CHAPTER TWO

RESEARCH DESIGN AND METHODOLOGY

This chapter will talk about the research design and methodology to be used in

this paper and what sources of information are applied in this strategic management

paper. It will also reveal the research model used and the scope and delimitation of the

strategic management paper.

A. Sources of InformationThe researchers utilized the following sources in writing this strama paper:

Sunjin 2020 Vision Report

Sunjin 2013, 2014, 2015 Financial Statement

San Beda College Library

San Beda College of Law Library

Time Magazine, 2014 (Sunjin Co.)

Securities and Exchange Commission Files

Sunjinphilippines.com

Sunjin-Korea,com www.nscb.gov.ph/sna/2015/2nd2015/2015qpr2.asp

http://www.investopedia.com/ask/answers/199.asp

http://www.bir.gov.ph/index.php/tax-information.html

http://www.dar.gov.ph/ra-6657-what-is-carp-comprehensive-agrarian-reform-program

http://www.chanrobles.com/republicactno1937book2title4.html

http://www.chanrobles.com/legal9.htm#.VrQFcNJ97My

B. How Information was Obtained and Methods Used to Gather Information

Information was obtained by the researchers by extensive use of primary data

such as the financial statements of the company and the company profile given by the

company itself which is considered as the primary sources and supplemented by

research obtained from the internet which serves as the secondary sources.

B1. Strategic Management Model

The strategic management used by the researchers in writing this paper involves

different stages. The first one is the objectives of the company, the one which the

company aims to achieve. It then has the Vision-Mission of the company which is what

the company wants to do and what they want to become which will be further explained

in the succeeding chapters. The external analysis talks about the outside factors such

as competition of the firm that dictates the total standing of the company in the market

while the internal analysis talks about the inside operations within the company. From

the analysis, it is then used to form a strategic formulation, followed by the

implementation. After a period of time, the implemented strategy is then evaluated.

Figure 2: Stages of Strategic Management

B2. Research Method

The research method will enable the researchers to discover potential business

solution which will be identified in the succeeding chapters. The method is especially

important as it might add an edge to the company. This paper will use a descriptive

research method as the characteristics of the company, its people and other resources

and the environment will be described.

Table 2: Research Steps

Research Steps Application to Strategic Management Process1. Defining the research

objectives

To develop strategies that will enable Sunjin to

further its dominance in the market.

2. Planning a research

design

The research applies a descriptive research method

as the characteristics of the company, its people and

other resources and the environment will be

described.

3. Planning a sample A representative HR person will be interviewed

regarding the operations of the company inside.

Also, sample of feeds and specialty feeds will be

obtained from a retailer which belongs to one of the

researchers.

4. Collecting the data The information obtained will mainly come from

financial reports obtained through the Securities and

Exchange Commission. Also, one of the vital source

is the Sunjin 2020 Vision report found in their

website. Other sources will be obtained from the

documents presented by the company itself through

the special request of the researchers.

5. Analyzing the data The researchers, upon examining and analyzing the

data found out that Sunjin is currently at par with the

international standards and has a good sale income

which is the result of their joint efforts. It also follows

the standard labor laws and minimum wages set

forth by the law.

6. Formulating the

conclusions and preparing

the report

The researchers therefore conclude that the Sunjin

company is projecting great results in quality care.

However, the researchers recommend that the

marketing team double their efforts in reaching out

with the consumers outside their strongholds in order

to further increase their sales.

B3. Interest in Choosing the Company and Person Interviewed

The person interviewed is MS. LILA DIMALICOT, a sales representative of

Sunjin Philippines, Zambales branch. She is in charge of the provincial retail operations

as well as the delivery of the products to the warehouses. She was interviewed by one

of the researcher through a phone call. She voluntarily gave her schedule to the

researchers so that they may be able to contact her at a time most convenient to them.

The phone call interview happened on January 9,2016, Saturday. The interview proved

useful to the researchers and they have been provided with the documents via email.

C. Major Assumption

The researchers assume that the Sunjin Philippines is reasonably well funded to

produce breakthroughs in introducing quality feeds and specialty feeds in order to

provide their customers with exactly what they need. Also, one of the major

assumptions is Sunjin Philippines lacks advertising in a nationwide scale in order for

them to reach to the other potential customers, unlike their competitors who have

television commercials and other methods of marketing and advertising in order to

acclimatize their products to potential customers.

D. Scope and Delimitation

The research paper is only limited up to the information obtained from the Sunjin

Philippines documents sent by the HR representative that includes the company’s

vision-mission, company profile, organizational structure, a primer about their products

and a little information about the operations. The scope of this study is from the years

2013, 2014 and 2015 which was supplemented by the financial records obtained

directly from the Securities and Exchange Commission.

E. Eleven Alternative Strategies

The following are the eleven alternative strategies to be used in making this

paper:

1. Forward Integration involves gaining ownership or increased control over

distributors or retailers.

2. Backward Integration strategy of seeking ownership or increased control of a

firm’s suppliers.

3. Horizontal Integration a strategy of seeking ownership of or increased control

over a firm’s competitors

4. Market Penetration seeks to increase market share for present products or

services in present markets through greater marketing efforts

5. Market Development involves introducing present products or services into new

geographic areas

6. Product Development seeks increased sales by improving or modifying present

products or services

7. Related Diversification value chains possess competitively valuable cross-

business strategic fits and adding new but related products and services.

8. Unrelated Diversification value chains are so dissimilar that no competitively

valuable cross-business relationships exist and adding new but unrelated

products and services

9. Retrenchment occurs when an organization regroups through cost and asset

reduction to reverse declining sales and profits and designed to fortify an

organization’s basic distinctive competence

10.Divestiture is selling a division or part of an organization and often used to raise

capital for further strategic acquisitions or investments

11.Liquidation is selling all of a company’s assets, in parts, for their tangible worth.