I.

INTRODUCTION

Innovation and new venture creation-this is what “Proven and Tasted” Enterprise
was made for. This is a partnership type of business and is owned by six amateur
entrepreneurs who wanted to generate something valuable which will have an impact
not only to themselves but to the community in general.

High quality fried proventriculus is the main product of the business. The
enterprises’ proventriculus or “proven” as known by many was improved by adding
additional ingredients to enhance the quality and palatability of the product.

The business also provides nestea and puso ” (rice wrapped in coconut leaves
and shaped like diamonds) as the secondary products.

1.1 Objectives

Generally, the business was conducted to introduce a new and innovated

product to the market. Furthermore, this was carried out for the owners to experience
becoming an entrepreneur and gain reasonable profit even in just a short span of time.

1.2 Target Market

Two principal target markets were involved in this business. During the Xavier
Days, the business was first exposed to the Xavier University Community including the
students and the walk-in visitors as well. The business had its second cycle during
Manresa days with Manresa people and visitors as its secondary target markets.
 II. METHODOLOGY

2.1. Production Strategies

Before serving on sticks, several methods were undergone to ensure the quality
of the product. There were six major steps that were followed in producing our very
own “proven”. As a sanitary requirement and to guarantee the quality and freshness of
our product, thorough cleaning or washing the proventriculus was done firsthand.
Chlorinated water was used and clean basins and containers were utilized. Secondly,
the raw materials had undergone the process of boiling or pre-heating. This was
basically done to kill harmful microorganisms and to soften the proventriculus as well.
After which, marinating the boiled proventriculus follows. Soy sauce, vinegar, and some
other spices were used as marinating ingredients. After 24 hours of marinating, the
proventriculus was then subjected to the coating process. Special breading mix along
with bread crumps were used in coating the product. Finally, the proven was
transported to the selling venue where it gone through the final step of cooking shortly
before the costumers buy them.

Dos’ and Don’ts in producing the Product

Since we were dealing with foods, one way of securing the freshness of the
product is to examine its physical state. Color characteristics were very important. Red
proventriculus were still good while those pale red were no longer recommended. Smell
is also an important factor. A foul smell means that the product was stored for several
days, thus it can’t be used anymore. During the process of producing the product,
proper sanitation must be well followed to prevent contamination. Proper cooking time
should also be checked inorder to maintain the consistency of the product taste. And
lastly, the products should undergone proper storage to avoid spoilage which was
considered as a major problem in venturing this kind of business.
 2.2. Pricing

Comparative method of pricing was used in pricing the product. Despite its edge
over the products of other established enterprise outside the university, the proven was
sold at the same price-5 pesos per stick.

2.3. Distribution

During the first cycle, the enterprise was strategically located in Xavier University
Main Campus to sell during the university’s festival days. The second location for the
enterprise’s second cycle was in the Manresa coconut area in time for the annual
Manresa Days Celebration. The enterprise was situated near other food stands and
thus there was a greater competition.
Both locations offered a very good market due to the crowd coming to participate
in the university events. Only the partially processed products were brought to the
selling area as they will undergo the final cooking process on site shortly before the
consumers buy the product.

2.4. Promotional Measures

The enterprise was small and short-lived and thus there was no need for
exaggerated promotion. However, the proven and tasted working staff focused mainly
on the consistency of appearance and flavor of the product as well as the efficient and
courteous service towards the customers as the main promotional measure.
SWOT Analysis

The proven produced by Proven and Tasted was in demand to the consumers
since it was undeniably cheap and affordable (it only costs P5.00 per stick). It was well
packaged and it tasted delicious, hence it really attracts the costumers and it satisfied
their hunger. Moreover, it was unique and it has an edge over the others, and so, many
were able to try and tasted our product.

Among the weaknesses of the production strategies were: limited stocks of raw
materials which led to paralysation of the production; the product needs intensive labor
and it was hard to produce, through which, slow production occurred; lastly,
inconsistency of product sizes was observable, thus it rendered low attraction to
consumers.

III. IMPLEMENTATION OF ACTIVITIES

3.1 Market Plan

Description of the product/service

Proven and tasted served high quality fried proventriculus or what is known by
the laymen as “proven.” The products were fried and served on sticks at an affordable
price. Proven also goes along fine with sweet and spicy sauce as well as “puso” (rice
wrapped in coconut leaves and shaped like diamonds).

Comparison of the Products with its competitors

“Proven” by Proven and tasted had the edge over its competitors in the market
since it used special ingredients such as bread crumbs in addition to the special
breading mix. The product was easy to dispose in the market since it was sold at
virtually the same price.

Market Area

Proven has been known in the market long before the enterprise started. The
competitors were already established. It is safe to say that they have made regular
costumers and were all located outside the university. The proven and tasted product
however enjoys the luxury of being the only one in its market inside the university
campuses – Main and Manresa. Thus, there were no identified direct competitors.

Main Customers

The market area for the enterprise is limited and the main costumers are the
university students especially agriculture students of Xavier university with the age
range between 17-30 years old. Unlike the market of our competitors located outside
the university, the proven and tasted proven is almost exclusive to the university
students if not because of the walk-in customers who are non-students. There are no
contact suppliers and customers since the business is small and short-lived.

Total Demand
There were no identified rival enterprises in the area. On the average, 100 sticks
of proven were sold daily to about 25 customers which buys at the average of four
sticks per head.

Market Share

During Xavier Festival Days and especially during Manresa days, there were no
direct competitors of the product. However there were a decent number of snack stalls
who indirectly compete with the product. Snacks like hotdogs, sodas and sandwiches
were everywhere but most of them were expensive and not very affordable for students.
Since there is no identified direct competitor of the product the estimated market share
is 100%.

Selling Price

Using the comparative method of pricing, the product, despite its edge over the
products of other established enterprise outside the university, was sold at the same
price-5 pesos per stick. The biggest factor considered is the capacity of the students to
buy.

Marketing Strategy

The marketing strategy employed focused on three areas namely: Product,

Pricing and Market Area. The product itself is already a strategy because it has features
which cannot be found in any of the more popular proven stalls outside the university. It
is coated with special breading mix and Bread crumbs. The price of the product was
also not different from those outside the university and thus students prefer to buy our
product because of the convience of being inside the university and edge over other
products of the same type.

Marketing Budget

Account Title Xavier Festival Days Manresa Days

Salaries and Wages P100.00 P50.00

(Marketing Officer)

Tarpaulin P5.00 ------

Pentel Pen P25.00 ------

 .2 Production/ Technical Strategies

Careful and clean ways of handling the product were the key ingredients in
producing a quality-based fried proventriculus. Since we were dealing with foods,
sanitary procedures were properly followed. Five (5) major steps were involved in the
production process. Cleaning the proventriculus was the first step, followed by boiling,
marinating (with the use of soy sauce and other spices), coating the marinated proven
with crispy fry and bread crumps and last is the deep-frying. The materials used were
locally available and in fact, they can be directly bought within the vicinity of the city
except for the proven which can only be bought in the wet market.

Product production needs intensive labor and it requires full cooperation among
members. Designation of tasks was orderly distributed. Two persons were assigned in
the cleaning process, the other two were in the marinating phase and the last two were
assigned in coating and cooking steps.

3.3 Organization and Management Strategies

The Proven & Tasted Enterprise is a partnership type of business. The following
are the principals of the venture: Karl Wyne Abregana, Anna Marie Hallasgo, Marie
Eugenie Palasan, Ivy Kristel Quiño, Kathrine Mae Abe, Sarah Jane Veloso and
Princess Meghan Galindo.

Mr. Abregana, Ms. Palasan and Ms. Quiño are 4th year Animal Science students
which specializes on farm animals’ production and management. They had gone
through with anatomy and physiology of farm animals that gave them sufficient
knowledge on the possibility of consuming the main product, “proven” which came from
the word proventriculus, a part of the chicken’s digestive system. Furthermore, they
had undergone Processing as an elective and part of the animal science curriculum
which provided them with further knowledge on meat processing.
 Ms. Hallasgo and Ms. Abe on the other hand, are 4 th year Crop Science students.
They specialized on the production and management of crops. They have distinctive
experiences in selling various products.

Furthermore, Ms. Veloso and Ms Galindo are 2nd yr Food Technology students.
They have deep understanding on the practices concerning the production of quality
and hygienic foods.

The Organizational structure employed in the business was as follows:

PROVEN & TASTED

ENTERPRISE

OVERALL IN-
CHARGE:
KARL WYNE

FINANCIAL HEAD: MARKETING PRODUCTION

ANNA MARIE HEAD: HEAD:
HALLASGO SARAH JANE IVY KRISTEL QUIÑO

AUDITING PROMOTIONS DISTRIBUTION

OFFICER: OFFICER: OFFICER:
MARIE EUGENIE PRINCESS MEGHAN KATHRINE MAE ABE

The overall in-charge of the enterprise is Mr. Abregana with the Financial,
Marketing, and Production heads as Ms. Hallasgo, Ms. Quiño, and Ms. Veloso
respectively. Moreover, the Auditing officer is Ms. Palasan, the Promotion officer is Ms.
Galindo and the Distribution officer is Ms. Abe.

Salaries for the principals were Php 100.00 on the 1st cycle and Php 50.00 on the
2nd cycle. Profits were distributed equally between the principals after the whole duration
of the business.
 The principals were able to perform their respective tasks during the operation of
the venture. They were even capable of multi-tasking during the absence of one which
prevented the paralysation of the business. The business flow was smooth despite the
absence of the other members.

3.4 FINANCIAL REPORT

Proven and Tasted

CASH FLOW STATEMENT

December 2011

PARTICULARS CYLE 1 CYCLE 2

Cash Balance, beginning 1,200 200

CASH INFLOW
Sales 720 500
Membership Fee 1,200 200

TOTAL CASH INFLOW 1,920 700

2,620
CASH OUTFLOW
Purchases 1518.55 190
Honorarium 200 100
Spoilage & Breakage 220

TOTAL CASH OUTFLOW 1,938.55 290

2228.55
Cash Balance, end 391.45

Proven & Tasted

 Statement of Balance Sheet

December 2011

PARTICULARS CYLES 1 & 2

CURRENT ASSETS
CASH ON HAND 1,791.45

TOTAL ASSETS 1,791.45

MEMBERS' EQUITY
SHARE CAPITAL 1,200
ADDITIONAL CAPITAL 200
PROFIT 391.45

TOTAL EQUITY 1791.45

IV. CONCLUSION

The proven is generated from the proventriculus of the chicken specifically, the
broilers which have a rapid production nowadays, through the utilization of
proventriculus as food, we have now reduced the probable wastage of such potential
food. Moreover, the hygienic measures and healthy innovation we had applied assured
the people on the safety of eating such kind of street food. Our products were also
cheap enough which greatly adapts to the economic status of most of the people.

The group had acquired significant learnings along the operation of the business.
First, they had learned how necessary it is to follow hygienic measures in handling food
since humans who consumed the product are at stake. Secondly, in establishing a
business, one needs to be patient enough to the different types of costumers and to
their fellow members. Lastly, they have improved their entrepreneurial skills specially in
talking and convincing people to try their product.

BUSINESS EVALUATION ON PROVEN AND TASTED ENTERPRISE

 Submitted by:

KARL WYNE ABREGANA

KATHRINE ABE
ANNA MARIE HALLASGO
MARIE EUGENIE PALASAN
IVY KRISTEL QUIŇO
SARAH JANE VELOSO
PRINCESS MEGHAN GALINDO

Submitted to:

Ms. Jerelyn Medalla

JANUARY 2011