Chapter I

INTRODUCTION

Background of the Study

Education is one of the ways that can lead a person to a dream destination which

can improve one’s life. With regards to this, Philippines is focusing and taking in step

with the world on improving the Education of the Filipinos. As the world is fast on

involving, it is also becoming competitive; Philippines needed to enhance the quality of

education being offered to its nation (Calaton, 2021).

The Philippines’ Education Industry has shown an important growth in the long

run owing to the adoption of an enriched education model. The financial support and

assistance from foreign countries have been helping the Philippine government in

establishing a better education system in the country. Programs and Initiatives have

been made by the Philippine government in order to improve the quality education in the

country. The great progress in terms of investments offered to the government by the

foreign countries accessed good quality education to the Filipinos and are likely to boost

the total number of enrollees, establishments and institutions in the education industry

in the Philippines (Delgado, 2021).

As one of the most progressive cities in the Philippines, Davao City takes pride

on providing the people with high quality education. The education system in Davao City

is composed of the private and public institutions, which aspires to develop the full
potentials of the students. In addition, prestigious institution aims to transform and to let

the youth become better individuals that can be respectable, responsible and globally

competitive people someday. Although, despite the high quality education given by

colleges and universities, there is still a need to establish an improvement to the

students’ education because students have difficulties in regards with their academic

performances (Magpantay, 2020).

Nowadays, most parents work to provide for the family and they are not always

at home to sit down and assist with the homework of their children. That is why the

researchers came up with this feasibility study of a business that provide personalized

attention at the student’s own pace of learning to improve grades and increase

motivation in learning.

Moreover, a tutorial center and the services it will offer can surely alleviate the

learning’s or knowledge the students can acquire. Also, one of the reasons why a

tutorial center can be a great assistance for Elementary and High School students is the

shortage of teachers who are equip or doesn’t have enough experience to be able to

instruct the mentioned students. Hence, the demand for private tutorial services is

driven by the way that most schools can't meet the educational criteria for all the

students, and furthermore the need to guarantee that understudies get together with

instructive principles broadly and globally.

The propose business name is KAMAYO Tutorial Center located at MDI Building

Poblacion, City of Mati, it caters elementary and junior high school students who has

difficulties in their respective subjects such as Science, Math, and English. The
business offers tutorial sessions with different schedules depending on the customers’

desires - taking shifts every morning, afternoon and evening. It offers daily, weekly and

monthly payment with a very affordable price. The business is open every weekdays

and office hours starts from 9:30am-8:00pm.

Objectives of the Study

Research Objectives

The main objective of the study is to determine the feasibility of proposed

business within the City of Mati specifically focused to;

1. To determine the marketability of the business;

2. To determine the initial capital requirements needed for the business; and

3. To determine the payback period and return on investment of the proposed business.

Significance of the Study

Students - provides services that guide and aid students in their learning.

Because of the benefits of tutorials, students can now meet and even exceed academic

expectations.

Parents – tutors provides personalized attention at the student’s own pace of

learning to improve grades and increase motivation in learning in the absence of

parents who are not always at home to sit down and assist with the homework of their

children.
 Possible Investors - It will channel idle resources of investors to fruitful

undertakings. This study will give information to existing businessmen on how they will

improve their products and services, and on how they will prepare for the new

generations will fit to the demands of consumers.

Local Government Unit, they can generate tax revenue for the government that

will be used in improving services and development of the locality.

To the researchers, they can acquire new skills and knowledge in feasibility

study that will be a big help in their profession as well as in the business world.

Scope and Limitation of the Study

This feasibility study covers the location of the proposed tutorial center in the City

of Mati. The main objectives of this study are to obtain information on various aspects of

business, including market, technology, management and organization, finance and

socio-economic. So the goal is to definitely determine if the business is viable or not.

The researcher will investigate and interview part of the population of Mati City.

The information obtained and the answers of the respondents will be used by the

researchers to develop a study of the proposed business.

Definition of Terms
 Tutorial Center – an establishment where commercial teaching or tutoring

services are provided. 

Initial Investment - The capital of a business is the money it has available to

fund its day-to-day operations and to bankroll its expansion for the future.

Return on Investment - a performance measure used to evaluate the efficiency

of an investment or compare the efficiency of several investments.

Net Present Value - is the difference between the present value of cash inflows

and the present value of cash outflows over a period of time.

Chapter II
 REVIEW OF RELATED LITERATURE

The global market for Private Tutoring Services is forecast to achieve a high level

of profitability (US $227 billion) by 2022, driven by the developing pressure on students

to enhance general evaluations, rising student inclination for individualized self-

managed academic tutoring plans, and the need to acquire competency and knowledge

aptitudes to contend in the extreme and competitive labor market. The foundation for

development in the market is the developing impression of education as an interest in

human capital with settlements as well-paying employments, higher compensation,

enhanced social standing and achievement in individual and professional life. Asia-

Pacific speaks to the biggest and the quickest developing business sector worldwide.

The development in the region is driven by variables, for example, developing

significance of education particularly in developing economies which offer beneficial

opportunities for skilled labor, growing aspiration among students to obtain admission

into renowned colleges, increased spending on tutoring among the growing base of

educated and prosperous middle class populace, talented work relocation into

developing economies and the subsequent increment in competition in the education

and labor markets (Global Industry Analysts, Inc., 2017).

Furthermore, the growth in this industry is to a limited extent credited to the

growing global competitive scene for advanced education, yet in addition for more

prominent acknowledgment of the value of review or tutorial schools or centers.

Consequently, as the Philippines adapted the K to 12 program last 2016, an

additional two years of learning has been promulgated before the students can go to
college. This indicates that supplementary subjects which they either took up or not in

their junior years will be thoroughly discuss. The subjects are deemed to be difficult

which needed a whole lot of understanding. Thus, as this newly implemented

educational system is still being tested in this country, and also, as teachers are still

adjusting with this new curriculum, with the help of the booming tutorial industry, it will

be easier for the students to keep up with the discussions and the challenges of the said

program (Global Industry Analysts, Inc., 2017).

According to Edge Davao (2017), the statistics of the students in Davao City in

relation with the graduation rate, drop-out rate and repetition rate is as follows: for the

graduation rate, it decreased to 91.96 in 2019 from 92.37 in 2018. The performance is

still higher compared to 90.14 posted in 2017. The drop-out rate increased from 7.31 in

2008 to 8.01 in 2019. There is a huge difference between the drop-out rate in the

secondary and the elementary levels. The repetition rate also has increased from 3.86

in 2017 to 3.90 in 2018. It further increased to 4.55 in 2019. Between the performance

of the elementary and secondary levels, the elementary level posts higher figures in

terms of graduation rate and it posts lower figures in terms of drop-out rate and

repetition rate.

The optimum solution to the problem is to create a tutorial center, the business

established a plan to make a tutorial center in order to sustain the needs of the students

in Mati City. It caters elementary and junior high school students who has difficulties in

their respective subjects such as Science, Math, and English. The business offers

tutorial sessions with different schedules depending on the customers’ desires - taking
shifts every morning, afternoon and evening. It offers daily, weekly and monthly

payment with a very affordable price.

Locally Known Tutorial Center in the Philippines

1. Linxprovi8 Training and Tutorial Services

Linxprovi8 is a young and dynamic organization intent on providing human

resourxe solutions which focus on personnel empowerment. We open doors to

opportunities by providing versatile programs that not only seek to share knowledge but

encourage growth and the development of potential. In each undertaking, we strive to

achieve conglomerate success through individual progress.

Linxprovi8 Training and Tutorial Services specialize in Academic and

Professional Education, Training and Development that specifically meets every

individual or company needs in both group and individual set up. Our main Tutorial

Center for in-house tutoring is located in Makati City, Quezon City and Las Piñas City .

Our experienced staff members possess the credentials and expertise to help you

achieve your training objectives. We provide the ultimate cost effective academic and

training solutions for companies who are cost cutting or private individuals with limited

budget. We are proud to say that we are currently the cheapest but first rate quality

educational and training provider in the Philippines (linxprovi8.com, 2022)

2. Kumon
 It all began in 1954 when a young boy’s mother found a math test in his pocket. That

boy’s name was Takeshi Kumon, and he was in his second year of elementary school.

Seeing that his test results were not as good as they usually were, his mother consulted

her husband about what to do. Her husband was Toru Kumon, a high school math

teacher at the time. To address his wife’s concern, Toru then began making math

worksheets for his son, Takeshi.

Toru believed that the work of an educator is to foster a mindset for self-learning in

children. So Toru Kumon went through much trial and error when creating learning

materials for his son in order that Takeshi would be able to work comfortably with the

materials each day and to steadily develop his skills. Based on his experience as a high

school teacher, Toru Kumon knew that many senior high school students had problems

with their math studies because of insufficient calculation skills. Therefore, he focused

on developing Takeshi’s calculation skills, and created materials that made it possible

for his son to learn independently. This was because, through his own educational

experiences, Toru Kumon knew that students could only gain genuine academic ability

by making progress on their own.

Toru Kumon wrote out calculation problems on loose-leaf paper for Takeshi, and the

materials that he created from 1955 became the prototype for today’s Kumon

worksheets. Takeshi quickly developed his ability through studying the materials

created by his father for half an hour every day. As a result, he was able to reach the

level of differential and integral calculus when he was just a few months into the sixth

grade. Following his success with Takeshi, Toru Kumon invited some children from the
neighborhood to come and study at his home, and instructed them in a similar way to

how he had instructed Takeshi. As a result, all of them greatly improved their academic

ability. Seeing this, Toru Kumon wished to develop the potential of as many children as

possible with his learning method. In 1958, therefore, he decided to establish an office

in Osaka and open more Math Centers. From that year the number of Kumon students

began to increase steadily. With reaching high school level material through self-

learning as the goal, Toru Kumon’s aim was to develop the ability of students to the

maximum by enabling them to study at a level appropriate for each individual.

Children have an inherent potential to grow. Through their practice of reading,

writing, and calculation, students develop the confidence to learn on their own. We at

Kumon consider education to be the nurturing of children’s ability to achieve self-

fulfillment in the future and realize their dreams and goals. Born out of a father’s love for

his son, Kumon is not restricted by the barriers of language, culture or history. As more

people hear about the benefits of the Kumon Method, it continues to reach greater

numbers of students throughout the world (kumonglobal.com,2022)

3. Tutorlink Tutorial and Review Center

Tutorlink with its 14 years of existence has been committed to providing high-quality

tutorials and review programs. Thousands of students have already benefited from

Tutorlink's personalized and comprehensive review programs delivered by our

competent, committed and caring teachers.

90% of our students get into one of their top-choice schools and almost 100% improved

their grades in just a few sessions! We build on our students' self esteem by helping

them master concepts and skills needed to improve on their scores in exams and

grades in school.

Our instructors are graduates of prestigious schools such as U.P., Ateneo and De La

Salle. They have undergone rigorous selection and training by U.P.-trained educators.

Knowledgeable in the subjects they teach, they are skilled in implementing effective

teaching strategies and techniques in tutorials and review classes. We are proud to

have teachers with genuine concern for students' welfare and development

(tutorlink.com.ph, 2022)

4. Tutorlink Tutorial and Review Center

Tutorlink with its 14 years of existence has been committed to providing high-quality

tutorials and review programs. Thousands of students have already benefited from

Tutorlink's personalized and comprehensive review programs delivered by our

competent, committed and caring teachers.

Over 70% of our students were referred to us by satisfied students and parents.

about 90% of our students get into one of their top-choice schools and almost 100%

improved their grades in just a few sessions! We build on our students' self esteem by

helping them master concepts and skills needed to improve on their scores in exams

and grades in school.

Salle. They have undergone rigorous selection and training by U.P.-trained educators.

Knowledgeable in the subjects they teach, they are skilled in implementing effective

teaching strategies and techniques in tutorials and review classes. We are proud to

have teachers with genuine concern for students' welfare and development

(tutorlink.com.ph, 2022).

5. Eureka! Tutorials & Learning Center

The word “Eureka” was popularized by the Greek mathematician Archimedes.

Eureka is a transliteration from the Greek equivalent “heúrka”, an interjection used to

convey excitement brought by a sudden discovery. It means “I’ve found it!” and as the

chosen name of tutorial center, the expression aptly communicates the joy and

excitement that mentors in Eureka feel imparting knowledge to students

Established in 2007 by Mr. Leonardo (known fondly by his students as Teacher A),

Eureka has distinguished itself as a tutorial center with the most number of full-time

professional tutors dedicated in the subtle Art of mentoring. As a result of years of

mentoring, teachers in Eureka are able to mentor a wide array of students, including

those who are enrolled in international curricula (K-12 system) such as the International

Baccalaureate Program, the IGCSE, the AP Program, and other rigorous academic

programs. With the recent migration of the Philippines’ educational system to the K-12,

the expertise of teachers in Eureka ranks it as a one-of- a kind tutoring and mentoring

center different from other academic centers. The Adaptive Method employed by
mentors is able to measure the level of the students, observe their way of thinking, and

devise the appropriate program suited for them.

Eureka offers Academic Training and College Entrance Test review programs for

both local and foreign universities. Many of Eureka’s students have gained admission

to the best universities in the Philippines such as UP, ADMU, DLSU, UST, MIT, as well

as the famous universities abroad such as Harvard University, Stanford University, UC

Berkeley, UCLA, McGill University (Canada), to name a few (eurekacentre.com, 2022).

KAMAYO Tutorial Center is a tutoring center which provides academic services

specializing in Math, Science and English to Elementary and Junior High School

students. The location is rented monthly by the owner, for the place is accessible for the

students and parents, also, it is safe and convenient. The tutoring center offers an

affordable price rate for the target customers who would want to enroll since the

organization ensures to educate the students for it has well-trained teachers. Also, the

organization thinks that the students are the most important asset of the tutorial center.

Indeed, KAMAYO Tutorial Center offers academic services for Elementary and JHS

students who has problem in the stated subjects.

METHODOLOGY

A. MARKET FEASIBILITY STUDY

a. Market Research Analysis

i. Demand Analysis

Parents want their children to be in advance as they go to school. Some of the

parents send their children to a tutorial center to enhance their knowledge in the

specified subjects. Tutorial center is a growing industry and continues to grow because

of the higher demand nowadays. The business starts with a small space and will have a

possibility of expansion after a year depending on the number of students. The business

ensures that it will deliver a high value of service to the customers.

ii. Supply Analysis

Emcor Mati, Gateway, Cityhardware are the major suppliers of the business.

Papers, ballpens, art materials etc. are from the Gateway. The business gets the chairs

and tables from the City hardware. Emcor Mati will be the supplier of the appliances

needed in the business and the raw materials and paint are from the City hardware. The

business will maintain a good relationship with the suppliers.

According to the demand analysis, this shows that the demand for tutorial center

is increasing dramatically. One of the reason why tutorial centers are big hit in the

Philippines because parents are usually busy in their work and they do not have time to

teach their children with their lessons and school works. Therefore, they have to tap the

service for those who have a skill in helping their children which is the tutors. Many

families need to hire tutors for their children so that their kids’ academics will not be

compromised while the parents work hard to provide for their necessities. In having a

tutorial center, right planning and good strategies it will able to accommodate the

students. Furthermore, it was concluded that the business would meet sufficient

demand to establish tutorial center in Mati City.

b. Market Strategies

i. Product Strategy

KAMAYO Tutorial center provides tutoring services to those Elementary and Junior

High School students who have difficulties in Math, English, and Science. BE SMART is

offering daily, weekly, and monthly services in affordable price. Taking shifts every

morning, afternoon, and evening depending on the customer’s desire. The company is

targeting 10 – 20 students each batch. Working hour is from 9:30AM – 8:00PM.

ii. Pricing Strategy

KAMAYO Tutorial Center offers daily, weekly, monthly payments with the amount of

PHP 300, PHP 1,200, PHP 4,500, respectively.

MATH PHP 300 PHP 1,200 PHP 4,500

ENGLISH PHP 300 PHP 1,200 PHP 4,500

SCIENCE PHP 300 PHP 1,200 PHP 4,500

Price reflects the quality of tutorial services provided to the students. KAMAYO

tutorial center determined the price through the factors such as competition, the service

quality, mode of education, brand name of the company, facilities provided, and the

location.

iii. Promotional Strategy

KAMAYO tutorial center will utilize social media marketing. The company will be

using social media sites like Facebook, Instagram and Tiwitter to promote and advertise

the business. The company will also create its own page on Facebook, Instagram and

twitter. Aside from social media marketing the company will also be using print media

like newspapers and magazines. The company will ask some newspaper prominent

companies to advertise the tutorial center. The company will also be having house

visiting for promotion. The company will give them flyers and talk to the parents to

encourage them to enroll their child to the tutorial center.

The company will also be using word-of-mouth. The satisfied customers will help in

promoting the company’s services to the potential customers. Overall, the company will

use social media marketing, print media, and word of mouth as tools of promoting

KAMAYO tutorial center.

The business will divide the service for elementary and secondary. In tutorial center,

student’s that has lack of knowledge in Math, English and Science and wants to have

an advance knowledge in the said subjects will be served by our business. After this, we

will target all the students and their parents who are willing to send their children in the

tutorial center.

v. Market/Product Flow

If the tutorial services are student-friendly and technology based, it will make the

business, KAMAYO tutorial center different. The business will not only to provide the

knowledge and teaching, also look after the students’ were it is not easy. So that

KAMAYO tutorial center points that only tutors can understand and hold the enrollees.

Admission process:

1. Application form

2. Interaction with child and parents

3. Survey-questionnaire sent to the parents

List of Documents to be produced by the parents at the date of admission:

1. Birth Certificate of the Child

2. Medical Certificate of the Child (for students with special needs)

3. Pass out certificate of the father/mother (school, graduation, post-graduation, etc.)

4. Proof of residence
vi. Sales Forecast

Sales forecast will be based on the result of the survey conducted by the

researcher to determine how many are willing to avail the tutorial services. And the

business will assume that number of students will increase by 10% every year and

the annual income of the business will also increase by 10% a year.