CHAPTER 1
THE PROBLEM AND ITS BACKGROUND

INTRODUCTION
A doughnut or donut is a type of fried dough confectionery or dessert food. The doughnut is popular in many countries and prepared in various forms as a sweet snack that can be homemade or purchased in bakeries, supermarkets, food stalls, and franchised specialty outlets. Doughnuts have a disputed history. One theory suggests they were invented in North America by Dutch settlers, who were responsible for popularizing other American desserts, including cookies, apple and cream pie, and cobbler. Indeed, in the 19th century, doughnuts were sometimes referred to as one kind of oliekoek (a Dutch word literally meaning "oil cake"), a "sweetened cake fried in fat."
Comprehensive review of recent dessert statistics, tracking consumer buying habits, home baking statistics and demographics. After meals, 70% of consumers eat dessert at least once a week, with 36% twice or more; mid-evening snack (54%), afternoon (42%), late at night (40%), mid-morning (33%). According to the International Dairy-Deli-Bakery report "What's in Store?" - 2011 instore sales reached $10.2 billion, a 2.2% increase - with the most popular products including: cookies (84%), doughnuts (80%), special occasion cakes (79%), Danish/pastries (72%), muffins (71%), pies (68%), brownies (61%), and cupcakes (59%). Supermarket center aisle sales include: cookies ($3.7 billion), pastries/doughnut ($1.7 billion), baking mixes ($1.1 billion), and prepared pies and cakes ($1 billion). ("Digging into Desserts," in Food Technology, November 2011 (Vol. 65, No. 11), p. 17)
Krispy Kreme is an international doughnut and coffee brand that is best known for its Original Glazed Doughnuts and Signature Coffee. The brand is present in more than 20 countries worldwide including the United States, Australia, Korea and the Philippines. Vernon Rudolph bought a secret yeast-raised doughnut recipe from a New Orleans French chef, rented a building in what is now historic Old Salem in Winston-Salem, North Carolina and began selling Krispy Kreme doughnuts on July 13, 1937 to local grocery stores. The delicious scent of cooking doughnuts drifted into the streets, and passers-by stopped to ask if they could buy hot doughnuts. So, he cut the hole in an outside wall and started selling hot Original Glazed doughnuts directly to customers on the sidewalk.
J.Co Donuts and Coffee (J.Co Donuts and Coffee) is a coffee and donut store based in Indonesia. The company was founded by Johnny Andrean in 2005. The J.Co Donuts and Coffee menu features a rich assortment of donuts with a range of toppings, hot and cold coffee beverages, yogurts, fruit yogurt and sandwiches among others. Its cafes are open for business during 365 days an year and offer dine-in or carry out services. Furthermore, the company conducts its business operations through franchise business model. The company currently operates over 100 cafe stores in Indonesia, Malaysia, Philippines, China and Singapore under J.Co Donuts and Coffee brand. J.Co Donuts and Coffee is headquartered in Jakarta, Indonesia.
Emerging as a strong brand, J Co Donuts & Coffee has the potential to continue leading the value sales of chained bakery products fast food over the forecast period.

BACKGROUND OF THE STUDY

The researcher arrived on this topic to give knowledge to the customer readers about the customer’s preference between Krispy Kreme and J.CO in Trinoma Mall in terms of their quality of food service, and also to give an idea to the readers and customers to choose the suitable coffee and doughnuts that makes them comfortable and enjoy. There are people go to the coffee and doughnuts store to drink coffee and to eat some kinds of doughnuts.
Interviewer were conducted with a number of people from the business industry and a person with high interest in donuts to obtain their opinions concerning of having a new donut company in Malaysia as well as their views on the donut itself. An interview was conducted with Mr. John, Lecturer of SEGi College on 24March 2008 in a college classroom. Mr. John has been teaching as a lecturer for the past few years, specializing in the hotel management and promotional industry.
During the interview, he clarify that he do not like donuts for a reason that he claim donut is boring and contains a lot of sugar and further explains that donut is just a piece of bread with unreasonable price and it is not healthy. But what influences him to buy a donut is peer pressure, mostly because of friends that pressure him to buy a donut when they visit a donut store. He agrees that the donut industry have been blooming over the past years which can be seen that several companies have been opening new stores in Malaysia as Dunkin Donuts were monopolizing the donut market for many years and commented that the new companies are gaining so many customers is because of people going for the brands and being influenced by friends but in the future the brand will go down.
In the Philippines, Krispy Kreme has been sitting comfortably atop the (Iron) Donut Throne for years. People would willingly wait in long queues just to get their order. They’d hover uncomfortably over other (eating) diners in their desperation to get a table. Once, I waited in line just to purchase a forty-peso Hershey’s Cookies and Kreme donut. I felt so guilty and ashamed at first but was immediately exonerated as soon as I bit into the sweet pastry. For sweet tooths like other Filipinos, Krispy Kreme was donut heaven.
Fast-forward to today, more people now carry big yellow boxes of donuts home instead of the iconic white and green polka-dotted boxes of before. Gone are the long lines and creepy table hoverers at Krispy Kreme. Meanwhile, J.Co branches often look like J.Lo autograph-signings, ones where she’s giving each fan a strand of her post-performance armpit hair. It’s the only explanation for the amount of people in line.
Some of the people now seem to prefer J.Co over Krispy Kreme, because of their unique flavors of doughnuts and some people said that the doughnuts in J.CO is less sweeter than Krispy Kreme. J.CO prides itself for creating a life café concept that is vibrant and energetic, stylish yet interactive and customer-friendly, and for using only premium ingredients in its signature range of coffee & chocolate beverages and donuts which appeal to even the most discerning customers.

Objectives of the Study The researchers want to know the level of customer’s satisfaction of J.Co and Krispy Kreme of Trinoma Mall, Quezon City. Specifically, this study seeks to achieve the following objectives:
1. To know the profile of the respondents according to:
1.1 Name (optional)
1.2 Age
1.3 Gender
1.4 Civil Status (optional)
2. To know the level of contentment of customers in J.CO and Krispy Kreme with regards to:
1.1 Service
1.2 Facilities
1.3 Other amenities
3. How customer Satisfaction does affect the two different donut houses?

STATEMENT OF THE PROBLEM

1. What is the Demographic Profile of the sample in terms of the following;

1.1 Course,

1.2 Gender,

1.3 Age, and

1.4 Status of the Customer, ?

2. What are the factors that Influence the sample to avail their Products and Services in

terms of the following;

2.1 Taste and Quality of the Food,

2.2 Cleanliness of the Store, and

2.3 Good Grooming of the Staff?

3. What are the factors that can cause the Customer Satisfaction? SIGNIFICANCE OF THE STUDY

The purpose of the study is to provide information about the Comparative Study of the
Customer’s Satisfaction between Krispy Kreme and J.CO. It is important to know how to achieve Customer Satisfaction and to determine why customers patronized the Establishments.
This study benefits the following; This benefits the customers by letting them know that they are important to every establishment and to also let them know that they have the right to demand of the service given to them, offering them the opportunity to participate in the process of improving the system that has disappointed them. This study can also be used by the future researchers as a source of information or guide in relevance to their own research. It will help professors of Lyceum of the Philippines University to teach their students the values of working in a service industry. This will also help them to teach their students practically and effectively by not depending on textbooks and to let their students be sensitive with what the customers want from their service. SCOPE AND LIMITATION

This study covers the title J.Co and Krispy Kreme: Comparative Study of Customer Sales among related customers in Trinoma Mall, Quezon City.
This study will examine their preference in choosing between Krispy Kreme and J.Co as what they will choose instead of another company. The study is limited in the shoppers or walk – in customers all over the mall.
Their age, gender and nationality will not limit the scope. We rely on our respondents' feedbacks as long as they have experienced services from the said stores. Yet again, only the customers that have taken the survey questionnaire will be included in the study. The period of the study is from June to August 2013.

CONCEPTUAL FRAMEWORK OF THE STUDY

Independent Variables Interviewing Variables Dependent Variables

Figure 1.0
FEEDBACK
On the figure shown, it shown the relationship between the dependent and independent variables. It clearly shows that the customers of Trinoma, looks for the better quality of food, service and facilities. It’s really an advantage for a restaurant to have the best quality services that their restaurant offers to their customers. Interviewing variable is also a great factor to conclude in the conceptual framrwork of the study. It also depends on the personal status of the customer of his/her own preferences on the how he/she evualuate the service that the J.Co Coffee and doughnuts offer.
DEFINITON OF TERMS

For a clear view of the study and understanding of the terms used, here are the defined words to make the research more comprehensive to the readers.
• Comparative - Seeming to be something when compared with others.
• Satisfaction – The act of providing ● Breakfast - A meal eaten in the morning, the first of the day. ● Doughnuts -A small fried cake of sweetened dough, typically in the shape of a ball or ring ● Cleanliness – In a clean manner ● Cost – Is the value of money that has been used up to produce something. ● Food Choices – Foods preferred by individuals. ● Homemade - made or prepared at home, locally, or on the premises

Chapter III
RESEARCH AND METHODOLOGY
Research Design They study the use descriptive type of research wherein; data and other form of gathered information are summarized. Its direction and main concern was to know the Preference of the respondents of the study. Also descriptive method is a fact finding study with adequate and accurate in interpretation of the findings. And also the researchers use this kind of method to collect information about the food quality service of the J.Co and Krispy Kreme at the Trinoma Mall of Quezon City.
In this study, the researchers visited the Lyceum of the Philippines Library and the different websites on internet to gather some supporting information. Visiting a library was employed by the researchers to gather data and use them as basis for the study
The researchers conduct a survey-questionnaires to random three hundred shoppers of Trinoma Mall in Quezon City. Visiting library was employed by the researchers to gather data and use them as a basis for the study.

Participants of the Study Since the study is all about the Comparative Study of sales among related customers of J.Co and Krispy Kreme at Trinoma Mall, the researchers interview from both male and female whose ages are 16 years old and above. There will be 300 respondents in the said shopping mall. The researchers use survey questionnaires to each respondent that expresses different possible answers to the questions of the survey.

They selected the following based on the factors:
1. Gender
2. Age
3. Doughnut House
4. Civil Status The researchers use the Calmorin’s Formula to determine the ideal sample size. It gives the researchers and idea on how large his sample size needs to be to ensure a reasonable accuracy of results. The formula for this is:
Calmorin’s Formula
NV+[Se2(1-p)]
S= NS e+[V2p(1-p)]
Where in: S = Sample size N = Total number of population V = Standard Value (2.58) at 1 percent level of probability with 0.99 reliability Se = Sampling error (0.01) p = Largest possible portion (0.50)

Population number of person surveyed: 300
Solution:
S = (126 x 2.58 + [ (.01) 2 2 ( 1 - .5 )]) (126 x .01 + [(2.58)2 x .5 (1 - .5)])

= 87.3/ 87 (round off)

Formula for the Frequency Distribution (Percentage Formula)
P (%) = f x 100 n

Where in:
(P%) = percentage f = frequency n = number of distribution
100 = constant value

Sampling of the Study
The researchers used purposive sampling technique wherein conforms to certain criteria in sample selection and a group of foreign students are chosen as the respondent or part of the sample.
Instrumentation
3.1 Instrumentation Used The major instrument that the researchers are going to use for this study is the questionnaires. The survey uses a Likert scale, Likert scale is a psychometric scale commonly involved in research that employs questionnaires. It is the most widely used approach to scaling responses in survey research, such that the term is often used interchangeably with rating scale, or more accurately the Likert-type scale, even though the two are not synonymous.

Likert Scale for Satisfaction
RANK RANGE VERBAL INTERPRETATION
5 4.5 – 5.0 Strongly Satisfied
4 4.0 – 4.5 Satisfied
3 3.0 – 3.5 Neutral
2 2.0 – 2.5 Dissatisfied
1 1.0 – 1.5 Strongly Dissatisfied

Likert Scale for Agreement
RANK RANGE VERBAL INTERPRETATION
5 4.5 – 5.0 Strongly Agree
4 4.0 – 4.5 Agree
3 3.0 – 3.5 Moderately Agree
2 2.0 – 2.5 Disagree
1 1.0 – 1.5 Strongly Disagree

3.2 Validation of Instrument
The researchers include questions in the questionnaire that will be useful in getting information about the said topic of this study. Respondents will answer a checklist type of questionnaire for the researchers to tally the survey more accurately and for them to tabulate the survey easily. The validity of the questions inserted in the questionnaires is being seen for those related to the topic that this study is working on.
The researchers also use the formula of weighted mean to calculate and analyze the data used for average value.

Computation for the Weighted Mean
X = Σ fx N

Where in: Σ = Summation of frequency and midpoint f = frequency x = midpoint n = number of respondents

Data gathering Procedure The prepared questionnaires will be personally distributed in J.Co and Krispy Kreme at Trinoma Mall with the authorization of the owner. The questionnaires will be distributed to the selected customers. The respondents was given an opportunity to choose the best answer that is according to their perceptions and understanding. Each of the respondents have 5 to 10 minutes to answer the questions with utmost confidentiality. Questionnaires will be collected after the time they were distributed to analyze and tabulate the answer. It will be retrieved based on the date or schedule given by the owner. And when we complete the data, it is time to analyze the questionnaires which have been answered by the respondents.

CHAPTER 4
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA

This chapter presents the data which originated from the instruments, with the stress on the use of a statistical formula through mathematical computation, analysis and interpretation of data that have been collected.

PART I: Profile of the Respondents
Table 1.1 - Age
Age F Percentage (%)
17 years old and below 30 10%
18-24 years old 127 42.3%
25-34 years old 92 30.7%
35-44 years old 35 11.7%
45 years old and above 16 5.3%
Total 300 100%

Table 1.1 depicts the distribution of the respondents according to age, gathered using Survey Questionnaires. The table shows the age range of respondents were 17 years old and below to 45 years old and above. The percentage distribution of the total respondents according to age is as follows; 17 and below years old were 10%, 18 to 24 years old were 42.3%, 25 to 34 years old were 30.7%, 35-44 years old were 11.7%, 45 years old and above were 5.3%. Thus, the age with the biggest percentage of shoppers and visitors of Trinoma Malls who responded to the survey ranges from ages 18 to 24 years old.

Table 1.2 - Gender
Gender F Percentage (%)
Male 148 49.3%
Female 152 50.7%
Total 300 100%

Table 1.2 depicts the distribution of the respondents according to gender gathered using Survey Questionnaires administered to the subjects of the study. There were 300 respondents that compromised the sampling population. There were 148 male respondents that compromised 49.3%. There are also 152 female respondents that compromised 50.7% of the stated sampling population. Therefore the table clearly states that there were more female rather than male respondents, implying that majority of the sampling population included in this study was composed of female respondents.

Table 1.3 – Civil Status
Civil Status F Percentage (%)
Single 170 56.7%
Married 78 26%
Total 300 100%

Table 1.3 depicts the distribution of the respondents according to gender gathered using Survey Questionnaires administered to the subjects of the study. There were 300 respondents that compromised the sampling population. There were 170 single respondents that compromised 56.7%. There are also 78 married respondents that compromised 26% of the stated sampling population. Therefore the table clearly states that there were more single rather than married respondents, implying that majority of the sampling population included in this study was composed of single respondents.

CHAPTER 5
SUMMARY
This chapter summarizes the whole research process, from the problem and its background to the research methodology, summary of the study, conclusions and recommendation.
CONCLUSIONS
We therefore conclude that Krispy Kreme is much better doughnut than J.Co based on what we had research and tested and Krispy Kreme has its own unique flavoring rather than J.Co and the textire of Krispy Kreme are much more soft and tasty than J.Co RECOMMENDATIONS Based on the findings, the following are hereby recommended:
1. To the HR Deparments of the J.Co they must hire more efficient and effective employees so customers my not hesitate to come back.
2. J.Co must have a delivery so customers can avoid the long lane in their branch.
3. To HR Deparments of Krispy Kreme. They must hire more patient staff because some of the staff of Kripy Kreme are not that patient to wait the orders of the customer.