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Bachelor of Science in Hotel and Restaurant Management under the College of Tourism and
Hospitality Management Department
of
LYCEUM OF ALABANG
Lyceum Bldg., Km. 30 National Road,
Submitted to:
Submitted by:
Medrano, Kenneth P.
Pangandian, Jeighven
January 2018
Chapter 1. The problem and it’s background
Introduction
Lyceum of Alabang Students’ perception on the impacts of social media on their choice of eating place
Factors affecting CTHM Students of Lyceum of Alabang in their restaurant preferences
Introduction
The growing demand for convenience has led to the expansion of the Philippine food service
industry in the form of fast-food restaurants and casual dining restaurants. Full-service restaurants are
also growing, especially in fashionable shopping or dining areas in Metro Manila. Competition in this
segment is keen, with restaurant operators always interested in new and exciting menu ideas to attract
customers.
Lou-Ann Navalta, a Shopper Insights leader of one of the leading global information &
measurement company in the Philippines, Nielsen , explained that some of the reasons why Filipinos are
resorting more to dining out rather than eating at home, is because of the environment of modern-day
Filipinos: fast-paced and time-strapped. According to her, restaurants are appealing because they cater
to their needs for convenience, quick preparation, and ready-to-eat meal options.
In an article published in the business news sector of Manila Bulletin in 2017 by Bernardo M.
Villegas, it is estimated that Food Consumed Outside Home now exceeds P500 billion annually,
according to the data from the Family Income and Expenditures Survey (FIES) of the National Statistics
Office. Out of the budget for food of the typical middle-income household, some 20 percent goes to
food consumed outside the home. Consumption of food either at home or outside the home will be the
first to be benefited by the contemplated tax reform of the Duterte Government to reduce the income
tax rate for those in the 200,000 to P1 million range, the expanding middle class. They are expected to
spend the increase in their disposable income on eating out. This refers not only to restaurants, cafés,
canteens and the like. It also includes street stalls/kiosks that are in high demand in business districts
with heavy foot traffic.
The industry in which the restaurant and fast food firms operate has increasing consumer
demand for every improving product. The growth is proven by the rapid expansion of food outlets in key
areas in Metro Manila. However, even if the market is getting larger, more consumers are still becoming
more price conscious and are exhibiting brand loyalty. With a wide range of restaurants and fast food
establishments to choose from, pricing schemes and marketing strategies determine market shares.
In line with this, the researchers will determine which factor greatly affects the restaurant
preferences of our focus group, which are the students of CTHM department.
The CTHM department holds the most number of students enrolled in Lyceum of Alabang. They
are mainly composed of Hotel and Restaurant Management and Tourism Students. These individuals are
from different cultural, ethnic and economic backgrounds and most of whom have definite and
conflicting restaurant preferences. As such, they have different characteristics; hence, they tend to use
different criteria in selecting restaurants. A deeper understanding of the CTHM students of Lyceum of
Alabang’s selection criteria will provide restaurateurs with valuable information and insights which will
enable them to attract and retain these students as their customers. Consequently, there is a need to
understand the factors affecting their choice and their relative importance that influences these
students’ decision so that restaurateurs can supply their offerings and develop strategies accordingly.
Lyceum of Alabang is situated at Km. 30 National Road, Tunasan, Muntinlupa City. Inside and
outside the school, students have plenty of choices when it comes to the place where they could eat.
Inside the school, there is a canteen and other food stalls that are available for the students to eat into.
Outside the school, there is a mini food park adjacent to it and a nearby mall (SM Muntinlupa) that has
restaurants such as the North Park, Bon Chon, Classic Savory and Giligan's island restaurant and bar and
fast food chains such as Jollibee, Mcdonald’s, Chowking and KFC where students usually spend their
meal time.
Most of the CTHM students of Lyceum of Alabang have already taken the subjects related to the
food and beverage industry so they have an idea on how important their food choices will be for their
health and for their future career in the industry.
In line with this, the researchers will try to determine whether the factors that affects these
students’ decision in choosing a restaurant is affected by their knowledge on how the food and
beverage industry works.