A feasibility study on Hug D\u27 Lite

The feasibility study undergone by the proponents is focused on the different aspects which a businessman must take during the course of setting up a business. Through the presentation of the marketing, technical, management and legal, financial, and socio-economic aspects, the study shows the potentiality venturing into a particular business. A pillow is essential to comfortable sleeping. With this in mind, the proponents came up with the idea of manufacturing a pillow that is both appealing and durable. SIX-2-MIX INC., conceived HUG D\u27 LITE, a pillow with glow-in-the-dark designs which will cost at P 225. The market study shows that there is demand for the product. Specifications such as product features, pricing, place of distribution, packaging and promotional tools are taken into consideration as well. The chosen population is composed of students from St. Benedict College (High School and College) and St. Scholastica\u27s College (High School). For a total of 338 students, 82% are willing to buy the product and a potential market share is 25.25%. The method of gathering data is through survey questionnaires given out to the target respondents. In the technical study, a time and motion study was conducted that considered the factors of effort, labor, and speed which affects production. The assembly line suits the corporation\u27s manufacturing process because it utilizes less time to produce a product as compared to the job shop method. All the tools, machinery, and equipment are essential in the production of HUD D\u27 LITE. Extensive canvassing was done to determine the corporation\u27s suppliers. The average capacity will provide the proponents with a quota of 19 units per day. Production cost per unit is projected at P 143.21. In the management and legal aspect, the form of ownership to be adopted that best suites the business is a corporation. The corporation will exists for the 10 month period starting October 1998 to July 1999. SIX-2-MIX INC., composing of six incorporators will contribute P 3000 each as initial investment, and subscription of 1500 shares with a par value of P 2. Rules and regulations are stated to provide the incorporators a guide to the operations of the business. In the financial aspect, certain assumptions and budget were made to come up with the projected financial statements and show that the business will be profitable. Consolidated net income for the period of October 1998 to July 1999 is P 38,644.25. And for the socio-economic, social desirability of the product and the factors contributing to its being socially desirable used as the basis. Among those affected are the government, direct and indirect competitors, suppliers, students/researchers, consumers, environment, and the proponents. Along with the major facts presented, the proponents can conclude that the product HUG D\u27 LITE can be manufactured and at the same time sold at a price profitable to the corporation. On top of all these, the business can be pursued in the near future as a large scale manufacturing company which will earn profit