project
TRANSCRIPT
A Seminar Report
On
INTERNATIONAL MARKETING OF HANDICRAFTS
SUBMITTED IN PARTIAL FULFILLMENT TO
THE IIS UNIVERSITY
For the Degree of MBA-International Business
(Department Of Human Resource Management)
SUPERVISED BY: - Ms Chetangana ChaudharyLecturer, Department of International Business, The IIS University
2011-2012
SUBMITTED BY:-
Ms Tapasya Rani
MBA-IB (Semester I)
Enroll No.ICG/2011/12615
CONTENTS
S.No. Particulars Page No
Acknowledgment
1. Introduction
2. Research methodology
3. Company profile
4. Data analysis and interpretation
5. Finding conclusion and suggestion
6. Bibliography
ACKNOWLEDGEMENT
I wish to express my deep sense of gratitude to my internal guide Ms Chetangana
Chaudhary Dept of International business, ICG for her able guidance and useful
suggestions, which helped me in completing the project work, in time.
Words are inadequate in offering my thanks my colleagues for their encouragement and
cooperation in carrying out the project work.
Finally, yet importantly, I would like to express my heartfelt thanks to my beloved parents for
their blessings and wishes for the successful completion of this project.
1. INTRODUCTION
Marketing
Marketing is the science and art of exploring, creating, and delivering value to satisfy the
needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It
defines measures and quantifies the size of the identified market and the profit potential. It
pinpoints which segments the company is capable of serving best and it designs and
promotes the appropriate products and services.
Marketing is often performed by a department within the organization. This is both good
and bad. It’s good because it unites a group of trained people who focus on the marketing
task. It’s bad because marketing activities should not be carried out in a single department
but they should be manifest in all the activities of the organization.
The most important concepts of marketing in the first chapter. They are: segmentation,
targeting, positioning, needs, wants, demand, offerings, brands, value and satisfaction,
exchange, transactions, relationships and networks, marketing channels, supply chain,
competition, the marketing environment, and marketing programs. These terms make up
the working vocabulary of the marketing professional.
1) Marketing’s key processes are:
2) Opportunity identification,
3) New product development,
4) Customer attraction,
5) Customer retention and loyalty building, and
6) Order fulfilment.
A company that handles all of these processes well will normally enjoy success. But when
a company fails at any one of these processes, it will not survive.
Marketing is basically your interaction with your consumer. This interaction with your
consumer is done so that you can get the consumer to purchase your product or service.
Basically that is what marketing is all about, getting the customer to purchase your product
or service.
7 P’s of Marketing:
Product
The product aspects of marketing deal with the specifications of the actual goods or
services, plus how it relates to the end users needs and wants. The range of a product
normally includes supporting elements such as warranties, guarantees, and support.
Price
The second P in the formula is price. Develop the habit of continually examining and re-
examining the prices of the products and services you sell to make sure they're still
appropriate to the realities of the current market. Sometimes you need to lower your prices.
At other times, it may be appropriate to raise your prices. Many companies have found that
the profitability of certain products or services doesn't justify the amount of effort and
resources that go into producing them.
Promotion
The third habit in marketing and sales is to think in terms of promotion all the time.
Promotion includes all the ways you tell your customers about your products or services and
how you then market and sell to them.
Small changes in the way you promote and sell your products can lead to dramatic changes in
your results. Even small changes in your advertising can lead immediately to higher sales.
Experienced copywriters can often increase the response rate from advertising by 500 percent
by simply changing the headline on an advertisement.
Place
The fourth P in the marketing mix is the place where your product or service is actually sold.
Develop the habit of reviewing and reflecting upon the exact location where the customer
meets the salesperson. Sometimes a change in place can lead to a rapid increase in sales.
Packaging
The fifth element in the marketing mix is the packaging. Develop the habit of standing back
and looking at every visual element in the packaging of your product or service through the
eyes of a critical prospect. Remember, people from their first impression about you within the
first 30 seconds of seeing you or some element of your company. Small improvements in the
packaging or external appearance of your product or service can often lead to completely
different reactions from your customers.
Positioning
The next P is positioning. You should develop the habit of thinking continually about how
you are positioned in the hearts and minds of your customers. How do people think and talk
about you when you're not present? How do people think and talk about your company?
What positioning do you have in your market, in terms of the specific words people use when
they describe you and your offerings to others?
People
The final P of the marketing mix is people. Develop the habit of thinking in terms of the
people inside and outside of your business who are responsible for every element of your
sales and marketing strategy and activities.
Importance of Export
Growth of an economy is directly related to exports. If exports increase at a faster
pace as compared to imports, nothing can stop an economy from being a developed
one. On the other hand, the instability in exports can adversely affects the process of
economic development. Lower exports mean low foreign exchange and lower foreign
exchange in turn means a small purchasing capacity of a nation in the international
market. Fluctuations in export earnings introduce uncertainties in an economy. These
uncertainties influence economic behaviour by adversely affecting the level and
efficiency of investment and in turn have a negative effect on growth. In addition to
the above factors, export growth is also important because of its effect on internal
trade and economic stability. Even more, the rate of economic growth and the
distribution of income and wealth in a country are closely related to export growth.
The concept of trade stability or instability may be based either on a country’s
aggregate trade in comparison with the cost of the world or on a binary country pair
comparison. Such binary pairs may be large depending upon the number of trading
allies. Export instabilities have been claimed to affect economic growth both
positively and negatively. Fluctuation in exports earnings introduces uncertainties in
the economy. The other side of the picture is that a greater amount of uncertainty on
export proceeds also brings about risk aversion. People tend to invest more in their
own country and the economy starts improving gradually. But this is not much
observed these days. Export fluctuations, on an average, act as a hindrance to the
stability and growth of the under developed countries. A high degree of export
instability may be expected to deter investment on a number of grounds. It is also
expected to raise borrowing costs, because export fluctuations tend to cause balance
of payment complexities. This ultimately leads to low confidence of people in the
process of maintenance of the exchange rate. Export instability stimulates inflation.
The simple rule of the thumb is that as inflation rises in a country, the products and
services tend to be costlier, with minor exceptions, of course.
Handicraft Export
Labour-intensive in nature, the Indian Handicrafts and Gifts Industry is a major
revenue generator of the country providing employment opportunities to more than 6
million craftsmen throughout India. It has also shown a consistent annual growth rate
of more than 15 per cent over a period of 10 years, with a steep rise from a mere 3.6%
to a 10% share in global handicraft exports. Major Indian states that contribute to
exportation of various handicraft items are Andhra Pradesh, Uttar Pradesh, Rajasthan,
and Gujarat. Moreover, popular handcrafted gift items manufactured and marketed
from India includes vases, candle stands, Christmas ornaments, pen stands,
brassware, gift items, ceramic pots and handmade paper products in matchless variety
and designs.
Handicrafts sector occupies an important place in the Indian economy as it
contributes significantly to employment generation and export earnings. The
economic importance of the sector also lies in its high employment potential, low
capital investment, high value addition and continuously increasing demand both in
the domestic and overseas markets. The sector provides employment to more than 60
lakh craft persons mostly from rural areas. The industry is highly labour intensive
and decentralized, being spread all over the country in rural and urban areas. The
Office of Development Commissioner (Handicrafts) under the Ministry of Textiles,
Government of India is the nodal Government Department at the national level for the
development of handicraft sector in the country. Through its various agencies like
Export Promotion Councils for Handicrafts, State Handicrafts Development
Corporations, Apex Societies and H2NGOs, it has been supplementing the efforts of
the state governments by implementing various developmental schemes of the
Government of India. The handicrafts sector has been identified by the Ministry of
Commerce and Industry, Government of India, as a thrust area for export promotion.
The Export Promotion Council for Handicrafts (EPCH) functioning under the aegis of
Office of Development Commissioner (Handicrafts) and governed by the policies of
the Ministry of Textiles, Government of India, since its inception in 1986, has been
playing an important role to promote exports of Indian handicrafts. To boost exports
of handicrafts, the Council undertakes various activities like participation in national
and international trade fairs, arranging buyer-seller meets, organizing workshops,
seminars and training programmes. The various handicrafts promoted by the Council
inter alia include artmetalwares/EPNS wares, hand printed textiles and scarves, wood
carvings and other art wares, embroidered and crocheted goods, zari and zari
goods, shawls as art ware, imitation jewellery and several other handicrafts, namely
artistic leather goods, lace and lace goods, toys, dolls, lacquer ware etc.
Top ten destination of India’s Export for Handicraft
USA,UK,Germany,France,Netherland,Spain,Italy,UAE,Canada,Belgium,Luxemboue,
What is the mission of Marketing
At least three different answers have been given to this question. The earliest answer was
that the mission of marketing is to sell any and all of the company’s products to anyone and
everyone. A second, more sophisticated answer is that the mission of marketing is to create
products that satisfy the unmet needs of target markets. A third, more philosophical answer,
is that the mission of marketing is to raise the material standard of living throughout the
world and the quality of life.
Marketing’s role is to sense the unfulfilled needs of people and create new and attractive
solutions. The modern kitchen and its equipment provide a fine example of liberating women
from tedious housework so that they have time to develop their higher capacities.
International Marketing
International marketing (IM) or global marketing refers to marketing carried out by
companies overseas or across national borderlines. This strategy uses an extension of the
techniques used in the home country of a firm. It refers to the firm-level marketing practices
across the border including market identification and targeting, entry mode selection,
marketing mix, and strategic decisions to compete in international markets.
The intersection is the result of the process of internationalization. Many American and
European authors see international marketing as a simple extension of exporting, whereby
the marketing mix4P's is simply adapted in some way to take into account differences in
consumers and segments. It then follows that global marketing takes a more standardized
approach to world markets and focuses upon sameness, in other words the similarities in
consumers and segments.
International Marketing is simply the application of marketing principles to more than one
country. However, there is a crossover between what is commonly expressed as international
marketing and global marketing, which is a similar term. For the purposes of this lesson on
international marketing and those that follow it, international marketing and global marketing
are interchangeable.
"At its simplest level, international marketing involves the firm in making one or more
marketing mix decisions across national boundaries. At its most complex level, it involves
the firm in establishing manufacturing facilities overseas and coordinating marketing
strategies across the globe."
Before becoming involved in exporting, an organisation must find the answers to two
questions:
1. Is there a market for the product?
2. How far will it need to be adapted for overseas markets?
The product must possess characteristics that make it acceptable for the market - these may
be features like size, shape, design, performance and even colour. For example, red is a
popular colour in Chinese-speaking areas. Organisations also have to consider different
languages, customs and health and safety regulations.
Standardisation
If a company offers a product, which is undifferentiated between any of the markets to which
it is offered, then standardisation is taking place. The great benefit of standardisation is the
ability to compete with low costs over a large output.
The diagram below illustrates the use of a standardised products and marketing mix:
In most markets, however, there are many barriers to standardisation. It is not difficult to
think about the standard marketing mix for a product and how this might vary from one
country to another. For example:
product - tastes and habits differ between markets
price - consumers have different incomes
place - systems of distribution vary widely
Promotion - Consumers' media habits vary, as do language skills and levels of literacy.
With differentiated marketing, on the other hand, an organisation will segment its overseas
markets, and offer a marketing mix to meet the needs of each of its markets.
The great benefit of standardisation is that costs are lowered, profitability is increased and the
task of supplying different markets becomes substantially easier. The diagram illustrates the
process of adapting the marketing mix to meet the needs of different geographical markets:
However, it could also be argued that the success of many products in international markets
has come about because marketers have successfully adapted their marketing mix to meet
local needs.
To a large extent the standardisation/adaptation dilemma depends upon an organisation's
view of its overseas markets and the degree to which it is prepared to commit itself to
meeting the needs of overseas customers. There are three main approaches, which can be
applied:
where necessary. This is a pragmatic approach.
A walk through the time honoured gallery of Indian handicraft showcases the cultural
brilliance and munificence of the nation. Emblematic of a country that is a melting pot of
diverse communities, customs, tribes, traditions, festivals, and languages, the lineage of
Indian handicraft dates back to antiquity and captures a rich blend of functionality with
artistic ingenuity. Infusing prolific designs on timeless substrates like
textiles,stones,metal,papier mache,glass,grass,wood,cane,bamboo,clay,terracotta and
ceramics, they beautifully articulate the artistic mastery and excellence of Indian craftsperson
who have inherited, preserved and honed this ancient skill through the ages.Today,globally
extolled for their dynamic combination of form, design and colour. Indian handicrafts enjoy
a large export market especially in places like Saudi Arabia,U.S.A. Japan,U.K. Germany,
Canada,Itly,France,to name a few.
India is one of the important suppliers of handicrafts to the world market. The Indian
handicrafts industry is highly labour intensive cottage based industry and decentralized, being
spread all over the country in rural and urban areas. Numerous artisans are engaged in crafts
work on part-time basis. The industry provides employment to over six million artisans
(including those in carpet trade), which include a large number of women and people
belonging to the weaker sections of the society. Handicrafts are mostly defined as "Items
made by hand, often with the use of simple tools, and are generally artistic and/or traditional
in nature. They are also objects of utility and objects of decoration.
The term handicrafts encompasses a wide range of artfacts.The informal sector, which
includes handicrafts has been described by International Labour Organisation (ILO) as a part
of economic activity characterised by certain features like reliance on local available
recourses and skills, family ownership, small scale operations, labour intensity, traditional
technology, skills generally acquired outside the formal school system, unregulated and
competitive markets.
One of the best definitions of handicrafts is that adopted by UNESCO-UNCTAD/WTO (ITC)
at manila, 6-8 October 1997 during a symposium on crafts, which is:
“Artisanal products are those produced by artisans, either completely by hand, or with the
help of hand tools or even mechanical means, as long as the direct manual contribution of the
artisan remains the most substantial component of the finished product. The special nature of
artisanal product derived from their distinctive features, which can be utilitarian, aesthetic,
creative, culturally attached, decorative, functional, traditional, religiously and socially
symbolic and significant”.
Handicrafts is one of the key export segment of Indian trade with significant contribution
coming from Utter Pradesh.However,the handicrafts sector of Uttar Pradesh is faced with
several problems such as unrecognised marketing and inadequate market information; power
interruption and other infrastructural deficiencies; inadequacy of raw material at appropriate
prices; lack of mechanism for dispersal of technology for enhancing productivity; final
finishing and lack of investment for fulfilling international requirements and a general poor
image of the country as a supplier of quality goods with consistency.
According to Export Promotion Council of Handicraft (EPCH), the share of Indian
handicrafts is only 0.08% in the world market while China in just 5 years has cornered 56%
of the export market.
Classification of Handicraft
Handicrafts can be broadly classified in three categories
Consumer goods- Artisan prepare such utilitarian goods for self consumption or for
exchange such baskets for keeping domestic articles, smoking pipes, footwear,
hunting arrows, combs, storing, wooden and stone plates for use ,textile items like
shawls, coats, jackets,
Processing industries- such as minor forest products for self consumption and for
exchange at weekly hatt on barter age system or sell them for money to purchase
other items for self consumption
Decorative items- include jewellery, and ornaments, earrings, ankle bells, necklaces,
head gears, head dresses, In addition other decorative items such as wall paintings,
deities either wood or stone, artifacets. These handicrafts for decoration are for self
use or sell /exchange them in the weekly market for money
2 . RESEARCH METHODOLOGY
Meaning of Research
Research in common parlance refers to a search for knowledge. Once can also define
research as a scientific and systematic search for pertinent information on a specific topic. In
fact, research is an Art of scientific investigation. The Advanced Learner’s Dictionary of
Current English lays down the meaning of research as “a careful investigation or inquiry
especially through search for new facts in any branch of knowledge.”1 Redman and Mary
define research as a “systematized effort to gain new knowledge.”2 Some people consider
research as a movement, a movement from the known to the unknown. It is actually a voyage
of discovery. We all possess the vital instinct of inquisitiveness for, when the unknown
confronts us, we wonder and our inquisitiveness makes us probe and attain full and fuller
understanding of the unknown. This inquisitiveness is the mother of all knowledge and the
method, which man employs for obtaining the knowledge of whatever the unknown, can be
termed as research. Research is an academic activity and as such the term should be used in a
technical sense.
Definition
According to Clifford Woody research comprises defining and redefining problems,
formulating Hypothesis or suggested solutions; collecting, organising and evaluating data;
making deductions and reaching conclusions; and at last carefully testing the conclusions to
determine whether they fit the formulating hypothesis.
D. Slazenger and M. Stephenson in the Encyclopaedia of Social Sciences Define research as
“the manipulation of things, concepts or symbols for the purpose of generalising to Extend,
correct or verify knowledge, whether that knowledge aids in construction of theory or in the
Practice of an art.” Research is, thus, an original contribution to the existing stock of
knowledge making for its advancement. It is the pursuit of truth with the help of study,
observation, comparison and experiment. In short, the search for knowledge through
objective and systematic method of finding solution to a problem is research. The systematic
approach concerning generalisation and the Formulation of a theory is also research. As such
the term ‘research’ refers to the systematic method.
Type of Research
The basic types of research are as follows:
(I) Descriptive vs. Analytical : Descriptive research includes surveys and fact-finding
enquiries of different kinds. The major purpose of descriptive research is description of the
state of Affairs as it exists at present. In social science and business research we quite often
use the term Exposit facto research for descriptive research studies. The main characteristic
of this method is that the researcher has no control over the variables; he can only report what
has happened or what is happening. Most ex post facto research projects are used for
descriptive studies in which the researcher seeks to measure such items as, for example,
frequency of shopping, preferences of people, or similar data. Ex post facto studies also
include attempts by researchers to discover causes even when they cannot control the
variables. The methods of research utilized in descriptive research are survey methods of all
kinds, including comparative and co relational methods. In analytical research, on the other
hand, the researcher has to use facts or information already available, and analyze these to
make a critical evaluation of the material.
(2) Applied vs. Fundamental: Research can either be applied (or action) research or
fundamental (to basic or pure) research. Applied research aims at finding a solution for an
immediate problem facing a society or an industrial/business organisation, whereas
fundamental research is mainly concerned with generalisations and with the formulation of a
theory. “Gathering knowledge for knowledge’s sake is termed ‘pure’ or ‘basic’ research.”
Concerning some natural phenomenon or relating to pure mathematics are examples of
fundamental research. Similarly, research studies, concerning human behaviour carried on
with a view to make generalisations about human behaviour, are also examples of
fundamental research, but research aimed at certain conclusions (say, a solution) facing a
concrete social or business problem is an example of applied research. Research to identify
social, economic or political trends that may affect a particular institution or the copy
research (research to find out whether certain communications will be read and understood)
or the marketing research or evaluation research are examples of applied research. Thus, the
central aim of applied research is to discover a solution for some pressing practical problem,
whereas basic research is directed towards finding information that has a broad base of
applications and thus, adds to the already existing organized body of scientific knowledge.
(3) Quantitative vs. Qualitative : Quantitative research is based on the measurement of
quantity or amount. It is applicable to phenomena that can be expressed in terms of quantity.
Qualitative research, on the other hand, is concerned with qualitative phenomenon, i.e.,
phenomena relating to or involving quality or kind. For instance, when we are interested in
investigating the reasons for human behaviour (i.e., why people think or do certain things),
we quite often talk of ‘Motivation Research’, an important type of qualitative research. This
type of research aims at discovering the underlying motives and desires, using in depth
interviews for the purpose. Other techniques of such research are word association tests,
sentence completion tests, story completion tests and similar other projective techniques.
Attitude or opinion research i.e., research designed to find out how people feel or what they
think about a particular subject or institution is also qualitative research. Qualitative research
is especially important in the behavioural sciences where the aim is to discover the
underlying motives of human behaviour. Through such research we can analyse the various
factors which motivate people to behave in a particular manner or which make people like or
dislike a particular thing.
(4) Conceptual vs. Empirical: Conceptual research is that related to some abstract
idea(s) or theory. It is generally used by philosophers and thinkers to develop new concepts
or to reinterpret existing ones. On the other hand, empirical research relies on experience or
observation alone, often without due regard for system and theory. It is data-based research,
coming up with conclusions which are capable of being verified by observation or
experiment.
We can also call it as experimental type of research. In such a research it is necessary to get at
facts firsthand, at their source, and actively to go about doing certain things to stimulate the
production of desired information. In such a research, the researcher must first provide
himself with a working hypothesis or guess as to the probable results. He then works to get
enough facts (data) to prove or disprove his hypothesis. He then sets up experimental designs
which he thinks will manipulate the persons or the materials concerned so as to bring forth
the desired information. Such research is thus characterised by the experimenter’s control
over the variables under study and his deliberate manipulation of one of them to study its
effects. Empirical research is appropriate when proof is sought that certain variables affect
other variables in some way. Evidence gathered through experiments or empirical studies is
today considered to be the most powerful support possible for a given hypothesis.
Objective of Study
To study the existing status of the handicrafts.
To support the overall growth and development of Handicrafts by maintaining
state of art design technology.
To Increase economic opportunities and enhance business skills and explore
potentials.
To bequeath traditional know-how to the posterity.
To continue producing young and new artists.
Scope of study
To study the source of the raw materials and the extent of sustainability of the
handicrafts based on these resources
To assess the extent of dependence of the artisans on this sector and any other
livelihood options
To assess the support provided by the local NGO’s/Government
programmes/financial institutions to the artisans.
To assess the extent of handicraft sector as a livelihood option and further
interventions/support required.
Data collection
Data Collection is an important aspect of any type of research study. Inaccurate data
collection can impact the results of a study and ultimately lead to invalid results. Data
collection methods for impact evaluation vary along a continuum. At the one end of this
continuum are quantitative methods and at the other end of the continuum are Qualitative
methods for data collection
By now we have known that data could be classified in the following three ways:
a) Quantitative' and Qualitative Data.
b) Sample and Census Data.
c) Primary and Secondary data.
(a)Quantitative and Qualitative data : Quantitative data are those set of Information
which are quantifiable and can be expressed in some standard units like rupees, kilograms,
litres, etc. For example, pocket money of students of a class and income of their parents can
be expressed in so many rupees; production or import of wheat can be expressed in so many
kilograms or lakh Quintals; consumption of petrol and diesel in India as so many lakh litres in
one year and so on.
Qualitative data, on the other hand, are not quantifiable, that is, cannot be expressed in
standard units of measurement like rupees, kilograms, litres, etc.
This is because they are 'features', 'qualities' or 'characteristics' like eye colours, skin
complexion, honesty, good or bad, etc. These are also referred to as attributes. In this case,
however, it is possible to count the number of individuals (or items) possessing a particular
attribute.
b) Sample and Census Data : It was discussed in Section 1.2.3 of Unit 1 that data can be
collected either by census method or sample method. Information collected through sample
inquiry is called sample data and the one collected through census inquiry is called census
data. Population census data are collected every ten years in India.
C) Primary and Secondary Data : As discussed very briefly in Section 1.2.2, Primary
data are collected by the investigator through field survey. Such data are in raw form and
must be refined before use. On the other hand, secondary data are extracted from the existing
published or unpublished sources, that 1% from the data already collected by others.
Collection of data is the first basic step towards the statistical analysis of any problem. The
collected data are suitably transformed and analysed to draw conclusions about the
population. These conclusions may be either or both of the following:
1) To estimate one or more parameters of a population or the nature of the population itself.
This forms the subject matter of the theory of estimation
2) To test a hypothesis. A hypothesis is a statement regarding the parameters or the nature of
population
Primary data
Primary data is that has not been previously published,i.e. the data is derived from a new or
original research study and study and collected the source,e.g.,in marketing it is information
that is obtained directly from first-hand sources by means of surveys, observation or
experimentation. Primary data is important for all areas of research because it is like the
eyewitness testimony at a trial. No one else has tarnished it or spun it by adding their own
opinion or bias so it can form basis of objective conclusions.
Primary data is the specific information collected by the person who is doing the research. It
can be obtained through clinical trial, case studies, true experiments and randomized
controlled studies. This information can be analysed by other experts who may decide to test
the validity of the data by repeating the same experiments.
Definition
Primary data is information collected by the researcher directly through instruments such as
surveys, interviews, focus groups or observation. Tailored to his specific needs, primary
research provides the researcher with the most accurate and up-to-date data
Secondary Data
Secondary data is collected by someone other than the user. Common sources of secondary
data for social science include censuses, surveys, organizational records and data collected
through qualitative methodologies or qualitative research. Primary data, by contrast, are
collected by the investigator conducting the research.
Secondary data analysis saves time that would otherwise be spent collecting data and,
particularly in the case of quantitative data, provides larger and higher-quality databases that
would be unfeasible for any individual researcher to collect on their own. In addition,
analysts of social and economic change consider secondary data essential, since it is
impossible to conduct a new survey that can adequately capture past change and/or
developments.
Secondary data is the data which have been already collected and by readily available by
other sources such data are cheaper more quickly obtainable than the primary data and also
available easily when primary data is not available at all.
Definition
Secondary data, on the other hand, is basically primary data collected by someone else.
Researchers reuse and repurpose information as secondary data because it is easier and less
expensive to collect. However, it is seldom as useful and accurate as primary data
Sources of secondary data
As is the case in primary research, secondary data can be obtained from two different
research strands:
Quantitative: Census, housing, social security as well as electoral statistics and other
related databases.
Qualitative: Semi-structured and structured interviews focus group’s transcripts, field
notes, observation records and other personal, research-related documents.
A clear benefit of using secondary data is that much of the background work needed has been
already been carried out, for example: literature reviews, case studies might have been carried
out, published texts and statistic could have been already used elsewhere, media promotion
and personal contacts have also been utilized.
The method of data collection used here for this project report is secondary data and has been
collected from sources such as internet, books, and magazines.
Limitations of the study
a. The report is prepared on the basis of secondary data collected from internet
and other sources so may not be 100% reliable.
b. Sometimes the data provided by the company might not be correct.
c. Difficulty in reaching conclusions as the data is based on secondary.
3. COMPANY PROFILE
Meena Handicrafts
India with its rich heritage of craftsmanship always offered the world unique and timeless
handicrafts. These handicrafts are a manifestation of India's distinct style and tradition.
Capturing the essence of Indian craftsmanship, Meena Handicrafts & Export Corporation,
manufacture and export a wide variety of handcrafted products with a sole aim to optimize
the expertise and expression of our traditionally skilled artisans to produce classic
Handicrafts.
Company info
In depth understanding of our industry, within a short duration, we have touched the pulse of
the customers across the globe by offering handcrafted products that bespeak of the spirit and
mystery of Indian cultures and traditions. Apart from having aesthetic value, our products are
distinguished in the market for their functional utility and longer usage.
Meena handicrafts is the No.1 manufacturer, direct importer and wholesaler, we import,
export, wholesale jewellery, gift and home furnishing product, beach wear clothing. Our
wholesale distribution head office located in India and we have warehouses both in New
Delhi and Uttar Pradesh, India. Meena Handicrafts is known for its creative designs and
quality products. Handicrafts have endeavoured to produce handcrafted products that are
beyond compare and have a market worldwide. It manufactures, export and supply a
nonpareil range of handcrafted products that includes: Photo Frames, Lamp Shades, Stories,
Curtain Tie Backs, Tassels, Jewellery Box, Notebooks, Cushion Covers, Fashion Bags, Beads
and Beaded Belts. A rising sun in the glamorous city Mumbai, Meena Handicrafts is the
sterling exporters & wholesale suppliers of superior quality brass handicrafts, sandstone
handicrafts, wooden handicrafts and handloom products.
Meena Handicrafts are known for exporting Indian Handicrafts with traditional and artistic
yet sophisticated range of handmade and hand crafted products in wood, wrought iron, stone,
textile etc. They are guided by a strong vision of supplying premium quality and durable
finish products at reasonable prices. We are appreciated for supplying wide range of designs
that are captivating and elegant. Meena Handicrafts can be associated with its exclusive range
of products, world class quality and elegant art. Be it quality, design or colour combination
our products have no match in the market.
Meena Handicraft’s minimum order is US$ 300, any combination of handicrafts, jewellery or
clothing.
Meena Handicraft’s gift wholesale product lines are handmade, hand carved, hand painted
by professional carvers and painters in New Delhi & U.P, India. Because each piece is hand
crafted, size and colour may vary slightly.
Specialisation
Meena Handicrafts is specialized in manufacturing and exporting hand made giftware,
Indian arts and crafts, body jewellery, silver jewellery, beads and jewellery findings, sarong,
skirt, woman clothing, man clothing, hair accessories from Asia.
Goal
Goal is to provide you high quality wholesale gifts, home decor, jewellery, rayon garment
and other wholesale products with competitive prices and friendly customer services.
History
Manufacturer of Garment/ Exclusive Jewell Box’s / Jewellery / Indian Handicraft, and a
variety of gift boxes in various finish shapes. Meena Handicrafts is a dynamic and result
oriented export house running since 2005, under the stewardship of Mrs. Mamta Mishra. It
has been manufacturing & exporting innovative quality handicrafts
and home furnishings in the fierce & competitive international market. It has carved a niche
for itself by its professional approach in each and every stage of production, be it Q.C.,
production facility or timely delivery. The vast array of product range begins form gift items
like jewellery & jewellery boxes, photo frames, photo albums, journals, votives, jewellery
wraps, key chains & bookmarks. The fashion accessory range includes fashion bags, evening
bags, scarves, sarongs & hair accessories. The home furnishing range has designer cushions,
hand embodied cushions, beaded coasters.
Product
Products include various handicrafts gift product,
Tribal giftware, arts and crafts, indoors and out door home decoration merchandise and
handmade gifts items from Ghaziabad and Delhi, India, such as bamboo wind chime, dream
chime, wooden wind chime, aluminium wind bell, candle stick holder, stone carved
candleholder, tea light holder, picture
Frame, photo frame, wrought iron candle holder, 3D candle lantern, wood, carved wooden
frame include mirror ( sun moon mirror, cats mirror, frog mirror, fish mirror, flowers mirror,
glass mosaic mirror, other decorative mirrors), mobiles, chimes, wind chimes, garden
accessories, home decorating,
Home improvement idea, wholesale product, wooden mask, African style tribal mask
decoration, wholesale gift item,
Souvenir, novelty, ornament, figurine,
wood craft, carved wooden animals, incense burner, key holders, cloth hangers,
wooden flowers, primitive statues, ceramic art, tribal masks, hippie style clothing and
wholesale gift items, ethnic / traditional musical instruments ( bamboo drums, demes drum,
iron gong , hand drums, rain sticks, mascara, didgeridoos, folk music instrument ), wooden
flower pot
, lady shoulder bag, beach bag, handbag, wood carving tulip, rose, lily star, handmade
wooden flower, bamboo vases and holders, jewellery boxes, traditional or contemporary
design wooden sculptures, animal figurines / sea life ornament
/ garden deco / home accent / country style collectible ( fish, tropical fish, cobra, dragon,
frog, cat, elephant, snake, rooster, hen, toucan, bird, giraffe, zebra, dolphin, whale, turtle,
seahorse, seashell, starfish, pine apple wooden spoon and fork, strawberry cutlery for kitchen
tabletop, cow, dinosaur, pelican, cockatoo, etc.
Meena Handicrafts wholesale to U.S., Malaysia, Singapore, Korea, Srilanka,
Thailand, Indonesia, Japan, Canada and international.
Marketing Strategies
A strategy that integrates an organization's marketing goals into a cohesive whole. Ideally
drawn from market research, it focuses on the ideal product mix to achieve maximum profit
potential. The marketing strategy is set out in a marketing plan.
Fluctuating customer requirements and competitive forces are putting more pressure on
marketing and are demanding superior sales and marketing strategy and tactical execution.
The cycle time from product creation, to product launch, for a winning go-to-market strategy,
leaves no margin for error. The rapid commoditization of complex solutions calls for concise
marketing strategy and timely execution, yet many companies are finding their best sales and
marketing strategies are highly-diluted by the time they reach the customer
4 p’s:
1. Product - The product aspects of marketing deal with the specifications of the actual
goods or services, plus how it relates to the end users needs and wants. The range of a
product normally includes supporting elements such as warranties, guarantees, and support.
We keep in mind consumer needs and wants, what does customer wants from the product?
And size, shape and colour of the product. We design product that attracts the customer.
2. Pricing -This refers to the process of setting a price for a product, together with discounts.
The price need not be monetary; it can plainly be what is exchanged for the product or
services, e.g. time, energy, or attention. Methods of setting prices optimally are in the domain
of pricing art. we price our products keeping many factors in mind such as, whether a small
decrease in price can gain extra market share, or will a small increase be indiscernible and
can extra profit margin can be gained, is customer is price sensitive .
3. Placement - (or distribution): refers to how the product gets to the buyer; for instance,
point-of-sale assignment or retailing. This third P has furthermore at times been called Place,
referring to the channel by which a product or service is sold (e.g. online vs. retail), which
geographic region or industry, to which division (young adults, families, business citizens),
etc. also referring to how the surroundings in which the product is sold in can influence sales.
Accessing the right distribution channel is very important. We keep in mind that where
customer look for our products. We make sure that we can provide service at right time and at
right place whether it’s online or direct.
4. Promotion - This includes advertising, sales promotion, including promotional education,
publicity, and individual selling. Branding refers to the assorted strategies of promoting the
product, brand, or company.
All the 4 marketing p's are also known as "the marketing mix" furthermore are frequently
used by a marketer to plot a plan, and place the foundations of fresh projects/campaigns, it is
a astonishingly useful strategy that has been used ever since the early 1960's.promotion
includes the ways by which you can reach to audiences. Such as Advertising in the presss, or
on TV, radio, through PR or through internet.
Trade and Terms
The Following is the Minimum Order Amount per Order
New Customers U.S $ 300 per Order
Regular Customers U.S $ 500 per Order
Surplus Items U.S $ 1000 per Order
4. DATA ANALYSIS AND INTERPRETATION
Benefits of Handicraft
1. Train the eye and hand.
Handicrafts help train the eye and the hand. Handicrafts provide lots of opportunities to
observe; and the more often observes the sooner that skill will become a helpful habit.
Handicrafts also provide lots of practice in eye-hand coordination. Training your hand to
work in tandem with your eye requires time and experience. Handicrafts offer a
wonderful arena in which to develop that skill.
2. Cultivate the artistic feeling.
Handicraft cultivates artistic feeling.
3. Train in neatness, or good taste.
Handicrafts also provide a great opportunity to train the senses toward good taste. In her
words, “Neatness is akin to order, but is not quite the same thing: it implies not only ‘a
place for everything, and everything in its place,’ but everything in a suitable place, so
as to produce a good effect; in fact, taste comes into play.
4. Train in manual dexterity.
There is a lot to be said for muscle memory. The more the hand muscles repeat a
motion, the more you can fine tune that motion for precision. No matter which
handicraft you select, it will provide excellent training ground for manual dexterity.
5. Establish due relations with various materials.
Maybe you’ve read about throwing clay pots on a wheel. Maybe you’ve even seen a
demonstration. But have you ever tried it yourself — gotten your hands messy and felt
the clay turning on the wheel under your hands? When you experience something for
yourself — when it touches your imagination and emotions — that’s when you really
know it.
6. Experience the pleasure of exact movements
If you are careful in teaching your child what he is to do and selecting handicrafts that
will challenge, but not frustrate, your child will taste pleasure and success as he develops
his skill.
“The human hand is a wonderful and exquisite instrument to be used in a hundred
movements exacting delicacy, direction and force; every such movement is a cause of
joy as it leads to the pleasure.
7. Encourage productivity.
SWOT Analysis
Strengths:
Large diversified and potential market.
Diversified product range that service different market.
Large product variety and range is available because of diversified culture.
Cheap labour rate that results to competitive price.
Low capital investment.
No need of macro investment.
Flexible production flexibility.
Low barriers of new entry.
Strong and diversified and supportive infrastructure.
Weaknesses
Unawareness about international requirement and market.
Lack of co-ordination between government bodies and private players
Inadequate information of new technology.
Lack of promotion of products.
Lack of skilled labour.
Less interest of young people in craft industry.
Inadequate information of current market trends.
Opportunities
Rising demand for handicraft product in developed countries such as USA, Canada,
Britain, Germany Italy etc.
Developing fashion industry requires handicrafts products.
Developing of sectors like Retail, Real Estate that offers great requirement of
handicraft product.
Development of domestic and international tourism sector.
E-commerce and internet are emerged as promissory distribution channel to market
and sell the craft products.
Threats
Competition in domestic market.
Balance between high demand and supply.
Quality products produced by competing countries like China, South Africa.
Better Trade terms offered by competing countries.
Increased and better technological support and R&D facility in competing countries.
5. FINDING, SUGGESTION, CONCLUSION
Findings
1. Specific funds are earmarked under MAI & MDA Schemes for promoting Handicraft
exports.
2. All handicraft exports would be treated as special Focus products and entitled to
higher incentives.
Suggestion
Establishment of common facilities centres for imparting training, marketing, providing
market intelligence, establishing linkages with financial institutions, providing raw materials,
providing managerial inputs is the need of the hour. Following recommendations are
suggested for development of promotion of handicraft in India.
Availability of raw material at reasonable rates
It has been observed that in few of the cases, the raw material for handicraft products is not
locally available. Non availability of raw material for the tribal’s stands in the way for
development or sometimes there are costly .It has been suggested that raw material depots
may be set up in craft concentration tribal pockets to facilitate uninterrupted supply of
standard raw material to craftsperson’s in appropriate quantity and quality at reasonable rates.
In such circumstance the state governments may supply raw material like seasoned wood or
wool at cheaper rates become incentive for the tribal’s to continue producing crafts
Credit Facilities/Financial Support
The craftsperson’s mostly working on job/contract basis and they do not have enough
capacity to store the requisite raw materials to produce their own products, rather they are
dependent upon intermediaries for credit facilities/financial support on higher rate of interest.
Furthermore topographically they are residing in remote and far-flung areas having no access
to mode of transportation. In view of this some NGOs were of the view that instead of
craftsperson’s approaching to bank individually, the bank should camp at specified place to
get completed the documents and distribute the loan to the tribal artisans. Further it has been
suggested that finance should also be made available through Post Office.
Up gradation of technology and production techniques
Despite their best quality of products their biggest handicap of these artisans is the absence of
assured market for their products partly due to lack of proper communication system which
influences the cost of their products. In such a scenario the prices of their products became
costly. In addition to the use of mechanized items and use of plastics as substitutes eroded the
demand for handicrafts.
It has been observed that quality of the products is not up-to the mark as per market taste and
preferences. The tools and equipment are also based on very old and traditional techniques
leading to higher cost of production thereby causing difficulties in the sale of final products.
Design development production of new items and improvements traditional tools and age old
techniques need to be attempted in such items where the originality of the tribal designs is
retained. Introduction of new items with improved models may be designed continuously to
attract new customers and explore new markets by the present design and training institutes
Therefore it has been recommended that central and state government should organise regular
seminars to upgrade the technology and production of techniques. There is need for
upgrading their skills, product diversifications, product designing, market oriented products
participation in exhibitions in India and abroad.
Consultancy for Handicrafts Sector
It has been suggested that consultancy /seminar should be organized from time to time in
different crafts for the benefit of artisans/exporters and dissemination of market intelligence,
up-gradation of technology, standardization of quality and packaging for higher value
addition of products.
Conclusion
According to one of the estimate about 70 lakh craft persons are engaged in handicrafts sector
all over the country and their annual production is around 21 thousand crore (Rs.) out of
which products worth of about Rs. 9.3 thousand crores is being exported
Handicrafts are facing the stiff challenge from machine-made goods and efforts should be
made for the revival and survival of handicraft items. It has been observed that emphasis
should be given on modification and development to improve tools and equipments, which
are acceptable and comfortable to the craftsmen for products of high quality products as well
as are economically viable. These products will then be in a position to surpass the machine
made items and will be the prized attraction and possession of the customers.
The quality of the products should have to be of International standard. Market intelligence,
taste, trends and preferences of the customers are also required to be identified and design
diversification shall have to be undertaken accordingly. The price of the products should be
competitive and economical too. It has been observed that need of employment by
development of handicrafts sector through locally available resources which may be utilized
for the development of handicrafts sector. Employment opportunities can be categorized in
three segments namely
(1) Self – Employment (2) Regular Employment (3) Daily Waged. Employment efforts shall
be made to engage the un-employed tribal youth for providing them Self-Employment
through various development schemes on priority basis.
At the same time, a large number of NGOs have realized the importance of income
generating activities for rural, poor and have diversified into enterprise promotion through
training and saving and credit programme through groups. They have been able to develop a
close and enduring relationship with the rural people. These NGOs articulate the local
people’s needs and aspirations and translate them into effective action/plans and implements
them with people’s active participation. There is a growing need for awakening and planning
for recognition of handicrafts as a potential sector of Indian economy for optimum utilization
of natural resources through human force for creation of self employment and natural wealth.
The strength of Indian Handicrafts lies in largely inherited creativity and skill of craft
persons, traditional and cultural base, low capital investment and high value addition. The
opportunities are focused on growing export market especially in developed countries having
preferential taste for handicrafts, awareness and usage of handicrafts in dress and lifestyles,
technological possibilities for reducing of drudgery and improving qualities.
The weaknesses of handicrafts industry rest upon being unorganized with dispersed
production bases, lack of working capital at producer’s end, diversity of input needs making
co-operativisation difficult, market intelligence and perception and the attitude that craft is
mainly decorative and non-essential. The challenges and threats to the craft and craftsmen are
from growing competition in export market in view of WTO, continued low return weaning
craftsman away from their traditional occupation, scarcity of raw material due to depletion
and non-presentation of natural mediums and competition from machine made goods.
BIBLIOGRPAHY
(a)Cateora, Philip, international Marketing, Mc Graw-Hill/Irwin 2007
(b) http://www.meenaahandicrafts.com/
(c) http://marketingteacher.com/lesson-store/lesson-international-marketing.html
(d) http://en.wikipedia.org/wiki/International_marketing
(e) http://en.wikipedia.org/wiki/Seven_Ps
(f) http://en.wikipedia.org/wiki/Marketing_mix