development of channel distribution of ladies indian wear in mumbai

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    DEVELOPMENT OF CHANNELDISTRIBUTION OF LADIES INDIANWEAR IN MUMBAI

    DARSHIT KAMDARRoll No. 752

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    RETAIL SECTOR IN INDIA Accounts for 14 to 15 percent of its GDP.

    Organized Retailing:

    Trading activities undertaken by licensed retailers, thosewho have registered for sales tax, income tax, etc.

    Growing at a much faster pace of 45-50% per annum.

    Unorganized Retailing: Traditional forms of low-cost retailing.

    Growing at about 10% per annum.

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    INDIAN TEXTILES INDUSTRYOverwhelming presence

    Contributes about 14% to industrial

    production and 17% to the countrys exportearnings.

    Provides direct employment to over 35million people.

    Direct bearing on the improvement of the

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    CHANNEL DISTRIBUTION Defined as the path or route along which goods

    move from producers or manufacturers toultimate consumers or industrial users.

    Channel consists of producers, consumers orusers and the various middlemen likewholesalers, selling agents and retailers(dealers) who intervene between the producers

    and consumers.

    Bridge the gap between the point of productionand the point of consumption.

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    Producer-Customer Simplest and shortest channel

    Fast and economical

    Big firms selling high value industrial products,small producers and producers of perishable

    commodities.

    Producer-Retailer-Customer

    Only one middlemen called 'retailer'

    Consumer durables and products of high value

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    Producer-Wholesaler-Retailer-Customer Most common and traditional

    Two middlemen i.e. wholesalers and retailers

    Products with widely scattered market

    Producer-Agent-Wholesaler-Retailer-Customer

    Longest channel of distribution Three middlemen i.e. agents,wholesalers and

    retailers

    Suitable for wider distribution of various

    industrial products.

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    ABOUT THE COMPANY Himanshi Creations was started by Mr. Deven Kamdar in the year

    1987.

    Manufacturing of ladies Indian wear and supplies it to retailersand wholesalers across Mumbai.

    Existing customers:

    Amarsons (Bandra), Paaneri (Andheri), Bright Emporium (Khar),Sadguru (Dadar), Pagli (Goregaon, Santacruz), Bawree (Malad,Santacruz), Shagun (Malad), Joban (Malad), Kalyani (Dadar),

    Chintamani (Dadar), etc.

    List of international individual clients exporting to countries likeCanada, UK and Hong Kong.

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    OBJECTIVES OF THE STUDY To develop retail distribution channel for ladies Indian wear

    across Mumbai.

    To expand business opportunity by approaching various

    retailers and wholesalers.

    To understand retailers and wholesalers viewpoints on the

    products supplied.

    To understand the value created by distribution channel.

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    RESEARCH METHODOLOGY Research Design:

    Exploratory research: Secondary Data Analysis

    Descriptive research: Survey

    Survey Method: Structured Questionnaire

    Data Analysis: The questionnaire will be analysed by usingtabular representation.

    Sample: 5 retailers and 3 wholesalers across Mumbai

    Duration of the Study: 2 months from 1st May, 2013 to 30thJune, 2013

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    Location of the Study:The study was conducted by personally approaching

    new retailers and wholesalers across Mumbai.

    Limitations of the study:Limited time

    The sample size is small due to constraints onmanpower and time

    Biasness

    In any kind of survey which bases its finding on thereplies of the respondents there is always a likelihoodof errors in spite of carefully designed procedures.

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    FINDINGS AND ANALYSIS

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    Wholesalers RNM Fashion, Dina Fashion andSushilasCreations have already appreciated theproducts and have ordered in bulk quantities for theKurtis.

    Kenzo is the only retailer that has given order ofSarees and Ghagra Cholis.

    Fantasy Collections and Aishwarya liked the productsbut the credit period used was too high for HimanshiCreations and things are being negotiated especially

    with Aishwarya which uses credit period of 5 months. Seasons catered to higher level of customers and did

    not like Himanshi Creations products.

    In the case of Chunari, the products were not liked.

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    RECOMMENDATIONS CONCLUSION Himanshi Creations can hire fashion stylists so that its

    easier for the company to understand the needs of thecustomers and also bring innovation in the products itmanufactures.

    Himanshi Creations can start its own retail shop so thatits products are directly sold to customers and not via aintermediary. This will create awareness amongst thecustomers in the market.

    Himanshi Creations can try and expand its business byexporting its products as there is a lot of scope for Indianwear in foreign countries.