Philippine E-Journals

A Project Feasibility Study on The Production and Marketing of Instant Coffee Mix with Paragis Extract

Ma. Cecillia AJ G. Baroja | Almira Joyce E. Caringal | Jemimah Lo Ruhama M. Vergara

 

Abstract:

Analyzing the state of the coffee industry, the proponents saw the strength of coffee production as agri-business sector that contributes to the development of the economy of the country, specifically, the production and marketing of cost-competitive instant coffee mix with Paragis extract. The proponents elaborated the competitive edge of Paragis (Eleusine Indica) as an alternative for the existing herbal and regular coffee mixes in the market by providing benchmarks of the price ranges of coffee mixes around Lipa City, specifically, in the chosen target modern trade channels like MS Supermarket, Masuerte Supermarket San Nicolas and Masuerte Supermarket CM Recto. The proponents developed a perception map to illustrate the competitive position of the proposed product. To determine the market acceptance of the proposed product, the proponents used various market research tools. Gathering 400 respondents as sample size, the proponents analyzed and interpreted the implications of the market research results. There is a great demand for coffee in the Philippines. According to the study conducted by Kantar Worldpanel on 2015, coffee is considered as the Filipino’s most staple beverage. Most of the coffee drinkers consume an average of two cups per day. The trends of projected demand, projected supply, unsatisfied demand, and production volume were progressive. The proposed business passed all the financial analysis tests, making it viable to be pushed through.