3.0 PROJECT BACKGROUND
3.1 Project Proponent
Table 1
Project Proponent
NAME
NATIONALITY
ADDRESS
%OF OWNERSHIP
Johanna D. Hipolito
Filipino
San Fernando Sur, Cabiao, Nueva Ecija
100%
3.2 Proposed name of the business
The proposed name of the business will be Petron Gasoline Station- San Vicente branch. Since it is a franchising business, the proponent decided not to change the name.
3.3 Type of business organization
The proposed type of business organization will be sole proprietorship. Here are the advantages that the proponent has to consider:
The control of the business lies entirely in the hands of the owner
The profits belong to the owner
It is easy to start and terminate
Generally only small amount of capital is needed in this type of ownership
3.4 Location of the business
The proposed location of the business will be strategically located at the immediate outskirts of the growth center by the highway of Barangay San Vicente, Cabiao, Nueva Ecija. It is in the boundary of the Nueva Ecija and Pampanga. We decided to place our business there because in the first place, for security. In front of it is the PNP-AFP Action Center, second it is along the national road where there are many vehicle are passing by that needs gasoline and also our main target market is the travellers and drivers from Nueva Ecija who will bound to go to Manila and enter NLEX and Subic entering SLEX.
4.0 MANAGEMENT AND PERSONNEL FEASIBILITY
4.1 Personnel
Table 2
Proposed Monthly Salary
Position
No. of staff needed
Proposed Salary
Cashier
2
14,400.00
Pump Attendants
6
32,400.00
Janitor
1
4,800.00
Maintenance
1
4,800.00
4.2 Management Proposal
The proposed project will be gasoline station that will supply petroleum to all kinds of vehicle. The proposed type of business organization will be sole proprietortorship.
OwnerOwner
Owner
Owner
___________________________
Pump AttendantPump AttendantCashierCashier
Pump Attendant
Pump Attendant
Cashier
Cashier
JanitorJanitorMaintenanceMaintenance
Janitor
Janitor
Maintenance
Maintenance
Figure 1. Proposed Organizational Chart
4.3 Duties and Functions
Cashier:
Handles all the cash transaction.
Receive payment from the customers.
Provides cash balance daily.
Pump Attendants:
Responsible for refilling services for the riding customers.
Assist in the delivery of products from the depot.
Perform other functions as deemed necessary.
Assist with regular clean up duties to ensure an efficient, safe and clean Gas Bar is maintained.
Janitor/Maintenance
Maintain the cleanliness in the area.
5.0 MARKETING FEASIBILITY
5.1 Market Description
San Vicente Cabiao is the first municipality of Cabiao, Nueva Ecija. According to the Registry of barangay Inhabitants, it has a population of 79,841 people in and 16,189 households. The approximate that registered by Land Transportation Office (LTO) in this area is (amount).
San Vicente, Cabiao is located between San Isidro, Nueva Ecija and Mapalad, Arayat Pampanga. In front of this is the PNP-AFP ACTION CENTER
The target market of this business is the drivers and travelers who used small and large vehicles that need's gasoline. And all kinds of wheels that need's gasoline.
5.2 Demand
Year
Local Market
No. of vehicle registered in Cabiao
Total Consumption in Liters
Total
1
Cabiao
3000
3Liters/daily
1,008,000
1,008,000
The total registered vehicle in Cabiao is 3000 that may possibly consumed gasoline.
5.3 Supply
Year
Total Projected Supply
1
604,800.00
2
665,280.00
3
731,808.00
4
804,988.08
5
885,487.68
Based on the research and data that we gather, the total liters of gasoline that can be supply in area of Cabiao is of total demand, computed as (amount)x(%). The projected supply is expected to increase by (%) yearly because we assume that the number of vehicles will increase yearly.
5.4 Demand and Supply Analysis
Year
Demand
Supply
Deficit
1
1,008,000.00
604,800.00
403,200.00
2
665,280.00
3
731,808.00
4
804,988.08
5
885,487.68
5.5 General Marketing Practices
A. Product- Fuel products are hottest merchandise these days. The need for them is fantastic locally, nationally and internationally particularly from non-fuel producing countries like Philippines. The demand now for this product becomes more tremendous as many countries, marketing these item then is never a problem.
B. Pricing- The price is dictated by the main office for the uniformity of the area.The pricing practices by the project will be simple mark-up method. Prices will be as follows.
Table 6
Pricing Scale
Nature of scale Transaction
Projected price per liter
PUJ (Public Utility Jeep)
24.30
Diesel
24.80
Petron XCS
38.05
Petron Extra Unleaded
37.05
Regular PSX
36.05
REV-X TREKKER 1Liter
210.00
REV-X HAULER 4Liter
660.00
REV-X HAULER 1Liter
170.00
REV-X HD 1Liter
150.00
REV-X HD 4Liter
580.00
ULTRON TOURING 1Liter
205.00
ULTRON EXTRA 1Liter
170.00
SPRINT 4T RIDER 1Liter
170.00
SPRINT 4T EXTRA 1Liter
150.00
2T POWERBURN 1Liter
150.00
2T POWERBURN 200 ml
32.00
GEP 90 1Liter
170.00
GEP 140 1Liter
170.00
ATF 1Liter
200.00
MP3 500g
130.00
Brake Fluid 1Liter
300.00
Brake Fluid 250 ml
95.00
Brake Fluid 150ml
75.00
SUPER COOLANT 500ml
150.00
C. Channel of Distribution
Tank trucks Tank trucksDepot and TerminalsDepot and Terminals
Tank trucks
Tank trucks
Depot and Terminals
Depot and Terminals
Customers Customers Retail Network Retail Network
Customers
Customers
Retail Network
Retail Network
D. Promotion
In promotion we are going to used banners/tarpaulins and leaflets that will be going to put in every nearby town. We choose it because it is cheaper and easy to notice. We will be going to give a lot of freebies in the opening day of the shop and in every day in every purchase of P 1,000.00 product of Petron we will be given away a tumbler or a toy car. Plus we will offer a "PETRON SUKI CARD" that in every time you purchase a gasoline in our branch you can earn points that you can exchange into gasoline.
This business will have a good public relation to the customers.
9.0 SOCIO ECONOMIC RESPONSIBILITY
The proposed business project namely Petron Gasoline Station, San Vicente Cabiao Branch will share several contributions that will help the economy, the consumers and the government of Cabiao to generate income. It will also increase the employment rate since the business will be needed employees to operate the gas station. The business will be also generating more funds to the municipality because of the taxes it has to pay.
Since the Petron Corporation is known for their quality products and services, the proponents ensure that the gasoline station will be a great help for the economic rising of the town of Cabiao.
2.0 EXECUTIVE SUMMARY
2.1 Highlights
The proposed project is a sole proprietorship type of business and it will be established in San Vicente, Cabiao, Nueva Ecija.
The proposed type of organizational structure will be in line type. In this type, there will be proper definition of duties and responsibilities between the supplier, owner and the employees. The same structure would also ensure the proper flow of communication from the owners to the employees. For the reason of its define delegation of duties, the success of the operation of the proposed project will be ensured.
The target markets of these products are the driver/traveller's that needs a good quality of gasoline and services.
The proposed project will be named as Petron Gas Station San Vicente, Cabiao Branch, since the franchise station will be located at Cabiao Nueva Ecija.
The total project cost would be Php.(amount). The proponent is the one who will personally hire the personnel. The proposed project will be hiring 10 employees.
The source of capital of the proponent will be coming from own bank saving accounts that she have been saving for years. The proponent has decided that she will not acquire loans since she has enough capital in her savings account.
The estimated net income for the first year of operations will be Php.(amount). The total assets will be Php(amount), and the total liabilities and owner's equity will be Php(amount). The estimated return on investments is computed to be Php(amount).
The proposed project, Petron gasoline station, will generate more economic growth to the town. It will help in the employment rate of the area and tax payment in the municipality.
Therefore, it is concluded that the proposed project will be feasible enough to establish.
INTRODUCTION
Through the years Petron Corporation are known for their quality products and services offered and especially formulated to meet the needs and fit in the lifestyle of their customers. Petron has been very aggressive in conquering wider markets and acquiring other oil related industries, in fact they continuously innovate their products in terms of automotive fuels, automotive lubricants, liquefied petroleum gas also known as Petron Gasul and industrial petroleum products. And nowadays they are the most leading gasoline station in the Philippines. Petron is the Philippines big daddy in the energy sector adds the Pilipinas Shell and Chevron's Caltex, but still Petron is bigger than both of them. In fact, the company supplies 40% of our country's oil requirement, it also supplies jet fuel at airports to international and domestic carriers. It also ramped up its exports to other countries which include fuel oil, naphtha, and petrochemical feedstock. It also sells some of its refined petroleum products to other countries if need be. Petron's principal business involves refining raw crude oil into finished or refined petroleum products and selling these through its marketing and distribution network of dealers. Petron purchases all of its crude through PSTPL, a subsidiary. Petron sources majority of its crude under a term contract with Saudi's state owned oil giant Saudi Aramco. Petron's petroleum distribution network starts at its Bataan Refinery in Limay, Bataan where crude oil is processed to derive refined petroleum products.
On the business side Petron offers these opportunities that you can tap, first run a gas station, second distribute LPG, or third own an automotive service shop. Let's focus on the first one "run a gas station" with nearly 1900 service station of Petron. All Petron service stations are built and operated to stringent standards to ensure that you get fuels that are tested and handled meticulously every step of the way, accurate volume every time you gas up, customer service that goes the extra mile and exclusive rewards and privileges that bring happy smiles. With Petron's expertise, track record and market leadership, enterprising Filipino's can now have the opportunity to start a great business and grow with the company they can trust.
6.0 PRODUCTION FEASIBILITY
6.1 Product
Figure 2
PETRON XCS is the 95 octane, triple action premium gasoline that provides quick engine response, superior engine protection and optimal fuel efficiency. Its complete combustion system delivers a high-octane performance with its unique organic combustion catalyst and excellent detergent additive.
Figure 3
PETRON SUPER XTRA GASOLINE
Is the regular priced but quality gasoline of Petron. It has 91 octane and contains a powerful detergent additive that cleanses away and prevents harmful engine deposits. It also protect the fuel system from corrosion.
Figure 4
PETRON TURBO DIESEL
Is a technologically advanced fuel, enhanced with C-booster and combustion enhancer to provide smooth and premium performance.
Figure 5
PETRON BLAZE 100
Is the Philippine's first high performance premium plus gasoline with 100 octane. It is formulated and developed to unleash the full potential of modern and high performance vehicles.
Figure 6
Petron XTRA Advance
Is the 93 octane gasoline that's proven to make you go for the extra miles. It's advanced fully synthetic detergent additive effectively cleans the engine for more fuel efficient operation.
Figure 9
PETRON 2T POWERBURN
Is a superior quality motorcycle oil specially formulated for two-stroke gasoline engines equipped with an autolube system.
Figure 11
REV-X TREKKER with DC Technology
Is a premium multi grade engine oil designed to surpass the demanding performance requirements of modern diesel engines including off-road vehicles.
Figure 12
REV-X HAULER
Is a heavy duty oil formulated for all diesel engines including turbocharged and supercharged engines operating under severe condition.
F
Figure 13
REV-X HD
Is a high detergent engine oil recommended for use in engines operating under mild to moderate service conditions. It is also suitable for passenger-type vehicles such as jeepneys, buses, Asian Utility vehicles (AUVs), and mixed commercial fleets.
Figure 14
PETRON SPRINT 4T RACER
Is a fully synthetic superior quality engine oil especially formulated with advanced additive technology to provide outstanding protection and improved clutch operation.
Figure 15
PETRON SPRINT 4T ENDURO
Is a premium multi-grade engine oil specifically formulated for four stroke motorcycles equipped with either wet or dry clutch system to provide maximum engine protection.
Figure 16
PETRON SPRINT 4T EXTRA
Is a premium multi-grade engine oil specifically formulated for four-stroke motorcycles equipped with either wet or dry clutch system to provide reliable wear resistance and optimal engine protection.
Figure 17
ULTRON TOURING with TS3
The Thermal Stress Stabilizing System (TS3) keeps the oil stable even at extreme temperatures, providing ultimate protection from engine stress.
Figure 18
ULTRON EXTRA with TS3
Is an affordable, all-purpose multi-grade motor oil that provides engine protection against sludge, rust and wear.
6.2 Production Process
CustomersCustomers Retail Network/ Franchisee Retail Network/ FranchiseeMonitoring office of PetronMonitoring office of PetronTank TrucksTank TrucksDepots and TerminalsDepots and Terminals
Customers
Customers
Retail Network/ Franchisee
Retail Network/ Franchisee
Monitoring office of Petron
Monitoring office of Petron
Tank Trucks
Tank Trucks
Depots and Terminals
Depots and Terminals
Figure 19 Production Process
Monitoring Office
The monitoring office of the Petron Corporation is located at the
Depots and Terminals
Tank trucks
Retail network/Franchisee
Customers
