Marketing Aspect 2b471o

Marketing Aspect 1 INTRODUCTION Marketing, as defined by the American Marketing Association, is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals (Kotler, 2000). Others define marketing as the process of continuously and profitably satisfying target customers’ needs, wants, and expectations more seriously than competition. In a feasibility study, marketing is a crucial part because it talks about series of significant activities which include the establishment of a demand for a proposed product in view of identifying the particular needs and wants of a target market or customers, customer satisfaction, doing research, analyzing their needs, and formulating marketing strategies to achieve this goal of customer satisfaction. Gathering, analyzing, and interpreting information about the environment shall be conducted. Market study tests the uncontrollable environmental influences to wit: social, demographic, economics, technological, competitive, and political and legal forces. This is to ensure that the service or product to be put up really has a demand in the target area of business.

Marketing Aspect 2 It is stated above that it is very important to determine the customers’ needs and wants with the reason that satisfaction of these customers’ demands is the social and economic justification for an organization’s existence while meeting business objectives. Customer satisfaction may be characterized by the feeling that the features of a good or service met or exceeded customer’s expectations. On the other hand, taking into the wisdom behind the ten axioms of financial management particularly the idea embodied in axiom number nine which is “the curse of competitive market”, competition among businesses nowadays is so stiff. If you cannot beat competition, it is best to diversify your product or rather recreate your product in a way that it would be unique in its way of having certain competitive edges among others. In this way, you stand out over the crowd.

Marketing Aspect 3 SERVICE DESCRIPTION Pre-elementary school caters to the need of the children for education at their young age which will satisfy also the demands of the parents. The proposed business, which is a pre-elementary learning center, projects a miniature society in which children are directed and supervised, not only in their introduction to the scholastic world, but also in forming good qualities such as courtesy, cooperation, helpfulness, and many other virtues and values that shall be inculcated in the young minds of the children for them to be righteous and productive of society as they grow up. In this proposed learning center, the children or pupils will do activities which are intelligently directed to enhance their potentials and capabilities. This will also supplement the home by providing an atmosphere in which the children would be unrestrained and in which, through association with other children, ideal social and ethical behavior could be fostered. Existence of this educational center will provide the children opportunity for self-expression through large movements, gestures, directed play, singing, matching colors, storytelling, nature studying, and other schools of thought necessary for human development. Such activities

Marketing Aspect 4 sustain the importance of learning by doing, rather than by merely learning about things through reading. Conclusively, the pre-elementary educational programs that shall be offered by the proposed institution will be a solution to some of the numerous difficulties of parents in rearing their children. It is believed that a school, especially a pre-elementary school, plays a vital role in the rearing of the children. Thus, they shall be taught not only the academic teachings but also of moral teachings that shall harness the totality of the developing human personality. To achieve all the objectives embraced in the foregoing, the following facilities and services shall be provided by the proposed educational center:

Sound Curriculum The proposed learning center will offer nursery, prekindergarten, and kindergarten. This is to prepare the child for his or her elementary education with the proper setting and condition of his or her mind. The curriculum for the nursery shall include educational games and exercises, training for practical daily living, storytelling, drawing, prewriting, recognition of everyday objects, and of course, values and moral life.

Marketing Aspect 5 Pre-kindergarten’s curriculum shall embrace learning processes that shall develop the cognitive, psychomotor, and appreciative skills of the child; verbal meaning; and the fundamentals of interpretation and communication of ideas. Curriculum for the kindergarten shall be a level-up continuation of the pre-kindergarten’s curriculum. To prepare the child for Grade 1 in the elementary level, additional learning on memory, perception, comprehension, reading, arithmetic, music, and arts shall be introduced in this learning stage.

Competitive Personnel Highly competitive teaching and non-teaching staff shall be hired and serve as front liners of the business in dealing with its clientele. These employees shall meet the requirements to be laid down in the job specifications and descriptions under the management aspect of this study.

Educative Enhancements

Marketing Aspect 6 This would include E-learning programs, audio-visual rooms and equipments, library and miniature fields (where replica of things are put up or placed for identification or probably to have a foretaste-like experience with these things) and the like that would be used as enhancers that would fill in the deficiencies inside the classroom wherein the teaching-learning process between the pupils and teachers is limited.

Classrooms Conducive for Learning High quality of instruction would be useless if classrooms are not conditioned for learning. This would mean well-ventilated rooms, spacious, and decorations that would help bring out comfort and convenience for learners.

Security and Safety Security equipments and gadgets will be provided in appropriate areas of the school premises. Not withstanding the basic considerations under the law, such as fire exits and the conduct of emergency drills. A security guard will also be outsourced from a security agency particularly to oversee the children whenever they are out of the classroom. The building layout

Marketing Aspect 7 would also be dealt with and carefully considered in such a way that it would be convenient for its clientele. In addition, the business location in itself serves for security and safety wherein it is not situated in a hazardous place and/or accident prone areas.

Cleanliness and Sanitation All the aforementioned amenities would count nothing without the cleanliness and sanitation inside the school campus and so with its surroundings. This would be facilitated through the hiring of janitorial personnel. In addition, selected plants shall be situated to thrive within the school campus to help reduce the carbon dioxide and other harmful gases content of the atmosphere exposed to the stakeholders’ circulatory system that eventually disturbs their health.

Health Services Medical and dental check ups for the pupils shall be conducted twice a year. Such service will deter and prevent possible illnesses or sickness among children which will be detrimental for their learning. Deficiencies on the children’s health status shall also be determined and shall

Marketing Aspect 8 serve as aid for supplemental moves of the institution and so with the parents.

Commensurate School Fees While facing the fact that quality education entails costs, it doesn’t mean that school fees must be expensive. School fees would be set minimally and squarely with the quality of education that shall be given. In here, the worthwhile amenities that contribute in the conduct of learning shall be taken into in assessing school fees.

In this sense, school fees may be perceived at an

instance as high but when carefully analyzed, the client shall say “It’s worth. It is actually affordable.”

Recreational activities This is guided by the common saying, “All work (study) and no play makes Jack a dull boy.” It is an advocated idea that learning is not just confined inside the four walls of the classroom but gained also in outside interactions.

Marketing Aspect 9 MARKET DESCRIPTION Since the business will be strategically situated in Purok 14 Cypress, Irisan, Baguio City, the target market of the business will be parents or guardians of 3 to 6 years old children from Puroks 14, 14A, and 14B of Irisan, Baguio City including its nearby places. In addition, these parents are the ones who have regular source of income. In other words, they are the ones who are willing and able to avail of the product and pay its costs to be peg by the entity.

DEMAND-SUPPLY ANALYSIS

Demand Demand is the willingness and the ability of people or consumers to avail a good or service at a certain price. This is the determinant whether there are customers who will accept the product being offered. Demand should be carefully studied in the introduction of a new product or service. If the demand of a certain commodity or service is low, it is an indicator that it is unwise for a business venture to be pursued. It should be noted that without demand, nobody would patronize the newly

Marketing Aspect 10 introduced product. This would just like be a man proposing for a marriage without a proposed bride. Emphatically, an analysis of demand is a part of the important task of identifying the needs of consumers and determining whether they are willing and capable of procuring or acquiring the good or service which a business is contemplating to produce. To be able to measure the demand and assess its behavior, the proponents gathered relevant data from the National Statistics office, Barangay Hall of Irisan, and then floated questionnaires to prospective customers. The historical population of Baguio City from the data published by the National Statistics Office (NSO) is presented in the table below.

Year 2000 2001 2002 2003 2004

Population 252,386 257,621 263,373 269,044 275,879

These data shall be used to project to population of Baguio City which will in turn be used in projecting the demand for the product. Using several projection methods, (arithmetic straight line, arithmetic geometric method, statistical straight line

Marketing Aspect 11 method, statistical semi-log method, statistical parabolic method) the statistical parabolic projection method yields the smallest standard deviation; meaning, has the most reliable projection of population data. Projections from this method were then used as the basis for the demand. Hence, the following illustrated computations in the succeeding pages. In the illustrated computations that follow, subresults are rounded as presented; however, through an electronic spreadsheet, final results (also rounded) are computed and are still based on the exact figures and not on the rounded one.

Arithmetic Straight Line: Year 2000 2001 2002 2003 2004

Population 252,386 257,621 263,373 269,044 275,879

Marketing Aspect 12 Average Growth = 275,879-252,386)/5

= 4,699

This growth is added to the population of prior year to get the projected population of the following year. Hence: Year

Projected Population

2005

280,578

2006

285,276

2007

289,975

2008

294,673

2009

299,372

2010

304,071

2011

308,769

2012

313,468

2013

318,166

2014

322,865

Arithmetic Geometric Method: Year 2000 2001 2002 2003 2004

Actual Values 252,386 257,621 263,373 269,044 275,879

Increase(Decrease) Percentage 5,235 5,752 5,671 6,835

2.07% 2.23% 2.15% 2.54%

Average Growth Rate = (2.07%+2.23%+2.15%+1.54%)/5 = 1.80% This growth rate is multiplied to the population of prior year to get the projected population of the following year. Year 2005 2006 2007 2008 2009 2010

Projected Population 280,845 285,901 291,047 296,287 301,620 307,050

Marketing Aspect 13 2011 2012 2013 2014 Statistical Straight Line Method: Year 2000 2001 2002 2003 2004

Y 252,386.00 257,621.00 263,373.00 269,044.00 275,879.00

X -2 -1 0 1 2

312,577 318,204 323,932 329,763 X2 4 1 0 1 4

XY -504772 -257621 0 269044 551758

With the help of an electronic spreadsheet, the complicated procedures of statistics were carefully followed and thus: Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

X 3 4 5 6 7 8 9 10 11 12

A 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60 263,660.60

B 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90 5,840.90

Projected Population 281,183 287,024 292,865 298,706 304,547 310,388 316,229 322,070 327,910 333,751

Marketing Aspect 14 Statistical Semi-Log Method: Year 2000 2001 2002 2003 2004

Actual(Y) 252,386.00 257,621.00 263,373.00 269,044.00 275,879.00

LogY 5.402065261 5.410981262 5.420571251 5.429823311 5.440718643

X -2 -1 0 1 2

X2 4 1 0 1 4

XLogY -10.80413052 -5.410981262 0 5.429823311 10.88143729

With an electronic spreadsheet, the complex process embraced in this method was procedurally followed. The results are as follows. Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

X 4 6 8 10 12 14 16 18 20 22

Log b 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881 0.009614881

Log a 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195 5.42083195

LogYc Projection 5.459291471 287,933 5.478521234 300,969 5.497750997 314,594 5.51698076 328,837 5.536210523 343,725 5.555440286 359,286 5.574670048 375,552 5.593899811 392,554 5.613129574 410,327 5.632359337 428,903

Marketing Aspect 15 Statistical Parabolic Projection Method: Year 2000 2001 2002 2003 2004

Y 252,386 257,621 263,373 269,044 275,879

X -2 -1 0 1 2

X2 4 1 0 1 4

X4 16 1 0 1 16

XY -504772 -257621 0 269044 551758

X2Y 1009544 257621 0 269044 1103516

The complicated process of this method was carefully followed with the use of an electronic spreadsheet. The projection yields as follows: Year X 2005 3 2006 4 2007 5 2008 6 2009 7 2010 8 2011 9 2012 10 2013 11 2014 12

X2 9 16 25 36 49 64 81 100 121 144

A 263215.029 263215.029 263215.029 263215.029 263215.029 263215.029 263215.029 263215.029 263215.029 263215.029

B 5840.9 5840.9 5840.9 5840.9 5840.9 5840.9 5840.9 5840.9 5840.9 5840.9

C 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143 222.7857143

Projection 282,743 290,143 297,989 306,281 315,018 324,201 333,829 343,903 354,422 365,387

Marketing Aspect 16 To assess the reliability of each projection and which projection result is to be used, the standard deviations of each were computed. This is summarized in the table below. Projection Method Arithmetic Straight Line Arithmetic Geometric Statistical Straight Line Statistical Semi-Log Statistical Parabolic

Standard Deviation 2,508.26 1,144.81 351.98 5,172.30 133.35

As presented, the Statistical Parabolic Projection Method yields the lowest standard deviation. Hence, the projection derived from this method was the one used in the demand projection. To extract the main market demand of the product, the following data published by the National Statistics Office pertaining to Baguio City is also considered:

Age 3 4 5 6

Male 2,866.00 2,911.00 2,876.00 2,737.00

female 2,575.00 2,610.00 2,814.00 2,604.00

Total 5,441.00 5,521.00 5,690.00 5,341.00

Percentage 2.16% 2.19% 2.25% 2.12%

From the projections presented earlier, these percentages are used to get the estimated population of ages 3, 4, 5, and 6 serving as the basis for demand analysis.

Age

3

4

5

6

Marketing Aspect 17 Percentage 2009 2010 2011 2012 2013 2014

2.16% 6,791.24 6,989.21 7,196.77 7,413.95 7,640.72 7,877.10

2.19% 6,891.09 7,091.96 7,302.58 7,522.95 7,753.06 7,992.92

2.25% 7,102.02 7,309.05 7,526.11 7,753.23 7,990.38 8,237.59

2.12% 6,666.42 6,860.74 7,064.49 7,277.68 7,500.29 7,732.33

To be able to determine the target market and so with the market share of the proposed project, the population of Irisan with the ages provided shall be extracted from these projections of the whole population of Baguio City. This is the method used due to limitations of data and other information. As published by the National Statistics Office, out of the whole population of Baguio City, 7.0040% is from Irisan. With this percentage, population of Irisan with the ages pertained to are extracted as follows:

Year/Age 2009 2010 2011 2012 2013 2014

3 476 490 505 520 535 552

4 483 497 511 527 543 560

5 497 512 527 543 560 577

6 467 481 495 510 525 542

From this computed population of ages 3, 4, 5, and 6 in the entire Barangay of Irisan, with the percentages derived from the data from the census conducted by the personnel of

Marketing Aspect 18 Barangay Irisan, the population of said ages from Puroks 14, 14A, and 14B are presented as follows: Year 2008 Age 3 4 5 6 Total

14 18 18 18 17 71

14A 26 27 28 26 107

14B 12 12 12 12 28

Total 56 57 58 55 225

14 18 18 19 18 73

14A 27 28 28 27 110

14B 12 12 13 12 49

Total 57 58 60 56 232

14 18 19 19 18 75

14A 28 28 29 27 113

14B 13 13 13 12 51

Total 59 60 62 58 238

14 19 19 20 19 77

14A 29 29 30 28 116

14B 13 13 14 13 52

Total 61 62 63 60 245

Year 2009 Age 3 4 5 6 Total Year 2010 Age 3 4 5 6 Total Year 2011 Age 3 4 5 6 Total Year 2012

Marketing Aspect 19 Age 3 4 5 6 Total

14 20 20 20 19 79

14A 30 30 31 29 120

14B 13 14 14 13 54

Total 63 63 65 61 253

14 20 20 21 20 82

14A 31 31 32 30 123

14B 14 14 14 13 56

Total 64 65 67 63 260

Year 2013 Age 3 4 5 6 Total

To further assess the demand and in addition to the conduct of the data gathering using questionnaires, the proponents determined the sample size with the use of Slovin’s Formula.

Given the data in foregoing, Year 2008, that population is 225, each household is assumed to have one child – 3 to 6 years old, (this is to the fact that, as published by the NSO, there are 4.80 average number of individuals per household). With five percent degree of error, the sample size is 88, computed as:

Marketing Aspect 20 n = sample size N = 225 e = 5% Solution: n

=

N 1+Ne2

=

225 1 + 225 * (0.05)2

=

225 1 + (225* 0.0025)

= 87.8049 ~ 88 respondents

Eighty eight questionnaires are then floated to each household and were answered by the parent/s. The questionnaire was aimed to further assess the demand, its characteristics, the estimated market share, and other considerations. Some of which were used as basis in the service description embodied in this marketing aspect of the study which was presented earlier.

Marketing Aspect 21 The results of the survey guided by the questions provided are as follows:

1. How important is the pre-elementary education of your child/ren?

This survey question aims to assess up to what extent do parents of the prospective market value their children’s pre-elementary education.

Suggested Answer Very Important Important Less Important Total

Number of Response

Percentage

71 17 0 88

80.68% 19.32% 0.00% 100.00%

This shows that parents in Irisan still cling to the value of generally valuing importance of education especially its fundamentals, the pre-elementary education. Even 81 percent of the sample says it is very important. Not even one said it is less important.

2. Do you have any child/ren presently enrolled in any nursery school?

Marketing Aspect 22

This question aims to determine the number of respondents who have children currently enrolled in any nursery school and in preparation for the next question.

Suggested Answer Yes No Total

Number of Response

Percentage

76 12 88

86.36% 13.64% 100.00%

3. In the present nursery school, do you encounter some problems, inconveniences, and/or dissatisfaction? (If yes, please check any of the following)

Suggested Answer Yes No Total

Number of Response

Percentage

72 16 88

81.82% 18.18% 100.00%

This question is aimed to know the weaknesses of competitors in the industry and make it the strength of the proposed business.

Marketing Aspect 23 Eighty two percent of the total respondents answered yes and they were able to identify problems and they were weighted and ranked as follows:

(1) Far (2) Unsafe environment (3) Lack of health services (4) Incommensurate school fees (5) Lack of recreational areas and activities (6) Inaccessible to transportation.

Originally out-of-purpose, taking into Rank No. 1 which is “Far”, this indicates that still a lot of the parents in those places are not satisfied with the schools which are situated in there locality. This is a good indication that the proposed business will be patronized because it is made to fill in the deficiencies of the schools far from the locality which are perceived to be better than the schools in the locality as indicated by having the parents enroll their children to a school that is far rather than in the school which is situated in their place.

Marketing Aspect 24 It was also discovered with this that the existing schools adjacent to the proposed project site are not the direct competitors in some certain ways rather; the direct competitors are the ones offering higher quality of preelementary education which are not located in the locality. The schools near the locality are, however, still considered as competitors and are thus used in the demandsupply analysis.

4. If a nursery/kindergarten school will be put up in/near your locality, are you willing to avail of its services?

This survey question aims to assess the potential market from the total demand for the product.

Suggested Answer Yes No Total

Number of Response

Percentage

85 3 88

96.59% 3.41% 100.00%

Marketing Aspect 25 With this data, expected enrollees may be calculated as 96.59% of the gap or unsupplied demand for each year. The relevance of this percentage will be presented in later in the demand-supply analysis.

5. What are the features that you consider most in choosing a nursery/kindergarten school for your child/ren? Please rank, 1 being the highest and 8, the lowest.

This question aims to help the proponents develop and package the service that shall be offered. Answers from respondents resulted to the following rankings: (1) Proximity and accessibility (2) Security and safety (3) Commensurate tuition and other school fees (4) Enhancements i.e. e-learning, audio-visual rooms and equipments, etc. (5) Cleanliness and sanitation (6) Health services (7) Recreational areas and activities

Marketing Aspect 26

6. How much are you willing to pay for your child/ren's pre-elementary tuition and other school fees per school year?

This question aims to know how much the potential customers are willing to pay for the service that will be offered by the proposed learning center.

Suggested Answer PhP10,000 to PhP12,000 PhP12,001 to PhP14,000 PhP14,001 to PhP16,000 Total

Number of Response

Percentage

75 13 0 88

85.23% 14.77% 0 100.00%

Data gathered particularly on the problems encountered in present nursery schools and that of the basic considerations that the target market is taking into in choosing a nursery school is already inculcated and embraced in the service description that is presented earlier.

Marketing Aspect 27

SUPPLY

As the counter part of demand, supply is the quantity of goods and services that will be offered for sale at a given price to a certain market at a particular time. It is considered as an important factor in this study because this is needed in determining the market of products as well as the price. At present, there are two pre-elementary schools in Irisan adjacent to the said target site. These are situated particularly at Purok 14 Cypress Point and at Purok 14A.

Table 1.2 presents the population of each school. Level Nursery Kindergarten 1 Kindergarten 2 Total

CC 15 30 30 75

MVLC 11 18 16 45

Total 26 48 46 120

Marketing Aspect 28 CC MVLC

Cypress Point Community Church Muslim Village Learning Center

The populations of these schools are deemed not to increase in the case that these schools are estimated to be operating at almost full capacity. Thus, as long as they will not undergo any plant expansion, there population will not increase significantly.

Demand-Supply Gap

The succeeding illustration shows the unsatisfied demand which shall be the target market of the proposed business. This is the excess of the total demand over the total supply which will be the basis for the market.

Table 1.3 presents the demand-supply gap. Year 2009 2010 2011 2012 2013

Demand 232 238 245 253 260

Supply 120 120 120 120 120

Gap 112 118 125 133 140

Marketing Aspect 29

For enhancement, the above table with respect to the demand and supply is presented in a graphical form as follows:

From the computed gap, the market share is determined via the percentage assessed from the result of questionnaires floated to respondents as to those who are willing to avail of the service. Year 2009 2010 2011 2012 2013

Gap 112 118 125 133 140

Percentage 96.5909% 96.5909% 96.5909% 96.5909% 96.5909%

Market Share 108 114 121 128 136

The market share computed above is the number of expected enrollees through the years as presented.

Marketing Aspect 30 S.W.O.T. ANALYSIS

Internal Factors Evaluation Internal strengths and weaknesses provide the basis for establishing the objectives and strategies. Objectives and strategies are predicted with the intention of capitalizing upon internal strengths and overcoming weaknesses.

Strengths

a. Proximity and Accessibility. It is located at Cypress, Irisan, Baguio City which is in the locality of the target market itself and is reached by any means of land transportation.

b. Security and Safety. The business site is not near a highway which is prone to vehicular accidents and the organization shall hire a security guard to enhance and ensure security within the school premises.

c. Healthy Environment. The learning center is away from the smoke-clogged busy streets of the city and from unhealthy dumping sites.

Marketing Aspect 31

d. Competitive employees. Highly qualified personnel, as front liners, would carry out the operations efficiently and effectively.

e. Quality service. This is always the consideration of the organization’s management in its dealings with its clientele.

Weaknesses

a. Large initial cash outlay. Property, plant, and equipments entail large amount of money in their acquisition.

b. Beginner in the industry. Proponents are new to the industry, thus, calls for additional costs for management’s education and training.

c. Significant advertising costs. The need to unravel the possible misconception on fees, quality services must be well d.

External Factors Evaluation

Marketing Aspect 32 Evaluation of external factors deals with the consideration on the organization’s opportunities and also to detect threats. Opportunities are characteristics of the environment or events that may happen in the environment that can help the organization achieve its goals. Threats, on the other hand, are events that would or might counter the opportunities anticipated in a given situation.

Opportunities

a. Increasing trend in population. The continuous increase in population also continuously increases the demand of acquiring education.

b. Possible discontinuance of competitors. Previous customers of now a discontinued firm will transfer to a new business entity.

c. Room for growth and expansion. The business may expand and offer other more programs like elementary such from having nursery, prekindergarten, and kindergarten.

Marketing Aspect 33 Threats

a.

Competition among the proposed and existing. The new business needs to compete with other existing schools to capture, retain, and even increase its market share.

b.

Fees’ expensive perception. School fees, though commensurate, may appear to be expensive to some prospective customers.

c.

Market resistance. The probable resistance of the community in embracing new teaching methodologies that the proposed service would provide is eminent.

T.O.W.S. Matrix Strengths

Weaknesses

Marketing Aspect 34 Internal Factors

1. Proximity and Accessibility 2. Security and Safety 3. Healthy Environment 4. Competitive

External Factors

1. Large initial cash outlay 2. Beginner in the industry 3. Significant advertising costs

employees 5. Quality service

Opportunities 1. Increasing

S.O. Strategy 1. Grab the chance of

W.O. Strategy 1. Probable increase

trend in

increased market share

in market share

population

due to increase in

increases revenue

population and

that will offset

discontinuance

discontinuance of

increased costs and

of competitors

competitor (S,O1,O2)

will hasten the

2. Generate strategic

recovery of initial

growth and

plan for expansion for

investments in the

expansion

the preservation of

form of shorter

competitive edge(S,O3) S.T. Strategy

payback period(S,O) W.T. Strategy

1.`Well designed

1. Inhibit making

among the

advertising and

cash outlays or

proposed and

promotional tools to

investments into

existing

sell the service

subprojects that

(S,T1, T2)

would not give due

expensive

2. Display quality

return of investment

perception

service through

(W, T)

2. Possible

3. Room for

Threats 1. Competition

2. Fees’

3. Market

performance (S,O3)

resistance

MARKETING PLANS AND PROGRAMS

a. Price Study

Marketing Aspect 35

Price is the value or worth of something or a service availed. Considering all the factors influencing the price of educational service availed, the proposed school aims to adopt price strategies that will benefit itself and can be afforded by the target market.

Educational fees for services are affected by benchmark price offered by competitors, the financial capability of the target market, quality of the education provided, the amenities used, and the cost that the business entity incurred.

The price directly affects the demand. It was observed that the demand for educational centers decreases when school fees are high and increases when school fees are reduced. This is, however, behaves to the contrary if the quality of service justifies its cost.

It is then the plan of the organization to offer its service at a quite lower price than the average school fees pegged in the industry to penetrate the market then shall be raised after two years of operation depending on the

Marketing Aspect 36 necessity to cope with expenditures and aims for profitability in specified years. The increases, however, shall be done separately with regards to increase of tuition and that of the increase in miscellaneous fees to unravel the increase and minimize moves to counter the increase.

Marketing Aspect 37

Marketing Aspect 38