Comparative Study Between Spectacles & Lenses Among Youth

8/2/2019 Comparative Study Between Spectacles & Lenses Among Youth

1/103

I

A

PROJECT REPORT

ON

COMPARATIVE STUDY BETWEEN SPECTACLES & LENSES AMONG YOUTH

WITH REFERENCE TO SURAT CITY

SUBMITTED IN

PARTIAL FULFILMENT FOR

THE DEGREE OF

BACHELOR OF BUSINESS ADMINISTRATION

(BBA)

SUBMITTED BY

Mr. CHIRAG R. PATEL (29)

PROJECT GUIDE

Mr. HORMAZ D. PATEL

THE SURAT PEOPLES CO.OP.BANK COLLEGE OF BUSINESS

ADMINISTRATION, UDHNA,

SURAT

2011-12


2/103

II

UDHNA CITIZEN COMMERCE COLLEGE

&

S.P.B. COLLEGE OF BUSINESS ADMINISTRATION

&

UDHNA ACADEMY COLLEGE OF COMPUTER APPLICATION & INFORMATION TECHNOLOGY

(Self Financed College Affiliated To VNSGU, Surat)

(Managed By Udhna Academy Education Trust, Udhna)214, Ranchhodnagar, Opp. Swaminarayan Temple, Surat-Navsari Road, Udhna, Surat 394 210

(B.B.A. Programme)Phone : (0261) (B.Com. : 2277739) (B.B.A.: 2270825) (B.C.A.: 2273542) (Fax : 2277739)E-Mail ID : (B.Com. :[email protected]) (B.B.A. :[email protected]) (B.C.A.: [email protected])Website : www.udhna-academy-edu-trust.org B.Com.: NAAC Accredited B (CGPA 2.67) 2009

===============================================================================================

Ref: Date:

===============================================================================================

CERTIFICATE

This is to certify that Mr. Chirag R. Patel has prepared the Project Report entitled

Comparative Study between Spectacles & Lenses among Youth with Reference to Surat

City under my guidance & supervision.

This project embodies the result of his work & is of the standard expected of a candidate for

the successful completion of Bachelor of Business Administration Degree.

Date:

Place: Surat

_______________ _______________ _______________

Faculty Guide Vice Principal Principal

Mr. Hormaz Patel Dr. Daisy Sheby Thekkanal Dr. A.G.Mehta
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]://www.udhna-academy-edu-trust.org/http://www.udhna-academy-edu-trust.org/http://www.udhna-academy-edu-trust.org/mailto:[email protected]:[email protected]:[email protected]


3/103

III

DECLARATION

I, the undersigned, Mr. Chirag R. Patel here by, declare that this dissertation titled

Comparative Study between Spectacles & Lenses among Youth with Reference to Surat City

is an original and bonafide work carried out under the guidance of Mr. Hormaz D. Patel,

Assistant Professor, The Surat Peoples Co-Op Bank College of Business Administration,

Udhna, Surat.

The empirical findings in this report are based on the data collected and have not been taken

from any other reports.

This dissertation does not form any basis for other degree or diploma.

__________________________

Mr. Chirag R. Patel Date:

BBA Roll No. 29 Place: Surat


4/103

IV

ACKNOWLEDGEMENT

The satisfaction and euphoria that accompany the successful completion of any

task would be incomplete without the mention of the Leaders, whose constant

guidance and encouragement crown all the efforts with success.

I am highly obliged to the South Gujarat University for arranging the

programme of practical training in Bachelor of Business Administration in

such a manner.

I would like to extend my gratitude to Mr. Prakash Lakhani, who provided me

useful information and data regarding the subject with their cent percent

participation and supported in making this project report a successful task. It

was a memorable experience to work with them and complete my winter

training.

It is my privilege to express my deep sense of gratitude to Mr. Hormaz D. Patel

for his efforts, guidance, valuable comments and suggestions for making this

project report. He helped me to complete my report on the practical study and

gave contribution to improve and expand my practical knowledge.

Finally, I express my intense gratitude to my parents whose blessings and

helped me to translate my efforts into fruitful achievement.


5/103

V

INDEX

SR NO. TOPIC PAGE NO.

I CERTIFICATE (From College) II

II DECLARATION III

III ACKNOWLEDGEMENT IV

IV INDEX V

1 INDUSTRY PROFILE 1

2 COMPANY PROFILE 16

3 CONCEPTUAL FRAMEWORK 28

4 RESEARCH METHODOLOGY 50

5 DATA ANALYSIS & INTERPRETATION 55

6 FINDINGS & CONCLUSIONS 84

7 SUGGESTIONS & RECOMMENDATIONS 86

Bibliography

Annexure


6/103

CHAPTER

1

INDUSTRY

PROFILE


7/103

1

CHAPTER 1

INDUSTRY PROFILE

1.1INTRODUCTION OF THE OPTICAL INDUSTRYItalian Trade Commission (ICE), Trade Promotion Section of the Italian Embassy, New Delhi,

has appointed Ace Global Private Limited, a consultancy company based in New Delhi, to

undertake the Market Survey on Indias Optical sector, focusing on ophthalmic lenses and

related products like sunglasses, spectacle frames etc.

The main objective of the study is to identify potential business opportunities for Italian

companies in the sector based on insights into the Indian Optical industry, especially with regardto the current state of the sector in India, principal factors driving the growth of the market,

regulatory and other influences and external trade trends etc.

This report summarizes the key findings of the study, which was based on extensive secondary

research and primary research covering important manufacturers, importers/distributors and

retailers.

1.2 INDIA- BRIEF ECONOMIC SCENARIOS

India is a large country with total area of 3.28 million sq. km., sharing land border with six

countries, and a long coastline of 7,000 km. The country is a federation of 29 states and 6 union

territories (administrative units). Indias total population is 1.13 billion (Italy 59.206 million),

growing at 1.4% per annum. There are 5 major religions and the overall literacy level is 59.5%.

There are 14 officially recognized languages. Hindi is the most used language. English is widely

used in business as well as in everyday life.

Economic Trends: India is among the fastest-growing economies in the world, with close to 8%

annual growth since 2002, and expected to be sustained for the next 5 years as well. Inflation rate

remained below 5% between 2001 to 2007, but has since increased, touching 8.75% in May

2008. The business regulatory environment is fairly open, and follows free-market competition

principles. All quantitative restrictions on trade were removed in 2001, except for a few highly


8/103

2

sensitive goods. Trade as a % of GDP has risen from 13% in 1991 to nearly 30.2% in 2005-06.

The total cumulative foreign direct investment (FDI) received into India up to March 2007 was

US$ 54.63 billion, of which Italys share is about 1.2%.

The monetary unit of India is Indian Rupee (1 Indian Rupee = 100 paise). The exchange rate ofIndian Rupee is Euro 1 = Rs. 63.20 and US$ 1 = Rs. 40.45 (March 2008 - Reserve Bank of

India).

Demographics: India is a unique market on account of its diversity in age, income, and urban-

rural demographics. Nearly 58 million households, comprising 32.3% of Indias dwelling units,

live in urban areas. Nearly 38% of urban households are in middle and higher income strata, and

only 14% of rural households have similar income levels.

Income Classification: Even though the population is more than 1.1 billion, the real consuming

class of 300 million people outnumbers several of the worlds large markets in terms of market

potential. Of these, around 150 million people (2 million very rich and 30 million rich

households) represent the consuming potential, particularly for lifestyle goods and services.

o There are close to 80,000 high net worth Individuals in India, with saving and assetsexceeding US$1 million.

o At least 50,000 households buy premium cars every year (priced at US$ 30,000 and above).o The market for luxury goods is estimated to be Rs 100 billion, with over 2 million Indians

estimated to be engaging in some luxury purchase or the other each year.

Main Cities: Mumbai, Kolkata, Delhi, Hyderabad and Chennai are the most populated and

wealthiest cities, closely followed by Bangalore, Ahmedabad, Pune, Vadodara and Kanpur. The

top seven cities Mumbai, Delhi, Chennai, Kolkata, Hyderabad, Ahmedabad and Bangalore,

together have over 6 million homes falling in the upper socio-economic strata.

Age-group distribution: India is a very young nation with 85% of its population below the age of

45, and 55% of its people below 25 years of age. Young adults, the group between 20 and 35

years, represent nearly 25% of the consumer base in the country, and drive consumer and

lifestyle trends.


9/103

3

Health & Vision Care indicators:

o Life expectancy at birth Male/Female (years) : 61.0/63.0o Total health expenditure per capita (2003): US$82 (4.8% of GDP)o 360 million Indians above the age of 35 need near vision correction [for reading].o 386 million Indians require spectacles every year (NOA)o Average rate of spectacles replacement 3 yearso Due to the geographical location of India and global warming very large number of people

require protection from harmful UV rays of the sun.

1.3 OVERVIEW OF GLOBAL OPTICAL INDUSTRY

1.3.1 OVERVIEW AND TRENDS

The demand is driven by demographics, fashion, and changing healthcare practices. Aging

population is increasing the demand for eye exams and glasses.

Eye care has evolved from age-related vision disorders to cosmetic concerns. Spectacles are

nowadays considered as personality enhancers and a fashion accessory.

Changing lifestyles and activities that affect the eyes, have led to increasing use of colored

contacts, tinted spectacle lens, polycarbonate lenses with anti-glare and photo chromatic lenses

This has been further aided by introduction of daily, weekly, and monthly disposable contact

lenses.

1.3.2 MARKET SIZE

Healthcare expenditure on ophthalmic products is largely concentrated in the United States and

Western Europe. USA is the biggest market for the optical industry (over $28 billion in 2006)

but already very well penetrated. Companies have to explore new markets, especially the Asian

market, to increase their revenues and market share.


10/103

4

World Market for Optical Products 2010

Category $ Billion

IOLs 0.83

Lasik 1.3

Spectacle Lenses & Frames 24.0 Spectacle Lenses & Frames 24.0

Contact Lenses 5 Contact Lenses 5

Sunglasses 4.9 Sunglasses 4.9

Lens Cleaning Solutions etc. 1.6 Lens Cleaning Solutions etc. 1.6

1.4 OPTICAL SECTOR IN INDIA

The Indian market for optical products - including ophthalmic, fashion and contact lens segments

- is estimated to be about US$ 1.13 billion.

India: Optical Sector - Market Segments 2007, by Value share

16%

5%

51%

11%

13%

4%

ICLs

Lasik

Spectacdelense

Frames

SunglassesContact Lenses


11/103

5

1.4.1 MARKET CHARACTERISTICS

Opticians are the key influencers in consumers decision on selection of eye wear including

contact lenses, which are not prescription products, and can be sold through the OTC route.

Companies engage market research agencies for preparing databases of potential consumers inselect cities (such as Ogilvy One for Ciba Vision and Carvodraft for Bausch &Lomb).

In a country where the car market is growing exponentially, with consumers wanting better cars,

not cheaper cars, where nearly everyone has his own mobile phone, it is no longer right to say

that price is the only consideration and not quality, comfort and wearing satisfaction.

Even the small towns and villages have their own share of beauty parlors. Young boys and girls

in these places also want to look good and presentable. Their average monthly expense in these

beauty parlors would easily exceed Rs 300 to Rs 400.

Young, urban, affluent customers hold the key. Over the years, the age profile of contact lens

users has come down. Currently, the average user tries on contact lens for the first time around

15 years of age - when s/he enters 11th grade or junior college. Even three years ago, a first-time

buyer of contact lens was a little over 20 years - about to start his /her first job.

The teenaged user needs parents' approval (and funding), but there's a whole new set of IT/BPO

consumers that is now flush with funds and to whom appearance is critical.

1.4.2 LEADING PLAYERS

Almost all leading international players (Luxottica, Essilor, Carl Zeiss, Bausch & Lomb, Johnson

& Johnson, to name a few) have a strong presence in the Indian market, through own

subsidiaries, joint ventures, marketing tie-ups etc. Though international brands of eye care

products have been marketed in India for many decades, their production in India has taken of

mostly in the last 10-15 years.

Several indigenous companies (GKB Rx Lens Pvt. Ltd., Titan Industries, Auro Lab etc.) have

also emerged as strong players in the Indian market in the recent years. Many of these companies

have collaborations with global leaders in the optical industry, and have set up state-of-art

manufacturing facilities to not only cater to the domestic market but also exporting in big way.


12/103

6

1.4.3 ITALIAN PRESENCE

Italian eyewear industry viewed as undisputed world leader, especially in the top/premium

segment of the market. As per official statistics, share of Italy in imports into India is still very

small, being US$ 4.27 million (less than 2% of total imports), except for low cost, lowtechnology products like frames and mountings for spectacles. Sunglasses account for 83% of

the imports from Italy. However, the above statistics may not be truly representative, as some of

the Italian brands may be imported into India from production locations outside Italy, and also

because of the major existence of the parallel market which is not reported in the official

statistics.

Luxottica entered India consequent to its worldwide acquisition of the sunglass business of

Bausch & Lomb in June 1999 and acquired Ray-Ban manufacturing plant at Bhiwadi inRajasthan. Other Italian companies include Safilo, Oakley etc.

1.4.4 PRODUCTION SCENARIO

IOLs: Market leaders in IOLs, namely Alcon, Bausch & Lomb, Advanced Medical Optics

(AMO), do not have local manufacturing facilities in India. Aurolab (capacity of 700,000 IOLs a

year) and Biotech Vision Care (capacity of over 1.5 million IOLs per year), Appasamy

Associates and Eagle Optics are the leading producers.

Spectacle Lenses: Production is mainly in the unorganized sector. GKB Rx Lens Pvt Ltd is the

leading producer of glass ophthalmic lenses (capacity of 5000 prescription lenses per day). Carl

Zeiss set up its first manufacturing facility in Goa, and has a joint venture `Zeiss Brand Lab' with

a manufacturing capacity of 1,000 prescriptions a day. Essilor set up a facility in Bangalore in

1998 with a $15-million-plus investment for Plastic lenses.

Contact Lenses: In 1992, Bausch & Lomb (now owned by Luxottica) set up an $11 million plant

in India to make contact lenses, lens-care products and metal eyeglass frames for the Indian

market. Titan is considering introducing its own contact lenses, though it currently sources its

requirements from Bausch & Lomb, Johnson & Johnson and Silklens.


13/103

7

Sunglasses: Luxottica acquired the Ray-Ban manufacturing plant at Bhiwadi in Rajasthan, India.

GKB Rx Lens Pvt. Ltd. launched a contemporary range of designer sunglasses in the Indian

market in March 2004 through sourcing arrangements with design and production houses in Italy

and Germany. Titan, one of the leading Indian companies in the sunglasses segment, has set up

manufacturing units abroad though design facilities are located in India.

Spectacle Frames: Indias largest concentration of spectacle frame manufacturers is in the state

of Gujarat, manufacturing 20,000 frames daily. Most of the Indian manufacturers are small and

use same concept and technology, as foreign companies (sheet cutting, ring forming, pressing,

screw forming, hinge manufacture and assembling) but cannot afford hi-tech machines. They use

local machines costing Euro 5000 to 7000, designed using reverse engineering, against foreign

machines costing over Euro 1 million.

1.4.5 DEPENDENCE ON IMPORTS

Import of optical products into India has been growing steadily and has doubled from US$ 32.16

million in 2003-04 to US$ 65.36 million in 2006-07. However, share of Italy is very small, being

less than 2%, except for low cost, low technology products like frames and mountings for

spectacles. Sunglasses account for 83% of the imports from Italy.

Even as leading players are setting up base in the country, all these companies still import lenses

from Europe or from their production facilities in low-cost countries, such as Hong Kong, China

and South Korea. Indian companies also import raw products and items for finishing and

assembly, especially from Hong Kong and China. Top Indian sunglass brands Fas track and

Vintage also import sunglasses from the China.

Hong Kong is the most popular source for import of spectacle frames. Medium sized Italian

brands for eyeglasses will also find the Indian market opportunity attractive in the second-tier

markets outside the large metro cities, although they will be volume markets.

There is also a huge parallel market in unbranded imported eyewear. This includes products that

are mainly imported from the China, and are available in the unorganized market at very low

prices ranging from USD 2 to USD 10. These are mainly ophthalmic spectacles and usually


14/103

8

feature low-quality plastic lenses. A large variety of unbranded sunglasses are also available in

this segment.

1.5 STRUCTURE OF TRADE & DISTRIBUTION

1.5.1 TYPES OF DISTRIBUTION STRUCTURES

The optical sector has a multi-tiered structure consisting of import agents, distributors/

wholesalers, dealers and retail outlets, depending on the size of the market in consideration.

Larger cities and metros have up to four levels in the distribution network till the final point of

sale. Building an effective distribution channel is a key pre-requisite for a new entrant in the

business.

Of late, new distribution models, especially multilevel marketing, direct selling and on-line

marketing are catching up in India.

Import Agents have an important role in distribution and promotion of the products, besides

taking care of the compliance with regulatory requirements (handling customs clearance

procedures, appointment of distributors and retailers; pricing decisions; training of sales staff,

promotion campaigns, etc. ), as the sector is largely imports dependent.

Distributors / Wholesalers are the principal link between retail outlets and the brand within the

city/region. Most distributors have their own godowns / storage space, with varying capacity

depending upon the volume of business as well as geographical area of the territory covered.

Most distributors also maintain their own showrooms for display of products.

Retail sector is fragmented (more than 3.5 million outlets) and outlets are mostly stand-alone

(almost 80% of total), small shops in Local Shopping Centres, often manned by the owner and 1

or 2 assistants. Organised retail accounts for less than 4% of total retail in India but is likely to

reach 35% by 2015, with over 7 million sq. m. of space under construction.

Retailers of optical products generally receive supplies from distributors or sub distributors

appointed by companies. However as a means of direct contact with the outlets, companies also

depute their own sales persons to book orders from retail outlets, which are then supplied by


15/103

9

distributors. Retailers often carry more than one brand in each product category, except in the

case of single brand outlets (about 7% of all retail outlets for optical products).

Most retailers carry a wide range and multiple brands of products (frames, lenses, contact lenses,

cleaning solution etc.) with average stock of 75 to 100 units. The retailers have reported apositive growth outlook in the coming years, projecting a 30%+ growth in business for frames,

sunglass and contact lenses.

The frequency of supply ranges from once to twice a month depending upon the product and size

of the retail outlet. The retailers expect a credit against supplies, which varies widely from one

week to 6 months.

1.5.2 TRADE COMMERCIAL TERMS

The overall trade margins range from 25% to 35%, shared by all trade channel partners,

depending on the segment in consideration. The total mark-up at different levels up to the retailer

is between 12 20%. However, retailers margins can be as high as 70%, depending on the

brands, especially in the premium/super premium segments.

The most popular promotional schemes are in the form of free gifts (leather bags, wrist watches),

cash discounts, free trial offers for first time users.

1.6 REGULATORY ENVIRONMENT

1.6.1 INVESTMENT AND TRADE REGULATIONS

o Foreign direct investment (FDI) is allowed (even up to 100% foreign ownership) in themanufacture of all optical products. The approval is automatic and requires only a filing of

the investment details with the Reserve Bank of India.

o FDI in Retail Trade is presently allowed only for Single Brand product retailing, and FDI ispermitted only up to 51%. However, foreign investment up to 100% is permitted for

Wholesale/ Cash & Carry trading, and trading for exports.


16/103

10

o All foreign companies having existing previous joint venture/technology transfer/royaltyagreements require prior approval before setting another venture in the same field.

All foreign investments are fully reparable for both profit as well as principal values, subject to

payment of applicable Indian taxes and obtaining due clearances from the Reserve Bank of India.

TECHNOLOGY AGREEMENTS

Foreign technology agreements, including licensing rights, lump sum payments and royalty

payments are allowed on an automatic approval basis provided the value of the lump sum does

not exceed US$ 2 million, royalties do not exceed 5% of net domestic sales or 8% of FOB

exports, and the total value of payments over a seven- year production period is below 8% of the

total revenues of the company receiving the knowhow.

Foreign companies are also entitled to receive royalties on account of licensing fee, brand name

rights, etc., up to 1% of net sales from their Indian subsidiaries or ventures even without a

technology transfer agreement, on an automatic approval basis.

EXPORT FISCAL INCENTIVES AND CONCESSIONS

India offers an attractive scheme of incentives on exports, especially through its Export Oriented

Unit (EOU) Schemes. The most important provisions concerning EOUs are exemption of import

duty on all capital goods, raw materials and consumables, sales in the domestic market (subjectto value addition requirements) at a lower customs duty, exemption from income tax on profits

until April 2010.

1.6.2 TAXES AND DUTIES

o Import duties: Imports of all optical products attract Import Duty @ 34.13%.o Corporate Income Tax for companies incorporated in India: 33.66% including surcharge and

cess.

o Dividend Distribution Tax: 14.025% including surcharge and cess.o Value Added Tax: This is a turnover tax applying on sales, and varies state to state; for

example 12.5% in Delhi.


17/103

11


The Labeling and Marking Rules stipulate that the following must be prominently on the

principle display panel of the packages:

o Maximum retail sale price for the ultimate consumer, inclusive of all taxes, freight, transportcharges, commission payable to dealers, and all charges towards advertising, delivery,

packing, forwarding etc. (in Indian Rupees)

o Generic name of producto Month and year in which manufactured or packed or importedo Importer name and addresso Quantity in standard unitsThe above labeling requirements are applicable only on imports of those prepackaged goods

which are intended for retail sale in India.


o Shippers Invoiceo Packing Listo House Air way Bill (HAWB)Originalo Master Air way Bill (MAWB)Copyo Airline D.O.o Manifesto Letter addressed to Asstt. Commissioner of Customs (on company letter head) authorizing

the Shipping Agent to clear the goods on behalf of the shipper (exporter) / importer in India. -

If applicable

o Technical Write-Up on the items (product catalogues, etc.)o Copy of Importer Exporter Code (IE) number of the consignee (importer) in India


18/103

12

1.7 OPPORTUNITIES FOR ITALIAN COMPANIES IN INDIA

1.7.1 INDIA IN GENERAL

Rising Incomes fuelling Demand for Branded / Imported Lifestyle products: India's increasing

new middle income earners (new-mids) in urban centers offer foreign companies unprecedented

growth opportunities. According to a McKinsey study, there are 1.2 million affluent households,

expected to reach 2.5 million households by 2015. In addition there are 40 million middle-

income households earning between US$20,000 to $45,000 which holds the key to Indias

retailing boom.

Accordingly, India is fast becoming a large market even for luxury goods and services, based on:

o Ten-fold rise in Indias middle class: from 50 million to 580 million; with comfortable livingstandards.

o The upper middle class expected to swell from 25 million people to over 130 million by2025, and

o 24 million upper crest Indians (income > Rs 1mn per year, or $ 117,000 PPP) with globallifestyles.

In addition to the rising income levels, the share of basic requirements in household spending is

expected to progressively reduce, while that of lifestyle products and services (personal products,

leisure, healthcare) is increasing.

Booming Retail sector: The retail sector is experiencing an exponential growth, with consumer

expectations shifting from merely purchasing goods to an enhanced shopping experience.

Favorable Government policies: Liberal foreign investment policy and gradual opening up of

retail sector to foreign investors, makes India an attractive destination for Italian companies.

The decision by the government of India in 2006, to allow foreign direct investment in single-

brand retailing marked a significant watershed, giving foreign brands a direct route to the Indian

consumers.

Substantial reduction in import tariffs over the years, has also fuelled the demand for imported

lifestyle goods among the higher income groups.


19/103

13

Italian companies now have various options for entry to the Indian market manufacturing (joint

venture or on their own), technology licensing, franchising, branded retailing etc.

1.7.2 OPTICAL SECTOR

Market scenario: Considering that India has the worlds second largest population, of which

nearly one-third require some form of eye-sight correction, India represents a huge market

opportunity in the optical sector. However, the market is extremely fragmented, complex, price

sensitive, diverse and distribution driven.

Most consumers are ignorant about quality, brands, country of origin of products etc., and are

largely guided by the opticians and of course the price. Hence, it is very important to educate and

train the trade.

Therefore, Italian companies need to be conscious of the importance of tailoring the business

model to local conditions. McKinsey offers four key guidelines to setting up a successful

business in India, which are quite apt for the optical sector as well.

o Offering value at the right price, with affordability the main component.o Educating the consumer, through effective marketing campaigns.o Designing to cost, as the challenge is to make a profit at prices that Indian consumers can

afford.

o Getting the distribution right. No matter what opportunities exist to change the retail scene,McKinsey stresses that the traditional network of local retailers will remain important for

years, even if modern retailing continues to grow at the current rate of 25 percent a year.

Huge Untapped Potential: In a country of 1 billion plus people, the total market for optical

products has only reached US$ 1 billion, which is miniscule as compared to the potential. The

average market growth of 20% per year in the last few years is likely to be sustained.

According to eye specialists almost 20-30% of the Indian population, i.e. 200 to 300 million

people, requires visual correction. However, only a fraction these people are presently using

proper optical products due to lack of awareness as well as affordability issues. Nevertheless this

points to huge untapped potential in the Indian market.


20/103

14

Further, branded eyewear has very limited penetration in the Indian market at present, but it is

increasing.

Key market characteristics

o India is a highly price sensitive market though demand for premium/ branded goods israpidly increasing, at a faster rate vis--vis the overall market.

o Mid price segment is most promising, with large volumes and decent marginso Low end segment has high inspirational value and would like to move up the value chaino Medium and small sized cities are fast emerging has high potential markets for life style

products

Market segmentation and positioning is important as the expectations and paying capacitiesdiffer across consumer segments in India. Therefore, new entrants should preferably offer

different products/brands for different segments giving price value equation, using both

exclusive and multi brand outlets.

Favorable Perception of Italian Optical Products History and parentage is an important reinforce

for new international brands being introduced in India. Success of European brands in India is to

an extent because traditionally, Europe is considered the face of fashion. Retailers, importers and

distributors, rate Italian products as superior compared to other imported products and Indianproducts. Even among the ophthalmologists, the perception about Italian optical products is

better or comparable to other imported products.

It is important to highlight here that retailers and ophthalmologists play an important and

influential role in the consumers decision in selection of products and the brand. Therefore, their

positive perception about Italian products, in spite of overall market share being low at present,

will provide a head start for Italian companies entering the Indian market.

Market Segments: Currently, spectacle lenses and sunglasses offer the maximum potential, bothin terms of size and growth rates. In both the segments, even though the upper end may be

growing faster, it is miniscule compared to mid and low segments, which have huge unmet

demand and aspiration levels. It would be crucial to position the product properly.


21/103

15

There is only limited production of contact lenses in India, and only three international brands -

Bausch & Lomb, J&J and Ciba are being marketed. Also the market at present is small, but

growing fast as the prices come down. There is scope for a mid-range brand/ product that could

be a window of opportunity for Italian companies.

Partnerships: Opportunity for Italian companies to partner with the existing small and medium

sized who typically have limited resources for expanding/upgrading their operations, but

understand the Indian market dynamics.

Going by the model successfully used by other international brands, Italian companies planning

to enter the Indian market should consider tying up with an Indian Importer-Distributor, for

handling all import related formalities, and managing the logistics, retail network and promotion.

Another emerging option is to tie-up with major retail chains, to have an exclusive or preferential

presence across their retail outlets. While this route promises scale and reach, the margins tend to

be lower.

Promotion: Local adaptation needs to manifest in communications, language, promotions,

selection of brand ambassadors, and in the product attributes themselves.

The positive perceptions about Italian optical products should be capitalized in the promotions.

Roll out: Mumbai is considered to be the most interesting city to launch premium end products,

being the commercial capital of India, with the largest concentration of business families and

overall high disposable incomes. Mumbai is also the fashion and glamour capital of India, and

home to Bollywood, the Indian film industry.

In addition to Mumbai, Delhi NCR, Chennai, Hyderabad and Bangalore are also important

markets, given the large corporate working class and also a predisposition to indulgence in

personal care and fashion. Therefore, while a new player should begin with launch in one city, it

should plan to expand its market coverage to other important cities within the first two-three

years of launch.


22/103

CHAPTER2

COMPANY

PROFILE


23/103

16

CHAPTER 2

COMPANY PROFILE

2.1 RAY-BAN

Ray-Ban is an American high end manufacturer of sunglasses, founded in 1937 by Bausch &

Lomb. They were introduced for the United States Army Air Corps. In 1999, Bausch & Lombsold the brand to the Italian Luxottica Group for a reported $640 million.

2.1.1 HISTORY

Ray-Bans were first created in 1936. The idea of Ray Bans began some years earlier when

Lieutenant John A. Macready returned from a balloon flying adventure and complained that the

sun had permanently damaged his eyes. He contacted Bausch & Lomb asking them to create

sunglasses that would provide protection and also look elegant. On May 7, 1937, Bausch &

Lomb took out the patent. The prototype, known as Anti-Glare, had an extremely light frame

weighing 150 grams. They were made of gold-plated metal with green lenses made of mineral

glass to filter out infrared and ultraviolet rays. Pilots in the United States Army Air Corps

immediately adopted the sunglasses. The army had intentions to have sunglasses that would

protect the soldiers from the rays of the sun but yet still have an elegant look. The Ray-Ban

Aviator became a well-known style of sunglasses when General Douglas MacArthur landed on

the beach in the Philippines in World War II, and photographers snapped several pictures of him

wearing them. Ray Bans were quickly seen outside of just the army. In 1937, Ray Ban made

their first patent on the Ray Ban Aviator sunglasses. Ray Bans quickly gained popularity through

other wars and even made a debut in the movies. In 1952, Ray Ban created another style, the Ray

Ban Wayfarer. The difference with these sunglasses was the plastic frames. This design of the


24/103

17

Wayfarer glasses became very popular with the public. The Wayfarer sunglasses were seen on

movie stars, TV stars, and musicians. Ray Ban still remains a top designer in the sunglasses

industry with their constant change in color, frames, and lenses.

2.1.2 INTERNATIONAL AND CULTURAL IMPACT

Sometimes commercial products gain a cultural significance within a new market when exported

around the globe. An interesting case and point is how Ray-bans have a special place as a status

symbol of coolness in the southern port city of Abadan in Iran. Before it's Islamic revolution of

1979, Iran was a fast growing oil rich country that was a big consumer of everything western. At

the time, Abadan was vibrant oil exporting port city with a constant stream of international

visitors from sailors to corporate executives. Abadan was very much like any other sunnysettlement by the sea, with a relaxed sun culture of flip flops and sunglasses and to this day

natives subscribe to this dress code. Sometime between the 1960s and the 70s, Ray-ban became

the must have brand in Abadan. The name has become a word in the local dialect and is used as

the general word for sunglasses, pronounced Raybon. Most of the jokes about the Abadan region

in Iran center on their love affair with Ray-bans. One goes something like this: An Abadani was

walking when suddenly a flood hits. He quickly takes of his rubber flip flops and places his Ray-

bans on them and says "Save you, don't worry about me". Even in an Abadani social network

site, www.abadan.ning.com, the default pictures have Ray-bans for eyes.

2.1.3 LENSES

Ray Ban has created a number of different lenses for each of their glasses. Each of the lenses is

designed to suit every life style. The High Contrast Brown Lenses are made for a military design

that allows for the maximum amount of clarity and protection. These lenses are made to block

out blue light and most commonly used for driving and action sports. The Neutral Grey lenses

are recommended for reduced eye strain and to see color as it truly is. Polarized lenses were

created to reduce the amount of reflected light into your eyes. Lastly, Light Adaptive lenses are

designed to adjust to all different amounts of light. The lenses will turn dark when excessive

light is present and lighter when there is not as lighter.


25/103

18

2.2 KAENON POLARIZED

Kaenon Polarized is a luxury performance polarized sunglasses and lens brand based in Newport

Beach, CA. The company was founded in 2001 by elite sailors, and brothers, Steve and Darren

Rosenberg. Specializing in performance sunglasses, all Kaenon Polarized sunglasses feature the

company's proprietary SR-91 polarized lens material.

2.2.1 SUNGLASS LINE

The Kaenon Polarized sunglass line is divided into three categories: Luxury Performance,

Lifestyle Performance and Kore Performance. Both metal alloy and TR-90 frames are offered

and are manufactured in Japan and Italy, respectively. Since the brand manufactures functional

sunglasses, all frames offered feature an 8 base curve radius.

2.2.2 LENS CONSTRUCTION

SR-91 MATERIAL

This resin-based lens material was created by Kaenon Polarized. SR-91 was certified by Colts

Laboratories and received a score of 40 lines of resolution, the highest score offered by the

facility for optical clarity and acuity (20 is a passing score; anything beyond 40 is undetectable to

the human eye). SR-91 was the first non-polycarbonate material to pass the high-mass impact

ANSI Z.87.1 testing and was the first to combine this passing score with the highest marks for

clarity.

The proprietary material is used only by Kaenon Polarized and is found in every sunglasses

offered by the brand.


26/103

19

GLARE 86 POLARIZING ELEMENT

SR-91 is combined with another proprietary polarizing element Glare 86. The film is 30 microns

thin and was engineered to work inside the SR-91 material. The molecules in the Glare 86

polarizing element run in parallel, horizontal lines and act as a filter to block glare.Manufacturing processes encapsulate the Glare 86 film into the SR-91 lens material. Glare 86

also houses the tints and prescribed Light Transmission Levels in each lens.

2.3 LUXOTTICA

Luxottica Group S.p.A. is the world's largest eyewear company. Its best known brands include

Ray-Ban, Persol and Oakley, Inc.. It also makes sunglasses and prescription frames for a

multitude of designer brands such as Chanel and Prada, whose designs and trademarks are used

under license. Luxottica also makes sunglasses branded Burberry, Polo Ralph Lauren, Stella

McCartney, Tiffany, Versace, Vogue, Miu Miu, Tory Burch and Donna Karan. Its prime

competitor is the Safilo Group S.p.A

2.3.1 HISTORY

Leonardo Del Vecchio started the company in

1961, in Agordo north of Belluno, Italy; today the company is headquartered in Milan.


27/103

20

Del Vecchio began his career as the apprentice to a tool and die maker in Milan, but decided to

turn his metalworking skills to making spectacle parts. So in 1961 he moved to Agordo in the

province of Belluno, which is home to most of the Italian eyewear industry. The new company

was Luxottica s.a.s., a limited partnership with Del Vecchio as one of the founding partners. In

1967 he started selling complete eyeglass frames under the Luxottica brand, which proved

successful enough that by 1971 he ended the contract manufacturing business.

Convinced of the need for vertical integration, in 1974 he acquired Scarrone, a distribution

company. In 1981 the company set up its first international subsidiary, in Germany, the first in a

rapid period of international expansion. The first of many licensing deals with a designer was

struck with Armani, in 1988.

The company listed in New York in 1990, and in Milan in December 2000, joining the MIB-30

(now S&P/MIB) index in September 2003. The listing raised money for the company and

allowed it to use its shares to acquire other brands, starting with Italian brand Vogue in 1990,

Persol and US Shoe Corporation (LensCrafters) in 1995, Ray-Ban in 1999 and Sunglass Hut,

Inc. in 2001. Luxottica later increased its presence in the retail sector by acquiring Sydney-based

OPSM in 2003, Pearle Vision and Cole National in 2004..

The company also acquired Oakley in a US$2.1bn deal in November 2007, and in August 2011

Erroca for 20 million.

2.3.2 RETAIL

Luxottica Retail has 7.000 retail locations in the United States, Canada, China, Australia, New

Zealand, South Africa, Israel and the United Kingdom. The headquarters of the retail division is

in Mason, Ohio. Their retail banners include: Sunglass Hut International, LensCrafters, OPSM,

Laubman & Pank, Budget Eyewear, Bright Eyes, Pearle Opticians, Pearle Vision, Surfeyes,

Sears Optical, Target Optical, BJ's Optical, Cole Vision Care, ICON, Optical Shop of Aspen and

ILORI. They also own EyeMed Vision Care, a managed vision care organization in the United

States.


28/103

21

2.3.3 FINANCIAL PERFORMANCE

Year Net sales (K) Operative income (K) Operative income (K)

2010 5,798,035 712,159 712,159

2009 5,094,318 571,085 571,085

2008 5,201,611 731,693 731,693

2007 4,966,054 833,264 833,264

2006 4,676,156 768,853 768,853

(Source - from Luxottica website)

2.3.4 MAJOR SHAREHOLDER

The list of Luxottica shareholders with more than 2% of holdings, represented by voting shares

at April 28, 2011

o Delfin S.A.R.L. 66.98%o Giorgio Armani 4.87%o Treasury Share 1.39%o

Other shareholders < 2% 26.76%


29/103

22

2.4 COSTA DEL MAR

Costa Del Mar Sunglasses, Inc. is a designer and manufacturer of high-end polarized sunglasses

for use in sports such as fishing, sailing, and surfing. It was founded in 1983 and is

headquartered in Daytona Beach, Florida. Costa Del Mar products are sold via the Costa Del

Mar Online Store, other online dealers, or stores located worldwide.

2.4.1 HISTORY

Costa Del Mar was founded in 1983, the same year that a NOAA nature sanctuary asked the

company for a donation of polarized sunglasses. The first style of sunglasses released by Costa

Del Mar was called "Catalina," which is no longer in production. The first lens developed by

Costa Del Mar was The Costa 400 in CR-39 material. In 1986, Costa Del Mar created The Costa

400 in a glass lens.

The company provided sunglasses to Jacques Cousteau and the Cousteau Society, and lenses for

the team-issue frames of the F-16C Eastern Demo Team. Additionally, Costa Del Mar launched

its premium lens, The Costa 580 in August 2000. On April 22, 2003, A. T. Cross bought Costa

Del Mar Sunglasses.

Today, the list of pro guides and outdoor personalities that use Costa Del Mar sunglasses

includes Jose Wejebe, Cindy Garrison, and Blair Wiggins.


30/103


31/103

24

2.5 PERSOL

Persol is an Italian luxury eyewear company specializing in sunglasses. The name is derived

from "per il sole," which, in Italian, means "for the sun." Formed in 1917 by Giuseppe Ratti,

Persol originally catered to pilots and sports drivers. Presently, the company is famous for its

durable sports sunglasses. Its trademark is the silver arrow (often referred to as the "Supreme

Arrow"), and several of the company's glasses feature this symbol.

Persol was a heavy influence in the production of sunglasses. The company developed the first

flexible stem. This flexible stem system is known as the patented Meflecto system and was oneof the first spring hinges ever developed for eyewear. Persol was introduced to the United States

in 1962. Its first boutique opened on Rodeo Drive in Los Angeles in 1991. It is currently owned

by the Luxottica group. Currently all "plastic" Persol eyewear is hand crafted in Italy using

cellulose acetate, a hypoallergenic material derived from cotton.

Steve McQueen popularized two Persol models: the 714 folding sunglasses and closely styled

649. He wore a special pair of 714's with blue lenses in The Thomas Crown Affair and was often

photographed wearing the 649 model. Persol models 2244-S and 2720-S were both worn by

Daniel Craig in the James Bond film Casino Royale. Pierce Brosnan wore Persol model 2672-S

as James Bond in the film Die Another Day and then Persol model 2720-S in Mamma Mia! Don

Johnson wore a Persol 69218 during Season Three of Miami Vice. Persol sunglasses have also

been used in other movies, Bill Murray can be seen wearing them in both Lost in Translation and

Broken Flowers. One of the most iconic images of Persol sunglasses can be seen in the movie

Divorce Italian Style where Marcello Mastroianni wears a pair of black 649s; Mastroianni also

has a pair of Persol sunglasses on in almost every scene in the movie La Dolce Vita. In addition

Nicolas Cage wears them in Lord of War. Robert Culp, as Kelly Robinson, in the iconic I SPY

TV series in the 1960s sported Persols 2656S in many episodes.


32/103

25

2.6 IC! BERLIN

Ic! Berlin brillen GmbH is a German company who designs and produces handcrafted eyewear

in Berlin, Germany, and distributes it worldwide. The company was founded in 1999 by Ralph

Anderl.

The ic! Berlin hinge on an acetate frame.

Ic! Berlin produces eyewear from 0.5mm thick stainless spring steel sheet metal, using a

patented hinge design which avoids the use of any screws or glue in the construction of their

frames. The combination of materials and techniques allows their products to be light and

flexible.

The company has received various awards for their product designs and technological

achievements, including:

o 1998 Einfach Genial TV Award/MDR, Germanyo 1998 Golden Silmo Eyewear Award, Paris/Franceo 1999 2nd of Mido Eyewear Award, milano/Italyo 1999 Eyewear of the Year 2000/IOFT, Tokyo/Japano 2000 Eyewear of the Year 2001/IOFT, Tokyo/Japano

2002 Red Dot Award/Product Design, Germanyo 2004 Eyewear of the Year 2005/IOFT, Tokyo/Japano 2005 Eyewear of the Year 2006/IOFT, Tokyo/Japano 2007 Landmark in the Land of Ideas 2007, Germanyo 2008 Golden Silmo Eyewear Award, France/Pariso 2008 Eyewear of the Year 2009/IOFT, Tokyo/Japano 2009 Eyewear of the Year 2010/IOFT, Tokyo/Japano 2010 Eyewear of the Year 2011/IOFT, Tokyo/Japano 2011 Golden Silmo Eyewear Award, France/ParisIc! berlin has produced designs in collaboration with Danish fashion label Bo Van Melskens,

German/French design collective KIX, Jeremy Tarian, Freitag, and London fashion label

Superfine.


33/103

26

2.7 RANDOLPH ENGINEERING

Randolph Engineering, Inc., located in Randolph, Massachusetts, is a manufacturing company

that makes sunglasses, shooting eye-wear, and prescription frames. They are most noted for

supplying eye-wear to the United States military.

2.7.1 HISTORY

Randolph Engineering, Inc. was founded in 1972 by Jan Waszkiewicz and Stanley Zaleski.

Ironically, the company originally focused on designing and manufacturing optical tools and

machinery for the production of eye-wear. Waszkiewicz and Zaleski designed and made most of

the machinery in the plant. In time, the company turned its attention to making its own eyewear,

using the tools and machinery designed and manufactured by the company itself.

In 1977, Randolph Engineering obtained its first government contract. By 1982, they became the

prime contractor for military-style aviation flight glasses for the U.S. Department of Defense.

With 68 employees, 200,000 pairs of sunglasses were made for the Navy, Air Force, and Army

that year. Ever since, they have provided eye-wear for many government agencies and soldiers,

ranging from sunglasses for air force pilots to eye-wear for submarine staff. In the early 1990s,

sales were expanded to offer commercial lines of products. Towards August 2008, the companyextended its eye-wear offerings to other specialty lines of work including police, security,

outdoor sports and adventure, and other sight critical careerists and hobbyists.

The company still supplies the military with a variety of glasses. They signed contracts with the

Defense Logistics Agency on January 11, 2010 and January 5, 2011 worth $9 million each. Their

most recent contract, valued at $38,662,664, was issued on December 23, 2011. In 2011, the

company had approximately $8 million in sales.

All glasses are still made at the U.S. location in Randolph, Massachusetts using only a handful of

international components. Sales are handled through their website and world-wide distributors.

Randolph Engineering has positioned themselves as a viable vendor to other Air Forces around

the world including Australia, Belgium, Israel, and Jordan. The Alliance for the Commonwealth


34/103

27

and the Massachusetts Port Authority awarded Randolph the 1997 Massachusetts Product Export

Achievement Award in recognition for achievements made in International trade.

2.7.2 PRODUCT

Randolph Engineering produces shooting eye-wear, sunglasses, and prescription eye-wear. Their

products come in a variety of lens and frame styles, the most popular being the traditional aviator

style. Each pair of sunglasses is made nearly entirely by hand in a detailed 200 step process.

Averages of 53,000 pairs of glasses are produced per month. All manufacturing processes take

place at the companys 22,000-square-foot facility in the United States.

Randolph Engineering has three categories of products: the Sunglass Series, Ranger Series, and

Rx Series. Randolph Engineering also produces their own high-strength solder flux, and every

pair of their glasses comes with a lifetime replacement guarantee for every solder joint. Navy

pilots and Army helicopter pilots both wear Randolphs matte chrome 52mm Aviators. In 2011,

Randolph Engineering also began production of the Michael Bastian Signature Series. Today

products are sold in over 400 retailers globally and compete with brands like Ray-Ban and

Oakley.


35/103

CHAPTER 3CONCEPTUAL

FRAMEWORK


36/103

28

CHAPTER 3

CONCEPTUAL FRAMEWORK

3.1 SPECTACLES

Glasses, also known as eyeglasses, spectacles or simply specs, are frames bearing lenses worn in

front of the eyes. They are normally used for vision correction or eye protection. Safety glasses

are a kind of eye protection against flying debris or against visible and near visible light or

radiation. Sunglasses allow better vision in bright daylight, and may protect against damage from

high levels of ultraviolet light. Other types of glasses may be used for viewing visual information

or simply just for aesthetic or fashion purposes.

Historical types of glasses include the pince-nez, monocle, lorgnette, and scissor or scissors-

glasses.

Modern glasses are typically supported by pads on the bridge of the nose and by temple arms

placed over the ears. CR-39 lenses are the most common plastic lenses due to their low weight,

high scratch resistance, low dispersion, and low transparency to ultraviolet and infrared

radiation. Polycarbonate and Trivex lenses are the lightest and most shatter-resistant, making

them the best for impact protection.

An unpopular aspect of glasses is their inconvenience. Though modern frames can be both

lightweight and flexible, and new lens materials and optical coatings are resistant to breakage or

scratching, glasses can still cause problems during rigorous sports. Visibility can be significantly

reduced by becoming greasy, trapping vapour when eating hot food, swimming, walking in rain

or rapid temperature changes. Scraping, fracturing, or breakage of the lenses require time-

consuming and costly professional repair.

3.1.1 HISTORY

PRECURSORS

His earliest historical reference to magnification dates back to ancient Egyptian hieroglyphs in

the 5th century BC, which depict "simple glass meniscal lenses". The earliest written record of


37/103

29

magnification dates back to the 1st century AD, when Seneca the Younger, a tutor of Emperor

Nero of Rome, wrote: "Letters, however small and indistinct, are seen enlarged and more clearly

through a globe or glass filled with water". Nero (reigned 5468 AD) is also said to have

watched the gladiatorial games using an emerald as a corrective lens.

The use of a convex lens to form a magnified image is discussed in Alhazen's Book of Optics

(1021). Its translation into Latin from Arabic in the 12th century was instrumental to the

invention of eyeglasses in 13th century Italy.

Englishman Robert Grosseteste's treatise De iride , written between 1220 and 1235, mentions

using optics to "read the smallest letters at incredible distances". A few years later, Roger Bacon

is also known to have written on the magnifying properties of lenses in 1262.

Sunglasses, in the form of flat panes of smoky quartz, were used in China in the 12th century.

Similarly, the Inuit have used snow goggles for eye protection. However, they did not offer any

corrective benefits and the use by historians of the term "sunglasses" is anachronistic before the

twentieth century.

INVENTION OF EYEGLASSES

The first eyeglasses were made in Italy at about 1286, according to a sermon delivered on

February 23, 1306 by the Dominican friar Giordano da Pisa (ca. 1255 - 1311): "It is not yet

twenty years since there was found the art of making eyeglasses, which make for good vision ...

And it is so short a time that this new art, never before extant, was discovered ... I saw the one

who first discovered and practiced it, and I talked to him." Giordano's colleague Friar Alessandro

della Spina of Pisa (d. 1313) was soon making eyeglasses. The Ancient Chronicle of the

Dominican Monastery of St. Catherine in Pisa records: "Eyeglasses, having first been made by

someone else, who was unwilling to share them, he made them and shared them with everyone

with a cheerful and willing heart." By 1301, there were guild regulations in Venice governing the

sale of eyeglasses.

Although there have been claims that Salvino D'Armate of Florence invented eyeglasses, these

claims have been exposed as hoaxes. Furthermore, although there have been claims that Marco

Polo encountered eyeglasses during his travels in China in the 13th century, no such statement


38/103

30

appears in his accounts. Indeed, the earliest mentions of eyeglasses in China occur in the 15th

century and those Chinese sources state that eyeglasses were imported.

Seated apostle holding lenses in position for reading. Detail from Death of the Virgin, by the

Master of Heiligenkreuz, ca. 1400

30.

The earliest pictorial evidence for the use of eyeglasses is Tommaso da Modena's 1352 portrait

of the cardinal Hugh de Provence reading in a scriptorium. Another early example would be a

depiction of eyeglasses found north of the Alps in an altarpiece of the church of Bad Wildungen,

Germany, in 1403.

These early spectacles had convex lenses that could correct both hyperopia (farsightedness), and

the presbyopia that commonly develops as a symptom of aging. It was not until 1604 that

Johannes Kepler published the first correct explanation as to why convex and concave lenses

could correct presbyopia and myopia.

LATER DEVELOPMENTS

The American scientist Benjamin Franklin, who suffered from both myopia and presbyopia,

invented bifocals. Serious historians have from time to time produced evidence to suggest that

others may have preceded him in the invention; however, a correspondence between George

Whatley and John Fenno, editor of The Gazette of the United States, suggested that Franklin had

indeed invented bifocals, and perhaps 50 years earlier than had been originally thought.

The first lenses for correcting astigmatism were constructed by the British astronomer George

Airy in 1825.

Over time, the construction of spectacle frames also evolved. Early eyepieces were designed to

be either held in place by hand or by exerting pressure on the nose (pince-nez). Girolamo

Savonarola suggested that eyepieces could be held in place by a ribbon passed over the wearer's

head, this in turn secured by the weight of a hat. The modern style of glasses, held by temples

passing over the ears, was developed some time before 1727, possibly by the British optician

Edward Scarlett. These designs were not immediately successful, however, and various styles

with attached handles such as "scissors-glasses" and lorgnettes were also fashionable from the

second half of the 18th century and into the early 19th century.


39/103

31

In the early 20th century, Moritz von Rohr at Zeiss (with the assistance of H. Boegehold and A.

Sonnefeld), developed the Zeiss Punktal spherical point-focus lenses that dominated the eyeglass

lens field for many years.

Despite the increasing popularity of contact lenses and laser corrective eye surgery, glassesremain very common, as their technology has improved. For instance, it is now possible to

purchase frames made of special memory metal alloys that return to their correct shape after

being bent. Other frames have spring-loaded hinges. Either of these designs offers dramatically

better ability to withstand the stresses of daily wear and the occasional accident. Modern frames

are also often made from strong, light-weight materials such as titanium alloys, which were not

available in the earlier times.

3.1.2 TYPES

CORRECTIVE

Corrective lenses are used to correct refractive errors of the eye by modifying the effective focal

length of the lens in order to alleviate the effects of conditions such as nearsightedness (myopia),

farsightedness (hyperopia) or astigmatism. Another common condition in older patients is

presbyopia, which is caused by the eye's crystalline lens losing elasticity, progressively reducing

the ability of the lens to accommodate (i.e. to focus on objects close to the eye).

The power of a lens is generally measured in diopters. Glasses correcting for myopia will have

negative diopter strengths, and glasses correcting for hypermetropia will have positive diopter

strengths. Glasses correcting for astigmatism require two different strengths placed at right

angles in the same lens. Prescription lenses, made to conform to the prescription of an

ophthalmologist or optometrist, are used to make prescription glasses, which are then verified

correct using a professional lensmeter.

Pinhole glasses are a type of corrective glasses that do not use a lens and are claimed to help

correct the eye's refractive error without introducing the image distortion of traditional lens-

based glasses. Pinhole glasses do not actually refract the light or change the focal length, they

operate by reducing the size of the blur circles in the retinal images. In blurry vision, every point

on the object corresponds with a blur circle in the image. By reducing the size of the blur circles,


40/103

32

they reduce the overlap of the blur circles in the image, clarifying the vision somewhat. They do

not heal the eye of refractive error, as sometimes claimed, and vision with pinhole glasses,

although clearer than without them, is not as clear as with conventional lenses.

Correcting one's vision is effected by use of lenses to move the focal point on the retinaaccordingly with one's particular needs. The depth of the curve, the thickness of the lens, and the

precise shape of the lens can all be used to change the focal point.

Eyeglasses can normally correct and compensate for four types of vision deficiencies:

o Myopia is a vision disorder that causes far objects to appear blurred but near objects are seenclearly. Individuals suffering from myopia are prescribed eyeglasses with concave lenses,

which compensate for the refraction error by moving the image of the distant objects that

cannot be seen clearly backward onto the retina.

o Correcting hyperopia is normally done with eyeglasses with convex lenses. With thisdisorder, the patients can see distant objects clearly but they have trouble with seeing objects

that are close to them. Eyeglasses with convex lenses compensate for the refraction errors by

moving the image of a distant object forward onto the retina.

o Astigmatism is typically corrected with a cylindrical lens. This disorder is caused by a non-uniform curvature in the refractive surfaces of the eye, which leads to an abnormality in

focusing the light rays on the retina. As a result, a part of the light rays are focused on the

retina and the other part is focused behind it or in front of it.

o Presbyopia is a condition where the eye exhibits a progressively diminished ability to focuson near objects with age. It is more frequent in people over 40 years old and it is corrected

with convex lenses. These patients need reading or bifocal eyeglasses.

Corrective eyeglasses can significantly improve the life quality of the patient as they are helpful

in both correcting vision disorders and reducing problems that appear when such lenses are

needed, such as headaches or squinting.

Corrective lenses can also be added to work masks or eyeglasses used in sports.

Eyeglass lenses are commonly made from plastic, including CR-39 and polycarbonate. These

materials reduce the danger of breakage and weigh less than glass lenses. Some plastics also

have more advantageous optical properties than glass, such as better transmission of visible light


41/103

33

and greater absorption of ultraviolet light. Some plastics have a greater index of refraction than

most types of glass; this is useful in the making of corrective lenses shaped to correct various

vision abnormalities such as myopia, allowing thinner lenses for a given prescription.

Scratch-resistant coatings can be applied to most plastic lenses giving them similar scratchresistance to glass. Hydrophobic coatings designed to ease cleaning are also available, as are

anti-reflective coatings intended to reduce glare, improve night vision and make the wearer's

eyes more visible.

SAFETY

Safety glasses are usually made with shatter-resistant plastic lenses to protect the eye from flying

debris. Although safety lenses may be constructed from a variety of materials of various impact

resistance, certain standards suggest that they maintain a minimum 1 millimeter thickness at the

thinnest point, regardless of material. Safety glasses can vary in the level of protection they

provide. For example, those used in medicine may be expected to protect against blood splatter

while safety glasses in a factory might have stronger lenses and a stronger frame with additional

shields at the temples to protect from sawdust, flying wood, or metal. The lenses of safety

glasses can also be shaped for correction.

The American National Standards Institute has established standard ANSI Z87.1 for safety

glasses in the United States, and similar standards have been established elsewhere.

OSHA provides guidance on the type of safety eyewear that should be used for an application.

Some safety glasses are designed to fit over corrective glasses or sunglasses. They may provide

less eye protection than goggles or other forms of eye protection, but their light weight increases

the likelihood that they will actually be used. Modern safety glasses tend to be given a more

stylish design in order to encourage their use. Corrective glasses with plastic lenses can be used

in place of safety glasses in many environments; this is one advantage that they have over

contact lenses.

There are also safety glasses for welding, which are styled like wraparound sunglasses, but with

much darker lenses, for use in welding where a full sized welding helmet is inconvenient or

uncomfortable. These are often called "flash goggles", because they provide protection from

welding flash.


42/103

34

Worker safety eyewear is available in various lens colors and/or with coatings to protect or

enable eyesight in different lighting conditions, particularly when outdoors.

Nylon frames are usually used for protection eyewear for sports because of their lightweight and

flexible properties. They are able to bend slightly and return to their original shape instead ofbreaking when pressure is applied to them. Nylon frames can become very brittle with age and

they can be difficult to adjust.

Safety lenses are usually made of polycarbonate. Polycarbonate and Trivex lenses are the lightest

and most shatter-resistant, making them the best for impact protection, though polycarbonate

offers poor optics due to high dispersion, having a low Abbe number of 31. Safety glasses are

also available in prescription form for those persons who need corrective lenses. Depending on

the particular area in which the individuals work, they may be required to wear side protectors

additionally to safety eyeglasses.

In order to comply with the ANSI Z87.1 requirements, safety eyeglasses must pass the high

velocity and high mass tests. Also, the lenses of protective goggles, faceshield windows and

welding filters cannot be thinner than 3 mm, excepting high-impact lenses meant to be installed

in prescription frames, which cannot be thinner than 2 mm.

SUNGLASSES

Sunglasses may be made with either prescription or non-prescription lenses that are darkened to

provide protection against bright visible light and, possibly, ultraviolet (UV) light. Photochromic

lenses, which are photosensitive, darken when struck by UV light.

Light polarization is an added feature that can be applied to sunglass lenses. Polarization filters

remove horizontally polarized rays of light, which eliminates glare from horizontal surfaces

(allowing wearers to see into water when reflected light would otherwise overwhelm the scene).

Polarized sunglasses may present some difficulties for pilots since reflections from water and

other structures often used to gauge altitude may be removed, or instrument readings on liquid

crystal displays may be blocked.

Gray or gray-green lenses produce the most natural appearance of colors. Yellow lenses increase

color contrast and improve depth perception. They are worn by people driving at dusk, but are

detrimental to vision at night. Any tint further reduces incoming light to the retina, and yellow


43/103

35

tints also reduce glare-recovery times for night drivers. Brown lenses are common among

golfers, but cause color distortion. Blue, purple, and intense green lenses provide less vision

enhancement, and are mainly cosmetic.[citation needed] Some sunglasses with interchangeable

lenses have optional clear lenses to protect the eyes during low light or night time activities and a

colored lens with UV protection for times where sun protection is needed.

Sunglasses are often worn just for aesthetic purposes, or simply to hide the eyes. Examples of

sunglasses that were popular for these reasons include teashades and mirrorshades. Many blind

people wear opaque glasses to hide their eyes for aesthetic reasons.

3D GLASSES

The illusion of three dimensions on a two dimensional surface can be created by providing each

eye with different visual information. 3D glasses create the illusion of three dimensions by

filtering out the light not intended for that eye, resulting in each eye receiving a different image.

The traditional anaglyph 3D glasses have one red lens and one blue or cyan lens. Another kind of

3D glasses uses polarized filters, with one lens using clockwise circular polarization and the

other anti-clockwise, with the two images required for stereo vision polarized the same way.

Circular polarization is used so the image separation is maintained even if the viewer tilts their

head (although the depth effect will suffer as the head tilt increases), which would not be

possible with the more usual linear polarizers. Polarized 3D glasses allow for color 3D, while thered-blue lenses produce a dull black-and-white picture with red and blue fringes. Both types have

been distributed to audiences at 3D movies.

One kind of electronic 3D spectacles uses electronic shutters, while virtual reality glasses &

helmets have separate video screens for each eye. A 3D effect can be produced using LCD

shutter glasses.

READY-MADE READING GLASSES

Reading glasses come in two main styles: full frames, in which the entire lens is made in the

reading prescription, and half-eyes, the smaller "Ben Franklin" style glasses that sit lower down

on the nose. Readymade reading glasses are available in strengths ranging from 1.00 to 3.5

Magnifying lenses or generic spectacles that are used to treat mild presbyopia and hyperopia can

be bought off the shelf. Although such glasses are generally considered safe, an individual


44/103

36

prescription, as determined by an ophthalmologist or optometrist and made by a qualified

optician, usually results in better visual correction and fewer headaches & visual discomfort.

There have also been many cases where people have delayed having a proper eye examination

with an optometrist or ophthalmologist, preferring to purchase off the shelf glasses, which have

put their sight at risk from conditions such as AMD, glaucoma and complications from diabetes.

It is important to stress off the shelf readers are not a replacement for regular eye examinations.

Full reading glasses are more suitable for people who only need them for close-up reading while

half-eye reading glasses can be used to read at smaller or larger distances. The reading glasses

are most of the time needed by people who have never worn glasses.

Although specialists recommend individuals who need to wear eyeglasses to have them custom-

made according to their own needs, most of the patients prefer buying them at a pharmacy or

department store. This type of eyeglass-shopping became very popular in the 1990s when it was

estimated that over 30 million pairs were sold per year. These reading glasses are not as

expensive as the custom-made ones and they are certainly designed to catch the buyer's eye.

Glasses that can be purchased off the shelf are available in a wide variety of colors and designs,

suitable for different tastes.

One downside of ready-made eyeglasses is that their prescription is the same for each eye. The

optical center of each lens is also the same. Yet, most individuals who need reading glasses need

different prescriptions in each eye. Wearing ready-made eyeglasses can result in headaches,

eyestrain or nausea, and these "side effects" increase with the extent of the prescriptions'

mismatch. Another disadvantage is that people with a strong prescription will not find ready-

made solutions. They usually cannot be found with spherical corrections greater than plus or

minus three dioptres, and of course are never corrected for astigmatism. Some feel that it would

be possible to obtain a cheap frame for their existing lenses by first purchasing ready-mades;

while this may be possible for some, the problem with the idea is twofold; there is no standard

for lens shapes, so without resorting to extreme fitting methods like glue, it is unlikely that the

right fitting could be found; the ready-mades themselves might have their existing lenses glued

in place, so could be difficult to remove.


45/103

37

BIFOCALS, TRIFOCALS, AND PROGRESSIVE LENSES

As people age, their ability to focus is lessened and many decide to use multiple-focus lenses,

which can be bifocal or even trifocal, to cover all the situations in which they use their sight.

Traditional multifocal lenses have two or three distinct horizontal viewing areas, each requiring aconscious effort of refocusing. Some modern multifocal lenses, such as progressive lenses, give a

smooth transition between these different focal points, unnoticeable by most wearers, while other

glasses have lenses specifically intended for use with computer monitors at a fixed distance.

People may have several pairs of glasses, one for each task or distance, with specific glasses for

reading, computer use, television watching, and writing.

EXTREME MAGNIFICATION (BIOPTICS)

A form of glasses with extreme magnification to improve the distance vision of those with severe

eyesight impairment, especially people with albinism, are known as bioptics or a bioptic

telescope. They may take the form of self-contained glasses that resemble goggles or binoculars,

or may be attached to existing glasses.

3.1.3 FASHION

PERSONAL IMAGE

For most of their history, eyeglasses were seen as unfashionable, and carried several potentially

negative connotations: Wearing glasses caused individuals to be stigmatized and stereotyped as

pious clergymen, elderly, or physically weak and passive. The stigma began to fall away in the

early 1900s when the popular Theodore Roosevelt was regularly photographed wearing

eyeglasses, and in the 1910s when popular comedian Harold Lloyd began wearing a pair of horn-

rimmed glasses as "The Glass Character" in his films

Since, eyeglasses have become an acceptable fashion item and often act as a key component in

individuals' personal image. Musicians Buddy Holly and John Lennon became synonymous with

the styles of eye-glasses they wore to the point that thick, black horn-rimmed glasses are often

called "Buddy Holly glasses" and perfectly round metal eyeglass frames called "John Lennon

Glasses." British comedic actor Eric Sykes is known in the United Kingdom for wearing thick,


46/103

38

square, horn-rimmed glasses, which are in fact a sophisticated hearing aid that alleviates his

deafness by allowing him to "hear" vibrations. Some celebrities have become so associated with

their eyeglasses that they continued to wear them even after taking alternate measures against

vision problems: United States Senator Barry Goldwater and comedian Drew Carey continued to

wear non-prescription glasses after being fitted for contacts and getting laser eye surgery.

Other celebrities have used glasses to differentiate themselves from the characters they play,

such as Anne Kirkbride, who wears oversized, 1980s-style round horn-rimmed glasses as

Deirdre Barlow on the soap opera Coronation Street, and Masaharu Morimoto, who wears

glasses to separate his professional persona as a chef from his stage persona as Iron Chef

Japanese.

In superhero fiction, eyeglasses have become a standard component of various heroes' disguises,

allowing them to adopt a nondescript demeanor when they are not in their superhero persona:

Superman is well known for wearing 1950s style horm-rimmed glasses as Clark Kent, while

Wonder Woman wears either round, Harold Lloyd style glasses or 1970s style bug-eye glasses as

Diana Prince.

STYLES

In the 20th century, eyeglasses came to be considered a component of fashion; as such, various

different styles have come in and out of popularity. Most are still in regular use, albeit with

varying degrees of frequency.

o Browline glasseso Bug-eye glasseso Cat eye glasseso GI glasseso Horn-rimmed glasseso Pince nezo Rimless glassesRare and currently noncommercial variations are rimless and frameless glasses attached to a

piercing at the bridge of a wearer's nose. Such glasses have the visual look of the pince-nez.


47/103

39

3.2 CONTACT LENS

A contact lens, or simply contact, is a lens placed on the eye. Contact lenses are considered

medical devices and can be worn to correct vision, for cosmetic or therapeutic reasons. In 2004,

it was estimated that 125 million people (2%) use contact lenses worldwide, including 28 to 38million in the United States. In 2010, worldwide contact lens market was estimated at $6.1

billion, while the U.S. soft lens market is estimated at $2.1 billion. Some have estimated that the

global market will reach $11.7 billion by 2015. As of 2010, the average age of contact lens

wearers globally was 31 years old and two thirds of wearers were female.

People choose to wear contact lenses for many reasons. Aesthetics and cosmetics are often

motivating factors for people who would like to avoid wearing glasses or would like to change

the appearance of their eyes. Other people wear contacts for more visual reasons. Whencompared with spectacles, contact lenses typically provide better peripheral vision, and do not

collect moisture such as rain, snow, condensation, or sweat. This makes them ideal for sports and

other outdoor activities. Additionally, there are conditions such as keratoconus and aniseikonia

that are typically corrected better by contacts than by glasses.

3.2.1 HISTORY

Leonardo Da Vinci is frequently credited with introducing the idea of contact lenses in his 1508

Codex of the eye, Manual D, where he described a method of directly altering corneal power by

submerging the eye in a bowl of water. Leonardo, however, did not suggest his idea be used for

correcting visionhe was more interested in learning about the mechanisms of accommodation

of the eye.

Ren Descartes proposed another idea in 1636, in which a glass tube filled with liquid is placed

in direct contact with the cornea. The protruding end was to be composed of clear glass, shaped

to correct vision; however, the idea was impracticable, since it would make blinking impossible.

In 1801, Thomas Young, made a basic pair of contact lenses on the model of Descartes. He used

wax to affix water-filled lenses to his eyes. This neutralized his own refractive power. He then

corrected for it with another pair of lenses.


48/103

40

However, like Leonardo's, Young's device was not intended to correct refraction errors. Sir John

Herschel, in a footnote of the 1845 edition of the Encyclopedia Metropolitana, posed two ideas

for the visual correction: the first "a spherical capsule of glass filled with animal jelly", and "a

mould of the cornea" which could be impressed on "some sort of transparent medium". Though

Herschel reportedly never tested these ideas, they were both later advanced by several

independent inventors such as Hungarian Dr. Dallos with Istvan Komromy (1929), perfected a

method of making molds from living eyes. This enabled the manufacture of lenses that, for the

first time, conformed to the actual shape of the eye.

It was not until 1887 that a German glassblower, F.E. Muller, produced the first eye covering to

be seen through and tolerated. In 1887, the German ophthalmologist Adolf Gaston Eugen Fick

constructed and fitted the first successful contact lens. While working in Zrich, he described

fabricating afocal scleral contact shells, which rested on the less sensitive rim of tissue around

the cornea, and experimentally fitting them: initially on rabbits, then on himself, and lastly on a

small group of volunteers. These lenses were made from heavy blown glass and were 1821mm

in diameter. Fick filled the empty space between cornea/callosity and glass with a dextrose

solution. He published his work, "Contactbrille", in the journal Archiv fr Augenheilkunde in

March 1888.

Fick's lens was large, unwieldy, and could only be worn for a couple of hours at a time. August

Mller in Kiel, Germany, corrected his own severe myopia with a more convenient glass-blown

scleral contact lens of his own manufacture in 1888.

Also in 1887, Louis J. Girard invented a similar scleral form of contact lens. Glass-blown scleral

lenses remained the only form of contact lens until the 1930s when polymethyl methacrylate

(PMMA or Perspex/Plexiglas) was developed, allowing plastic scleral lenses to be manufactured

for the first time. In 1936, optometrist William Feinbloom introduced plastic lenses, making

them lighter and more convenient. These lenses were a combination of glass and plastic.

In 1949, the first "corneal" lenses were developed. These were much smaller than the original

scleral lenses, as they sa

Comparative Study Between Spectacles & Lenses Among Youth

Documents