Cyberhub Internet Shop

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Cyberhub Internet Cafe
Republic of the Philippines
NUEVA ECIJA UNIVERSITY OF SCIENCE AND TECHNOLOGY
Cabanatuan City
A FEASIBILITY STUDY ON
THE PROPOSED CYBERHUB INTERNET SHOP
In partial Fulfilment of the
Course Requirements in
PROJECT FEASIBILITY STUDY
Mr. Ferigrino Urbano
Adviser
Marco Joseph Bernacer
Bernardo Balic
Nelson Galang
Timtus Oliver Torres
Jaydee Nilo
Merberth Silvestre
Joey Gutierrez
September 19, 2011
RECOMMENDATION FOR ORAL EXAMINATION
This Project Feasibility Study entitled “A FEASIBILITY STUDY ON THE PROPOSED CYBERHUB INTERNET SHOP”, prepared and submitted by Marco Joseph Bernacer, Bernardo Balic, Nelson Galang, Timtus Oliver Torres, Jaydee Nilo, Merberth Silvestre, and Joey Gutierrez, in partial fulfilment on the requirements in the subject PROJECT FEASIBILITY STUDY has been examined and recommended for Oral Examination. APPROVAL SHEET

Accepted for Oral Examination
Mr. Felipe E Balaria
Chairman
Panel Members
Mrs. Mercedes Santos
Ms. Joy Nacino Mr. Juvenal Yabut
Accepted in partial fulfilment of the requirements in the subject PROJECT FEASIBILITY STUDY. Mr. Ferigrino Urbano
Adviser
Ms. Jocelyn Cruz
Dean. CMBT
ACKNOWLEDGMENT
The researchers would like to extend their special appreciation to the following persons: Mr Ferigrino M. Urbano, their feasibility study Adviser, for his guidance and unwavering support; Miss Cherry Hernandez, owner of Kanuto’s Internet Shop for the information she furnished the researchers; Mr and Mrs Carlos Pajarillaga, owner of the boarding house, for accommodating the researchers during the preparation of the project; They will never forget the Lord who gave them all the knowledge and strength. The Researchers

DEDICATION
To our parents, brothers, and sisters;
To our loved ones;
MJSGB
BMB
JTG
NBG
TOET
JTN
MSS
Table of Contents
RECOMMENDATION FOR ORAL EXAMINATION i
ACKNOWLEDGMENT ii
DEDICATION iii
LIST OF TABLES vii
LIST OF FIGURES viii
I. Summary of the Project 1
1.1 Name of the Firm 1
1.2 Location 1
1.3 Brief Description of the Project 1
1.4 Project Summary 3
1.4.1 Market Feasibility 3
1.4.2 Technical Feasibility 3
1.4.3 Management Feasibility 4
1.4.4 Financial Feasibility 5
1.4.6 Socio-economic Impact 5
II. Introduction/Background of the study. 6
2.1 Brief Background of the Study 6
2.2 Operational Definition of Terms 7
III. Market Study 9
3.1 Market Description 9
3.2 Methodology 10
3.3 Demand 13
3.4 Supply 15
3.5 Demand – Supply Analysis 16
3.6 Market Share 18
3.7 Marketing Strategies 19
3.7.1 Pricing 19
3.7.2 Promotions and Advertising 20
3.7.3 Advantages against competitors 23
IV. Technical Study 24
4.1 Services 24
4.2 Business Operation 24
4.3 Machines and Equipment 26
4.4 Computer Software 29
4.5 Furniture and Fixtures 33
4.6 Supplies 35
4.7 Utilities 36
4.8 Labor Requirements 37
4.9 Building Location 37
4.10 Building and Facilities 39
4.11 Building Size and Layout 41
4.12 Services 42
4.12.1 Capacity to provide service 42
4.12.2 Service income forecast 43
4.13 Waste Disposal 44
V. Management study 45
5.1 Forms of Business Organization 45
5.2 Capitalization 46
5.3 Manpower Requirements 47
5.4 Organizational Structure 47
5.5 Legal Requirements 50
VI. Financial Study 51
6.1 Total Project Cost 51
6.2 Sources of Funds 52
6.3 Assumptions Underlying Projections 52
6.4 Projected Cash Flow Statement 53
6.5 Projected Income Statement 54
6.6 Projected Balance Sheet 55
6.7 Schedules 57
6.7.1 Service Income Forecast and Other Service Income 57
6.7.2 Non-Current Asset 58
6.7.3 Gains on Sale of Assets 60
6.7.4 Depreciation 61
6.7.5 Accumulated Depreciation 62
6.7.6 Salaries, Utilities, Income Tax and Permits and Licenses 63 VII. Financial Analysis 65
7.1 Return on Investment 65
7.2 Payback Period 66
A. Return on Investment 67
B. Payback Period 67
VIII. Socio-economic impact 68
Appendices 70
Appendix A – Sample Questionnaire and Survey Results 70
Appendix B – Online Order Forms...
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