INTERNAL ASSESSMENT ASSIGNMENT

GLOBAL BUSINESS ENVIRONMENTPASHMINA SHAWLS

SUBMITTED TO: Ms. SMITA IYER

JAGRITI SOOD - 15020241136

KISHAN DHAMELIYA - 15020241144
DHAVAL OZA - 15020241146
AISHWARYA PATIL - 15020241148
NIHARIKA KUMAR - 15020241131

AUGUST 2015

CONTENTS
1.0 Executive Summary

KISHAN DHAMELIYA - 15020241144

Vision
Organization Summary
Organization Location
2.0 Product Introduction
3.0 Products and Services
Product and Service Description
Sourcing and Fulfillment
Technology

AISHWARYA PATIL - 15020241144

4.0 Market Analysis Summary

DHAVAL OZA - 15020241146

Market Segmentation
Target Market Segment Strategy
Industry Analysis
5.0 Market Access
Geographical Indicators
Real time Indicators

JAGRITI SOOD - 15020241136

6.0 EPC
Key Markets
Export Destinations
Trade Fairs

NIHARIKA KUMAR 15020241131

1.0 EXECUTIVE SUMMARY

1.1 Vision
Provide authentic Cashmere Pashmina Products World Wide

1.2 Organization Summary

Leading manufacturer, supplier and exporter of a wide range of exquisite products such as
Cashmere Pashmina Products i.e. Shawls, Scarves, Stoles, Sweaters, Blanket etc.

Relentless commitment to provide superior quality products, making them available at

reasonable prices and backing them up with prompt deliveries & efficient services. It is these
factors that will make us a respected manufacturer and supplier of Shawls, Mufflers, Scarves,
Stoles and the like.

We will have all the necessary facilities to meet the varied needs & requirements of
customers all over the world. we will establish ourselves in the domestic market and will
successfully made inroads into the international market, presently exporting our product range
into the quality conscious markets of USA and Europe.

We will constantly enhanced our expertise & capabilities with the view to provide our
customers with high quality products. With exclusive designs and stellar craftsmanship, our
products will be definitive statements of style.

1.3 Organization Location

to take advantage of availability of raw material suitable place for manufacturing Ladakh,
Kashmir, India

2.0 PRODUCT INTRODUCTION

Pashmina, from the Persian word for wool, is popularly known in the West as cashmere wool,
from the old spelling of Kashmir. The fine wool comes from the undercoat of the Himalayan
mountain goat, called Chyangra (Capra Hircus) which lives in the high Himalayan regions of
Nepal and the most remote regions of Tibetan Plateau. For over a thousand years cashmere has
been woven into shawls and blankets, prized by royalty and common people alike for its
softness, warmth, and long life. Kashmir was for centuries the only place the fiber could be
woven into shawls, according to treaties that gave the Maharaja of Kashmir exclusive rights to
Tibet's pashmina supply.
While shawls, stoles, mufflers, scarves and blankets woven from pashmina wool have been
adored for centuries in the far East, the Western world has been slow to discover pashmina's
unique qualities. Today most of the world's pashmina shawls are woven on hand looms in
Nepal's Kathmandu valley. And most are woven on a warp of spun silk for increased suppleness
and strength. In recent years this silk and pashmina blend has become the adoring of the western
fashion world. Extraordinarily soft and light, yet exceptionally warm, be it pure pashmina or silk
blended pashmina.
Pashmina wool, also known as cashmere wool world over is the softest, most luxurious and the
best wool in the world comes from Himalayan region from a special Himalayan goat Chyangra
(Capra Hircus) which lives at the altitude of 12000 feet where temperature drops below 40
degree centigrade. The goat is blessed by nature with a unique very thin short inner coat of hair
which is the best insulation in the world and this inner coat of hair is PASHMINA. The
Himalayan goat is survived because of this nature gifted hair in the coolest weather. Pashmina
fiber is 15 to 19 microns in diameter where as a human hair is 75 microns in diameter. One
Himalayan goat produce s 3 to 8 ounce s of Pashmina per year.
Origin of Pashmina dates back to ancient civilization and has been traced back to the times of
Mahabharata. Earlier in olden days pashmina shawls found favor with EMPERORS, KINGS,
PRINCES, RULLERS and NOBLES. This precious fabric was known as FIBER FOR KINGS.
Origin of pashmina in Nepal started long back, the mountain people of Nepal had to depend on
the fabric they wove for warmth, for easy travel and for survival. In many high mountain areas
and semi-tropical jungles, they continued to weave for their perfect protection and comfort wear.
The art of wearing wool products by hand has been practiced throughout the country remains
popular today as its rugged conditions have not changed. Due to gradual popularity and
commercialization of pashmina there are variety of pashmina is being offered in the market like:
pashmina shawls, pashmina stoles, pashmina scarves, pashmina sweaters, pashmina mufflers,
and variety of other pashmina products. These luxurious pashmina shawls are hand woven by
traditional weavers whose families have been in the occupation since ages they inherit this art
from their ancestors, and tradition of pashmina weaving continues from one generation to
another generation.
Nepalese women have traditionally worn pashmina shawls. Our ancestors have described
pashmina as sensual sublimity. It is they who perfected the skill to retrieve pashmina up to 95%

purity and the skill as such got passed from generation to generation as a heritage of Nepalese
craft.
Pashmina is the most original and authentic fibers. The king of all wools originated in Kashmir
hundreds of years ago. The art of Pashmina making in the valley of Kashmir is believed to be as
old as 3000 years B.C. In the past, only rich and elite had the privilege of enjoying luxurious
fabric. It adorned the court of Caesar and was the pride of French queen, Marie Antoinette.
Impressed with the unparalleled looks of Kashmir shawl, Emperor Napoleon presented it to
impress Josephine. Until mid-twentieth century, Kashmir's kings had the sole right to purchase
all pashmina from Nepal, Tibet and other higher reaches of Himalayas. This resulted in
establishment of flourishing cottage industry in Kashmir and has lead to the perfection of art of
pashmina making. The making of Kashmir Pashmina is labor intensive and on an average it takes
nearly 200 - 250 man-hours to make a single pure plain pashmina shawl without embroidery.
The beautiful vale of Kashmir has always been famed for its craftsmanship. The wearing of
tapestry shawls was first introduced into the valley from Turkistan by Zain-Ul-Abdin, the ruler of
Kashmir, in the 15th century. Production benefited from the patronage of the Mughal rulers like
Akbar and his successors, who wore these shawls, and also because of patronage of local
government.
The collapse of the Mughal Empire left many weavers unemployed. The situation however, was
saved by the enormous increase in demand from Europe, where the shawls became popular in the
latter part of the 18th century.
At the beginning of the 19th century, foreign entrepreneurs started to commission shawls
especially for the French market, adapting the designs to suit European taste. Indeed pashmina
became the rage in France after Napoleon presented a rare shawl to Empress Josephine. With the
progress of the century, the adoption in designs became increasingly complex. The European
market for shawls collapsed in 1870 due to a combination of factors such as changing tastes and
competition from Paisley shawls. The economic prostration of France when she was defeated by
Russia added to the declining European market. The Kashmir weavers either left the valley for
Punjab or started producing embroidered shawls for tourists, mainly British officers on furlough
in colonized India.
Today Kashmiri shawls are embroidered by professional men. Lately, the American market has
opened to Pashmina as Americans discovered its plush, soft texture. Fashion gurus now
pronounce it as essential to the wardrobe as the ubiquitous little black dress.

3.0 PRODUCTS AND SERVICES

3.1 PRODUCT AND SERVICE DESCRPITION
Our business specializes in High Quality Premium ranged Pashmina products and related
pashmina product catering services. We export a wide array of products with huge variety in the
designs, colors, styling .Differentiating factor is the Quality Premium range and customized
styled pashmina products.
PRODUCTS PORTFOLIO
Products that we supply include shawls, scarves and stoles our trademark product, other products
are knitwear, blankets, gloves, hats, woven fabrics, outer coats etc. and new offerings in
Sweaters and Winter wear.
The products differ from each other in their sizes ,a standard measure is set for each .
Scarf 12 inches by 60 inches

Stoles or Wraps 28 inches by 80 inches

Shawls 36 inches by 80 inches

Hats and Gloves

Blankets

Sweaters and knitwear

For the above range of products ,explore the frill of designs from the collection and flaunt your
pashmina customised and uniquely styled.
The pashmina mixes provided in our portfolio include
Pure pashmina - 100% cashmere wool fabric

Pashmina Silk 70 % cashmere wool blended with 30 % silk

Pashmina Silk 50% cashmere wool blended with 50 % silk

Pricing
Pricing of the products offered varies product to product on different factors:
Fabric composition
Products with 100% pashmina being the best quality product on the shelf followed by the 70-30
combination and 50-50 combination in the price effective range. Thus we offer products suitable
to every pocket where each consumer can cash in on the iconic value of pashmina.
Category of the product,its size
Depending on the size you can choose from scarves,stoles ,shawls of different fabric composition
with price range varying accordingly. Different products are used for different purposes and
occasions , visit our website to check out the range of products

Design,Color and customized services offeredWe also offer wide array of designs of the products ,and customization options for your
personally styled pashmina. Check out the products on our website to choose from various styles,
and range of colors.Custom made products by individual styling will be available , avail for the
styling service on our website
SERVICES
Design and Customisation
We will be offering services of customisation of your product orders and unique piece styling,
avail to our home designers to get your pashmina wear uniquely made. Best fit your product to
choice and value (prestigious commodity).
Quality Checks
Being a premium ranged product originality of the product is to be stringently assessed before
buying , we carry out quality checks on the product right from the procurement of the raw
material wool to weaving and designing of the product.
Duplicacy is prevelant in this product range, so products are to be checked for their Standard
marks before buying and the exporters or manufacturers authenticity is to be assessed to make an
informed product choice., scarves, stoles, wraps, throws, blankets to USA, C

3.2 SOURCING AND FULFILLMENT

Pashmina fabrics are made from wool obtained from Chingthang breed of goats in Leh region
of Kashmir this region produces the best quality of cashmere used in pashmina weaving.
Our raw materials are procured from gatherers of wool of state owned farms and private
independent gatherers that rear the goats in a scientific manner, thus the best quality wool is
obtained
to
manufacture
our
products
with
perfect
fineness,fibre
strength,warmth,softness,desirable aesthetic value and elegance, in exquisite colors . We derive
our quality right from the raw material and all the following processes of weaving and designing.
Currently, demand for the product is vast and spread across classes with popularity of pashmina
on a rise in foreign markets and fulfilment of materials requirement is a challenge , an organised
system of procurement is under development and tracking of resources produced by the wool
gatherers will now ensure efficient raw material procurement.

3.3 TECHNOLOGY
With all businesses adopting technology into their business processes, increasing the effieciency
is the key objective, Technology can be incorporated in various stages of Production ,Operation
and sales and exports of our goods and services.
The processing of pashmina involves lot of skilled work in sorting, spinning, weaving
and dyeing which are usually done manually. The shawls are made of pashmina with intricate
and unique designs, with the help of local sticks (Kani) using hand jacquard.
Technology in operations
But as the industry is decentralised the scale of production is scattered and low, this can be dealt
with by networking the various sections of the business flow digitally via an Enterprise Resource
planning system to measure and keep track of production, time, inventory and orders processing
and flow.

Technology in Manufacturing
Mechanised processes of combing to obtain quality raw materials, use of power looms instead of
handlooms in weaving of the fabric will lead to better quality and faster outputs ,
Further the finishing of the products involving plucking which was done by pickers is now
mechanised to give a better quality of finishing to the product, dyeing has made possible
providing pashmina in variety of colors thus increasing demand.
Packaging Export standard packaging quality, being a delicate and aesthetic value product, set
packaging techniques with better technology.
Technology in Sales
Online Marketing, Social media sales etc for promotion of the product.

4.0 MARKET ANALYSIS SUMMERY

We will put this product after making specific E-commerce website of that product. So this
product will be available in all the market around the globe but as Pashmina Shawl is the high
end product so for the selling of the pashmina product we will target the rich market.
For the marketing of the product we will use digital medium of the publicity like:
Google Ad words
Social Media Marketing
Search engine optimization
Going in different export promotion council

4.1 Marketing Segmentation

4.1.1 Geographic Segmentation
Marketers can segment according to geographic criterianations, states, regions, countries,
cities, neighbourhoods, or postal codes. The geo-cluster approach combines demographic data
with geographic data to create a more accurate or specific profile.
So We will target the high end market of India and across the globe.
The countries that we are targeting for the marketing of the product for the pashmina product.
Western Europe
USA
Canada
New Zeeland
Australia
The main benefit of the online Marketing is that we can target specific area of that region for
selling.

4.2.2 Demographic segmentation

Segmentation according to demography is based on variables such as age,

gender, occupation and education level or according to perceived benefits
which a product or service may provide. Benefits may be perceived
differently depending on a consumer's stage in the life cycle. Demographic
segmentation divides markets into different life stage groups and allows for
messages to be tailored accordingly.

This is the high end product but for the demographic segmentation we can target the people form
any age group.

4.2.3 Behavioural segmentation

Behavioural segmentation divides consumers into groups according to their

knowledge of, attitude towards, usage rate, response, loyalty status, and
readiness stage to a product. There is an extra connectivity with all other
market related sources. Behavioural segmentation divides buyers into
segments based on their knowledge, attitudes, uses, or responses
concerning a product. Many marketers believe that behaviour variables are
the best starting point for building market segments

In the case of online marketing we have facility like the we can target the specific people for the
market of our product who are searching for the product related to wool and finding for the
clothes for the winter.

4.2 Industry analysis

The competition in this industry for the outside market is very narrow. Because getting an
authentic pashmina product outside India is difficult and there are so many pashmina one can get
which artificial fibre and which is being sold on the name of the pashmina.

4.3 Distribution Pattern and Pricing

As the pashmina is premium product keeping so many inventories in the various nations requires
huge amount & Capital and as we are selling it through online mode we can make strategic
partner with Distribution Company which can deliver our product on ordering.
Pricing: A Pashmina product cost around 50000-70000 in normal Design and goes up to 150000
in custom made design.

5.0 MARKET ACCESS

5.1 GEOGRAPHICAL INDICATORS
Geographical Indications (GIs) have gained more interest since its protection has been ensured
multilaterally under the Trade-Related Aspects of Intellectual Property Rights (TRIPS)
Agreement of the World Trade Organisation. Kashmir Pashmina (shawls) is the first officially
registered item in GI registry of India under Handicraft goods form Jammu and Kashmir. A GI
certification is licensed to the producers and other business operators of the GI production line
through a membership application in a GI club.
Introduction
A Geographical Indication (GI) identifies a good as originating in a delimited territory or region
where a noted quality, reputation or other characteristic of the good is essentially attributable to
its geographical origin and/or the human or natural factors there. GI registration is an indication
that links the uniqueness of products towards the origin and thus, reduces the asymmetry of
information between producer and consumer, ensuring market transparency, price stability and

reduction in information costs. GIs can be used as an effective tool for ensuring the quality of the
produce as well as developing brands for local agriculture products. The Geographical
Indications of Goods (Registration and Protection) Act, 1999 passed by Indian Parliament in
December 1999 seeks to provide for the registration and better protection of GIs relating to
goods in India. A total of 220 products got GI registration till July 2012. Of the total goods which
got GI registration, 60 per cent belongs to handicrafts and 27 per cent to agricultural goods.
These include Darjeeling (tea), Pochampalli, Ikat (textiles), Chanderi (sarees), Kancheepuram
silk (textiles), Kashmir Pashmina (shawls), Kondapalli (toys) etc. There are many more Indian
GI in the pipeline for registration under the GI Act (As per Sec 2 (f) of GI Act 1999).
Lacunas in GI ACT 1999 are summarized as follows:
1. GIs have no exclusive character with regard to production. Anyone outside the designated area
can still produce and sell the goods just under another name.
2. In addition to the marketing costs associated with promoting the GI product there may be
production costs associated with ensuring the existence of the quality attributes that consumers
associate with the GI. These extra costs will have to be subtracted from the premium to
determine the net contribution of GIs to profits. Existing empirical literature is almost silent on
this issue.
3. Another issue about GIs is the trickle down effect of benefits. The price benefits need to be
filtered through the product value chain and reach the producers who sit at the bottom end of the
value chain. Institutions have to play a big role in order to ensure realization of potential benefits
of GIs. Empirical evidence on this aspect is also scarce.
4. Actual realization of the potential benefits ingrained in the registered would require effective
management in future. This would entail sustained efforts backed by appropriate planning and
adequate investments over the medium to long term. Accordingly, strategic interventions by
public or quasi-public institutions are an essential prerequisite for the GIs initiatives in India to
succeed but this is not well defined.
5. Most of the Indian GIs are linked to traditional knowledge, culture and lives of the
communities. So, India has a considerable scope for building the brand image of such exotic
products by highlighting the cultural aspects historical stories, legends and myths associated with
them And also has a considerable potential to develop cultural tourism around its traditional
products by drawing focused attention on the cultural aspects associated with them, particularly
among foreign tourists there is not any specific policy about it. 6. There is an urgent need to
improve the inter-departmental linkages and coordination to avoid duplication of efforts and
optimize returns. Such a coordinated approach could immensely facilitate the process of
exploiting the commercial and socio-economic potential of GIs in the India and simultaneously
help in securing various spill-over benefits from this collective IPR. And at the multilateral level,
it is extremely important for India to weigh the costs and benefits of GI protection in general and
the extension of Article 23, in particular on the basis of rigorous empirical research.

REAL TIME FIGURES

6.0 EXPORT PROMOTION COUNCIL

Pashmina comes under Wool & Woolens Export Promotion Council.

The Wool & Woolens Export Promotion Council (WWEPC) participates in various international
trade fairs and exhibitions, and facilitates member visits and trade delegations, etc.

Key Markets and Export Destinations :

In 2013-14, wool exports (including wool yarn, fabrics, made-ups and readymade
garments of wool) stood at US$ 2,326 million.

The US and the EU are the major importers of Indian wool and wool-blended products.
In 2013-14, the US (US$ 33 million) was the largest market for India woollen yarn,

fabrics and made-ups, followed by Germany (US$ 8.9 million) and UK (US$ 5.7
million).

Embroidered, knitted and crocheted shawls are clubbed as artware. Their exports during
2005-06 was Rs 110.23 crore (Rs 1.1 billion) up from Rs 53.65 crore (Rs 536.5 million)
during 2004-05.

The artware are exported mainly from Ludhiana, Gujarat, Rajasthan, Manipur, Kashmir
and Himachal. Embroidered shawls of Kashmir, Gujarat, Rajasthan and Punjab are in
demand in Saudi Arabia, USA, Japan, UK, Canada, Singapore and Oman.

PASHMINA SHAWLS TRADE FAIR :

Below are the trade fairs where pashmina shawls must be promoted
1.
Dolma Trade Fair
2.
Nepal Trade Fair
3.
India International Garment Fair

THREATS TO INDIAN PASHMINA SHAWLS EXPORTERS :

1. While export of shawls from India continues to rise, the country faces
stiff competition from machine-made Chinese and Bangladeshi products,
which are available at very low price.
2. India faces stiff competition from China, Turkey and Bangladesh who

account for 35 per cent of the total shawl exports in the world. They are
large volume exporters of low cost embroidered, knitted and crocheted
goods.