Republic of the PhilippinesBATANGAS STATE UNIVERSITY

Malvar, Batangas

COLLEGE OF ACCOUNTANCY, BUSINESS, ECONOMICSAND INTERNATIONAL HOSPITALITY MANAGEMENT

MALVAR BATANGAS

A. Market Study

Group 7

Dioneline Durero

Jeric Petate

Deyzel Manimtim

Christian Paul Bagsik

BSHRM 412

Submitted to:Mrs. Mary Joy Sanchez

Overview of the AreaThe proposed project area is located at Darasa Tanauan City, Batangas.

Tanauan is one of the oldest towns in the province of Batangas became a 1st class municipality in 1996 and eventually became a city by virtue of Republic Act 9005, otherwise known as “An Act converting the Municipality of Tanauan into a Component City to be known as the City of Tanauan, enacted on February 2, 2001.

Site AnalysisLocation

The proposed project site is in front of First Asia Institute of Technology and Humanities. The site is very accessible and visible along a very busy highway and near from different establishments like banks, hospital, schools and small-medium enterprise.

Darasa Tanauan City is the ideal site for our proposed establishment to build. There are number of operating small and medium enterprise located nearby in the area. The number of restaurants and entertainment venues are quite limited in the site therefore there is a great opportunity to construct our propose project.

The map below provides an illustration of the site where the proposed project will be establish.

The Map of Darasa Tanauan City, Batangas

Right Side Front

AccessTanauan city is connected to two (2) national roads, the national highway going

to the Municipalities of Talisay and Laurel crossing the A. Mabini Avenue, and J. P. Laurel Highway going to Malvar and Lipa City which are among the busiest streets within the city. It also has a wide display of city roads leading to the rural barangays. Tanauan City town proper has a grid-iron type street pattern, all of which are either concrete or asphalt covered. The Tanauaeno’s can reach Manila either through the STAR (Southern Tagalog Arterial Road) Tollway, Sambat entrance or through the J.P. Laurel Highway then passing through the Maharlika Highway leading to South Luzon Expressway.

The city government closely monitors the traffic situations within the city proper especially during peak hours. In special cases like during holidays, rerouting schemes are being done to address traffic jamming. Road rehabilitations are also being done to ease the traffic flow in and out of the city proper.

With regard to the specific location of the proposed project, the limited nature of the site could potentially result in parking and traffic issues because it is nearby at school and mall. Although not evaluated by us in a professional sense but the parking and access issues related to the site are expected to be problematic and a competitive disadvantage for the complex.

Economic OverviewGeographic Location

Tanauan City is located within 121°6’ latitude and 14°5’ longitude at the North-Eastern part of Batangas. It is bounded by Talisay, Batangas in the West, Malvar and Balete in the South, Sto. Tomas in the East and Calamba, Laguna in the North.

Since Tanauan City is strategically located near major growth centers like Metro Manila and Batangas City, the city is prone to urbanization. The City is also strategically located between two important natural resources, Taal Lake and Mount Makiling.

TopographyThe City of Tanauan covers a total land area of 10,716 hectares which

represents 3.38% of the total land area of the province (316,581 ha). Majority of the areas in Tanauan City belong to 0 to 15 percent slope that are undulating to rolling. Most of the areas with steep slope of more than 65 percent are located in Barangays Sulpoc, Montana, San Jose, Maugat, Ambulong, Bañadero, Talaga, Banjo West, potions of Darasa and Poblacion 3.

Vertical hills and mountains with slope of 30 to 65 percent are located in Suplang, Suploc, Balele, Wawa, Boot and Maria Paz. Barangays which belong to 0 to 3 percent slope are portions of Laurel, Malaking Pulo, Altura Matanda, Altura Bata, Altura South, Montana, Luyos, Cale, Bilog-bilog, Pantay Bata, Pantay Matanda, Sala, Pagaspas, Trapiche, Poblacion Area, Natatas, Bagumbayan, Hidalgo, Sambat and Darasa. The slope in these barangays is gently sloping to undulating. The rest of the barangays have 8 to 15 percent slope that are undulating to rolling. Mt. Makiling, with a spot elevation of 1090 m, is approximately within four (4) to five (5) kilometers from the city.

ClimateTanauan City falls under the first type of climate with two distinct seasons: dry

from December to April and wet for the rest of the year. Its climate can be described as generally mild. Because of its proximity to Mt. Makiling, Tanauan is shielded from the North East monsoon and part of the trade winds but is prone to the South East monsoon.

PopulationThe current population of the Tanauan City from National Statistic Office (NSO),

estimated to be approximately 152, 393 with the area of 107.16 km², the Density is 1,422.1 inch./km² as of 2010 and the changes is +2.62%/year from 2000. The growing population base in the subject market area is a positive indicator for the propose establishment.

TransportationsA variety of public transportation is present at Tanauan City. To reach Manila, the

commuter’s only option is to ride the provincial busses. The bus route which passes

through Tanauan City are Manila-Batangas City and vice versa, and Manila-Lemery, Batangas and vice versa. There are jeepneys which lead to the nearby cities of Calamba, San Pablo and Lipa. To get to the rural barangays of the city, jeepneys and tricycles are available for utilization. There are five (5) jeepney terminals and forty six (46) tricycle terminals distributed around Tanauan City Poblacion. A rare mode of transportation is present at Tanauan City which is by boat to reach the lakeshore part of Barangay Maria Paz known as Mahabang Buhangin. The lone island of the city known as Napayong Island which is also a part of Maria Paz, can be reached by boat.

There are some loading and unloading points along President Jose P. Laurel National Highway located nearby in the propose site where bus stops to pick up passengers to and from Manila or to Batangas City and Lemery at scheduled hours. Bus companies are as follows: Alps, De La Rosa Transit, RRCG, Batangas Star Express, Jac Liner, Jam Liner, KL CNG Transport Corp. (uses natural gas), First Charter, Ceres Transport and M. Transit. Also, there are private vans for hire that provides service to commuters at designated drop-off points.

In the year 2008, twenty eight (28) vehicular accidents were recorded by the Tanauan City Police Station, thirty four (34) in the year 2009, and nine (9) in the first quarter of 2010.

Port and airstrip

Although Tanauan City is located on the eastern side of Taal Lake, it doesn’t have a port. It is nearest the Batangas Port about forty five (45) kilometers going south through the STAR Tollway and Batangas Diversion Road.

The city has an airstrip which is privately owned. Manny Barradas Airstrip is located in the northern part of Barangay Santor about six (6) kilometers from Tanauan Poblacion. It is seldom used as a landing area for private planes and helicopters when the need arises. But there is a government owned airbase about twenty five (25) kilometers south of the city which can also be used as an alternate landing area, the Fernando Air Base located at Lipa City.

Irrigation System There is a communal irrigation system at Barangay Ambulong which comes from

Angasin River. It supplies irrigation water to approximately ten (10) hectares of rice and vegetable fields. Due to unforeseen events, the irrigation system at Barangay Bañadero is under rehabilitation process and is expected to be finished by the end of 2010 and service approximately ten (10) hectares of rice and vegetable fields.

Flood Control and Drainage FacilitiesTanauan City has no common sewerage system but instead, the residents use

individual septic tanks. Rain waters and domestics waste water flows through the canal. The city’s drainage system is a combination of concrete pipes, open lined canal and concrete covered lined canal. Along the major thoroughfares at Tanauan Poblacion are

concrete pipelines and covered lined canal. But in the rural barangays, open lined canal are being utilized which are not that prone to clogging. It is also easier to clean as compared to covered lined canal.

The city has only one (1) wastewater treatment facility which is located inside First Philippine Industrial Park (FPIP) which treats all the wastewater coming from the factories located inside the industrial park before being discharged to San Juan River. All industries are required to undergo that process. In addition to this, they are required to pay certain amount of money for undergoing such procedure.

Water Supply

The water supply of Tanauan City comes from different sources. Tanauan City Poblacion (Poblacion I-7) gets their water consumption from Tanauan Water District (TWD) which holds their main office at Poclacion I. TWD also supplies water for domestic use to the rural barangays including the subdivisions located in their neighborhood. But still some barangays have their own Rural Waterworks which they utilize for their barangay’s water consumption.

Other barangays depend on shallow wells as their main source of water consumption especially those near the Coast of Taal Lake namely Ambulong, Bañadero, Gonzales, Wawa, Boot and Maria Paz.

Tanauan City has four (4) major rivers and a lake which are also being used for water consumption like in washing their clothes and also for livelihood like fishing. One the major river is the San Juan River which passes through barangay Darasa, Poblacion 1-4, Pagaspas, Pantay Matanda, Pantay Bata, Ulango and Laurel. This river also serves as the boundary of Tanauan City and Sto.Tomas. Two (2) rivers are located at Barangay Balele, the Tibanglan River and Sabang River. At Barangay Banjo West, a stream called Sirang Tibo is situated.

At the northwestern and southeastern boundary of Tanauan City lies the Angasin River and Balete River respectively. Taal Lake is one of the sources of income of the coastal barangays located in the western part of Tanauan.

Based on the data from the local water district, there are areas wherein they find it difficult to draw groundwater. These are at Barangay Sulpoc and Sulplang which are areas with high above sea level elevation and those areas near the Taal Lake where there are sulphur entrusions. The average water level is forty eight (48) meters below the ground surface and the average specific yield is 14,000 cubic meters per day. Groundwater is treated using Calcium Hypochlorite at 0.6-1 kg. per 200 liters for two (2) days to get a chlorine residual of 0.3 ppm. In some locations at San Juan River and Sabang River, groundwater flows out of the springs which become a clean source of drinking water.

The deep well and shallow well areas can be found in the coastal areas of Tanauan City near Taal Lake.

Power SupplyTanauan City is generally being supplied by Batelec II since 1980. They

outsource their power supply from the National Grid Corporation of the Philippines (NGCP). The total number of households and commercial establishments being served is 30,354 as of the 1stquarter of 2010 in the forty eight barangays of Tanauan City. A small portion of Barangay Laurel and the whole of FPIP are being supplied by Meralco.

CommunicationsTelegraph

There is only one telegraphic transfer facility located at Tanauan City which government owned. DOTC-TELOF offers services such as delivering telegrams, local and international telegraphic transfer (money transfer) and social telegram delivery.5.9.2 Postal Services

Philippine Postal Corporation serves as the main letter carrier of the city which is located at the second floor of the Commercial Building of Tanauan Public Market.

Aside from postal services, Tanauan City has several courier service stations which include RCPI, JRS Express Padala, LBC Express Inc., Western Union, Universal Storefront Services Corp, Rodex Courier, Mail & More Business Services, Cebuana Lhuillier and M Lhuillier. Majority of them also offer money transfer services.

TelecommunicationsWith the increasing number of cellular phones in the city as well as the country,

Tanauan City has become a hub for the erection of cell site towers which are enumerated below.

In case of landline communication services, PLDT and GLOBE are the only existing facilities which offer the service. Their total number of connections is not available for disclosure because they refused to provide the information despite several requests forwarded to them.

Commercial Places in Tanauan

In spite of its status as a city, Tanauan has still retained its suburban charm. It lacks in large modern shopping malls that have been usual trademarks of most cities. Tanuan’s accessibility to other surrounding municipalities and cities of Batangas and Laguna seems to make up for this lack. Taking its place are small business establishments that can be found along the city’s major thoroughfares, and public open-air markets which are staple commercial centers in any location in the Philippines. Usually found in these open-air markets are fresh produce, seafood, meat and meat products, poultry, rice, canned goods, house wares, some items of clothing, and footwear.

Because of the abundance and proximity of the province to different bodies of water, Batangeños have developed numerous dishes featuring the fish found in the area. Batangas is also known for its grazing pastures that are conducive for raising cattle. The abundance of meat sources have made beef another prominent feature of the provincial cuisine. Some of these well-loved dishes are kilawin which is fresh fish soaked in vinegar or calamansi juice mixed with chopped onions, garlic, and hot peppers; pinangat na maliputo which is steamed fish atop rock salt and cooked in an earthen pot or palayok; grilled tilapia cooked in coconut husks; beef caldereta which is like a spicy thick stew; and Tapang Taal which are choice beef or pork parts marinated in soy sauce, calamansi, and garlic. There are many eating establishments found in the city that serves these dishes and other Batangas dishes and delicacies. Most often, these establishments have retained the small town charm of the city and have not imbibed the commercialized and impersonal service of most restaurants in large cities.

Like most lakeshore towns in Batangas, Tanauan has taken advantage of its attractive surroundings and have invested in its tourism industry. The city is blessed with fresh water beaches and lush farmlands that several notable hotels and resorts have been established in the city. These establishments have attracted tourists and serve as the city’s premiere venues for leisure and recreation. Some of these prominent establishments found in the city are Vieux Chalet, Darasa Fiesta Resort, and haciendas darasa resort.