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STRATEGIC MANAGEMENT

SM REPORT
MBA-5(B)

TOPIC: DRIVING FORCES BASED ON THE SUCCESS


STORIES OF TWO PAKISTANI COMPANIES

COMPANIES: KHAADI AND NISHAT LINEN

SUBMITTED TO: SIR MUSTAGHEES UR REHMAN

GROUP MEMBEFRS:
FARIA ALI
HASNAIN AKBAR
MUHAMMAD ASIF
ZORAIN SOOMRO
Table of Contents

Contents
INTRODUCTION........................................................................................................................................................4
Technology:..........................................................................................................................................................4
Training................................................................................................................................................................4
Fashion Trend Branding........................................................................................................................................4
Human Resource:.................................................................................................................................................5
Industry:...............................................................................................................................................................5
KHAADI.....................................................................................................................................................................5
VISION STATEMENT..................................................................................................................................................6
MISSION STATEMENT...............................................................................................................................................6
NISHAT LINEN.......................................................................................................................................................6
VISION STATEMENT..................................................................................................................................................7
MISSION STATEMENT...............................................................................................................................................7
BACKGROUND STUDY..............................................................................................................................................7
KHAADI.................................................................................................................................................................7
NISHAT LINEN.......................................................................................................................................................8
LITERATURE REVIEW................................................................................................................................................9
Technology...........................................................................................................................................................9
Training..............................................................................................................................................................10
Fashion Trend Branding......................................................................................................................................10
Human Resource................................................................................................................................................10
Industry..............................................................................................................................................................11
PROFILE OF INDUSTRY...........................................................................................................................................11
History:...............................................................................................................................................................11
Production:.........................................................................................................................................................12
Significance:........................................................................................................................................................12
Trade:................................................................................................................................................................. 12
The Barrier to Growth:.......................................................................................................................................13
PROFILE OF COMPANY..........................................................................................................................................13
KHAADI...............................................................................................................................................................13
Products:............................................................................................................................................................14
Product Strategy:................................................................................................................................................14
Pricing Strategy:.................................................................................................................................................14
Distribution Strategy:.........................................................................................................................................14
SWOT ANALYSIS.....................................................................................................................................................15
NISHAT LINEN.........................................................................................................................................................16
Products:............................................................................................................................................................16
SWOT ANAYLSIS.................................................................................................................................................17
BCG MATRIX..........................................................................................................................................................19
KHAADI...............................................................................................................................................................19
COMPETITORS.......................................................................................................................................................22
 Al-Karam Textile Mills..............................................................................................................................22
 Chenone Pakistan.......................................................................................................................................22
 Ideas...........................................................................................................................................................22
 Habitt..........................................................................................................................................................22
 VLawn........................................................................................................................................................22
COMPARATIVE ANALYSIS......................................................................................................................................22
CONCLUSION AND RECOMMENDATIONS.............................................................................................................24
ACKNOWLEDGEMENT

First and foremost, we would like to thank Almighty Allah, for giving us the strength to complete the
research analytical report we started. Next in line would be our most respected teacher, Sir Mustaghees
Ur Rehman for imparting to us the knowledge, without which our research would have been incomplete.
The group members of our group have proven to be a source of encoragement thriughout, each and
everyone in the group pitched in with an appreciable effort.
And lastly, we also like to thank our respondents of our report who provided us with the necessary data
that we needed regarding the research.
INTRODUCTION
This project is given us as final assignment in strategic management the topic is “The driving forces
based on success stories of two Pakistani companies.  The reason for doing such sorts of project is to
getting the viable introduction of industries the implantation of information and furthermore acquainted
with the difficulties and issues which at present the businesses is confronting. Driving forces plays a
significance part for the improvement of economy and for the development of industries. Through this
project we are generally acquainted with the businesses information and encounters and get the
profundity information of industries and the issues, challenges, issue, standards and estimation of the
business. The companies which we've selected for our analytical report are KHAADI and NISHAT
LINEN. They both have the same driving forces and belong to the same industry that is Textile Industry.
Driving forces of Khaadi and Nishat Linen:

1) Technology: Technology is a driving force in Khaadi and Nishat Linen as well as the ideal
means for businesses. For fashion labels, technology has made it easier to expose their fashion
trends to a larger audience. Technology is not only an advantage for Khaadi and Nishat, but also
for customers. Technologies, through social media applications, retail shops and virtual reality,
are changing the way people shop. To get their products in front of their consumers, Khaadi and
Nishat adapt to changes. In an over-catered fashion environment, creating a fresh and different
experience will set a retailer apart from the rest.
2) Training: The second driving force of Khaadi and Nishat Linen is “Training”
which involves improving the effectiveness of organizations and the individuals and teams
within them. Good customer relationships are crucial in the competitive world, training does not
mean training the front desk staff but an overall training to be provided to each department,
including IT, finance, HR, etc. Education should reach all workers and update them with the
latest resources and technologies and the expertise needed to manage the goods and customers.
3) Fashion Trend Branding: Ace fashion designers have been engaged by Khaadi and Nishat from
the industry to give its product a new avatar, which has acquired a huge difference in the sales of
Khadi products in order to improve the quality of handcrafted products. Another explanation for
the increasing popularity of Khaadi and Nishat is that organic fabrics last longer than traditional
ones. After around 12 to 15 washes, a standard white tee loses its shine and lustre, while a white
shirt made from organic cotton lasts even after 100 washes. The experts realized that after
harvesting and ripping off its natural waxes, regular cotton is heavily processed. Organic cotton,
on the other hand, retains its natural wax and thus retains its sheen and smoothness.
4) Human Resource: Human Resources at Khaadi and Nishat Linen is the driving force behind the
transformation of the business into a process-driven organization that facilitates organizational
development and efficiency. We don't have any sign of the typical HR department. We are a true
strategic business partner who shares the aims of the organization and considers our workers as
partners.
5) Industry: The main driving force of Khaadi and Nishat is its Industry. Textile industry holds a
very important position in Pakistan’s economy in terms of employment value added and exports.
Pakistan is the world's fourth biggest producer of cotton. This creates a large market for the
textile industry's effective growth, as cotton is one of the country's most abundantly available
raw materials that will lead to industrialization. Therefore, the textile industry is crucial to
Pakistan's economy. It also helps to generate jobs and is a source of foreign income. Textiles and
clothing are Pakistan's two main industries and contribute significantly to overall exports.
Around 46% of the overall output is accounted for by these sectors and over 28% of the total
manufacturing labor force is also employed. Pakistan is the 8th biggest exporter of textile
products in Asia. This industry's contribution to the overall GDP is 8.5%. US$18 is the annual
amount of total world textile trade. A trillion, which is increasing by 2.5%. Out of that, however,
Pakistan's share is less than one percent. (Horizon Securities, Pakistan Textile Sector Report).
Pakistan's textile industry is made up of integrated large-scale industries as well as a highly
decentralized cottage and small-scale sector that involves many small businesses.

KHAADI

KHAADI was established in Karachi in December 1998 as a leading Pakistani fashion and lifestyle
brand by SHAMOON SULTAN. He chose to use the hand-woven cloth he used to brace the ancient
craft. This continues to be done throughout the year. The first store was opened in Zamzama in Karachi
in 1999 and in the short period of two weeks, talking to Dawn News Shamoon accounts, they gained
wide spread acclaim. We began collecting feedback from day one. In two weeks, we were stocked out
and we had to shut down with the store. Within two years of its inception, Khaadi then extended to
multi-stores and launched a wide range of Lines of goods. ASA, the leading architectural firm, was the
interior designer for Khaadi shops at up to 2017, Pakistan, UK and UAE. It currently operates 46 stores
in 17 cities throughout Pakistan and 17 stores in the UK and the GCC, offering a wide variety of items
in both printed and hand-woven fabrics, from apparel for women, men and children to home textiles.

In 2010, Khaadi expanded globally, first in Dubai and later in Abu Dhabi, by opening stores in the
UAE. In 2013, after the brand's worldwide popularity, store openings were scheduled for the UK. In
2014, Khaadi opened a 1,630 sq ft store at the Bull Ring shopping center in Bull Ring, Birmingham and
other locations including Westfield London and Westfield Stratford City, Birmingham, UK. In
September 2015, the company also opened a store in High Cross Leicester, UK. More than 40 stores in
Pakistan have been established by Khaadi, as well as stores in the United Arab Emirates and the United
Kingdom. Khaadi has won numerous industry awards including Lux Style Award for Band thrice,
Achievement in Fashion Design - Pert and has been nominated at different occasion in several
categories at Lux Style Awards .It is regarded as the one of the best fashion brands in Pakistan.

VISION STATEMENT

To engage in meaningful culturally appropriate, materially sustainable artisan that support village
life through cottage industry.

MISSION STATEMENT
To be a significant and reliable force for generating wellbeing property and independence within the
village life.

NISHAT LINEN

Strong in diversity, the Nishat Group has been one of South Asia's leading and competitive industries,
paving its way in the areas of textiles, cement and financial services. Nishat Linen is part of a business
that has brought the textile industry a whole new dimension and outlook. Nishat Linen is renowned for
its consistency and known for its designs and affordable prices, and has served the industry for the past
14 years and is now recognized as a brand of its own.

Nishat Linen is one of Pakistan's largest textile and fashion houses that has established itself as one of
the most sought after retail brands in the UAE, with counterparts in Canada and KSA operating 11
stores nationwide. Nishat Linen has skillfully fused the patterns of the Middle East with those of
Pakistan with a design philosophy that is open to everyone, appealing to all segments of women in this
multicultural and diverse country of fashion. The key product is Kurtas ready to wear; we also sell
unstitched fabric, scarves, and accessories to complete your typical outfit. In addition, a local, more
modest take on the Pakistani kurta and a collection of Fusion wear that combines Eastern elements with
Western trends, we offer Jalabiyas. Nishat Linen UAE is part of Nishat Mills Limited, which is one of
Pakistan's most well-equipped, modern and largest vertically integrated textile companies. The growth
trend is expected to continue for years to come due to the implementation of diligent and tactical
management, efficient strategies, preservation of discipline in activities and an effective marketing
strategy. Production facilities for the company include spinning, weaving, refining and generating
electricity.

With sophistication and elegance, NL UAE gives you the colors of the east, transforming fashion and
translating cultural values into designs and ideas. We are responsible for putting out clothes that reflect
your desire to dress up. The beauty is in the modern but plain and supremely eye-catching colours and
cuts. We take care of our customer expectations and thus keep the quality of our goods high. Whatever
your taste or wish, we have something that can appeal to the hearts and minds of all.

VISION STATEMENT
To transform the Company into a modern and dynamic yarn, cloth and processed cloth and finished
product manufacturing Company that is fully equipped to play a meaningful role on sustainable basis in
the economy of Pakistan. To transform the Company into a modern and dynamic power generating
Company that is fully equipped to play a meaningful role on sustainable basis in the economy of
Pakistan.

MISSION STATEMENT
To provide quality products to customers and explore new markets to promote/expand sales of the
Company through good governance and foster a sound and dynamic team, so as to achieve optimum
prices of products of the Company for sustainable and equitable growth and prosperity of the Company.

BACKGROUND STUDY

KHAADI

In 1998, Khaadi first opened its doors in Karachi, Pakistan, selling kurtas and loose fabric made of hand-
woven fabric to customers. The chairman and founder, Shamoon Sultan, had the goal of reviving the
ancient handloom art and popularizing the traditional medium in a contemporary way. Khaadi, meaning
"hand-woven," has remained true to its name and continues to establish a fusion of styles that
complement both the east and west, though still using hand-woven fabrics for selected goods.

Khaadi describes its lines as Concepts and originally had Prêt (Ready-to-Wear), Unstitched and Man
(Eastern Wear). Khaadi has introduced a range of new concepts over the years, including Khaas (with
exclusive and limited-edition pieces), Kids (for 2-12 year-olds), Accessories (jewellery, stoles and
handbags) and Home (featuring furniture, bedding and bath items). In 2010, through exports to different
regions, Khaadi entered the international arena. The online store was launched in 2014 in Pakistan and
Khaadi will look forward to opening its digital doors to different countries in the future. By opening
many retail stores in smaller cities of Pakistan, the company continues its aggressive expansion strategy.
In order to further develop and expand the business in a sustainable way, we have corporatized our
business and have set up Khaadi (SMC-Private) Limited (formally K-Clothing (SMC-Private) Limited)
with effect from 1 May 2016 for this reason.

NISHAT LINEN

Nishat Linen was born to cater to the demand for high quality cloth, while also retaining a strong fashion
ethos at affordable prices. In 1992, in Lahore, Nishat Linen opened its first outlet. Nishat Linen has gone
from strength to strength since its launch, boasting a wholesome range of product lines under its brand
for the entire family. Nishat is currently offering women's wear for summer covering pret and digital
lawn & silks. In addition to shawls, stoles and shawl dupatta suits in Pashmina silk and mix fabrics,
winter wear includes Linen, Sateen, Karandi, and Khaddar & Lawn. Clutches, handbags, and jewellery
are part of the line of accessories. More recently, Nishat has partnered exclusively in Pakistan with
Swarovski, the multinational crystal brand, to introduce their jeweled accessories into their product line.

Naqsh is the Nishat menswear line selling kurta shalwar and western wear shirts for eastern wear. Nisha
Prince and Naqsh Prince label Nishat Linen for Kids gives kids both eastern and western wear. The
textile giant also provides a wide range of home textiles and bedding in export-quality fabrics made in-
house. Nishat has over 70 outlets in 26 cities in Pakistan and an international retail presence in Dubai,
Abu Dhabi, Canada, Saudi Arabia and the United Kingdom.
LITERATURE REVIEW

Technology
Innovation is powered primarily by technology. Once an area focused on its manufacturing and
technical framework has witnessed its technological dynamics. There are various reasons why it is
essential to research technology and design and community technologies in industrial clusters or
industrial and technical systems. Here are few helpful examples of demonstrating how technology
knowledge is used as a framework:

1. It will provide policy, sector, and intermediary entities with input on:

Manufacturing connections, infrastructures, and business and state technology strengths and
disadvantages. The main elements and their effect on the efficiency of the industry and technical
climate.

2. It will use in industrial and technological development policies to:

〈 distinguish among industries and technologies in setting business assistance priorities.

〈 prioritize policy options for working with firms in a given industry and technology.

〈 promote long-term cooperative linkages among industry firms.

〈 find out growth prospects for each sector and technology as well as diversification potential.

3. It used for the development of industrial and technical policies:

Differentiate the priority of market assistance between sectors and technology.

Priority strategy choices for partnering with businesses in a specific sector and technologies.

Encourage long-term cooperative relations between industrial companies.

Choose opportunities for growth and diversification for each industry and technology.
Training
Training” which involves improving the effectiveness of organizations and the individuals and teams
within them. An exercise is an essential tool for business.

Workers are the organization’s most valued commodity, and they are responsible for increasing the
loyalty of consumers and the efficiency of the goods and services. They will not be able to carry out
their duties to their fullest extent without adequate preparation and learning opportunities. Employees
who are completely capable of conducting their duties prefer to sustain their work longer while happy
with their careers. Training and growth are critical instruments for enhancing employee efficiency while
also assisting workers in their attempts to be more efficient, productive, happy, inspired, and creative at
work (Elnaga & Imran, 2013).

Fashion Trend Branding


In the fashion market, the prediction of trends because of their uncertainty is also related to the weather
forecast. This paper proves that we get it right more frequently than not using our vision-based modes.

Suggest a design that unintendedly discovers delicate grained visual styles from large-scale details. Our
model defines specific signatures and gives a semantic definition based on vital optical elements for
each. Moreover, our model forecasts the potential success of styling, displaying its life and status
depending on the consumer behavior. (e.g., in- or out of fashion) For accurate predictions, we prove that
vision is key to exceeding textual representation. Finally, style is not exclusive to clothing; it is available
in shoes, vehicles, and even accessories. Our concept is relatively common to use in various places of
visual styles.

Human Resource
The notions about business adaptation, strategy growth, and HRM have been interlinked in a way that
enables HRM to be perceived as a guiding force in the company’s strategy. HRM policies must be seen
to be both productive and enforcing policies. It indicates a more complex decision-making environment
than making it more straightforward for those responsible for HRM, provided that policies designed to
promote adoption or planned strategies will clash. However, the model presented here suggests that an
HRM study plan is much more nuanced than the existing strategic management considerations. The
partnership’s essence to benefit should be established regarding how such HRM policies contribute to
opportunist behavior. In line with technologies, market structure, or marketing techniques, more
significant consideration should give to the approach for HRM within the confines of current and future
strategic models. This connection between HRM policies, evolving and expected activity, and the degree
of business opportunity often suggests HRM policies will help direct evolving behavior to make an
organization more accountable for scheduled and environmental actions.

Industry
When studying a de-industrialized, former socialist nation, the problems and driving forces of industry
vary in contrast with other literature.
Digital transformers do not regard staff as an engine, contrary to standards. However, in comparison,
they are an obstacle to the introduction of industry because they lack the requisite skills. Industry's
aversion to transition is not viewed as an integral hurdle. These results suggest that while managers with
sufficient skills are required to excel in industry-age, the opposition in the organization, however, is
hardly a threat. Efficiency considerations, on the other hand, are the main boosters, although the
shortage of financing and insufficient and lack of competencies are the main challenges to adoption of
Industry 4.0. It is worth noting that financial consequences (profitability) are not treated as factors for
business, including human capital. Instead, customer satisfaction is perceive as a significant driver of the
industry. It is can interpreted as demonstrating a responsible strategy where value creation for customers
precedes value release for company owners. A hypothesis that is digitally maturing companies
implementing industry Higher accountability can be an encouraging start to future study, taking care of
sustainable value growth, both for owners and customer.

PROFILE OF INDUSTRY

The garment sector is the primary manufacturing industry in Pakistan is the 8th largest exporter of
textile goods in Asia. Pakistan's textile industry accounts for 8.5% of GDP. The industry also hires about
45 per cent of the country's overall labour force (and 38 per cent of the industrial workers) (and 38 per
cent of the manufacturing workers). Pakistan is the fourth-largest producer of cotton after China and
India with the third largest spinning capacity in Asia, contributing 5% to the world-wide spinner
capacity. Today there are 1221 cotton-filling units, 442 spinning units, 124 central spinning units and
425 small textile-filling units.

History:
It is assumed that the cause of Indian textile is the development made in the Indus Valley in Pakistan
today, where individuals used native cotton to tissue pieces of clothes. The Indus valley region has
undoubtedly been in massive swaps with the rest of the planet. The locally-produced silk is considered
in Rome, Egypt, UK and Indonesia to have been popular.
Production:
There is some production sector in of textile industry in Pakistan:

 Spinning
 Weaving
 Processing
 Printing
 Garment manufacturing
 Filament yarn manufacturing

Significance:

Pakistan's Textile Industry, since independence, has been Pakistan's heart and soul. It is Pakistan's most
significant industrial industry (Considered as Back Bone of the country). 3,5 billion dollars export (6.5
per cent of the total exported cotton in the world). Textile exports have risen by 4.4 billion dollars.
Pakistan is also the world's 3rd biggest cotton consumer. There are 464 garment factories in Pakistan,
5% of which have a combined production capacity of 5.2 trillion sq. m. Foreign companies operating in
Pakistan are H&M, Levis, Nike, Adidas, Puma, Aim, etc. Local garment mills. Faisalabad's textile
enterprises are concentrated in Karachi, 38% and 18%. 316 textile enterprises in Punjab, 116 in Sindh,
out of 464. Chenab Ltd., Al-Karam Textile Pvt Ltd, Chawla Companies, Fateh Textile Mills, Gul
Ahmad Textile Mills Ltd, Hussein Industries Ltd, Kohinoor Textile Mills Ltd and Nishat Linen
Company are the leading players in the industry.

Trade:
Textiles account for 57% of export sales for Pakistan. However, textile exports have decreased
considerably in recent years. In 2014-2015, there have been reported textile exports of $11,625 billion.
This figure decreased by 7.7% to $10.395 billion between 2015 and 2016.

Recently, the Pakistan Textile Exporters Association called for substantial steps on textiles exports to
ensure growth and maintain its jobs. The PTEA demanded in particular

 The export value chain ranking (i.e. no tax and no refund) would increase export growth.
 Subsidize a cut in manufacturing costs to improve Pakistani exports' competitiveness
 Guarantee a competitively priced electricity provision to textile mills
The Barrier to Growth:
Pakistan has faced competition from regional players including Bangladesh, India and Vietnam. In the
past decade, Pakistan's share in the global textile market decreased to 1.7 per cent from 2.2 per cent,
Bangladesh saw an increase from 1.9 to 3.3 per cent and India from 3.4 to 4.7 per cent. Barriers to
growth include:

 Manufacturing costs: The increasing production costs in the country have stalled investment and
productivity in exports. An increased cost of doing business and decreased lending abilities in
the local producers have been contributed by vertical shifts in the monetary and KIBOR prices.
 Electricity crisis: Pakistan is now facing a big energy crisis. Due to the need for more than 5000
MW of electricity. The state controls the deficit by slashing daily electricity (or blackouts).
These power cuts have had a significant effect on Pakistan's manufacturing sectors. Owing to the
failure to continue operations, many textile mills have closed down their units. Also, export
orders were allegedly withdrawn by the mills because these orders cannot be filled out while
regular power cuts would extend up to 12 hours.
 Research and development: little effort has been made to increase the quality and quantity of
textiles on Pakistan's global market through research and development.

PROFILE OF COMPANY
KHAADI
Khaadi Pvt. Ltd produces and sells garments made of hand crafted cloth. For men, women, and kids, the
company offers ready to wear and unstitched fabric. Jewelry, stoles, handbags, furnishings, bedding, and
bath pieces are also included in its offerings. Pvt KHAADI. Ltd was founded in 1998 and has its
headquarters in Karachi, Pakistan.
Khaadi has steadily become a powerful brand with an international footprint and is now Pakistan's most
iconic retail force for fast fashion. It currently operates 46 stores in 17 cities across Pakistan and 17
stores across the UK, and the GCC has spread into a 350,000 square foot retail area that is by far the
largest of any textile brand, offering a rich customer experience exclusive to Khaadi. It offers a wide
range of items in both printed and hand-woven fabrics, from apparel for women, men and children to
home-textiles. This is not a typical company. The purpose of the company goes far beyond the
transaction. To make a difference, they're here.
Products:

 Women Collection
 Man Collection
 Kids Collection
 Unstitched clothes
 Bottoms
 Khaas
 Footwear
 Shawls 
 Handbags
 Jewelry
 Scarves

Product Strategy:
Khaadi provided free samples to consumers when they introduced exclusive wear designs to show how
our goods are best. Free trials are useful for achieving consumers' satisfaction. They are the primary
methods of growing the market.
Pricing Strategy:
Price, however, is no big factor at present for Khaadi. Almost everyone will go for the old, even though
it begins to retail an unstitched suit for Rs 2.500 and a women's kurta for Rs 300. In such a dynamic
market, it is very important to balance rates. It's just about making life affordable for all.
Distribution Strategy:
In Punjab and Sindh, Khaadi has its outlets, and the commodity only distributed to licensed outlets.
Our proprietary designs and goods will also be available at our approved stores. In addition to enabling
the distribution of clients, online shopping facilities and doorsteps, TCS's services are now acquired for
this reason with the launch of the Purchase ONLINE alternative on our website.
SWOT ANALYSIS

 Strengths
1. They have customer Equity
2. Good Tailoring Service
3. Better Supply chain
4. They Receive New Stock Every Two Weeks
5. Good Brand Name
6. Innovative Culture

 Weakness:
1. The main weakness is weak clothing line for men
2. Cost Structure
3. Bedding receives no advertisement campaign.
4. Online presence

 Opportunity
1. Huge labor potential
2. Demand for readymade Khaadi products of new designs and quality
3. Capturing an untapped markets
4. Emerging trend

 Threats

1. Good advertisements by rivals that manufacture textiles through shows.


2. Competition is increasingly Day by day to main Threat of brand
NISHAT LINEN

Nishat Mills Limited is the Nishat Group's flagship company. In 1951, it was created. It is one of
Pakistan's most modern and biggest vertically integrated textile companies. There are 238,032 spindles,
794 Toyota air jet looms, Nishat Mills Limited. The Company also has the most advanced textile dyeing
and processing units, two stitching units for home textile, two stitching units for garments and Power
Generation facilities with a capacity of 130 MW. For the year 2018, the company's overall exports were
Rs. 38.862 billion (US$ 353.03 million). The growth trend is expected to continue in the years to come
because of the implementation of conservative management strategies, restructuring of operations, a
healthy balance sheet and a successful marketing strategy. The manufacturing facilities of the company
consist of spinning, weaving, sorting, stitching and generating electricity.

Products:
Nishat products are incredibly diversified, selling kitchen co-ordinates bedding, upholstery, and
garments with critical market positioning and penetration for consumers seeking a one-stop experience.
1. Nishat's complete product line is as practices:
2. Nisha - Clothing Lines for women
3. Naqsh - Clothing Collection for men
4. Bed & Kitchen Linen and Accessories
5. Bedsheets
6. Quilts
7. Bedspreads (regular/ bridal sets)
8. Kitchen (table linen, mats, stand runners, bread containers, aprons)
9. Cushions ((Zari, 6 part sets, matched with bedsheets)
10. Fillings
11. Jai Namaz
12. Fashion Accessories
13. Laces
14. Bangles
15. Shawls & Stoles
16. Handbags
17. Clutches
Product Strategy:
Nishat provided free samples to consumers when they introduced exclusive wear designs to show how
our goods are best. Free trials are useful for achieving consumers' satisfaction. They are the primary
methods of growing the market.

Pricing Strategy:
Price, however, is no big factor at present for Khaadi. Almost everyone will go for the old, even though
it begins to retail an unstitched suit for Rs 2.500 and a women's Linen for Rs 300. In such a dynamic
market, it is very important to balance rates. It's just about making life affordable for all.

Distribution Strategy:
In Punjab and Sindh, Nishat has its outlets, and the commodity only distributed to licensed outlets. As
the manager of one outlet explained why his product sold outside Nishat Outlet, his competitor said,
"We never want to enter a market because as soon as we enter it, our fake product is born.
Our proprietary designs and goods will also be available at our approved stores. In addition to enabling
the distribution of clients, online shopping facilities and doorsteps, TCS's services are now acquired for
this reason with the launch of the Purchase ONLINE alternative on our website.

SWOT ANAYLSIS

 Strengths
1. One of the first few brands to release bed linen in Pakistan.
2. Strong product diversification.
3. Outlets in almost every city of Punjab and three shops in Karachi which is also the business
enterprise capital.
4. Catering all market sections except children.
5. Strong product development & most significantly according to all the times of the year.
6. Affiliation with a professional designer Mahin Khan.
7. Organized details of the customer data source.
8. Valuable services to all its dedicated and first-time customers by offering discount cards
and membership credit cards.

 Weaknesses
1. The middle and lower-income classes that are visible in Nishat linen couldn't view their goods'
price selection:
2. Nishat linen does not show, so consumer awareness is low concerning their challengers
surrounding their goods.
3. Nishat linen cannot establish its high logistics costs expected business in Karachi as Faisalabad
Punjab's is the mill's place.
4. All advertisements concentrate on fabrics, as it is their supermarket commodity.
5. Bedding receives no advertisement campaign.

 Opportunities
1. Publish your bed linen and cloth catalogues and add them to numerous booklets
Shops such that buyers with their projects have easy entry.
2. Nishat can join west clothing that gives them an edge over your enemies.
3. Their Lahore device produces high-quality denim garment for Levi. This is what we are talking
about.
4. It offers Nishat the chance to sell its denim brand.
5. In a region like North Nazimabad, they could open an electrical outlet, here are many future
opportunities, and people still have buying vitality.

 Threats
1. Good advertisements by rivals that manufacture textiles through shows.
2. The clothing patterns of their adversaries can be seen in other shops and their goods.
Only find yourself in their outlet shops.
3. Any of these sheets are shipped so that the local market suffer during their shipment.
ChenOne and the rivalry like proposals typically rely more on the neighborhood market
Competitive benefit accomplishment.
BCG MATRIX

KHAADI

 Stars

Stars in Khadi's BCG matrix by Raymond Making Khadi a Fabric of Choice is the financial services
strategic business unit. It functions in a market that, in the future, shows promise. Khadi receives a large
amount of its revenue from this SBU from Raymond Making Khadi a Fabric of Choice. The Strategic
business unit of the Number 1 brand is a star in Raymond Making Khadi a Fabric of Choice's BCG
matrix of Khadi, and this is also the product that generates the highest sales across its product range. As
customers are demanding this and similar types of goods, the opportunity within this market is also
strong. For this SBU, Khadi by Raymond Making Khadi a Fabric of Choice should be subject to a
product development strategy, where it develops innovative features through research and development
on this product.

 Cash Cows

In the BCG matrix of Khadi by Raymond Making Khadi a Fabric of Preference, the supplier
management service strategic business unit is a cash cow. This has been in effect for over decades and
has gained a large amount of revenue from Khadi by Raymond Making Khadi a Fabric of Choice.
Raymond Making Khadi a Fabric of Choice's market share for Khadi is strong, but the overall market is
decreasing as businesses manage rather than outsource their suppliers themselves. Raymond Making
Khadi a Fabric of Choice's recommended strategy for Khadi is to avoid more investment in this
company and continue to run this strategic business unit as a profitable lona.

In the BCG matrix of Khadi by Raymond Making Khadi a Fabric of Choice, the Number 3 brand
strategic business unit is a cash cow. This is a revolutionary product which has a 25 percent market
share in its category. Khadi by Raymond The industry leader in this segment is also making Khadi a
Fabric of Choice. In the past few years, the overall category has been declining steadily. Khadi by
Raymond Making Khadi a Fabric of Preference has the authority in this segment to control the market as
well. It should also invest in R&D in order to be able to reinvent the brand. This will help grow the
category and turn this cash cow into a star. A rise in Khadi's sales by Raymond Making Khadi a Fabric
of Choice will be the net profit.

 Question Marks

In the BCG matrix for Khadi, by Raymond Making Khadi a Fabric of Preference, the local food
strategic business unit is a question mark. The new industry trends show that customers are spending
more on local foods. This sector is therefore showing a high rate of market growth. Khadi by Raymond
Making Khadi a Fabric of Choice, however, has a limited market share in this section. Raymond Making
Khadi a Fabric of Choice's proposed strategy for Khadi is to invest in research and development to come
up with creative features. This plan for product growth will ensure that this strategic business unit
transforms into a cash cow and will carry the company profits in the future.

In the BCG matrix for Khadi, by Raymond Making Khadi a Fabric of Preference, the number 4 brand
strategic business unit is a question mark. This strategic business unit is a part of a rapidly rising
industry. However, losses have been sustained by this strategic business unit in the past few years. The
attempts made by research and development teams to innovate have also failed. Raymond Making
Khadi a Fabric of Choice's recommended strategy for Khadi is to divest and avoid any potential losses
from occurring.

 Dogs

Raymond Making Khadi a Fabric of Choice is a dog in the BCG matrix of Khadi, the plastic bags
strategic business unit. For the last 5 years, this strategic business unit has been at a loss. It also
Raymond Making Khadi a Fabric of Choice is a dog in the BCG matrix for Khadi in the Number 5
brand strategic business unit.

NISHAT LINEN

 Stars

The Nishat Star unit is, obviously, Nisha, their women's clothing line. It is a unit that sells across the
year and "Nisha sells at the same rate even during times of recession," as cited by the manager of their
Clifton outlet. According to him, due to continued high sales of their clothing line for women, Nishat
has experienced more benefit during the recession. It has been classified as Nishat's Star product line as
the women's fabric and apparel market is massive, ever-growing and has a lot of potential. Because of its
exclusivity and consistency, it has a high market share that differentiates it from its competition.

 Cash Cows

The bed & kitchen linen and accessories of Nishat can be classified as the cash cows that receive a safe
and steady cash flow throughout the year. While not dynamic, the consumer demand for bed and kitchen
linen has always been there, with a sustained and restricted potential for growth. With its distinctive and
discerning image, Nishat has managed to capture a substantial share of this slow-growing market
compared to its rivals, such as Gul Ahmed's Concepts, Al-Identity Karam's and, of course, ChenOne.
Not only is its bed linen locally in high demand, but it is also one of its main imports.

 Question Marks

Naqsh, Nishat's men's clothing line, can be defined as her Problem Child or Question Mark. It is a unit
that has not shown much promise and has not succeeded in gaining as much market share or producing
as much cash as was anticipated and required of it as a result. Over the past few years, the demand for
eastern wear for men has seen strong growth and has so much unexplored potential. Naqsh faces serious
competition from not only Gul Ahmed and Al-Karam, but other industry leaders such as Amir Adnan,
Junaid Jamshed and Rizwan Beyg, etc., with every designer coming up with an exclusive men's clothing
line. Naqsh needs strong investments to hold its ground in order to thrive in such a highly competitive
and fast-growing market, but has not managed to gain adequate market share.

 Dogs

Finally, Nishat fashion accessories can be referred to as Puppy, a unit with a low market share in a
moderately growing accessory industry. However, the market for fashion accessories such as hand bags,
clutches, etc. has always been there, but it does not have much potential for growth. Nishat has not paid
attention to this particular business offering, with most of the investment being done in the other three
units. Only a niche segment of the market is aware of Nishat's accessories, recognized by the masses as a
brand for clothing and bed linen, even though ingenuity and elegance are also preserved here. Hence, to
retain its market share, this unit generates just enough cash.
COMPETITORS

KHAADI

 Gul Ahmed
 Sana Safinaz
 J.
 Sapphire
 Threads

NISHAT LINEN

 Al-Karam Textile Mills


 Chenone Pakistan
 Ideas
 Habitt
 VLawn

COMPARATIVE ANALYSIS

Technology
With fashion technology solutions from Tuka-tech, Khaadi removed paper pattern-making from product
design and development. TukaCad is used by Khaadi's team of almost 60 fashion and textile designers
for digital pattern-making, scoring, and marker making.

Nishat Linen uses so many technologies that there are few technologies that follow:

1. Technology Plasma
2. Technololytic microencapsulation
3. Nanotechnologies
4. To crochet
5. Pulverize on clothing

Training
For both their staff and the newcomers, Khaadi conducts the training program. Since the management of
khaadi claims that if they hold this training, it will assist khaadi to keep their workers motivated and
dedicated, and newcomers will learn more and profoundly about the brand of khaadi.

Nishat linen also provides their workers with the training, Nishat linen uses two ways of training to
improve their employee abilities and keep them motivated.

1. Off the job training


Off the job training happens when workers are sent away to be qualified from their place of
employment.
2. On the job training
They offer instruction at the workplace in "on job training" where the worker actually works.
Fashion Trend Branding
KHAADI
Khaadi has proved to be one of the fashion industry's greatest stalwarts over its more than 20 years of
retail experience in Pakistan. The brand and the genius behind it all, Shamoon Sultan, have changed how
people look at crafts in Pakistan, from reviving vibrant handlooms to establishing an international
identity.

NISHAT LINEN
With sophistication and elegance, NL gives you East colors spiced up; transforming fashion and
integrating cultural values into the designs and ideas. Khaadi believes that they are responsible for
dressing up with clothes that match your taste. The beauty is in the modern but plain and supremely eye-
catching colours and cuts.

Human Resource
KHAADI
The HR team of Khaadi focuses on turning Khaadi into a process-driven organization with a culture that
supports high performance and ownership. The key is to be a reasonable partner for our workers and to
ensure that the right people with the right qualifications are doing the right work.

In a nutshell, HR is responsible for ensuring that their efforts are valued, respected and appreciated by
all members of Team Khaadi.

NISHAT LINEN
Human resource strategies in NL are structured to meet organizational priorities and strategic objectives.
Training and growth strategies on human capital are as follows;

 Identifying the need for training through the success of the workers
 To concentrate mainly on line managers so that their expertise and experience can be passed to
their subordinates and laboratories.
 To establish training schedules in the form of lectures, conferences and workshops, etc., as
required by organizations and employees at all levels.
 All the personnel involved in the training programs ensure their participation and evaluation.

CONCLUSION AND RECOMMENDATIONS

Conclusion

In conclusion, the report shows the driving forces of khadi and nishat which are technology which has
made it easier to expose their fashion trends to a larger audience, Training and development which is the
second driving force of khaadi and nishat as it helps to enhance the employee output and productivity.
Fashion trend is one more force to success of these company as both these companies stay updated with
fashion trends to stay in the market. One more driving force is human resource at khaadi and nishat as
they both have strong human resource which help them succeed. Lastly the main driving force for these
company is their Industry because textile industry is the one of the leading industry's in Pakistan with
great export of cotton to other countries.

Recommendations

KHAADI
 Outsourcing supporting functions.
 Capitalize on Digital media.
 Partner with multi-brand store.
 Control dilution of their strong organizational culture.
 Hire wisely.
 Two way feedback.

NISHAT LINEN

Currently, the company exports quality goods to foreign countries in the textile sector in order to gain a
high market share, the group also has to supply quality products on a domestic basis. They provide only
female workers with transportation facilities I think male should also be provided with conveyance
convenience. This would make life easier for staff and reduce the waste of time.

Medical facilities in the mill are offered, but management should also be given such facilities. Different
training programmers for uplifting and enhancing the quality of work for workers should be planned.
For workers, there is also an issue of job overload and it should be carefully managed so that employees
are motivated. Employees were required to pay more for the work they did after working hours.

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