Launching Jeans in U.

Presented To:

Mr. Rana Shahzad
Presented By: Nouman Saleem (011114)

All praises for Almighty Allah who is “THE CREATOR” of whole of the universe and admires to our Holy Prophet Muhammad (Peace be Upon Him) who taught us every thing of this life and the life thereafter. Now it is our responsibility to convey the “WORDING OF SUCCESS” to whole of the Ummah. As it was indicated in the last Address of our Holy Prophet (Peace be Upon Him). And the graves of “FELLOW BEINGS” are the proof of the completion of this responsibility. I am thankful to my respected teacher Mr.Shahzad who taught us “International Marketing ” with heart and also gave a guideline to this report.

K .K.Executive Summary This report is about launching the Denim Jeans in U.K • Major imports profile of U.K • Political environment of U.K • Trade environment of U.K • Geographic environment of U.It includes the following aspects. • Reasons for choosing this product • Trends in international market • Position of Pakistan in international market • Internal process • Machinery profile for Jeans • Legal environment of U.

• Cheap labor is available for producing Jeans. No one is totally certain where the words come from. Certainly by the . Where did the name Denim Jeans come from? The phrase denim jeans is thought to derive from several sources. I have established a new garments unit named as Sheikh Garments. • This industry is growing very fast.K.K. • Pakistan has good relations with U.K for the following reasons.Sheikh Garments For manufacturing the Jeans and exporting it to other countries. twill weave. The Product The product my unit is manufacturing is Denim Jeans & we are exporting it to U. Why I Selected Jeans I have selected the Denim Jeans for exporting it to U.K are very good. A majority of source books suggest that denim derives from the English translation of the South of France French phrase 'serge de Nîmes' It may well be that the fabric which was made in France also had a version made locally in England and was called by the same name of denim in the same way that Cheddar cheese is called cheddar all over the world. • The overall imports of U. • Resources are available for producing Jeans. The Serge de Nîmes was originally a wool silk mix.

K. it’s essential to know your product. also for all products. The main strength of this unit is derived from the availability of a large variety of fabrics in normal twills. Administration Patterns / Sampling Cutting Stitching . Category 603 Denim is known as Category 603 in Pakistan and other countries. normal denims and stretch denims of almost all weights and qualities are available. It is not only popular in Pakistan but also in the whole world. ideal for heavy laboring. then I cant run my business well.19th century in England denim had a white warp and a navy woof (weft). Trend The trend for jeans is increasing in the whole of the world. Our Unit We are the manufacturers and we give product to the wholeseller .He sends the product to U. Denims Greenwood of USA and Legler of Italy’s denim manufacturing facilities around Lahore and because of a large number of other Denim producing units. I am a manufacturer and if I have no idea about the processing of my product. The Most Important Issue Not only for the Jeans. Denim was considered a hard wearing sturdy fabric.

stitching. Our employee turnover is low and hence the skill level of our workers has grown with us. This essentially means that as the style gets complex the production per day drops accordingly. These departments are administration. • We use secondary sources mostly • Trade fairs • Agents . quality control and stores. Hong Kong) based on 4000 pieces per day production of 5 pocket basic jeans.Laundry Finishing Quality Control Stores Boiler Electricity / Generator General Maintenance Security There are 250 people working for us divided into 8 departments excluding security. cutting. sampling. washing. finishing. We are a stitching (BROTHER brand machines) and washing unit (NGAI SHING. Lately we have added a computer controlled automatic Brother brand "Pocket Welt" machine for any trouser type back pocket welts and flap attaching as we anticipate that the market is going to demand these pocket types in the coming seasons. We are constantly adding new and more modern machines to our unit to enhance our production. Contact with Buyers We contact the potential buyers through following sources.

it is based on the length and waist of Jeans. e.The distribution channel is as follows. agents etc. • We don’t need too much promotion.commerce. The buyers from England send the sample & we provide it accordingly.K . It can be made for any waist and any length. It’s done by fairs. MANUFACTURER (COMPANY) WHOLESELLER JEANS SEND TO U.• E-Marketing • Personal contacts • Other sources Competition Internationally. • India • China • Bangladesh Marketing Mix • Our product is a 5-pocket men’s jean.7$ to 6. We deal in $ and not in the pounds. • Our pricing ranges mostly from 4.7. • We export the product to U. we are facing competition from the following countries.K.

Internal Process It is as follows. Sample Cutting Stitching Washing Pressing and labeling Finishing Dispatched to store Packing and containers .

one piece is placed on the other and in this way a bundle of 50 Jeans is made. In Pressing and Labeling dept. In finishing dept.Explanation • • The sample is first send by the buyer. Then packing is done. In the stitching dept. Then backend is made and they are assembled together in the assembly end. Then the cutter cuts it. Then the belt is made. the quality of jeans is checked and mistakes are rectified. • • • • Machinery Profile We are currently using the following machines. It’s called a gold seal sample. In cutting dept. Then the Jeans dispatched to the store. Stitching Unit: Lock Stitch Double needle Safety 5 threads OverLock 3 threads Loppers Waist Belt 84 units 16 12 11 02 03 . Then they are sent to the containers. front end or the upper part is made. It is done according to the buyer’s request. the Jeans are pressed and then labeled for identification. It is done according to the buyer’s request. • • Washing can be done by simple garment wash or through the stone wash and chemicals.

Belt attaching Bartacks Shank Buttoning Plastic Buttoning Feed of the Arms Eyelets Pocket welting Pockets hemming Elastication Flap attaching Total Laundry: Washing Machines Double Chamber 800 lbs Single Chamber 400 lbs Dryers Extractors Total Boilers: 2 Tone Capacity Small Units Total Pressing: Steam Vacuumed pressing tables Normal pressing tables Steam press Total 04 12 05 02 10 04 01 02 02 02 170 3 3 1 4 10 1 2 3 4 7 12 23 .

5$ .20 Rs 210 or 3.Quality Control Raw Material All of the raw materials pass through a rigorous quality inspection and materials not found within the acceptable criteria of our set quality standards are rejected. He/She is not deployed unless Quality Control Department is satisfied of his/her ability to meet our quality standard.15 Rs.15 Rs. tested and absolutely familiarized with the jobs he has to perform.20 Rs. Cost Schedule for One Piece Fabric Accessories Thread Stitching Overhead costs Quota for 1 year Total Rs . Workers Training Each of the worker is trained. Production A well-trained staff is deployed to ensure that quality produced is within the set parameters of our quality standard.130 Rs.10 Rs.

S. With the heavy emphasis on privatization and lowering of taxes in the last twenty years. the British Government supports the rights of any company registered in the UK. a similar legal framework and business practices. The UK is entering its ninth consecutive year of economic expansion. It attracts U. although growth has slowed in concert with the economies of the other EU . it is easy for American firms to use the UK as a gateway to the rest of the EU. and is a trading nation with a generally open market and a "level playing field". ECONOMY The United Kingdom is the fourth largest economy in the industrialized world. irrespective of the nationality of its ultimate parent. exporters and investors as a place in which to do business. The UK is a member of the European Union (EU).External Environment of U.K SUMMARY The United Kingdom (UK) is the world's fourth largest economy. and relatively low rates of taxation and inflation. and no restriction on the repatriation of capital and profit. Once here. There are very few sectors in which foreign ownership is limited. because of the common language. the wide economic cycles that characterized the economy of the 1970's and early 1980's have become more moderate in scope. Within the EU. but has not committed to signing up for the Euro.

over investment in telecommunications infrastructure.7% in 2000.S. as the companies involved struggle to service their debt.S. could exacerbate a UK slowdown. reform of insolvency laws. as UK exports to the U. One of the major challenges facing the Labour government is to improve this figure. It has signaled that it intends to achieve this improvement by focusing on policies that promote greater competition. The slowdown in the U.2 billion pounds sterling in 2000. but which could widen to close to 20 billion in 2001. which stood at 16. The manufacturing sector. accounts for almost 75% of the overall economy and remains robust.S. and possible entry into the single European currency (Euro). productivity improvement. including prices paid for so-called third generation licenses by British firms. which accounts for 20% of GDP. economy. The services sector. The UK has an essentially free and market-driven economy. and simpler taxes for small businesses are among the policies that will be put forth by the new government in hopes of spurring productivity. grew by only 0. is welfare reform. transport. The main economic focus of the Labour government. including finance. re-elected in May 2001. including the downturn of the U.S. slowdown could also contribute to a widening of the UK current account deficit. economy has the potential to contribute to a similar slowdown in the UK economy. A U. productivity has continued to increase. are approximately 3% of overall GDP. and communications. but growth is slowing. trade liberalization. In manufacturing. Moreover. with .countries. storage. and the outbreak of foot and mouth disease. The two largest impacts on the British economy in late 2000 and early 2001 have been the global economic slowdown. Reductions in capital gains taxes.

particularly whether the United Kingdom should adopt the single European currency (Euro). air travel. although some of the physical assets employed show the need for repair and replacement. PFI schemes transfer ownership of public assets to the private sector.independent regulatory bodies providing additional direction in those sectors where private individuals are the principal users of the product or service. the . water. and only if approved by the electorate in a public referendum. The relationship with Europe also dominates the economic landscape of the UK. Regulated industries include the privatized utilities: telecommunications. and gas supply. To supplement government investment. and passenger rail transportation. transportation. The Labour government has stated that a decision on whether to join the Euro will be made on the basis of strict economic selfinterest. energy. Private sector production. and distribution facilities in the UK are adequate.e. communications. The Financial Services Authority regulates financial services. electricity. and to independent executive agencies that are accountable. Further liberalization of the financial services. as well as transferring financial risk and reward – i. while the Office of Fair Trading regulates consumer credit. the Public-Private Partnership (PPP) initiative enables Private Finance Initiative (PFI) schemes that create viable business entities from public assets at minimal cost to the government have been developed. and telecommunications sectors are all economic goals. warehousing. Most observers do not expect a referendum on the Euro before 2003 at the earliest. Much of the responsibility for public sector infrastructure in the UK has been transferred to the private sector.

although resolution of the peace process in Northern Ireland is important for business sentiment.S. by contrast. as in the recent case of savings withholding tax. banks and investment houses POLITICALENVIRONMENT The exceptionally close and productive Anglo-American "special relationship" is anchored by a long-standing and vibrant political and security purpose. and a shared cultural heritage. At the government level. The Labour Government has said that. the strength of the relationship ensures continued cooperation on a very broad range of foreign policy.. The Conservatives. No important local political issues affect the business climate in the UK as a whole. Labour and Conservatives alike oppose this. common values.private company has no recourse to the government if the business fails. An important EU issue is the prospect of harmonizing direct taxation policies among member states. as both political parties are committed to defending individual EU member states' tax powers. if certain economic conditions are met. it will hold a referendum on joining the EU Economic and Monetary Union (EMU) and accepting the Euro as a common currency. close trade and investment links. . and similar data can be obtained from many of the major U. Information on the UK's economic performance and prospects is published in the Bank of England Quarterly. are likely to oppose such referendum.

in preventing the re-export of sensitive . which are issued by the UK Department of Trade and Industry's Import Licensing Branch. These include firearms and explosives. an excise tax is levied on sales of alcohol. In addition to customs duties. law in export controls. and do not reflect UK Government intentions. The duty is payable at the time the goods are imported. The very few barriers that exist are the result of UK implementation of EU Directives and regulations. tobacco. nuclear materials. The commercial invoice value is usually accepted as the normal price. Although sensitive to the extraterritorial application of U. Customs duty is assessed on the fair market value of imported goods at the time they are landed in the UK. controlled drugs and certain items of military equipment. preventing the export of restricted goods and technology to countries of proliferation concern. The UK also supports United Nations' sanctions restricting exports to certain other destinations. road vehicles. the UK authorities cooperate with the U. and no restrictions on the transfer of capital or repatriation of profits. and the Nuclear Suppliers' Group (NSG) for nuclearrelated goods.TRADE REGULATIONS & STANDARDS The UK has no significant trade or investment barriers. or an unrealistic value has been declared. the Australia Group (AG) for the control of chemical and biological weapons. but if a preferential arrangement has been established between the overseas supplier and the importer. A limited range of goods requires import licenses.S. but established importers can defer payment for up to 30 days. and oil and petroleum products. HM Customs reserves the right to assess a fair market value for duty purposes.S. The UK participates in the Wassenaar Arrangement for the control of dualuse exports.

counterfeit coins and currency. bill of lading or air waybill. chemical composition and appropriate hazard warnings are required for consumer protection purposes on any product offered for retail sale. they are often . The UK supports the use of ISO. etc.S. weight and dimension. and special provision may have to be made for retail labeling of apparel.goods and technology of U. tear gas). the data may be included on any packaging or accompanying printed material or product literature. and. Although industryspecific standards and approvals have no legal standing. units is permitted. A copy of the commercial invoice should accompany the shipment to avoid delays in customs clearance. special certificates of origin. EU and national standards.S. This continued freedom is supported by importers. If the product cannot be labeled or marked. Origin. No special form of invoice is required.S. when required. Although metric units of weight and dimension are required. insurance documents. and also by British exporters of products destined for the U.. Consular documents are not required for shipments. when the enforcement action is based on multilateral controls.g. switchblade knives. The documents required for shipments include the commercial invoice. European and British clothing and shoe sizes are differently marked. with the higher standard superceding the lower as soon as it is issued. sanitation. noxious or harmful substances (e. At least two additional copies of the invoice should be sent to the consignees to facilitate customs clearance. but all of the details needed to establish the true value of the goods should be given. devices that project toxic. Prohibited imports include AM citizens band radios. and certain types of pornography. market. ownership. the continued use of labels with both metric and standard U.-origin to unauthorized destinations. packing list.

The head of government is Prime Minister Anthony (Tony) Blair. EU or ISO standard. 2001. there are an elected Scottish Parliament in Edinburgh.6 million people in 2021. Such acceptance. The number varies as peers are created). an elected Welsh Assembly in Cardiff. This 6 per cent increase over the next 21 years equates to annual population growth of just0. a prime minister would have a majority coalition or at least a coalition that was not rejected by the majority).The population is forecast to reach 63.The UK is a constitutional monarchy. and an elected Northern Ireland Assembly in Belfast.The UK population is estimated to be just under 60 million people. In addition to the UK government in London.3percent.accepted as an assurance of product quality if no relevant national standard exists. . The Head of State is Queen Elizabeth II. ECONOMIC AND TRADE STATISTICS COUNTRYDATA -. The monarch is hereditary. though. -. -. The legislative branch consists of two chambers: the elected House of Commons (659 members) and the unelected House of Lords (686 members as at June 18. is invalidated when a national. the Prime Minister is the leader of the majority party in the House of Commons (assuming there is no majority party.

This compares to the UK government's target of 2.355billion --EstimatedGDP(2001)=2.Inflation: The underlying rate of inflation in the UK is forecast to be 2 per cent in 2001. and Gaelic by a minority in Scotland. Samples of Our Product .000 or more. In addition.3% -.The official language is English.5 percent.Government spending is estimated to be 39. --GDP(2000)=$1. Welsh is spoken by a substantial minority in Wales.7 per cent of UK GDP -. there are many large communities in the UK whose first language is not English. Numerous languages are spoken in London. including thirty-three for which there are resident populations of 10.

Pictures of Processing .



Sources of information • Internet • Journal • Books • Visit to a manufacturing unit (Delta Garments) .

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