A feasibility study on the proposed product pillowkette (Simply Comfortable, Inc.)

Ten business management majors under the entrepreneurship program of De La Salle University formed Simply Comfortable, Inc. The corporation formed by the proponents is a humble contribution to the growing pillow and blanket industry, not only inside the campus, but also in the real business industry. The proponents will be meeting every Saturday from 08:00 a.m. to 17:30 p.m. at 325-B P. Guevarra Street, San Juan, Metro Manila for the production of the pillowkette. Pillowkette, as named, is a pillow and a blanket. It is not the typical bulky comforter common in the market. Previous practicum group, such as Pilforter, Inc., made a great innovation in the comforters. They made it lighter to make it suitable for traveling, and experimented with different shapes for fun. Pillowkette is also lightweight, but it does not come in different shapes. It tries to give more comfort to its target market by providing them with a pillow and a blanket at the same time. Pillowkette consists of a pillow and a blanket that uses cotton cloth. The blanket, which makes up the pillowkette, measures 45 X 60 and is made up of two cloths joined together with a fiberfill stuffing between them. It can be folded into a bag, where the pillow measuring 24 X 17 is placed inside. The handle attached to the blanket makes it easy to carry. A transparent plastic bag will serve as its packaging. The pillow has open fiber for its stuffing and uses the same cloth design as the blanket. The proponents decided to market pillowkette to students, professionals, and employees, particularly those residing in apartments and dorms. They decided to sell to a market that they strongly feel needed the pillowkette most. They had determined that there would be a large market for the product from people who are not living in their permanent residences. Pillowkette would provide them with a clean pillow and blanket that will give them a good night sleep. Pillowkette is portable so it will not add much to the luggage that they have to bring. Pillowkette is also suited to those who like outdoor activities. The product tries to find its usefulness to trips such as mountain climbing to neighboring provinces or an overnight stay to island resorts. It is ideal for travelers who have to go on short trips, but do not want the hassle of bringing pillows and blankets that will burden them. The market study helped the proponents to determine the viability of the product to the primary market. A sample size of 341 tenants out of 2,986 tenants from different apartments, boarding houses, condominiums, and dormitories in Manila, Makati City, Pasig City, and Quezon City participated in the survey. The proponents used systematic random sampling to ensure that everyone on the population list has an equal chance of being selected. The proponents conducted a series of time and motion studies to determine the plant capacity. The average capacity is six units. The efficiency rate is 78.74%. The proponents are going to meet at Timothy Leung\u27s house in San Juan for production. The proponents decided on his house because other proponents live farther North in Valenzuela or South in Pasig City. San Juan was chosen due to its being at the central location. The cost of producing pillowkette is P 326.90. The proponents used cost-based pricing strategy in coming up with the price and they decided to put a mark up of 50%. The selling price of the product is P 490. The proponents have to sell 117 units in order to break-even. The management study tackles the form of ownership taken by the proponents and that is a corporation. The positions and responsibilities of the proponents are indicated in this section. The rules and regulations to be implemented during the operation are also stated. A Gantt Chart is devised to plan the sequence of different activities. The financial study shows the projected profitability of the business. It attempts to forecast the financial status of the business during its operations for the next ten months. The proponents would be able to produce 216 units and if all these units are sold, the proponents will have a projected income of P24,174.32. Finally, the proponents must not forget that the corporation must have a positive contribution to the society. The proponents will try their best in improving their skills in sewing to give quality products to its customers. The proponents may also give additional income to other sewers if the demand for the pillowkette is greater than what the proponents can actually produce. Through hard work, endurance, cooperation from all of them, the proponents believe that they are able to meet the challenges that lies ahead