Project

A Seminar Report

On

INTERNATIONAL MARKETING OF HANDICRAFTS

SUBMITTED IN PARTIAL FULFILLMENT TO

THE IIS UNIVERSITY

For the Degree of MBA-International Business

(Department Of Human Resource Management)

SUPERVISED BY: - Ms Chetangana ChaudharyLecturer, Department of International Business, The IIS University

2011-2012

SUBMITTED BY:-

Ms Tapasya Rani

MBA-IB (Semester I)

Enroll No.ICG/2011/12615

CONTENTS

S.No. Particulars Page No

Acknowledgment

1. Introduction

2. Research methodology

3. Company profile

4. Data analysis and interpretation

5. Finding conclusion and suggestion

6. Bibliography

ACKNOWLEDGEMENT

I wish to express my deep sense of gratitude to my internal guide Ms Chetangana

Chaudhary Dept of International business, ICG for her able guidance and useful

suggestions, which helped me in completing the project work, in time.

Words are inadequate in offering my thanks my colleagues for their encouragement and

cooperation in carrying out the project work.

Finally, yet importantly, I would like to express my heartfelt thanks to my beloved parents for

their blessings and wishes for the successful completion of this project.

1. INTRODUCTION

Marketing

Marketing is the science and art of exploring, creating, and delivering value to satisfy the

needs of a target market at a profit.  Marketing identifies unfulfilled needs and desires. It

defines measures and quantifies the size of the identified market and the profit potential. It

pinpoints which segments the company is capable of serving best and it designs and

promotes the appropriate products and services.

Marketing is often performed by a department within the organization. This is both good

and bad. It’s good because it unites a group of trained people who focus on the marketing

task. It’s bad because marketing activities should not be carried out in a single department

but they should be manifest in all the activities of the organization.

The most important concepts of marketing in the first chapter.  They are: segmentation,

targeting, positioning, needs, wants, demand, offerings, brands, value and satisfaction,

exchange, transactions, relationships and networks, marketing channels, supply chain,

competition, the marketing environment, and marketing programs.  These terms make up

the working vocabulary of the marketing professional.

1) Marketing’s key processes are:

2) Opportunity identification,

3) New product development,

4) Customer attraction,

5) Customer retention and loyalty building, and

6) Order fulfilment. 

A company that handles all of these processes well will normally enjoy success.  But when

a company fails at any one of these processes, it will not survive.

Marketing is basically your interaction with your consumer. This interaction with your

consumer is done so that you can get the consumer to purchase your product or service.

Basically that is what marketing is all about, getting the customer to purchase your product

or service.

7 P’s of Marketing:

Product

The product aspects of marketing deal with the specifications of the actual goods or

services, plus how it relates to the end users needs and wants. The range of a product

normally includes supporting elements such as warranties, guarantees, and support.

Price

The second P in the formula is price. Develop the habit of continually examining and re-

examining the prices of the products and services you sell to make sure they're still

appropriate to the realities of the current market. Sometimes you need to lower your prices.

At other times, it may be appropriate to raise your prices. Many companies have found that

the profitability of certain products or services doesn't justify the amount of effort and

resources that go into producing them.

Promotion

The third habit in marketing and sales is to think in terms of promotion all the time.

Promotion includes all the ways you tell your customers about your products or services and

how you then market and sell to them.

Small changes in the way you promote and sell your products can lead to dramatic changes in

your results. Even small changes in your advertising can lead immediately to higher sales.

Experienced copywriters can often increase the response rate from advertising by 500 percent

by simply changing the headline on an advertisement.

Place

The fourth P in the marketing mix is the place where your product or service is actually sold.

Develop the habit of reviewing and reflecting upon the exact location where the customer

meets the salesperson. Sometimes a change in place can lead to a rapid increase in sales.

Packaging

The fifth element in the marketing mix is the packaging. Develop the habit of standing back

and looking at every visual element in the packaging of your product or service through the

eyes of a critical prospect. Remember, people from their first impression about you within the

first 30 seconds of seeing you or some element of your company. Small improvements in the

packaging or external appearance of your product or service can often lead to completely

different reactions from your customers.

Positioning

The next P is positioning. You should develop the habit of thinking continually about how

you are positioned in the hearts and minds of your customers. How do people think and talk

about you when you're not present? How do people think and talk about your company?

What positioning do you have in your market, in terms of the specific words people use when

they describe you and your offerings to others?

People

The final P of the marketing mix is people. Develop the habit of thinking in terms of the

people inside and outside of your business who are responsible for every element of your

sales and marketing strategy and activities.

Importance of Export

Growth of an economy is directly related to exports. If exports increase at a faster

pace as compared to imports, nothing can stop an economy from being a developed

one. On the other hand, the instability in exports can adversely affects the process of

economic development. Lower exports mean low foreign exchange and lower foreign

exchange in turn means a small purchasing capacity of a nation in the international

market.  Fluctuations in export earnings introduce uncertainties in an economy. These

uncertainties influence economic behaviour by adversely affecting the level and

efficiency of investment and in turn have a negative effect on growth. In addition to

the above factors, export growth is also important because of its effect on internal

trade and economic stability. Even more, the rate of economic growth and the

distribution of income and wealth in a country are closely related to export growth.

The concept of trade stability or instability may be based either on a country’s

aggregate trade in comparison with the cost of the world or on a binary country pair

comparison. Such binary pairs may be large depending upon the number of trading

allies. Export instabilities have been claimed to affect economic growth both

positively and negatively. Fluctuation in exports earnings introduces uncertainties in

the economy. The other side of the picture is that a greater amount of uncertainty on

export proceeds also brings about risk aversion. People tend to invest more in their

own country and the economy starts improving gradually. But this is not much

observed these days. Export fluctuations, on an average, act as a hindrance to the

stability and growth of the under developed countries. A high degree of export

instability may be expected to deter investment on a number of grounds. It is also

expected to raise borrowing costs, because export fluctuations tend to cause balance

of payment complexities. This ultimately leads to low confidence of people in the

process of maintenance of the exchange rate. Export instability stimulates inflation.

The simple rule of the thumb is that as inflation rises in a country, the products and

services tend to be costlier, with minor exceptions, of course.

Handicraft Export

Labour-intensive in nature, the Indian Handicrafts and Gifts Industry is a major

revenue generator of the country providing employment opportunities to more than 6

million craftsmen throughout India. It has also shown a consistent annual growth rate

of more than 15 per cent over a period of 10 years, with a steep rise from a mere 3.6%

to a 10% share in global handicraft exports. Major Indian states that contribute to

exportation of various handicraft items are Andhra Pradesh, Uttar Pradesh, Rajasthan,

and Gujarat. Moreover, popular handcrafted gift items manufactured and marketed

from India includes vases, candle stands, Christmas ornaments, pen stands,

brassware, gift items, ceramic pots and handmade paper products in matchless variety

and designs.

Handicrafts sector occupies an important place in the Indian economy as it

contributes significantly to employment generation and export earnings. The

economic importance of the sector also lies in its high employment potential, low

capital investment, high value addition and continuously increasing demand both in

the domestic and overseas markets. The sector provides employment to more than 60

lakh craft persons mostly from rural areas. The industry is highly labour intensive

and decentralized, being spread all over the country in rural and urban areas. The

Office of Development Commissioner (Handicrafts) under the Ministry of Textiles,

Government of India is the nodal Government Department at the national level for the

development of handicraft sector in the country. Through its various agencies like

Export Promotion Councils for Handicrafts, State Handicrafts Development

Corporations, Apex Societies and H2NGOs, it has been supplementing the efforts of

the state governments by implementing various developmental schemes of the

Government of India. The handicrafts sector has been identified by the Ministry of

Commerce and Industry, Government of India, as a thrust area for export promotion.

The Export Promotion Council for Handicrafts (EPCH) functioning under the aegis of

Office of Development Commissioner (Handicrafts) and governed by the policies of

the Ministry of Textiles, Government of India, since its inception in 1986, has been

playing an important role to promote exports of Indian handicrafts. To boost exports

of handicrafts, the Council undertakes various activities like participation in national

and international trade fairs, arranging buyer-seller meets, organizing workshops,

seminars and training programmes. The various handicrafts promoted by the Council

inter alia include artmetalwares/EPNS wares, hand printed textiles and scarves, wood

carvings and other art wares, embroidered and crocheted goods, zari and zari

goods, shawls as art ware, imitation jewellery and several other handicrafts, namely

artistic leather goods, lace and lace goods, toys, dolls, lacquer ware etc.

Top ten destination of India’s Export for Handicraft

USA,UK,Germany,France,Netherland,Spain,Italy,UAE,Canada,Belgium,Luxemboue,

What is the mission of Marketing

At least three different answers have been given to this question.  The earliest answer was

that the mission of marketing is to sell any and all of the company’s products to anyone and

everyone.  A second, more sophisticated answer is that the mission of marketing is to create

products that satisfy the unmet needs of target markets. A third, more philosophical answer,

is that the mission of marketing is to raise the material standard of living throughout the

world and the quality of life. 

Marketing’s role is to sense the unfulfilled needs of people and create new and attractive

solutions. The modern kitchen and its equipment provide a fine example of liberating women

from tedious housework so that they have time to develop their higher capacities.

International Marketing

International marketing (IM) or global marketing refers to marketing carried out by

companies overseas or across national borderlines. This strategy uses an extension of the

techniques used in the home country of a firm. It refers to the firm-level marketing practices

across the border including market identification and targeting, entry mode selection,

marketing mix, and strategic decisions to compete in international markets.

The intersection is the result of the process of internationalization. Many American and

European authors see international marketing as a simple extension of exporting, whereby

the marketing mix4P's is simply adapted in some way to take into account differences in

consumers and segments. It then follows that global marketing takes a more standardized

approach to world markets and focuses upon sameness, in other words the similarities in

consumers and segments.

International Marketing is simply the application of marketing principles to more than one

country. However, there is a crossover between what is commonly expressed as international

marketing and global marketing, which is a similar term. For the purposes of this lesson on

international marketing and those that follow it, international marketing and global marketing

are interchangeable.

"At its simplest level, international marketing involves the firm in making one or more

marketing mix decisions across national boundaries. At its most complex level, it involves

the firm in establishing manufacturing facilities overseas and coordinating marketing

strategies across the globe."

Before becoming involved in exporting, an organisation must find the answers to two

questions:

1. Is there a market for the product?

2. How far will it need to be adapted for overseas markets?

The product must possess characteristics that make it acceptable for the market - these may

be features like size, shape, design, performance and even colour. For example, red is a

popular colour in Chinese-speaking areas. Organisations also have to consider different

languages, customs and health and safety regulations.

Standardisation

If a company offers a product, which is undifferentiated between any of the markets to which

it is offered, then standardisation is taking place. The great benefit of standardisation is the

ability to compete with low costs over a large output.

The diagram below illustrates the use of a standardised products and marketing mix:

In most markets, however, there are many barriers to standardisation. It is not difficult to

think about the standard marketing mix for a product and how this might vary from one

country to another. For example:

product - tastes and habits differ between markets

price - consumers have different incomes

place - systems of distribution vary widely

Promotion - Consumers' media habits vary, as do language skills and levels of literacy.

With differentiated marketing, on the other hand, an organisation will segment its overseas

markets, and offer a marketing mix to meet the needs of each of its markets.

The great benefit of standardisation is that costs are lowered, profitability is increased and the

task of supplying different markets becomes substantially easier. The diagram illustrates the

process of adapting the marketing mix to meet the needs of different geographical markets:

However, it could also be argued that the success of many products in international markets

has come about because marketers have successfully adapted their marketing mix to meet

local needs.

To a large extent the standardisation/adaptation dilemma depends upon an organisation's

view of its overseas markets and the degree to which it is prepared to commit itself to

meeting the needs of overseas customers. There are three main approaches, which can be

applied:

where necessary. This is a pragmatic approach.

A walk through the time honoured gallery of Indian handicraft showcases the cultural

brilliance and munificence of the nation. Emblematic of a country that is a melting pot of

diverse communities, customs, tribes, traditions, festivals, and languages, the lineage of

Indian handicraft dates back to antiquity and captures a rich blend of functionality with

artistic ingenuity. Infusing prolific designs on timeless substrates like

textiles,stones,metal,papier mache,glass,grass,wood,cane,bamboo,clay,terracotta and

ceramics, they beautifully articulate the artistic mastery and excellence of Indian craftsperson

who have inherited, preserved and honed this ancient skill through the ages.Today,globally

extolled for their dynamic combination of form, design and colour. Indian handicrafts enjoy

a large export market especially in places like Saudi Arabia,U.S.A. Japan,U.K. Germany,

Canada,Itly,France,to name a few.

India is one of the important suppliers of handicrafts to the world market. The Indian

handicrafts industry is highly labour intensive cottage based industry and decentralized, being

spread all over the country in rural and urban areas. Numerous artisans are engaged in crafts

work on part-time basis. The industry provides employment to over six million artisans

(including those in carpet trade), which include a large number of women and people

belonging to the weaker sections of the society. Handicrafts are mostly defined as "Items

made by hand, often with the use of simple tools, and are generally artistic and/or traditional

in nature. They are also objects of utility and objects of decoration.

The term handicrafts encompasses a wide range of artfacts.The informal sector, which

includes handicrafts has been described by International Labour Organisation (ILO) as a part

of economic activity characterised by certain features like reliance on local available

recourses and skills, family ownership, small scale operations, labour intensity, traditional

technology, skills generally acquired outside the formal school system, unregulated and

competitive markets.

One of the best definitions of handicrafts is that adopted by UNESCO-UNCTAD/WTO (ITC)

at manila, 6-8 October 1997 during a symposium on crafts, which is:

“Artisanal products are those produced by artisans, either completely by hand, or with the

help of hand tools or even mechanical means, as long as the direct manual contribution of the

artisan remains the most substantial component of the finished product. The special nature of

artisanal product derived from their distinctive features, which can be utilitarian, aesthetic,

creative, culturally attached, decorative, functional, traditional, religiously and socially

symbolic and significant”.

Handicrafts is one of the key export segment of Indian trade with significant contribution

coming from Utter Pradesh.However,the handicrafts sector of Uttar Pradesh is faced with

several problems such as unrecognised marketing and inadequate market information; power

interruption and other infrastructural deficiencies; inadequacy of raw material at appropriate

prices; lack of mechanism for dispersal of technology for enhancing productivity; final

finishing and lack of investment for fulfilling international requirements and a general poor

image of the country as a supplier of quality goods with consistency.

According to Export Promotion Council of Handicraft (EPCH), the share of Indian

handicrafts is only 0.08% in the world market while China in just 5 years has cornered 56%

of the export market.

Classification of Handicraft

Handicrafts can be broadly classified in three categories

Consumer goods- Artisan prepare such utilitarian goods for self consumption or for

exchange such baskets for keeping domestic articles, smoking pipes, footwear,

hunting arrows, combs, storing, wooden and stone plates for use ,textile items like

shawls, coats, jackets,

Processing industries- such as minor forest products for self consumption and for

exchange at weekly hatt on barter age system or sell them for money to purchase

other items for self consumption

Decorative items- include jewellery, and ornaments, earrings, ankle bells, necklaces,

head gears, head dresses, In addition other decorative items such as wall paintings,

deities either wood or stone, artifacets. These handicrafts for decoration are for self

use or sell /exchange them in the weekly market for money

2 . RESEARCH METHODOLOGY

Meaning of Research

Research in common parlance refers to a search for knowledge. Once can also define

research as a scientific and systematic search for pertinent information on a specific topic. In

fact, research is an Art of scientific investigation. The Advanced Learner’s Dictionary of

Current English lays down the meaning of research as “a careful investigation or inquiry

especially through search for new facts in any branch of knowledge.”1 Redman and Mary

define research as a “systematized effort to gain new knowledge.”2 Some people consider

research as a movement, a movement from the known to the unknown. It is actually a voyage

of discovery. We all possess the vital instinct of inquisitiveness for, when the unknown

confronts us, we wonder and our inquisitiveness makes us probe and attain full and fuller

understanding of the unknown. This inquisitiveness is the mother of all knowledge and the

method, which man employs for obtaining the knowledge of whatever the unknown, can be

termed as research. Research is an academic activity and as such the term should be used in a

technical sense.

Definition

According to Clifford Woody research comprises defining and redefining problems,

formulating Hypothesis or suggested solutions; collecting, organising and evaluating data;

making deductions and reaching conclusions; and at last carefully testing the conclusions to

determine whether they fit the formulating hypothesis.

D. Slazenger and M. Stephenson in the Encyclopaedia of Social Sciences Define research as

“the manipulation of things, concepts or symbols for the purpose of generalising to Extend,

correct or verify knowledge, whether that knowledge aids in construction of theory or in the

Practice of an art.” Research is, thus, an original contribution to the existing stock of

knowledge making for its advancement. It is the pursuit of truth with the help of study,

observation, comparison and experiment. In short, the search for knowledge through

objective and systematic method of finding solution to a problem is research. The systematic

approach concerning generalisation and the Formulation of a theory is also research. As such

the term ‘research’ refers to the systematic method.

Type of Research

The basic types of research are as follows:

(I) Descriptive vs. Analytical : Descriptive research includes surveys and fact-finding

enquiries of different kinds. The major purpose of descriptive research is description of the

state of Affairs as it exists at present. In social science and business research we quite often

use the term Exposit facto research for descriptive research studies. The main characteristic

of this method is that the researcher has no control over the variables; he can only report what

has happened or what is happening. Most ex post facto research projects are used for

descriptive studies in which the researcher seeks to measure such items as, for example,

frequency of shopping, preferences of people, or similar data. Ex post facto studies also

include attempts by researchers to discover causes even when they cannot control the

variables. The methods of research utilized in descriptive research are survey methods of all

kinds, including comparative and co relational methods. In analytical research, on the other

hand, the researcher has to use facts or information already available, and analyze these to

make a critical evaluation of the material.

(2) Applied vs. Fundamental: Research can either be applied (or action) research or

fundamental (to basic or pure) research. Applied research aims at finding a solution for an

immediate problem facing a society or an industrial/business organisation, whereas

fundamental research is mainly concerned with generalisations and with the formulation of a

theory. “Gathering knowledge for knowledge’s sake is termed ‘pure’ or ‘basic’ research.”

Concerning some natural phenomenon or relating to pure mathematics are examples of

fundamental research. Similarly, research studies, concerning human behaviour carried on

with a view to make generalisations about human behaviour, are also examples of

fundamental research, but research aimed at certain conclusions (say, a solution) facing a

concrete social or business problem is an example of applied research. Research to identify

social, economic or political trends that may affect a particular institution or the copy

research (research to find out whether certain communications will be read and understood)

or the marketing research or evaluation research are examples of applied research. Thus, the

central aim of applied research is to discover a solution for some pressing practical problem,

whereas basic research is directed towards finding information that has a broad base of

applications and thus, adds to the already existing organized body of scientific knowledge.

(3) Quantitative vs. Qualitative : Quantitative research is based on the measurement of

quantity or amount. It is applicable to phenomena that can be expressed in terms of quantity.

Qualitative research, on the other hand, is concerned with qualitative phenomenon, i.e.,

phenomena relating to or involving quality or kind. For instance, when we are interested in

investigating the reasons for human behaviour (i.e., why people think or do certain things),

we quite often talk of ‘Motivation Research’, an important type of qualitative research. This

type of research aims at discovering the underlying motives and desires, using in depth

interviews for the purpose. Other techniques of such research are word association tests,

sentence completion tests, story completion tests and similar other projective techniques.

Attitude or opinion research i.e., research designed to find out how people feel or what they

think about a particular subject or institution is also qualitative research. Qualitative research

is especially important in the behavioural sciences where the aim is to discover the

underlying motives of human behaviour. Through such research we can analyse the various

factors which motivate people to behave in a particular manner or which make people like or

dislike a particular thing.

(4) Conceptual vs. Empirical: Conceptual research is that related to some abstract

idea(s) or theory. It is generally used by philosophers and thinkers to develop new concepts

or to reinterpret existing ones. On the other hand, empirical research relies on experience or

observation alone, often without due regard for system and theory. It is data-based research,

coming up with conclusions which are capable of being verified by observation or

experiment.

We can also call it as experimental type of research. In such a research it is necessary to get at

facts firsthand, at their source, and actively to go about doing certain things to stimulate the

production of desired information. In such a research, the researcher must first provide

himself with a working hypothesis or guess as to the probable results. He then works to get

enough facts (data) to prove or disprove his hypothesis. He then sets up experimental designs

which he thinks will manipulate the persons or the materials concerned so as to bring forth

the desired information. Such research is thus characterised by the experimenter’s control

over the variables under study and his deliberate manipulation of one of them to study its

effects. Empirical research is appropriate when proof is sought that certain variables affect

other variables in some way. Evidence gathered through experiments or empirical studies is

today considered to be the most powerful support possible for a given hypothesis.

Objective of Study

To study the existing status of the handicrafts.

To support the overall growth and development of Handicrafts by maintaining

state of art design technology.

To Increase economic opportunities and enhance business skills and explore

potentials.

To bequeath traditional know-how to the posterity.

To continue producing young and new artists.

Scope of study

To study the source of the raw materials and the extent of sustainability of the

handicrafts based on these resources

To assess the extent of dependence of the artisans on this sector and any other

livelihood options

To assess the support provided by the local NGO’s/Government

programmes/financial institutions to the artisans.

To assess the extent of handicraft sector as a livelihood option and further

interventions/support required.

Data collection

Data Collection is an important aspect of any type of research study. Inaccurate data

collection can impact the results of a study and ultimately lead to invalid results. Data

collection methods for impact evaluation vary along a continuum. At the one end of this

continuum are quantitative methods and at the other end of the continuum are Qualitative

methods for data collection

By now we have known that data could be classified in the following three ways:

a) Quantitative' and Qualitative Data.

b) Sample and Census Data.

c) Primary and Secondary data.

(a)Quantitative and Qualitative data : Quantitative data are those set of Information

which are quantifiable and can be expressed in some standard units like rupees, kilograms,

litres, etc. For example, pocket money of students of a class and income of their parents can

be expressed in so many rupees; production or import of wheat can be expressed in so many

kilograms or lakh Quintals; consumption of petrol and diesel in India as so many lakh litres in

one year and so on.

Qualitative data, on the other hand, are not quantifiable, that is, cannot be expressed in

standard units of measurement like rupees, kilograms, litres, etc.

This is because they are 'features', 'qualities' or 'characteristics' like eye colours, skin

complexion, honesty, good or bad, etc. These are also referred to as attributes. In this case,

however, it is possible to count the number of individuals (or items) possessing a particular

attribute.

b) Sample and Census Data : It was discussed in Section 1.2.3 of Unit 1 that data can be

collected either by census method or sample method. Information collected through sample

inquiry is called sample data and the one collected through census inquiry is called census

data. Population census data are collected every ten years in India.

C) Primary and Secondary Data : As discussed very briefly in Section 1.2.2, Primary

data are collected by the investigator through field survey. Such data are in raw form and

must be refined before use. On the other hand, secondary data are extracted from the existing

published or unpublished sources, that 1% from the data already collected by others.

Collection of data is the first basic step towards the statistical analysis of any problem. The

collected data are suitably transformed and analysed to draw conclusions about the

population. These conclusions may be either or both of the following:

1) To estimate one or more parameters of a population or the nature of the population itself.

This forms the subject matter of the theory of estimation

2) To test a hypothesis. A hypothesis is a statement regarding the parameters or the nature of

population

Primary data

Primary data is that has not been previously published,i.e. the data is derived from a new or

original research study and study and collected the source,e.g.,in marketing it is information

that is obtained directly from first-hand sources by means of surveys, observation or

experimentation. Primary data is important for all areas of research because it is like the

eyewitness testimony at a trial. No one else has tarnished it or spun it by adding their own

opinion or bias so it can form basis of objective conclusions.

Primary data is the specific information collected by the person who is doing the research. It

can be obtained through clinical trial, case studies, true experiments and randomized

controlled studies. This information can be analysed by other experts who may decide to test

the validity of the data by repeating the same experiments.

Definition

Primary data is information collected by the researcher directly through instruments such as

surveys, interviews, focus groups or observation. Tailored to his specific needs, primary

research provides the researcher with the most accurate and up-to-date data

Secondary Data

Secondary data is collected by someone other than the user. Common sources of secondary

data for social science include censuses, surveys, organizational records and data collected

through qualitative methodologies or qualitative research. Primary data, by contrast, are

collected by the investigator conducting the research.

Secondary data analysis saves time that would otherwise be spent collecting data and,

particularly in the case of quantitative data, provides larger and higher-quality databases that

would be unfeasible for any individual researcher to collect on their own. In addition,

analysts of social and economic change consider secondary data essential, since it is

impossible to conduct a new survey that can adequately capture past change and/or

developments.

Secondary data is the data which have been already collected and by readily available by

other sources such data are cheaper more quickly obtainable than the primary data and also

available easily when primary data is not available at all.

Definition

Secondary data, on the other hand, is basically primary data collected by someone else.

Researchers reuse and repurpose information as secondary data because it is easier and less

expensive to collect. However, it is seldom as useful and accurate as primary data

Sources of secondary data

As is the case in primary research, secondary data can be obtained from two different

research strands:

Quantitative: Census, housing, social security as well as electoral statistics and other

related databases.

Qualitative: Semi-structured and structured interviews focus group’s transcripts, field

notes, observation records and other personal, research-related documents.

A clear benefit of using secondary data is that much of the background work needed has been

already been carried out, for example: literature reviews, case studies might have been carried

out, published texts and statistic could have been already used elsewhere, media promotion

and personal contacts have also been utilized.

The method of data collection used here for this project report is secondary data and has been

collected from sources such as internet, books, and magazines.

Limitations of the study

a. The report is prepared on the basis of secondary data collected from internet

and other sources so may not be 100% reliable.

b. Sometimes the data provided by the company might not be correct.

c. Difficulty in reaching conclusions as the data is based on secondary.

3. COMPANY PROFILE

Meena Handicrafts

India with its rich heritage of craftsmanship always offered the world unique and timeless

handicrafts. These handicrafts are a manifestation of India's distinct style and tradition.

Capturing the essence of Indian craftsmanship, Meena Handicrafts & Export Corporation,

manufacture and export a wide variety of handcrafted products with a sole aim to optimize

the expertise and expression of our traditionally skilled artisans to produce classic

Handicrafts.

Company info

In depth understanding of our industry, within a short duration, we have touched the pulse of

the customers across the globe by offering handcrafted products that bespeak of the spirit and

mystery of Indian cultures and traditions. Apart from having aesthetic value, our products are

distinguished in the market for their functional utility and longer usage.   

Meena handicrafts is the No.1 manufacturer, direct importer and wholesaler, we import,

export, wholesale jewellery, gift and home furnishing product, beach wear clothing.  Our

wholesale distribution head office located in India and we have warehouses both in New

Delhi and Uttar Pradesh, India. Meena Handicrafts is known for its creative designs and

quality products. Handicrafts have endeavoured to produce handcrafted products that are

beyond compare and have a market worldwide. It manufactures, export and supply a

nonpareil range of handcrafted products that includes: Photo Frames, Lamp Shades, Stories,

Curtain Tie Backs, Tassels, Jewellery Box, Notebooks, Cushion Covers, Fashion Bags, Beads

and Beaded Belts. A rising sun in the glamorous city Mumbai, Meena Handicrafts is the

sterling exporters & wholesale suppliers of superior quality brass handicrafts, sandstone

handicrafts, wooden handicrafts and handloom products. 

Meena Handicrafts are known for exporting Indian Handicrafts with traditional and artistic

yet sophisticated range of handmade and hand crafted products in wood, wrought iron, stone,

textile etc. They are guided by a strong vision of supplying premium quality and durable

finish products at reasonable prices. We are appreciated for supplying wide range of designs

that are captivating and elegant. Meena Handicrafts can be associated with its exclusive range

of products, world class quality and elegant art. Be it quality, design or colour combination

our products have no match in the market.

Meena Handicraft’s minimum order is US$ 300, any combination of handicrafts, jewellery or

clothing.

 Meena Handicraft’s gift wholesale product lines are handmade, hand carved, hand painted

by professional carvers and painters in New Delhi & U.P, India. Because each piece is hand

crafted, size and colour may vary slightly.

Specialisation

Meena Handicrafts is specialized in manufacturing and exporting hand made giftware,

Indian arts and crafts, body jewellery, silver jewellery, beads and jewellery findings, sarong,

skirt, woman clothing, man clothing, hair accessories from Asia.

Goal

 Goal is to provide you high quality wholesale gifts, home decor, jewellery, rayon garment

and other wholesale products with competitive prices and friendly customer services.

History

Manufacturer of Garment/ Exclusive Jewell Box’s / Jewellery / Indian Handicraft, and a

variety of gift boxes in various finish shapes. Meena Handicrafts is a dynamic and result

oriented export house running since 2005, under the stewardship of Mrs. Mamta Mishra. It

has been manufacturing & exporting innovative quality handicrafts

and home furnishings in the fierce & competitive international market. It has carved a niche

for itself by its professional approach in each and every stage of production, be it Q.C.,

production facility or timely delivery. The vast array of product range begins form gift items

like jewellery & jewellery boxes, photo frames, photo albums, journals, votives, jewellery

wraps, key chains & bookmarks. The fashion accessory range includes fashion bags, evening

bags, scarves, sarongs & hair accessories. The home furnishing range has designer cushions,

hand embodied cushions, beaded coasters.

Product

Products include various handicrafts gift product,

Tribal giftware, arts and crafts, indoors and out door home decoration merchandise and

handmade gifts items from Ghaziabad and Delhi, India, such as bamboo wind chime, dream

chime, wooden wind chime, aluminium wind bell, candle stick holder, stone carved

candleholder, tea light holder, picture

Frame, photo frame, wrought iron candle holder, 3D candle lantern, wood, carved wooden

frame include mirror ( sun moon mirror, cats mirror, frog mirror, fish mirror, flowers mirror,

glass mosaic mirror, other decorative mirrors), mobiles, chimes, wind chimes, garden

accessories, home decorating,

Home improvement idea, wholesale product, wooden mask, African style tribal mask

decoration, wholesale gift item,

Souvenir, novelty, ornament, figurine,

wood craft, carved wooden animals, incense burner, key holders, cloth hangers,

wooden flowers, primitive statues, ceramic art, tribal masks,  hippie style clothing and

wholesale gift items, ethnic / traditional musical instruments ( bamboo drums, demes drum,

iron gong , hand drums, rain sticks, mascara, didgeridoos, folk music instrument ), wooden

flower pot

, lady shoulder bag, beach bag, handbag, wood carving tulip, rose, lily star, handmade

wooden flower, bamboo vases and holders, jewellery boxes, traditional or contemporary

design wooden sculptures, animal figurines / sea life ornament

/ garden  deco / home accent / country style collectible ( fish, tropical fish, cobra, dragon,

frog, cat, elephant, snake, rooster, hen, toucan, bird, giraffe, zebra, dolphin, whale, turtle,

seahorse, seashell, starfish, pine apple wooden spoon and fork, strawberry cutlery for kitchen

tabletop, cow, dinosaur, pelican, cockatoo, etc.

Meena Handicrafts wholesale to U.S., Malaysia, Singapore, Korea, Srilanka,

Thailand, Indonesia, Japan, Canada and international. 

Marketing Strategies

A strategy that integrates an organization's marketing goals into a cohesive whole. Ideally

drawn from market research, it focuses on the ideal product mix to achieve maximum profit

potential. The marketing strategy is set out in a marketing plan.

Fluctuating customer requirements and competitive forces are putting more pressure on

marketing and are demanding superior sales and marketing strategy and tactical execution.

The cycle time from product creation, to product launch, for a winning go-to-market strategy,

leaves no margin for error. The rapid commoditization of complex solutions calls for concise

marketing strategy and timely execution, yet many companies are finding their best sales and

marketing strategies are highly-diluted by the time they reach the customer

4 p’s:

1. Product - The product aspects of marketing deal with the specifications of the actual

goods or services, plus how it relates to the end users needs and wants. The range of a

product normally includes supporting elements such as warranties, guarantees, and support.

We keep in mind consumer needs and wants, what does customer wants from the product?

And size, shape and colour of the product. We design product that attracts the customer.

2. Pricing -This refers to the process of setting a price for a product, together with discounts.

The price need not be monetary; it can plainly be what is exchanged for the product or

services, e.g. time, energy, or attention. Methods of setting prices optimally are in the domain

of pricing art. we price our products keeping many factors in mind such as, whether a small

decrease in price can gain extra market share, or will a small increase be indiscernible and

can extra profit margin can be gained, is customer is price sensitive .

3. Placement - (or distribution): refers to how the product gets to the buyer; for instance,

point-of-sale assignment or retailing. This third P has furthermore at times been called Place,

referring to the channel by which a product or service is sold (e.g. online vs. retail), which

geographic region or industry, to which division (young adults, families, business citizens),

etc. also referring to how the surroundings in which the product is sold in can influence sales.

Accessing the right distribution channel is very important. We keep in mind that where

customer look for our products. We make sure that we can provide service at right time and at

right place whether it’s online or direct.

4. Promotion - This includes advertising, sales promotion, including promotional education,

publicity, and individual selling. Branding refers to the assorted strategies of promoting the

product, brand, or company.

All the 4 marketing p's are also known as "the marketing mix" furthermore are frequently

used by a marketer to plot a plan, and place the foundations of fresh projects/campaigns, it is

a astonishingly useful strategy that has been used ever since the early 1960's.promotion

includes the ways by which you can reach to audiences. Such as Advertising in the presss, or

on TV, radio, through PR or through internet.

Trade and Terms

The Following is the Minimum Order Amount per Order

New Customers U.S $ 300 per Order 

Regular Customers U.S $ 500 per Order 

Surplus Items U.S $ 1000 per Order

4. DATA ANALYSIS AND INTERPRETATION

Benefits of Handicraft

1. Train the eye and hand.

Handicrafts help train the eye and the hand. Handicrafts provide lots of opportunities to

observe; and the more often observes the sooner that skill will become a helpful habit.

Handicrafts also provide lots of practice in eye-hand coordination. Training your hand to

work in tandem with your eye requires time and experience. Handicrafts offer a

wonderful arena in which to develop that skill.

2. Cultivate the artistic feeling.

Handicraft cultivates artistic feeling.

3. Train in neatness, or good taste.

Handicrafts also provide a great opportunity to train the senses toward good taste. In her

words, “Neatness is akin to order, but is not quite the same thing: it implies not only ‘a

place for everything, and everything in its place,’ but everything in a suitable place, so

as to produce a good effect; in fact, taste comes into play.

4. Train in manual dexterity.

There is a lot to be said for muscle memory. The more the hand muscles repeat a

motion, the more you can fine tune that motion for precision. No matter which

handicraft you select, it will provide excellent training ground for manual dexterity.

5. Establish due relations with various materials.

Maybe you’ve read about throwing clay pots on a wheel. Maybe you’ve even seen a

demonstration. But have you ever tried it yourself — gotten your hands messy and felt

the clay turning on the wheel under your hands? When you experience something for

yourself — when it touches your imagination and emotions — that’s when you really

know it.

6. Experience the pleasure of exact movements

If you are careful in teaching your child what he is to do and selecting handicrafts that

will challenge, but not frustrate, your child will taste pleasure and success as he develops

his skill.

“The human hand is a wonderful and exquisite instrument to be used in a hundred

movements exacting delicacy, direction and force; every such movement is a cause of

joy as it leads to the pleasure.

7. Encourage productivity.

SWOT Analysis

Strengths:

Large diversified and potential market.

Diversified product range that service different market.

Large product variety and range is available because of diversified culture.

Cheap labour rate that results to competitive price.

Low capital investment.

No need of macro investment.

Flexible production flexibility.

Low barriers of new entry.

Strong and diversified and supportive infrastructure.

Weaknesses

Unawareness about international requirement and market.

Lack of co-ordination between government bodies and private players

Inadequate information of new technology.

Lack of promotion of products.

Lack of skilled labour.

Less interest of young people in craft industry.

Inadequate information of current market trends.

Opportunities

Rising demand for handicraft product in developed countries such as USA, Canada,

Britain, Germany Italy etc.

Developing fashion industry requires handicrafts products.

Developing of sectors like Retail, Real Estate that offers great requirement of

handicraft product.

Development of domestic and international tourism sector.

E-commerce and internet are emerged as promissory distribution channel to market

and sell the craft products.

Threats

Competition in domestic market.

Balance between high demand and supply.

Quality products produced by competing countries like China, South Africa.

Better Trade terms offered by competing countries.

Increased and better technological support and R&D facility in competing countries.

5. FINDING, SUGGESTION, CONCLUSION

Findings

1. Specific funds are earmarked under MAI & MDA Schemes for promoting Handicraft

exports.

2. All handicraft exports would be treated as special Focus products and entitled to

higher incentives.

Suggestion

Establishment of common facilities centres for imparting training, marketing, providing

market intelligence, establishing linkages with financial institutions, providing raw materials,

providing managerial inputs is the need of the hour. Following recommendations are

suggested for development of promotion of handicraft in India.

Availability of raw material at reasonable rates

It has been observed that in few of the cases, the raw material for handicraft products is not

locally available. Non availability of raw material for the tribal’s stands in the way for

development or sometimes there are costly .It has been suggested that raw material depots

may be set up in craft concentration tribal pockets to facilitate uninterrupted supply of

standard raw material to craftsperson’s in appropriate quantity and quality at reasonable rates.

In such circumstance the state governments may supply raw material like seasoned wood or

wool at cheaper rates become incentive for the tribal’s to continue producing crafts

Credit Facilities/Financial Support

The craftsperson’s mostly working on job/contract basis and they do not have enough

capacity to store the requisite raw materials to produce their own products, rather they are

dependent upon intermediaries for credit facilities/financial support on higher rate of interest.

Furthermore topographically they are residing in remote and far-flung areas having no access

to mode of transportation. In view of this some NGOs were of the view that instead of

craftsperson’s approaching to bank individually, the bank should camp at specified place to

get completed the documents and distribute the loan to the tribal artisans. Further it has been

suggested that finance should also be made available through Post Office.

Up gradation of technology and production techniques

Despite their best quality of products their biggest handicap of these artisans is the absence of

assured market for their products partly due to lack of proper communication system which

influences the cost of their products. In such a scenario the prices of their products became

costly. In addition to the use of mechanized items and use of plastics as substitutes eroded the

demand for handicrafts.

It has been observed that quality of the products is not up-to the mark as per market taste and

preferences. The tools and equipment are also based on very old and traditional techniques

leading to higher cost of production thereby causing difficulties in the sale of final products.

Design development production of new items and improvements traditional tools and age old

techniques need to be attempted in such items where the originality of the tribal designs is

retained. Introduction of new items with improved models may be designed continuously to

attract new customers and explore new markets by the present design and training institutes

Therefore it has been recommended that central and state government should organise regular

seminars to upgrade the technology and production of techniques. There is need for

upgrading their skills, product diversifications, product designing, market oriented products

participation in exhibitions in India and abroad.

Consultancy for Handicrafts Sector

It has been suggested that consultancy /seminar should be organized from time to time in

different crafts for the benefit of artisans/exporters and dissemination of market intelligence,

up-gradation of technology, standardization of quality and packaging for higher value

addition of products.

Conclusion

According to one of the estimate about 70 lakh craft persons are engaged in handicrafts sector

all over the country and their annual production is around 21 thousand crore (Rs.) out of

which products worth of about Rs. 9.3 thousand crores is being exported

Handicrafts are facing the stiff challenge from machine-made goods and efforts should be

made for the revival and survival of handicraft items. It has been observed that emphasis

should be given on modification and development to improve tools and equipments, which

are acceptable and comfortable to the craftsmen for products of high quality products as well

as are economically viable. These products will then be in a position to surpass the machine

made items and will be the prized attraction and possession of the customers.

The quality of the products should have to be of International standard. Market intelligence,

taste, trends and preferences of the customers are also required to be identified and design

diversification shall have to be undertaken accordingly. The price of the products should be

competitive and economical too. It has been observed that need of employment by

development of handicrafts sector through locally available resources which may be utilized

for the development of handicrafts sector. Employment opportunities can be categorized in

three segments namely

(1) Self – Employment (2) Regular Employment (3) Daily Waged. Employment efforts shall

be made to engage the un-employed tribal youth for providing them Self-Employment

through various development schemes on priority basis.

At the same time, a large number of NGOs have realized the importance of income

generating activities for rural, poor and have diversified into enterprise promotion through

training and saving and credit programme through groups. They have been able to develop a

close and enduring relationship with the rural people. These NGOs articulate the local

people’s needs and aspirations and translate them into effective action/plans and implements

them with people’s active participation. There is a growing need for awakening and planning

for recognition of handicrafts as a potential sector of Indian economy for optimum utilization

of natural resources through human force for creation of self employment and natural wealth.

The strength of Indian Handicrafts lies in largely inherited creativity and skill of craft

persons, traditional and cultural base, low capital investment and high value addition. The

opportunities are focused on growing export market especially in developed countries having

preferential taste for handicrafts, awareness and usage of handicrafts in dress and lifestyles,

technological possibilities for reducing of drudgery and improving qualities.

The weaknesses of handicrafts industry rest upon being unorganized with dispersed

production bases, lack of working capital at producer’s end, diversity of input needs making

co-operativisation difficult, market intelligence and perception and the attitude that craft is

mainly decorative and non-essential. The challenges and threats to the craft and craftsmen are

from growing competition in export market in view of WTO, continued low return weaning

craftsman away from their traditional occupation, scarcity of raw material due to depletion

and non-presentation of natural mediums and competition from machine made goods.

BIBLIOGRPAHY

(a)Cateora, Philip, international Marketing, Mc Graw-Hill/Irwin 2007

(b) http://www.meenaahandicrafts.com/

(c) http://marketingteacher.com/lesson-store/lesson-international-marketing.html

(d) http://en.wikipedia.org/wiki/International_marketing

(e) http://en.wikipedia.org/wiki/Seven_Ps

(f) http://en.wikipedia.org/wiki/Marketing_mix