Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors. The idea is there is no right or wrong answer; all participants should be encouraged to share whatever thoughts they have. 2 talking about this. Sometimes its wise to perform a general SWOT analysis to check on the current landscape of your business and improve operations as needed. Individuals can also use SWOT analysis to engage in constructive introspection and form personal improvement goals. (Opportunity) What trends are evident in the marketplace? When ukay-ukay stores become a disservice for whom secondhand clothes simply mean cheap and not vintage or an ukay challenge, then thats where the danger actually resides. High-quality customer service, strong brand recognition, and positive relationships with suppliers were some of its notable strengths; whereas, a constricted supply chain, interdependence on the U.S. market, and a replicable business model were listed as its weaknesses. control and vindicate the market activities of ukay-ukay. The first and foremost point to note is the controversial manner these These include white papers, government data, original reporting, and interviews with industry experts. Ukay-Ukay secondhand clothes, bags, hats, shoes and etc. Whether these factors are connected directly or indirectly to opportunities (O) or threats (T), it is important to note and document each one. Warner Media Company. Locsin says that this period after the second world war coincides with the time the UN Relief and Rehabilitation Administration (UNRRA) gave billions of dollars worth of relief to Asia, which was around 1943 and 1949. The task of initially cleaning or washing your goods is already tiring itself. If you plan on selling your goods online, it needs additional work as you also need to upload photos and label each one of your goods. In the top-right square, you record strengths. The fashion retail industry heavily relies on an unsustainable business model of maximizing production, fueling the throwaway culture, regardless of environmental costs. The four steps of SWOT analysis comprise the acronym SWOT: strengths, weaknesses, opportunities, and threats. An excess beer that is not paired with 3 pieces of fried, Mark likes to eat pizzas and watch TV. The researchers will use questionnaire and personal interview. Billy Bauer, owner of ROYCE New York, noted that pairing external threats with internal weaknesses can highlight the most serious issues a company faces. Webconcepts to evaluate the sustainability of Philippine ukay-ukay culture. Save my name, email, and website in this browser for the next time I comment. The respondents of this research study are at least 20 customers and 20 sellers of ukay-ukay clothing. The latest financial highlights indicate a net sales revenue drop of 17.12% in 2021. (Threat) Are there new regulations that potentially could harm our operations or products. Type your requirements and Ill connect you to Will Kenton is an expert on the economy and investing laws and regulations. > For example, the company debating whether to release a new product may have identified that it is the market leader for its existing product and there is the opportunity to expand to new markets. A SWOT analysis can be Scope coverage or boundaries of the study in terms of the area or locality and subjects of the population covered during the study. To the students, they will have an option on buying some of their needs especially if they want to save and budget their money. External factors are typically things you or your company do not control, such as the following: After you create your SWOT framework and fill out your SWOT analysis, you will need to come up with some recommendations and strategies based on the results. This cookie is set by GDPR Cookie Consent plugin. And yet we seldom question where these are coming from, and how they continue to thrive. One staff member has been a part of mediations, but not as a neutral party. What often comes into the minds of the Filipino people when we hear the term UK? It originated in Baguio City, where it has been typically called wagwagan, and was later adapted in other places. Bhd. About | WebThis study aims to analyze the ukay-ukay market and its structure, as well as itssocial, cultural, and institutional influences. Its SWOT analysis prompted Value Line to pose some tough questions about Coca-Cola's strategy, but also to note that the company "will probably remain a top-tier beverage provider" that offered conservative investors "a reliable source of income and a bit of capital gains exposure.". In 2002, the Macapagal-Arroyo banned the entry and sale of ukay-ukay items in the market. A SWOT analysis is a compilation of your companys strengths, weaknesses, opportunities and threats. Powered by. All rights reserved. 4 Personal Loans With Low Interest Rates In The Philippines To Fund Your Small Business, 5 Leading Financing Companies In The Philippines, 4 Ways To Contact The Customer Service Of Globe Telecom, What Is The Top Accounting Firm In The Philippines? Interview-a formal consultation usually to evaluate qualifications. Most potential clients have a negative impression of mediation, because they feel mediators dont understand or care to understand the problem, and rush to resolve it. There have also been a surge of online shops that sell vintage clothes, style the pieces to make the pieces more attractive to middle-class taste, and sell them in a much higher price. The economics of secondhand retail trade: an analysis of the market for ukay-ukay Authors: Luisito Cagandahan Abueg University of the Philippines Los Baos It is recommended to first create a list of questions to answer for each element. To inform people about the advantages of Ukay-Ukay. What are the characteristics of a SWOT analysis? While there are numerous ways to assess your company, one of the most effective is to conduct a SWOT analysis. WebSWOT for Ukay Ukay is a powerful tool of analysis as it provide a thought to uncover and exploit the opportunities that can be used to increase and enhance companys operations. The SWOT framework can be constructed in list format, as free text, or, most commonly, as a 4-cell table, with quadrants dedicated to each element. Kinonvert nila 'yung lumang cinema into a thrift shop. As the goods piled up, business-minded people decided to buy them at a very low cost and sell them to the public. A SWOT (strengths, weaknesses, opportunities and threats) analysis is a planning process that helps your company overcome challenges and determine which Out of 20 respondents (sellers), 17 of the respondents corresponding to 85% said that they get their stock in Cebu City, and other respondents corresponding each at 1% said that they get their stocks in Manila, Korea and Samar. The company was established on August 17, 2005. You can also work in reverse witha segment-specific SWOT analysis that feeds into an overall SWOT analysis. Ukay Serye Clothing line is made from renewable fabrics that are transformed into, fashionable, eco-friendly pieces that any costumer would love to have. thank you for this information I was thinking about helping my GF and her family with a business. Ariel Courage is an experienced editor, researcher, and former fact-checker. Hannah Moriah L. Tayzon, De La Salle University Integrated School (Manila). Analytical cookies are used to understand how visitors interact with the website. The entrepreneurs leading problems are unsteady sale and the customers difficulty in rummaging while their needs include increasing their capitalization and making their stalls more spacious and comfortable. What does a real-life SWOT analysis look like? But many people would love it if the government will abolish the law. (Threat) How many competitors exist, and what is their market share? It is ukay-ukay right? Aside from an engaging social media presence, this business also runs on referrals. The analysis can show you key areas where your organization is performing optimally and areas where operations need adjustment. Dana's indifference curves form a.right angles b.The answer cannot be, Mike likes beer and fried chicken and views them as perfect complements: for each bottle of beer, he likes to eat 3 pieces of fried chicken. In which the product will be sold online, since This study aims to let people understand all about the ukay-ukay industry specifically about its nature. Coca-Cola's shares (traded under ticker symbol KO) have increased in value by over 60% during the five years after the analysis was completed. These goods are actually transported to different stores in Baguio City as well as places in Metro Manila via balikbayan boxes. WebUkay-ukay, the art of rummaging second-hand stuffs, is widespread in the Philippines: a very trending act of shopping that made a strong impact on the textile and clothing Mostly, ukay-ukay store owners answered Cebu City for the question where did they get their stocks?. And lastly, buying or selling ukay-ukay is an illegal activity. This is how youll keep your business fresh in customers minds and edge out your competition. Accessibility Statement. The time in conducting this research may be limited for each member has a different time schedule and priorities. Strictly speaking, gentrification is a term used by urban planners to refer to poor neighborhoods that have been renovated to cater to a more affluent market. 16 September 2001: B1,B3. Although all the points under a particular heading may not be of equal importance, they all should represent key insights into the balance of opportunities and threats, advantages and disadvantages, and so forth. For example, a drought is a threat to a wheat-producing company, as it may destroy or reduce the crop yield. Start An Ukay Ukay Store Business Summary Startup Costs Pros & Cons Marketing Ideas Wondering how much it costs to start an ukay ukay store business? WebUkay-ukay is a very affordable source of fashionable yet durable clothes for those with fairly small incomes. It can require a lot of time, energy and trial/error. Most of them had a weekly income that ranges from 2000-6000 pesos. Dont know where to start? Closely related to its weaknesses, Home Depot's threats were the presence of close rivals, available substitutes, and the condition of the U.S. market. In a study by Rina Locsin, where she zoomed into the culture of ukay-ukay in Baguio, she states that it is difficult to determine the exact date of when the ukay-ukay started in the country. By continuing, you agree to our Terms and Conditions. This cookie is set by GDPR Cookie Consent plugin. The male and female respondents will be chosen at random by the researchers to answer the questionnaire during an interview. Philippine Journal of DevelopmentNumber 59, First Semester 2005, Volume Reports state that ukay businesses generate 1.2 million daily. All outfits will be, locally developed hand crafted, and solely manufactured from reworked linen and cotton, One of the companys goal is to produce high quality items at a reasonable cost and with. One is their low prices when compared to substitute and complementary goods. Out of 20 respondents (costumers), 3 respondents corresponding to 15% were 15-20 years old, 9 respondents corresponding to 45% were 20-30 years old, 3 respondents corresponding to 15% were 30-40 years old, 2 respondents corresponding to 10% were 50-60 years old and 2 respondents corresponding to 10% were 60-70 years old. How much is the weekly income of an ukay-ukay business? Armed with the ranked list of strengths, weaknesses, opportunities, and threats, it is time to convert the SWOT analysis into a strategic plan. But they dont mind if its illegal or not, they just want to buy ukay-ukay because its cheap and affordable. To determine some facts about Ukay-Ukay and the industry itself. Before you start, its better to learn the pros and cons of the business. The offers that appear in this table are from partnerships from which Investopedia receives compensation. Knowing these positive and negative elements can help companies more effectively communicate what parts of a plan need to be recognized. However, it also noted weaknesses and threats such as foreign currency fluctuations, growing public interest in "healthy" beverages, and competition from healthy beverage providers. This visual arrangement provides a quick overview of the companys position. However, there's a number of benefits to a SWOT analysis that make strategic decision-making easier. The analysis team develops the strategy to revisit the decision in six months in hopes of costs declining and market demand becoming more transparent. These external factors may create opportunities or threaten existing operations. The industry that sprouted out of second hand clothes generates millions in income for sellers, and saves millions more for the people who buy from them. Ukay-ukay shopping is like treasure hunting, but instead of looking for a treasure, you are literally digging from the piles of clothes which are mostly vintage and of high value. Mary Darlene S. Concepcion, De La Salle University Integrated School (Manila) Then, a company looks outward and evaluates external factors that impact its business. First, it has a different marketing and sale process. The advantage of an ukay-ukay store business is that it has a basic business plan that is easy to learn. Customers who haggle are common in ukay-ukay stores, so entrepreneurs must be prepared to negotiate wisely with them. Reports state that ukay businesses generate 1.2 million daily. Max Freedman and Nicole Fallon contributed to this article. BUS_RESEARCH You also have to prepare them one by one for display. These cookies will be stored in your browser only with your consent. To install StudyMoose App tap These cookies ensure basic functionalities and security features of the website, anonymously. Its crucial to know which suppliers are reliable and trustworthy. If you can afford it, you can employ extra hands to help you. Course Hero is not sponsored or endorsed by any college or university. However, if these clothes were goods that were intended to be given to them anyway, theyve only become another victim of an underground ukay trade that also rips off millions from the government. Is this gentrification? Requirements, How It Works, and Example, Human Resource Planning (HRP) Meaning, Process, and Examples, SWOT Analysis: What It Is and When to Use It, The Coca-Cola Company: A Short SWOT Analysis, Home Depot SWOT Analysis & Recommendations. Little we Filipinos know about it. Every SWOT analysis will vary, and a company may need different data sets to support pulling together different SWOT analysis tables. , especially that nowadays, the prices are getting higher and higher. What occurs within the company serves as a great source of information for the strengths and weaknesses categories of the SWOT analysis. Altogether, this research has verified past empirical findings and contrasted these against the context of Filipino Gen Z consumers. Ukay Builders Sdn. In the Philippines, non-government organizations (NGOs) in the 80s started selling tax-free clothing as a means to fundraise. After the finalizing the questionnaires, the researchers decided to go to the place where they will conduct their interview and survey. Although R.A. 4653 was ratified on 1966 to prohibit the importation and selling of cheaper second-hand clothes in the Philippines, the impact of the said law has diminished over the years until Filipinos have finally learned to patronize the business as if its something legal. However, increased material costs, strained distribution lines, the need for additional staff, and unpredictable product demand may outweigh the strengths and opportunities. This created discontent among its patrons, who look at ukay-ukay goods as the most affordable in the market. This could be an opportunity to widen your connections and network. The term ukay-ukay was derived from the Visayan term halukay which means the act of digging. Having a broad set of perspectives is also more likely to yield diverse, value-adding contributions. For PhP100, you can score three to four items from the selections, but things can go for even lower prices (some even for PhP10) every week because all items must go. Wherein that place, we interviewed 20 costumers and 20 ukay-ukay store owners. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc. The study found out that ukay-ukay is not as preferred as department stores and other stores, but could be competitive based on the (a) consumers evaluation of the stuffs as passing the criteria on durability, prestige, originality and uniqueness, low pricing, and desiring to continue patronizing the ukay-ukay stores, (b) entrepreneurs perceptions on its profitability and long-term viability, high prospects of continuing their business in the next 5 years and becoming more knowledgeable while engaging in the business. We recommend also that the government should abolish the R.A. 4653 because even if there is law, still many ukay-ukay stocks are imported in our country from Japan, Korea and etc. There are different classes of Ukay-Ukay. Ukay-ukay stores sell dirt cheap apparel and fashion accessories from various parts of the globe. Ukay stores sprouted like mushrooms which later became one of the must-visit places in Baguio. Noah Galvez (6 AB DS) notes that brand new Levi 501 jeans would typically range from Php 1,500 to Php 3,000, when you can find the same pairs at an ukay for Php 300 to Php 1,000. He provided Business News Daily with a sample SWOT analysis template and example that was used in the firms decision to expand its practice to include dispute mediation services. The gross margins for your ukay ukay store business are typically around 43%, which can make it more challenging to incur new expenses and maintain profitability. In the ukay ukay store business, employee turnover is often high, which can be quite costly and time consuming for your business.