Garcia, Jonah Beth

Ignacio, Destha Celina

Lacorte, Carl Angelo
Manzanares, Karla
4A BS Entrepreneurship

Industry Background:

Coffee beans are widely used in making beverages. It is one of highest

consumed drink in the world especially in the developed areas like the United States
and the European countries. In the year 2004, coffee was the top agricultural export
in twelve countries. Now, it is the second commodity next to oil with exports
amounted to 10.88 Million bags and an increase by 5% in the month of May 2017.
Coffee is grown in over fifty countries in Asia, Africa, South America, Central
America and the Caribbean. The top three producers of coffee beans are Brazil,
Vietnam and Columbia. Brazil is known as the largest coffee producing nation with a
production of 2,594,100,000. (Szenthe, Adrianna (2017, February 9). Top Coffee
Producing Countries. http://www.worldatlas.com/articles/top-coffee-producing-
countries.html )

The Philippines is also one of the countries who produce coffee. It was first
introduced in Batangas in 1740 and it started exporting coffee to America in 1860s.
The Philippines is currently an importer to Vietnam and Indonesia. Also, DTI saw that
there is a bright prospect in this industry for the country due to the increasing
demand for this agricultural product. The only problem is that the Filipino farmers
cannot meet the standards of these demands. Their solution for this is to focus in
planting, processing and sell it to the local then to the global market. (DTI.
http://www.dti.gov.ph/media/latest-news/9556-dti-da-holds-first-regional-coffee-forum
)

Nowadays, organic skin care continues to rise globally. Women usually use
different products as they grew older because of some insecurities and they wanted
to look good. As of 2015, 54% of women claimed that it is important that the product
they use for their skin is natural. Women whose ages are from 18 and above,
increase their use of natural beauty products. (2015.
http://www.skininc.com/skinscience/ingredients/Survey-54-Percent-of-Women-Want-
All-Natural-Products-321263321.html )

Survey by the SkinINC highlighted the following:

Consumers look for on beauty labels that would deter purchase, the most
watched for ingredient was sulfates. Nearly, three in ten women (29%) seek to avoid
sulfates, followed by parabens (22%), synthetic fragrances (18%), PEG compounds
(15%) and mineral oil (11%). (2015.
http://www.skininc.com/skinscience/ingredients/Survey-54-Percent-of-Women-Want-
All-Natural-Products-321263321.html )
 Ingredients consumers look on beauty
products that would deter purchase

Mineral Oil
12%

Sulfates
30%
PEG Compounds
16%

Synthetic
Fragrances
19% Parabens
23%

When it comes to age, 65% of women age 35-54 claim they need beauty
product labels, followed by 63% of women 18-34, 59% of women aged 65-plus, and
52% of women aged 55-64.
 Women who claimed that
they need beauty products

Ages 55-64
18% Ages 35-54
22%

65 above
19%

Ages 18-34
21%

Ages 45-54
20%

Regarding future habits, 39% of women claim they will buy more all-natural
beauty products in the next two years than they currently do. The intent to “only
purchase” or “purchase more” all-natural products ranked highest for the skin care
beauty category (39%), followed by nail care products (33%), fragrance (31%),
makeup (20%) and hair care products (18%). (2015.
http://www.skininc.com/skinscience/ingredients/Survey-54-Percent-of-Women-Want-
All-Natural-Products-321263321.html )
 Women claim to buy more all
natural beauty products
Hair Care
13%
Skin Care
Beauty
28%

Makeup
14%

Fragrance
22% Nail Care
23%

Women ages 25-34, 43% said they preferred personal care products with
natural organic ingredients, while 38% at ages 13-17, 39% at ages 18-24, 40% at
ages 35-49, 37% at ages 50-64 and 32% at ages 65+.

For the men, ages 13-17 (20% preferred personal care with natural/organic
ingredients) and 65% (also a 20% preference), while men ages 18-24 and 25-34
both showed 33% had a preference to skin care products with natural/organic
ingredients—the top level in men’s interest. 28% of women ages 18-24 and 28% of
women ages 25-34 agreed with the statement “Natural personal care products are
more effective than other types of products.” (2015.
http://www.skininc.com/skinscience/ingredients/Survey-54-Percent-of-Women-Want-All-
Natural-Products-321263321.html )
Why is there a need for skincare products?

As we grew older, we become more vain and insecure about our appearance.
So, majority of us now are fond of buying cosmetics and skincare products to take
care of our skin. Some of us use these products to look younger and to make skin
look flawless. Proper skincare is vital if you’re concerned about your physical
appearance. But proper skincare is not only about looking good, it’s about staying
healthy. Healthy skin is better to fight signs of aging. Unhealthy skin is more
susceptible to diseases, infection and can lead to rashes, acne, sores, and wrinkles.

(https://www.sintercafe.com/uploads/File/2012/presentations/0.neumann.pdf)

Beauty and skin care go hand in hand, especially for those who want to show off
their best with confidence. Beauty is not just a facial issue; serious skin care must
include all of your skin from head to toes. The reasons for our skin changes over
time, have to directly do with skin collagen breaking down. There are several
reasons why this happens, but there is now ways to change some of the damage
done. We can do things to prolong and even make some skin reversals of damage
that will take off years without the expensive doctors office treatments. Beautiful skin
does not take much to get back, but just a few good products and good habits of
commitment. It does not take long to start treating your skin with kindness and in
return, softness and beauty will be yours to show off.

(http://www.streetdirectory.com/travel_guide/34843/beauty_tips/the_importance_of_skin_care.ht
ml)

Why natural?

There are lots of reasons why all of us should seek more natural alternatives
when it comes to beauty or cosmetic products. In natural or organic beauty products,
these are significantly less, or are completely free from, potentially toxic ingredients
which may harm you or the environment. These skin natural or organic skincare
products cleanse, tone, exfoliate and moisturize your skin without using any of these
noxious artificial chemicals or additives that can cause contribute to cancer. Since
the ingredients in natural and organic products are coming from the nature and are
therefore purer, there is smaller risk of allergies, skin irritations or any other reactions
that might harm you.

Chemical-Based skincare products are made up of different kinds of

chemicals and synthetic ingredients. In spite of the fact that some chemicals make
them effective, they increase the probability of developing into skin allergies,
irritations and side effects. These chemicals, especially, are way too abrasive to
individuals with sensitive skin. As a result, more harm is often done than good. In
fact, unnatural products can actually cause acne. Many of the chemical products
used in unnatural skin care lines can cause impurities. Common ingredients like
mineral oil can attract free radicals and result in blemishes, and early aging. Now,
natural skin care products are made from non-artificial ingredients like natural oils,
plants, fruit extracts and fruit acids. These products are known to effectively treat the
skin and nourish it. Most natural products have powerful antioxidants that assist in
slowing down the aging process and creating a younger looking skin. Skin care
derived directly from nature is one of the best ways to get and keep your skin healthy
and vibrant. (http://naturalvibrancy.com/natural-skin-care-products-versus-chemical-based-
ones/)

Supplies

90 % of the coffee production in the Philippines is Robusta. The top 5

producing regions of coffee beans are SOCCSKARGEN, Davao region, ARMM,
CALABARZON, and the Northern Mindanao. But, the supply and production of
coffee in the Philippines is currently decreasing by 2.87%. (DTI.
http://www.dti.gov.ph/media/latest-news/9556-dti-da-holds-first-regional-coffee-forum
, http://industry.gov.ph/wp-content/uploads/2016/08/Coffee-Industry-Roadmap-by-
Regional-Director-Myrna-Pablo-DTI-CAR.pdf , )

Demand

Accordint to DTI, the global demand for coffee is increasing every year and it
usually reach 2.4 % and they believe that it will increase in the following years too. In
2017, the demand of coffee in the Philippines grew by 8%. (Neumann, David.
https://www.sintercafe.com/uploads/File/2012/presentations/0.neumann.pdf )(DTI.
http://www.dti.gov.ph/media/latest-news/9556-dti-da-holds-first-regional-coffee-forum
)