The Challenges in Marketing Strategies of Selected Food Cart

Owner in Paso De Blas

A Research Presented by Accountancy, Business and Management 11

Of Paso De Blas National High School

A RESEARCH PREPARED BY:

Alibay, Nathalie M.

Aprosta, Russel V.

Azures, Biel H.

Colaljo, Analyn M.

Galias, Kurt Ann B.

Retiro, Jessa R.

Rejano, Charlene C.

Cajimat, Nick Erving

Dantes, Ar-jae C.

GRADE 11-ABM (HERMES)

S.Y. 2019-2020
 CHAPTER 1

INTRODUCTION AND BACKGROUND OF THE STUDY

Food carts have been around in the Philippines for quite some time. According

to Fisher (2016), first they eat then they do everything else. From the friendly

neighborhood fish ball carts to the endless stalls they see in malls and train stations,

these quick snack peddlers have filled many hungry tummies on the go.

Laccay (2012), stated that Filipinos are certified food lover they love to eat from

time to time. The street food in the Philippines is popular among the Filipinos not only

because of being affordable but also it offers different variety of food.

Looking for a good location for food cart is not an easy task. There are many

factors to consider like the type of market, foot traffic, safety, etc. Also, they need to

consider the factors affecting USP (Unique Selling Proposition) the factor that

differentiates a product from its competitors, including the product, place, price and

the promotion. Food carts are often found in cities worldwide, selling food of every

kinds especially in Valenzuela Gateway Complex (VGC) at Paso de Blas.

According to the researchers (2019), Paso de Blas is near in tollgate, it has

many infrastructure and establishment like groceries and malls. This is a improving

and developing place, Last three years there was a terminal opened named

Valenzuela Gateway Complex (VGC) that provides public utility tricycles, buses,

jeepneys and UV Express. The terminal promotes an efficient network of transport

services to address the needs and wants of the riding public in the Valenzuela.

Paso de Blas is the best place to start a food cart business because of the factor

that many people passing through and get off here so customers will be easy. So that
many entrepreneurs start there own business in Paso de Blas. One of the popular

business in Paso de Blas is Food Cart business obviously because the Filipinos are

food lovers.

The following are the problems being faced by different food cart owners;

obtaining a license and permit takes a very long process, the problems about health

and sanitation sometimes cannot accommodate the space so the cleanliness should

definitely be arrange, then also cost is a challenge for the food cart owners considering

the difficulty to maintain the order of the business because as long as there are long

sellers, there will always be a problem with the place or with the equipment that they

need. Of course they will sustain this so that their business will become even higher

to others. Another challenge of the food cart owner is having the competitors that

pushes the customers to divide their preferences.

Small Business Law (n.d), in starting a business there are many challenges to

encounter also in starting a business also the failure is the most problems in start-ups

do not make it the often-prohibitive cost of starting a business.

According to Wang (2013), there are challenges that food cart owners and

entrepreneurs usually face in this business. Serving innovative food at fair prices is

not the only thing food cart owners have to think about.

Therefore the researchers will determine the marketing strategies that are

being practice by the establish food cart business and the challenges they face in order

to give an idea or techniques for the new entrepreneurs who have the idea of starting

a food business.
 Theoretical Framework

Marketing
Strategies

Product variety Channels

Quality Coverage
Design Product Place Assortments
Features Location
Brand name
Packaging
Target Inventory
Transport
Sizes
Warranties
Market
Returns

Price Promotion
List price Sales promotion
Discounts Advertising
Allowances Sales force
Payment period Public relations
Credit terms Direct marketing

Diagram 1: Illustration of Marketing Mix Theory Four P’s

This study is anchored on the theory of E. Jerome McCarthy (1960) for it

focuses on strategies in Four P’s (Product, Price, Place and Promotion).

McCarthy is an important American marketing theorist. He is the one that

reduced the model of marketing mix to Four P’s the Product, Price, Place and

Promotion this theory was his famous concept about marketing. He has been involved

in consulting work for various large organization. He also been active in executive

education. His theory was about the foundation business that are set of marketing

tools that use to pursue its marketing objectives in the target market.
 Marketing mix theory is an interrelated actions that are solutions to meet the

needs to achieve the company’s marketing goals. The Four P’s (Product, Price, Place,

and Promotion) Product is the physical product that refers to the services or

conveniences because the goal of Food cart owners is to satisfy the need of the

consumer, Place is the location on how the product will get to and where it need to be

sold also to determine if there are remaining stocks of product. In Price the product

does not always mean the specific price but often times it is repairing to price policy

Then Promotion is related to selling and communicating to consumer.

Conceptual Framework

Input Process Output

A.Respondents Profile Gathering data through
conducting interview
-Food Cart Owner in Paso De
Blas
Handbook about
-Had been long in selling
Marketing mix Four
B.Theory of Marketing mix Analysis of the data P’s(Product, Place, Price
Four P’s by E. Jerome through the gather and Promotion)
McCarthy (1960) information and interview of
transcription
-Product, Place, Price and
1.pdf
Promotion
-How they overcome the
Challenges being face
Creating an output about
C.Adaptation of “Marketing Marketing mix (Handbook
Strategies,Tactics and Of Marketing strategies)
Techniques: A Handbook for
Practioner” Handbook by
Stuart C. Rogers (2001)

Diagram 4 : IPO Model in Analyzing Challenges Face by Food Cart Owner Through

Theory of Marketing Mix Four P’s

 As shown in the figure the conceptual framework wherein the input is consist

of Respondents Profile in terms of Food Cart Owner in Paso de Blas and how long

had been they selling. Through the theory of Marketing mix Four P’s the respondents

are going to ask what challenges they face in selling.

In other hand, the researchers will gathered the number of respondents.

Furthermore, the interview will be used as the process in data gathering to determine

the challenges face by the Food Cart Owners for the transcription and analysis of data.

The output of the study will be a handbook about Marketing mix Four P’s, "Marketing

Strategies,Tactics and Techniques: A Handbook for Practioner” Handbook by Stuart

C. Rogers (2001).

The researchers will focused on finding out the challenges in Four P’s being

face by the Food Cart Owners that had been long in selling. The researchers going to

seek and analyze on how the Food Cart Owners overcome the challenges.

Statement of the Problem

This research focused to know the marketing strategies in Four Ps (product,

place, price and promotion) being practice by the food cart owner an (what)d how they

overcome the challenges being face.

Moreover this study intends to seek the following question:

1. What are the challenges faced by food cart owner?

2. What are the marketing strategies that food cart owners do to overcome the

challenges?
Significance of the study

The researchers believed that the findings of the study will be relevant to the

following:

To the new entrepreneurs, it will be helpful especially for them to give idea or

techniques in starting a food business.

To the food cart owners, it will help them to improve or develop their marketing

strategies in four P’s (Product, Place, Price and Promotion).

To the researchers, it will provide the researchers a chance to know the challenges

in four P’s (Product, Place, Price and Promotion) experienced by the food cart Owner

in Paso De Blas and the marketing strategies to overcome it. Also, to give useful

information that would be helpful for students who will continue and improve the study

for the following year.

Scope and Limitations

The focus of the study is to conduct an analysis of the challenges in four P’s(in four

P’s (Product, Place, Price and Promotion) experience by the foodcart owner in Paso

de Blas. The data are gathered through an interview from the respondents who are

experience foodcart owners existing until this year (2019).The analysis will be done

through the gathered information of the challenges in four P’s(Product, Place, Price
and Promotion) experience by the foodcart owner in Paso de Blas for this study is

anchored on the theory of E. Jerome McCarthy.

Some constraints include the problems faced by food cart owner.

Definition of Terms

The following are the terms that are used in the study were defined to have a

similar understanding between the researchers and the readers and to avoid

confusion.

Challenges-is something new and difficult which requires great

effort and determination.(IGI,Global,n.d)

Food Cart - A food cart is a mobile food service operation that generally offers various

types of fast food to walk-up customers. (wiseGeek,2003)

Food Cart Business- A business, enterprise or activity other than primary food

production (Food Business and Sale Of Food,n.d)

Marketing mix Four P's Theory - is an excellent way to help ensure that ‘putting the

right product in the right place will happen.(cleverism,2019)

Marketing Strategies - A marketing strategy is a business's overall game plan for

reaching people and turning them into customers of the product or service that the

business provides.(Investopedia,2019)

Marketing Mix Four P's Theory - Marketing Mix is a tool used by businesses and

Marketers to help determine a product or brands offering.(Professional Academy,n.d)

A quote by M.F.K. Fisher. (n.d.). Retrieved June 26, 2019, from

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Entrepreneur.com.ph.(n.d.).Retrieved from

https://www.entrepreneur.com.ph/board/index.php?topic=44529.0

FILIPINOS LOVE TO EAT! (2012, July 06). Retrieved from

https://www.juanderfulpinoy.com/filipinos-love-to-eat/

Top 5 Legal Issues for Food Truck Owners. (n.d.). Retrieved June 26, 2019, from

https://blogs.findlaw.com/free_enterprise/2013/05/top-5-legal-issues-for-food-truck-

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