CHAPTER 1 INTRODUCTION
1.1 Background of the Study
Micr Micro, o, smal smalll and medi medium um ente enterp rpri rise sess (MSM (MSMEs Es)) play played ed impor importa tant nt role roless in the the industrialization and economic growth of the Philippines. About ! percent or Php .! trillion of the Philippines "#P of Php $.% trillion in &' came from retail, which is composed largely of these enterprises. he number of this ind of business has boomed in the past few years and e*en until now. his is with no doubt since putting up this ind of business re+uires only a relati*ely small amount of capital. ne widely nown e-ample for this MSME is the the sari sari store. his sari sari store store is a small con*enience store *ersion in the Philippines. t ser*ed as the pantry e-tension of e*ery household. household. /ecause /ecause any missing essential essential good 0 from basic basic food items lie coffee, coffee, mil and sugar, sugar, to other necessities necessities lie soaps, soaps, shampoo and toothpaste toothpaste 0 is easily purchased purchased from the nearby sari sari store at affordably0portioned +uantities. hese stores are commonly found in both rural and urban areas. About $! percent of all sari0sari stores nationwide are located in residential areas and are typically operated from a portion of the owner1s house (/onnin,&''2) Maret research studies by A3 4ielsen reported that the number of sari0sari sari0sari stores nationwide grew by an estimated 55 percent between $$% and &''', 2 percent in &''&, ! percent in &''!, and % percent in &''2 (Malapit,&''%). #espite the e-cess competition and limited profitability, how can such stores continue to grow6 7hat are the factors behind this growth6 And how do these factors affect the growth of sari 8 sari stores6 hese are the +uestions that moti*ated the researchers to condu ct this study.
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1. O!"ect#$e%
o identify the factors affecting the growth of sari sari stores. o analyze how these factors affect the growth of sari sari stores.
1.& S#gn#f#cance of the Study
9indings of this study are e-pected to be of great help to the following: Brgy. Ne' Bato Re%#dent%. his study may pro*ide awareness to the ;esidents of /rgy.
4ew /ato about the growth of sari 8 sari store business in their /aranggay. Sar# ( %ar# Store O'ner%. his study may pro*ide information that would be useful for
sari sari store owners for further nowledge about their business. )uture Re%earcher%. his study may pa*e the way for an in depth research concerning
the obser*able growth of sari0sari stores in /rgy. 4ew /ato, /acon, Sorsogon 3ity. 1.* E+,ected Out,ut and Der#$a!-e
t is e-pected that through the gathered facts and data, residents of /rgy. 4ew /ato, /acon, Sorsogon 3ity would be more aware of increasing number of sari 8 sari stores in their community and that they would be able to identify the factors that affect the growth of sari 8 sari stores despite the e-cess competition. .< Def#n#t#on of Ter% Micro, Small and Medium Enterprise 8 any business acti*ity or enterprise engaged in industry, agri 8 business and=or ser*ices that has an asset size of: Micro 8 up to Php !,''','''
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Small 8 Php !,''','' 8 Php <,''',''' Medium 8 Php <,''','' 8 Php '',''',''' Sari 8 sari store 8 a micro enterprise, that ser*es as a source of basic food items and neccessities in residential areas. 3onsumer=/uyer 8 one who purchases goods in sari 8 sari stores. "rowth 8 the success of a sari 8 sari store
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CHAPTER RE/IE0 O) REATED ITERATURE AND STUDIES .1 Re$#e' of Re-ated #terature2Stud#e%
he discussion in this chapter includes the findings of se*eral studies about the Philippine *ersion of retailing through sari 8 sari stores. his ser*es as a strong basis and a foundation for the conceptualization of the study. here are already a lot of researches about the micro enterprises across different countries. Some of these focused on the sari sari store business here in the Philippines. According to Sil*erio and /onnin who conducted researches in urban areas, it is obser*able that there is a great number of sari 8 sari stores in >ust one place and the distance between these stores is *ery minimal. ?owe*er the popularity of sari 8 sari stores is not e-clusi*e to urban areas. n a study conducted by Stoodley he obser*ed that each agalog barrio or *illage has atleast one sari 8 sari store, usually run by a woman. /ut one cannot e-pect the same today since rural areas are also reported to ha*e an increasing number of these stores. /onnin also obser*ed that these stores offer the same goods to their buyers and thus creating numerous competitors operating in the same neighborhood. ther reasearches also concluded that these stores appear mostly in poorer neighborhoods (3hen, $$%@ Sil*erio, $5&@ /onnin, &''2), where purchasing power of potential customers are low, and therefore, the potential maret for retail goods as a whole is liely to be small Another 9ilipino researcher predicted that lower inco me communities are liely to e-hibit e-cess competition where the non0traditional benefits to the operation of a sari0sari store are stronger. his implies that there will be greater tolerance for low profits and therefore greater
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saturation in these communities. n the other hand, in higher income communities with alternati*e in*estment opportunities, low profits will induce e-it and any remaining stores are e-pected to be reasonably profitable in the traditional sense (Malapit, &''%). . Conce,tua- )rae'ork
n the process of this study, two ma>or elements were gi*en an importance, thus, the profile of the sari 8 sari store and the preferrence of the consumers when it comes to sari 8 sari stores. hese two ma>or elements will be e*aluated to come up with the factors affecting the growth of sari 8 sari stores.
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( A P ( A ,
9actors Affecting the "rowth of Sari 8 sari Stores
K C A B
bser*ational Studies Buestionnaire nter*iew
S S E 3 , ; P
D E E F
Profile of the sari 8 sari stores Preference of the 3onsumers
( A P 4 .
)#gure 1. Conce,tua- Parad#g
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CHAPTER & 3ETHODOO45 &.1 Introduct#on
his chapter discusses the o*er*iew of the research methodology and how research is conducted. 7e will describe how the research is carried out and written on our research design, data collection methods, sampling design and techni+ue, and methods of data analysis. he main ob>ecti*e is to identify the factors affecting the growth of sari sari stores. he concept that will be pro*ided is based on the information gathered from the residents of the place. t will describe the techni+ues and methods used in the conduct of the sur*ey. &. Data Co--ect#on 3ethod%
here are two sources that can be used for the research study such as primary data and secondary data. n this study, primary data is used to conduct the research to ensure the research pro>ect has enough information and data to support. he definition of the primary data is that the source of data is directly and freshly collected or gathered by the researchers. n other words, it is the data which is newly deri*ed and is the original research study by the researchers. here are se*eral methods to conduct for the primary data such as +uestionnaires, focus group, inter*iews and obser*ation. n this study, +uestionnaire is adopted as the main source of the data collection method. he primary data can ha*e the strong control to the research design, procedures, planning for the design and obser*ing the effect of the independent *ariables to the dependent *ariable. hus, the primary data can be used to meet the specific need of the researchers. n addition, it can pro*ide the up0to0date information to the researchers which are more accurate for the research.
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9or this research, we use +uestionnaire as the main source of the data collection. he +uestionnaires are distributed to the sari0sari store owners and the customers. Each +uestionnaire consists of 5 +uestions for the atore owners and < +uestions for the customers. &.& Sa,-#ng De%#gn &.&.1 Target Po,u-at#on
ur research is to determine the factors affecting the growth of sari sari stores. hus, the targeted population will be the sari 8 sari store owners and consumers, specifically in /rgy. /ato, /acon, Sorsogon 3ity. he total number of stores are ' stores. &.&. Sa,-#ng Techn#6ue
7e employ the simple sample techni+ue. 7e choose the respondents from our population and entirely by chance, such that all has the same probability of being ased. 7e use this techni+ue because it is not biased. &.* Re%earch In%truent
his study uses a comprehensi*e +uestionnaire designed to co*er ma>or aspects of sari sari store growths. t includes daily income, years of e-istence and its present situation. he sur*ey participants are ased to answer +uestions for store owners and < for customers. &.7 Cha,ter Suary
he 3hapter shows how the research is carried out in terms of research design, data collection methods, sampling design and techni+ue, and the research instrument. t also contains able which gi*es the characteristics of the sample of the study conducted. And for our 3hapter 2, we will interpret the collected data and do further analysis in order to bring
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significance to the reader. his will help the reader understand information collected from the sur*ey and it relationship with the *ariables in sari0sari stores growth.
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CHAPTER * RESUTS AND DISCUSSION
he +uestionnaires were gi*en and distributed to ' store owners and ' chosen consumers. he gi*en answers were tabulized and e-amined to get the a*erage daily income and the a*erage years of operation of all the ' sari 8 sari stores and the consumers1 preferences gi*en some factors. n the +uestionnaires, it includes +uestions about their stores ( e.g years of operation ) and especially their daily income that *aries differently. n the side of the consumers, the +uestions includes their choice among the stores in terms of the ser*ice pro*ided and the goods being sold. he +uestionaire for the store owners is a fill0up type and the same with the consumers.
Ta!-e 1. Suary of the Prof#-e of the Sar# ( %ar# Store%
Sari 8 sari Store
Cears of peration
#aily ncome ( appro-imate in Php)
. Dean #ucay1s Store &. 4estor #olot1s Store
% !
&<'' <''
Mary Dane #eladia1s Store
&
'''
Pong ?ermosa1s Store
<''
<.
orna #ucay1s Store
F
&<''
F.
;olly #ucay1s Store
&
5''
%.
Syl*ia #olot1s Store
5''
3armen ?ermosa1s Store
'.<
<''
&
'''
'. Eric #emdam1s. Store
.<
<''
otal Mean
&2.< &.2<
Php !, F'' Php ,!F'
!. 2.
5.
$.
Aday #ucay1s Store
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able shows the a*erage income of the stores as a whole. he amount of P,!F' gi*es a clear description that the stores has different *ariations on income and this is the amount that circulates between the stores. t shows that the gap or the differences of income among the stores are +uite large. he store which gains or recei*es a high income is the store of Dean #ucay and orna #ucay despite the number of stores aligning with it. he table also shows the years of operation of each stores, with Dean #ucay1s Store being the highest.
Some information were also gi*en. Accordingly, the relation between cash sales and credit sales is directly proportional gi*en that the number of stores are increasing. As the new stores pop0in, the cash sales decrease the same with the credit sales. his is because some of the customers shifted on buying to other store and that they purchase goods on the same store on account. n the other hand, there are also new customers who come to patronize and there are still some customers who remain loyal to one store.
he results gi*en by the consumers shows the most preferred stores gi*en some factors stipulated. he choice by a consumer is a proof of how the stores are performing. n the results of the sur*ey, the ser*ice of the sellers is +uite a big deal on the part of the buyers. he +uestions enlisted are the main factors considered in the consumerGs buying preferences. he preffered stores by the consumers=buyers in terms of .) Buality of goods being sold &.) 9air Pricing !.) 3ompleteness of the goods offered 2.) Accessibility of the Store and <.) A*ailability of primary needs are the Stores of orna #ucay, Dean #ucay, 4estor #olot, Dean #ucay and orna #ucay respecti*ely. t is shown in able &.
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Sur*ey Buestions
34SME;=/CE;
.
he +uality of the goods
being sold &. he fairness of price of
!.
the goods 3ompleteness (almost) of
&
!
2
<
F
%
Most 5
$
'
Preferred
<
&
<
F
!
<
<
Store <
!
2
<
&
%
&
$
<
<
&
&
5
$
&
the goods offered to
2.
buyers he accessibilty of the
<
<
2
F
'
2
<
F
<
%
<
<.
store he a*ailability of the
'
<
2
!
&
F
primary needs
Ta!-e . Preferred Store% of Con%uer%2Buyer%
here are also information gi*en by the respondents. here are also instances that because of Hutang na loobH , they only stic on one particular store. And when it comes to credits, the price of the goods ac+uired is different from the price when it is bought in cash. n the other hand, the reason for the gaya0gaya of the stores is that since the place ( /rgy. 4ew /ato ) has only limited >obs or wors that can be offered and be found in the place that would sustain their day0to0day needs , they run into operating a sari0sari store because of the little amount that at least could be recei*ed. And most of the residents focus on staying in their houses and this sari0 sari store is but a sideline of their own.
CHAPTER 7 CONCUSION
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his study sur*eys ' sari 8 sari stores and ' consumers=buyers in /rgy. 4ew /ato, /acon, Sorsogon 3ity to identify the factors affecting the growth of sari 8 sari stores and to analyze how these factors affect such growth. 7ith the ob>ecti*es, which are to identify the factors affecting the growth of sari 8 sari stores and to analyze how these affect the growth of sari 8 sari stores, we find that customers preferences ha*e a significant impact in the growth of a certain sari 8 sari store. he results clearly show that those stores that were most preferred by the consumers=buyers are the stores with the highest number of years of operation and highest a*erage daily income. he stores that meet the certain preferences of a consumer will be more liely to grow and be successful. n conclusion, we argue that it is really imporatant to consider the consumer1s preferences in order to achie*e growth and success in putting up a sari 8 sari store.
APPENDI8 A 9UESTIONNAIRE
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)or Sar# ( %ar# Store O'ner% Sar# ( %ar# Store : ;;; Nae< ;;;;;;;;;;;;;;;;;;
4ame of Store: IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII Cears of e-istence: IIIIIIIIIIIIIIIIIIIIIIIIIIIII Starting 3apital: Php IIIIIII A*erage #aily ncome Php IIIIII s the re*enue always the same6 Ces ( ) 4o ( ) 7hich is greater, cash sales or credit sales6 IIIIIIIIIIIII s the income stable6 Ces ( ) 4o ( ) #oes the store operates smoothly6 Ces ( ) 4o ( ) Are there times that there are few buyers and re*enue goes below '''6 Ces ( ) 4o ()
)or Con%uer%2Buyer% Con%uer : ;;;
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Nae< ;;;;;;;;;;;;;;;;;; Age< ;;;;; Occu,at#on< ;;;;;;;;;;;;;; IST O) SARI ( SARI STORES
.
Dean #ucay Store
F. ;olly #ucay Store
&.
4estor #olot Store
%. Syl*ia #olot Store
!.
Mary Dane #olot Store
5. 3armen ?ermosa Store
2.
Pong ?ermosa Store
$. Aday #ucay Store
<.
orna #ucay Store
'. Eric #emdam Store
Sur*ey Buestions
SA; 8 SA; S;E
&
!
2
<
F
%
5
$
'
<. he +uality of the goods being sold F. he fairness of the goods %. 3ompleteness (almost) of the
5. $.
goods offered to buyers he accessibilty of the store he a*ilability of the primary needs
RE)ERENCES Malapit, ?azel Dean (&''%). Jhe 9ilipino Sari 8 sari StoreK /onnin, 3hristine (&''F). J7omen1s e-periences as home0based traders in Metro Manila: A case study of the neighborhood store,K Research and Practice in Social Sciences (&): !&<<.
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/onnin, 3hristine (&''2). J7indows to the Maret: E-ploring 7omen1s Strategies and Supports as ?ome0/ased raders in Metro Manila,K MA hesis, #alhousie ni*ersity, ?alifa-, 4o*a Scotia, 3anada. Stoodley, /artlett ?. ($<%). JSome Aspects of agalog 9amily Structure,K American Antrhopologist <$ ($<%): &!F0&2$. Sil*erio, Simeon ". Dr. ($5&). Jhe 4eighborhood Sari0Sari Store,K in Marie S. 9ernandez, ed., he Philippine Poor : wo Monographs, Manila: nstitute of Philippine 3ulture, Ateneo de Manila ni*ersity. www."oogle.com www.7iipedia.com www.seenomore.blogspot.com
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