Swot Analysis Of Textile Industry
INDUSTRY OVERVIEW
Textile Industry is one of the biggest industries in India serving millions of people with clothing and furnishing. Confederation of Indian Textile Industry says as on 2012 this sector contributes “11% to industrial production, 14% to the manufacturing sector, 4% to the GDP and 12% to the country 's total export earnings ”. Playing an important role in the Indian economy, the industry employs about 35 million people , which is the second largest behind Agriculture. Apart from this, about 54.85 million people are indirectly employed through the allied activities.
The major raw materials for the production of textile are Cotton, Silk, Jute and Wool. India is ranked among the top four in the world in the production of all 4
…show more content…
The new entrants and performers have to develop some kind of consumer base along with the new formations to get established in the industry . Although the raw materials are available at a cheaper rate and India has abundant labour, skilled labour is required for the processes required for textile manufacturing, which is lacking in this country. As most of the skilled labour will be utilized by already existing players, it will create shortage of skilled labour for entrants. Hence the new entrants will be required to increase the wages in order to attract them to their firms. This will lead to increase in production cost and the major part of it will be labour …show more content…
Also, a price sensitive buyer always has greater bargaining power than another buyer who doesn’t have any such reservations, and this is true for an average Indian buyer.
A look at the textile industry and its buyers presents the following picture, when looked at from the perspective of the end user:
• The switching costs are low. It doesn’t take much for a customer to switch from one company to another owing to the large number of players with competitive products.
• The products of this industry are pretty much standardised or undifferentiated, i.e., customers’ perception of the various products offered by different companies doesn’t vary too much. So, buyers always have the option to look out for other vendors.
• For an average Indian buyer, the products of the textile industry are something that are bought infrequently, and represent a significant portion of their total spending. So, the customers as a whole are price
Chuck E. Cheese's Pricing Theory
498 Words | 2 PagesIn the podcast “Chuck E. Cheese’s: Where a Kid Can Learn Price Theory”, Stephen J. Dubner discusses the current violent outbreaks, along with some possible theories. One of his listeners, Nathan Corroy, a financial adviser in Milwaukee, Wisconsin, mentions that a contributing factor may be the pricing strategy. Right now, all the arcade games at Chuck E. Cheese’s cost one token to play, even though some games last longer than others. Thus, Dubner asks an important question “How does the price of a good or a service effect consumer behavior?” (Dubner).
Lvmh Porter's Five Forces
885 Words | 4 PagesDue to their huge success, control over suppliers can be always be maintained by the company. Rivalry among the competitors is the force to reckon with and it is the one that will decide the future profitability of the fashion industry. Competition in fashion is very high since there are only a handful of competitors when looking at the giants. Future Industry evolution Scenario 1 The future of today’s world is technology.
Capsim Porter's Five Forces
506 Words | 3 PagesA supplier with strong bargaining power has the advantage of charging their price higher or selling low quality of the product to them. The bargaining power of suppliers will be low as there are many suppliers in the market offers similar products and this allows courts to switch to other suppliers that offer lower cost. Intensity of rivalry within industry High Threat Competitors in the industries There are quite a number of businesses involve home furnishing and electrical appliance.
Five Forces Auto Insurance Industry
864 Words | 4 Pages3. Threat of new entrants High barriers to entry in the industry. Licensing requirements are high. There is a minimum size requirement to achieve profitability and the initial investment is required and fixed costs of operating. How much of the control is in the hands of existing players of the market or key resources?
Business Strategy Case Study: Lululemon Athletica
1008 Words | 5 PagesThis encourages a very competitive battle among companies. One way a customer has very high bargaining power they are a regular customer within and industry, purchasing large amounts of that companies output. Buyers are constantly seeking to find the lowest costs. It is so easy for a consumer to switch to another brand if they are at all dissatisfied with the current product. So as a group, the customers of Lululemon have a high level of bargaining power.
Swot Analysis Of Uniqlo
1486 Words | 6 PagesThe company Fast Retailing Co., Ltd was found and established on 1 May 1963 in Japan by Tadashi Yanai. Presently, they have launched several apparel and lifestyle brand of UNIQLO, GU, Theory, Comptoir des Cotonniers, Princesse tam.tam and J Brand. UNIQLO was first, to be introduced by Fast Retailing in 1984. It was a brand created to provide comfortable causal clothing to everyone, women, men, kids and babies. A lifestyle wear that was made for all, for everyday activities.
Pestel Analysis Of Clothing Industry
901 Words | 4 PagesIn order to explicitly analysis the clothing industry, emphasis must be laid on Textile
Price Discrimination In Hotel Industry
777 Words | 4 PagesIn the case of hotels, suppliers create different consumer segments, we can relate to them as lower-end consumers, and higher-end consumers. Obviously, hotels cannot set the price that higher-end consumers are willing to pay, because all lower-end consumers will not be able to afford the good. Inversely, if hotels set the price that lower-end consumers are willing to pay, higher-end consumers gain huge consumer surplus, thus lowering the profit for the suppliers. In order to take the consumer surplus, hotels keep lower prices for some rooms in order to target lower-end consumers and offer some higher quality rooms (for example presidential suits) to target higher-end consumers. The difference in revenues providing different rooms and the same ones is seen below.
Apple Executive Summary
1435 Words | 6 PagesSuppliers are one of the most important elements for any business. The power of the suppliers depends on the volume of suppliers existing in the market and the uniqueness of their products or services. Apple outsources micro-chip from Intel for high processing technology. The power of customer depends on the purchasing volume, availability of substitutes, price sensitivity and buyers’ incentives. The consumers of Apple have a flexible variety of product line from its competitors.
Porter's Five Forces Fashion Industry Analysis
1364 Words | 6 PagesThese characteristics, a complicated supply chain and wide availability of data make the industry a suitable avenue for an efficient supply chain. Also the fashion industry has been in a transition during the last 20 years: significant consolidation in retail, with most of the apparel manufacturing operations moving overseas and, in more recent times, increasing use of e-commerce in retail and wholesale trade. Historically, retailers have tried to exploit relationships with suppliers. Bargaining power of buyers is moderate because of the size and concentration of major retailers. To reduce power and you gain customers, retailers seek to differentiate products and to create stronger brands.
Porter's Five Forces Analysis Pharmaceutical Industry
720 Words | 3 PagesPharmaceutical products require various types of organic chemical. There are a number of chemical suppliers present in the market. Instead of buying chemicals at the high cost, pharma companies can switch from one company to other. For specific APIs where the sourcing of raw materials is difficult, suppliers have a higher bargaining power but since most raw materials are easily available and suppliers are numerous, where one can easily replace the other, their bargaining power is low. " Bargaining power of buyer:
Marketing: Marketing Mix In The Ice Cream Industry
1497 Words | 6 Pages6.1.2 Price Price is the value or amount that customer pays to buy a product. For instance, for our Star Lab ice cream shop, we need to consider the cost of production of our ice cream, price of our main competitor and our potential customers demographics in order to succeed this competitive market. (C. Breidert, 2007, p.9) 6.1.2.1 Pricing Strategy Pricing strategy that can be used by our company such as penetration pricing, cost-plus pricing, value based pricing and more. But we think that market penetration pricing is the best pricing strategy to be used by our business.
Pros And Cons Of Globalization In The Textile Industry
954 Words | 4 PagesTextile manufacturing giants from USA and UK, numerous times, have their manufacturing units in developing nations like India and China. They get to make products at exceptionally low costs. Outsourcing is productive to corporate units monetarily. Researches demonstrate that nearly four million employments have been exchanged to nations like India, China, and Philippines. More occupations will be outsourced from developed economies to developing economies in the close
Environmental Influences An Organization Face
918 Words | 4 PagesA customer refers to anyone who purchases and utilizes a company's products and services. Customers can be an immense concern for some companies due to customers changing their minds frequently along with other factors. Companies must understand the needs of its consumers
Pizza Hut Supply Chain Analysis
2323 Words | 10 PagesPizza Hut was established by Dan and Frank Carney in Wichita, Kansas, USA in the year 1958. Pizza Hut Inc. is one of the prevalent pizza companies worldwide. It was a subsidiary of Pepsi Co Inc. from the year 1977 – 1997. It is a wholly owned subsidiary of YUM! Brands since 1997 to present.
More about Swot Analysis Of Textile Industry
Chuck E. Cheese's Pricing Theory
498 Words | 2 PagesLvmh Porter's Five Forces
885 Words | 4 PagesCapsim Porter's Five Forces
506 Words | 3 PagesFive Forces Auto Insurance Industry
864 Words | 4 PagesBusiness Strategy Case Study: Lululemon Athletica
1008 Words | 5 PagesSwot Analysis Of Uniqlo
1486 Words | 6 PagesPestel Analysis Of Clothing Industry
901 Words | 4 PagesPrice Discrimination In Hotel Industry
777 Words | 4 PagesApple Executive Summary
1435 Words | 6 PagesPorter's Five Forces Fashion Industry Analysis
1364 Words | 6 PagesPorter's Five Forces Analysis Pharmaceutical Industry
720 Words | 3 PagesMarketing: Marketing Mix In The Ice Cream Industry
1497 Words | 6 PagesPros And Cons Of Globalization In The Textile Industry
954 Words | 4 PagesEnvironmental Influences An Organization Face
918 Words | 4 PagesPizza Hut Supply Chain Analysis
2323 Words | 10 Pages