Saguid 2025 Transitioning To Online Home Based Business Impact On Business Well Being And

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A 2025 article by Aila Jemimah J. Saguid and six co-authors of Cavite State University – Tanza Campus, in the International Journal of Research in Education Humanities and Commerce, volume 6, issue 1 (January-February 2025), DOI 10.37602/IJREHC.2025.6134, pages 502 to 518. Using a descriptive design and a structured survey of small-scale entrepreneurs in Tanza, Cavite who had moved to an online setup, the study reports that transitioning to online home-based operation improved financial health through lower operating costs and higher profitability, improved operational efficiency and customer satisfaction, and strengthened economic, governance, social and supply-chain sustainability. Participants still cited difficulty accessing funding, gaps in digital literacy and the cost of technology upgrades as barriers.

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“Saguid 2025 Transitioning To Online Home Based Business Impact On Business Well Being And.” Original at doi.org. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/saguid-2025-transitioning-to-online-home-based-business-impact-on-busi-261a54cda5/, SHA-256 ded3c785e14dde58f618baecfdbadb1697090b66e6ff20428aab064f7ed43067.

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International Journal of Research in Education Humanities and Commerce
Volume 06, Issue 01 "January - February 2025"
ISSN 2583-0333

TRANSITIONING TO ONLINE HOME-BASED BUSINESS: IMPACT
ON BUSINESS WELL-BEING AND SUSTAINABILITY OF SMALL-
SCALE ONLINE BUSINESS IN TANZA, CAVITE

AILA JEMIMAH J. SAGUID, LEONA ROSE HETANES, MIKAELA ROSE A. DEO,
CHRISTIAN B. REYLLO, KIM RAGUINDIN, MARJUN APOSTOL &
RITCH M. BANATE
Cavite State University – Tanza Campus

https://doi.org/10.37602/IJREHC.2025.6134

ABSTRACT

The study determined the impact of transitioning to online home-based businesses on the well-
being and sustainability of small-scale enterprises in Tanza, Cavite. The research employed a
descriptive research design, gathering data through a structured survey questionnaire
administered to small-scale entrepreneurs. The participants were selected using purposive,
convenience, and quota sampling techniques to ensure the representation of business owners
who had transitioned to an online setup. The findings indicated that transitioning to online
platforms significantly improved the financial health of businesses by reducing operational
costs and enhancing profitability. Operational efficiency was also positively impacted, with
improved inventory management, streamlined daily operations, and enhanced communication
with employees and suppliers. Moreover, customer satisfaction increased due to easier access
to services, faster response times, and better customer service facilitated by digital tools. In
terms of sustainability, economic sustainability was strengthened as participants reported more
stable revenue streams and opportunities for growth. Governance and accountability also
improved, with businesses leveraging digital tools to ensure transparency, better record-
keeping, and compliance with regulations. Social sustainability was evident in increased
community engagement and the adoption of fair practices, while product and supply chain
sustainability were achieved through eco-friendly initiatives, such as the use of recyclable
packaging and ethical sourcing practices. Despite these advancements, challenges persisted.
Participants cited difficulties in accessing funding, gaps in digital literacy, and the costs
associated with technology upgrades as barriers to further growth. These findings align with
previous research emphasizing the critical role of digital tools and strategies in the success of
small-scale online businesses (Smith & Muniz, 2018; Kumar et al., 2020). This study
contributes to the growing body of literature on e-commerce and small business sustainability,
particularly in a post-pandemic context. It highlights the importance of government and private
sector support in providing affordable access to technology, training programs, and financial
resources. These measures are essential to empowering small-scale entrepreneurs to thrive in
an increasingly digital marketplace.

Keywords: Online businesses, home-based business, financial health, operational efficiency,
sustainability, small-scale enterprises

1.0 INTRODUCTION

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Volume 06, Issue 01 "January - February 2025"
ISSN 2583-0333

The impact of Covid-19 has been massive, in many areas of our life, especially for business
owners. The lockdowns meant that physical stores were closed, and we as consumers ended up
changed most of our shopping habits to online. Many businesses thus, had to quickly switch
from being a physical-only store to also be an online store (Terrey, 2024). In the province of
Cavite, this transformation enabled numerous entrepreneurs to establish and sustain home-
based businesses using digital tools and e-commerce platforms to serve local and international
markets.

The province of Cavite has seen substantial economic development over recent years. Its high
population density and variety of economic activities make it an ideal location for small
businesses, especially in areas like food, retail, fashion, and handicrafts. Small businesses
significantly contribute to employment and economic development in the region, accounting
for a substantial portion of its economic activity (Philippine Statistics Authority, 2021).
However, the pandemic posed severe disruptions, compelling many small-scale entrepreneurs
to shift to an online business model to survive. This transition leveraged the benefits of e-
commerce, such as flexibility, broader market reach, and reduced operational costs (Statista,
n.d.).

Operating an online, home-based business has provided various advantages for entrepreneurs
in Cavite. E-commerce enables businesses to minimize rent, utilities, and maintenance costs
while offering greater work-life balance for entrepreneurs managing family and work
responsibilities (Hackney et al., 2022). The transition to an online, home-based business model
has offered numerous advantages for small-scale entrepreneurs in Cavite. By operating online,
businesses can reduce overhead costs related to rent, utilities, and store maintenance.
Moreover, e-commerce allows businesses to maintain a more flexible work-life balance, which
has been particularly beneficial for many entrepreneurs juggling family responsibilities and
work commitments. This flexibility has enabled small businesses to quickly pivot their product
offerings in response to changing customer demands, such as the surge in demand for home-
based products and services during lockdown periods.

Additionally, digital tools like social media platforms, online payment systems, and targeted
marketing campaigns have facilitated customer acquisition, brand loyalty, and increased sales
without requiring a physical presence (Laudien & Pesch, 2019). This adaptability has been
especially valuable during heightened demand for home-based goods and services, such as
during lockdowns.

Despite these advantages, transitioning to an online business model presents challenges.
Entrepreneurs in Cavite often face financial instability as they navigate the complexities of e-
commerce operations. Issues such as logistical inefficiencies, ensuring timely deliveries,
managing customer expectations, and maintaining product availability are among the obstacles
small business owners encounter (Missimer et al., 2017). These challenges highlight the need
for strategic approaches to enhance the resilience and sustainability of online businesses in the
region.

The transition to online home-based businesses has enabled small-scale enterprises to reduce
costs, increase market reach, and enhance flexibility. E-commerce platforms, social media
marketing, and online payment systems have become vital tools in this shift. However, this

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ISSN 2583-0333

transition is not without challenges, including financial constraints, digital literacy gaps, and
supply chain in efficiencies (OECD, 2021).

This study investigates the effects of transitioning to online home-based businesses on the well-
being and sustainability of small-scale enterprises in Tanza, Cavite. It examines how the shift
affects financial health, operational efficiency, and customer satisfaction, as well as
sustainability in economic, social, governance, product, and supply chain dimensions.

In view of the preceding statements, this study was conducted to:

1. Determine the business profile of the participants in terms of:

a. Type of business;
b. Years in operation, and;
c. Estimated monthly income business;

2. Identify the factors that effects transitioning to online home-based business to the well-
being of small-scale businesses in terms of:

a. Financial health;
b. Operational efficiency, and;
c. Customer satisfaction

3. Determine the effect of transitioning to online home-based business to the sustainability
of small-scale online business in terms of:

a. Economic sustainability;
b. Governance and accountability;
c. Social sustainability;
d. Product sustainability, and;
e. Supply chain sustainability

2.0 METHODOLOGY

This study employed a descriptive research method to gather comprehensive data on the effects
of transitioning to online home-based businesses on the well-being and sustainability of small-
scale businesses in Tanza, Cavite. The descriptive part focused on explaining the business
profile and the challenges faced during the transition. For this study, the researchers used three
sampling techniques: purposive sampling to determine participants who met the criteria of the
study, convenience sampling to select participants based on their accessibility and availability
and, Quota Sampling to ensure that the sample consisted of exactly 100 small-scale business
owners, representing the study's target population. A self-administered survey questionnaire
was used to collect data. It is a structured set of statements designed to determine the effects of
transitioning to an online home-based business on the well-being and sustainability of small-
scale businesses in Tanza, Cavite.

The data collected was analyzed using frequency counts, percentages, and mean to interpret
the responses. These were utilized to generate the participants’ business profiles. The

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researchers used a 5-point Likert scale to determine levels of agreement or perception. The
following conversion scales were used in interpreting the data. The following conversion scales
were used in interpreting the data.

Table 1. Descriptive interpretation of the financial health
NUMERICAL VERBAL
DESCRIPTIVE INTERPRETATION
RANGE INTERPRETATION
Participants strongly agree that transitioning to
an online home-based business significantly
4.21 - 5.00 Strongly Agree improved their financial health, such as
stabilizing cash flow and managing revenues
effectively.
Participants agree that the transition positively
influenced their financial health, indicating
3.41 - 4.20 Agree improvements in cash flow and revenue
management.
Participants think their financial health is
2.61 - 3.40 Slightly agree average and needs improvement in certain
areas.
Participants believe their financial health is
1.81 - 2.60 Disagree poor, with frequent difficulties in balancing
costs and income.
Participants think their financial health is very
1.00 - 1.80 Strongly disagree poor, indicating struggles with major financial
instability.

Table 2. Descriptive interpretation for operational efficiency
NUMERICA VERBAL
DESCRIPTIVE INTERPRETATION
L RANGE INTERPRETATION
Participants strongly agree that transitioning
online significantly enhanced operational
4.21 - 5.00 Strongly Agree efficiency, such as easing order management
and streamlining processes.
Participants agree that the transition improved
3.41 - 4.20 Agree their operational efficiency to a considerable
extent, ensuring smoother workflows.
Participants slightly agree that the transition
2.61 - 3.40 Slightly agree contributed to better operational efficiency in
some areas.

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Volume 06, Issue 01 "January - February 2025"
ISSN 2583-0333

Participants disagree, suggesting that the
1.81 - 2.60 Disagree transition offered little improvement in
operational efficiency.
Participants strongly disagree, indicating a
1.00 - 1.80 Strongly disagree negative perception of their operational
efficiency after the transition.

Table 3. Descriptive interpretation for customer satisfaction
NUMERICAL VERBAL
DESCRIPTIVE INTERPRETATION
RANGE INTERPRETATION
Participants believe they consistently meet or
4.21 - 5.00 Strongly Agree exceed customer expectations, leading to high
loyalty and satisfaction.
Participants think they usually meet customer
3.41 - 4.20 Agree expectations but occasionally fall short.
Participants feel their customer satisfaction
2.61 - 3.40 Slightly agree levels are average, requiring significant
improvement.
Participants perceive poor customer
1.81 - 2.60 Disagree satisfaction, with many unmet expectations.
Participants think customer satisfaction is
1.00 - 1.80 Strongly disagree extremely low, which may negatively impact
loyalty.

Table 4. Descriptive interpretation for governance and accountability
NUMERICAL VERBAL
DESCRIPTIVE INTERPRETATION
RANGE INTERPRETATION
Participants feel their business operations are
4.21 - 5.00 Strongly Agree highly transparent, ethical, and compliant with
regulations.
Participants think their governance practices are
3.41 - 4.20 Agree good but may need improvement in certain
areas.
Participants feel their governance and
2.61 - 3.40 Slightly agree accountability are moderate, with some
weaknesses in ethical practices.
Participants believe their business governance
1.81 - 2.60 Disagree is weak, with poor adherence to ethical or legal
standards

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Participants perceive significant failures in
1.00 - 1.80 Strongly disagree governance, with little transparency or
accountability.

Table 5. Descriptive interpretation for social sustainability
NUMERICAL VERBAL
DESCRIPTIVE INTERPRETATION
RANGE INTERPRETATION
Participants strongly believe their business
4.21 - 5.00 Strongly Agree positively impacts the community and fosters
strong relationships with stakeholders.

Participants feel their business contributes to
3.41 - 4.20 Agree social well-being but recognize areas for
improvement.
Participants think their business moderately
2.61 - 3.40 Slightly agree supports social sustainability but lacks
consistency.
Participants believe their business has minimal
1.81 - 2.60 Disagree positive social impact or weak community
engagement.
Participants perceive their business as
1.00 - 1.80 Strongly disagree disconnected from the community, providing
little or no social benefit.

Table 6. Descriptive interpretation for product sustainability
NUMERICAL VERBAL
DESCRIPTIVE INTERPRETATION
RANGE INTERPRETATION
Participants believe their products are highly
4.21 - 5.00 Strongly Agree sustainable, eco-friendly, and meet customer
expectations for long-term use.
Participants feel their products are mostly
3.41 - 4.20 Agree sustainable but could use some enhancements in
environmental or usability aspects.
Participants think their products meet moderate
2.61 - 3.40 Slightly agree sustainability standards, requiring significant
improvements.
Participants perceive their products as
1.81 - 2.60 Disagree unsustainable, with low environmental or
customer-friendly attributes.

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Volume 06, Issue 01 "January - February 2025"
ISSN 2583-0333

Participants feel their products are highly
1.00 - 1.80 Strongly disagree unsustainable, with little consideration for eco-
friendly or long-term usability.

3.0 RESULTS AND DISCUSSION

3.1 Business Profiles of the Participants

Table 7 shows that most participants (57%) had been operating their businesses for 1–3 years,
reflecting the surge of startups during the pandemic. Retail businesses comprised the largest
group (32%), followed by general merchandise and other categories (12% each). The majority
(30%) of participants reported monthly incomes of ₱10,000 or below, highlighting financial
constraints among small-scale enterprises.

These findings align with Taylor and Lee (2022), who observed that startups tend to dominate
emerging markets during economic disruptions. The significant presence of retail businesses
underscores their adaptability to e-commerce platforms, as noted by Smith and Brown (2021).
Furthermore, the prevalence of low-income participants indicates the urgent need for cost-
effective business models like online home-based setups, consistent with Chen and Wang’s
(2020) study.

Table 7. Distribution of participants in terms of their business profile

BUSINESS PROFILES FREQUENCY PERCENTAGE
Type of Business
Wholesale 9 9.00
Retail 32 32.00
Manufacturing 6 6.00
Restaurant 10 10.00
Real Estate 4 4.00
Education 1 1.00
Construction/Electricity 5 5.00
Buy and Sell 9 9.00
General Merchandise 12 12.00
Others 12 12.00
Years in Operation
1–3 years 57 57.00
4–6 years 22 22.00
7–9 years 8 8.00

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Volume 06, Issue 01 "January - February 2025"
ISSN 2583-0333

10 years and above 13 13.00

Monthly Income
Table 8. Continuation of Table 7
10,000 and below 30 59.30
10,001–20,000 19 7.30
20,001–30,000 15 6.70

30,001–40,000 6 12.00

40,001–50,000 5 2.70
50,001–60,000 9 2.70
60,001–70,000 5 2.70
70,001–80,000 1 5.30
80,001–90,000 6 1.30
90,001 and above 4 10.70

3.2 Effect of Transitioning to Online Home-Based Business on Business Well-Being

Table 9 presents the perceived effects of transitioning to online home-based businesses on
financial health. Participants positively viewed the financial benefits of the transition,
particularly in terms of profitability and revenue. The highest-rated statement, "Business
profitability has significantly improved," had a weighted mean of 4.23, indicating strong
agreement. Similarly, "Transitioning online has increased my revenue" received a mean score
of 4.22. Participants also acknowledged the reduction in operational costs (mean = 4.13) and
improved financial management (mean = 4.10) as notable advantages. However, the statement
"The online transition has provided access to additional funding or credit options" scored the
lowest (mean = 3.92), suggesting moderate agreement.

Murphy et al. (2022) noted that online platforms allow small-scale businesses to reduce fixed
costs and increase revenue streams, resulting in better financial health. Kumar and Patel (2019)
emphasized that while operational cost savings are a primary advantage of transitioning online,
many small businesses face difficulties in securing additional funding due to limited credit
histories or awareness of digital financing options.

Shankar et al. (2021) highlighted that the online model facilitates better financial management
by providing tools for tracking income and expenses. These findings reinforce the significant
financial benefits of transitioning to online operations while also identifying areas for
improvement, particularly in accessing funding opportunities.

Table 9. Effect of Transitioning to Online Home-Based Business on Financial Health
WEIGHTED STANDARD
FINANCIAL REMARKS
MEAN DEVIATION

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1. Transitioning online has
increased my revenue. 4.22 0.84 Agree
2. The online setup has
reduced my operational costs. 4.13 0.85 Agree
3. Business finances are
managed more effectively. 4.10 0.85 Agree
4. The online transition has
provided access to additional 3.92 0.83 Agree
funding or credit options.
5. Business’s profitability has
significantly improved. 4.23 0.84 Agree

OVER-ALL 4.12 0.84 Agree

Table 10 presents the perceived effects of transitioning to online home-based businesses on
operational efficiency. Participants strongly agreed that the transition improved several aspects
of efficiency, particularly communication with employees and suppliers, which received the
highest weighted mean of 4.45. Statements about streamlining daily business operations (mean
= 4.21), automating orders and payments (mean = 4.14), and enhancing inventory management
(mean = 4.10) also received positive responses. Tracking and measuring business performance
(mean = 4.23) further highlighted the efficiency gains achieved through the transition.

Johnson et al. (2020) emphasized that digital tools significantly enhance operational efficiency
by streamlining processes and improving communication in small businesses. Brown and
Carter (2021) supported these findings, noting that automation reduces workload and errors,
allowing entrepreneurs to focus on strategic goals.

Shankar et al. (2021) highlighted the role of online platforms in improving inventory
management and business tracking, key components of operational efficiency. These findings
reinforce the substantial benefits of transitioning to online home-based business models while
identifying opportunities for further leveraging digital tools to sustain efficiency
improvements.

Table 10. Effect of Transitioning to Online Home-Based Business on Operational
Efficiency
WEIGHTE STANDARD
OPERATIONAL EFFICIENCY REMARKS
D MEAN DEVIATION
1. The online transition has made
my daily business operations 4.21 0.90 Strongly Agree
more streamlined.
2. The inventory management
process has been streamlined
with the use of advanced online 4.10 0.85 Agree
tools.

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3. Communication with
employees and suppliers has 4.45 0.80 Strongly Agree
improved substantially.
4. Automation of processes of
orders and payments has 4.14 0.88 Agree
reduced workload and errors.
5. The online transition has
enhanced my ability to track
and measure business 4.23 0.89 Strongly Agree
performance.

OVER-ALL 4.23 0.87 Strongly Agree

Table 11 presents the perceived effects of transitioning to online home-based businesses on
customer satisfaction. Participants strongly agreed that the transition positively impacted
customer satisfaction, particularly in addressing customer inquiries promptly (mean = 4.29)
and increasing customer loyalty (mean = 4.23). The ease of purchasing products or services
online (mean = 4.23) and improved quality of customer service (mean = 4.14) were also highly
rated. Furthermore, the transition enabled a better understanding of customer preferences
(mean=4.19).

Nguyen and Simkin (2017) highlighted that online platform significantly enhance customer
satisfaction by providing faster and more accessible services. Anderson and Srinivasan (2020)
emphasized the role of digital tools in fostering customer loyalty and improving service quality,
aligning with the results of this study.

These findings reinforce the critical role of online platforms in improving customer satisfaction
and demonstrate the potential for businesses to enhance service quality and customer retention
through digital engagement strategies.

Table 11. Effect of Transitioning to Online Home-Based Business on Customer
Satisfaction
WEIGHTED STANDARD
CUSTOMER SATISFACTION REMARKS
MEAN DEVIATION
1. Customers find it easier to
purchase my products/services 4.23 0.83 Strongly Agree
online.
2. Transitioning online has
improved the quality of my 4.14 0.77 Agree
customer service.
3. Customer inquiries are
addressed more promptly
through the use of online 4.29 0.79 Strongly Agree
platforms.

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4. The online setup has helped me
gain a better understanding of 4.19 0.82 Agree
customer preferences.

5. Customer loyalty has increased
since the transitioning to an 4.23 0.80 Strongly Agree
online home-based setup.

OVER-ALL 4.22 0.66 Agree

3.3 Effect of Transitioning to Online Home-Based Business on Business Sustainability

Table 12 presents the impact of transitioning to online home-based businesses on economic
sustainability. Participants positively perceived the transition as it created growth opportunities
(mean = 4.28) and enabled businesses to adapt to market demands (mean = 4.10). The reduction
in operational expenses (mean = 4.04) and the ability to maintain consistent revenue (mean =
4.03) were also noted as key benefits. However, financial risk reduction received a slightly
lower rating (mean = 3.94), suggesting moderate agreement.

Riggins and Mitra (2020) highlighted that online business models enhance economic
sustainability by minimizing costs and providing avenues for expansion. Similarly, Schor
(2019) noted that online businesses are more resilient to market shifts, ensuring long-term
stability. These findings align with the participants' experiences, emphasizing the economic
benefits of transitioning to an online setup.

Table 12. Effect of Transitioning to Online Home-Based Business on Economic
Sustainability.
WEIGHTE STANDARD
ECONOMIC REMARKS
D MEAN DEVIATION
1. Transitioning online has reduced 4.04 0.87 Agree
my overall business expenses.

2. The online setup has helped me 4.03 0.79 Agree
maintain consistent revenue.

3. The Business has adapted well to 4.10 0.84 Agree
changes in market demands.
4. The online platform has created
opportunities for growth in my 4.28 0.73 Strongly Agree
business.

5. Financial risks in my business
have decreased since transitioning 3.94 0.88 Agree
online.

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OVERALL 4.06 0.88 Agree

Table 13 highlights the perceived improvements in governance and accountability resulting
from the transition to online businesses. Participants strongly agreed that communication with
employees and suppliers improved (mean = 4.22). Enhanced business record-keeping and
financial tracking, accountability, and transparency each received a mean of 4.14. Compliance
with local regulations and policies also scored positively (mean = 4.17).

Lee et al. (2018) emphasized that digital tools facilitate better governance practices by
improving transparency and ensuring compliance with legal requirements. Additionally, Kwon
and Kim (2020) stated that online platforms enable more effective communication, fostering
accountability. These findings reinforce the role of digital tools in strengthening governance
practices among small-scale enterprises.

Table 13. Effect of Transitioning to Online Home-Based Business on Governance and
Accountability
GOVERNANCE AND WEIGHTE STANDARD
REMARKS
ACCOUNTABILITY D MEAN DEVIATION
1. Managing business records and
financial tracking has improved in 4.14 0.79 Agree
the online setup.
2. Business operations are
monitored more effectively with 4.14 0.85 Agree
the use of online tools.
3. The online business complies
with local business regulations 4.17 0.77 Agree
and tax policies.
4. Communication with employees
or suppliers has improved with 4.22 0.83 Strongly Agree
online systems.

5. Accountability and transparency 4.16 0.84 Agree
in my business have increased.

OVERALL 4.16 0.89 Agree

Table 14 outlines the impact of online business transitions on social sustainability. Participants
strongly agreed that their business practices contributed positively to social well-being (mean
= 4.24). Serving a diverse customer base (mean = 4.15) and engaging more frequently with
customers (mean = 4.12) were also highlighted as benefits. However, the impact on local job
creation scored slightly lower (mean = 3.95), indicating room for improvement.

Jenkins (2016) found that online businesses can enhance social sustainability by fostering
community engagement and adopting socially responsible practices. Smith and Alexander
(2019) similarly noted that digital platforms enable businesses to cater to diverse populations.
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These findings align with the study's results, demonstrating the social benefits of transitioning
to online models while highlighting the need for greater local impact.

Table 14. Effect of Transitioning to Online Home-Based Business on Social Sustainability
WEIGHTED STANDARD
SOCIAL REMARKS
MEAN DEVIATION
1. My online business has improved
with providing local jobs or 3.95 0.85 Agree
services.
2. Customers perceive my business
as socially responsible in the 4.08 0.79 Agree
online home-based setup.
3. I engage with my customers more
frequently through online 4.12 0.81 Agree
platforms.
4. The online transition has helped
me serve a more diverse customer 4.15 0.77 Agree
base.

5. My business practices contribute 4.24 0.76 Strongly Agree
positively to social well-being.

OVERALL 4.13 0.81 Agree

Table 15 presents the effects of transitioning online on product sustainability. The highest-rated
statement was customer feedback leading to improvements in product quality (mean = 4.39).
Participants also agreed that the online setup improved product quality (mean = 4.23) and
enabled more sustainable product options (mean = 4.17). While product packaging and delivery
became more environmentally friendly (mean = 4.00), this area requires further attention.

Green et al. (2020) noted that online platforms provide opportunities to expand product lines
and integrate sustainable practices, such as eco-friendly packaging. Johnson et al. (2018)
emphasized the importance of customer feedback in refining products. These findings align
with the study's results, showcasing the potential for online businesses to enhance product
sustainability.

Table 15. Effect of Transitioning to Online Home-Based Business on Product
Sustainability
WEIGHTED STANDARD
PRODUCT REMARKS
MEAN DEVIATION
1. Transitioning online has
improved the quality of my 4.23 0.81 Agree
products/services.

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2. The online setup has helped me
introduce more sustainable 4.17 0.85 Agree
product options.
3. Product packaging and delivery
methods have become more 4.00 0.91 Agree
environmentally friendly.
4. My product/service offerings
have expanded due to online 4.04 0.83 Agree
opportunities.

5. Customer feedback has led to
improvements in product/service 4.39 0.76 Strongly Agree
quality.

OVERALL 4.17 0.80 Agree

Table 16 details the effects of transitioning online on supply chain sustainability. Participants
strongly agreed that sourcing materials and products became more efficient (mean = 4.29).
Improved supplier relationships and inventory management both scored a mean of 4.25, while
delivery and logistics processes also saw significant improvements (mean = 4.26). However,
adaptability to changing demands scored slightly lower (mean = 4.11).

Sharma et al. (2021) emphasized that online tools improve supply chain efficiency by
enhancing communication with suppliers and streamlining inventory management. Dufresne
et al. (2019) similarly highlighted that transitioning online can optimize logistics and delivery
processes. These findings align with the study's results, showcasing the supply chain
advantages of digital transitions while identifying areas for further improvement in
adaptability.

Table 16. Effect of Transitioning to Online Home-Based Business on Supply Chain
Sustainability
STANDARD
WEIGHTED
SUPPLY CHAIN DEVIATIO REMARKS
MEAN
N
1. Transitioning to online home-
based business has made sourcing 4.29 0.73 Strongly Agree
materials/products more efficient.
2. Effective use of online tools
fostered stronger relationships 4.25 0.77 Agree
with suppliers.
3. Managing inventory and stock
levels has become easier with 4.25 0.76 Agree
online systems.

4. Delivery or logistics processes
have improved with the online 4.26 0.75 Agree
setup.
5. Business processes have been
more efficient and adaptable to 4.11 0.81 Agree
changing demands.

OVERALL 4.23 0.73 Agree

4.0 CONCLUSIONS AND RECOMMENDATIONS

The study explored the effects of transitioning to online home-based businesses on small-scale
enterprises in Tanza, Cavite. It assessed the implications of this transition on the overall
business well-being, operational efficiency, customer satisfaction, and sustainability of small-
scale enterprises. Based on the findings, the following conclusions were drawn:

1. Most participants operate retail or general merchandise businesses that transitioned
online during the COVID-19 pandemic. This indicates a shift towards e-commerce
platforms, with a significant number of these businesses having been established within
the past 1–3 years. This reflects an adaptation to changing market conditions and
highlights the diverse business strategies and technological approaches employed by
participants in response to the pandemic.
2. Transitioning to online platforms resulted in notable improvements in financial
performance, including increased profitability, revenue growth, and reduced
operational costs. However, securing additional funding or credit remains a challenge.
3. Sustainability, including economic stability and governance practices, was enhanced.
However, opportunities exist to adopt eco-friendly practices and strengthen the local
impact of supply chains.

Based on the above conclusions, the following recommendations are made:

1. Small-scale enterprises may continue leveraging online tools to improve operations,
customer engagement, and profitability. Adopt eco-friendly practices, such as
sustainable packaging and energy-efficient processes, to align with global trends and
attract environmentally conscious consumers. Explore local partnerships to strengthen
supply chains and create a positive community impact.
2. Future researchers should Expand their study by including other business sectors and
geographic areas to gain a broader understanding of the effects of transitioning to online
platforms. Investigate the long-term sustainability and growth of small-scale enterprises
operating online.
3. Business community may use the findings of this study to craft targeted marketing
strategies that focus on customer needs and preferences. Enhance customer loyalty
programs to build stronger relationships and encourage repeat purchases.

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