The motive behind this business proposal is to provide the
craftsmen of Himachal Pradesh employment with decent wages. Himachali crafts have a niche market as the handicrafts in Himachal Pradesh are made with the special motive of serving the natives of the state. The handicrafts industry has a high potential for employment, the sector is economically important from the point of low capital investment, high ratio of value addition, and high potential for export and foreign exchange earnings for the country. Our company Anubhuti will capitalize on the opportunities in the export of Himachal handicrafts.
Chain of activities Export market development Physical distribution/online distribution Costing and pricing Production, quality control and packaging Securing inputs Entrepreneurial hiring, training, managing Test marketing Prototype design and development/ adoption and refinement Identification of market opportunities INDUSTRY ANALYSIS Future Outlook and Trend Gross margin of 30% in the first year, 45% in the second year, thereby increasing as we establish ourselves. The main key to success will be that we will improve the design aesthetics of the Himachali handicrafts, make them more appealing to the modern generation. We will have two kinds of products The Traditional Himachali Handicrafts Himachali elements embodied in modern apparels Along with good resources we have enriched management and marketing capabilities to promote our business to provide efficient resources.
Analysis of Competitors Handicrafts competitive edge rests with its proximity to the craftsmen, as well as the industry knowledge, design aesthetics and contacts of the management. Many years of direct experience have led our competitors to identify the unique opportunity and put together the sources to take advantage of the local artisans. Our main competitors are Bhuttico Shawls Bodh Shawl Weavers Bhuttico Shawls It is cooperative society formed by weavers of village Bhutti in 1944. Bhuttico shawls is a company that sells various Himachali apparel products made by the local artisans of Kullu. It gives employment to many weavers of Kullu. The company has showrooms in various cities for tourists and also has government funding. Bodh Shawl Weavers Bodh Shawl is one of the leading shawl manufacturers of North India established in 1972 by a tribal named Mr. Paljor Bodh. Bodh Shawls also have a showroom and attract many foreign customers to the traditional Himachali apparel.
Our Scope Though companies like Bhuttico Shawls and Bodh shawls are highly established many much resources, they only manufacture traditional Himachali products attracting a limited demography of customers. The wages provided to the weavers by these companies are very less as compared to the cost price of the products. Our company will promote crafts that are need upliftment Our company will enhance the design aesthetics of the Traditional Himachali Handicrafts making them more appealing to the modern generation customers. We will embody Himachali designs and traditional crafts in contemporary apparel making them a choice of a wide demography of customers.
SWOT ANALYSIS OF OUR BUSINESS PROPOSAL Strengths Being students of NIFT we have top to bottom knowledge about the working of apparel industry. We can collaborate with our contemporari es of other trades like Fashion Communicati on students can help in marketing and promotional strategies and Fashion Design students can help in creating the designs. The nature of Himachali handicrafts is such that if incorporated in contemporary garments and accessories will create a product of high sale value. One of our project member being a native Himachali is a strength because he has knowledge about the traditional handicrafts of Himachal. Also the motive of this proposal is not only to earn profits but also provide a fair share of sale to the natives of Himachal who will form the basic foundation of our business Weakness There are already many established companies dealing in traditional Himachali handicrafts who have much more experience and resources than us. Large efforts will be required to train the natives of Himachal so that traditional designs can be merged with the contemporary which will require time and effort. Inconsistent quality Lack of adequate infrastructure and communication facilities Capacity to handle limited orders Opportunities Starting from a few crafts like Kullu Shawls, Chamba Rumal we can extend our business towards many other crafts hidden within the realms of Himachal Pradesh. We can not only make garments but also accessories like bags, belts, laptop sleeves etc. Rising appreciation for handicrafts by consumers in the developed countries Threats Established companies like Bodh Shawls, Bhuttico Shawls can employ the strategy of combining traditional with contemporary which will be a great threat to our business as they have resources as well as customers. DESCRIPTION OF THE VENTURE Business Model Our business proposal is a Social Entrepreneurship Model. It means creating a social impact through business activities. Through this business we will give back to the community of Himachal Pradesh by Uplifting the status of craftsmen in remote areas of Himachal Pradesh. It is essential that the business id profitable, not only beneficial to the social mission so that so that is can be further established. This strategy not only boosts the local economy but, may also reduce waste and foster a more sustainable, eco-friendly way to do business. Target Customers People who want convergence of traditional and contemporary styles. People who admire traditional Himachali Crafts People who want to help the natives of Himachal Pradesh as part of the profits will directly be given to the craftsmen Products Our company will make products incorporating the Himachali Craft elements like Kullu Shawl Borders, Chamba Embroidery, hand spun Scarves into daily wear garments like dresses, shirts, scarves, jackets, ethnic wear etc. Examples: Apparels that would have Chamba Embroidery on them. A scarf will a Kullu Shawl Border that can be converted to a top or a dress with help of buttons. Wedding dresses inspired by traditional Himachal Apparel. Infrastructure and Raw Material The infrastructure required for the business is not much keeping in mind the low investment capital of Rupees 15 Lakh. The craftsmen of Himachal Pradesh have the basic tools for making their traditional handicrafts as the art of making handicrafts is passed on from generation to generation. The main infrastructure required would be machines for making apparel like sewing machine, overlock machines, button hole and button stitching machine. The raw material like fabric for apparel would be procured from Ludhiana and the wool and yarn would be procured from Himachal Pradesh providing benefits to more natives of Himachal. Wool like Pashmina and Angora wool is hand spun into yarn by locals and then dyed to make shawls and do embroidery. Also a hall or small building would be required at each production center for stitching, finishing and packing of the garments.
Training of Personnel The craftsmen would require training so that they can produce apparel as demanded by our business. The craftsmen would be given training about what is demanded and how will they incorporate their designs in contemporary apparel. Also the local women can be employed. They can be given training for stitching, finishing and packing of the garments so that all the work be done by the natives of Himachal Pradesh. Supervisors also need to be trained so that they can monitor the progress and quality of the work. Operational Plan The designing team will design apparel incorporating both traditional and contemporary elements keeping in mind the target customers. The product development team will organize which designs would be produced, how will they made, where will they be made, what raw material will be used etc. These requirements will be conveyed to the manager and supervisor in each production center so that the production can begin. The finished products will then be transported to a common warehouse and will be sold to the customers. A percentage of the profit earned on each product sold will be given to the people involved in making it. The operational plan that would be followed is: Because the Company is a start-up, our milestones will surround the establishment of continuing facilities, confirmation of sourcing and sales contracts, equipment acquisition and installation, staffing and training, and initiating production Convince craftsmen and natives of Himachal to work with us Order Equipment Secure Location Training of the workforce Raw material procurement Controls Sales and Marketing Plan The sales and marketing team will manage the ecommerce site and the promotional strategies. Online shopping sites like fashion and you, ebay may be contacted to sell the merchandise. The products can be promoted through online ads, posters, postcards etc. Our website will provide information about us and our products as well as order processing to purchase our products online. We will include our web address in all of our advertising to reinforce to our customers how to find us online. Our company logo and motto will also need to be eye catching and easy to remember so that once our customers find us, they will remember us and suggest us to their friends and family. Website marketing plan Although exports of handicrafts appear to be sizeable, Indias share in world imports is miniscule. It is a sector that is still not completely explored from the point of view of hidden potential areas. Market potential All of our initial marketing strategy will be to secure contracts, and after reaching full planned capacity, look to grow in concert with the segment and related markets.
We will focus on continually updating our designs in an effort to remain in the forefront of our chosen marketplace. Distribution