNSATISFIED

FOR 50ML DEMAND

2025 255,102 87,751 167,351

2026 261,301 97,755 163,546

2027 267,651 108,899 158,752

2028 274,155 121,313 153,442

2029 280,817 135,143 145,674

Table 13
Unsatisfied Demand for 100ml

YEAR PROJECTED DEMAND PROJECTED SUPPLY UNSATISFIED

FOR 100ML DEMAND

2025 327,906 87,751 240,155

2026 335,873 97,755 238,118

2027 344,035 108,899 235,136

2028 352,395 121,313 231,082

2029 360,958 135,143 225,815

Projected Production Capacity

The scale of production in terms of the business’s capacity to produce the product is
discussed in this section. Since the proposed product is new and will be presented in the
market as a start-up business, the estimated number of products to be produced in a day
will be 44 bottles of perfume. To further demonstrate the company's expected annual
production capacity, the working days for the entire year were assessed. The business's
scheduled production days will be Mondays, Wednesdays, Thursdays, Fridays, and
Saturdays, for a total of five days per week and two shifts per day. To calculate the yearly
production for the first year, the possible production days must be counted for a full year.
To calculate yearly production for the first year, possible production days must be counted
for one year. In total, this would amount to 264 production days in a year, which is then
multiplied by the calculated daily product count of 45. The production capacity of the
proposed business is 11,880. To achieve the projected increase in production, the
proponents agreed to add 500 products per year in production volume. The table below
shows the annual production capacity for the product Frush from 2025 to 2029.

Table 14
Projected Production Capacity

YEAR PRODUCTION VOLUME (UNITS)

2025 9,800

2026 10,300

2027 10,800

2028 11,300

2029 11,800
Market Share

One of the most important factors in determining the size of a business would be
the market share or percentage of the company's sales about the entire industry to which it
belongs. Collecting this data allows businesses to determine the company's overall
performance relative to its competitors.
The table below shows that the proposed business's market share grows by 2% over
the next five years, from 2025 to 2029. The increase in target market share is the result of
increased demand for the proposed business. The proposed business's market share is
calculated using the formula shown below.

Market Share = Production Volume / Projected Demand x 100

Table 15
Five-year Projection of Frush’s Market Share for 50ml

YEAR PRODUCTION VOLUME PROJECTED DEMAND MARKET SHARE

2025 9,800 255,102 3.84%

2026 10,300 261,301 3.94%

2027 10,800 267,651 4.04%

2028 11,300 274,155 4.12%

2029 11,800 280,817 4.20%

Table 16
Five-year Projection of Frush’s Market Share for 100ml

YEAR PRODUCTION VOLUME PROJECTED DEMAND MARKET SHARE

2025 9,800 327,906 2.99%

2026 10,300 335,873 3.07%

2027 10,800 344,035 3.14%

2028 11,300 352,395 3.21%

2029 11,800 360,958 3.27%

Marketing Program

The researchers segmented its target market demographically and geographically.

They identified the market through their age and occupation. The composition of their
target market is composed of individuals who are youths from 15 to 24 years old and adults
from 25 to 60 years old, as determined by the survey questionnaire.
Marketing programs serve as the body structure of the marketing plan. It focuses on
some key decision areas like target market, product, price, place, promotion, people,
process, and physical evidence. This is an important factor to be considered for a successful
business operation. The proponents will use marketing strategies, such as online and
traditional marketing, to inform customers about the proposed business.
Marketing Plan

A marketing plan can help the proposed business improve and develop products and
services that will be able to meet and satisfy customers' demands. Vodka perfume wants to
reach its goals of being well-known, delivering customer satisfaction, being recognized by
everyone, and competing with the other existing perfumery stores.
The researchers created a marketing plan that outlined the business and marketing
activities that "Frush" would need to operate effectively. In addition, an analysis of general
business and competitive conditions and the 7Ps market mix is presented.

General Business Condition

The perfume industry overall remains resilient, with steady demand driven by
changing consumer preferences, trends, and innovations in fragrance development. Social
media influencers and celebrities play a significant role in shaping consumer preferences
and driving sales in the perfume industry. Brands often collaborate with influencers to
promote their fragrances and reach wider audiences. Furthermore, the rise of digitalization
has transformed how perfumes are marketed and sold, with social media and e-commerce
platforms playing a significant role in reaching and engaging consumers. Leveraging digital
marketing strategies and online sales channels will be essential for promoting the product
and reaching a wider audience.
In the perfume industry, one of the trends is the increasing popularity of natural and
sustainable fragrances. More consumers are looking for perfumes made from
environmentally friendly and ethically sourced ingredients. Another trend is the rise of
personalized fragrances, with people seeking scents that reflect their unique tastes and
personalities.
Competitive Conditions

The market competition In Paciano Rizal, Calamba is saturated due to the high
number of competitors that produce perfume, some of the indirect competitors of Frush
perfume are Precripto, Aficionado, Zen Zest, and Ian Darcy which is well-known in Paciano
Rizal, Calamba City. Their products offer high quality and can satisfy their consumer's wants
and needs in a perfume without much innovation. However, the competitive advantage that
the researchers saw from their competitors is the pricing strategy and services that their
competitors used. Most of the competitors of Frush perfume provide high-quality products
in exchange for high costs. Frush perfume products offer high quality but at a budget-
friendly price and lots of benefits for the customers who want to purchase the Frush
perfume.
Unlike the common perfume, the proposed business is unique when it comes to
production because Frush perfume is the process where the proposed products use vodka
to form into perfume and bring new innovative features and benefits to the market.
Research took a close look at the strategies of competitors in the perfume industry,
such as Precripto, Aficionado, Zen Zest, and Ian Darcy. These brands have established
themselves in the market by offering a variety of fragrances targeting different customer
preferences and price points. They often use celebrity endorsements, influencer
partnerships, and extensive advertising campaigns to promote their products and attract
customers. Additionally, they may have a strong presence in retail stores, both offline and
online, to make their perfumes easily accessible to consumers. By studying their strategies,
research can identify opportunities to differentiate vodka perfume and carve out a unique
position in the market, potentially offering a distinct scent profile or a fruity appeal that sets
them apart from the competition.
Sales and Distribution Plan

Frush Perfume outlined a plan for sales and distribution to ensure its success. The
sales targets will focus on gradually increasing sales over time, starting with building brand
awareness and growing our customer base. The sales team is dedicated to managing
relationships with clients and tracking our progress. For marketing channels, Frush perfume
uses digital ads, social media, print advertisements, personal selling, and direct selling to
promote the perfume's unique qualities and attract customers.
Frush perfume will be offered directly to retailers and customers. They can purchase
Frush perfume and place an order online or in a physical store. After the transaction has
been completed, customers can choose to pay for their order through cash, cash on
delivery, or an e-wallet.

Advertising and Sales Promotions

Online marketing is quite successful in the present day because people rely on their
phones, computers, and the internet. Nowadays, as a lot of people use different online
platforms, setting up social media profiles on sites like Facebook and Instagram may help in
brand promotion and inspire others to discover more about the business.
Frush intends to combine traditional and digital marketing strategies into an
integrated promotional approach. To promote brand awareness, Frush will actively promote
and advertise through print advertisements like tarpaulins and brochures. The business will
also utilize its Facebook page, Instagram, and TikTok.
The types of advertisement the business will be using are the following:
1. Digital Marketing (Online Advertisement)
Digital marketing, also sometimes referred to as online marketing, is essentially
any marketing effort that takes place on the Internet. Frush will have digital
advertisements on three social media platforms which are Facebook, Instagram, and
TikTok.

Figure 22
Frush Facebook Page
Figure 23
Frush Instagram Account

Figure 24
Frush TikTok Account
2. Print Advertisements
Print advertising is a marketing strategy that uses physical publications to reach a
target audience. Frush will have first a brochure that will provide brief information
about Frush and its products. Second is a tarpaulin stand that has the scent list and its
benefits, this will be displayed inside and outside of the Frush physical store. Lastly is the
Frush proposed logo.

Figure 25
Frush Brochure
Figure 26
Frush Tarpaulin Stand
Figure 27
Frush Logo

The logo of Frush Perfume features a bottle prominently in the center, surrounded
by leaves and flowers. This design symbolizes the brand’s commitment to natural
ingredients and the essence of freshness. The choice of colors, blue and green, further
emphasizes this theme. Blue evokes a sense of freshness and purity, reflecting the refreshing
and clean qualities of the perfume. Green represents nature and sustainability, highlighting
the brand’s dedication to eco-friendly practices. Lastly, the business name appears
underneath the bottle, ensuring a clear and recognizable brand identity.

3. Direct Marketing
● Point of Sales displays and Signs inside and outside the store
Product Formulation

The table below shows the exact amount that is needed per bottle of 50 ml and 100
ml and it shows the total cost per bottle. It explores the sensory elements associated with
vodka, such as its clean aroma, subtle sweetness, and cooling sensation. Choose ingredients
that evoke the clean, crisp, and refreshing qualities of vodka, such as citrus notes, fruity,
and aquatic accords. Provide transparent and accurate labeling information to inform
consumers about the ingredients and usage instructions. Creating a vodka perfume involves
a blend of creativity, craftsmanship, and technical expertise to capture the essence of vodka
and translate it into a captivating olfactory experience. From conceptualization to launch,
every step of the product formulation process is guided by a commitment to quality,
innovation, and consumer satisfaction.

Table 17
Product Formulation of Apple Scent (50 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.80

(apple scent)

Water 1 ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.57

Table 18
Product Formulation of Strawberry Scent (50 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 27 ₱22.64

Glycerin 1 Ml .50 ₱0.75

Essential oil 1 Ml 1.50 ₱4.65

(strawberry scent)

Water 1 Ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.42

Table 19
Product Formulation of Woody Scent (50 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 27 ₱22.64

Glycerin 1 Ml .50 ₱0.75

Essential oil 1 Ml 1.50 ₱5.01

(woody scent)

Water 1 Ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.78

Table 20
Product Formulation of Aquatic Scent (50 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 27 ₱22.64

Glycerin 1 Ml .50 ₱0.75

Essential oil 1 Ml 1.50 ₱4.83

(aquatic scent)

Water 1 Ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.60

Table 21
Product Formulation of Apple Scent (100 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 54 ₱45.28

Glycerin 1 Ml 1.50 ₱2.24

Essential oil 1 Ml 2.50 ₱7.75

(apple scent)

Water 1 Ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.03

Table 22
Product Formulation of Strawberry Scent (100 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 54 ₱45.28

Glycerin 1 Ml 1.50 ₱2.24

Essential oil 1 Ml 2.50 ₱8.00

(strawberry scent)

Water 1 Ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.28

Table 23
Product Formulation of Woody Scent (100 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 54 ₱45.28

Glycerin 1 Ml 1.50 ₱2.24

Essential oil 1 Ml 2.50 ₱8.35

(woody scent)

Water 1 Ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.63

Table 24
Product Formulation of Aquatic Scent (100 ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 Ml 54 ₱45.28

Glycerin 1 Ml 1.50 ₱2.24

Essential oil 1 Ml 2.50 ₱8.05

(aquatic scent)

Water 1 Ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.33

Packaging

Environmentally conscious consumers are driving demand for sustainable packaging

solutions, and refillable glass bottles can significantly reduce waste compared to traditional
disposable containers. Vodka perfume will be sold in refillable perfume glass bottles offered
in two sizes, 50ml and 100ml. The bottles will be housed within a carton box, made from
recycled cardboard. This design caters to sustainability by allowing customers to refill the
bottle, reducing waste.
Table 25
Packaging

ITEMS TIME FRAME QUANTITY PRICE TOTAL COST

Glass Bottle 2025 5,940 ₱15 ₱89,100

50ml

Glass Bottle 2025 5,940 ₱20 ₱118,800

100ml

Box (packaging) 2025 11,880 ₱4 ₱47,520

TOTAL ₱255,420

Figure 28
Frush 50ml Glass Bottle
Figure 29
Frush 100ml Glass Bottle
Figure 30
Frush carton Box
Budget Summary

The budget that will be allocated for advertising. The marketing materials include
printed materials like tarpaulins and brochures, as well as post-advertising on Facebook,
TikTok, and Instagram. The budget summary is shown below.

Table 26
Budget Summary

MARKETING TIME FRAME QUANTITY PRICE TOTAL COST

MATERIALS

Tarpaulin Annually 2 ₱220 ₱440

Brochure Annually 100 ₱20 ₱2000

Facebook promotion Annually 1 ₱10,000 ₱10,000

TikTok promotion Annually 1 ₱10,000 ₱10,000

Instagram promotion Annually 1 ₱10,000 ₱10,000

TOTAL ₱32,440
Marketing Plan Summary (7Ps)

Table 27 shows the present summary discussion for the marketing mix of Frush:

Table 27
Marketing Mix of Frush

MARKETING MIX INFORMATION

Product The proposed product comes in four different scents. Apple and
strawberry-scented vodka perfumes are female scents that will
give consumers the distinct, fresh, fruity, and non-toxic fragrance
of green apple and sweet strawberry. Woody and aquatic-
scented vodka perfumes are male scents that will give consumers
cool vibes, where woody scents feel strong and steady, and
aquatic scents give a fresh and free feeling. In this aspect, it will
explore the creative journey undertaken to develop the
fragrance, from conceptualization to formulation. Through a
combination of vodka, essential oil scent, and water, it will create
a “frush” perfume.

Promotion Frush intends to combine traditional and digital marketing

strategies into an integrated promotional approach. To promote
brand awareness, Frush will actively promote and advertise
through print advertisements like tarpaulins and brochures. The
business will also utilize its Facebook page, Instagram, and
TikTok.
The types of advertisement the business will be using are the
following:
 Digital Marketing (Online Advertisement)
 Print Advertisement
 Personal Selling

Price The business aims to set their price competitively to the

competitors but fairly and reasonably to the consumers. The
Vodka Perfume’s price will depend on the size of the bottle or
how much ml consumers will buy. The proponents will use mark-
up pricing as their pricing strategy.
Place Frush’s physical store will be strategically located at Paciano
Rizal, Calamba City Laguna near the national road, across from
the transportation terminal. This area is surrounded by two
schools, food canteens, salons, dorm buildings, residential
subdivisions, and two schools which is a place where a lot of
potential customers pass by every day.

People The business will have a total of eleven (11) competent,

knowledgeable, and excellent employees who will provide
exceptional service to the business and the customers. It includes
one general manager, two chemists, one accountant, one
cashier, and six production workers.

Process Frush prioritizes a smooth and hassle-free customer experience.

The online store offers easy navigation and secure transactions

Physical Evidence Vodka perfume is sold in glass bottles or reusable containers as a

cost-effective substitute to single-use plastic bottles. In-store
displays are visually appealing and informative. The business’
social media and online stores are well-designed and reflect the
brand's image. Frush products will be displayed at the retail store
at Paciano Rizal, Calamba City Laguna.
52

CHAPTER III

TECHNICAL STUDY

This chapter will analyze and determine the efficacy of the proposed product by
examining the details of the manufacturing process, such as the materials to be used, the
location, labor, and waste disposal system. This chapter describes the progression of the
proposed product from concept to reality. This study analyzes the company's production
processes and operations. It also describes the machinery and equipment utilized in
production, as well as other aspects of transforming raw materials into finished products
suitable for trade. Plant layout, size, and production schedule are all presented to identify
the business activity.

The Good/Service

The proposed business will be carefully planned to create a high-quality product of

Frush perfume. Starting by gathering all the necessary ingredients, such as alcohol, water,
and fragrance oils. Then, it will mix these ingredients together in precise amounts to achieve
the desired scent. Next, the measured amounts of vodka and apple, strawberry, woody, and
aquatic essential oils will be poured into a large stainless-steel pot with a lid. In the pot, it
will be placed in a cool, dry area where it can rest. This is to allow the molecules of the
substances to combine so that the aroma of the essential oil will settle in the mixture. The
boiling will take up to forty-eight hours. After that, it will filter the perfume to ensure it is
clean and pure. Finally, it will bottle the perfume and package it for sale. As a finished good,
53

vodka perfume offers consumers a unique fragrance option for everyday use or special
occasions.
Legal Feasibility

To operate a business, you must follow the required legal documents that the
government imposes on business owners. Without proper supervision and neglect by the
authorities, severe punishment can be expected. To be able to operate legally and prevent
such penalties, the proposed business will prepare the following business permits and
licenses before running the business, such as the mayor's permit, barangay business
clearance, BIR registration, SEC registration, and FDA registration. The table below shows
the cost of the necessary permits and legal licenses needed to operate the proposed
business.

Table 28
Business License and Permit

BUSINESS LICENSE AND PERMIT AMOUNT

Mayor's Permit ₱5,000

Barangay Business Clearance ₱1,000

BIR Registration ₱6,500

SEC Registration ₱5,000

FDA ₱6,060

TOTAL ₱23,560
54

Manufacturing Process

The manufacturing process is the production of products for use or sale using labor
and machines, tools, chemical and biological processing, or formulation. The step in
producing perfume includes unloading the raw materials to the processing plant and the
packaging of the final product for consumers.

Step 1. Preparation of Raw Materials (5 minutes). This is the process of preparing the
materials that are needed for production. The raw materials, tools, and equipment should
be prepared accordingly depending on the measurement and formula of the ingredients.
This process would take up to five minutes. Using the measuring pitcher, the amount
needed of each ingredient will be measured and put in each medium-sized stainless mixing
bowl before transferring it to the mixing machine.

Step 2. Blending and boiling (4-5 hours). The measured vodka and essential oil (apple,
strawberry, woody, and aquatic) will be poured in a large stainless pot with a lid. In the pot,
it will be placed in a cool and dry area to rest. This is to allow the molecules of the
substances to combine so that the aroma of the essential oil will settle in the mixture. The
boiling will take up to five hours.

Step 3. Resting the Mixture (24 hours). The mixture will rest at least twenty-four hours in a
room temperature or cold area.
55

Step 4. Dilution (10 minutes). After the boiling process, the mixture will be transferred into
a mixing machine, here the glycerin and distilled water will be added and mixed. The mixing
process will take about ten minutes.

Step 5. Filling and Capping (3 minutes). After the resting period of the perfume, the mixture
will be transferred to the bottle filling and capping machine. It will be used to fill the 50 mL
and 100 ml spray bottles with the produced perfume. This process will take up to 10
minutes.

Step 6. Labeling (2 minutes). Once bottled and capped, using a labeling machine, the
product will be labeled and sealed. The front label shall have the name of the product which
is “Frush”. The details and ingredients will also be provided on the label. The location of the
business is in Paciano Rizal, Calamba City.

Step 7. Quality Checking (5 minutes). After labeling the product, the Production Manager
will check each bottle to see if there are any defects after the manufacturing process.

Step 8. Packaging and storing (5 minutes). After the inspection, the labeled product will be
put in a box which will contain 24 bottles per box. The purpose of product packaging is to
protect the product from damage. Product packaging not only protects the product during
transit from the manufacturer to the retailers and online consumers, but it also prevents
damage while the product sits on retail shelves. After labeling and boxing, the finished
product will be stored in the storage room to keep the product safe.
56

Figure 31
Manufacturing Process of Frush Perfume
57

Production Size (Capacity) and Schedule

The production size of the proposed business is shown below. The following
equation is used to determine the capacity of Frush perfume annually.

Average observed time = 20 minutes per unit (After considering the worker and machinery
capability)
Normal time = OT = 20 minutes
Standard time = Normal time + Performance allowance = 20 minutes + 5% of 20 minutes =
20 minutes + 1 minute = 21 minutes (Apply a 5% performance allowance for minor
interruption and delay)

Projected output per shift = (8 Hours x 60 minutes) / 21 minutes per unit

= 22.85 or 22 units
Projected output per day = 22.85 units or 22 units per shift x 2 shifts
= 45.7 units or 45 units per day
Projected output per month = 45 units x 22 days
= 990 units
Projected output per year = 990 units x 12 months
= 11,880 units

Schedule
58

The proposed business will operate for six days total per week. The store will be
open for sales from Monday to Saturday for a total of 293 days. The production schedule
will run 264 days, with Mondays, Wednesdays, Thursdays, Fridays, and Saturdays dedicated
to production. The opening of the store starts at 9 a.m. and ends at 7 p.m. but the operating
area will start at 7 a.m. for early production and ends at 11 p.m. The production will have 2
shifts per day. Its operating hours will consist of 8 hours per shift, including 1 hour of break.
Starting at 7 a.m., ending at 3 p.m. in the first shift, starting at 3 pm, and ending at 11 pm in
the second shift with a total of 7 production hours. In terms of holidays, the business will
consider taking both legal and special non-working holidays. The operating schedule will not
include legal or special non-working holidays.

Table 29
Legal Holidays

DAY HOLIDAY

January 1 New Year's Day

March 31 Eidul-Fitar

April 9 The Day of Valor

April 17 Maundy Thursday

April 18 Good Friday

May 1 Labor Day

June 7 Eid al-Adha (Feast of the Sacrifice)

June 12 Independence Day

August 25 National Heroes Day

November 30 Bonifacio Day

59

December 25 Christmas Day

December 30 Rizal Day

Table 30
Special Non-working Holidays

DAY HOLIDAY

January 29 Lunar New Year's Day

February 25 People Power Anniversary

April 19 Black Saturday

August 21 Ninoy Aquino Day

November 1 All Saints' Day

December 8 Feast of the Immaculate Conception

December 24 Christmas Eve

December 31 New Year's Eve

Table 31
Number of Working Days in a Year (Store)

NUMBER OF DAYS IN A YEAR: 365

Less:

Sundays in a year 52

Days of Legal Holidays 12

Days of Special Non-working 8

Holidays
60

72

Total number of Working Days in a year: 293

Machinery and Equipment

The researchers ensured that the machines and equipment were of high quality.
Most of the equipment was sourced from online platforms. The estimated costs of
machinery and equipment are given in the table below.

Table 32
Machinery and Equipment of Production

ITEMS QUANTITY PRICE TOTAL COST

Mixing machine 1 ₱145,000 ₱145,000

Filling machine 1 ₱17,609 ₱17,609

Capping machine 1 ₱57,190 ₱57,190

Labeling machine 1 ₱1,569 ₱1,569

Label sticker 2 ₱518 ₱1,036

Labeling pitcher 2 ₱95 ₱190

2-layer stainless table 3 ₱3,200 ₱9,600

Aircon 1 ₱24,998 ₱24,998

Stove 1 ₱15,795 ₱15,795

TOTAL ₱272,987
61

Table 33
Tools of Production

ITEMS QUANTITY PRICE TOTAL COST

Stainless mixing bowl 1L 1 ₱45 ₱45

Stainless mixing bowl 5L 1 ₱95 ₱95

Stainless mixing bowl 10L 1 ₱129 ₱129

Stainless pot with lid 15L 2 ₱155 ₱310

TOTAL ₱579

Table 34
Office Equipment

ITEMS QUANTITY PRICE TOTAL COST

Computer 1 ₱17,999 ₱17,999

Office table 1 ₱3,999 ₱3,999

Office chair 1 ₱7,790 ₱7,790

Aircon 1 ₱24,998 ₱24,998

TOTAL ₱54,786
62

Table 35
Store Equipment

ITEMS QUANTITY PRICE TOTAL COST

Glass stante (6ft) 1 ₱12,992 ₱12,992

Cashier counter chair 1 ₱1,363 ₱1,363

Cashier counter table 1 ₱6,264 ₱6,264

Cash register machine 1 ₱16,753 ₱16,753

Aircon 1 ₱24,998 ₱24,998

TOTAL ₱62,370

Table 36
Furniture

ITEMS QUANTITY PRICE TOTAL COST

Table 1 ₱1,100 ₱1,100

Sofa 1 ₱2,600 ₱2,600

Shelves 2 ₱3,799 ₱7,598

TOTAL ₱11,298
63

Table 37
Office Supplies

ITEMS QUANTITY PRICE TOTAL COST

Record book 5 ₱60 ₱300

Ballpen 2 boxes ₱180 ₱360

Office receipt 15 pads ₱16 ₱240

Bond paper 3 bundles ₱155 ₱465

Stapler 3pcs ₱89 ₱267

TOTAL ₱1,632

Plant Location

Frush’s physical store and production will be strategically located at Paseo Uno De
Calamba, Brgy. Paciano Rizal, Calamba City, Laguna. It is near the national road, across from
the transportation terminal. This area is surrounded by a mall, hospital, two schools, food
canteens, salons, some cafes, and some fast-food chains which is a place where a lot of
potential customers pass by every day. Below is the location of the Frush perfume shop.
64

Figure 32
Plant Location
65

Plant Layout

The plant layout is tactically designed to support the smooth process of the business
(Frush). The total area of the business is 55 sqm. including the production area and the
store area. The customer area is the physical store where the perfume products will be
displayed and ready to sell. There will be an office area which will cater for the business-
related transactions. The production area will be at the back of the store. Then there is the
storage room where stocks and extra supplies will be stored.

Figure 33
Plant Layout
66

Figure 34
Top View 3D Picture of Plant Layout

Building and Facilities

Table 29 shows the materials to be used in the construction of the facilities. It will
also include the rental expenses of the proposed business, as shown in Table 29.
67

Table 38
Construction Cost
PARTICULARS QUANTITY PRICE TOTAL COST

Porcelain tiles (60×60) 48 ₱155 ₱7,440

Wood door 5 ₱3,500 ₱17,500

Bathroom door 1 ₱1,899 ₱1,899

Fire exit door 1 ₱2,884 ₱2,884

Wall paint (1L) 10 ₱155 ₱1,550

HardiFlex for ceiling 25 ₱218 ₱5,450

Ventilation fan 1 ₱1,624 ₱1,624

Square modern LED 2 ₱2,014 ₱4,028

ceiling lights

Troffer lights 7 ₱1,373 ₱9,611

Round LED ceiling lights 1 ₱525 ₱525

Metal furring 40 ₱204 ₱8,160

Concrete Hollow Block 1168 ₱18 ₱21,024

(150mm)

Concrete Hollow Block 830 ₱12 ₱9,960

(100mm)

Cement (bags) 158 ₱247.50 ₱39,105

Sand (per cubic) 14 ₱1,700 ₱23,800

reinforcing bar 97 ₱143.11 ₱13,881.67

Glass wall (set) 1 ₱35,000 ₱35,000

Glass Door 1 ₱18,000 ₱18,000

TOTAL ₱232,441.67
68

Table 39
Rental Expenses

PARTICULARS AMOUNT (MONTHLY) TOTAL COST PER YEAR

Store and production area ₱38,052.45 ₱456,629.40

Raw Materials and Supplies

Cost is always considered in making a product due for selling. Since there are already
suppliers that are well negotiated, it is not difficult anymore to establish and make a
perfume. These are the materials needed for the direct production of Frush vodka perfume.
It is shown in the following table the amount needed per bottle of 50 ml and its cost
per bottle for 50 ml.

Table 40
Raw Materials Per Bottle (50 ml) Apple Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.80

(apple scent)

Water 1 ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.57

69

Table 41
Raw Materials Per Bottle (50 ml) Strawberry Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.65

(strawberry scent)

Water 1 ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.42

Table 42
Raw Materials Per Bottle (50 ml) Woody Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱5.01

(woody scent)

Water 1 ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.78

70

Table 43
Raw Materials Per Bottle (50 ml) Aquatic Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.83

(aquatic scent)

Water 1 ml 21 ₱0.38

TOTAL COST PER BOTTLE ₱ 28.60

It is shown in the following table the amount needed per 100 ml and its cost per
bottle for 100 ml.

Table 44
Raw Materials Per Bottle (100 ml) Apple Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.00

(apple scent)

Water 1 ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.28

71

Table 45
Raw Materials Per Bottle (100 ml) Strawberry Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱7.75

(strawberry scent)

Water 1 ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.03

Table 46
Raw Materials Per Bottle (100 ml) Woody Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.35

(woody scent)

Water 1 ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.63

Table 47
72

Raw Materials Per Bottle (100 ml) Aquatic Scent

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.05

(aquatic scent)

Water 1 ml 42 ₱0.76

TOTAL COST PER BOTTLE ₱ 56.33

Table 48
Supplies

SUPPLIES TIME QUANTITY UoM PRICE TOTAL COST

FRAME

Hair net Monthly 3 Pack of 12 ₱59 ₱177

pcs.

Apron Monthly 30 pcs. ₱39 ₱1,170

Household Hand Monthly 30 pcs. ₱35 ₱1,050

Gloves

Mask Monthly 30 pcs. ₱18 ₱540

Hand Sanitizer Monthly 15 Gallon ₱169 ₱2,535

Hand Soap Monthly 15 Litter ₱79 ₱1,185

Air and Surface Monthly 10 Gallon ₱260 ₱2,600

Disinfectant

TOTAL ₱ 9,257

Utilities
73

Utilities are required services for the prospective firm to function within its
premises. Electricity, water, and internet providers are among these services. The building
already has electrical, and plumbing installed. The Manila Electric Company (Meralco) will
provide the electricity, The Calamba Water District (CWD) will provide services pertaining to
water distribution, and PLDT will provide the internet and phone connections.

Table 49
Estimated Electricity Consumption

ITEMS TOTAL NO. OF COST PER MONTHLY TOTAL

WATTS HOURS USED KWH WORKING DAYS COST

Mixing machine (1) 800 3 11.49 22 ₱606

Filling machine (1) 800 3 11.49 22 ₱606

Capping machine (1) 800 3 11.49 22 ₱606

Labeling machine (1) 750 2 11.49 22 ₱379

Computer (1) 150 9 11.49 26 ₱403

Cash register 150 9 11.49 26 ₱403

machine (1)

Aircon (3) 1500 9 11.49 26 ₱4,032

LED Bulb (10) 300 9 11.49 26 ₱806

WI-FI Router (1) 7 9 11.49 26 ₱188

TOTAL MONTHLY ₱8,029

TOTAL YEARLY ₱96,348

Total Watts * No. of Hours Used * 1000 (to convert watts to kWh) * Cost Per kWh * No. of Working Days in a
Month
Internet
74

PLDT Unli Fibr Plan 25 MBPS with Landline, free installation, and modem.

Table 50
Estimated Internet Expense

MONTHLY NUMBER OF MONTHS YEARLY

₱1,699 12 ₱20,388

Water
Calamba Water District (CWD) will be the supplier of the water of the proposed
business. The projected cubic meter consumed per day is based on a perfume business with
the same capacity, whereas the price per cubic meter is based on the Calamba Water
District rate.

Table 51
Estimated Water Consumption

CUBIC METER PRICE PER CUBIC METER TOTAL

Daily 2.00 30.80 ₱61.60

Monthly 52.00 30.80 ₱1,601.60

Yearly 624.00 30.80 ₱19,219.20

Gas
75

Gas is one of the most essential utilities for a perfume business. The proponents
convert it to liters, which is equivalent to 624 liters per year. The price per liter was based
on computing the price per liter of LPG Gas.

Table 52
Estimated Gas Consumption

LITERS PRICE PER LITER TOTAL COST

Daily 1.50 80 ₱120

Monthly 39.00 80 ₱3,120

Yearly 624.00 80 ₱37,440

Table 53
Summary of Utilities Expense

UTILITIES MONTHLY YEARLY

Electricity ₱8,029 ₱96,348

Water ₱1,601.60 ₱19,219.20

Internet ₱1,699 ₱20,388

Gas ₱3,120 ₱37,440

TOTAL COST ₱14,449.60 ₱173,395.20

76

Waste Disposal

Waste disposal is a big issue today. Proper waste disposal may help to avoid the
spread of illnesses and foul odors while also maintaining a pleasant environment in the
manufacturing area. The business will implement a program that will incorporate sanitary
practices into its productions. There will be trash cans and rubbish bags to separate
biodegradable and non-biodegradable waste, as well as recyclable items. This will ensure
that the business complies with the government's clean and green regulations. Frush was
naturally predisposed to advocate for and address economic and social improvement that
protects the environment and promotes sustainability, as it is an entrepreneurial fragrance
business focused on ideals. Frush will collaborate to create safe, scalable waste reduction
techniques while maintaining high-quality fragrance production. Vodka perfume is sold in
glass bottles or reusable containers as a cost-effective substitute to single-use plastic
bottles.

Labor Requirements

To operate effectively and efficiently, it is necessary to know the needs for

manpower. The company will not be very strict in hiring production workers if they know
how to operate the machine in the manufacturing process. The rules and regulations
regarding the compensation of the workers will follow the existing rate in the market. The
company will offer the right salaries and wages, necessary benefits, and incentives for the
efficient and effective performance of the employees.
77

To operate the business, once all the materials needed are done, there should be
people who will manage it. Listed below will be the workers in the perfumery business to
produce Frush vodka perfume with their corresponding salaries.
Table 54
Labor Expenses

LABORER NO. OF WORKERS RATE PER DAY MONTHLY SALARY

Production Worker 6 ₱400 ₱52,800

Chemist 2 ₱563.76 ₱24,805.44

Accountant 1 ₱1,384 ₱35,984

Cashier 1 ₱400 ₱10,400

General Manager 1 ₱1,424 ₱37,024

TOTAL ₱161,013.44

Table 55
Projected Social Security System Contribution

LABORER MONTHLY MONTHLY EMPLOYER EMPLOYEE TOTAL

SALARY SALARY SHARE SHARE CONTRIBUTION
CREDIT

Production ₱8,800 ₱9,000 ₱855 ₱405 ₱7,560

Worker (6) (9.5%) (4.5%)

Chemist (2) ₱24,805.44 ₱25,000 ₱2,375 ₱1,125 ₱7,000

(9.5%) (4.5%)

Accountant ₱35,984 ₱30,000 ₱2,850 ₱1,350 ₱4,200

(9.5%) (4.5%)

Cashier ₱10,400 ₱10,500 ₱997.50 ₱472.50 ₱1,470

(9.5%) (4.5%)
78

General ₱37,024 ₱30,000 ₱2,850 ₱1,350 ₱4,200

Manager (9.5%) (4.5%)

TOTAL MONTHLY ₱24,430

Table 56
Projected PhilHealth Contribution

LABORER MONTHLY PREMIUM EMPLOYER EMPLOYEE TOTAL

SALARY RATE SHARE SHARE CONTRIBUTION

Production ₱8,800 5% ₱220 ₱220 ₱2,640

Worker (6)

Chemist (2) ₱24,805.44 5% ₱620.13 ₱620.13 ₱2,480.52

Accountant ₱35,984 5% ₱899.60 ₱899.60 ₱1,799.20

Cashier ₱10,400 5% ₱260 ₱260 ₱520

General ₱37,024 5% ₱925.60 ₱925.60 ₱1,851.20

Manager

TOTAL MONTHLY ₱9,290.92

Table 57
Projected Pag-IBIG Contribution

LABORER MONTHLY MONTHLY EMPLOYER EMPLOYEE TOTAL

SALARY COMPENSA SHARE SHARE CONTRIBUTION
TION

Production ₱8,800 Over 1,500 ₱100 ₱100 ₱1,200

Worker (6)

Chemist (2) ₱24,805.44 Over 1,500 ₱100 ₱100 ₱400

Accountant ₱35,984 Over 1,500 ₱100 ₱100 ₱200

79

Cashier ₱10,400 Over 1,500 ₱100 ₱100 ₱200

General ₱37,024 Over 1,500 ₱100 ₱100 ₱200

Manager

TOTAL MONTHLY ₱2,200

Table 58
13th-Monthly Salary

LABORER MONTHLY SALARY EMPLOYEE ATTENDANCES TOTAL 13TH

(MONTHS) MONTH PAY

Production Worker (6) ₱8,800 12 ₱52,800

Chemist (2) ₱24,805.44 12 ₱24,805.44

Accountant ₱35,984 12 ₱35,984

Cashier ₱10,400 12 ₱10,400

General Manager ₱37,024 12 ₱37,024

TOTAL ₱161,013.44

Table 59
Monthly Salary

SSS PHILHEALTH PAG-IBIG LESS: MONTHLY TOTAL

SALARY

Production ₱2,430 ₱1,320 ₱600 ₱4,350 ₱52,800 ₱48,450

Worker

Chemist ₱2,250 ₱1,240.26 ₱200 ₱3,690.26 ₱24,805.44 ₱21,115.18

Accountant ₱1,350 ₱899.60 ₱100 ₱2,349.60 ₱35,984 ₱33,634.40

Cashier ₱472.50 ₱260 ₱100 ₱832.50 ₱10,400 ₱9,567.50

General ₱1,350 ₱925.60 ₱100 ₱2,375.60 ₱37,024 ₱34,648.40

Manager
80

TOTAL MONTHLY ₱147,415.48

Production Cost

Production costs refer to the overall expenses incurred by a business in

manufacturing a product or providing a service. This includes all direct and indirect costs
related to the production of goods or services. The production cost is a comprehensive
measure that covers all elements, which ensures an understanding of the financing aspects
relating to manufacturing processes.
81

Table 60
Computation of Overhead Cost

MONTHLY ANNUALLY

Labor ₱83,408 ₱1,000,896

SSS ₱9,870 ₱118,440

PhilHealth ₱4,170.40 ₱50,044.80

Pag-ibig ₱600 ₱7,200

13th Month - ₱83,408

Electricity ₱4,165 ₱49,980

Internet ₱1,699 ₱20,388

Water ₱1,601.60 ₱19,219.20

Gas ₱3,120 ₱37,440

Rental Expenses ₱38,052.45 ₱456,629.40

Office Supplies - ₱1,632

Furniture - ₱11,298

Store Equipment - ₱62,370

Office Equipment - ₱54,786

License and Permit cost - ₱23,560

Budget Summary - ₱32,440

TOTAL ₱2,029,731.40

DIVIDED BY PRODUCTION CAPACITY PER YEAR 11,880

OVERHEAD COST 170.85

82

The researcher aims to set their price competitively to the competitors but fairly and
reasonably to the consumers. The target price for 50 ml is 260 pesos, and 320 pesos for 100
ml. To calculate the percentage for the mark-up, the researcher will use the formula below.

Markup % = Selling Price – Cost to produce / Cost to produce x 100

Table 61
Production Cost of Apple Scent (50ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.80

(apple scent)

Water 1 ml 21 ₱0.38

TOTAL COST OF RAW MATERIALS 28.57

OVERHEAD COST 170.85

COST TO PRODUCE 199.42

MARKUP (30.37%) 60.56

SELLING PRICE ₱260

83

Table 62
Production Cost of Apple Scent (100ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.00

(apple scent)

Water 1 ml 42 ₱0.76

TOTAL COST OF RAW MATERIALS 56.28

OVERHEAD COST 170.85

COST TO PRODUCE 227.13

MARKUP (38.69%) 87.88

SELLING PRICE ₱315

84

Table 63
Production Cost of Strawberry Scent (50ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.65

(strawberry scent)

Water 1 ml 21 ₱0.38

TOTAL COST OF RAW MATERIALS 28.42

OVERHEAD COST 170.85

COST TO PRODUCE 199.27

MARKUP (30.47%) 60.72

SELLING PRICE ₱260

85

Table 64
Production Cost of Strawberry Scent (100ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱7.75

(strawberry scent)

Water 1 ml 42 ₱0.76

TOTAL COST OF RAW MATERIALS 56.03

OVERHEAD COST 170.85

COST TO PRODUCE 226.88

MARKUP (38.84%) 88.12

SELLING PRICE ₱315

86

Table 65
Production Cost of Woody Scent (50ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱5.01

(woody scent)

Water 1 ml 21 ₱0.38

TOTAL COST OF RAW MATERIALS 28.78

OVERHEAD COST 170.85

COST TO PRODUCE 199.63

MARKUP (30.24%) 60.36

SELLING PRICE ₱260

87

Table 66
Production Cost of Woody Scent (100ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.35

(woody scent)

Water 1 ml 42 ₱0.76

TOTAL COST OF RAW MATERIALS 56.63

OVERHEAD COST 170.85

COST TO PRODUCE 227.48

MARKUP (38.47%) 87.51

SELLING PRICE ₱315

88

Table 67
Production Cost of Aquatic Scent (50ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 27 ₱22.64

Glycerin 1 ml .50 ₱0.75

Essential oil 1 ml 1.50 ₱4.83

(aquatic scent)

Water 1 ml 21 ₱0.38

TOTAL COST OF RAW MATERIALS 28.60

OVERHEAD COST 170.85

COST TO PRODUCE 199.45

MARKUP (30.36%) 60.54

SELLING PRICE ₱260

89

Table 68
Production Cost of Aquatic Scent (100ml)

ITEM QUANTITY UNIT ML NEEDED TOTAL PRICE

Vodka Alcohol 1 ml 54 ₱45.28

Glycerin 1 ml 1.50 ₱2.24

Essential oil 1 ml 2.50 ₱8.05

(aquatic scent)

Water 1 ml 42 ₱0.76

TOTAL COST OF RAW MATERIALS 56.33

OVERHEAD COST 170.85

COST TO PRODUCE 227.18

MARKUP (38.66%) 88.37

SELLING PRICE ₱315

90

CHAPTER IV

ORGANIZATIONAL AND MANAGEMENT STUDY

Management and organization are essential components of every business's

success. This element includes a study of the executives and key staff, basic organizational
formation concerns, ownership forms, organizational structure, and schedules for the
project.

Formulation of Goals and Objectives

Mission
To redefine freshness with innovative vodka-infused perfumes that awaken the
senses and leave a lasting, clean impression.

Vision
To become the leading innovator in fragrance, known for our vodka-based perfumes
that redefine freshness and allow people to express their confident and refined
personalities.

Business Objectives
● To increase the market share consistently in the next five years
● To ensure customer satisfaction and build a repeat purchase
● To promote and expand the business concept as a unique perfumery business and;
● To provide a safe environment for customers and the workplace where employees
like to earn money. Great employees make for a great store.
91

Form of Ownership

The proponents agreed on a business partnership as the form of ownership,

established under Article 1767 of the Civil Code. In this partnership business, two or more
individuals collaborate by contributing both financial and non-financial resources to a
shared venture. Profits are divided among the partners, but all partners are also jointly
responsible for any business operations, decisions, debts, or legal actions. Although there
are several forms of partnerships, some with restricted liability for specific partners,
partners often have an important role in the company's success. The general partnership of
Frush consists of three individuals, namely: Allen L. Ocampo, Kim A. Casupang, and Chris
Anne C. Villanueva.

Organizational Structure

An organizational structure acts as a blueprint for how a company operates. It lays

out a framework that assigns specific tasks and responsibilities to different individuals and
teams. The structure is designed to ensure everyone's efforts are well-coordinated and
working together seamlessly towards achieving the organization's overall goals. By clearly
defining these roles and how they interconnect, the structure fosters efficiency and
optimizes performance. The choice of structure itself is significant, as it can significantly
impact how effectively the company executes its strategies and fulfills its objectives.
92

Figure 35
Organizational Chart

Officers and Key Personnel

The student researchers outlined a team structure for their Frush vodka perfume
business in Calamba City, Laguna. This team would handle everything from finances to
making, packaging, and selling the perfume.

General Manager

Job Description

A blend of retail experience, leadership skills, and fragrance knowledge will be

needed for a general manager and typically needs a bachelor's degree in marketing or a
related field. We are seeking a passionate and experienced General Manager to lead our
perfume store towards continued success. He will be responsible for overseeing all aspects
93

of the store's operations, from staff management and sales to inventory control and
financial performance. This is an exciting opportunity for a results-oriented leader to make a
significant impact on a growing business.

Job Specification

 Minimum 5 years of experience in retail management, preferably in the fragrance

industry.
 Strong leadership, communication, and interpersonal skills.
 Excellent organizational and time management abilities.
 Proficient in Microsoft Office Suite and retail management software.
 Passion for the fragrance industry and a strong understanding of perfume brands
and trends.
 Ability to motivate and develop a high-performing team.
 Analytical mind with a strong focus on data-driven decision making.
 Availability to work flexible hours, including weekends and holidays.

Chemist

Job Description

We are seeking a knowledgeable and passionate Chemist to join our team at Frush.
In this role, he will leverage his expertise in fragrance and chemistry to enhance the
customer experience and ensure the quality of our products.

Job Specification

 Bachelor's degree in Chemistry, Fragrance Chemistry, or a related field (preferred).

94

 Strong understanding of fragrance composition, including fragrance families, notes,

and accords.
 Excellent olfactory sense with the ability to discern subtle differences in scents.
 Excellent communication and interpersonal skills with the ability to explain complex
fragrance concepts in an engaging way.
 Strong attention to detail and a commitment to maintaining a clean and organized
work environment.
 Working knowledge of safety protocols for handling fragrance ingredients.

Accountant

Job Description

The business accountant should have a strong foundation in accounting principles

and hold a bachelor’s degree in accounting or a related field. We are seeking a detail-
oriented and organized Accountant to join our team at Frush. He will be responsible for a
variety of accounting tasks, ensuring the financial accuracy and health of our business.

Job Specification

 Bachelor’s degree in accounting or finance.

 Minimum 2 years of experience in a similar accounting role.
 They should be proficient in utilizing accounting software and financial management
tools to streamline processes.
 Keen eye for detail, accuracy, and the ability to maintain meticulous financial
records.
95

 Comfortable analyzing financial data to identify trends and opportunities for cost
savings and generate reports to support informed decision-making by management,
 Staying on top of tax regulations and ensuring compliance is crucial, so tax
preparation experience is an asset.

Production Worker

Job Description

 Production workers should be skilled in handling the large-scale mixing and bottling
of the perfume based on the perfume recipe. They ensure the perfume is produced
according to quality and safety standards. They need a strong foundation in
following instructions meticulously. This ensures consistent and high-quality
production of fragrant concoctions. While experience in perfume production itself is
a plus, the business is happy to train qualified individuals with general manufacturing
experience. Measures and weighs fragrance oils and other components according to
formulas. The following are the main roles of this job -Maintains a clean and
organized workspace for safe and efficient blending; Labels and stores fragrance
components according to company protocols; Assembles and wraps perfume bottles
and gift sets according to company standards; Ensures all packaging materials are
present and correctly applied; Applies labels and inserts following designated
procedures; and Maintains a clean and organized work area for efficient packaging.

Job Specification
96

 High school diploma or equivalent.

 Minimum of 6 months experience in a production or assembly line environment.
 More important are skills like attention to detail, the ability to work safely with
potentially hazardous materials, and the ability to collaborate effectively as part of a
team.
 Strong attention to detail and ability to perform repetitive tasks accurately.
 Excellent communication and interpersonal skills.
 Ability to work independently and as part of a team.
 Basic understanding of safety procedures in a warehouse or production setting is
preferred.

Cashier

Job Description

Cashiers play a vital role in providing exceptional customer service and ensuring
smooth transactions. He will be responsible for processing payments, assisting customers
with fragrance selection, and maintaining a clean and welcoming cashier station. They'll also
likely handle tasks like scheduling, inventory management, and customer service support.
This plays a vital role in ensuring smooth customer transactions. He will be responsible for
processing sales, collecting payments (including cash, credit cards, and potentially checks),
and providing accurate change.

Job Specification
97

 High school diploma or equivalent.

 Minimum of 6 months of retail experience, preferably in a customer service role.
 Strong cash handling and mathematical skills.
 Excellent communication and interpersonal skills.
 Ability to work independently and as part of a team.
 Positive and friendly attitude with a genuine interest in fragrances.
 Availability to work flexible hours, including weekends and holidays.
98

Project Schedule

Table 60 illustrates the Gantt chart or initial project schedule for the “frush"
activities from March 2024 to January 2025. It includes an estimated schedule for each
activity; a business estimate of how long the project should take; necessary resources; and
the expected month to complete the tasks.

Figure 36
Project Schedule Gantt Chart
99

CHAPTER V

FINANCIAL STUDY

The financial aspect of the study is to understand the business plan and the money
needed to start it. Determines whether the future industry will remain profitable despite
the presence of competitors and unfavorable economic conditions. This chapter discusses
the major assumptions of the proposed business.

Major Assumptions

1. The annual sales of Frush perfume will increase by 10%.

2. The costs of raw materials and other indirect materials will increase by 3.9%
annually due to the inflation rate.
3. The costs of manufacturing overhead and other supplies and expenses will
increase by 3.9% annually.
4. The selling price for the next five years will increase by 5%.
5. The salaries of the employees for the next five years will increase by 5.7%.
6. The profit or loss will be equally shared by each partner.
7. The partners agreed to provide equal capital contributions for the proposed
business.
8. Contingency cost is set at 10%.
9. Depreciation was computed based on the straight-line method.
10. Sales are on a modified cash
100
101