CHAPTER 1

INTRODUCTION

1.1 Entrepreneur
The dictionary meaning of the word Entrepreneur is given as a person ‘who
start a business.’ It also acts that an Entrepreneur is a person ‘who starts an
enterprise, business or a firm.’ An Entrepreneur is an individual who organizes or
operates a business or businesses, taking on financial risk to do so. An
Entrepreneur works for himself and also provides employment to others.
The Entrepreneur is commonly seen as an innovator, a designer of new
ideas and business processes. The Entrepreneur rather than working as an
employee, run a small business and assumes all the risks and rewards of a given
business venture, idea, or good/service offered for sale. An Entrepreneur supplies
risk capital as a risk taker and monitors and controls the business activities. The
Entrepreneur is usually a sole proprietor, a partner, or the own who owns the
majority of shares incorporated venture.

Definition of an Entrepreneur
According to J.A. Schumpeter defines Entrepreneur as “An Entrepreneur is one
who always searcher for change, respond to it and exploits it as an opportunity
innovation is the basic total of Entrepreneur, the means by which they exploit
change as an opportunity for a different business or service.”

1
Qualities of an successful Entrepreneur
● Capacity to take risk ● Innovativeness

● Capacity to work hard ● Desire for high achievement

● Energetic ● Capacity to solve problem

● Drive ● Using feedback

● Self confidence ● Taking initiative

● Intelligence and knowledge ● Handling failures

● Ability to foresee future ● Locus of Control

● Willingness to change ● Tolerance of uncertainty

● Ability to mobilize resources ● Flexibility

● Ability to build up Organization ● Guarding business secrets

and administer

● Ability to take decisions ● Quality conscious

● Willingness to take ● Tactful

responsibility

● Information seeking ● Have vision

● Monitoring ● Welfare Orientation

● Persuasion ● Systematic planning

2
1.2 ENTREPRENEURSHIP
Entrepreneurship is the process of starting a business, typically a startup
company offering an innovative product, process or service. The Entrepreneur
perceives an opportunity and often exhibits biases in taking the decision to exploit
the opportunity. The exploitation of Entrepreneurial opportunities includes design
actions to develop a business plan, acquire the human, financial and other required
resources, and to be responsible for its success or failure. Entrepreneurship may
operate within an Entrepreneurship ecosystem which includes Government
programs and services that support entrepreneurs, entrepreneurship resources
(e.g.,business incubators and seed accelerators), entrepreneurship education and
training and financing (e.g., loans, venture capital financing, and grants).

Entrepreneurial activities differ substantially depending on the type of

Organization and creativity involved. Entrepreneurship ranges in-scale from solo,
part time projects to large-scale undertakings that create many jobs. Many “high
value” entrepreneurial ventures seek venture capital or angel funding (seed money)
in order to raise capital for building the business.

DEFINITION
According to J.A. Schumpeter, “Entrepreneurship is essentially a creative
activity. It consists of doing such things as are generally not done in ordinary
course of business. An Entrepreneur is one who innovates, i.e. carries out new
combinations or enterprise”.

3
1.3 INTRAPRENEURS
Intrapreneurship is the act of behaving like an entrepreneur while working
within a large Organization. Intrapreneurship is known as the practice of a
corporate management style that integrates risk-taking and innovation approaches,
as well as the reward and motivational techniques that are more traditionally
thought of as being the province of Entrepreneurship.
In big enterprises, the top level executives are encouraged to generate new
ideas and convert them into products through research and developmental activities
within the framework of an Organization. Most of these persons achieved great
success in their new ventures. These persons who turned to Entrepreneurs came to
be known as “Intrapreneurs”.

DEFINITION
According to Gifford Pinchot III, “Intrapreneurs are the persons who
resigned from their well-paid executive positions to launch their own ventures”.

4
1.4 DIFFERENCE BETWEEN ENTREPRENEUR AND INTRAPRENEUR

S.NO DIMENSION ENTREPRENEUR INTRAPRENEUR

1. Dependency An Entrepreneur is An Intrapreneur is

independent in his dependent on the
operations. Entrepreneur.

2. Raising of An Entrepreneur himself Funds are not raised by

funds raises funds required for the Intrapreneur.
an Enterprise.

3. Risk taking Entrepreneur bears the Intrapreneur does not

entire risk involved in the bear the risk at all.
business.

4. Operations An Entrepreneur operates An Intrapreneur operates

from outside the from within the
Organization. Organization.

5. Profit Entrepreneur enjoys the Intrapreneur does not

profit of the business. take profit out of his
innovations. However, he
gets a lot of perquisites
for his innovations.

6. Ownership Entrepreneur is the real Intrapreneur is not the

owner of the business. owner of the business.
But he works for the

5
 business.

7. Nature of work Entrepreneur converts the Intrapreneur creates

innovative ideas of innovation.
Intrapreneur into viable
opportunities.

1.5 BENEFITS OF ENTREPRENEUR

Benefits of Entrepreneur are given below:

✔ Control: You choose the work you like to do and that makes the most
of your strengths and skills. The result can be more job satisfaction.
✔ Excitement: Entrepreneurship can be exciting and many
entrepreneurs consider their work highly enjoyable. Each day is filled with
new opportunities to challenge your abilities, skills, and determination.
✔ Flexibility: Entrepreneurs can schedule their work hours around other
commitments, including spending quality time with their families.
✔ Freedom: Freedom to work whenever they want, wherever they want,
and however they want draws many to Entrepreneurship. Most
Entrepreneurs don’t consider their work actual work because they are doing
something they love.
✔ Rational Salary: As an Entrepreneur, your income is directly related
to your efforts and the success of your business.
These are the benefits of Entrepreneurship.

6
 CHAPTER 2

WOMEN ENTREPRENEUR

2.1 Meaning

Traditionally, an entrepreneur has been defined as "a person who organizes

and manages any enterprise, especially a business, usually with considerable
initiative and risk". Rather than working as an employee, an entrepreneur runs
a small business and assumes all the risk and reward of a given business venture,
idea, or good or service offered for sale. The entrepreneur is commonly seen as a
business leader and innovator of new ideas and business processes."

Entrepreneurship plays an imperative role in the growth of any society.

Development of entrepreneurship culture and qualitative business development
services are the major requirements for industrial growth. Entrepreneurship
emerges from an individual’s creative spirit into long-term business ownership,
employment creation, capital formation and economic security. Entrepreneurial
skills are essential for industrialisation and for alleviation of mass unemployment
and poverty. As technology speeds up lives, women are an emerging economic
force, which cannot be neglected by the policy makers. The world’s modern
democratic economy depends on the participation of both sexes. Irene Natividad
has observed that “Global markets and women are not often used in the same
sentence, but increasingly, statistics show that women have economic cloutmost
visibly as entrepreneurs and most powerfully as consumers”.

7
Importance of Women Entrepreneur

This development has become a subject of great concern and serious

discussion in recent times. Women in the present day have been recognized as an
indivisible part of the global struggle for a stable economy. Same is the case in
India where women have recently become the symbol of changes. Reasons that
motivate women’s entry in commerce vary but despite all of their variations in
socioeconomic backgrounds, they have proved their worth time and again. They
have taken risks in businesses and managed to make them pay off. Over and over,
Indian women have competed with men and proven to be equal in every race,
including entrepreneurship.

In the closing years of the 21st century, multi- skilled, productive and
innovative women entrepreneurs are inextricable for achieving sustained economic
growth. Globalization of industrial production and economic interdependence have
become the torch-bearers for all international co-operations. In the dynamic world
which is experiencing the effects of globalization, privatization and liberalization,
women entrepreneurs are likely to become an even more important part of the
global quest for sustained economic growth and social development.

The economic status of woman is now accepted as an indication of the

society’s stage of development. Women (especially rural women) are vital
development agents who can play a significant role in the economic development
of a nation, but they should have an equal access to productive resources,
opportunities and public services. It has also been realised in the last few years that
the widespread poverty and stunted economic growth can be overcome only by
gainful and sustainable economic participation of women. National development
will be sluggish, if the economic 11. T.T Gurumoorthy, ‘Self-Help Groups

8
Women Entrepreneurship in India

Indian Government defines woman owned business as an entity where a

woman or a group of women owns at least “51% of the capital” and give 51% of
generated employment to women. Women are 48% of Indian population but their
participation is still below par as only 34% of Indian women are engaged in
financial and economic activities, many of which are unpaid or underpaid workers.
With gender-bias problems in some regions of India, women have also become
victims of unemployment.

This bias has proven to be advantageous to certain extent as women have

taken up entrepreneurship to fill the void and prove their critics wrong. In India,
women constitute half of the total population (495.74 million), but their
participation in the economic activity is very low. The Female Work Participation
Rate was 25.7 per cent in 2001.

In India, women are relatively powerless with little or no control over

resources and little decision making power. Women in the informal sector are
found to be home-based workers, engaged in the petty manufacture of goods,
either on piece rate basis or on own account, petty traders and petty shopkeepers or
service specialists. Studies reveal that 89 per cent of India’s women workers toil in
the informal sectors in sub-human conditions. Over 2/3 of the enterprises are self-
owned and have a fixed capital of less than Rs.50/- . Over 4/5 of the women
workers in this sector earn less than Rs.500/-p.m. The income earned by women in
this sector is said to be about ¼ of that of a woman in the organized sector”

9
Organizations’ Promoting Women Entrepreneurship in India

1. National Resource Centre for Women (NRCW)

2. Women’s India Trust (WIT)
3. Women Development Corporation (WDC)
4. Development of Women and Children in Urban Area (DWCUA)
5. Association of Women Entrepreneurs of Karnataka (AWAKE)
6. Working Women’s Forum (WWF)
7. Association of Women Entrepreneurs of Small Scale Industries (AWESSI)
8. Women’s Occupational Training Directorate
9. Aid The Weaker Trust (ATWT)
10.Self- Employed Women’s Association (SEWA)

10
 2.2 Women Entrepreneur

Vandana Luthra
(Founder of VLCC Health Care Ltd,)
About
Vandana Luthra (born 12 July 1959) is an Indian entrepreneur and the
founder of VLCC Health Care Ltd, a beauty and wellness conglomerate
represented in Asia, the GCC and Africa. She is also the chairperson of the Beauty
& Wellness Sector Skill Council (B&WSSC), an initiative that provides training
under the Pradhan Mantri Kaushal Vikas Yojana scheme.

Early Life And Education

Vandana Luthra was born in New Delhi in 1959. Her father was a
mechanical engineer and her mother ran a charitable yoga ashram. Luthra
completed her graduation from the Polytechnic for Women in New Delhi. She later
went on to gain expertise in beauty, fitness, food and nutrition and skin care from
Germany, UK and France. She married Mukesh Luthra in 1980.

11
VLCC
● Luthra started VLCC in 1989, as a beauty and slimming services centre in
Safdarjung Development Area, New Delhi. VLCC has a strong national and
international presence. It offers weight management and beauty programmes
(skin, body and haircare treatments and advanced dermatology and
cosmetology solutions).
VLCC has the largest scale and breadth of operations within the beauty and
wellness services industry in India. Currently the store operates in 326 locations in
153 cities and 13 countries in South Asia, South East Asia, the GCC Region and
East Africa. With over 4,000 employees, including nutrition counsellors, medical
professionals, physiotherapists, cosmetologists and beauty professionals, VLCC is
a leader in the Indian beauty and wellness industry by market share.
● The company operates its products business through its subsidiary, VLCC
Personal Care Limited in India and GVig in Singapore, which it acquired in
September 2013. Presently, its GMP-certified manufacturing plants are
situated at Haridwar, India and Singapore. The company manufactures and
markets 170 hair care, skin care and body care products along with
functional and fortified foods that are consumed in-house (in treatments and
therapies at VLCC Wellness Centres). These products are also sold through
100,000 outlets in India, over 10,000 outlets across the GCC region and
South East Asia and through e-commerce channels.
● VLCC's weight-management solutions include a unique DNA-based weight
management system to customize weight loss programmes for an
individual.VLCC also operates vocational training institutes called the
VLCC Institute of Beauty & Nutrition that have grown to become India’s
largest chain of vocational education academies in the beauty and nutrition

12
 training segment, with 73 campuses in 55 cities across India and one in
Nepal.
● The institutes train nearly 10,000 students annually and offer courses in
multiple disciplines.

Philanthropy
● Luthra actively helps the underprivileged and the physically challenged by
providing them scholarships for free education. She is Vice Chairperson of
the NGO, Khushii, which has projects like telemedicine centres, a remedial
school with midday meal facility catering to 3,000 children, and a vocational
training facility.
● She is a member of Morarji Desai National Institute of Yoga and of the
Steering Committee and the Sub-Committee formed by India’s Ministry of
Skill Development & Entrepreneurship on the Pradhan Mantri Kaushal
Vikas Yojana.
● She is a patron of the Amar Jyoti Charitable Trust, which pioneered the
concept of educating children with and without disability in equal number
from nursery to class VIII. The Trust now has over 800 in children in its two
schools.

Awards And Recognitions

Luthra has received a host of awards for excellence and entrepreneurship
over the years including the Padma Shri (India’s fourth highest civilian honour) in
2013 for her contribution to trade and industry. Other awards include:
⮚ The Enterprise Asia Women Entrepreneur of the Year Award in 2010
⮚ Luthra was ranked 26th in the distinguished annual Forbes Asia 2016

13
 ⮚ List of 50 Power Businesswomen in the APAC region (which includes Asia,
Australia and New Zealand). Of the 50 women achievers featured, only 8
were from India.
⮚ She has featured in Fortune magazine's annual listing of the ’50 Most
Powerful Women in Business in India’ for five years in a row – from 2011
to 2015.
⮚ The Asian Business Leaders Forum Trailblazer Award in 2012
Publications

▪ Vandana Luthra (2011). Complete Fitness Programme

▪ Vandana Luthra (2013). A Good Life.

2.2 Problems faced by the Women Entrepreneurs

Barriers to Women Entrepreneurs in India:

Countless hurdles have been laid for women over the years. Surpassing all of
these hurdles successfully is still a challenge.

These are some of the problems women face after starting their business
• Familyproblems
• Management of Finance
• Managing manpower
• Professional disrespect

The key reason of women being blocked from business is that they are
women. Male prejudice is still prevalent in India. Male is still considered the
dominant gender and sole bread provider. The view that Indian women lack self-
14
confidence, willpower, mental composure and entrepreneurial attitude has made
devastating effects on India. This view has kept the women from becoming leaders
and has also instilled fear in women.
This age-old prejudice has also convinced a portion of women that they are
unable to take risks; that they are unable to access technology, deal effectively with
workers and that the best job for them is to raise a family.
However, India is full of examples new and old that a woman can be an
entrepreneur and a successful one at that. Compared to men, fewer female
businesses fail because of poor financial management once their business get kick.

2.4 Steps to overcome the problems

The problems women face pose a challenge for government and the
authorities to tackle, but with the right approach and some time, they can be
solved. Everyone must understand the importance of women entrepreneurship. On
top of all, women need motivation and any discouragement must be dealt with.

Following are some measures that can be taken to make women empowered
so that they can continue their business activities as confidently as Indian men.

• Creating better education opportunities.

• Making provisions for personality development and training.
• Improving communication skills.
• Institutions where women can learn entrepreneurial skills and risk
taking abilities.
• Measures to change the attitude of society concerning women and women
entrepreneurs in India.

15
 CHAPTER 3
3.1 PROPOSED BUSINESS ORGANISATION

Background

Embroidery is the art of working raised and ornamental designs in

threads of silk, cotton, gold, silver, or other material, upon any woven fabric,
leather, paper with a needle. Embroidery work or ornamentation. Elaboration
or embellishment, as in telling a story.

Vision

● We aim to help embroidery designers who loss their job.

● Developing and maintaining a unique and professional image is
perhaps the most important objective of all for any embroidery
company

Mission
● For our customers, they get embroidery designs at the same platform
without looking for embroidery design sellers.
● For embroidery designers or customers, we aim to save their time &
valuable money.

16
Company Name

The human race universally wears articles of clothing and add bunch of

“INNOVATIVE EMBROIDRY”

Company Logo

This is one of the heart and part of embroidery

17
Company Slogan

“Embroidery is making excellence life

with threads and needles” .

Service offered

⮚ Flower Design

⮚ Mirror Model Design

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 ⮚ Daisy Rosy Flower Design

⮚ Rich Pearls Design

⮚ Fabric Paint Design

19
 Stem Emroidery Design

 Round neck Flower Design

 Cashmere Stitch Design

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 3.2 Projected business proposal

Business proposal
The capital employed is rs.300000. the entire capital consist of own savings. The
list of initial expenses done to start this venture has been listed below.

(A) Capital Employed

S.No Particulars Amount Rs.

1. Capital (own resources) 3,00000

Total 3,00000

(B) Start-up Expenses

S.No Particulars Amount Rs.

1. Advertisements 11,000

2. Telephone 4,000

3. Name board 6,000

4. Insurance 10,000

Total 31,000

21
(C) Fixed Assets Purchased
S. No Particulars Amount Rs.

1. Air conditioner 45,000

2. Furniture 35,000

3. Tailoring machine 28,000

4. Hole punching 10,500

Total 1,18,500

(D) Equipments
S. No Particulars Amount Rs.

1 Billing machine 16,000

2 Interior decoration 5,000

3 Chenille needles 2,000

4 Measuring instruments 1,000

Total 24,000

(I) Utilities
S. No Particulars Amount Rs.

1 Electricity 11,000

22
 2 Water 9,500

Total 20,500

(E) Contingent
S. No Particulars Amount Rs.

1 Repairs and maintenance 5,000

2 Telephone charges 2,500

3 Rent 16,000

Total 23,500

(F) Raw Materials

S. No Particulars Amount Rs.

1 Threads 3,500

2 Iron and ironing board 6,500

3 Tracing paper 1,300

4 Scissors 1,000

5 Drawing materials 7,500

6 Embroidery hooks 7,000

23
 7 Dress makers pins 2,700

Total 29,500

(G) Closing stock

S. No Particulars Amount Rs.

1. Fabric glues 2,000

2. Woollen threads 1,300

3. Tracing papers 5,00

4. Hooks 7,00

Total 4,500

(H) Administrative expenses

S. No Particulars Amount Rs.

1. Maintenance 5,000

2. Salaries 5,000

Total 10,000

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 CHAPTER-4
4.1 Projected Bank statement

Particulars Amount Rs Particulars Amount Rs.

To Capital 3,00,000 By Fixed asset 1,18,000

By Raw materials 29,500

By Start up 31,000
expenses

By Equipments 24,000

By Balance c/d 97,500

3,00,000 3,00,000

By Balance b/d 97,500 By EB charges 11,000

By Sales 1,00,000 By Rent 16,000

By Salaries 5,000

By Telephone 2,500

By Water 9,500

By Maintenance 5,000

By Balance c/d 1,48,500

1,97,500 1,97,500

25
 4.2 Statement showing Profit and Loss Account

Particulars Note Amount Rs.

Revenue from operations 1 1,90,000

Total Revenue (A) 1,90,000

Expenses:

Cost of goods sold 2 85,500

Employers benefit 3 5,000

Depreciation expenses 4 9,900

Other expenses 5 44,000

Total Expenses (B) 1,44,400

Profit for the period (A-B) 45,600

26
 Notes for Accounts (New Format)

Particulars Amount Rs.

1.Revenue From Operations

Sales 1,90,000

2.Cost of goods sold

Opening stock 60,500

Add; purchase 29,500

90,000

Less; closing stock 4,500

85,500

3.Employee Benefits Expenses

Salaries 5,000

4.Depreciation expenses

Depreciation on furniture@6% 2,100

Depreciation on machinery@6% 1,600

Preliminary expenses written off for 5yrs 6,200

9,900

27
5.Other expenses

Maintenance 5,000

Telephone charges 2,500

EB charges 11,000

Rent 16,000

Water facilities 9,500

44,000

4.3 Projected Balance Sheet

Particulars Amount Rs.

Equity And Liability

(A) Fund’s

Capital 3,00,000

Reserves and surplus 45,600

(B)Non-Current Liability

Long term borrowing Nil

(c) Current Liability Nil

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 Total 3,45,600

Assets

(A) Non-Current Assets

Fixed asset 1,14,800

Equipment 24,000

(B) Current Assets

Inventory 4,500

Bills Receivable 29,000

Preliminary written off 24,800

Cash and equivalent 1,48,500

Total 3,45,600

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 4.4 RATIO ANALYSIS

4.4.1 Gross Profit Ratio

This ratio is also known as Gross margin or trading ratio. Gross profit ratio
indicates the difference between sales and direct costs. Gross profit ratio explains
the relationship between gross profit and net sales.

Formula
Gross Profit
Gross Profit Ratio = ───────── x 100
Net Sales

Gross Profit Ratio for the year

1,05,000
Gross Profit Ratio = ────── x 100 = 55.26 %
1,90,000

Inference

The Gross profit ratio is high. The increase in gross profit is attributed to get
a higher profit in the fluctuation period.

30
4.4.2 Net Profit Ratio

This Ratio is also called Net profit to sales ratio. It is a measure of

management’s efficiency in operating the business successfully from the owner’s
point of view. Higher the ratio better is the operational efficiency of business
concern.

Formula
Net Profit
Net Profit Ratio = ──────── x 100
Net Sales

Net Profit Ratio for the year

50,060
Net Profit Ratio = ──────── x 100 = 26.63%
1,90,000

Inference

The Net profit ratio of the concern is moderate. Hence the sales has to be
increased and the strategy followed leads to increase the net profit ratio.

31
4.4.3 Expenses Ratio

These ratios are also known as supporting ratios to operating ratio. They
indicate the efficiency with which business as a whole functions. It is better for the
concern to know how it is able to save or waste over expenditure in respect of
different items of expenses.

Formula

Administrative Exp
Administrative expenses Ratio = ──────── x 100
Net Sales

Expenses Ratio for the year

10,000
Administrative Expenses Ratio = ──────── x 100 = 5.26%
1,90,000

Inference

Comparatively, the expenses ratio is low. Hence, the expenses of the

concern are lower, which leads the concern to earn higher net profit.

32
4.4.4 Operating Ratio

This ratio measure the amount of expenditure incurred in production sales

and distribution of output. It indicates operational efficiency of the concern.

Formula
Cost of Sales + Operating exp
Operating Ratio = ──────── x 100
Net Sales

Operating Ratio for the year

1,26,440
Operating Ratio = ──────── x 100 = 66.54%
1,90,000

Inference

Lower the ratio more is the efficiency. The ratio should be low enough to provide
fair return, to the investors.

33
4.4.5 Operating Profit Ratio

It is the ratio of profit made from operating sources to the sales, usually
shown as percentage. It shows the operational efficiency of the firm and is a
measure of the management’s efficiency in running the routine operations of the
firm.

Formula
Operating profit
Operating Profit Ratio = ──────── x 100
Net Sales

Operating Profit Ratio for the year

63,560
Operating Profit Ratio = ──────── x 100 = 33.45%
1,90,000

Inference

Operating Profit Ratio shows profit resulting from routine or normal

business operations. Operating Profit Ratio added to the operating ratio should be
equal to 100 because they are like two sides of the same coin.

34
4.4.6 Working Capital Turnover Ratio

Working capital turnover ratio measures the effective utilization of working

capital. It also measures the smooth running of business or otherwise. The ratio
establishes the relationship between cost of sales and working capital.

Formula
Sales
W.C Turnover Ratio = ────────
Working capital

Working Capital Turnover Ratio for the year

1,90,000
W.C Turnover Ratio = ─────── = 0.91 times
2,06,800

Inference

Higher sales in comparison to working capital indicates over trading and

lower sales in comparison to working capital indicates under trading. A higher
ratio is the indication of lower investment of working capital and more profit.

35
4.4.7 Fixed Assets Turnover Ratio

This Ratio determines efficiency of utilization of fixed assets and

profitability of a business concern. The former formula which relates the fixed
assets to the cost of sales is more popular and preferable.

Formula
Sales
F.A Turnover Ratio = ────────
Net Fixed Assets

Fixed Assets Turnover Ratio for the year

1,90,000
F.A Turnover Ratio = ──────── = 1.65 times
1,14 800

Inference

Higher the ratio, more is the efficiency in utilization of fixed assets. A lower
ratio is the indication of under utilization of fixed assets.

36
4.4.8 Inventory Turnover Ratio

This ratio is also called Stock velocity ratio. It is calculated to ascertain the
efficiency of inventory management in terms of capital investment. It shows the
relationship between the cost of sales and the amount of average inventory.

Formula
Cost of Goods Sold
Inventory Turnover Ratio = ────────
Average Inventory

Inventory Turnover Ratio for the year

85,500
Inventory Turnover Ratio = ──────── = 2.63 times
32,500

Inference

A high inventory ratio indicates efficient inventory management and

efficiency of business operations. To judge the efficiency of stock turnover ratio it
should be compared over a period of time.

37
4.4.9 Return on Assets

Return on total assets ratio is calculated to measure the productivity of total

assets. It gives an idea is how too efficiently management is at using its assets to
generate earnings. Return on assets is displayed as percentage.

Formula
Net Profit
Return on assets = ──────── x 100
Total assets

Return on assets for the year

50,060
Return on assets= ──────── x100 = 14.48%
3,45,600

Inference

The Return on assets is low. The company must take effective measure to
prevent loss and increase its return on assets.

38
4.4.10 Return on Investment

This Ratio is called Return on Investment (ROI) or Return on Capital

employed. It measures the sufficiency or otherwise of profit in relation to capital
employed. Return on investment is used to measure the operational and managerial
efficiency.

Formula
Net Profit
Return on Investment = ──────── x 100
Investment

Return on Investment for the year

50,060
Return on Investment = ──────── x 100 = 16.68%
3,00,000

Inference

The Return on Investment of the concern is very low. Capital employed is

3,00,000 but the net profit is 36,500 which is comparatively very low, measures
must be taken to increase the profit.

39
 CHAPTER- 5

FINDINGS
● The source of capital that has been invested in the project is high. Hence risk
taking results in good outcome.
● The location of the concern plays a vital role,hence it held in the centre of
the city
● As the concern has opted to a rent building for the purpose of business,it has
to play a huge amount to the form of renti
● The electricity rates are also high,because of commercial purpose
● The rate of the product is quite high when comparable with the competitors
● The amount of net profit obtained from the business is high due to the
absence of credit sales
● There is a increase in the working capital ratio
● As the costumes and the designer wear are wored by the little babies,it has to
be smooth and soft
● It is hard to satisfy the mother rather than the baby.hence,the dress has to
designed as per the wishes of the mother and also must be comfortable to the
baby
● It is very challenging for the costume designer to design the trending,up to
date costume for the kids in the competitive world.

40
SUGGESTION

● The loan taken for the business concern is with a higher rate of
interest,hence it has to be closed soon
● The demand of consumers can be increased by the attractive
advertisement,offers and discounts and with best deals
● Research and development program helps the proprietor to get knowledge
on the competitive market conditions
● By providing offer and discount at the end of the accounting year leads to
reduce the closing stock
● By providing services to the customers to increase the firm reputation
● The idle funds can be invested in various instruments
● The fixed assets can be still more used to the maximum extent possible
● The concern must take effective measures to prevent loss and increase its
return on assets
● By retaining the quality of the product,customes can be retained

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CONCLUSION

With fashion “Nothing is lost, Nothing is created, everything is

transformed”. Fashion designs encompasses a vibrant and vocabulary. It is clear
that fashion design countries to be shaped by evolvingaesthetic and practical
requirements of few fashion industry.

Fashion designs enable us to define and redefine the way that we see others
and ourselves Fashiondesigning can therefore be considered as a journey ofself
discovery that is fed by our imagination and ideas and refined with regular practice

Fashion with all its symbolism and attributes for man outstanding base for
personal and cultural identification. Identify is a necessary process of a person that
is so much required for finding a place in life of everyperson. Fashion has become
a tool for achieving harmony with the inner world and a way of revealing or
concealing peculiarities. Fashion possesses a specific meaning and the more
diverse is the society around us the more fashion – trend will appear and surprise
us.

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 CHAPTER 6

BIBILOGRAPHY
Reference

⮚ www.wikipedia.in
⮚ www.google.co.in
⮚ Book reference (Author)
● Jay shree Suresh
● Radha
● N.P. Srinivasan

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