Asia Pacific Journal of Academic Research in Business Administration, Vol. 1 No.

1, April 2015

Operational Performance of Purified Asia Pacific Journal of

Academic Research in
Water Business in Batangas City, Business Administration
Vol. 1 No. 1, 11-19
Philippines: Basis of Enhanced Business April 2015
Operation Initiatives [email protected]

Ashlyn P. Macatangay1, Ebinson A. Bautista1, Arlene Sarah B.

Francisco1, Anne Rose P. Magsino1, Sheela Mae G. Sarmiento1,
Maribeth G. Buenviaje1, Imelda L. An2
1
College of Business Administration, Lyceum of the Philippines University,
Batangas City, Philippines
2
College of Education, Arts and Sciences, Lyceum of the Philippines
University, Batangas City, Philippines
1
[email protected]

Date Received: January 10, 2015; Date Revised: April 20, 2015

Abstract - This study aimed to assess the operational performance of Purified Water Business in Batangas
City. The respondents of this study were the owners/managers of Purified Water Business in Batangas City who
invested, organized, put up and managed the business. The results revealed that Purified Water Business in
Batangas City has a good operational performance in terms of marketing, management, technical, and financial
aspects. It was recommended that the management of Purified Water Business may consider the business operation
initiatives to improve operational performance.

Keywords: Water Business, Operational Performance, Problems Encountered, Operation Initiatives

INTRODUCTION safe purified drinking water to prevent diseases related

The water that is mechanically filtered or processed to dirty water.
to be cleaned for consumption is purified water. It In the study of Magtibay (2011), water refilling
minimizes the accidental exposure to toxins because it stations can be a good source of safe drinking water in
undergoes several processes that would make the water the Philippines. Purified water can meet the aesthetic
safe to drink. Purified water can also help eliminate standards easily detectable by the people in terms of
mineral deposit and can build up cells and joints and taste, odor and color. The efficient water purification
reduce the possibility of painful gallstones. It also processes can make the quality of water superior to the
decreases stress load on kidneys and can greatly traditional water systems. However, the risk of
enhance nutrients efficiently. It also has a cleaner taste contamination is possible if the handling practices are
that is good for every day intake (“The Health not closely monitored.
Benefits..”, 2013). A study of Hernandez et al. (2006) on purified
Purified Water Businesses dominate the percentage water business in selected areas of Batangas Province
of all water consumers proven by the growth of this stated that most of the respondents – owners are
kind of business in terms of population and its engaged in manufacturing purified water and in
continued existence around the cities and even in rural operation for the past five years with an initial
areas. Here in Batangas City, the number of registered investment of Php 750,000 up to Php 1,000,000 which
Purified Water Business is about forty (40). According came from personal savings. Their target market is the
to the owners/operators, people nowadays have an household. With regards to the problems encountered
access to proper sanitation so they preferred to consume in the operational aspects of the business is the high
cost of facilities and equipment. In the marketing
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 Asia Pacific Journal of Academic Research in Business Administration, Vol. 1 No. 1, April 2015

aspect, poor marketing strategies and high cost of According to Manuel (2013), as compared to a sole
advertisement were accounted as the major problems proprietorship, a greater amount of capital can be
while in the management aspect, the major problems accumulated in a partnership because of the number of
were work or labor inefficiency of employees and their persons involved. With more resources, there will also
bad attitudes. Lastly, big amount of utility expenses be a greater opportunity to expand services. Likewise,
were accounted as the major problem under the better management will result because of the shared
financial aspect. managerial skills, efforts and experiences of the
Based on readings and the known benefits of partners. A corporation is an artificial being created by
purified water to the majority, the researchers proposed operation of law, having the right of succession and the
the assessment of Purified Water Business in Batangas powers, attributes and properties expressly authorized
City to provide knowledge and information about the by law or incident to its existence (The Corporation
business profile, operational performance; common Code of the Philippines, Sec.2).
problems encountered by the owners in terms of As mentioned by De Leon and De Leon (2010), the
marketing, management, technical, and financial aspect; corporation has a legal capacity to act as a legal unit,
and the business operation initiatives that will enhance the business has continuity of existence because of its
the operational performance of the business. Since the non-dependence on the lives of those who compose it.
researchers are business students, in the future they may The management is centralized in the board of directors
consider to venture in this kind of business. Hence, the and the shareholders have limited liability. The shares
findings can supplement them necessary knowledge of stocks can be transferred without the consent of the
needed to start and operate a Purified Water Business. other stockholders. The corporation also has
disadvantages. It is relatively complicated in formation
OBJECTIVES OF THE STUDY and management and the credit is weakened by the
The study aims to assess the operational limited liability of the stockholders. There is ordinarily
performance of Purified Water Business in Batangas lack of personnel element in view of the transferability
City, specifically: to describe the business profile of the of shares.
Purified Water Business in Batangas City in terms of In terms of business plan, according to Asor (2009),
business ownership, length of operation, initial a business plan is a well-written, honest-to-goodness
investment, target market and estimated monthly document prepared by the entrepreneur that will
income; to assess the operational performance of convince the investor to invest or it is a tool to sell the
Purified Water Business in terms of marketing, business story to financial resources and should be
management, technical and financial aspects; to identify recognized. It is the direction and guide of the
the common problems encountered by the owners in entrepreneur as to what is to be done and how to do it.
terms of marketing, management, technical and It details out what should be achieved over a certain
financial aspects; and to propose some business period of time.
operation initiatives that will enhance the operational Also, about entrepreneurship, Hisrich (2008)
performance of the Purified Water Business in Batangas defines it as the process of creating something new with
City. value by devoting the necessary time and effort,
assuming the accompanying financial, psychic, and
REVIEW OF LITERATURE social risks, and receiving the resulting awards of
Starting a business is the dream of millions of monetary and personal satisfaction and independence.
Filipinos. Being the boss, getting rich and doing what Business strategy is about creating value. Value for
one likes are among the promised benefits of being an the customers in the difference between what is
entrepreneur that are hard to resist. This may all come received in benefits from the performance of the
true, but succeeding in a venture is not that easy product or service obtained from the organization.
especially for those with no business background or Customers pay the cost of a product and receive a
experience. package of benefits (Hubbard, 2011).
For most people who are not business majors, Competitiveness according to Stevenson (2009) is
taking a few years off to study business is not feasible. how effectively an organization meets the wants and
Nevertheless, if one wishes to improve chances for needs of customers relative to others that offer similar
success, it is critical that he supplements his knowledge goods or services. It is an important factor in
by studying the necessary skills needed to operate a determining whether a company prospers, barely gets
small or medium-sized business. by, or fails.
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 Asia Pacific Journal of Academic Research in Business Administration, Vol. 1 No. 1, April 2015

Cross (2013) enumerated some tips on how to grow are many independent water stations in the area and it
a small bottled water delivery business. The first one is seems to be trapped in a price war. Although the
to learn more about the water industry. There are business is still new (2 weeks), the owner got alarmed
different types of water. According to the International and frustrated because the sales are very low.
Bottled Water Association (IBWA), this includes
artisan water, fluoridated water, spring water, purified Method
water, distilled water, mineral water, sterile water and This portion presents the design, the respondents of
carbonated water products. Understanding industry the study, the data gathering instruments, the data
variety is essential for this start-up business. Diversify gathering procedures, and the statistical treatment of the
water product offerings for additional sells to existing data employed in analyzing and interpreting the data.
customers.
Magtibay (2011)noted that to operate the water Design
store, about five employees are needed. One manager The study used descriptive method of research in
to oversees store operations at least 4 hours a day; 1 coming up with the profile of Purified Water Business;
accountant/bookkeeper who will makes financial the operational performance in terms of marketing,
statement of business operations; 1 administrative management, technical and financial aspects; the
assistant who will log and handle cash sales and problems encountered by the owners in terms of
purchases; 1 front liner who will accept and refill marketing, management, technical and financial
containers of customers; 1 technical assistant who will aspects; and some business operation initiatives that
maintain and run the machine; and will enhance the operational performance of the
1 driver/delivery man who will transport refilled Purified Water Business.
containers to customer’s home. A descriptive research according to Valdez (2013)
According to the World Health Organization is concerned with the description of data and
(WHO), about 3.4 million people die annually from characteristics about a population. The goal is the
water-related diseases. About a million Filipinos get acquisition of factual, accurate, and systematic data that
sick with water-borne diseases yearly. And these are can be used in averages, frequencies and similar
diarrhea cases alone. statistical calculations.
Chavez (2010), emphasized that Quezon City
authorities have asked the public to report water Participants
refilling stations selling contaminated water or passing The respondents of this study were the
off tap water as mineral or the purified variety to their owners/managers of Purified Water Business in
clients. Councilor Jorge “Bolet” Banal Jr. of the city’s Batangas City who invested, organized, put up and
third district raised the alarm after receiving complaints managed the business. Most likely, they know how the
that some clients protested the awful taste of the items business operates and keep the business records and
which presumed to be mineral or purified water. To other information of these water businesses.
avert the sale of contaminated drinking water, the The researchers used quota sampling in determining
councilor make arrangements for concerned local the number of sample. Quota sampling is a sampling
authorities to conduct surprise inspections of water method of gathering representative data from a group.
refilling stations in the city. It requires that representative individuals are chosen out
When one started a new business, the last thing he of a specific subgroup according to
wants to focus on is failure. Schaefer (2011) businessdictionary.com. The total population of 25
enumerates the 7 reasons why businesses fail: one starts Purified Water Business entities as recorded in the
the business for the wrong reasons; poor management; Batangas City Hall served as the respondents of this
insufficient capital; location; lack of planning; study.
overexpansion; no website.
According to Kaizen philosophy (2010), a problem Instrument
occurred in their business. Although the franchised Questionnaire is the basic instrument that was used
water store has an established name in the industry, by the researchers in data gathering. The researchers
there are some difficulties in marketing it in the area of patterned it from the study of Hernandez et.al. (2006),
Bacoor. Based from the conversations with different however it was modified in order to fit the needs of the
residents of the area, it seems like the price above present study. The questionnaire was divided into four
quality is highly considered. In addition to that, there (4) parts. Part I dealt about the business profile of
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 Asia Pacific Journal of Academic Research in Business Administration, Vol. 1 No. 1, April 2015

Purified Water Business in Batangas City with regards 100%. Weighted mean and Ranking was used in
to its form of business ownership, length of operation, assessing the operational performance of Purified Water
initial investment, target market, and estimated monthly Business in terms of marketing, management, technical
income. and financial aspects; identifying the common problems
Part II dealt about the operational performance encountered by the owners in terms of marketing,
of Purified Water Business in terms of marketing, management, technical and financial aspects; and
management, technical, and financial aspects. Part proposing some business operation initiatives that will
III dealt about the problems encountered by the enhance the operational performance of the Purified
owners of Purified Water Business in terms of Water Business in Batangas City.
Ranking is also descriptive statistics that shows
marketing, management, technical, and financial positioned importance of an item. The researchers used
aspects. Part IV dealt about the business operation number 1, 2, 3, 4, 5, 6… to show the degree of
initiatives that will enhance the operational importance where 1 signifies the most important and the
performance of Purified Water Business in last number signifies the least. The results were
Batangas City. analyzed and interpreted using the Statistical Version
17.0 statistical analysis software package.
Procedures
In order to complete the study, the researchers used RESULTS AND DISCUSSION
the basic method, the utilization of the library. The
researchers used most of their time in the library for Table 1. Frequency Distribution of Business Profile
gathering the relevant information as the primary source (n=25)
of data. The researchers also got information from the
Form of Business Ownership F P
internet and from previous theses to gather the historical
information of the study. Sole Proprietorship 18 72
Upon approval of the thesis proposal, the Partnership 3 12
researchers prepared the letter of request and Corporation 1 4
questionnaires with the help of their adviser, Dr. Imelda Cooperative 3 12
An. With the permission granted, and questionnaires
Length of Operation
validated, the researchers conducted the survey by
distributing the questionnaires the earliest time possible. Less than a year 4 16
Through the kindness and cooperation of the 1-5 years 9 36
respondents, the researchers were able to gather 6-10 years 7 28
necessary information for the study.
11years and beyond 5 20
A tally was made afterwards to find out the most
frequently mentioned item. The initial checklist was Initial Investment
based on the sample questionnaire and some comments Php250,000 – below 3 12
and suggestions of respondents were put together and Php250,001 – Php500,000 5 20
come up with the information needed in the study. Php500,001 – Php750,000 8 32
Php750,001 – above 99 9 36
Data Analysis
After the collection of the questionnaire, the Target Market
answers were tallied, tabulated and analyzed. After the Households 24 96
answers to the survey question have been recorded Office Employees 23 92
different statistical treatment was used. Frequency and Restaurants and Establishments 21 84
percentage distribution are used in determining the Retail Stores 17 68
business profile in terms of business ownership, length Estimated Monthly Income
Php10,000 – below 6 24
of operation, initial investment, target market and
Php10,001 – Php20,000 1 4
estimated monthly income. Percentage is descriptive Php20,001 – Php30,000 6 24
statistics that determine what part of the total Php30,001 – Php40,000 4 16
respondents fall under certain categories. The Php40,000 – above 8 32
percentage is determined by dividing the number of
responses by the number of respondents multiplies to
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Table 1 shows the business profile of Purified results that venturing in this kind of business is really
Water Business in Batangas City in terms of business good because of the trend of stay in the market.
ownership, length of operation, initial investment, target In terms of initial investment, it can be deduced
market, and estimated monthly income. It can be seen from the table that a frequency of nine (9) equivalent to
from the table that most of the Purified Water Business thirty six percent (36%) of the Purified Water Business
were solely owned with a frequency of eighteen (18) have an initial investment of Php 750,001 and above. A
equivalent to seventy two percent (72%). A frequency frequency of eight (8) equivalent to thirty two percent
of three (3) equivalent to twelve percent (12%) of the (32%) have an initial investment ranging from Php
Purified Water Business were owned by a partnership, 500,001 – Php 750,000. Five (5) out of twenty five (25)
and another twelve percent (12%) were owned by a respondents equivalent to twenty percent (20%) have an
cooperative. However, only one (1) out of twenty five initial investment ranging from Php 250,001 – Php
(25) respondents equivalent to four percent (4%) of 500,000. However, only three (3) equivalent to twelve
Purified Water Business is owned by a corporation. percent (12%) entered into Purified Water Business
This suggests that majority of the Purified Water with an initial investment of Php 250,000 and below.
Business owners were into sole proprietorship because This suggests that venturing in this kind of business
it is easier to establish this type of business since it does really requires a large amount of capital.
not need many employees. As mentioned by Hernandez (2013), the maximized
A sole proprietorship is a business structure in capital expenditure when purchasing a water refilling
which an individual and his/her company are considered station should be Php 500,00. That may be, the water
a single entity for tax and liability purposes. It is a refilling gear is coming in at Php 250,000 and the rest is
company which is not registered with the state as used on the construction of the shop (at least 20 sqm.),
a limited liability company or corporation. The owner logistics (pedicab or perhaps e-bike), processing of all
does not pay income tax separately for the company, the costs, and acquiring all of the essential equipment
but he/she reports business income or losses on his/her such as pots as well as stickers. This supports the result
individual income tax return (“Sole Proprietorship”). of the initial investment needed to put up a Purified
This article give support to the result that most of the Water Business although in the result it is a little bit
Purified Water Business is solely owned. It is because larger in amount.
this type of business ownership is easy to manage. In terms of target market, the table suggested that a
As mentioned by De Leon (2010), the corporation frequency of twenty four (24) equivalent to ninety six
has a legal capacity to act as a legal unit, the business percent (96%) said that the majority of their customers
has continuity of existence because of its non- were from the households. The office employees
dependence on the lives of those who compose it. The ranked as second major customers with a frequency of
management is centralized in the board of directors and twenty three (23) equivalent to ninety two percent. The
the shareholders have limited liability. This third rank goes to restaurants and establishments with a
information supports the result that only a frequency of frequency of twenty one (21) equivalent to eighty four
one (1) said that their business is owned by a percent (84%) and last in the rank is the retail stores
corporation. It is because this type of business with a frequency of seventeen (17) equivalent to sixty
ownership is difficult to establish, and it must be eight percent (68%). This suggests that all of the people
created in operation of law. are their target market because everyone needs safe
In terms of length of operation, it can be seen from drinking water.
the table that nine (9) out of twenty five (25) In terms of estimated monthly income, it can be
respondents equivalent to thirty six percent (36%) has seen from the table that a frequency of eight (8)
been operating ranging from 1-5 years. A frequency of equivalent to thirty two percent (32%) of the Purified
seven (7) equivalent to twenty eight percent (28%) has Water Business have an estimated monthly income of
been operating ranging from 6-10 years. A frequency Php 40,000 and above. A frequency of six (6)
of five(5) equivalent to twenty percent (20%) that has equivalent to twenty four percent (24%) have an
been operating 11 years and beyond, and the remaining estimated monthly income ranging from Php 20,001 –
four (4) respondents equivalent to sixteen percent (16%) Php 30,000. Another twenty four percent (24%) have
has been operating for less than a year which indicates an estimated monthly income of Php 10,000 and below.
their fresh existence in the market. This suggests that There were four (4) out of twenty five (25) respondents
even in the latter years, the Purified Water Business is said that they have an estimated monthly income
already existing in the market. It can be noted from the ranging from Php 30,001 – Php 40,000. However, only
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one (1) equivalent to four percent (4%) of Purified Business have effective management that is the reason
Water Business said that they have an estimated why this kind of business still exists in the market.
monthly income ranging from Php 10,001 – Php
20,000. This suggests that this kind of business is really Table 2. Mean Score of the Assessment of
good in generating income. Operational Performance of Purified Water
As mentioned by Hernandez (2013), the manpower Business (n=25)
fees per month may go as high as Php 16,000, if it will Marketing Aspect WM VI Rank
include the wages of the personnel. That is Php 200 per 1. The business offers high quality
day for the driver, refiller and the other helper. Overall, drinking water 3.72 SA 2.5
each will receive a salary of Php 5,200 a month or an 2. Free delivery services 3.72 SA 2.5
estimate of Php 16,000 for all personnel. The per 3. The business gives promotional
month energy and phone bill combined will cost discounts 2.96 A 6
typically Php 4,000. Allot Php 1,000 for other probable 4. It advertises on TV, radio and
bills, and it will end up with a Php 21,000 operation newspapers and distributes
cost each month. However, if one is able to market 40- flyers to promote the business 2.28 D 7
50 gallon containers per day at Php 40.00 for thirty 5. It is strategically located 3.32 A 5
days, the business will have Php 60,000 in monthly 6. Water prices are affordable 3.80 SA 1
income. If one takes away the monthly operation 7. The prices of the products are
charges, the business will still have Php 29,000 revenue competitive 3.44 A 4
left. This supports the result that even though the Composite Mean 3.32
operational expenses are quite a big amount, Purified Management Aspect
Water Business still come up with a larger estimated 1. Complies with the requirements
monthly income because of the great demand for safe of DTI 3.92 SA 1
drinking water. 2. Updates business plan 3.52 SA 2
Table 2 presents the mean score of the assessment 3. Projective scheduling of
of operational performance of Purified Water Business delivers to avoid delays 3.28 A 4
in terms of marketing, management, technical, and 4. Delegation of tasks 3.32 A 3
financial aspects. Most of the purified water business
Composite Mean 3.51 SA
respondents agreed that they have proper operational
performance with an over-all mean of 3.34. The results Technical Aspect
also indicated that most of the Purified Water Business 1. It has modern and updated
have agreed that they have proper marketing operation facilities 3.48 A 4
with a composite mean of 3.32. The respondents 2. Proper handling of facilities and
Equipment 3.60 SA 2
strongly agreed that their water prices are affordable
3. Regular maintenance of
(3.80), the business offers high quality drinking water facilities and equipment 3.76 SA 1
(3.72) and offers free delivery services (3.72). On the 4. Inventory and control of water
other side, most of the respondents disagreed that they containers 3.52 SA 3
advertises on TV, radio and newspapers and distributes Composite Mean 3.59 SA
flyers to promote the business (2.28). This suggests that Financial Aspect
in this kind of business, it matters most that the water 1. Provision of funds for expenses 3.24 A 1
prices are affordable because the fact that everyone 2. Fund generation through loans
needs safe drinking water gave rise to the increasing from banks and other financial
numbers of Purified Water Business meaning there is a institutions 2.40 D 4
stiff competition. 3. Forecasting of demand to avoid
The results in the management aspects show that excessive supplies 3.04 A 2.5
the respondents strongly agreed that Purified Water 4. Receive cash payment only on
Business complies with requirements of DTI (3.92) and delivery 3.04 A 2.5
updates business plan (3.52). The respondents also Composite Mean 2.93 A
Over-all Mean 3.34 A
agreed that they have proper delegation of tasks (3.32)
Legend: 3.50 – 4.00 –Strongly Agree (SA); 2.50 – 3.49 –
and projective scheduling of delivers to avoid delays
Agree(A); 1.50 – 2.49 –Disagree (D); 1.00 – 1.49 –Strongly
(3.28). This suggests that most of the Purified Water Disagree (SD)

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As mentioned by Cross (2013), one tip on how Table 3. Mean Score of the Problems Encountered in
to grow a small bottled water delivery business is the Operation of the Purified Water Business (n=25)
obtaining applicable licenses permit. This may include Marketing Aspect WM VI Rank
business license from country or parish government 2.28 S 3.5
1. Location is not accessible
agencies. It includes registering the business with
2. Lack of market research 2.48 S 1.5
Secretary of State in the state of business operations.
3. Poor marketing strategies 2.28 S 3.5
Additionally, check with the local government health
4. High cost of advertisement or
department to find out if an additional permit or license promotion
2.48 S 1.5
is required for distributing and storing water for Composite Mean 2.38 S
distribution. This related study supports the result of Management Aspect
the management aspect regarding the need to comply to 1. Fails to comply with the
the requirements of DTI which is a government agency. 1.68 S 4
requirements of DTI
The results indicated that most of the Purified 2. Fails to update the business plan 1.88 S 3
Water Business strongly agreed that they have an 1.96 S 2
3. Delay of delivery
effective operation in terms of technical aspects with a 4. Work or labor inefficiency of
composite mean of 3.59. The respondents strongly 2.32 S 1
employees
agreed that they have regular maintenance of facilities 1.96 S
Composite Mean
and equipment (3.60), proper handling of facilities and
equipment (3.60), inventory and control of water Technical Aspect
containers (3.52). The respondents also agreed that they 1. Frequent malfunctioning of
2.28 S 3
have modern and updated facilities (3.48). This facilities and equipment
suggests that in this kind of business, it is really 2. High cost of facilities and
2.80 O 1
equipment maintenance and repair
important to have regular maintenance of facilities and
3. Lack of enough water container 2.12 S 4
equipment for efficient operation as well to avoid
technical problems. 4. Unreturned water containers or
2.64 O 2
bottles by customers after purchase
As mentioned by Chavez (2010), the personnel
manning of the water refilling station should be in Composite Mean 2.46 S
uniform and the premises should always be clean as Financial Aspect
hygienic as possible. To ensure that only safe drinking 1. Availability of funds for payment 2.68 O 1.5
water are sold, the crew and even the owners of water 2. Low investment returns 2.28 S 4
refilling station should undergo regular seminars where 3. Lack of financial analysis and
2.36 S 3
business ethics should be emphasized. This article planning
supports the idea of proper handling of facilities and 4. High business expenses 2.68 O 1.5
equipment by starting in the proper hygiene of the Composite Mean 2.50 O
employees and the cleanliness and proper sanitation Over-all Mean 2.33 O
within the area. Legend: 3.50 – 4.00 –Always (A); 2.50 – 3.49 –Often (O);
The results in the financial aspects showed that 1.50 – 2.49 –Sometimes(S); 1.00 – 1.49 –Never(N)
the respondents agreed that they have provision of Table 3 presents the mean score of the problems
funds for expenses (3.24), forecasting of demand to encountered in the operation of Purified Water Business
avoid excessive supplies (3.04), and receive cash in terms of marketing, management, technical, and
payment only on delivery (3.04). On the other side, financial aspect. With a composite mean of 2.38, the
most of the respondents disagreed that they perform respondents agreed that sometimes they encountered
fund generation through loans from banks and other problems in the marketing aspect. The results indicated
financial institutions (2.40). This suggests that in this that there is lack of market research (2.48), high cost of
kind of business, funds must always be available for the advertisement and promotion (2.48), the business has
necessary expenses whether expected or unexpected. poor marketing strategies (2.28) and the location is not
However, most of the respondents do not believe that accessible (2.28).
fund generation through loans from banks and other The verbal interpretation of the results indicated
financial institutions can greatly help in the operation of that these problems are encountered sometimes only.
the business, instead most of the owner(s) are using The researchers viewed it as a normal situation because
their own money. in reality, problems are already part of the business.

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In terms of management aspects, the results that the management of Purified Water Business must
indicated that sometimes the Purified Water Business increase marketing and promotional strategies. This
fails to comply with the requirements of DTI (1.68), suggests that within the following years to come,
fails to update the business plan (1.88), delay of the owner(s)/manager(s) of Purified Water Business will
delivery (1.96) and work or labor inefficiency of focus more on marketing and promoting the business in
employees (2.32). From the results, it can be noted that order to increase investment returns through
the problems are encountered sometimes only because acknowledging the potential customers that the business
some owners assume that one or two workers can exists in the market.
provide all of the orders which resulted to work or labor As mentioned by Cross (2013), advertising the
inefficiency of employees. Also, not all Purified Water business is one of the tips on how to grow a small
Business failed to comply with requirements of DTI bottled water delivery business. This includes
because sometimes it is the city health where they advertising in local publications that reach the targeted
submit the necessary requirements needed. market such as: staying plugged in to industry trends,
Under the technical Aspect, the respondents agreed establishing a website for customers and potential
that oftentimes they encountered problems such as high customers, creating an in-house publication for existing
cost of facilities and equipment maintenance and repair customers that covers information that will be helpful to
(2.80), and unreturned water containers or bottles by them in selling water products to the end-users. This
customers after purchase (2.64). The respondents also supports the result that increasing the marketing and
agreed that sometimes they encountered problems such promotional strategies is necessary in order for the
as frequent malfunctioning of facilities and equipment Purified Water Business to continue to grow and remain
(2.28), and lack of enough water containers (2.12). This competitive in the market.
suggests that in this kind of business which requires Ranked as second, a weighted mean of 2.88 agreed
modern and updated facilities and equipment, the that the management of Purified Water Business must
problem that occurs is the high cost of the maintenance have future additional investments. This suggests that
of the facilities and equipment. the owner(s)/manager(s) of Purified Water Business are
In terms of financial aspects, the respondents agreed planning to add investments in the future to remain
that oftentimes they encountered problems such as competitive in the market by adopting new trends and
availability of funds for payment (2.68), and high innovations.
business expenses (2.68). The respondents also agreed A weighted mean of 2.72 agreed that the third rank
that sometimes they encountered problems such as lack in the business operation initiatives that will enhance
of financial analysis and planning (2.36), and low the management operations of the Purified Water
investment returns (2.28). This suggests that this kind Business is the replacement of facilities and equipment.
of business really incurred high operational expenses This suggests that through replacing the facilities and
which became a problem of the owner(s)/manager(s) of equipment used in the operation, the business will
the Purified Water Business. remain competitive in the market by producing high
quality drinking water.
Table 4. Mean Score of Business Operation Ranked as fourth, a weighted mean of 2.60 agreed
Initiatives (n=25) that expansion of the operating areas can enhance the
Business operation initiatives WM VI Rank management operations of Purified Water Business.
1. Future additional investments 2.88 A 2 However, a weighted mean of 2.44 disagreed that hiring
2. Hiring of more employees 2.44 D 5 of more employees can enhance the management
3. Replacement of facilities and operations of Purified Water Business. This suggests
equipment 2.72 A 3 that owner(s)/manager(s) of Purified Water Business.
4. Expansion of the operating areas 2.60 A 4 As mentioned by Magtibay (2011), to operate the water
5. Increase marketing and store, about five employees are needed. One manager to
promotional strategies 3.08 A 1 oversee store operations at least 4 hours a day, one
Composite Mean 2.74 A accountant/bookkeeper who will make financial
Legend: 3.50 – 4.00 –Strongly Agree (SA); 2.50 – 3.49 – statement of business operations; one administrative
Agree (A); 1.50 – 2.49 –Disagree (D); 1.00 – 1.49 –Strongly
assistant who will log and handle cash sales and
Disagree (SD)
purchases; one front liner who will accept and refill
Table 4 presents the mean score of business
containers of customers, one technical assistant who
operation initiatives. It can be seen from the table that
will maintain and run the machine; and one
the highest item with a weighted mean of 3.08 agreed
18
 Asia Pacific Journal of Academic Research in Business Administration, Vol. 1 No. 1, April 2015

driver/delivery man who will transport refilled Albert L. (2006). “Purified Water Business in
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