I. Executive Summary

A. Brief Description of Products and Services
The JNJ Enterprises produces chairs which will be selling to its consumers. The name of their product is called “WELL CHAIR”. The positioning statement of JNJ Enterprises is “WELL CHAIR with CARE”, C for CLASS, A for AFFORDABILITY, R for RECYCLABILITY, E FOR ENVIROMENTAL CARE. “WELLCHAIR” is a product that has unique design which their customer will greatly benefit from their quality products in terms of, comfort, and appreciation of the room environment. “WELLCHAIR” helps to decorate homes in very attractive designs and it helps to create pleasant, productive office environments with well-designed furniture that transforms a simple room into the classic mode, in which people can stay. Also in home decoration “WELLCHAIR” helps to spend a happy moment together with their family. The JNJ Enterprises always provide the best possible value to their customers who care about quality office environments and home decorations.
The features of their products are the following: (1) backside of the chair (rattan plastic) – it has the function to lean on and it has benefits for comfort and relaxation. (2) the seat (made of tire/foam/rubber)- has the function to sit onto and has mini cabinet to put the things and has benefit to relax and to feel relieve and at the same there is an organizer inside the tire. (3) leg extender- which has a function of extending your legs and has a benefits of comfort and can calm down your feeling.

B. Target Market
The JNJ Enterprises distribute their products in Iloilo, Cebu, Dumaguete and Bacolod. The population of Iloilo, Cebu, Dumaguete and Bacolod comprises around 100,000-900,000 people.
The JNJ Enterprises distribute their products to their consumers, male and female, that age around 25-70 years old. Families in the Philippines comprise of 5 members and above and sometimes they are extended by other relatives and that is the target consumers of the JNJ Enterprises. They also distribute their products to professionals, executives, business people, managers, crafts people and farmers because of the needs and demands of their workplace.
The most lifestyle of Filipinos that would fit to their products are environmentalists and lovers of unique furniture. Environmentalist in the sense that the WELL Chairs have features that are; first, is the backside of the chair (rattan plastic) has the function to lean on and it has benefits for comfort and relaxation. Second, is the seat (tire/foam,rbber) has the function to sit onto and has mini cabinet to put your things and has benefit to relax and to feel relieve and at the same there is an organizer inside the tire. Last, is the leg extender which has a function of extending your legs and having the benefits of comfort and can calm down your feeling. The collectors of unique furniture will buy the product to add more to their collection and beautification of their house. “WELLCHAIR” is a product that has unique design and customer will greatly benefit from our quality products in terms of valuable, durability, affordable prices, comfort, and appreciation of the room environment. “WELLCHAIR” helps to decorate homes in very attractive designs and it helps to create pleasant, productive office environments with well-designed furniture that transforms a simple room into the classic mode, in which people can stay. Also in home decoration “WELLCHAIR” helps to spend a happy moment with your family. The JNJ Enterprises always provide the best possible value to their customers who care about their quality office environments and home decorations. Chairs are usually used by the consumers and which is also part of their everyday living. The loyalty of consumers to the JNJ Enterprises is based on the products and services that they are providing.

C. Competitive Advantage The JNJ Enterprises offers innovative product. If customers want a new product to try, the JNJ Enterprises has something to offer to their consumer.
The JNJ Enerprises offer competitive pricing. They can compete with other competitors because the price of their products as to thers is closely related.
The JNJ Enterprises offers high quality product. They have the strength to offer products in the market because of the good quality it possesses as it describes its features and materials in description of the product above.
The JNJ Enterprises offer recycled but has a high quality product. Their product is made from the scrap which can help the environment reducing the waste in the surroundings.
In terms of price, JNJ Enterprises’s WELL Chair has the lowest price. The price of WELL Chair is very affordable for the customer.
In terms of discounts, Well chair has the highest discounts to give compare to the others. D. Positioning Statement
The name of the product of the JNJ Enterprises is called “WELL CHAIR”. The positioning statement of JNJ Enterprises is “WELL CHAIR with CARE”, C for CLASS, A for AFFORDABILITY, R for RECYCLABILITY, E FOR ENVIROMENTAL CARE. We do this by ___(3a)___, ___(3b)___, and ___(3c)__
Next, ask yourself the following three questions.
1. Who is Your Target Market?
This should be a pretty straight-forward question. Who are the types of businesses or consumers you want your brand to reach? What are their interests? How do they make decisions? Who or what influences them and why? The more specific you can be, the better. Think about all of this, then write down your target market in slot 1.
Examples: Men ages 24 -35; Park Rangers; Upper-Middle Class Expectant Mothers
Men and women ages
2. What Unique Value Do You Provide Them?
What do you think you’re the best in the world at? What value do you provide your customers that no one else can provide? What service offering are you most confident in?
Examples: The lowest prices on sporting goods, The highest quality hats, More peace of mind
3. Why Should They Believe You?
How can you back this up? This could mean anything from showing your process to sharing data statements to prove that you’re for real. Make a list of three reasons to believe.
Example:
a. We eliminate overhead by selling online.
b. We form partnerships with major brands to sell their overstock content.
c. We can match any other price you find online.
Proofreading Your Brand Positioning Statement
If you’ve been playing along, you should have a brand positioning statement drafted up. Here’s mine:
Brice Co. provides Men ages 24 -35 with lower prices on sporting goods than any other sporting goods store. We do this by eliminating overhead, forming strategic partnerships with major brands, and matching any other price on the web.
This isn’t a bad start. Remember, if you’re doing this right, it means that your brand positioning statement is internal-facing only. This shouldn’t be viewed as an elevator pitch or a tagline, but rather as an opinion on who you are and who you want to be. Here are a few questions you should ask as you proofread your Brand Positioning Statement: * Can we really stake claim to this position? Does someone else provide this value to this market better than we do? How can we adjust our target market or offerings to better position ourselves? * Does this leave room for future growth? Can we change one element to attack new verticals or would we need to rewrite the entire positioning statement? * How comfortable is the rest of the company with this position? Are we comfortable being the low cost provider, or would we rather be a luxury good? Does this positioning statement match your brand’s essence?
If you’re looking for more help defining your brand’s position in the marketplace, you should do a full brand audit. Simply click the button below and we’ll send you our FREE DIY Brand Audit to help your company take the next step towards dominating your market.

2016 (in Php) | | Revenues | *20 Well Chair will be | 360,000.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 36,000.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 48,000.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 356,880.00 | Earnings Before Tax | | 3,120.00 | Tax 32% | | 998.4 | Earnings After Tax | | 2,121.60 | E. Anticipated sales, profits and market share
The JNJ Enterprises will earn revenue of PHP 360,000 from the 20 chairs that will be sold in a month. The JNJ Enterprises expect to sell 240 chairs the whole year of 2016. 2017 ( in Php) | | | | | Revenues | *20 Well Chair will be | 396,000.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 37,200.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 49,200.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 358,080.00 | Earnings Before Tax | | 37,920.00 | Tax 32% | | 12,134.40 | Earnings After Tax | | 25,785.60 |

The JNJ Enterprises assume that they will earn revenue of PHP 390,000 from the 20 chairs that will be sold in a month. The JNJ Enterprises expect to sell 240 chairs for the whole year of 2017.

2018 ( in Php) | | | | | Revenues | *20 Well Chair will be | 435,600.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 36,720.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 48,720.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 357,600.00 | Earnings Before Tax | | 78,000.00 | Tax 32% | | 24,960.00 | Earnings After Tax | | 53,040.00 |

The JNJ Enterprises will earn revenue of PHP 435,000 from the 20 chairs that will be sold in a month. The JNJ Enterprises expect to sell 240 chairs the whole year of 2018.

II. Market Situation Analysis A. Economic Environment
The JNJ Enterprises depends its purchasing power on the current income of Filipinos especially the Illonggos. Base on the 2014 survey of Jing Villamente, the monthly income of every family is Php 8,778.00 and it shows that most Filipinos can now afford to buy furniture that came from their savings. The JNJ Enterprises consider the monthly income of Filipinos before they set prices on their furniture.
The towns in Iloilo except Pavia are also towns with the biggest population in the province. The following are the list of towns with biggest operating income during the 2009 fiscal year according to Marcos D. Tourist.

1. Oton- Php 103,903,161 2. Pototan- Php 91,712,566 3. Lambunao- Php 91,035,625 4. Janiuay- Php 86,867,094 5. Dumangas- Php 84,887,269 6. Miagaio- Php 82,267,230 7. Cabatuan- Php 79,298,479 8. Sta. Barbara- Php 77,850,465 9. San Joaquin- Php 77,400,633 10. Pavia- Php 77,050,611 11. Barotac Nuevo- Php 73,717,352 12. Tigbauan- Php 72,177, 135 13. Sara- Php 71,142, 632 14. Carles- Php 70,475, 987 15. Barotac Viejo- Php 68,557, 188

The JNJ Enterprises distinguish different places with five different income-distribution patterns: (1) very low incomes, (2) mostly low incomes, (3) very low, very high incomes, (4) low, medium, high incomes and, (5) mostly medium incomes.
The market for WELL Chair is costing more than Php 1,500.00. The market would be very high in Iloilo because it belongs to (5) income patterns. Most families in Iloilo can afford to purchase WELL Chair because Illonggos prefer to buy products that within their budget. B. Social Environment
It has always been said that the family is the building block of society. Pinoy families can be considered as a family-oriented. Unlike in Western countries Filpinos upon turning the age of 18 are not expected to move out of their parents’ home and get a place to himself/herself. The Filipino’s parents are old and cannot take care of themselves, they are very rarely brought by their children to Homes for the Aged, and often this practice is looked down upon.
The reason why most Filipinos work hard is because to provide the needs of their families. One of the primary needs of a family is a shelter where they can gather and give them a feeling of well-being. A shelter can be composing of furniture that may provide them a comfortable feeling when they are exhausted from work and school.
Filipinos often speak in the way that they are conscious that the furniture had been rearranged or it was less friendly than usual. Filipinos are also conscious about the chemicals being used to build furniture. The Well Chair of JNJ Enterprises is an example of Upcycling which is the process of converting waste materials or useless products into new materials or better quality or for better environmental value. It is their idea to create natural handmade furniture, perfect for eco homes and creative green living for Filipino. The JNJ Enterprises run the business in the ‘greenest’ way possible and although they don’t claim to be saving the world with a few generic environmental policies they do face-up to their responsibilities as a group of individuals and try to make a difference. In this day and age, do Filipinos still go for classic pieces of furniture or have they shifted their sites toward more modern, more stylish pieces. A lot of Filipino families bought classic pieces of furniture with the aim of keeping their timeless home furnishings for a long time and passing them on the next generation.

C. Technical Environment
Technologies today create new product and market strategies.
Business owners or entrepreneurs have the vision to recognize consumer wants and to devise ways to meet them.

D. Industry Environment
In today’s generation most Filipinos are very particular to furniture’s design. Many companies have been offering different and unique sofas and chairs. Others refer it as his art and masterpiece. The Philippine art industry is huge. Art in the Philippines is used as a creative expression, as well as an investment that appreciates over time. Various government and private training facilities enhance the natural talent of Filipinos for art and design. Skilled workers and designers widely practice apprenticeship, thereby ensuring that the business and artistic expertise of companies are well preserved and enhanced throughout the years.
The Philippine furniture industry is one of the most labour-intensive and artistic industries in the country. Furniture companies tap the hardworking, creative and enterprising qualities of Filipinos in manufacturing high-quality furniture. Because of this, the Philippines is known as the “Milan of Asia.” Philippine furniture is made using the finest sustainably-sourced raw materials such as hard wood, buri, rattan, bamboo, metal, and other indigenous products. The wood, box beds and mattresses, office and store fixtures, and plastic furniture subsectors are domestically, oriented while the rattan, and metal subsectors are export-oriented. The creativity and industry of the Filipino is the cornerstone of the longstanding success of the Philippine furniture industry. This gives agility and flexibility to produce furniture according to the needs and tastes of buyers. While the industry is also capable of mass production, many companies specialize in producing customer-specific furniture items, which have higher value and durability. Specialization enables contract manufacturing, allowing the industry to cater to the growing needs of families, hotels, restaurants, real estate developers, and tourism-based enterprises.
The JNJ Enterprises made the WELL CHAIR base on the basic trends in the Philippines. They make sure that their design is unique and different to the other products. The seat of the WELL Chair is made of tire and the backside of chair is made of rattan.
The JNJ Enterprises also claim that their product is not new in the industry. Although a chair has been introduced to the market, the JNJ Enterprise still made their products something for everyone. Whatever the consumer’s style and how much their budget, the WELL Chair has it all. Affordable price recyclable chairs, quality materials and more uses which costumer be able to buy because of its uniqueness. Their sales tend to go up to reach 1/3 of the whole market share which is meeting or exceed customer’s needs and expectations. When it comes to their product it give them the ultimate in comfort, letting them stretch out and relax. The JNJ Enterprises assure that quality of their product will be satisfied by their customers. E. Competitive environment
The JNJ Enterprises consider the following as competitors because they have same variety of product offer to the market but have different offering in terms of the features and price. They compete against generalized furniture manufacturers, cheaper furniture, and the mainstream merchandise in the major furniture channels and office supply stores.
ROCKING CHAIR (MANDAUE FOAM)

Mandue Foam offers the ROCKING CHAIR to their consumers. This Rocking Chair provides consumers a durable, relaxing and comfortable and provides a very smooth back and front motion rather than a rocking chair. Its cost is only ₱2,700.
RATTAN SOFA SINGLE SEATER (SM HOME STORE)

SM HOME STORE introduce the RATTAN SOFA SINGLE SEATER to their consumers. It is cost as low as ₱3,000. Its features are the following: a. solid core b. high quality extra thick rattan c. high quality extra thick rattan d. rugged design & relaxed style

COMFY CHAIR (advertised through facebook)

This Comfy Chair is costing around ₱12,000. It has a mini compartment, multipurpose table, backrest and chair with arm rest. This advertisement offers that if the consumers buy 2 chairs they will get discounts of 10%, 20% or 30%.
To understand and to compare more the differences of the WELL Chair of the JNJ Enterprises, the following are the list of differences of the products, price, features, promotions, discounts and services. PRODUCTS | PRICE | FEATURES | PROMOTIONS | DISCOUNTS | SERVICE | 1. WELLCHAIR | ₱1,500 | 1. Seat (made of tire)2. Backside of chair(made of rattan)3. extension4.secret storage | 1. giving flyers2. personal selling3. referrals, 4. sales promotion | 3 for 5000 per bundle or whole sale basis | Free delivery (if they buy 10 or more chairs) | 2. ROCKING CHAIR (MANDAUE FOAM) | ₱2,700 | 1. durable2. relaxing and comfortable3. modern design4. Provides a very smooth back and front motion rather than a rocking chair | 1. Online (www. Mandaue foam.com.ph)2. magazine3. advertising (radio & newspaper) | Buy 1 and get 10% off for another products or for the second option | Free delivery | 3. RATTAN SOFA SINGLE SEATER (SM HOME STORE) | ₱3,000 | 1. solid core2. high quality extra thick rattan3. modern living4. rugged design & relaxed style | 1. brochure2. flyers | 10%, 20%, 30% per month (if they have sale of SMAC) | Customer service | 4. COMFY CHAIR | ₱12,000 | 1. mini compartment2.multipurpose table3.foam4.backrest5.chair with arm rest | 1. online (through facebook) | If you buy 2 chairs you will get discounts of 10%, 20% or 30% | Delivery service:- within the city (free delivery)-outside the city (₱200 it depends on kilometers) |

In terms of price WELL Chair has the lowest price. The price of WELL Chair is very affordable for the customer.
In terms of promotion, the JNJ Enterprises has a low performance compare to Mandaue foam, they have many ways to promote their product. For furniture and fixture (SM department store), they have brochers and flyers for their promotion.
In terms of discounts, Well chair has the highest discounts to give compare to the others.

F. SWOT Analysis
The following are the overall evaluation of JNJ Enterprise’s Strength, Weaknesses, Opportunities and Treats Analysis. Strengths * Innovative Product. The customer wants a new product to try; they wish to have a unique product to use like our product. * Competitive Pricing. We can compete with other competitors because the price of our products as to theirs is closely related. * Quality Product. We have the strength to offer our products in the market because of the good quality it possesses. * Recycled. Our product is made from the scrap; it can help the environment reducing the waste in our surroundings. | Weaknesses * Lack of brand awareness. It is because our product is new in the market therefore it is not yet branded so we cannot easily make a brand name. * The availability of the materials. It is because if the materials we need is not available in the market we may have difficulty in buying the parts/materials we need. | Opportunities * Growing numbers of furniture customers. If the customer is satisfied with the product it results to the growth of the number of customers in which they can influence their acquaintances to buy the product. * Increasing customer awareness and consciousness in the environment. In offering good quality product and giving knowledge about the product, customers may increase their awareness in selecting products. | Treats * Increased Competition. Competition exists always and competitors can make products to compete with our product. * Down–Ward Pricing Pressure. We are challenge to lessen the price of the product to compete with other competitors. * Copying. If they copy our product it is a challenge to us to innovate or to upgrade our product so that we can compete to them. * Inflation of materials. We are challenge to generate our profit due to the increased of the price of the materials. |

G. Political environment
A recycling law would give the recycling industry a major boost and spur the creation of new companies making new products from recycled materials. In the Philippines there is an act for waste management and that is Ecological Solid Waste Management Act: Environmental Protection Through Proper Solid Waste Practice.
Waste mismanagement has serious environmental effects making the passage of the Republic Act (RA) 9003 or the Ecological Solid Waste Management Act of 2000 a landmark environmental legislation in the Philippines. The law was crafted in response to the looming garbage problems in the country. RA 9003 declares the policy of the state in adopting a systematic, comprehensive and ecological solid waste management program that ensures the protection of public health and the environment and the proper segregation, collection, transport, storage, treatment and disposal of solid waste through the formulation and adoption of best environmental practices. Moreover, it illustrates the potentials and benefits of recycling not only in addressing waste management problems but also in alleviating poverty.
RA 9003 was passed by the Philippine Congress on December 20, 2000 and was subsequently approved by the Office of the President on January 26, 2001. It contains seven (7) chapters sub-divided into 66 sections setting out policy direction for an effective solid waste management program in the country.
The JNJ Enterprises manage their business in the ‘greenest’ way possible and although they don’t claim to be saving the world with a few generic environmental policies they do face-up to their responsibilities as a group of individuals and try to make a difference. Their purpose why they invent this product is to show the importance of the environment so that we made this kind of product.
III. MARKET SEGMENTATION AND CUSTOMER ANALYSIS A. Market Segmentation
The JNJ Enterprises segmented the different statuses of Filipinos and how consumers use it.

* Office Employee’s- the age range of the other employees are in 25-60 years old. Their lifestyle is middle because they can afford to buy our product. They want not just common/ordinary chair but a unique one that adds beautification in their office and it has use like you can keep/put the extension under the chair. The gender is either male or female.

* Lovers of unique furniture- their lifestyle is in middle class because they have enough money to buy our product for their collection. This lover of unique furniture ranges their age to 23-70. They will go to use our product to add more to their collection and beautification of their house. The gender is either male or female.

* Newlywed Couples- their lifestyle is in middle class because they have already work and they can afford to buy our product. The age ranges from 25-40 they will going to use it for their daily lives as a married couple. The gender is either male or female.

* Interior Designers- they want new product furniture that has unique design for their client. Their age ranges from 18-70 years old. Their lifestyle is in the middle class because they can also afford to buy our product. The gender is either male or female.

B. Target Market/ segment characteristics Geographic | Location | Iloilo,Cebu,Dumaguete,Bacolod | Population | Under Iloilo: 424,619 Cebu:866,171 Dumaguete: 120,883 Bacolod:520,820 | Demographic | Age | 25-70 years old | Family Size | 5+ | Family life cycle | large extended | Gender | Male and female | Occupation | Professionals, Executives, Business People, Managers, Crafts People and Farmers | Psychographic | Lifestyle | Environmentalist and lovers of unique furnitures | Product benefits | Quality, Uniqueness, Valuable, Durability, Affordable, and Comfort | Frequency of use | always and everyday | Brand Loyalty | products and services | | |

Geographic. The JNJ Enterprises distribute their products in Iloilo, Cebu, Dumaguete and Bacolod. The population of Iloilo, Cebu, Dumaguete and Bacolod comprises around 100,000-900,000 people.
Demographic. The JNJ Enterprises distribute their products to their consumers, male and female, that age around 25-70 years old. Families in the Philippines comprise of 5 members and above and sometimes they are extended by other relatives and that is the target consumers of the JNJ Enterprises. They also distribute their products to professionals, executives, business people, managers, crafts people and farmers because of the needs and demands of their workplace.
Psychographic. The most lifestyle of Filipinos is environmentalists and lovers of unique furniture. Environmentalist in the sense that the WELL Chair’s features are; first, is the backside of the chair (rattan plastic) has the function to lean on and it has benefits for comfort and relaxation. Second, is the seat (tire) has the function to sit onto and has mini cabinet to put your things and has benefit to relax and to feel relieve and at the same there is an organizer inside the tire. Last, is the leg extender which has a function of extending your legs and having the benefits of comfort and can calm down your feeling. The collectors of unique furniture will buy the product to add more to their collection and beautification of their house. “WELLCHAIR” is a product that has unique design and customer will greatly benefit from our quality products in terms of valuable, durability, affordable prices, comfort, and appreciation of the room environment. “WELLCHAIR” helps to decorate homes in very attractive designs and it helps to create pleasant, productive office environments with well-designed furniture that transforms a simple room into the classic mode, in which people can stay. Also in home decoration “WELLCHAIR” helps to spend a happy moment with your family. We always provide the best possible value to our customers who care about quality office environments, home decorations, and we want you spent with us. Chairs are usually used by the consumers and it is part of their everyday living. The loyalty of consumers to the JNJ Enterprises is based on the products and services that they are providing.

C. Market research findings * Products and services and their customer fit

“WELLCHAIR” is a product that has unique design and our customer will greatly benefit from our quality products in terms of, comfort, and appreciation of the room environment. “WELLCHAIR” helps to decorate homes in very attractive designs and it helps to create pleasant, productive office environments with well-designed furniture that transforms a simple room into the classic mode, in which people can stay. Also in home decoration “WELLCHAIR” helps to spend a happy moment with your family. We always provide the best possible value to our customers who care about quality office environments, home decorations, and we want you spent with us. The most lifestyle of Filipinos is environmentalists and lovers of unique furniture. Environmentalist in the sense that the WELL Chair’s features are; first, is the backside of the chair (rattan plastic) has the function to lean on and it has benefits for comfort and relaxation. Second, is the seat (tire) has the function to sit onto and has mini cabinet to put your things and has benefit to relax and to feel relieve and at the same there is an organizer inside the tire. Last, is the leg extender which has a function of extending your legs and having the benefits of comfort and can calm down your feeling. The collectors of unique furniture will buy the product to add more to their collection and beautification of their house. “WELLCHAIR” is a product that has unique design and customer will greatly benefit from our quality products in terms of valuable, durability, affordable prices, comfort, and appreciation of the room environment..
Our brand name is “WELL CHAIR” while our positioning statement is “WELL CHAIR with CARE” C for CLASS, A for AFFORDABILITY, R for RECYCLABILITY, E FOR ENVIROMENTAL CARE.

* Customer profiles
The JNJ Enterprises distribute their products to their consumers, male and female, that age around 25-70 years old. Families in the Philippines comprise of 5 members and above and sometimes they are extended by other relatives and that is the target consumers of the JNJ Enterprises. They also distribute their products to professionals, executives, business people, managers, crafts people and farmers because of the needs and demands of their workplace. * Customer characteristics * Customer needs and wants
IV. Objective and goals A. Mission Statement
To attain those certain strength, knowledge, and skills to contribute an increase of reputation in manufacturing local product demanded be able to face those challenges that will arrive, enhance to maintain the company from providing services and job as well to be an asset for local and national level.

B. Objectives for Volumes, Sales, Market Shares, Gross Margins, Net Profit, Return on Investment | Assumption | 2016(in PHP) | 2017 | 2018 | Revenue | *20 Well Chair will be sold in a month (20x12x1,500) | 360,000.00 | 390,000.00 | 435,600.00 | | *sales in 2017 is expected | | | | | by 10%*sales in 2018 is expected by 10% | | | | Less: Expenses | | | | | Variable Expenses: | | | | | Wages | *2paxX12 monthsx1,500 | 36,000.00 | 37,200.00 | 36,720.00 | Gasoline | *1,000x12 | 12,000.00 | 12,000.00 | 12,000.00 | Total Variable Expenses | | 48,000.00 | 49,200.00 | 48,720.00 | | | | | | Fixed Expenses: | | | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | 240,000.00 | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | 68,880.00 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | 308,880.00 | 308,880.00 | | | | | | Total Expenses | | 356,880.00 | 358,080.00 | 357,600.00 | Earnings Before Tax | | 3,120.00 | 37,920.00 | 78,000.00 | Tax 32% | | 998.4 | 12,134.40 | 24,960.00 | Earnings After Tax | | 2,121.60 | 25,785.60 | 53,040.00 | | | | | |

C. Convert objectives to goals by assigning magnitudes and dates

The JNJ Enterprises uses the break-even point so that they can determine when they'll begin to turn a profit and assists them with the pricing of their products.

2016 Fixed Costs | Variable Costs | General Labour | PHP 50,000 | rattan plastic | PHP 20,000 | Electricity | PHP 38,000 | Wires | PHP 5,000 | Advertising | PHP 100,800 | Paints | PHP 5,000 | Utilities | PHP 120,080 | Foam | PHP 18,000 | TOTAL | PHP308,880 | TOTAL | PHP 48000 |

2017 Fixed Costs | Variable Costs | General Labour | PHP 50,000 | rattan plastic | PHP 20,900 | Electricity | PHP 38,000 | Wires | PHP 5,000 | Advertising | PHP 100,800 | Paints | PHP 5,000 | Utilities | PHP 120,080 | Foam | PHP 19,000 | TOTAL | PHP308,880 | TOTAL | PHP 49,900 |

2018 Fixed Costs | Variable Costs | General Labour | PHP 50,000 | rattan plastic | PHP 20,700 | Electricity | PHP 38,000 | Wires | PHP 5,000 | Advertising | PHP 100,800 | Paints | PHP 5,020 | Utilities | PHP 120,080 | Foam | PHP 18,000 | TOTAL | PHP308,880 | TOTAL | PHP 48,720 |

Formulas:
1. VC/U = (Total Variable Expense/number of product sold x 12 months)
2. CM = (SP/Unit -VC/Unit)
3. BEP = Total Fixed Cost/Contribution Margin
Where;
VC is Variable Cost
CM is Contribution Cost
BEP is Break Even Point
SP is Selling Price 2016 | 2017 | 2018 | | | | | | | | | | | | | 1. VC/Unit = | 48,000 | | 1. VC/Unit= | 49,200 | | 1. VC/Unit= | 48,720 | | | 20 x 12 | | | 20 x 12 | | | 20 x 12 | | = | 200 | | = | 205 | | = | 203 | | | | | | | | | | | 2. CM = | 1,500-200 | | 2. CM = | 1,500-205 | | 2. CM = | 1,500-203 | | = | 1,300.00 | | = | 1,295.00 | | = | 1,297.00 | | | | | | | | | | | 3. BEP = | 308,880 | | 3. BEP = | 308,880 | | 3. BEP = | 308,880 | | | 1,300 | | | 1,295 | | | 1,297 | | = | 238 | | = | 239 | | = | 238 | |

Based on 2016, 2017, 2018 total variable expenses for the chairs within a year is PHP 48,000, 49,200, 48,720. The JNJ Enterprises must sell each chair contribution margin of PHP 1,300 or higher just to cover those costs. But if the pizzeria charges PHP 1,500 for the finished product, then it receives PHP 200 per chair to contribute to the fixed costs and ultimately the JNJ Enterprises overall profits.

V. Strategies and tactics
A. Pricing Strategy
Our product is worth (₱1,500) one thousand five hundred per piece. We also offer 4 for ₱5,000 per bundle or whole sale basis. If customer will buy in volume of our product like if they will buy 50-100 pieces we will accept partial payment.
B. Product Strategy
“WELLCHAIR” is a product that has unique design and their customer will greatly benefit from their quality products in terms of, comfort, and appreciation of the room environment. “WELLCHAIR” helps to decorate homes in very attractive designs and it helps to create pleasant, productive office environments with well-designed furniture that transforms a simple room into the classic mode, in which people can stay. Also in home decoration “WELLCHAIR” helps to spend a happy moment with Filipino family. They always provide the best possible value to their customers who care about quality office environments, home decorations, and they want their customers to spend with them. Their features are; first, is the backside of the chair (rattan plastic) has the function to lean on and it has benefits for comfort and relaxation. Second, is the seat (tire) has the function to sit onto and has mini cabinet to put the things and has benefit to relax and to feel relieve and at the same there is an organizer inside the tire. Last, is the leg extender which has a function of extending your legs and has a benefit of comfort and can calm down your feeling. Their brand name is “WELL CHAIR” while their positioning statement is “WELL CHAIR with CARE” C for CLASS, A for AFFORDABILITY, R for RECYCLABILITY, E FOR ENVIROMENTAL CARE.

C. Place Strategy

The JNJ Enterprises place its products and services in an attempt to gain market share and consumer purchases. It distributes its products in different ways:

Wholesaler is person or a firm that buys large quantity of chairs or in bulk from the JNJ Enterprises, and resells to retailers. They put additional prices to each chair and wholesaler avail discounts to the JNJ Enterprises when they buy in bulk.

Next in line is the Retailer which are the businesses or person that sells chairs to the consumer, as opposed to a wholesaler or supplier from the JNJ Enterprises. The same as the wholesaler, they sell the chairs with additional prices.

The JNJ Enterprises locate its branches in Iloilo, Cebu, Dumaguete and Bacolod. In each locations, there are employees and managers to manage the businesses. The real owner of the JNJ Enterprises were residing here in Iloilo so they prioritize more their business here in Iloilo but of course they also contacting their personnel in Cebu, Dumaguete, and Bacolod. They also visiting the other branches once a month.

Since the JNJ Enterprises is a manufacturing business, they also ensure the widest distribution possible for their products. They sell the products in as many locations or markets as possible. They sometimes lower their prices in order to reach customers nationwide or even globally but of course the products remain its high quality.

D. Promotion Strategy
The JNJ Enterprises promote their products by giving flyers to those people they encounter. They are using mix of advertising like personal selling, referrals, sales promotion, and public relation to promote their products and services through identifying prospects, pre-approach- by undertaking research about prospects, approach- they make actual contact with the prospect, and presentation and demonstration- they presenting and demonstrating the features and benefits of their products. They will donate some products to the organizations that help the needy and poor, in return they can get free advertisement that can generate large potential buyers and boost their sales in return.

E. People Strategy The JNJ Enterprises consider people as the greatest asset of any business. People are the pipeline through which their products and services pass from them to the final consumer. The more effective the pipeline, the better the outcome will be for all concerned. The process of managing people is through recruiting or getting the right people on their team, training by empowering them by right knowledge and skills, supervising through making sure they are keeping on the right track, motivating them to be committed and satisfied, evaluating by measuring the performance and rewarding to provide adequate recognition, financial gain and growth opportunities.
The following are the techniques and strategies how they manage their people/employees. * Compensation and benefits
The Department of Labor and Employment usually urged every company and employers to reward their employees who reported for work during the slaught of calamities. The JNJ Enterprises usually provide their employees an additional pay aside from their salary for the day. * Motivation
The JNJ Enterprises gives incentives to their employees so that they will be motivated to work during calamities and when they may be given monetary and non-monetary returns in exchange for their time, talents, efforts and results. * Recruitment
The JNJ Enterprises hires a delivery man, driver, accountant and sales man. These employees and employers has its own responsibilities and duties in the business. * Employee’s Separations
The JNJ Enterprises is giving a certain penalties or warnings to those employees who are always late and have consecutive absences. The company conduct 7-15 days suspension if the employees have so many late and absences. The 7-15 days was not paid. The JNJ Enterprises also conduct 30 days suspension, it is where they give it to the employees who committed unnecessary actions. Example, their employees didn’t remit the money to the sales manager or have committed undisciplinary actions towards their co-workers. Their employees also undergo hearing with the audit. It is only for the employees who are located on sales. The termination was given to their employees if they committed actions that beyond the rules and regulations of the company. * Trainings
The JNJ Enterprises focus to its lower level of their organization. Employees who are located to deliveries undergo trainings and seminars in relation on the proper packaging and delivering of their product.

F. Process Strategy
The JNJ Enterprises used its own process strategy. The process strategy of JNJ Enterprises gives direction, and makes decisions on allocating its resources to pursue its goals and objectives.
Below are the strategies of the JNJ Enterprises.

CUSTOMER NEEDS

AVAILABILITY OF MATERIALS

CAPITAL

WORKFORCE
The JNJ Enterprises create a product that will suit to the everyday lifestyle of every Filipinos, a product that most Filipinos used in their daily lives. In previous explanations, the JNJ Enterprises identified their target market, market segmentation location and personalities. They also provide products to depend on the needs and statutes of their consumers.
Next in line is the availability of materials. After they identified the needs of their consumers, they look after the available materials for their products. Chairs can be made from wood, metal, or other strong materials, like rubbers or rattan. In some cases, multiple materials are used to construct a chair; for example, the legs and frame may be made from metal and the seat and back may be made from plastic. Chairs may have hard surfaces of wood, metal, plastic, or other materials, or some or all of these hard surfaces may be covered with padding. According to the JNJ Enterprises the design may be made of porous materials, or be drilled with holes for decoration. The back may extend above the height of the occupant's head, which can optionally contain a headrest.
After they identified the availability of materials for their product, they allocate capital for their products and operations. The JNJ Enterprises believes that their business needs investment and capital for it will be used as the foundation to operate their business. They need money to invest in shop premises and products which they wish to purchase and stock for selling to people. They also need to build a capital investment for establishing factory and packing materials. Capital is necessary for them to defray the necessary expenses of their business.
Lastly, the JNJ Enterprises focus on workforce. The JNJ Enterprises hired employees and other personnel to operate their business. The JNJ Enterprises are staffed their employees and personnel according efficient and actual supply of talent. They believe that if their business is more efficient, it can avoid the need for layoffs or panic hiring. By planning ahead, they can provide managers with the right number of people, with the right skills, in the right place, and at the right time.
The following are the list of the impact of good workforce planning according to the JNJ Enterprises. 1. Rapid talent replacement. JNJ Enterprises rapidly figure out positions that are vacant due to sudden turnover so that production or services don’t miss a beat. 2. Smoothing out business cycles. JNJ Enterprises smooth out the cycles by developing processes that ramp up and down their talent inventory and work effectively during both good times and lean times.
It results to:
• No delays: The JNJ Enterprise ensures that they can meet production goals by employing the right number of people.
• The right skills: Ultimately increasing product-development speed because the JNJ Enterprises has the brightest people with the right skills to take products through to their launch--on time.
• Employee development: The ability to ramp up rapidly on new projects because the JNJ Enterprises has prepared and trained internal talent to meet the project needs. G. Priorities, Responsibilities, and time frames
The table below includes the majority task of The JNJ Enterprise that must be carried out in order to successfully produce a “WELL CHAIR” product.

Priority Order of "WELL CHAIR" making tasks | Priority | Tasks | Weeks Before | 1 | Examine feasibility of making a chair- The JNJ Enterprise is wishing to produce a product that is cost-effective, unique and environmental-friendly. Examining the resource needed and develop a budget. | 22-25 | 2 | Appoint effective Architect and consultant- The JNJ Enterprise needs to recruit a person with suitable skills, knowledge and personality to take responsibility for managing the product from start to finish. | 19-22 | 3 | Form a team- The JNJ Enterprise not requires having a larger number of individuals on production but it needs a smaller number of individuals with skills and knowledge to assist in faster transactions. | 19-22 | 4 | Develop a detailed strategic plan- The appointed Architect and consultant with the assistance of their workers of The JNJ Enterprise must identify the resources and task needed to the production of “WELL CHAIR”. They must have a creative mind, common sense and an eye toward overall profitability. To aim attractive product display is one of the goals of The JNJ Enterprise. | 19-22 | 5 | Secure workplace- The JNJ Enterprise wants to secure a workplace that the workers can exercise their skills and roles on production stage. | 19-20 | 6 | Seek investors- The JNJ Enterprise It is important to anticipate that investors may be involved in preparing their budgets. The investors must measure the company’s future success by looking at its financial strength and evaluating its future cash flows. | 18-20 | 7 | Allocating budget- The JNJ Enterprise wants to have a product that is cost-effective and can suit the styles of the consumers. Budgeting is very important, especially in a large numbers of products to maximize and minimize their profit and loss. | 16-18 | 8 | Seeking efficient materials and equipment- In searching materials and choosing equipment is an important element in production. It is necessary to choose materials that work well to each other. | 14-16 | 9 | Securing loyal customers- It is important to know the product, the marketplace where it is available, the department or category in which it is sold, and the demographics of the typical consumer who purchases. | 12-14 | 10 | Print promotional materials- brochures, fliers, email announcements, website and direct mail. These are the examples of effective promotional materials that can benefit potential customers in educating about The JNJ Enterprises, products and services they offer and the public awareness of the business. | 12-14 | 11 | Production of “WELL CHAIR”- The JNJ enterprise master the standard weeks to complete. Workers shows in their harmonious teamwork to produce a product that has unique design and their customer will greatly benefit from their quality products in terms of, comfort, and appreciation of the room environment. | 10-12 |

The JNJ Enterprise set goals to achieve something by managing their time in order to work towards their goals. A systematic time frame allows them to complete the project on time. VI. BUDGETS AND CONTROLS a. Sales, expenses and marketing budget tools for review
The JNJ Enterprises carefully plan and review their finances. They often use budget plan for future business growth and expansion. Capital save on regular expenditures may be placed into a special reserve account designated for selecting new business opportunities. Budgeting for future growth opportunities ensure the JNJ enterprises to have capital on hand when they need to make decisions for expanding business operation. One of the reasons why they control their budget it is because they need to limit their expenditures. For them, limiting the amount capital spent, they can save money and meet their budget limits.

The following are the list of expenses and assigned budget for the year 2016,2017 and 2018.

Budget Limit: PHP 350,000 | | Available: PHP 41,120 | | | | Item | Budget(2016) | General Labour | PHP 50,000 | Electricity | PHP 38,000 | Advertising | PHP 100,800 | Utilities | PHP 120,080 | TOTAL | PHP308,880 |

For the year 2016, the budget limit is PHP 350,000 only. The total expense for the year 2016 is PHP 308,880. The JNJ Enterprises has an available capital of PHP 41,120. Budget Limit: PHP 350,000 | | Available: PHP 41,120 | | | | Item | Budget(2017) | General Labour | PHP 50,000 | Electricity | PHP 38,000 | Advertising | PHP 100,800 | Utilities | PHP 120,080 | TOTAL | PHP308,880 |

For the year 2017, the budget limit is PHP 350,000 only. The total expense for the year 2017 is PHP 308,880. The JNJ Enterprises has an available capital of PHP 41,120 for the year 2017. Budget LimitPHP 350,000.00 | | AvailablePHP 41,120.00 | | | | Item | Budget(2018) | General Labour | PHP 50,000 | Electricity | PHP 38,000 | Advertising | PHP 100,800 | Utilities | PHP 120,080 | TOTAL | PHP308,880 |

For the year 2018, the budget limit is PHP 350,000 only. The total expense for the year 2018 is PHP 308,880. The JNJ Enterprises has an available capital of PHP 41,120 in the year 2018.

2016 has available budget of PHP 41,120 the same as to the year 2017 and 2018. The JNJ Enterprises has a total of PHP 123,360 capital savings that they will use for future expenses and expansion of their business.
The following are the list of revenues, sales and expenses of the JNJ Enterprises. 2016 (in Php) | | Revenues | *20 Well Chair will be | 360,000.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 36,000.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 48,000.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 356,880.00 | Earnings Before Tax | | 3,120.00 | Tax 32% | | 998.4 | Earnings After Tax | | 2,121.60 |

2017 ( in Php) | | | | | Revenues | *20 Well Chair will be | 396,000.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 37,200.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 49,200.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 358,080.00 | Earnings Before Tax | | 37,920.00 | Tax 32% | | 12,134.40 | Earnings After Tax | | 25,785.60 |

2018 ( in Php) | | | | | Revenues | *20 Well Chair will be | 435,600.00 | | sold in a month | | | (20x12x1,500) | | | *sales in 2017 is expected | | | by 10% | | | *sales in 2018 is expected | | | by 10% | | | | | Less: Expenses | | | Variable Expenses: | | | Wages | *2paxX12 monthsx1,500 | 36,720.00 | Gasoline | *1,000x12 | 12,000.00 | Total Variable Expenses | | 48,720.00 | | | | Fixed Expenses: | | | Rent (warehouse) | *20,000x12 months | 240,000.00 | Salaries | *2 paxX287x20x12 | 68,880.00 | Total Fixed Expenses | | 308,880.00 | | | | Total Expenses | | 357,600.00 | Earnings Before Tax | | 78,000.00 | Tax 32% | | 24,960.00 | Earnings After Tax | | 53,040.00 |

b. Contingency plans and risk management
The JNJ Enterprises are facing the following problems that can affect to their business operations. * Lack of brand awareness. Their product is new in the market. The JNJ Enterprises is still not well known to consumers. * The availability of the materials. The availability of materials is hard to find because they don’t have their own suppliers of rattan. They usually buy rattan through online. Sometimes the delivery of materials causes delays and it causes the delay of operations.

The best way to defray the problems of the JNJ Enterprises, they need to promote their product more effective. The following are the suggestions for their problem: * They need to give coupons to their consumers when they are come to buy so that consumers will remember their business and also it can also help to build customer loyalty. * They need to publicize their product. Post it on facebook, create an advertisement for the televisions and radios so that they can more the attention of consumers. * Create special events. Sponsor some events which their products will be acknowledge.
The JNJ Enterprises also encounter treats in their business. But they need to cope up those treat. They need to make possible risk to enhance their business skills. The following are the treats that the JNJ Enterprises encountering. * Increased Competition. Competition exists always and competitors can make products to compete with our product.
Solutions: Innovate and adopt changes. Technology is the most enemy of each business. The JNJ Enterprises should learn to adopt the changes in demand of their consumers. They need to add their capital. * Down–Ward Pricing Pressure. The JNJ Enterprises are challenge to lessen their price of their product to compete with other competitors.
Solution: They don’t need to lessen their price, instead, think another alternative solutions how their consumers will be loyal to them. Example, if the consumer already purchases their products thrice a year, they need to give their consumer discounts. They can also provide a loyalty card for those consumers that purchase their products in bulk. These method can attract consumers attention. * Copying. If they copy our product it is a challenge to us to innovate or to upgrade our product so that we can compete to them.
Solutions: The JNJ Enterprises should make their products which are hard to copy. They need to learn how to innovate. * Inflation of materials. We are challenge to generate our profit due to the increased of the price of the materials.
Solutions: The JNJ Enterprises need to invest their savings to generate more income. The earnings will be used to spend to the necessary need for materials to their product.