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CHAPTER:1

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

Research methodology is a way to systematically do the job. It may be understood as a science of studying how research is done scientifically. The most desirable approach with regards to the selection of the research methodology depends on the nature of particular work, time and resources available along with the desire level of accuracy.

Research Objective:-To take market feedback of newly launch RTS denim product in the market -To understand the buying behavior of customer for RTS denim product -Preference of customer for different feature of denim product -To understand packing and pricing of denim product

Scope of research:-After research it will come to know is launching of product Is proper or not -To understand the actual end-user preferences and follow accordingly -By understanding proper market preferences and any loophole in launching to rectify The problem and increase future opportunity of the RTS denim product.

Problem statement:-To Know the market response and feedback of RTS denim. Sampling plan:- All users of denim Unit :- Males generally younger group Size :- 30 retailers + 100 end user of the product

Target audience :Research Type:-

Retailers ,customer Descriptive Research 2

Data Source :Research Instrument:Type of Questionnaire:Sampling Method:Contact Method

Retailer and end-user of denim Questionnaires Structured Convenient Personal Interview

Contribution :- There was good contribution of retailer as well as end user and
Arvind RTS team without which project had been not successful.

Limitation :There were several limitation as well, to search the retailer who is selling Arvind product as well as RTS as denim because it happened that many person are selling other material of Arvind but not RTS denim, so feedback of there is of no importance. -Also it was difficult to search end user who purchase RTS denim or who had already used RTS denim product. So person who already wear other denims were interviewed. -Also it was difficult to get honest reply specially from retailer who were busy with there Customer and no time to spare.

Chapter flow
1) Research methodology 2) Introduction to textile industry in India 3) Brief introduction to Arvind mill 4) Manufacturing process of RTS denim 5) Emergence of RTS 6) FAQ of RTS 7) Survey of retailers 8) Survey of consumers 09) Analysis of Sample 10)Test of hypothesis 11) Positioning of the RTS denim: 12) Recommendation and suggestion Conclusion

CHAPTER:2
TEXTILE INDUSTRY IN INDIA

TEXTILE INDUSTRY IN INDIA


An Overview
Textile industry is a major contributor to the Indian economy and holds a great potential for employment and investment. Textiles have a long tradition in our country with a large domestic market We have expertise and facilities across entire textile value chain, which has helped us to create and establish a Niche international Market for our products which has also made our country a profound destination. Achievements of textile industries are as follow: -total market size of us $52 billion -Contributes 14%total industrial production -Contributes 4% to GDP -Contributes 16.63% to our countries export earning -Second largest employer after agriculture -Has 3%share in world textile trade -has attracted investments around 70,000 cores in the past 3 years The government of India has recognized textiles as a priority sector for development during the Eleventh Five Year plan and also has extended TUF Scheme for the whole of plan period to faciallate the same .In this post quota regime, it's estimated that our textiles industry has the potential to achieve the following before the end of the eleventh five year plan period. -Attract Investment of around Rs.1,94000 -Create Additional jobs for 14 million -Increase the share in world textile trade

CHAPTER:3
BRIEF INTRODUCTION OF COMPANY

BRIEF INTRODUCTION OF COMPANY


3.1COPMANY PROFILE

Kasturbhai Lalbhai

Narottambhai Lalbhai

Chimanbhai Lalbhai

The Evolution
1930 was a year the world suffered a traumatic depression. Companies across the globe began closing down. In UK and in India the textile industry in particular was in trouble. At about this time, Mahatma Gandhi championed the Swadeshi Movement and at his call, people from all India began boycotting fine and superfine fabrics, which had so far been imported from England. In the midst of this depression one family saw opportunity. The Lalbhais reasoned that the demand for fine and superfine fabrics still existed. And any Indian company that met this demand would surely prosper. The three brothers, Kasturbhai, Narottambhai and Chimanbhai decided to put up a mill to produce this superfine fabric. Next they looked around for state-of-the-art machinery that could produce such high quality fabric. Their search ended in England. The best technology of that time was acquired at a most attractive price. And a company called Arvind Mills was born. Arvind Mills started with a share capital of Rs 2,525,000 ($55,000) in the year 1931. With the aim of manufacturing the high-end superfine fabrics Arvind invested in very sophisticated technology. With 52,560 ring spindles, 2552 doubling spindles and 1122 looms it was one of the few companies in those days to start along with spinning and weaving facilities in addition to full-fledged facilities for dyeing, bleaching, finishing and mercerizing. The sales in the year 1934, three years after establishment were Rs 45.76 lakhs and profits were Rs 2.82 lakhs. Steadily producing high quality fabrics, year after year, Arvind took its place amongst the foremost textile units in the country. NN meant a new way of looking at issues, of seeing more than the obvious and that became the corporate philosophy. The national focus paved way for international focus and Arvinds markets shifted from domestic to global, a market that expected and

accepted only quality goods. An in-depth analysis of the world textile market proved an eye opener. People the world over were shifting from synthetic to natural fabrics. Cottons were the largest growing segments. But where conventional wisdom pointed to popular priced segments, Renovision pointed to high quality premium niches. Thus in 1987-88 Arvind entered the export market for two sections. Denim for leisure and fashion wear. And high quality fabric for cotton shirtings and trousers. By 1991 Arvind reached 1600 million meters of Denim per year and it was the third largest producer of denim in the world. In 1997 Arvind set up a state-of-the-art shirting, gabardine and knits facility, the largest of its kind in India, at Santej. With Arvinds concern for environment a most modern affluent treatment facility with zero affluent discharge capability was also established. Year 2005 is a watershed year for textiles. With the mulitifiber agreement getting phased out and the disbanding of quotas, international textile trade is poised for a quantum leap. In the domestic market too, the rationalizing of the cenvat chain and the growth of the organized retail industry is likely to make textiles and apparel see an explosive growth. Arvind has carved out an aggressive strategy to verticalize its current operations by setting up world-scale garmenting facilities and offering a one-stop shop service, of offering garment packages, to its international and domestic customers. With the Indian economy poised for rapid growth, Arvind brands with its international licenses of Lee, Wrangler, Arrow and Tommy Hilfiger and its own domestic brands of Flying Machine, Newport, Excalibur and Ruf & Tuf, is setting its vision on becoming the largest apparel brands company in India.

3.2)OUR VISION

"To achieve global dominance in select business built around our core competencies, through
continuous product and technical innovation, customer orientation and a focus on cost effectiveness" Our society is at the threshold of a paradigm shift with the rapidly expanding economy and the millions of opportunities it throws into the laps of men and women. All along Lalbhai Group has maintained a responsive yet level-headed attitude towards the society and its constituting individuals to create a corporate culture that fosters excellence. Working in this direction we have created a learning environment that nurtures individual talent and intellect. It provides a platform that challenges the individual capabilities urging him to constantly strive forward towards greater heights using development as the fundamental tool. We infuse in individuals a spirit of entrepreneurship which gives courage and conviction to pursue set goals towards logical achievement and a global mindset that transcends geographical and cultural boundaries evolving and organizing him to be a world leader. All this is manifest in an environment fostering innovation and leadership. Drawing from our Team based structure we encourage individuals to mesh up into cross cultural teams in all operational processes. This process provides opportunities for individuals to match their capabilities with organizational expectations creating a mechanism for updating the system. Coalescing corporate needs with the individual needs is crucial. These processes would articulate the connections between corporate success and individual behaviour, instill institutionalized processes to reinforce connections, and catalyze the chemistry that allows the connections to be translated into action which is beneficial for both the organization and the individual. A strong sense of ownership and commitment towards the organization and the business as a whole, is the basic premise of all our actions. We manage our institution as a trust, as empowered leaders and do all that needs to be done ethically for the purpose of the institution. We create a vibrant institution for the future of this nation and the world at large. We strive forward to be the best. Best is a matter of standards - and we set our own standards. We inherit nothing. We stand at the end of no tradition. We may perhaps, stand at the beginning of one...

3.3)Overviews
9 Venture into the world of RENOVISION Search any dictionary and you wont find the word. We had to coin it. It means a new way of looking at issues Of seeing more than the obvious. It is our corporate philosophy.

3.4)GROUP OVERVIEWS

and superfine fabric in the Indian market.

At this juncture, The Arvind Mills was set up with the pioneering effort of the Lalbhai brothers. With the founded by the 3 Lalbhai brothers - Kasturbhai, Narottambhai and The Lalbhai group,best of technology and business acumen Arvind Mills became a true multinational. We chose to invest strategically, where demand was high and quality houses, Chimanbhai - in 1908, has grown to become one of India's most diversified businessrequired was a significant with superlative. presence in the textiles, ready-to-wear, chemicals and telecom industries in India. Since then, there has been no looking back. Each company in the group, in its own way, pursues a single mission - to be the benchmark Arvind Mills the flagship company of the $ 498 million Lalbhai companies ... all world in its' industry. To achieve this, we have tied-up with a variety ofGroup has now focused its attention on a few selected core product groups. Such a focus seemed pertinent to prepare leaders in their respective fields. the company for playing a dominant role in the global markets.

LALBHAI GROUP COMPANIES TEXTILES THE ARVIND MILLS LTD. ARVIND PRODUCTS LTD.

GARMENTS ARVIND CLOTHING LTD. ARVIND FASHIONS LTD.

CHEMICALS ANIL STARCH PRODUCTS LTD. ATUL LTD.

TELECOM ARVIND TELECOM

OTHERS LALBHAI REALTY LTD. ANUP ENGINEERING LTD. TIED UP Industry Company Collaborator
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3.5)OUR FABRICS
Shirtings
Arvind was already making shirting for the Indian market. In 1990, we decided to focus on high value shirting, so that we could expand our markets beyond India's borders. As a part of our commitment to being a value-adding partner to each of our customers, Arvind Shirtings have invested US $ 100 million in Santej. This plant has an annual capacity of 34 million meters of 100% cotton woven. The new plant offers a comprehensive portfolio in 100% cotton fabric which includes Classical Colour Woven, Solids, Indigo Yarndyed, Coarse count Cottons, Yarn-Dyed Stripes, Checks, Fil-a-fils and Chambrays. The weaves are Plain, Twill, Oxford and Dobby, with counts including 20s, 24s, 30s, 40s, 50s, 2/30s, 2/50s, 2/80s, 2/100s. The finish is natural and easy to iron. Over and above our range of standard products, we also produce counts ranging from 16s to 2/140s. A variety of fancy weaves, dobbys and seer suckers are complemented by additional finishes in peach, sanded and bio-airoflex. An exclusive indigo plant with a five million meter capacity produces unique, high-value, finer counts in indigo and multi-colored, sulphur yarndyeds. Arvind's philosophy in manufacturing is 'Excellence in Quality and Flexibility in Production'. This is reflected in the state-of-the-art plant which houses the best technologies of the fabric manufacturing world, such as European & Japanese Continuous Process Machines, Two-for-one twisters & precision winders for spinning, Autodosing of dyes and chemical with precision controls yarn dyeing, Staublis for Automatic Drawing in, fast speed Picanol Airjets and Rapier Looms, Benninger Continuous Bleaching and Dyeing Range, Biancalani for Surface Finishing and Fully equipped Quality Assurance Laboratory. Design is a key element of operations at Arvind Shirtings. We now have a sophisticated CAD designing software link up and talented designers. This allows Arvind's design studio to provide clients with inputs rights from the pre-concept stage onwards. It also helps us to provide clients with customized collections (apart from our regular seasonal collections). In the entire process of operations, eco-friendliness is critically monitored and ensured. The plant is also configured to handle small order sizes as well as very long order lengths with consistent quality.

Flats

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Arvind has recently set up a dedicated bottomweights plant as part of Arvind Polycot Limited. This new addition to the Arvind Textile Complex brings the total investment in the complex upto Rs.12000 million. The plant is an integrated facility that sources yarn from Arvind Mills at Ahmedabad. It has both weaving and processing infrastructure, captive power supply, steam generation and a waste water treatment plant. The latter makes it a zero discharge complex i.e. one that recycles all its waste water. The Product The new plant manufactures 100% cotton piece dyed fabric with weights upwards of 6.0 oz. Product varieties include twills, drills, gaberdines, chinos, canvas, tussore, bedfordcord, herringbone and other specialty weaves. The new bottomweights plant is perhaps the most modern vertically integrated plant of its kind in all aspects from spinning to finishing. The plant also houses a captive power supply, steam generation and waste water treatment plant. The latter makes it a zero discharge complex i.e. one that recycles all its waste water. A glimpse of the state-of-the-art-technology includes Tsudakoma airjet looms for weaving, Automatic regulation of flame intensity to ensure consistent & uniform singeing, PLC controlled accurately metered dosing of bleaching chemicals coupled with flexnip technology, facility for Wet on Wet mercerization, Computerized sueding from a scale of mild to harsh, Monforts-Continuous dyeing through Pad Dry and Pad Steam, a special 10 chamber stenter with automatic PLC control, MAHLO Weft Straightening unit and fully equipped Quality Assurance Laboratory. In terms of customer service all this translates into faster, more accurate shade matching, shorter lead times, consistent product quality (especially with regard to shades, shrinkage and finishes), large widths-upto 63" for better yield on the cutting table and wider variety of products overall with respect to weaves, colour and finishes.

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Knits
Today Arvind is making yet another foray- in the manufacture of the finest quality Cotton Knits in the world. This new venture features a technical collaboration with Alamac Knits inc; USA, to manufacture high value and high-fashion knits. With an investment of US $ 50 million, the plant will produce mercerized fabric in both tubular and open widths. The capacity is phenomenal: 16 tone per day of cotton knits, 11 tone per day of piece-dyed fabric and 5 tones per day of yarn-dyed fabric. Our product range aims to offer widest choice in both tubular and open widths in single (Jersey, Pique, Textures, Pointless, Fleece, French Terry, Jacquards in solids, feeds and automatics) and double (Interlocks, Needle-outs, ottomans, Pointless, Textures, Reversible, jacquards, Ribs in solids, feeds and automatics, Collars:Plains and Jacquards) knits. We will manufacture a knits range from casuals to formal, active wear to sleepwear, for diverse use in men's, women's and children's clothing. With the most sophisticated technology used in the plant, Arvind Knits are perfect from design to finish. Unmatched technology includes world class machinery such as Fukuhara Circular Knitting machines, Shima-Seiki Computerized Flatbed Knitting Machines, ThenComat Yarn Dyeing Machines, Sclavos Fabric Dyeing Machine, data Colour matching System, processing lab, Standardized Recipes and Process Cycles, Dornier Circular Singeing and Mercerizing machine, Santex Fabric Finishing Machines, Tubetex Fabric Finishing machines, Open width and Tubular Finishing. All this is backed by a hi-tech design centre. The innovative design centre is networked globally with designers to create a corpus of the finest international designs. With a computer-linked designing facility and an attached pilot mill- the designs created on screen are the designs you get on fabric, in a matter of hours. This means a quick turnaround time for designs that are exclusive and world-class. Our large color and fabric library, stocking samples and a well-equipped fabric resource centre facilitates our customers to access fabric that will enhance their capabilities. Moreover, all operations-spinning, knitting, dyeing, finishing-will be fully integrated to enable shorter lead times even for large orders and better co-ordination of the process, from design to production

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To target Corporate barons, We used an ancient weapon. ARROW For well over a century now, one brand of clothing has lent us a touch of understated elegance to boardroom battles and power lunches the world over. Arrow. "America's shirtmaker since 1851" has by now come to be ranked among the better perks the corporate lifestyle affords. Arvind introduced India's movers and shakers to Arrow in 1993. We set up a 100% subsidiary to manufacture and market Arrow shirts locally. Exclusive outlets were opened in keeping with the brand's image. Positioned as top-of -the-line businesswear, Arrow quickly found a loyal following and is currently worth Rs. 45 crores. Arrow is just one of the instances where we brought an international brand down to India and created a market for it locally. Lee is another. Also, Our homegrown brands which we created by identifying and targeting markets that nobody else had looked at till then. All of which only goes to show that the best way to expand market share is to expand the market.

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The Jeans that built America are now building market share for us! In India, till a while ago, Lee used to be the brand of choice of those with kind uncles abroad. And much in demand among patrons of the neighborhood smuggler. Now it's at the neighborhood store. Thanks to Arvind. We brought it down to India, positioned it at the upper end of the market. And put our marketing skills behind its formidable reputation. The payoff: Lee is now as big in India as it is worldwide. Lee is just one instance where we translated an international brand by creating a local market for it. Its the only brand in India to offer in-seam lengths in each waist-size in order to give consumer the 'Perfect Fit'. The Lee merchandise is the most comprehensive one -denim and gaberdine jeans, jackets, overalls, shorts, denim shirts, twill shirts, basic T-shirts, Pique polos, skirts, carpenter pants and accessories-belts, bags and caps. Lee also markets Sandblasted jeans, stretch denim, dark denims, Tencel denimwear, Corduroys, wide range of checks shirts and Pique Knit-shirts. We continue to innovate regularly, offering newer washes and colours in both denim jeans and cotton pants along with excellent quality products in tops and accessories. Lee was the first to introduce in India 100% Wrinkle-Free 100% Cotton Pants in mid-1997. It offers a range of 8 colours in a Relaxed Fit and the response has been overwhelming. Lee has a separate Wrinkle-free range of pants for men and women.

LEE YOUTH
We recently introduced the international range of Lee Youth, targeted at the 4-14 years age segment. The youthwear range consists of jeans, overalls, shorts, skirts and T-shirts, complimented by a range of fine accessories such as caps, belts, socks and bags. The fabric, fit and finish - hallmarks of $5billion VF Corporation's brand Lee have been carefully selected to offer maximum value to the consumer. Jeans are available at Rs.595, bib-overalls and denim jackets at Rs.695, shirts Rs.395 and T-shirts Rs.195. The fabric used are all 100 percent cotton-denim, twills, gaberdines, corduroy, yarn-dyed oxfords and knits. The brand is being marketed through 40 exclusive Lee Stores in 20 cities across the country.

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The story of how a megabrand got off the ground EXCALIBUR Back in the mid-80s, "Indian jeans" was something of a contradiction in terms. Shoddy imitations and small-time regional brands ruled a tiny market. Which was when we stepped in with Flying Machine, the first Indian brand that measured up to international standards, and also one of the few that had a national presence. Flying Machine went on to become the number one brand in the country, in the process kickstarting the dormant market to life. The recently revamped range offers a fit to suit every need in a variety of fabrics and colours. Denim and gaberdine jeans; Regular, Comfort, Relaxed and Slim fits for Men; Regular, Slim and Tight fits for Women; jackets; T-shirts; shirts; overdyes; coordinated knits and attractive accessories like belts, bags and socks. Is contemporary with internationally styled features. Till early 1997, Flying Machine was marketed through 700 multi-brand outlets. However, our experience with other brands built conviction that a paradigm shift in distribution from multi-brand outlets to Flying Machine exclusive terminals was absolutely necessary if we were to grow with a full range of jeanswear as well as Casual wear. Beginning 1997, the brand is being marketed only through 40 exclusive Flying Machine terminals. last year.

A Personal Invitation to the young determined winners to drop by.. Few things fit the demanding lifestyle of those who live in the fast lane. So we came up with a wardrobe brand targeted at upwardly mobile executives including 17

products such as shirts, trousers, blazers, ties, socks and belts in EASY CARE blends, all cut to the latest international styles and to the exacting international standards. Made from EASY CARE blends, EXCALIBUR shirts and trousers are highly CreaseResistant and retain their flawless shape for hours on end to give a 'fresh' look through out the day. This provides the wearer with a winning edge. Excalibur is competitively priced. The shirts have a range of Solid colours in pastel and dark hues, Yarn dyed stripes and Checks and Micro-checks. The Trousers are offered in a palette of colours in both "Matte-weave' as well as 'Oxfords' and complemented by a range of 'Twills' in attractive colours. There is also an attractive range of Jacquard Ties, Belts and socks. It has also introduced a range of quality knitwear at an attractive price of Rs.445 onwards. Excalibur EASY CARE is available only through a chain of 40 exclusive stores across the country. All stores have a very contemporary look and offers an extremely pleasurable shopping ambience. There are currently no worthwhile wardrobe brand in the mid price segment in India. This market has a good potential and plans are being worked out to exploit the full potential of this segment. Launch of innovative products like Wrinkle Free Cotton Shirts and wrinkle Free Cotton Trousers have been planned during the current financial year.

Drop all Formalities(New port) Be Casual


A golden opportunity to all the youngsters to get into Polo t-shirts, cotton trousers, twills, bermudas, belts and everything casual.. We have created Ruggers in order to offer the consumers a unique Casual wear product which will compliment the Jeanswear range in exclusive Flying Machine stores. The Ruggers product range for Men and Women is wide in strikingly casual designs and colours. The range for women is the finest with a tremendous content of creativity in both styles and colours. Ruggers is currently marketed through 50 exclusive stores of the Flying Machine. Ruggers for kids in the age group of 4-14 years is also available now. The Ruggers' for kids range consists of Jeans, shorts bib-overalls, knitwear, woven shirts and related accessories. The addition of the kids' range has made it even more appealing and offers the Indian consumers a complete range in Men, Women and Kids.

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3.6) HISTORY OF ARVIND


At the close of the Year 1986, Arvind decided to change. We concluded that Arvind must change its strategy, structure, systems and infuse new skills in the organization. In our view, Arvind's experience attaining change would be of interest to a wider audience. We believe that many people would like to know about the events that triggered the decision to change, and the process that we followed to cause the change. We are, therefore taking the opportunity of sharing Arvind's experiences of effecting change. Towards the close of 1986, the chairman of the company, Arvind Lalbhai, and I decided to undertake a major review of the company's strategic posture. In that year, Arvind Mills earned the highest profit in its history of fifty-five years. Arvindbhai and I came to the conclusion that now was the time to change the strategy if there was a need to do so.

REVIEW OF STRATEGY & NEED TO CHANGE


In reviewing our strategy, following Michael Porter, we decided to examine the forces that shape the industry structure. These forces comprise the new entrants, the power of the suppliers, the emergence of substitutes, the power of customers and the rivalry among the firm in the industry. The government policies influence these five forces and indirectly shape the industry structure. As we began to examine the Indian textile industry through the lens of the theory developed by Michael Porter, some disturbing features of the industry began to emerge. Our discomfort 19

stemmed from our analysis that the five forces were ranged against the composite mills. In addition, the government policies were tilting the balance of the five forces against the composite(Mills, Which under one roof spin yarn,weave fabrics and chemically process the woven fabrics are known as composite mills.)to mills.To support this assertion, let me summarize the salient features of our analysis.

POWER - LOOMS THE NEW ENTRANTS


Government of India has encouraged the power-looms ever since India became a sovereign nation.These small units, which operate in the unorganized sector, only weave fabrics. The prolonged strike by the workers in Bombay's textile industry, in 1981, helped the emergence of the power-loom sector. No barriers to entry in the industry or exit from the industry are the major competitive advantages of this sector. The power-looms, in 1986, were the new entrants. Composite mills, in 1986, faced both the entry and the exit barriers. These mills could not expand capacities because of the licensing policies prevailing in 1986. Similarly the composite mills could not divest the unviable activities even if they wanted to do so. The new textile policy of 1985 promised to lift the exit barrier. We were almost certain that this part of the policy, could not, and would not be carried out. Emergence of the power-loom sector posed a serious threat to our well being. This was so because the power-looms could easily copy most of the products in our product portfolio. We had to keep in view, though still distant on the horizon, a potential new entrant, namely the overseas exporter. It was becoming increasingly clear that the Government of India could not isolate indefinitely, the Indian economy from the global economy. This potential new entrant was also a matter of great concern to us.

SUPPLIERS TO THE INDUSTRY


Important suppliers to the industry include farmers, large chemical companies, State Electricity Boards, Coal India and the labour unions. Farmers supply, to the industry, cotton an important raw material used by the industry. In a composite mill, the cost of use will be about 40% of the fabric sales. Large chemical companies supply synthetic fibres and synthetic yarn, another important raw material used by the industry. State Electricity Boards supply electricity, an important input in the production processes of the mills. Similarly Coal 20

India supplies coal another important input to the industry. Finally the labour unions control the work force employed in the mills. Beyond any doubt, all these suppliers are powerful groups and can influence the government policies to their advantage. The 1985 textile policy promised to supply, at prices near the international prices, all the inputs used by the industry We came to the conclusion that the Government of India couldn't carry out this parr of the policy. The pressure from the domestic suppliers of these inputs will prevent the government from doing so. Prices of cotton, we argued, would continue to rise. Reason leading to this conclusion was that, virtually no imports would be allowed during the years when cotton is scarce. Similarly Government of India would allow exports during the years in which there would be Excess supply of cotton. Import duties on synthetic fibres and yarn, according to our analysis, would remain high, to "protect" the domestic industry.The dearness allowance, which forms a sizable portion of the wages, in our judgement, would continue to rise because of inflation. Also, a reduction of the labour force, through increased productivity, we reasoned, would be virtually impossible. Research highlighted the fact that the household sector, the major customers of the industry, wanted better quality of fabrics. Experience showed that the government of India, viewed better quality of fabrics as fabrics for "elitist consumption". Government of India, we argued, will tax these fabrics heavily. The elite in the society, after all, must pay for the government expenditure. The high incidence of taxes would have an adverse impact on the composite mills in two ways. First, the consumers would buy better quality of fabrics but would restrict their purchases because of the lack of purchasing power. Second, small units will gain a competitive edge over the mills through the evasion of taxes. As the Abid Hussain committee, was to confirm later, the small units in the unorganized sector, would evade these taxes on a large scale. Textile policy formulated by the government in 1985, proposed to make available the latest technologies to the industry, at prices close to the international prices. We concluded that the government would not carry out this policy. Import duties being a very important source of revenue to the government, and the government will not allow any decline in revenue from this source. Similarly the Government was keen on discouraging imports. To accomplish both these objectives, the government would continue to overvalue the Indian currency and impose high import duties to discourage imports not stopped by non tariff barriers.

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FORCES RANGED AGAINST THE COMPOSITE MILLS


In short. all the forces were ranged against the composite mills. The new entrants and the trade channels would exert pressure on prices. Suppliers, because of their power, would continue to raise prices of the goods and services they supplied to the composite mills. It was clear as crystal that the costs of the composite mills would rise unabated. In addition, the Government of India and many State governments either owned or managed loss making composite mills. Central and the Stare governments financed the operations of these loss making firms from the government resources. It is even customary today, in government circles, to say that the National Textile Corporation is the best employment guarantee sheme available in the nation. Rivalry among the existing composite mills, we argued will take the form of price wars and competition for providing better and better "incentives" to the trade channels. As we completed our analysis and examined the grim scenario, we came to the conclusion that we must change our strategy and change quickly.

OBJECTIVES OF NEW STRATEGY


We reasoned that the new strategy must allow us to achieve two objectives. First, it must help in protecting the company's fortunes by neutralizing the adverse impact of the five forces. Second it must put the company in a position from which, the company can alter the balance of the five forces in its favour. To achieve this purpose, we examined the demand structure of the industry and the government policy. In the demand structure, we stopped some promising trends. These were : The household sector, as stated earlier, was buying better quality of fabrics but curtailing quantities of purchases. The domestic readymade garments industry was growing rapidly and supplying products to both international and Indian markets. The International trade in yarn, fabrics, and clothing was large, growing and shifting in favour of the developing countries. Most of the government policies, as we have pointed out earlier, were not in favour of the composite mills. The government policies were extremely favourable towards all firms that were large exporters. Tilt of the government policies towards exporters stemmed from the chronic problems faced by the nation in managing its balance of payment. 22

Considering the trends in the demand and the favourable policies of the government for large exporters, it was clear to us that we must redesign our product portfolio. We must design, we concluded, our product portfolio so that we can export most of our production to avoid competition from the power-looms. This, we concluded, must be the essence of our new strategy.

FEASIBILITY OF NEW STRATEGY AND IDENTIFYING NEW PRODUCTGROUPS


In giving this strategy a concrete shape, we had to answer two questions. Does the Indian textile industry have any competitive advantages ? This was the first question that we had to answer. In which product groups we should compete ? This was the second question that we needed to answer. Conventional wisdom told us that the Indian firms in the textile industry are not globally competitive. We decided to examine this question afresh. We began to examine the competitive advantages of the Indian textile industry, using the frame work developed by Michael Porter. Our analysis showed that the Indian textile industry has six intrinsic advantages. The six advantages are : Emergence of sophisticated Indian buyers who demand products of world standards. Emergence of an Indian garment industry that is a discerning buyers of fabric. Existence of world class textile training and textile research institutions in India. Availability of highly trained, experienced and skilled textile technologists in India. Availability of cottons suitable for spinning a wide range of yarns and Existence of a well-developed capital market in India allowing Indian firms to marshal risk capital for long term investments. These intrinsic advantages that the Indian nation offers to its firms, convinced us that Indian textile firms can compete in global markets. Pin pointing of these advantages also helped us in identifying the product groups in which we should compete. With these advantages, we argued, we must compete in product groups with high entry barriers. A product group will have high entry barriers for several reasons. One reason for the high entry barriers, is that, the firms wanting to manufacture the products in the product group, need to master difficult technologies. Another reason for the high entry barriers could be that firms have to make high capital investment to manufacture and market the products in the product group. Yet

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another reason for the high entry barriers is that firms must establish their credentials with their buyers before they can market the products in the product group. We identified two product groups with high entry barriers and with large markets for the products within the product groups. The first product group was indigo dyed blue denim comprising denim fabrics predominantly used in producing jeans for men and women. High value cotton shirting used for making men's shirts and for producing women's outer wear garments was the second product group we identified. Indigo dyed denim, though a standard product, is extremely difficult to manufacture. Several factors contribute to the difficulties in manufacturing of denim. Difficulties involved in dyeing the yarn in the indigo dye, is one of them. Spinning yarn with a high degree of uniformity is another factor contributing to the difficulties in manufacturing. Finally difficulties involved in the weaving of "heavy denim" (We can get an idea about the heaviness of the denim fabric by comparing the weight of the fabrics used for making trousers and the weight of denim fabrics used for making jeans. The weight of the fabrics used for making trousers varies between 255 grams per square meter to 300 grams per square meter. Weight of the denim fabrics varies 430 grams per square meter 510 grams per square meter.) are another set of factors adding to the difficulties in the manufacturing process. Because of these difficulties in the manufacturing of the product, the manufacturing process is capital intensive. According to a thumb rule prevalent in the industry, a firm needs to invest about four US dollars for every meter of the fabric it wants to produce annually. Thus, for setting up a plant with a capacity to produce nine million meters of denim per annum, it will be necessary to invest thirty-six million US dollars. In Indian currency, this investment will be the equivalent of about one billion Rupees (A hundred crore Rupees). In 1986, industry sources placed the global demand for denim fabrics to be 1,600 million meter per annum, approximately. Denim was not produced in India in 1986 when we were planning our strategy. We judged that this product had a large latent demand in India. In case of high value cotton shirting, a similar situation prevailed. We do not report the details for want of space.

NEW STRATEGY
At the close of the year 1986, we decided to include in our product portfolio, the two product groups comprising blue indigo dyed denim and high value cottonshirting. In April 1987 we commissioned our first denim plan producing denim fabrics at the rate of about four million meter per annum. We started producing high value cotton shirting at the end of the year 1987.Simultaneously we started divesting the product groups that the power-looms could easily manufacture.

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The six competitive advantages of the Indian textile firms we listed earlier, helped us to compete in the global markets for the product groups we identified. Technical skills available with Arvind, enabled the company to assimilate quickly the difficult technologies deployed in the manufacture of denim. As we gained experience, the company's technical staff, in collaboration with the leading textile machinery manufacturers, made revolutionary changes in the weaving of heavy denims. These changes enabled the company to lower the capital cost considerably. Lower capital cost gave the company a major advantage in competing with the giants in the industry. The demand for denim fabrics, from the domestic garment industry was extremely good. This gave us a market for our denim fabrics while we were establishing our credentials with the overseas garment producers. In the initial stages, the Industrial Credit and Investment Corporation of India,gave the financial support and the encouragement to set up the denim plant. It is this support and encouragement that made it possible for us to enter the denim market. Soon after getting a foothold in the new product groups, we made four strategic moves. First we began to divest from the product groups in which we were not globally competitive. Reduction of the debt component in our capital structure was the second strategic move we made. This move was made to reduce the financial risks the company was exposed to when it was making a radical change in its product portfolio and absorbing newer technologies. Besides, we intended this move to build the company's debt capacity for mobilizing funds at an appropriate time. The third strategic move we made was to set up wholly owned subsidiaries in selected parts of the globe for marketing the company's products. Finally the fourth strategic move was to set up manufacturing plants in different parts of the world. Because of these strategic moves, the company is steadily getting the characteristics of a global company.

STRUCTURE, SYSTEM & SKILLS


Arvind Mills is now focusing its attention on a few selected product groups. Such a focus is necessary to prepare the company for playing a dominant role in the global markets for these product groups. For giving a concrete shape to this strategy, it is necessary to make appropriate changes in the company's structure, systems and skills. The company made most of these changes during the year 1994-95. Arvind has now adopted an organizational structure called the "Strategic Business Unit structure" Under this structure, a company groups under one business unit, distinct product groups comprise product groups targeted for distinct market segments and using distinctive technologies in the manufacturing process. A company puts each business unit under the

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command of a different person. The person heading a business unit is responsible for the effective and efficient operation of the unit. This pattern of organization allows the company to concentrate its energies on all the important business. All the systems used in the company, to get things done, also needed change to keep pace with the changes in strategy and structure. These systems comprise performance appraisal and counseling systems, compensation systems, other planning and monitoring systems. We have thoroughly revamped all these systems to meet the new organizational demands. Structures and systems by themselves are not adequate to give effect to the chosen strategy. The organization must have appropriate skills. The tasks demanded in the new structure require new skills. Similarly to operate the new systems effectively and efficiently the organization requires new skills. During the year 1994-95, Arvind's top management spent a great deal of time and energy on developing the required skills. The thrust on development of organizational skills, it is needless to add, will continue relentlessly.

ACCOMPLISHMENT OF NEW STRATEGY


Our chosen strategy accomplished itsurpose. Primarily, we eliminated the threat from the power-looms. Because of the entry barriers we highlighted earlier, power- looms could not compete in the product groups we had chosen. By concentrating on the garment producers, the discerning buyers, we neutralized the power that the trade channels were exercising over us. The strategy to export bulk of our production, gave us the flexibility to import cotton under the advance license scheme. As a result we could insure ourselves against the threat of an abnormal price increase in the domestic cotton market. Similarly the strategy to Export, allowed us to import the "state of the art" machinery either without any import duty or by paying import duty at reduced rates. We carried out our strategy just in time. In 1987, the grim scenario our analysis had suggested,did materialize. Arvind's profit reached its nadir in that year. The company earned, in that year,a net profit of Rupees 7.8 millions and the sales of the company amounted to Rupees 1.13 billion. In the year 1987, the company's exports were negligible. From 1 January 1995, the Government of India has allowed imports of yarn, fabrics and garments in the Indian markets, though the tariff barriers are still high. Indian Government is committed to lower these barriers progressively. Indian textile industry will now be facing the "economic earthquake" described by Time Magazine. The 13 March 1995 issue of Time magazine aptly describes the global economic upheaval taking place around the globe. I will quote this excellent description.

" As the millennium approaches, an economic earthquake is shaking the globe,


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producing an upheaval comparable to the Industrial Revolution that gave birth to the manufacturing age. The only certainty perhaps, is the size and speed of change. The globalize economy is one of 24-hour financial markets, huge split- second flows of international funds and intense competition as companies roam the worldfor capital, labor, technology raw materials and markets. More flexible production techniques are allowing giant global corporations to locate their activities wherever it is economically advantageous". Because of a radical change we made in Arvind's strategy, Arvind can now confidently face this earthquake. Arvind's product portfolio now comprises product groups in which the company is globally competitive. Judged by the financial yardsticks, the company is strong. It is profitable, has a net worth of Rupees ten billion and the debt component in the capital structure is negligible. For the readers to appreciate the effectiveness of the strategy we put in place, I would like to provide some data concerning the results we accomplished. In the year 1994-95, the company was producing denim at the rate of sixty-five million meters per annum. And ranked as the fifth largest denim producer in the world. We are all proud of the results we achieved in a short span of seven years. In 1987 we could not compete in the global markets and the value of our exports was negligible. Seven years later, about 40% of our total sales and business income earned is from fabric exports. Within a span of seven years, we have increased the denim manufacturing capacity from four million meters to sixty-five million metes per annum. Starting from scratch we have, within seven years, become the fifth largest denim producer in the world. During the financial year 199495, Arvind's sales and other business income were 5.42 billion Rupees. Net profits of the company during the year were 1.01 billion Rupees. During the same year, the revenue the company earned, from the exports of denim fabrics and high value cotton shirting, was about 2.11 billion Rupees. The net worth of the company, computed at market prices, increased about one hundred and five times within seven years. On 31 March 1988 the net worth of the company, computed at market prices was one hundred and twenty six million Rupees. Computed on the same basis, the company's net worth on 31 March 1995 was about thirteen and a half billion Rupees. In other words, during the seven-year period, the compound growth rates in the company's net worth was 95% per annum.

PLANS Forming strategic alliances with world leaders in the field, for competing globally, is the strategy that we will pursue vigorously in the future. Strategic alliances, as Michael Porter points out, are long-term arrangements between firms that go beyond normal market transactions but fall short of a merger. Strategic alliances are prominent tools in carrying out global strategies. Arvind will form strategic alliances with world leaders for competing globally in product groups comprising Swiss voile, Knitted fabrics, and High value cotton

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shirting. In addition, the company will also compete in the global markets for spun-yam and garments.

CONCLUDING REMARKS
Creating leaders of tomorrow is one of our major concerns. An eminent Indian jurist had said "First leaders create institutions and then institutions create leaders". How to begin this pious circle -in the organization, is the concern of Arvind's top management. In this endeavor, all of us in charge of corporate governance, are trying to imbibe the message given in the last verse of the Bhagavad Gita. The message is, "Unite vision (Yoga) with energy (Dhanu) without allowing the former to degenerate into madness and the latter into savagery. High thought and just action must ever be the aim of man."

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3.7) PHILOSOPHY

WE BELIEVE In people and their unlimited potential In content and focus in problem solving In teams for effective performance in the intellect & its power. WE ENDEAVOUR To select, train and coach people to obtain higher & early responsibilities To nurture talent to be built as leaders of our tomorrow's corporation To reward, celebrate and activate all intellectual business contribution WE DREAM Of excellence in all our endeavors Of mutual benefit and prosperity Of making the world a better place to live in. We Make things happen.

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CHAPTER:4
Different processes in manufacturing of RTS denim product

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Different processes in manufacturing of RTS denim product Spinning Warping Sizing Weaving Finishing Inspection Packing

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Manufacturing Process of Denim


The term "Denim" has originated from the city of Nimes in France where "serge de Nimes" was manufactured. Denim is made from a vat dye, the Indigo dye, which is applied to cotton fabric in loosely held form in layers. As far as manufacturing process of denim is concerned, it is similar to that of Grey fabric up to the process of weaving with the only difference that in case of Denim Fabric, it is dyed at the stage of sizing where as in case of Grey Fabric, the decision regarding dyeing stage depends upon the finished product.. 4.1) Spinning The initial processes of denim manufacturing consist of the regular activities of opening and blending of cotton fibers. Carding is done to remove any foreign matter and the short fibers so that cotton takes the form of a web which is then converted into a rope-like form, the sliver. Then drawing process produces a single, uniform sliver from a number of carded slivers. Yarn is then spun through OpenEnd Spinning or Ring Spinning. Roving is also carried on, if the spinning has to be done through Ring Spinning. Generally, denim fabric are 3/1 warp-faced twill fabric made from a yarn dyed warp and an undyed weft yarn. Normally dyed and Grey ring or open- end yarns are used in warp and weft respectively. Traditionally speaking, the warp yarn is indigo dyed. 4.2) Warp Preparation - Dyeing and Sizing Processes Warp yarns are indigo dyed and sized with the help of two methods. (i) Threads from several back beams are combined to form a warp sheet and dyed and sized on the same machine. (ii) Threads, about 350-400 in number are formed into ropes. 12-14 ropes run adjacent to each other through the continuous dyeing unit. After dyeing, the ropes are dried on drying cylinders and then collected in a can. After that, a worker's beam is prepared. Sizing is then done in the conventional manner.

There are various dyeing and sizing processes, which can be classified into four categories.

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Continuous Indigo-Rope dyeing and sizing. Continuous Indigo dyeing and sizing. Indigo-back beam dyeing and sizing. Continuous dyeing and sizing.

Continuous Indigo-Rope dyeing and sizing The yarn coming out from the ring frames is wound into cheeses or cones and then placed on the ball warper on which 350-400 threads are formed into a rope and are cross wound to a ball in accordance with the length of warp beam. During this process, lease bands are inserted at particular intervals as they are required for further processing on Long Chain Beamer. Based on the size of the rope dyeing plant, 12-24 ropes, at a time, are dyed, oxidized, dried and placed in large containers. These ropes are then opened on the Long Chain Beamer through tension roll and expansion comb and wound on to a back beam. Back beams are then sized and the sized warp is then woven. This system is commonly used in the US. Continuous Indigo dyeing and sizing: In this process, back beams are processed on the dyeing/ sizing machine instead of ropes. The warp is dyed, oxidized, dried and sized at a one go. Although this process is less cumbersome, the risk of individual thread breakage is greater than dyeing in rope form. This method is commonly used in the European countries. Indigo-back beam dyeing and sizing Dyeing and sizing is done in two stages in this method. In the first stage, back beams are dyed, oxidized, dried and wound on a batch roll. The batch roll is then sized, dried and wound on a weaver's beam.

Continuous dyeing and sizing Although glass is hard and rigid yet it can be transformed into fine, translucent and flexible Glass Fiber, commonly known as fiberglass. It is very glossy in appearance and feels like silk. There are two methods for glass fiber manufacturing, Continuous Filament Process and Staple Fiber Process. Apart from being glossy and flexible, glass fiber is also heat resistant. Due to its many qualities, this fiber is widely used for home furnishings, apparels and many other industrial purposes. It's really very interesting to know about the whole process of Glass Fiber Manufacturing.

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4.3)WEAVING
The weaving process interlaces the warp, which are the length-wise indigo dyed yarn and the filling, which are the natural-colored cross-wise yarn. The warp thread is in the form of sheet. The weft thread is inserted between two layers of warp sheets by means of a suitable carrier, such as Shuttle, Projectile, Rapier, Air current, Water current, etc. The selection of carrier depends upon the type of weaving machinery used. The two different technologies available for weaving machines are Conventional Shuttle Weaving System which is done by Ordinary Looms or Automatic Looms; and the Shuttle less Weaving System which is done by Airjet, Waterjet, Rapier, or a Projectile weaving machine. The Conventional Shuttle loom results in lesser production due to slow speed and excessive wear and tear of machinery. As such, now denim is generally woven through Shuttle less Weaving System namely, Airjet looms, rapier looms or projectile looms.

4.4)FINISHING
The final woven fabric, wound on a cloth roll, is taken out from weaving machines at particular intervals and checked on inspection machines so that any possible weaving fault can be detected. In this quality control exercise, wherever any fault is seen, corrective measures are taken then and there only. The woven Denim Fabrics then goes through various finishing processes, such as brushing, singeing, washing, impregnation for dressing and drying. Brushing and singeing eliminate impurities and help to even the surface of denim fabric. Dressing regulates the hand and rigidity of the fabric while compressive shrinking manages its dimensional stability. The standard width denim fabrics are then sent for making up. In this process, the fabric is cut into the desired width according to the size required. The made- up denim fabric is then thoroughly checked for defects such as weaving defects, uneven dyeing, bleaching and dyeing defects, oil stains, or patches. After inspection, the final product is categorized quality-wise. The fault less fabric is sent to the packaging department while the defective ones are sent for further corrections.

4.5) INSPECTION
The quality of final garment depends on the quality of a fabric when it is received as a roll even the many outstanding manufacturing methods cannot compensate for defective materials. Normally the rolls are received in form of batches of generally 1500 2000 mtr in length this batches are than inspected and roll of size according to customer specification is prepared, and category is given according to customer requirement ,generally length of roll is 135 mtr, According to type of damage and length of damage category is given to roll from 91,9is the best quality and 1 is the worst,

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Only 9-7 category fabric is exported below this category is sold domestically.

4.6) PACKAGING
After the inspection is over the fabric rolls are picked of manually or just put on the conveyer and make reach at folding m/c where plastic sheet is wrapped on roll and speed of this m/c to pack 40-50 roll per hour.

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CHAPTER:5
EMERGENCE OF RTS

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EMERGENCE OF RTS
Ruf and Tuf Jeans
India's leading denim manufacturer, Arvind Mills, achieved the expansion of its customer base with a new brand of ready to stitch jeans - Ruf and Tuf - specially for the rural market. A study revealed the following facts : Many in rural areas found even the cheapest branded jeans beyond their means. There is skepticism towards readymade products among rural customers. Ready to stitch jeans was for the first time priced at Rs. 195 as against the unorganized sector's range of Rs. 150 - 350. The kit included a denim trouser length with specific tailoring instructions and the branded zipper, rivets and buttons that distinguish jeans from mere denim trousers in the customer's mind. The product was made available in villages with a population as small as 5000. Local cloth shops were used as retail outlets. Workshops are organized to train local tailors and to inform them about the changes required in regular sewing machines for stitching jeans. The demand crossed 2lakh pieces

R.T.S being Denim chinos fabric and not heavy duty denim is easy to stitch and can be sewn by any tailor. The factor design element which scores 53% also stands almost negligible when talking about R.T.S as it is not an outright casual wear, instead is a semi-formal trouser. Tailored garments also suit the needs of people of odd sizes as well. Providing branded accessories assures the customer further of branding and high quality.

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38

CHAPTER:6
FAQs OF RTS DENIM PRODUCT

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FAQs OF RTS DENIM PRODUCT


What makes Arvind Intellibarix denim fabric so unique and desirable? The answer is CHOICE, CHOICE and CHOICE, !! For the first time using Breakthrough innovation Arvind has come out with Intellifabrix Denim for Ready-to-Stitch chinos and jeans. This denim is unique as it offers customers a chance to select fabric to their own choice and get trousers or jeans stitched of their own choice in their own size!! To top it all these garments are ready to wear straight from your tailors shop- no washing required!! In THAAN from Arvind is offering wonderfully crafted fabric that is sells to famous brands like Levis, Lee, Wrangler, Flying Machine, Pepe, Spykar, Numero Uno and many more. In RTS PACK from along with fabric Arvind is offering branded zippers, buttons, labels, rivets and even pocketing fabric. All these accessories area backed by Arvinds performance promise.

Who are the target customers of Arvind Intellifabrix denim fabric? Denim is fast becoming a rage in India. You see it all over Bollywood, television serials, magazines etc. This is why all customers want to wear denims. Arvind Intellifabrix denim is an extremely versatile fabric. Then that has an offering for each individual customer. This is a unique offering that bring together a well known brand. Arvind and couples this with choice. Where and from whom can the customer get the fabric stitch? Since the pack comes with all required accessories and the fabric is lightweight. It can be stitch from any tailor of choice. Before taking the delivery of the stitch trouser, it must be ensure that the tailor has used Arvinds branded accessories provided in the pack. Will the fabric lose color on washing?

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The fabric is indigo dyed, which has the property to lose color with every wash. This is known as AGEING and gives denim their unique character. We recommend wash care instructions on the pack should be followed. It is also suggested you stack denim THAANS separately show as to avoid your lighter sets of fabric from getting stained.

What all patterns and design can be stitched in the fabric? Arvind Intellifabrix denims are being offered in two distinct collections. 1) Denim CHINO collection: trousers styling. This has been specially crafted for traditional

2) Denim JEANS collection : This is meant for the famous 5 pocket jeans. Since it is denim fabric will I have difficulty in handling the fabric? The fabric is packed in a manner to offer you convenience of display and handling. The pack has been well designed to offer both visual appeal and ease to handling. The thaan form has also been packed in compact manner to ease display. Each comes with a care instruction which is meant for you to retain until complete thaan is sold. Both the pack and thaan are packed in strong outer cartons to ensure you receive your order in good shape.

How is Arvind Intellifabrix denim different from traditional denim fabric in roll form? There is a vast different in the quality and finish of the fabric. Arvind Intellifabrix is customized offering with a special intelligent finish which can be easily stitched by a local tailor with no extra efforts where as traditional denim is difficult to stitch by a local tailor.

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CHAPTER:7
SURVEY OF THE RETAILERS

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SURVEY OF THE RETAILERS


Survey of retailer was done in different area in Ahmedabad randomly who is already customer from years as well as new who have been selling RTS product. Arvind is not in direct contact of these retailers. They had transactions only with wholesaler than they distribute to different retailers. But Arvind had invited most of these retailers who are selling its other products during launching of RTS denim After that there is no other communication made by arvind, but retailers feedback is very crucial as this is still a new product And that makes survey of retailers most important. List of retailer was made available by the wholesaler .To that this product was distributed. After analysis many outcomes were worth concern.

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LIST OF LOCAL RETAILERS S.NO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 PARTY NAME AMBICA SELECTION SHALIMAR MAKWANA SONS V&U SWEETY NEELKAMAL RETAIL SHOP COTTON PALACE REGENCY KRISHNA HOUSE OF COTTON CHANDULAL FULCHAND DARSHAN FAMILY SHOP SHAH RAMANLAL MOHANLAL VANSIWALA FABRICS BEST SUITING SHIRTING SHALIMAR MOONSTAR EMPORIUM AMIKUNJ RADHEY TRADING COMPONY VIVEK SELECTION DLUX ADANI STORES R.PRABHUDAS KAMAL STORES FOR YOU SUITING & SHIRTING ONER SHETH SONS AMANTRAN AMARSONS NAVJIVAN AVOJI AREA ASHRAM ROAD ASHRAM ROAD ASHRAM ROAD ASHRAM ROAD ASHRAM ROAD ASHRAM ROAD C.G.ROAD C.G.ROAD C.G.ROAD C.G.ROAD C.G.ROAD DELHI DARWAJA DHALGARWAD DHALGARWAD DHALGARWAD DHALGARWAD RATANPOLE RATANPOLE RATANPOLE RATANPOLE RATANPOLE RATANPOLE RATANPOLE RATANPOLE RELIEF ROAD RELIEF ROAD RELIEF ROAD RELIEF ROAD RELIEF ROAD RELIEF ROAD NAME HITENBHAI KOTHARI HAROON MANSURI CHANDRAKANT MAKWANA VIKRAMBHAI ANIL SHAH PRAVINBHAI SHAH RAKESH SHAH NITIN SHAH KANUBHAI M.PATEL SATISHBHAI PRAKASHBHAI AMARISH SHAH RAFIKBHAI AMINBHAI HAROON MANSURI ZUBERBHAI SHRENIKBHAI KETAN MODI RAVI SHAH JIGARBHAI RAJESH P.SHAH MILAN MEHTA DINESH BHAI HARSHAD BHAI DINESHBHAI SHAH DINESH MORAKHIA SUBHASH BHAI MAHESH S.SHAH

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7.1 ) No. of year as arvind customer


Table 7.1 No. of customer A 0-5 years as arvind No. of Retailers 11

B C D

30-40 40-50 50<

12 3 2

no. of years as arvind customer


14 12 12 10 No. of retailer 8 6 4 2 0 0-5 30-40 years 40-50 50< 3 2 11

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Most of customer is from 0-5 years and 30-40 years and also there are some retailers Who are customer from above 50 years. So still new customer should be discovered. And contact with no. of retailers should be increased to improve availability.

Annual turn over in lakhs A 20-30

No. of Retailers 11

7.2) Annual turn over in lakhs Table7.2

B C D E

30-40 40-50 50< Do net tell

12 3 2 2

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Annual turnover in lakhs


14 12 12 10 No. of retailer 8 6 4 2 0 20-30 30-40 40-50 lakhs 50< do not tell 3 2 2 11

This was an open end question and most of retailer had there turnover more than 20 lakhs And some had there turnover even more than 50 lakhs. So most of retailer fall between 20 lakhs and 40 lakhs and such retailer should be targeted

7.3)Contribution of arvind in total turn over

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Table 7.3

A B C D E F

Contribution of arvind in No. of Retailers total turnover 0-10 8 10-30 30-50 50-70 70-90 90-100 15 5 2 2 1
contribution of arvind
16 14 12 15

No. of retailer

10 8 8 6 4 2 2 0 0-10 10--30 30-50 % 50-70 70-90 90-100 2 1 5

Most of retailer had 10-30 % contribution in there total sell and there are also no specific arvind store are there where only arvind brands are available ,so such store should be opened like other companies.

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7.4)Fabric preferred by the consumer Table7.4


Fabric preferred A B C D E F Cotton Cotton blends Denim Worsted Synthetic blend others No. of Retailers 18 4 5 1 1 1

7.5)why customer prefer readymade over fabric Table 7.5


color Fabric preferredpreferred No. of No. of Retailers Retailers Feature group Grade Age No. ofof consumer No. No. of Retailers consumer Educationofof the color Pattern preferredfor RTS Preference the feature Price demand priority of the respondents Daily price No. ofofconsumer No. ofof consumer No. consumer No. Retailers Attractive of fabric of respondents No.No. Retailers Over all the respondents Occasion Age Packagegrade No.ofof consumer of of Retailers No. of consumer No. consumer eOccupation Shape A Indigo blue 11 A Price 7 AA A Is demand other than RTS Look e range in fabric 15-25 21 of consumer Daily Outstandingenough form No. No.Retailers preference Availability color of 7 of5Retailers No. consumer AA AA Below graduate Plain Blue 200-300 Design 0-5 200-300 4915 12 62 44 22 6 49

RT x CT = RT x CT

BFitting black 8 B 4 A A A B Yes 25-35 Fabric 4 2237 10 3475 B B 10-15 Fabric Feel Good 16 Branded 29 BA BB B graduate Stripe Black 300-400 Price 5-10 300-400 Service 3410 16 18 40 23 12 B A B CNew PlainGrey Carry30-40occasion Some bag 9 720 3 22 C BB pattern 8 12 CC Price Satisfactory 22 17 C B 15-30 Durability CC masters Slubby Brownmade 400-500 10-15 400-500 1663 11 20 11 13 B B C C NoBusiness Ready35-45 Readymade 15 083 9 66 Brown C CC D NotSatisfactory required office 40-50 3 4244 12 B Running 71 D C Brand name 2 Desire fitting Poor 41 B DD Wash jeans 18 1 DD Above jeans service Wash Other masters 500< 15-20 500< Government 61 95 12 4 C DD 30-40 novelty 9 1 32 D D Poor Visiting somebody 50< 2 Green E DDETime saving 45-55 9 0192 4 C E slubby poor 4 0 Very D 2 310 E E 40< feel 20< Professional 2 E F Very poor 0 2 Other I E otherssincere gratitude to all who 1 give my Above55 cooperated through out the project and made my 2 D research possible.

Mainly to my institute guide Prof. Praneti shah and industrial guide Mr.Rakesh Trivedi and Paras Maniar who guided me through out the project as well as Mis.Deepti Bhatt and Mis. Milli das who facilitate to do my project with arvind. I am also thankful to all who I interviewed, retailer and customers who spared there precious time for me. And me there honest reply.

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Annexure - 1
Questionnaire for Retailer 1) From how much year you are arvind customer? . 2) What is yours apron. Annual turn over in lakes? a) 20-30 b) 30-40 c) 40-50 d) above 50 e) do not tell

3) contribution of arvind in total turnover in percentage? a) 0-10 b) 10-30 c) 30-50 d) 50-70 e) 70-90 d) 90-100

4) Fabric generally preferred by the customer? a) cotton b) cotton blends c) denim d) worsted e) synthetic blends f) others

5) why customer prefer ready made trousers our tailored? a)price b)fitting c)new pattern d)brand name e)Time saving 6) Which pattern is more attractive to customer? a) plain b) Stripe c) slubby d) checks

7) Is color range enough? Yes No

8) which color is frequently demanded by customer? . 9) What should be reasonable price range for RTS denim? a) 200-300 b) 300-400 c) 400-500 d) 500<

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10) which age group is generally convinced to buy RTS denim? a) 15-25 b) 25-35 c) 35-45 d) 45-55 e) above 55

11) Which package shape is more attractive? a) Box b) carry bag c) slider box d) not required

12) What is average daily demand for other than RTS trousers? . 13) What is average monthly sale of RTS denim & what will be its demand in future? . 14) Overall fabric grade: a) Outstanding b) good c) satisfactory d) poor e) very poor .

Remark or suggestion if any. .

THANKS

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Annexure 2
Customer Questionnaire Customer preference for RTS Denim product 1) What is your age? a) 20-30 2) Education? a) Below graduate b) graduate c) master d) above master 3) Occupation? a) Student b) service c) business d) gov. servant e) Professional 4) In which form do you prefer apparel? Fabric Garment b) 30-40 c) 40-50 d) 50<

5) Which type of fabric does u prefer? Running Branded-

6) To which feature do you give priority for denim fabric? ) Design ) Price ) Durability ) Novelty ) feel

7) Would like to wear RTS denim on? A) Routine b) Occasion c) Office d) Visiting somebody

8) Same product alike denim RTS? A) Similar b) better than c) worst than d) not seen

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9) If the same ready made garment available in fabric form? ) prefer ready made ) prefer fabric.

10) Which color for denim does u prefer? A) Indigo blue b) Black c) Brown d) Other-

11) Which Pattern is preferable? A) Plain b) Stripe c) clubby d) checks

12) What price range is justifiable? a) 200-300 b) 300-400 c) 400-500 d) 500<

13) If purchased than which feature made your buying decision? a) look b) feel c)price d)possibility of desire fitting e)other-

14) if not, Which factors were not convincing? 15) Overall fabric grade: a) Outstanding b) good c) satisfactory d) poor e) very poor

Remark or suggestion if any. .

THANKS

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