Brand Name - FUSHION FLING

PROJECT REPORT- LEVEL 2, SEMESTER 3

SCHOOL OF FASHION - BUSINESS

PEARL ACADEMY

IN PART FULFILLMENT OF THE POST GRADUATE

DIPLOMA IN FASHION BUSINESS
(MARKETING & MERCHANDISING)

SUBMITTED BY:

SMRITI BIHANI

5000012709

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 LETTER OF ACKNOWLEDGEMENT
I would like to thank Pearl Academy, Mumbai for extending the opportunity to
conduct the brand analysis. The work presented is original and any outside
references taken are duely acknowledged and cited.

I would like to express my thanks and gratitude specially to our teachers, who
helped and guided us throughout this journey. I would like sincerely like to
thank all the respondants, for their precious time aand useful insights in the
research topics, who have patiently expressed their views to help us carry on
with my dissertation. I would like to thank my family, friends and fellow
classmates for their support. This project is dedicated to all.

Faculty Name and Signature:-

Anurodh Agnihotri

Falguni Shah

Ananya Pati

Chandrashekhar Joshi

Neena Malhotra

Neeraj Paul

Radha Rapelli

Rakesh Vanarase

Sanjay Rawat

Supriya Puthran

Vivek Rastogi

Students Name and Signature:- Smriti Bihani

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 DECLARATION

I hereby declare that this Project submitted of the below mentioned modules:-

 Strategic Fashion Marketing and Merchandising

 Entrepreneurship and Project Management
 SCM and Business Intelligence

is my own work and that, to the best of my knowledge and belief, it reproduces
no material previously published or written, nor material that has been accepted
for the award of any other degree or diploma by any educational institution,
except where due knowledge is made in the text.

Name – Smriti Bihani

Date –

Place – Mumbai

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 INDEX

SL. NO TOPICS PAGE

NO
I INTRODUCTION AND BUSINESS 10
OPERATIONS
I.1 RATIONALE 11-13
I.2 DESCRIPTION OF THE BUSINESS 14-15
I.3 MISSION VISION AND VALUES 16
1.4 COMPETITOR ANALYSIS 17-20
I.5 TRENDS 21-22
I.6 GOVERNMENT REGULATIONS AND 23-26
INDUSTRIAL LAWS
I.7 PRODUCT LIFE CYCLE 27-28
I.8 BUSINESS LOCATION AND REQUIREMENTS 29
I.9 EQUIPMENT AND TECHNOLOGY 30-31
I.10 HUMAN RESOURCE PLAN 31
I.11 ORGANIZATION STRUCTURE 32
1.12 KEY EMPLOYEES 32
I.13 SUSTAINABLE POLICIES 33
II BUSINESS ENVIRONMENT AND STRATEGIC 34
MARKETING
II.1 PESTLE ANALYSIS 35-41
II.2 SEGMENTATION, TARGETING, POSITIONING 42-44
II.3 MARKETING MIX 45-47
II.4 SWOT ANALYSIS 48-49
II.5 PORTER’S VALUE CHAIN 50-52
II.6 CBBE MODEL 53-54
II.7 BRAND PRISM MODEL 55-56
II.8 PORTERS 5 FORCES ANALYSIS 57-58
II.9 SUPPLIERS 59
II.10 ADVERTISING AND PROMOTION 60
II.11 DIGITAL PRESENCE 61-63
II.12 PRICING AND DISTRIBUTION 64
II.13 CUSTOMER SERVICE POLICY 65
II.14 OCEAN STRATEGIES 66-67
II.15 BEACH HEAD STRATEGY 68
III BUSINESS RESEARCH 69
III.1 ABSTRACT 70
III.2 INTRODUCTION 70-71
III.3 OBJECTIVE 72
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 III.4 LITERATURE REVIEW 72-74
III.5 RESEARCH METHODOLOGY 75
III.6 CHALLENGES/ LIMITATIONS 76
III.7 HYPOSTHESIS STATEMENT 76-77
III.8 FINDINGS 78-85
III.9 RECOMMENDATIONS/SUGGESTIONS 86
III.10 CONCLUSION 87
IV TECH PACK AND MERCHANDISING 88
IV.1 DOMESTIC SOURCING 89
IV.2 FIXTURE TABLE 90
IV.3 RANGE PLAN 91
IV.4 BUY PLAN 92
IV.5 ROS CALCULATION AND PURCHASE ORDER 93
IV.6 TECH PACK- MAIN, TRIMS, LABELS 94-96
IV.7 PRODUCTION PROCESS 97
IV.8 PRODUCTION SYSTEM 98-99
IV.9 LEAN MANUFACTURING 100-103
IV.10 VENDOR MANAGEMENT 104
IV.11 VENDOR RATING 105
V PROJECT MANAGEMENT AND 106
ENTREPRENEURSHIP
V.1 PM KNOWLEDGE AREAS 107-110
V.2 PERT CHART 111
V.3 GANTT CHART 112
V.4 BUSINESS CANVAS 113
V.5 ENTREPRENEURSHIP THEORIES 114-116
VI SUPPLY CHAIN MANAGEMENT 117-121
VII FINANCIAL MANAGEMENT 122
VII.1 COST SHEET 122
VII.2 MARKETING BUDGET 123
VII.3 PRE-LAUNCH BUDGET 123
VII.4 BREAK EVEN ANALYSIS 124
VII.5 ADMIN PLAN 124
VIII VISUAL MERCHANDISING 126-127
IX ANNEXURE 128-131
X REFLECTION 132
XI REFERENCING 133-135

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 LIST OF CHARTS/TABLES/IMAGES

FIGURES/ TABLES/CHARTS PAGE NO

Figure 1- Revenue in the Bags and Accessories segment 12
Figure 2-Number of users in the bags and accessories 13
segment
Figure 3- Total market revenue by online sales in 2023 13
Figure 4- Brand Logo 16
Figure 5-Competitor pricing 19
Figure 6- Target Market of competitors 19
Figure 7- Product line of competitors 20
Figure 8- Payal Singhal Fashion Show 22
Figure 9- Payal Singhal Fashion Show 22
Figure 10- Product Life Cycle 27
Figure 11- Equipment and Machinery 30
Figure 12- Organization Structure 32
Figure 13- Key Employees 32
Figure 14- Segmentation 42
Figure 15- Brand Positioning map 44
Figure 16- Swot Analysis 48
Figure 17-Porter’s Value Chain 50
Figure 18- CBBE 53
Figure 19- Brand Prism 55
Figure 20- Porter’s Five Forces Analysis 57
Figure 21- Suppliers 59
Figure 22- Suppliers- Fushion Fling as a brand 59

Figure 23-Brand Poster 60

Figure 24- Instagram page 61

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Figure 25- Facebook Page 61
Figure 26- Website 62
Figure 27- Website- About Us 62
Figure 28- Our products 63
Figure 29- Strategies Comparison 66
Figure 30- Indian Leather Exports 71
Figure 31- Age group 78
Figure 32- Usage of handbags 78
Figure 33- Location 79
Figure 34- Consumers on trends 79
Figure 35- Need for handbags 80
Figure 36- Material/ Fabric 80
Figure 37- Handbag Style preference 81
Figure 38- Buying behaviour 81
Figure 39- Factors affecting consumer buying pattern 82
Figure 40- Preference of handbag features 82
Figure 41- Awareness of ‘Fanny Pack’ 83
Figure 42- Comfort level of consumers 83
Figure 43- Willingness to try my product 84
Figure 44- Awareness of collaborating brand 84
Figure 45- Product location 85
Figure 46- Domestic sourcing 89
Figure 47- Fixture 90
Figure 48- Range Plan 91
Figure 49- Buy Plan 92
Figure 50- ROS 93
Figure 51- Purchase Order 93
Figure 52- TECH PACK- Main Page 94

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Figure 53- Trims 95
Figure 54-Labels 96
Figure 55- Production Process 97
Figure 56- Vendor Management- Contract 104
Figure 57- Vendor Rating 105
Figure 58-PM Knowledge Areas 107
Figure 59- Pert Chart 111
Figure 60- Activities 111
Figure 61- Gannt Chart 112
Figure 62- Business Canvas 113
Figure 63- Supply Chain Process 119
Figure 64- Cost Sheet 122
Figure 65- Marketing Budget 123
Figure 66- Pre Launch Budget 123
Figure 67-Break Even Costs 124
Figure 68- Break Even Analysis 124
Figure 69- Admin Plan 125
Figure 70- Store Layout 126
Figure 71- Factory/ Warehouse Layout 127

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 EXECUTIVE SUMMARY

The main objective of this project is to create our own brand with a new product
in the market or some innovation in an existing product in the market.

We studied every aspect of creating a brand including their marketing strategies

, financial aspect, visual merchandising, merchandising, mission, vision,
operations, project management, supply chain etc. We have to analyse all these
things, including the trends in the industry

Based on the secondary and primary collection of data, this report shows the
several solutions and recommendations for the distinct problems faced by my
target market.

I have created a brand called ‘Fushion Fling’ which will provide convertible
sling bags that can be used as a fanny pack or ‘waist bag’ . The merchandise
mix by choosing different designs according to the trends and my target market,
and then categorising them. I have planned to collaborate with the brand
Globus, a retail clothing store chain, which is a part of the Rajan Raheja Group.
Globus has accesories and handbags as well under the name ‘GLO’. I have
chosen the stores in Mumbai, Delhi, Kolkata and Bangalore to keep my
products with the main manufacturing unit and warehouse in Delhi. I will be
procuring the raw materials from Kolkata and Mumbai.

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I. INTRODUCTION AND BUSINESS
OPERATIONS

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 I.1 RATIONALE

The handbags market in India was monopolised in 2014 by wallets and bags
category,according to the manual market research. Specialist retailers represted
the largest market share in the Indian market in terms of distribution. The
increase in urbanization and increased earnings, influencing the demand for
expensive premium brands and consumer consumption, is the major driving
force on the Indian handbag market. Analysis of the handbag industry suggests
that over the period 2014-2019 the handbag industry in India grows by a CAGR
of 19.2% and 15.1% respectively in terms of volume and revenue.

The handbags market in India can be segmented into four: totes, shoulder bags,
purses and wallets, satchels. The purses and wallets held the largest handbag
market share in terms of both revenue and volume, accounting for 34.8% and
35.4% share of the market. The Indian handbag industry has insignificantly with
the launch of brands. It now saw consumers shopping on branded high-street
lebels from a largely unorganised segment. Much has contibuted to the growth
of the industry, including increased number of workers; internet exposure;
increase of the revenue for personal disposal; e-commerce platforms across the
nation. Consumers today are more aware of and exposed to trends. In other
words, handbags have been accepted as a product of lifestyle. With rapid
fashion in the high-street sector a norm, trends change rapidly, and brands are
working to introduce trendy and dignified designs from social media and
internet. They help to create a declaration of style. “Handbags talks louder than
words”, the more trendy, the louder they are.

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Leather and its products are unique products which are well known for their
versatility, fashion and style. With demand for leather products and footwear
projected to increase and domestic markets projected to grow in Asian
countries due to increasing population affluence due to economic growth, the
leather industry has a long-term prospect of sustainable development.

Revenue in the Bags & Accessories segment in US$

180000 166360
160000 154135
138203
140000
119717
120000
101237 Revenue in the
100000 Bags &
85439
Accessories
80000 73724
segment in US$
60000

40000

20000

0
2017 2018 2019 2020 2021 2022 2023

Figure 1

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 In the Bags & Accessories segment, the number of users is
expected to amount to 2,160.6m by 2023
2500

2000 2160.6 In the Bags &

1973 Accessories
1769.2 segment, the
1500 1558.3 number of
1353.5 users is
1000 1167.7 expected to
1009.5 amount to
2,160.6m by
500
2023

0
2017 2018 2019 2020 2021 2022 2023

Figure 2

In the Bags & Accessories segment, 29% of total market

revenue will be generated through online sales by 2023.
120%

100%
14% 16% 19% 22% 25% 27% 29%
80%

60%
Online
40% 86% 84% 81% 78% 75% 73% 71% Offline
20%

0%
2017 2018 2019 2020 2021 2022 2023

Figure 3

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 I.2 DESCRIPTION OF THE BUSINESS

Fanny packs are in the middle of an important resurgence. The trend has been
gaining momentum on the roads and roadways for a number of years now, but
it’s not just giggling up like the prior fake starting point of some of the fanny
pack. It is now receiving a complete design and marketing improvement from
fashion retailers who have renamed it as ‘belt bag’ or ‘waist bag’.Fanny packs
or belt bags which appeared to have been lost in the previous seasons has come
back in trend this season. They are great when you walk hands-free. The fanny
pack in the 1990s saw a casual utilitarian appendage and many celebrities
throughout the nation followed the trend. Earlier it was just used across a couple
of baggy jeans and tee, but celebrities now see the ‘Red Carpet’ and the
premiers as the airport looks or even as leave for a casual day. Fanny packs are
back in fashion for a reason as they are stylish, extremely simple to carry and
comfortable. They are small and compact which can be attached which your
outfit and has no scope of being forgotten to be carried along. The popularity of
short strap sling bags is not going to fade anytime soon. Bags that end just
above the waist or even smaller are trendy this season. From sleek to broad
straps, both are ruling the runways.

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My business is a product which can be used both as a sling bag as well as a
fanny pack. There will be different designs of sling bags with different sizes
according to the waist sizes. These can be used as a fanny pack as well. It will
go with all kinds of outfit- casual or party and it will have enough space to carry
essentials like wallet, phone, keys, etc. Influencers and bloggers have already
tried turning the sling bags into fanny packs by adjusting the strap/chain of the
sling bag or by tying knots(to adjust the chain/strap according to their waist
size). My product is going to be multi-fuctional, which can be used as per the
convenience of the customers. There will be no need to convert the sling bag
into a fanny pack, as my product will fulfill both the requirements.

Since my product is a fushion between a sling bag and a fanny pack, the brand
name will be ‘FUSHION FLING’. The sling bags will be of different designs
and of different sizes according to different waist sizes. The initial plan of my
business is to collaborate with brands like Accessorize, Globus and Max.
‘Accessorize’ deals mainly with accessories and ‘Globus’ and ‘Max’ also have
separate sections for accessories. I would like to choose to Globus to collaborate
because Accessorize has limited handbags and limited space in their stores and
Max has a lower price range of products as compared to my product range.
Collaborating with bigger brands like Shoppers Stop, Lifestyle or Westside may
outshadow my product in the initail stage.

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 I.3 MISSION AND VISION STATEMENT, VALUES

VISION: To make day to day travelling more stylish and convenient for our
customers by offering them with a product which is both value for money as
well as enhances their overall outfit.

MISSION: To make enough profit so as to the investors are rewarded fairly

for taking risk and believing in the product. To ensure job satisfaction and a
healthy work environment for our employees.

VALUES: At FUSHION FLING, we strive to ensure human rights in general

such as Ban on Child labour, Ban on forced labour, Ban on discrimination, and
Fostering the freedom of association are upheld across their supply chain.

We also take measures to protect biodiversity, reduce consumption of water,

energy and other sources, avoid waste, and combat climate change.

BRAND NAME AND LOGO

Since the product is a ‘fusion’ of two products- ‘fanny packs’ and ‘sling’ ,
hence the brand name I have decided on is ‘FUSHION FLING’.

Figure 4

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 I.4 COMPETITOR ANALYSIS

In FY 2008- FY 2013, the Indian Handbag industry has seen a strong CAGR of
16%. In FY 2013,the Indian handbag industry amounted to around a million
INR, with a significant share of the unorganized segment market. The organized
segment is largely dominated by Hidesign and Da Milano, which amount for
10.4% of India’s handbag overall sales. Baggit, Lavie, Lino Perros, Caprese and
others are all important participants for the organized handbag market.

LAVIE

Established : 2010.

Bagzone, the parent company behind Lavie ,which makes and sells bags, has
been launched to target the female handbags market.. This targets a youthful
and trendy customer base. Lavie handbags are currently sold in 20 towns in
India. Their brand is available in a variety of colours to suit the suit the taste of
all types of customers. It is present in leading retail chains such as Shoppers
Stop, Central, Lifestyle, Pantaloons and E-commerce platforms including
Amazon, Jabong, Snapdeal, Flipkart, Myntra, etc. The company’s latest
financial report indicates a net sales revenue of 11.71% in 2018. During that
time, Bagzone Lifestyles Private Limited’s total assets grew by 28.9%.

BAGGIT

Established: 1985

The Baggit brand of home-grown accessories raises their volume and product
line in order to meet their goal of 25% growth in revenue in FY 19. The 30 year
old brand generates Rs 100 crore sales and is now aimed at double digit
expansion through investments in online and omnipresent advertising in large
numbers and the introduction of new consumer segments. Baggit currently

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owns 52 exclusive brand stores across the country with more than 1000 retail
outlets through multi-brand and wide-sized shops. The indian brand of
accessories will now expand its range to the tier-111 and tier-1V cities.

CAPRESE

Established: 2012

Caprese is sold throughout the country at more than 1000 points of distribution,
including selected corporate managers, franchisees, multi-brand stores and top
department stores including Shoppers, Lifestyle, Central and Pantaloons. It can
also be found on e-commerce platforms such as Myntra, Flipkart, Amazon,
Jabong, etc. As a luxury brand, Caprese has changed its role from the hi-mode
to the lifestyle. Caprese was introduced because the company felt that the
premium market was not very successful. The chief ages of the company ranges
from roughly 20-45. The brand’s target audience is 50% housewives, with the
remainder working class women.

Caprese was launched as the brand believed they weren’t doing very well in the
premium segment. The chief age group on which the brand focuses ranges from
about 20-45 years of age.The target audience of the brand comprises of 50 per cent
housewives and the rest are working-class women. It has established itself as one if
the top players in the market for ladies handbag within seven years of its launch.

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 COMPETITOR PRICING
4500 4099
4000 3650
3500 3000
3000
2400 LOWER RANGE
2500 1999 HIGHER RANGE
2000
1400
1500 1099 1190

1000
500
0
FUSHION CAPRESE BAGGIT LAVIE
FLING

Figure 5

TARGET MARKET
70

60

50
45 38 MAXIMUM AGE
40
35 GROUP
40
30
MINIMUM AGE
20 GROUP

25
10 20 18
15
0
FUSHION FLING CAPRESE BAGGIT LAVIE

Figure 6

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 PRODUCT LINE

LAVIE BAGGIT CAPRESE FUSHION FLING

Handbags Handbags Handbag Slings

Fanny
Wallets Slings Sling
Packs

Sling bags Wallets Wallet

Fanny Laptop Back pack

packs bags

Back Back Clutch

packs packs

Satchel Hobo Hobo

Hobo Tote Satchel

Tote Clutch Tote

Figure 7

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 I.5 TRENDS

Handbags made from leather are projected to have a large market share beacuse
the customers are increasingly preferring items made from high quality and
sturdy handbags. The popularity of exclusive retail stores among females and
strong distribution of major handbag manufacturers is supporting the market
growth especially in developed economies. The research indicates that driven
by rapid growth in the number of processes ,China is the most potential market
in the main countries of which are a part of the handbag industry. In addition,
stakeholders should also concentrate on South-East Asia, Middle East and India,
considering that India is also a growing economy. In addition, changingtrends in
modes that affects buyers rather than model attractive handbags. This also
encourages new and creative models for handbag items for leading market
players. The growing availability of primary materials, however, is somewhat
hindering the increase in popularity of replicas by an unorganized demand in the
handbag industry.

This market is growing fast due to people paying more attention on their beauty
and style. At the same time, the practicability of the product also makes great
contributions to the development of the ladies handbag. Different players are
implementing competitive strategies such as collaborations, acquisitions and
capitalizing untapped opportunities in the emerging economies of India and
China

A small bag with plenty of room- phone, cash, keys, fanny bags are a practical
alternative to bulky handbags. Fanny packages are common because they are
easy, but they are also sleek which helps to make various outfits together. Their
inclusion in so many different variations- printed, silver, leather and solid
colours allows it to be flexible and a great choice. For example, a normal leather
or a printed pack during a brunch and some bling or metallic element can be

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added to the pack for night outing. Due to its versitality, it is used by both men
and women. Fanny packs are comfortable companion to the off-duty sporting
style, for which the pair is so well established and one can keep all the
necessities in place without being bulky or cumbersome. The popularity of
utility bags has risen across different countries during the last decade. Although
the pattern remains the same, people have become experimental with their
outfits as well which makes the look more creative and adds a punk dimension.

Payal Singhal, the designer who added fanny packs to her new runway
collection, thinks that it was needed. When you want to access things, or want
to hands free even at a wedding when you want dance and have fun, fanny
packs can be used. The designer has recently combined lehengas and
embroidered fanny packs.

Figure 8 Figure 9

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 I.6 GOVERNMENT REGULATIONS AND
INDUSTRIAL LAWS

In view of its enormous potential growth and generation of jobs, the

Government of India established the leather industry as a focal point of the

Indian Foreign Trade Policy. As a result, different special emphasis measures

for the growth of the leather industry have also been intoduced by

the government under the foreign trade policy. The Indian leather industry

aims to boost production, while increasing exports and es-establishing through

the implementation of various industrial development programs as well as

export promotion acivities and inherent strengths in skillful labor, advanced

industry compliance with international environment standards.

The sector’s of strengths also lie in institution-and individual design growth

programs, ongoing technological enhancement and up-grading, manufacturing

unit economic size, a continuous plan for the development of human capital to

boost production, increased use of quality components, a shorter development

period, compliance with delivery and an increasing domestic market for

prototypes.

Industrial law regulates the relations between employers and employees and
their representative organisations. It concerns the prevention and settlement of
industrial disputes by conciliation and arbitration, or by agreement, or
proscription.

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Labour law is the legal regulation of the relationship between workers and
employers. The term includes the laws of employment, industrial law, laws
prohibiting discrimination in employment, occupational health and safety law,
and workers’ compensation law.

1) The Minimum Wages Act, 1948- The aim of this act was to secure the
rights of the workers in both the sectors: organised and unorganised. This not
only helps to secure him and his family but also maintain and keep
improving his efficiency in the work. The eligible workers are permanent
employees, contract employees and casual workers.
2) The Payment of Wages Act, 1936- The aim of this act was to avoid the
delay and unnecessary deduction in the payment of wages of workers(with
wages less than Rs 6500)
3) The Payment of Bonus Act, 1965- The provision of the payment of
bonus to the employees depends on the profit and productivity and matters
connected with it.
4) The Equal Remuneration Act, 1976- The prevention of discrimination
in terms of paying the salary between women and men at work for the same
or similar nature of work is the aim of the act.
5) The Trade Unions Act, 1926- The Act was enacted with the object of
providing for the registration of trade unions and verification of the
membership of trade unions so registered so that they might acquire a legal
and corporate status. Inditex believes that it is crucial for employees
understand their rights and avail themselves of the mechanisms like
unionisation to defend those rights via dialogue and collective bargaining
6) The Industrial Employment (Standing Order) Act, 1946- This Act is
to require employers in industrial establishments to formally define
conditions of employment under them and submit draft standing orders to

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 certifying Authority for its Certification. It applies to every industrial
establishment wherein 100 (reduced to 50 by the Central Government) or
more workmen are employed.
7) The Industrial Disputes Act, 1947- The objective of the Industrial
Disputes Act 1947 is to maintain industrial peace and harmony by providing
procedure for the investigation and settlement of industrial disputes by
negotiations.
8) The Weekly Holidays Act, 1942- The purpose of the Act is to provide
for the grant of weekly holidays to persons employed in shops, restaurants
and theatres.
9) The Factories Act, 1948- The aim of the act is to provide safety at work
place while working on machines, health related issues, improving the
physical condition at workers welfare amenities. It also includes restricting
on the working hours, provision of overtime. Global Agreement establishes
Inditex’s undertaking to respect legislation and collective agreements in
matters like the working day, ensuring a safe, healthy and sustainable
working
10) The Employees Compensation Act, 1923- The Workers’
Compensation Act, 1923 has been enacted with the purpose of making the
employer liable to pay compensation to employees who are affected, or to
their dependents in case of death. Compensation is payable in case of injury
and accident (including certain occupational disease) arising out of and in
course of employment and resulting in partial or total disablement, or death.

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Others labourlaws which need to be adhered to include:-

 Building and Other Constructions Workers’ (Regulation of Employment

and Conditions of Service) Act, 1996
 The Inter-State Migrant Workmen (Regulation of Employment and
Conditions of Service) Act,1979
 The Payment of Gratuity (Amendment) Act, 2018
 The Contract Labour (Regulation and Abolition) Act, 1970
 The Employees’ Provident Funds and Miscellaneous Provisions Act,
1952
 The Employees’ State Insurance Act, 1948

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 I.7 PRODUCT LIFE CYCLE

Figure 10

The product life cycle decribes the stages a product goes through from when it
was first thought of until it finally is removed from the market. There are many
products whose sales do not follow the classic product life cycle model. For
example. Some products may enjoy a rapid growth phase, but quickly moveinto
a decline phase if they are replaced by superior products from competitors or
demand in the market overall declines quickly.

 PRODUCT DEVELOPMENT- When the company finds and develops a

new product ide, product development starts. During the product
development, sales are zero and investment costs increase
 INTRODUCTION- Sales grow slowing as the product is intoduced in the
market. Profits are still non-existant because the heavy expenses of the
product introduction overweigh sales.

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  GROWTH- The growth stage is a period of rapid market acceptance and
gradually increasing profits
 MATURITY- In the maturity stage, sales growth slows down because the
product has achieved acceptance by most potential buyers. Profits level
off or decline because marketing outlays need to be increased to defend
the product against competition.
 DECLINE- Sales start declining and profits drop, difficult to survive in
the market.

Some strategies which can be used to increase the life of the product are-

 Advertising
 Price reduction
 Adding value
 Explore new markets
 New packaging

https://marketing-insider.eu/marketing-explained/part-iii-designing-a-customer-driven-marketing-strategy-
and-mix/product-life-cycle-strategies/

https://www.tutor2u.net/business/reference/product-life-cycle

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I.8 BUSINESS LOCATION AND REQUIREMENTS

Business Location:-

 Main Warehouse and Manufacturing unit- Delhi

 Raw materials procurement- Kolkata and Mumbai
 Collaboration with Globus Stores in Mumbai, Kolkata, Bangalore and
Delhi
 Head office of Fushion Fling in Delhi

Requirements:-

 Reasonable prices of the fabric and raw materials

 Cheap labour
 Cheaper land rates-rental
 Closer to the target market
 Students- a lot of schools and colleges in these college where students
from all over the country come to study
 Stores in malls for more footfall
 Lower production cost
 Low transportation costs

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 I.9 EQUIPMENT/ TECHNOLOGY

MACHINERY AND EQUIPMENTS

Strap cutting machine straight

Upper Skiving Machine

Flat bed single needle sewing machine

Cylinder-bed sewing machine

Glazing machine

Zinc block for design embossing

Combined finishing machine

Figure 11

Technology, Innovation and Environmental issues- the practice of tanning is

related to environmental issues. These issues are slowing gaining ground and
specific steps must be enforced to meet the stringent standards of the industry.
In the wastewater treatment issue, tanneries have taken significant steps.
Tanneris are connected to wastewater treatment facilities that can promote the
release of wastewater. In some states only zero sewage discharge was
compulsory, and the tanneries have constructed enough facilities to achieve zero
discharge of wastewater. Nevertheless, despite the ongoing importance of
environmental issues in pulling down, this problem is directly associated with
the industry’s sustainability.

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The following four categories of environmental projects would benefit from
assistance:-

 Leather Technology Bench Marking and Environment Management

 Common Environmental Treatment Plants
 Environment related workshops
 Solid waste management

http://cercenvis.nic.in/PDF/APR_JUN_2017.pdf

https://www.dcmsme.gov.in/publications/pmryprof/leather/ch13.pdf

https://www.dcmsme.gov.in/reports/leather/Artistic_leather.pdf

I.10 HUMAN RESOURCE PLAN

 Organization design- who will report to whom? How will teams and sub-
teams be structured?
 Recruitment and onboarding- how are we going to find great new
employees? How do we make sure they are set up success
 Compensation and benefits- what is fair and realistic in terms of
compensation? How should we decide what to offer?
 Employee relations- are employees happy? Who represents their
interests?
 Compliance, health and safety- ho w to make sure employees are safe,
legally and physically?
 Training, development, and performance management- as employees sat
with the company, are they growing and developing at the right pace, for
both their personal goals and the goals of the company?

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 I.11 ORGANISATION STRUCTURE

CEO

CTO

BUSINESS OPERATIONS MARKETING

FINANCIAL
DEVELOPMENT AND SALES

Figure 12

I.12 KEY EMPLOYEES

 HR
 MANAGER
 PRODUCT DEVELOPER
 DESIGNER
 PRODUCTION SUPERVISOR
 ACCOUNTANT
 SECURITY
 MAINTENANCE/HELPERS

Figure 13

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 I.13 SUSTAINABILITY POLICIES

“Social sustainability is about identifying and managing business impacts,

both positive and negative, on people. The quality of a company’s
relationships and engagement with its stakeholders is critical. Directly or
indirectly, companies affect what happens to employees, workers in the
value chain, customers and local communities, and it is important to manage
impacts proactively.” – UN Global Compact

 We work with suppliers to reduce the quantity and severity of waste

generated from our opeartions. Waste must be handled in a safe, legal and
responsible way to minimise their environmental effects.
 A part of our vision is to be the go-to brand for ethically and
sustainability produced leather goods, which accompany our customers
through their every day and guarantee customer satisfaction.
 To make our supply chain more transparent and to continue guaranteeing
fair labour conditions and living wages are paid to all people involved.
 To produce all our products from vegetable tanned leather only
 To ensure the leather we use is sourced from farms complying with EU
animal welfare standards.
 To trace our supply chains all the way back to the raw materials.
 Minimum use/wastage of energy

https://www.stellamccartney.com/experience/us/sustainability/themes/social-sustainability/

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II. BUSINESS ENVIRONMENT AND
STRATEGIC MARKETING

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 II.1 PESTLE ANALYSIS

PESTLE is a helpful instrument that enables the sector to understand the whole
scenario and is frequently used to evaluate the situation in a particular company.

PESTLE stands for the variables of political, economic, social, technological,

legal and environmental. The things to be answered by this analysis are the
following:-

 The key political factors likely to affect the industry

 The important economic factors
 The important cultural aspects
 The technological innovations likely to occur
 The current and impending legislation which may affect the industry
 The environmental consideration

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POLITICAL

The political factor relates to government policies that are strongly affected by
a country’s financial condition. It is a macro element of analysis that addresses
significant changes in one country’s public policies. The company’s outlook
and confidence are influenced. Political factors include:-

 Current taxation policy

 Future taxation policy
 Grants, funding and initiatives
 Current and future political support
 Trade bodies
 Effect of wars or disputes with may result in worsening relations with
particular countries

To support the leather sector, the Governement of India has taken several
initiatives. Some of the major ones are-

 Leather sector is one the “ Focus Sectors” under the Foreign Trade Policy
of the Government of India
 Entire leather sector is de-licensed, facilitating expansion on modern lines
with state-of-the-art machinery and equipments
 100% Foreign Direct Investment permitted through automatic route
 At 5% concessional import duty on import of specified machinery for use
in leather and footwear industry has been allowed
 Duty free import of specified critical inputs for manufacturers of leather
garments and other leather products under the Duty Free Import Scheme
is allowed

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  Basic customs duty exempted on machinery or equipment for Effluent
Treatment Plants in leather industry
 Simplified import/export procedures including quick customs clearance.

ECONOMIC

The Economic factor is an area in which macro environment may affect the
outlook and competitveness of any business sectors in the country. They
include:-

 Overall economic situation

 Consumer purchasing power
 Current and future levels of government spending
 Ease of access to loans
 Current and future level of interest rates, inflation and unemployment
 Specific taxation policies and trends
 Exchange rates

 Leather industry in developing countries also suffers from extremely high

capital and inflation rates, lower chemical inventories, machinery spare
parts, etc. Due to its sluggish infrastructure and the often obstructed
distribution, tanneries must maintain a surplus of chemical products.
 The imposition of import duty on chemical products and equipment is
another downside. There are very chemicals needed to be developed for
tanning in developing countries, although the majority of tanning
materials such as salt, limethylic acid, sulphuric acid, sodium sulphate
and sodium carbonate, including dyes, special auxiliary materials and
finishing materials, must be imported.

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  GST CONCESSIONS for leather industry items-
o Finished leather from 12% to 5%
o Certain leather chemicals, leather goods. Leather garments and
saddlery items from 28% to 18%
o Common Effluent Treatment Plants (CETPs) from 18% to 12%
o Footwear from 18% to 5%

SOCIAL

The Social factors refers to the cultural aspects of the country. They include:-

 Demographics
 Lifestyle patterns and changes
 Attitudes towards issues such as education, corporate responsibility and
the environment
 Social mobility
 Media views and perceptions
 Ethnic and religious differences

 Helps in providing employment

 Fast paced life of the youth- lifestyle pattern keeps on changing
 Increasing number of women workers in the industry
 Youth who want to create a trend and influence the society
 Fushion Fling has a certain work culture followed by the employees,
regardless of their race, ethnicity, gender and gender identity, sexual
orientation, age, religion.

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TECHNOLOGICAL

Technological factors are tangible and easier to validate. This involves

ecological and environment elements, technological incentives such as rewards
for research and development, reinvestment in automation, capital build-up,
and technological changes in certain enterprises. They include:-

 Relevent current and future technology innovations

 The level of research funding
 The ways in which consumers make purchases
 Global communication technological advances

 Changes in process lengths, temperature variations during storage,

proposed quantities, chemical application etc, affect the ultimate essence
of leather and hence the products.
 Leather production is a complex process because at the time of
manufacture there are a number of expertise steps to be taken as it is
manufactured in the form of non-uniform natural protein
 Privacy and the protection of personal data of all customers and users is a
top priority for Fushion Fling. In order to ensure the protection of data,
there is a security committee in charge to embrace the necessary
measures and protocol.

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LEGAL

Legal factors includes:-

 Legislation in areas such as employment, competition and health and

safety
 Future legislation changes
 Trading policies
 Changes in regulatory bodies, as well as rules and regulations set by them

 The brand is familiar with the Indian labour laws. Several labour laws are
formulated by the Centre, there are State specific rules that the investor
should take note of. The investor should ensure ensure that appropriate
registrations are obtained and all HR records, files, documents and
correspondances are maintained according to the requirements under
Indian Labour Laws
 The entry limits for companies merging under the Indian law are
considerbly high. The entry limits are allocated in context of the
company’s annual income

ENVIRONMENTAL

Environmental factors include:-

 The level of production created during either the manufacture or the use
of products or services
 Recycling considerations
 Attitudes to the environment from the government, media and
consumers
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 Current and future environmental legislative changes
 One of the issues faced by the industry appears to be high due to the
presence of organically and inorganically poisonous metal salts in the
polluting nature of tanneries evident from an unpleasant odour.
Engineering for treatment works continuously hard to reduce to reduce
liquid contaminants and convert them into half-solid and solid forms.
 Sludge can influence the quality of soil and groundwater as well as sludge
problems. Local government and government authorities should focus on
the disposal of sludge and dry waste so that the fertility of soil does not
negatively.
 My brand uses sustainable leather and uses minimum energy, promotes
less wastage of energy

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II.2 SEGMENTATION, TARGETING AND
POSITIONING

SEGMENTATION

•INDIA
•URBAN
•TIER 1 CITIES
GEOGRAPHIC •MALLS

•FEMALES
•AGE GROUP 15-40
•MID INCOME RANGE
DEMOGRAPHIC •BLOGGERS, TRAVELLERS, HIGH SCHOOL AND UNIVERSITY STUDENTS

• CUSTOMERS FOLLOW TRENDS REGULARLY

• BELIEVES IN BEING STYLISH AND COMFORTABLE IN TERMS OF CLOTHING AND
ACCESSORIES
• BELIEVES IN QUALITY PRODUCT
PSYCHOGRAPHIC
• PRODUCT ADDS TO AN INDIVIDUAL'S PERSONALITY

• REASONABLE PRICING
• PRODUCT IS WORTH THE VALUE
• COMFORTABLE
• DIFFERENT VARIETY IN DESIGN, COLOUR AND SIZE
BEHAVIORAL • ALL SEASONAL BRAND

Figure 14

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TARGETING

 Mass premium lifestyle brand

 Target age-group is from 15-40
 The target customers are modern urban women including high school and
university students, bloggers and influencers,travellers
 My brand will focus on collaborating with Globus initially ,which have
stores in malls in the some of the Tier-1 cities in India- Mumbai, Delhi,
Bangalore and Kolkata. This will have some impact on the footfall of the
customers. Globus has a different accessories section which can be used
to display my products. Later i can think of collaborating with other retail
stores like Max
 Targets a niche market segmen

POSITIONING

 USP of my product will be that it be multi functional- it can be used both

as a sling bag as well as fanny pack. It will come in different designs,
colours and fabrics. The fanny pack can be worn by women with different
waist sizes starting from 26 to 34.
 Its strength is it’s quality and differentiated designs to make the outfits of
the women as stylish as possible since a woman’s handbag is an
indispensable part of her life.
 Other competitors have either sling bags or fanny packs. No one has a
product like a convertible sling bag to a fanny pack.

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 EXPERIMENTAL
AL

LOW PRICE HIGH PRICE

SIMPLICITY

Figure 15

BRAND POSITIONING MAP

44 | P a g e
 II.3 MARKETING MIX

Marketing of the brand is done with the following objective in mind:

 To prove authority of the brand in itss niche

 To establish the brand in the market in the mass-premium women
handbag segment
 To target and engage more consumers with the brand
 To build awareness among young ladies about the brand

PRODUCT
My product has 15 designs which can be used both as sling
bags as well as waist bags. They have been categorised as
the following headings-
o SOLIDS
o ANIMAL PRINT
o TASSLE
o SHAPES
o TEXTURE

Designed keeping in view the modern women/girls who

reflect the future. Customers should be able to roam about
hands-free and look stylish. Emphasis on quality and
durability.

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 PRICE
Income of the average India is decreasing, purchasing power is has
become less- leading to lower level of disposable income.
Customers want the the value paid for the product to be reasonable
and worth.The prices of the product is different according to the
different designs and materials. The price range of my products start
from ₹1,350 and goes upto ₹ 2650. There are products worth 1500,
1750,2000, 2500, etc.

The pricing has been kept low and reasonable so as to target the
school and university students, working women as well as married
women.

PLACE
 Procurement of the raw materials for the bags(trims and fabrics)
from Mumbai and Kolkata
 Main production and warehouse in Delhi
 Taken to the warehouses in Mumbai, Kolkata and Bangalore by
local transportation
 Supply/ distribution of the product in the malls in the
metropolitan cities of India - Bangalore, Delhi, Mumbai and
Kolkata
 Collaboration with brand ‘Globus’ in the malls or at least 10
stores in each of the above cities

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 PROMOTION
 Promotion will include posters and banners in the mall
 Influencers and bloggers
 Offers along with products of ‘Globus’- for example- 10%
off on accessories on the purchase of my product
 Social media- pages on Instagram and Facebook
 Contests- for example the most quirky and fun outfit along
with my product will will coupons or vouchers
 Customized designs of sling bags for the first 10 customers
of my product.
 Word of mouth marketing

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 II.4 SWOT ANALYSIS

Figure 16

A SWOT Analysis is often used at the start of or as a part of a strategic planning

exercise. The framework is considered a powerful support for decsion-making
because it enables an entity to uncover opportunities for success that were
previously unarticulated or to highlight threats before they become overly
burdensome.

Strengths and weaknesses are internal to my company – things that I have some
control over and can change. Examples include who is in my team, your patents
and intellectual property, and my location.

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Opportunities and threats are external to my company- things that are going on
the outside of my company, in the larger market. I can take advantages of
opportunities and protect against threats, but I cannot change them. Examples
include competitors, prices of raw materials, and customer shopping trends.

A SWOT Analysis ensures better understanding of the factors affecting my

initiative to put me in a better position for action. This understanding helps me
to:

 Identify the issues or problems that I want to change

 Set or reaffirm goals
 Create an action plan

A realistic recognition of the weaknesses and threats that exist for me is the first
step to encountering them with a robust set of strategies that build upon my
strengths and oppotunities.

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 II.5 PORTER’S VALUE CHAIN

Figure 17

Primary Activities

Primary activities relate directly to the physical creation, sale, maintenance and
support of a product or service. They consist of the following:

 Inbound logistics – These are all the processes related to receiving,

storing, and distributing inputs internally. Your supplier relationships are
a key factor in creating value here.

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  Operations – These are the transformation activities that change inputs
into outputs that are sold to customers. Here, your operational systems
create value.
 Outbound logistics – These activities deliver your product or service to
your customer. These are things like collection, storage, and distribution
systems, and they may be internal or external to your organization.
 Marketing and sales – These are the processes you use to persuade
clients to purchase from you instead of your competitors. The benefits
you offer, and how well you communicate them, are sources of value
here.
 Service – These are the activities related to maintaining the value of your
product or service to your customers, once it's been purchased.

Support Activities

These activities support the primary functions above. In our diagram, the dotted
lines show that each support, or secondary, activity can play a role in each
primary activity. For example, procurement supports operations with certain
activities, but it also supports marketing and sales with other activities.

 Procurement (purchasing) – This is what the organization does to get

the resources it needs to operate. This includes finding vendors and
negotiating best prices.
 Human resource management – This is how well a company recruits,
hires, trains, motivates, rewards, and retains its workers. People are a
significant source of value, so businesses can create a clear advantage
with good HR practices.
 Technological development – These activities relate to managing and
processing information, as well as protecting a company's knowledge
base. Minimizing information technology costs, staying current with

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 technological advances, and maintaining technical excellence are sources
of value creation.
 Infrastructure – These are a company's support systems, and the
functions that allow it to maintain daily operations. Accounting, legal,
administrative, and general management are examples of necessary
infrastructure that businesses can use to their advantage.

Companies use these primary and support activities as "building blocks" to

create a valuable product or service.

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 II.6 CBBE MODEL

Resonance
Customer satisfaction,
acceptance, active
engagement in social
media

Judgements Feeling

Youth oriented, Bold, trendy,

Trend-setter, youthful, colours,
economical confident

Performance Imagery
Trend
Convenient, Durable, Water- Appealing to young people,
proof, quality, multi-functional, comfortable, sociable,
unique style and designs

Women’s convertible sling bag, fanny pack, brand

Salience awareness of collaborating brand, strategic location of
malls in Tier-1 cities of India with high footfall

Figure 18

Brand equity is the holy grail in the subject of branding. The ultimate objective
of a branding team is to increase the brand equity of an organization. This can
be done in various ways, but one of the ways is to use the Keller’s Brand equity
model or CBBE model of Keller.

CBBE model stands for Customer based brand quity model. As marketing
evolved, the customer became the main focus of the company. Companies knew
that if they keep their customers happy, they will benefit. So, to make a
connection with the customers, the companies had to build a strong brand. The

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CBBE model is a pyramid which tells us how to build brand equity by
understanding your customers and implementing strategies accordingly. If there
is a connection between the brand and the customer. It results in a positive
brand equity and has a better chance of aquiring and sustaining customers,
thereby giving a huge advantage to the companies and products which are
considered as “brands”. By using the brand equity pyramid or the CBBE, brands
know which strategies to implement and how to provide the right experiences to
their audience so as to create a ‘wow’ factor.

Brand Identity is the way the customers .look up to brand and how they
distinguish one brand from another. Brand identity is built when customers are
unaware of your products. The work for the brand here is to build a strong brand
identity for the benefit of the brand and to attract the customers.

https://www.marketing91.com/kellers-brand-equity-model/

54 | P a g e
 II.7 BRAND PRISM

PHYSIQUE PERSONALITY

Product oriented, narrow scope, Trendy, Young, Colourful, Bold,

multi-functional, goes with all outfits casual

RELATIONSHIP CULTURE

Simplicity, liberation, focuses

Affordable price, good quality, FUSHION
NHSHSHSDHDHHD
on customer sevice and
stylish, modern FLING satisfaction, commitment

REFLECTION SELF-IMAGE

Free-spirited, Trend-setter,
Comfortable, fun, individualism
ethically responsible, lifestyle
product

Figure 19

In 1996, Jean-Noel Kapfrer aimed to conceptualoze that he considers the six

elements of a brand’s identity. Together, the elements help businesses build
strong brands, which in turn helps them communicate clearly and transparently
and be easily remembered and recognized. The key elements of Kapferer’s
model are as follows:-

1. Physique- the physical characteristics and iconography of my brand . it is

the clearest visual representation of my brand’s aspirations and how i
wish it to be perceived by by target customers.
2. Personality- how my brand communicates with the outside world, which
is expressed through its tone of voice, its design and its copywriting

55 | P a g e
3. Culture- the value system and the principles on which my brand bases its
behaviour.
4. Relationship-the relationship between my brand and its customers, and
what the customers hope they are getting from my brand beyond the
actual product or service.
5. Self-image- how the customer sees their ideal self. By understanding a
customer;s ‘ideal identity’-how they want to look and behave, what they
aspire to, brands can target their messaging accordingly.
6. Reflection- the stereotypical user of the (my) brand. A brand is likely to
have a go-to subset of their target market that they use in their messaging.

According to Kapferer: “ Strong brands are capable of weaving all aspects

(of the prism) into an effective whole in order to create a concise, clear, and
appealing brand identity.” The Kapferer Brand Identity Prism places these
six elements in relation to each other by taking into consideration their
position between the business (sender) and client (recipient), and vice versa.
The areas defined between these points range from internal (personality,
culture, self-image) to external (physique, relationship, relection), and many
paths can be drawn to join each area.

The six elements of Kapferer’s Brand Identity Prism, when working in sync,
can help form a well-defined, structured brand identity. If the identity is
unique, different, and clear about what the brand is trying to communicate to
communicate, it can become the foundation of a long-lasting brand.

https://howbrandsarebuilt.com/blog/2018/12/21/the-brand-identity-prism-and-how-it-works/
https://woven.agency/blog/what-is-the-brand-identity-prism/

56 | P a g e
 II.8 PORTER’S FIVE FORCE ANALYSIS

BARGAINING POWER OF BUYERS

MODERATE- there is some scope for the buyers to
switch over considering the reasonable pricing of my
product

THREAT OF SUBSTITUTES
HIGH- due to the demand and trend of such products,
threat of being substituted is high

RIVALRY AMONG COMPETITORS

HIGH- competition in this sector is quite high although
they do not provide a single product- they provide two
different products; sling bag and fanny pack

BARGAINING POWER OF SUPPLIERS

MODERATE- there is some scope for bargaining by the
suppliers of fabric and trims because of the availability of
the suppliers

THREAT OF NEW ENTRANT

MODERATE - there may be threat of new entrant of
similar product

Figure 20

The tool was created by Michael Porter in 1979, to analyze an industry’s

attractiveness and likely profitability. Porter recognized that organizations likely
to keep a close watch on their rivals, but he encouraged them to look beyond the
actions of their competitors and examine what other factors could impact the

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business environment. The five forces that make up the competitive
environment, and which can erode a company’s profitability.

1. Competitive Rivalry- this looks at the number and strength of my

competitors. How many competitors, who are they, their quality and
pricing. Price cutting and high-impacting marketing campaigns can
attract customers.
2. Supplier Power-how easy it is for my suppliers to increase their prices.
How many potential suppliers I have. How unique is their product or
service and how expensive would it be for me to switch suppliers. Fewer
suppliers gives them a stronger position and their ability to overcharge
which can affect my profit.
3. Buyer Power-how easy it is for buyers to drive my prices down. How
many buyers and their order quantity. How much would it cost them to
switch from my product to that of my rival and are my buyers strong
enough to dictate their terms. My power increases with increase in
customers.
4. Threat of Substitution-refers to thelikelihood of my customers findinf a
different way of doing what I do. Substitution is easy and cheap to
weaken any company’s position and threaten their profitability.
5. Threat of New Entry- my position can be affected by people’s ability to
enter my market-bags/purses. How easy is to get a foothold in my
industry or market. How much would it cost to enter my market or
industry or market and how tightly is it regulated.

https://www.mindtools.com/pages/article/newTMC_08.htm

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 II.9 SUPPLIERS

RAW MATERIALS SUPPLIERS

FABRIC Nirmal fibres (pvt) limited

TRIMS Cosmus bags (pvt) ltd

ADHESIVE MATERIAL Packtech Materials (pvt) ltd

FANNY BELT J.K. BELT HOUSE

Figure 21

SUPPLIERS (FUSHION FLING AS A BRAND)

NEW PRODUCT RANGE GLOBUS

CUSTOMER SERVICE AND CONSUMERS
SATISFACTION

Figure 22

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 II.10 ADVERTISING & PROMOTION

 Advertising and promotion will include posters and banners in the

mall
 Advertising with the help of influencers and bloggers
 Offers along with products of ‘Globus’- for example- 10% off on
accessories of on the purchase of my product
 Social media- pages on Instagram and Facebook
 Contests- for example the most quirky and fun outfit along with my
product will will coupons or vouchers
 Customized designs of sling bags for the first 10 customers of my
product.
 Word of mouth marketing

Figure 23

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 II.11 DIGITAL PRESENCE

1. Website
2. Instagram
3. Facebook
4. Linked In
5. Twitter

INSTAGRAM

FACEBOOK Figure 24

Figure 25 61 | P a g e
WEBSITE

Figure 26

Figure 27

62 | P a g e
Figure 28

63 | P a g e
 II.12 PRICING AND DISTRIBUTION

Income of the average India is decreasing, purchasing power is has become

less- leading to lower level of disposable income. Customers want the the value
paid for the product to be reasonable and worth.The prices of the product is
different according to the different designs and materials. The price range of my
products start from ₹1,350 and goes upto ₹ 2650. There are products worth
1500, 1750,2000, 2500, etc.

The pricing has been kept low and reasonable so as to target the school and
university students, working women as well as married women.

 Procurement of the raw materials for the bags(trims and fabrics) from
Mumbai and Kolkata
 Main production and warehouse in Delhi
 Taken to Bangalore, Kolkata and Mumbai from Delhi warehouse
 Supply/ distribution of the product in the malls in - Bangalore, Delhi,
Mumbai and Kolkata
 Collaboration with brand ‘Globus’ in the malls or at least 10 stores in each of
the above cities

64 | P a g e
 II.13 CUSTOMER SERVICE POLICY

 Meet the standards of product and services expected by the customers

 Loyalty schemes
 Formal complaint procedure-customer and organization
 Market research-
o customer focus groups
o customer satisfaction surveys
 Quality Management system
 Availability of right products at right time to the right target customers
 Customer service desk- knowledge about product
 Special product or orders- customization
 Exhange of product within 15 days of buying the product
 No exchange or return on discounted products
 Customer retention

65 | P a g e
 II.14 PURPLE OCEAN STRATEGY

RED OCEAN PURPLE OCEAN BLUE OCEAN

STRATEGY STRATEGY STRATEGY
Existing market Existing and Uncontested market
uncontested market
Beat the competition Beat the competitor No competitor
Focus on existing Focus on customer Create new demand
demand
Value-cost-trade-off Emphasis on value of Break the Value-cost-
“free” trade-off
Differentiation or cost Strategic resources and Differentiation and cost
leadership indispensable leadership

Figure 29

Red Ocean Strategy:-

 Current industry and a specific market

 Borders are set and accepted by all players (companies)
 To perform better at the market than other companies, to gain a greater
share of the demand arising from consumers
 After a certain amount of time space available to firms gets crowded with
the cosequence of lowering prospective profits and in the end possible
growth

Blue Ocean Strategy:-

 Focusing on non existing markets or industries

 Companies create demand instead of competing for it

66 | P a g e
  Competition is irrelevant because players do no know the rules of the
game that can be set over
 Blue ocean is created from within a red ocean when a company alters the
boundaries of an existing industry
 Achieving differentiation and low cost

Purple Ocean Strategy:-

 A mixture of both Red and Blue Strategy approaches

 Purple Ocean strategy advocates continuous innovation, numerous
traditional enterprises

The purple ocean strategy believes that in today’s business world

organizations require both innovative ideas as well as a series of strategies to
compete with rivalry and remain functional in the long term. Purple Ocean
Strategy focuses on how firms can free their vision from current vusiness
conditions and social norms, maximising customer value and experience,
utilizing human resources efficiently.

I would like to adopt the Purple Ocean Strategy since is a combination of the
Red and Blue Ocean Strategies. Red signifies that it has some amount of
competition in the market and Blue stands for new untouched markets which
are mostly new business categories. According to the Purple Ocean Strategy
there is room for my product to find a niche spot in the market. The Purple
Ocean Strategy pushes entities to serve disruptive ideas, develop competitive
strategies, and understand the change in seasons and trends. In terms of
execution, it’s all about communication, preserving the bargaining powers of
buyers and suppliers and understanding the market

https://www.researchgate.net/publication/272292343_Purple_Ocean_Strategy_Concept_Paper_Content_Analysis_from_Interviews_and_Lit
erature_Review

https://www.slideshare.net/sajnafathima988/blue-green-red-and-purple-ocean-strategy

https://prezi.com/vewycskgogsb/red-blue-and-purple-ocean-strategy/

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 II.15 BEACH HEAD STRATEGY

The beachhead strategy comes from the military strategy of winning a small
border area that becomes a stronghold, and from which they advance to the rest
of the territory. The small border area is referred to as a beachhead. In business,
the idea is to focus your resources on a small market area (such as product
category or smaller market segment). To turn into a stronghold before
advancing to the broader market or product categories. The beachhead strategy
allows them to dominate the small areas from which they can enter and
dominate the rest of the market. For example, my product- a convertible sling
bag, is just a small part of handbag market or industry and the target is limited
to girls/women from the age group 15 to 40. I have to make my product
category strong enough before proceeding to more categories or other market
sectors.

A beachhead market can be defined as a small market with specific

characteristics that make it an ideal target to sell a new product or service. The
choice of the market is based on the compatibility between the resources
available, the product, and the market itself. The market should help the
business serve specific goals that will help it advance from its infancy to other
markets. A business should go into a market where the potential customers are
already purchasing a similar product, which the business intends to offer.

https://corporatefinanceinstitute.com/resources/knowledge/strategy/beachhead-strategy/

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III. BUSINESS RESEARCH

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 III.1 ABSTRACT

Consumer awareness and consumer needs is a priority in the current marketing

scenario. Hence my study aims at understanding consumer preferences of my
target group which are females from the age group of 15-40, so that my product
can be be according their choice and convenience. This study contains
secondary research based on the data collected about similar products,
competitors as well as related industry from websites and articles and primary
research done with the help of conducting a survey of around 70 people within
my target audience. The survey helped me to determine the importance of
product quality, prices and trends in my target maret’s buying behaviour with
respect to my product which is convertible sling bag into fanny bag. This help
help me to know if my product will be acceptible by my target customers or not
and if they would they be willing to try my product.

III.2 INTRODUCTION

In the early 60s and 70s, the Indian Leather sector underwent a dramatic shift,
from being an exporter of mere raw materials to an exporter of completed
value-added leather goods today. It has created itself on the global and domestic
markets as a prominent sector. India is the second biggest exporter of shoes and
clothing in the world, as well as the fourth largest exporter of leather goods.

The leather industry is a sector that employs about 4.42 million individuals. The
weaker sectors of society are mostly these individuals. In the leather goods
industry, women’s work is also predominant, with an estimated 30%. 55% of
the sector’s workers are under the age of 35, indicating an abundance of young
qualified talents. In addition to its capacity to meet global environmental

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requirements, leather is one industry in which India has plenty to offer qualified
manpower and technology.

Leather goods are an important part of India’s leather industry. In 2013-14 the
leather products are expected to produce 63 million units annually, according to
the Leather Export Council. Different types of leather goods and accessories,
such as trunks, suitcases, luggage bags, wallets, purses, pouches, leather belts,
etc. Leather and leather production is mainly in the West, North and east India.
Tamil Nadu has 43% share while West Bengal, Uttar Pradesh, Punjab,
Karnataka, Haryana and Delhi are other states which are a part of the tanning
industry

Indian Leather Industry exports

25.20% Leather goods

38.58%
Finished leather

12.68% Leather garments

Non-leather Footwear
5.61% 8.23% Footwear components
6.90%
Saddlery and Harness
2.80% Leather Footwear

Figure 30

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 III.3 OBJECTIVE

The objective of this study is-

 To analyse brand awareness and the latest trends in the market

 To analyse the customer base for my product-my brand would cater to
girls/women from the age of 15 to 40 which include students, millenials
who are aware of the latest trends
 To explore the different choices and preferences of my target market
according to the age gap and generation gap
 To examine the role of influencers and social media in the consumer
behaviour
 To analyse the feasibility of my product in the market
 To analyze the competitors which are closest to my product, their target
narket, product line and prices

III.4 LITERATURE REVIEW

 Are Indian consumers brand conscious? Insights from global retailers -

the purpose of this paper is to assess Indian consumer’s brand
consciousness by examining their brand knowledge, purchase bahviour
and perceptions of foreign brands. It provides key inputs for global
retailers to harness the potential in growing consumerism in India. The
study found that brand purpose in India varies across product
categories.at present, consumer knowledge and use of foreign brands is
low, and Indian consumers are price-sensitive. Indian consumers are
experimenting with brands and would like more foreign brands to enter to
enter the Indian market.
-Asia Pacific Journal of Marketing and Logistics (15.06.12)

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https://www.emerald.com/insight/content/doi/10.1108/13555851211237920/full/html

 Exploring the handbag buying pattern of Indian consumers: An approach

towards sustainable product development- Designers, Brands, and even
retailers often launch new products to influence customers with a variety
of style. Customers’ needs and prefernces also changes from purchase to
next and according to the times. Evaluation and understanding of
customer’s shopping behaviour and buying preferences in regular time
intervals are necessary. This study is aimed to identify the major deciding
factors of a customer while choosing their first or next handbag and also
bridge thegaps between customer needs and design strategies for
companies focused on the Indian market.
-Central Leather Research Institute, Chennai, India
http://www.caribjsci.com/gallery/is2.145.pdf

 Research and Markets: Handbags market in India 2015-2019

According to the report, urban consumers contribute to a large part of the
sales of handbags in India as they are brand conscious and prone to
impulse buying beacuse they have high disposable income. As income
rises, consumption patterns also shift in favor of organized retail formats
that offer lifestyle and entertainments enhancements. These consumers
have access to many channels of advertising and communication, and
often search multiple retail channels to make purchase decisions. Many of
them have little time at their disposal and prefer shopping through the
Internet.

https://www.businesswire.com/news/home/20150730005618/en/Research-Markets-Handbags-
Market-India-2015-2019

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 From necessity to style statement, handbag retailing witnesses a chic
transition- With Indian consumers increasingly becoming conscious of
their consumption choices –especially those reflecting their style and
personality- the handbag market in India has witnessed a revolution. The
fashion accessory has gone from being a mere necessity purchase to
gaining a foothold in the lifetsyle shopping category. Shopping trends
have drastically changed post the advent of online retail and it is no
different for handbag category. All the players, in the past, have
extending their reach by online, through big marketplaces like amazon,
Snapdeal or Flipkart and/or their own portal.

https://www.indiaretailing.com/2017/04/11/fashion/from-necessity-to-style-statement-
handbag-retailing-witnesses-a-chic-transition/

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 III.5 RESEARCH METHODOLOGY

Research methodology is the specific procedures or techniques used to identify,

select, process, and analyze information about a topic. In a research paper,
methodology section allows the reader to critically evaluate a study’s overall
validity and reliability. The methodology section answers two main questions-
how the data was collected or generated and how it was analyzed .

Sources of data:-

 Primary data of the research is collected through survey 70 consumers

which were a part of my target market- girls/women from the age of 15-
40
 Secondary data of the research is collectded through literature review
which includes articles and other websites.

SAMPLING TECHNIQUE AND SIZE

 Sampling method is a procedure for selecting sample members from a

population
 In this study, non-profitability sampling method that is convenience
sampling is used
 Sample size: From this survey, primary data has been collected from
about 70 respondants.
 Sample unit: The residents of Mumbai and Kolkata and Delhi have been
chosen for sample units.

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 III.6 CHALLENGES/LIMITATIONS

 This study is limited to 70 respondants who have given genuine reviews

and preferences and though it has helped me to understand my target my
target market better, but in future, a study with a larger sample size of our
target market would help us to analyze the situation better.
 Personal values are culture spicific and the study pertains to Mumbai and
Kolkata. Hence the findings of the studymay or may not be applicable to
the target market from other Tier-1 cities of India who may have different
perceptions and cultures.
 The research was caaried on for about 15 days to a month which
restricted me to study if there was in the taste and preferences of my
target customers.
 Some of my target customers who are familiar with me may have given
biast opinions.

III.7 HYPOTHESIS STATEMENT

It is prediction ( probability) or a tentative statment about the outcome of the

study. After the hypothesis is proposed with the help of the problem statement,
a study is conducted with the help of interviews or surveys to test this
hypothesis.

Types of Hypothesis:

Two main types of hypothesis ar eused in research to explain the phenomenon

and to make predictions about relationship between variables in a study.

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 Alternative Hypothesis (Ha or H1)

 The main hypothesis the researcher about the studies outcome

 It is the hypothesis the researcher is trying to prove
 It predicts that there will be some relationship between variables or
difference between means or groups

Null Hypothesis

 It is also called statistical hypothesis

 It always states that there would be no differnces between groups or
means being compared
 It also states that there would be no relationshop between variables been
correlated
 It is the hypothesis the researcher is trying to disapprove

PROBLEM STATEMENT: To make travelling for women more

convenient, stylish and effortless

HYPOTHESIS STATEMENT: There is significant relationship between

quality, price, market trends and the prospective innovation in my product
which i want to introduce in the market.

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 III.8 FINDINGS

1) Percentage of age group of the target customers (15-40)

Age group of respondants

8.60%
21.40% 15-20
21-25
26-30
11.40%
31-35
52.90% 36-40

5.70%

Figure 31

2) Majority of the people use handbags on a regular basis

Usage of handbags

11.40%

Use on regular basis

Do not use on a
regular basis
88.60%

Figure 32

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3) Location of the respondants- preference location of manufacturing and
warehouse

Figure 33

4) Maximum consumers like setting up their own trend and being

comfortable in their own style

Consumer views on trends

75%

80%

60% Consumer
views on
40% 20% trends
5%
20%

0%
Following Comfortable in Both
trends own style and
trends

Figure 34

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5) Most of the consumers use handbags for carrying accessories and
enhance their outfits

Need for handbags

Carrying accessories
54.10% 54.10%
Enhance outfit
Both

2.70%

Figure 35

6) Handbag material preferred by consumers is leather

Material

Jelly Kelly 5.70%

Suede 40%

Material
Texile
48.60%
fabrics

Leather 68.60%

0.00% 20.00% 40.00% 60.00% 80.00%

Figure 36

80 | P a g e
7) Most consumers use sling bags in their daily lives but consumers may
also try using fanny packs

Handbag style preference

17.10%
5.70% Sling bags
Fanny packs
Any of the two
77.10%

Figure 37

8) Customers mostly buy handbags occasionally

Buying behaviour

18.60%
48.60%
Occasionally

32.90% Half yearly

Annually

Figure 38

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 9) Style is the important factor for consumers while selecting handbags

Durability 42.10%
Usability 67.10%
Stitching quality and finishing 55.70% Factors
determinin
Material 54.30%
g consumer
Price 74.30% buying…

Style 84.30%
Colour 67.10%
Fashion 62.90%

0.00% 20.00% 40.00% 60.00% 80.00% 100.00%

Figure 39

10) Most consumers prefer small compartments in their handbag

Handbag features

One single compartment 1.40%

Sling 1.40%

Zipper pouch compartment 42.90%

Handbag
Small compartments for… 64.30% features
Water resistance 48.60%

Front flap 34.30%

Multiple large compartments 42.90%

0.00% 20.00% 40.00% 60.00% 80.00%

Figure 40

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11) Maximum percentage of my target group is aware of the concept of
fanny pack

Aware of the product 'fanny pack'

20%

Aware
Not aware

80%

Figure 41

12) Although my target customers are not comfortable in carrying a

fanny pack but are willing to try my product

Comfort level

31.40% 31.40% Yes

No
Maybe

37.10%

Figure 42

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 Willingness to try my product

21.20%
Yes
No
15.20%
63.60% Maybe

Figure 43

13) Awareness of the brand with which I plan to collaborate

Figure 44

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14) Customers opinion if my product can be introduced in the ‘Globus’
stores in some of the metropolitan cities like Kolkata, Mumbai, Delhi,
Bangalore

Figure 45

85 | P a g e
 III.9 RECOMMENDATIONS/SUGGESTIONS

 My target customers are willing to my sling bag which can be converted

into a fanny pack
 My brand can start by initially collaborating with brands like Max and
Globus which have the accessories/handbag section
 My brand can work on the marketing aspects more online and offline to
attract customers
 My brand can concentrate on the fixtures and display of the product in the
stores
 Certain policies for customer satisfaction should be applied
 Analysing the competitor’s actions regularly is very important
 My brand can maybe also put up stalls in pop-ups or exhibitions
happening in the main cities of India
 Regular surveys and reseach would also help in analysing the changing
market trends

86 | P a g e
 III.10 CONCLUSION

The study of my brand aims on youth population- students, travellers,

workers which form a major demographic dividend of the entire nation. This
consumer segment is the trend setter for the others and also they offer
longetivity of market. The study focuses on handbags which are the most
frequently which are in trend and purchased and used by young adults quite
often and a small innovation in products which are already existing market.

The study focuses on values as the important pschographic variable that

influences shopping styles, including how and what type of handbags they
are comfortable to use, how often they buy they handbags and whether they
use handbags on a regular basis. This knowledge helps marketers to predict
consumer behaviour more accurately than the other pschographic variables
such as attitudes, product attributes, product classification and style. It is
therefore concluded that personal values have significant influence on the
young adults for handbags (specifically sling bags and fanny packs) in
India.the findings of the present study are statistically relevant and can be
used as basis for strategic decision making. This study also helps me to know
that India is a relevant market for my market for my brand. Findings of the
study also contribute to knowledge and theory in the relevant area. The
choices and preferences of the target helps to design such a product which
they are likely to accept and which also serves their needs.

87 | P a g e
IV TECH PACK AND MERCHANDISING

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 IV.1 DOMESTIC SOURCING

PRODUCTION
MERCHANDISER TRIMS AND
FABRIC
BELTS
FUSHION FLING

 TRANSPORTER NAME-  TRANSPORTER NAME-

NIRMAL FIBRES (PVT) COSMUS BAGS (PVT)
LTD LTD AND J.K.BELT
 TRANSPORTER HOUSE
LOCATION- KOLKATA  TRANSPORTER
 TRANSPORTING LOCATION-MUMBAI
LOCATION- DELHI  TRANSPORTING
 TRANSPORT- TRUCK LOCATION- DELHI
 TRANSPORT TRUCK

Figure 46

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IV.2 FIXTURE TABLE

Figure 47

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 SRL NO PRODUCT DESIGNS BRAND BRANDCODE DEP DEPCODE SUBDEP SUBDEPCODE CAT CATCODE SUBCAT SUBCATCODE STYLECODE DESCRIPTION FABRIC COLOUR MRP SEASON WOC PO EX FTY DATE COUNT

FUSHION FLINGBAGSWOMENANIMAL
001 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI ANIMAL FUR PANEL AFP FUFLBGWWANIAFP SYNTHETIC LEATHER BROWN 1750 AUTUMN'19 10 1st March 1st June 1
PRINTANIMAL FUR PANEL

002 FUSHION FLING FUFL BAGS BG WOMEN SOLIDS SOL COLOURS COL FUFLBG SOLCOL FUSHION FLINGBAGSWOMENSOLIDSCOLOURS SYNTHETIC LEATHER BROWN 1500 AUTUMN'19 10 1st March 1st June 1

FUSHION FLINGBAGSWOMENANIMAL
003 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI SNAKE SKIN SS FUFLBGWWANISS SYNTHETIC LEATHER BROWN 2000 AUTUMN'19 10 1st March 1st June 1
PRINTSNAKE SKIN

004 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL FUSHION FLINGBAGSWOMENSOLIDSCOLOURS SYNTHETIC LEATHER BROWN 1500 WINTER'19 10 1st June 1st September 1

FUSHION FLINGBAGSWOMENTASSLESDOUBLE
005 FUSHION FLING FUFL BAGS BG WOMEN WW TASSLES TAS DOUBLE TASSLE DT FUFLBGWWTASDT SYNTHETIC LEATHER BROWN 1350 WINTER'19 10 1st June 1st September 1
TASSLE
IV.3

006 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL FUSHION FLINGBAGSWOMENSOLIDSCOLOURS SYNTHETIC LEATHER BROWN 1500 AUTUMN-WINTER'19 26 1st June 1st September 1

FUSHION FLINGBAGSWOMENTASSLESSINGLE
007 FUSHION FLING FUFL BAGS BG WOMEN WW TASSLES TAS SINGLE TASSLE ST FUFLBGWWTASST SYNTHETIC LEATHER BROWN 1750 WINTER'19 10 1st June 1st September 1
TASSLE

Figure 48
FUSHION
008 FUSHION FLING FUFL BAGS BG WOMEN WW TEXTURE TEX CROCSKIN CS FUFLBGWWTEXCS SYNTHETIC LEATHER BROWN 2500 AUTUMN'19 10 1st March 1st June 1
FLINGBAGSWOMENTEXTURECROCSKIN

009 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA OVAL OV FUFLBGWWSHAOV FUSHION FLINGBAGSWOMENSHAPESOVAL SYNTHETIC LEATHER BROWN 2000 AUTUMN-WINTER'19 26 1st June 1st September 1
RANGE PLAN

010 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA ROUND RO FUFLBGWWSHARO FUSHION FLINGBAGSWOMENSHAPESROUND SYNTHETIC LEATHER BROWN 1500 AUTUMN'19 10 1st March 1st June 1

FUSHION FLINGBAGSWOMENANIMAL
011 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI SNAKE SKIN SS FUFLBGWWANISS SYNTHETIC LEATHER BROWN 2500 AUTUMN'19 10 1st March 1st June 1
PRINTSNAKE SKIN

012 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL FUSHION FLINGBAGSWOMENSOLIDSCOLOURS SYNTHETIC LEATHER BLACK 1350 WINTER'19 10 1st June 1st September 1

013 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA HEART HE FUFLBGWWSHAHE FUSHION FLINGBAGSWOMENSHAPESHEART SYNTHETIC LEATHER BROWN 1500 AUTUMN-WINTER'19 26 1st June 1st September 1

014 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA RETANGLE REC FUFLBGWWSHAREC FUSHION FLINGBAGSWOMENSHAPESRETANGLE SYNTHETIC LEATHER BROWN 1750 WINTER'19 10 1st June 1st September

91 | P a g e
1

015 FUSHION FLING FUFL BAGS BG WOMEN WW TEXTURE TEX SHIMMER SH FUFLBGWWTEXSH FUSHION FLINGBAGSWOMENTEXTURESHIMMER SYNTHETIC LEATHER BROWN 2650 AUTUMN'19 10 1st March 1st June 1
 SRL NO BRAND BRANDCODE DEP DEPCODE SUBDEP SUBDEPCODE CAT CATCODE SUBCAT SUBCATCODE STYLECODE DESCRIPTION FABRIC COLOUR MRP SEASON WOC PO EX FTY DATE COUNT CP MARGIN Return on Sale NO OF STORES SIZE SIZE RATIO BUY QNTY GMV GRV VENDOR NAME NO OF OPTIONS

FUSHION FLINGBAGSWOMENANIMAL
001 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI ANIMAL FUR PANEL AFP FUFLBGWWANIAFP FAUX LEATHER BROWN 1750 AUTUMN'19 10 1st March 1st June 1 1050 40% 145 40 26-28-30-32-34 6-4-5-5-4 58000 60900000 101500000 Cosmus Bags Pvt. Ltd. 3
PRINTANIMAL FUR PANEL

FUSHION
002 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL SYNTHETIC LEATHER RED 1500 AUTUMN'19 10 1st March 1st June 1 900 40% 19 40 26-28-30-32-34 5-5-4-6-4 7600 6840000 11400000 Cosmus Bags Pvt. Ltd. 6
FLINGBAGSWOMENSOLIDSCOLOURS

FUSHION FLINGBAGSWOMENANIMAL
003 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI SNAKE SKIN SS FUFLBGWWANISS POLYURETHANE BROWN 2000 AUTUMN-WINTER'19 26 1st June 1st September 1 1200 40% 49 40 26-28-30-32-34 6-4-5-5-4 50960 61152000 101920000 Cosmus Bags Pvt. Ltd. 3
PRINTSNAKE SKIN

FUSHION
004 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL POLYURETHANE BLACK 1500 WINTER'19 10 1st June 1st September 1 900 40% 19 40 26-28-30-32-34 5-5-4-6-4 7600 6840000 11400000 Cosmus Bags Pvt. Ltd. 6
FLINGBAGSWOMENSOLIDSCOLOURS

FUSHION
005 FUSHION FLING FUFL BAGS BG WOMEN WW TASSLES TAS DOUBLE TASSLE DT FUFLBGWWTASDT FLINGBAGSWOMENTASSLESDOUBLE POLYURETHANE BLACK 1350 AUTUMN-WINTER'19 26 1st June 1st September 1 810 40% 73 40 26-28-30-32-34 5-4-3-2-1 75920 61495200 102492000 Cosmus Bags Pvt. Ltd. 1
TASSLE
IV.4

FUSHION
006 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL COLOURS COL FUFLBGWWSOLCOL FAUX SUEDE ORANGE 1500 AUTUMN'19 10 1st March 1st June 1 900 40% 19 40 26-28-30-32-34 5-5-4-6-4 7600 6840000 11400000 Cosmus Bags Pvt. Ltd. 6
FLINGBAGSWOMENSOLIDSCOLOURS

FUSHION
007 FUSHION FLING FUFL BAGS BG WOMEN WW TASSLES TAS SINGLE TASSLE ST FUFLBGWWTASST FLINGBAGSWOMENTASSLESSINGLE POLYURETHANE BROWN 1750 AUTUMN-WINTER'19 26 1st June 1st September 1 1050 40% 56 40 26-28-30-32-34 5-4-3-2-1 58240 61152000 101920000 Cosmus Bags Pvt. Ltd. 1
TASSLE

Figure 49
FUSHION
008 FUSHION FLING FUFL BAGS BG WOMEN WW TEXTURE TEX CROCSKIN CS FUFLBGWWTEXCS POLYURETHANE BLACK 2500 AUTUMN'19 10 1st March 1st June 1 1500 40% 102 40 28-30-32-34 3-4-3-2 40800 61200000 102000000 Cosmus Bags Pvt. Ltd. 1
FLINGBAGSWOMENTEXTURECROCSKIN

FUSHION
009 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA OVAL OV FUFLBGWWSHAOV POLYURETHANE MAROON 2000 WINTER'19 10 1st June 1st September 1 1200 40% 127 40 26-28-30-32 8-6-8-8 50800 60960000 101600000 Cosmus Bags Pvt. Ltd. 4
FLINGBAGSWOMENSHAPESOVAL
BUY PLAN

FUSHION
010 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA ROUND RO FUFLBGWWSHARO POLYURETHANE LIGHT PINK 1500 AUTUMN-WINTER'19 26 1st June 1st September 1 900 40% 65 40 26-28-30-32 8-6-8-8 67600 60840000 101400000 Cosmus Bags Pvt. Ltd. 4
FLINGBAGSWOMENSHAPESROUND

FUSHION FLINGBAGSWOMENANIMAL
011 FUSHION FLING FUFL BAGS BG WOMEN WW ANIMAL PRINT ANI SNAKE SKIN SS FUFLBGWWANISS POLYURETHANE ORANGE 2500 WINTER'19 10 1st June 1st September 1 1500 40% 49 40 26-28-30-32-34 6-4-5-5-4 19600 29400000 49000000 Cosmus Bags Pvt. Ltd. 3
PRINTSNAKE SKIN

FUSHION
012 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA RETANGLE REC FUFLBGWWSHAREC POLYURETHANE BLACK 1350 AUTUMN-WINTER'19 26 1st June 1st September 1 810 40% 19 40 26-28-30-32-34 5-5-4-6-4 19760 16005600 26676000 Cosmus Bags Pvt. Ltd. 6
FLINGBAGSWOMENSHAPESRETANGLE

FUSHION
013 FUSHION FLING FUFL BAGS BG WOMEN WW SHAPES SHA HEART HE FUFLBGWWSHAHE POLYURETHANE LIGHT PINK 1500 WINTER'19 10 1st June 1st September 1 900 40% 170 40 26-28-30-32 8-6-8-8 68000 61200000 102000000 Cosmus Bags Pvt. Ltd. 4
FLINGBAGSWOMENSHAPESHEART

92 | P a g e
FUSHION
014 FUSHION FLING FUFL BAGS BG WOMEN WW SOLIDS SOL RETANGLE REC FUFLBGWWSOLREC POLY VINYL CHLORIDE YELLOW 1750 AUTUMN'19 10 1st March 1st June 1 1050 40% 145 40 26-28-30-32-34 5-5-4-6-4 58000 60900000 101500000 Cosmus Bags Pvt. Ltd. 4
FLINGBAGSWOMENSOLIDSRETANGLE

FUSHION
015 FUSHION FLING FUFL BAGS BG WOMEN WW TEXTURE TEX SHIMMER SH FUFLBGWWTEXSH SYNTHETIC LEATHER BLACK 2650 WINTER'19 10 1st June 1st September 1 1590 40% 96 40 28-30-32-34 3-4-3-2 38400 61056000 101760000 Cosmus Bags Pvt. Ltd. 1
FLINGBAGSWOMENTEXTURESHIMMER
IV.5 ROS CALCULATION AND PURCHASE ORDER

Figure 50

Figure 51

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IV.6 TECH PACK

MAIN PAGE

Figure 52

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Figure 53

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BAG LABELS

Figure 54

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 IV.7 PRODUCTION PROCESS

BULK ORDER
ORDER
RECEIVED BY PLANNING
CONFIRMED
GLOBUS

FABRIC
ACTIVITY DEVELOPMENT
ORDER
CHART STRATEGIES
PLACED

TRIMS AND
RAW
TRIMS ORDER FABRIC
MATERIALS
PLACED APPROVAL BY
RECEIVED
GLOBUS

SAMPLE
PROTOTYPE BULK
APPROVED PP
READY PRODUCTION
MEETING

PRODUCTION
QUALITY
SUPERVISION
CHECK AND INSPECTION
AND FOLLOW
COMPLETION
UP

DISPATACHED
PACKAGING AND ORDER IS THROUGH LOCAL
WAREHOUSING READY LOCAL
TRANSPORTATION

Figure 55

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 IV.8 PRODUCTION SYSTEM
The types of Production Systems are as follows:-

• Make Through System

• Section or Process System
• Progressive Bundle System
• Straight Line System
• Selective Conveyor Belt System
• Unit Production System
• Quick Response System

Different types of production systems are distinct and require different

conditions for working. However, they should meet the two basic objectives,
that is, to meet the specification of the final product and to be cost-effective in
nature. The main aim of any production system is to achieve a minimu possible
total production line. This automatically reduces in-process inventory and it’s
cost. Any production system has four primary factors that make up the system.

Processing time+ transportation time+ Temporary storage time+ Inspection

time= Production Time

Processing time is the sum total of working time of all operations involved in
manufacturing a product. Transportation time involves the time taken to
transport semi-finished or finished goods from one department to another or
from one operation/machine to another. Temporary storage time is the time
during which the bundle was idle as as it wai0ts for the next operation for
completion of certain parts. Inspection time is taken for inspecting semi finished
products for any defects during manufacturing or inspecting fully finished
products before packing.

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Straight Line System or Synchro System

This system is based on a synchronized flow of work through each stage of

producing a garment. Time synchronization is the most important factor of this
system because the flow of work cannot be synchronized if there are
considerable variations in the standard time allowed for all the operations
performed on the line.

The Synchro System by it’s very nature is rigid and vulnerable to absentism and
machine breakdown, therefore at all times reserve operators and machine should
be available.

Due to rigidity, supervisors are very much concerned with keeping the line in
balance at all times. The operators required for this system should be highly
skilled due to combination of different operations which sometimes have to be
performed in order to maintain a time balance between the operations in line. In
process quality check must be more alert and intensive because hold ups caused
through quality problems can stop the line in a matter of minutes. ( no storage,
synchronized, shortest through put time compared to other systems)

For example, if one operation has a value of 1.5 minutes SAM (standard
allowed minutes), then all the other operations in the line must have the same,
or a very close, value. The manipulation required to balance the standard time
for each operator can sometimes lead to illogical combinations of whole or part
operations which are not always conducive to the overall efficiency of
individual operators.

https://clothingindustry.blogspot.com/2017/11/production-system-garment-industry.html

99 | P a g e
 IV.9 LEAN MANUFACTURING TECHNIQUES

The 5 tools of lean manufacturing are:-

 Sort (eliminates that is not needed)

 Set in Order ( organise remaining items)
 Shine (clean & inspect work area)
 Standardize (right standards for all the above)
 Sustain (regularly apply the standards)

GEMBA
The word Gemba is a Japanese term that is used as part of many
industries manufacturing strategies. The term means ‘The Real Place.’
The concept behind a Gemba strategy is that supervisors, manager, and
others who may be in charge of different areas need to be spending time
in ‘the real place’ where the work gets done. In a manufacturing facility,
for example, a supervisor following Gemba techniques will want to spend
a significant amount of their time actually on the work floor. This will
allow him or her to interact directly with employees, see what they do and
how they do it. During this time, they will be able to discover potential
problems, listen to proposed solutions, and much more.

VISUAL FACTORY
Visual management is an effective and standard method to communicate
with every level of a factory with necessary information. The concept is
to understand everything when a person visits manufacturing floor by
visual data display system and also include an important message for
employees for learning, doing and achieving. It makes the state and

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condition of manufacturing processes easily accessible and very clear to
everyone.

KAIZEN
Kaizen (Continuous Improvement) is a strategy where employees at all
levels of a company work together proactively to achieve regular,
incremental improvements to the manufacturing process. In a sense, it
combines the collective talents within a company to create a powerful
engine for improvement. Kaizen works hand-in-hand with Standardized
Work. Standardized Work captures the current best practices for a
process, and Kaizen aims to find improvements for those processes.
Consistent application of Kaizen as an action plan creates tremendous
long-term value by developing the culture that is needed for truly
effective continuous improvement.

TAKT TIME
Takt time is the maximum amount of time in which a product needs to be
produced in order to satisfy customer demand. The term comes from the
German word "takt," which means "pulse." Set by customer demand, takt
creates the pulse or rhythm across all processes in a business to ensure
continuous flow and utilization of capacities (e.g., man and machine). It
ensures that all the capacity in a business is planned and utilized and still
meets overall customer demand. By and large, takt will help to deliver the
right product (RP) at the right time (RT) in the right quantity (RQ) to the
customer. We can achieve RP, RT, and RQ without implementing takt;
however, this could lead to much waste of man and machine.

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TOTAL PRODUCTIVE MAINTENANCE
Total Productive Maintenance is a holistic approach towards equipment
maintenance where the aim is to achieve the best possible productivity
with no breakdowns, no unplanned failures, no stops, no defects and no
accidents. The roles of production and maintenance teams in TPM are
blurred in a way that the operators running or using the equipment
himself are empowered to responsibly maintain it. Creating a shared
responsibility for equipment maintenance between floor workers and
maintenance staff improves equipment’s uptime, reduces the cycle time
and eliminates any potential defects.

JIDOKA
Jidoka is a Lean manufacturing principle that ensures that quality is
automatically built into a production process. With the help of Jidoka, it
is possible to immediately identify and correct deviations in the
production process. When something goes wrong in the automation
process, this will lead to a build-up of faulty production. Jidoka pauses
the production process as soon as an error arises, so there will not be a
build-up of errors. Both the employee and the machine have the
autonomy to pause a production process when a defect has been signaled.

ANDON
Andon is a system that provide continuous monitoring, notification, and
instant warning of problems in the manufacturing progress, from
incidents to maintenance or human and material requirements, quality
status to enhance control, improve efficiency, quality and cost
optimization by optimizing machine and worker capacity. With
continuous monitoring and warning, when an incident occurs or there are

102 | P a g e
support requirements, the Andon system automatically activates and
informs the relevant department. For example, when the machine
encounters a malfunction, the system will notify the maintenance request
immediately through the monitor at the Maintenance Department as well
as the hall / The location of the error, the message on the optional sound
system, and the location of the fault will have a flashing tower lamp with
the corresponding color of the fault to indicate to the maintenance officer
that it is rapidly approaching. and handle.

103 | P a g e
 IV.10 VENDOR MANAGEMENT

F U S HION F L ING

This Agreement is entered into between FUSHION FLING and NIRMAL FIBRES (PVT) LTD hereinafter
referred to as "Contractor."

CONT R ACT OR CONT ACT

COMP ANY NAME NIRMAL FIBRES (PVT) LTD

Unit-1207 Om Tower, 32, Jawarhar
T E L E P HONE 033-24241530 MAIL ING ADDR E S S Lal Nehru Road, Near Metro Rail
Bhawan, Kolkata-700071
F AX 033-22104586

E MAIL info@nirmalfibers.com W E B S IT E http://www.nirmalfibers.com/

P OINT OF CONT ACT

Mr Siddhant Malik CONT ACT E MAIL siddhant.malik@yahoo.co.in
NAME & T IT L E

CONT ACT P HONE 1 7828580001 CONT ACT P HONE 2 9831015305

S E R VICE S OVE R VIE W

DE S CR IP T ION OF
S E R VICE S / GOODS Black Synthetic Leather- 1680 m of fibres for producing 840 bags per month

CONT R ACT OVE R VIE W

E F F E CT IVE DAT E
& DUR AT ION
10th September to 16th October 2019
20% DISCOUNT BY FUSHION FLING IN THE NEXT ORDER IF PAYMENT IS NOT RECEIVED
COMP E NS AT ION
BY NIRMAL FIBRES WITHIN 10 DAYS OF ORDER DELIVERED
THIS AGREEMENT IS INTENDED BY BOTH PARTIES AS A FINAL , EXCLUSIVE AND
CE R T IF ICAT ION
COMPLETE EXPRESSION OF THE TERMS CONTAINED IN THE AGREEMENT
R E L AT IONS HIP OF T HE
P AR T IE S
BUYER AND SUPPLIER

R E L E AS E / W AIVE R TILL THIS ORGANIZATION IS DISSOLVED

W AR R ANT IE S 5-6 MONTHS WARRENTY ON THE FABRIC

CONF IDE NT IAL IT Y CONFIDENTIAL

F E E S & E XP E NS E S Rs 2688000- TOTAL COST OF 1680 METRES OF LEATHER AFTER PROCESSING

T E R MS & THIS CONTRACT SHALL BE TERMIANTED IF VENDOR IS UNABLE TO PROVIDE THE

T E R MINAT ION FABRIC WITHIN 15 DAYS OF ORDER PLACED

INDE MNIF ICAT ION 50% CASHBACK OF THE TOTAL PURCHASE ORDER

E XE CU T ION

CONT R ACT OR NAME NIRMAL FIBRES (PVT) LTD T IT L E FABRIC VENDOR CONTRACT

S IGNAT UR E DAT E 10.09.19

AUT HOR IZING P AR T Y

FUSHION FLING T IT L E FABRIC VENDOR CONTRACT
NAME

AUT HOR IZING P AR T Y

DAT E 10.09.19
S IGNAT UR E

Figure 56

104 | P a g e
 IV.11 VENDOR RATING

PARAMETERS POINTS
QUALITY 50
PRICE 30
DELIVERY 20
TOTAL 100

QUALITY RATINGS
SUPPLIER TOTAL LOTS RECEIVED TOTAL ACCEPTED LOTS % ACCEPTANCE WEIGHTED POINTS QUALITY RATINGS
1 2 3 4 5 6=4*5
A 50 45 90 50 45%
B 50 43 86 50 43%
C 50 47 94 50 47%

PRICE RATING
SUPPLIER UNIT PRICE DISCOUNT TRANS NET PRICE
1 2 3 4 5=2-(3+4)
A 82 15 3 64
B 75 12 2 61
C 90 18 1 71

SUPPLIER LOWEST NET PRICE RESPECTIVE NET PRICE % OF (2) TO (3) WEIGHTED POINTS PRICE RATING
1 2 3 4 5 6=(4)*(5)
A 70 82 85% 30 25.611
B 62 75 83% 30 24.801
C 78 90 87% 30 26.001

DELIVERY RATING
DELIVERY POINTS
TIMELY DELIVERY 100%
1 DAY LATE 94%
2 DAY LATE 92%
3 DAY LATE 85%
4 DAT LATE 72%
5 DAY LATE 90%

SUPPLIER AVG PERFORMANCE

A TIMELY DELIVERY
B 3 DAY LATE
C 1 DAY LATE

SUPPLIER ACTUAL RATING WEIGHTED POINTS RATING FOR TIMELY DELIVERY

1 2 3 4=(2)*(3)
A 100% 20% 20.00%
B 87% 20% 17.40%
C 95% 20% 19.00%

CONSOLIDATED TOTAL RATING

RATING SUPPLIER A SUPPLIER B SUPPLIER C
QUALITY ( 50 POINTS) 45% 43% 47%
PRICE ( 30 POINTS) 26% 24.80% 26.00%
DELIVERY ( 20 POINTS) 20.00% 17.40% 19.00%
TOTAL RATIO 91% 85% 92%

Figure 57

105 | P a g e
V PROJECT MANAGEMENT AND
ENTREPRENEURSHIP

106 | P a g e
 V.1 P M KNOWLEDGE AREAS

SCOPE
MANAGEMENT

STAKEHOLDERS TIME
MANAGEMENT MANAGEMENT

RISK COST
MANAGEMENT MANAGEMENT
PROJECT
INTEGRATION
MANAGEMENT

PROCUREMENT RESOURCE
MANAGEMENT MANAGEMENT

QUALITY
MANAGAMENT COMMUNICATION
MANAGEMENT

Figure 58

Project Management knowlege areas coincide with the process groups, which
are project initiation, project planning, project execution, monitoring and
controlling, and project closing. These are the chronological phases that every
project goes through.

Project integration management includes fundamental plans such as developing

a project that is created through the initiation phase., directing and managing the
project work, which is thr production of deliverables. The process is monitored,
analyzed and reported on to identify and control any changes or problems that
might occur.

107 | P a g e
PROJECT SCOPE MANAGEMENT- project scope is when a detailed
requirement for the final product or service is collected. Validate cope during
the project, which means making sure that the deliverables are being approved
regularly by the sponsor or stakeholder. This occurs during the monitoring and
controlling process groups and is about accepting the deliverables, not the specs
laid out during planning.

PROJECT TIME MANAGEMENT-the project is divided into tasks, which are

scheduled with start dates and dates, as well as budgets for each task. Things are
constantly changing over the phases of any project, which means that the tasks
need to be revised on a daily basis. This involves plan schedule management,
which involves creating a schedule on every aspect of the project and determing
who is responsible for the respective tasks. The tasks are sequenced in a proper
order and the resources required for each task is estimated and assigned. Once
the schedule is made, a plan to control the schedule is also made.

PROJECT COST MANAGEMENT- this involved the project budget, which

needs to estimated with the help of tools which make sure that the funds cover
the extent of the project and are and are being regularly monitored to keep
stakeholders or sponsors informed. Each task will have to be estimated for cost,
which means including all resources such as labour, materials, equipment and
anything else needed to complete the task. This is performed regularly
throughout the project to make sure the estimated costs are in line with actual
expenditures.

PROJECT HUMAN RESOURCE MANAGEMENT- the project team should

be happy while working on the project. Their performance needs to be tracked
to ensure that the project is progressing as per planned. A human resource team
will identify the roles and requirements for the positions- job description as well
as how they will fit in the overall project structure. The required training and

108 | P a g e
developed will be will be given to the team that will make them viable for the
project.

PROJECT QUALITY MANAGEMENT- a project may comeon time and

within budget, but if the quality is not up to the standard set, the project might
fail. This process needs to include quality assurance, which is just a way to
make sure that quality standards are being met. Therefore, to control quality, the
deliverables must be inspected to make sure that those standards outlined in the
quality management plan are being met.

PROJECT COMMUNICATIONS MANAGEMENT-all areas of the project

management are important, but communications might be paramount as it
informs every aspect of the project. Communications help to inform the team
and stakeholders, therefore the need to plan communications management is
critical in every step of the project. Communications are also important to
coordinate between the tasks so that the tasks can be complete in a flow.
Managing the communications when the project is executed to make sure it runs
as planned. This will also involve controlling communications by reviewing
their effectiveness regularly and adjusting as needed.

PROJECT RISK MANAGEMENT- risk management plans will help to identify

how the risks will be itemized, categorized and prioritized. This involves
identifying risks which might occur during the execution of the project.
Qualitative risk analysis should be performed after the big risks have been
identified and then classified by likelihood and impact. Risks need to be
handled and identified carefully.

PROJECT PROCUREMENT MANAGEMENT-this deals with outside

procurement, which is a part of most projects, such as hiring subcontractors.
This has impact on the budget and schedule. Outside needs of the project are
identified and how these contractors will be involved prior to which

109 | P a g e
procurement management is planned. Procurements are conducted by hiring the
contractors, which includes a statement of work, terms of reference , request for
proposals and choosing a vendor. Procurement process is controlled by
managing and monitoring.

PROJECT STAKEHOLDER MANAGEMENT-the stakeholder should be

happy with the project and the returns. Identifying and managing them actively
is important. Stakeholder management refers to listing each stakeholder and
priortizing what their concerns and it’s impact ont he project. Managing
stakeholder’s expectations and effective communication with them is what
follows. Depending on their needs, changes are made to satidy these needs or
adjust the expectations.

110 | P a g e
 V.2 PERT CHART

6(1) 7(4) 9(1) 10(1/2)

1(1) 2(2)

8(4)

5(1/2) 12(1)

10(1/2)

3(1) 4(2)

11(1)

Figure 59

ACTIVITIES CHART
 1-Ideation
 2-Research
 3-Product design
 4-Prototype
 5-Testing
 6-Procurement
 7-Production
 8-Quality control
 9-Packaging (branding and labelling)
 10-Warehousing
 11-Marketing
 12-Launch

Figure 60

111 | P a g e
V.3 GANTT CHART

Figure 61

112 | P a g e
V.4 BUSINESS CANVAS

Figure 62

113 | P a g e
 V.5 ENTREPRENEURSHIP THEORIES

I. Schumpeter’s Theory of Innovation:

Joseph Schumpeter propounded the well-known innovative theory of

entrepreneurship. Schumpeter takes the case of a capitalist closed economy
which is in stationary equilibrium. He believed that entrepreneurs disturb the
stationary circular flow of the economy by introducing an innovation and takes
the economy by introducing an innovation and takes the economy to a new level
of development. The activities of the entrepreneurs represent a situation of
disequilibrium as their activities break the routine circular flow.

Innovations of entrpreneurs are responsible are for the rapid economic

development of any country.

Innovation could involve any of the following-

i. Innovation of new products

ii. Innovation in novel methods or processes of production
iii. The opening up of a new market
iv. Entrepreneurs might find new source of supply of raw materials
v. Innovation in management. This means reorganization of an industry

II. The Uncertainty- Bearing Theory of Knight:

Entrepreneurship is genuinely associated with risk bearing. Knight had

distinguished risk into insurable risk and non-insurable risks. There are certain
risks that are measurable and the probability of such risk can be statistically
estimated and hence such risks can be insured. Example of insurable risks
include theft of commodities, fire in the enterprise, accidental death etc. On the
other hand, there are certain risks which cannot be calculated

114 | P a g e
The probability of their occurance cannot be statistically ascertained. Such risks
include risks associated to changes in prices, deman and supply. These risks are
non-insurable. Prof. Knight opined that the profit is the reward for bearing the
non-insurable risks and uncertainties.

The salient points of Knight’s thepry include:

i. According to the theory, the entrepreneur earns pure profits for beaing
uncertainty.
ii. The probability of uncertainty or non-insurable risks cannot be
statiscally estimated
iii. Entrepreneurs undertake risks of varying degrees according to their
ability and inclination. The theory suggests that the more risky the
nature of enterprise, the higher level of profit earned by the
entrepreneurs.
iv. Profit is the reward of the entrepreneur for bearing uncertainties and
risks. Hence, it should be a part of the normal cost.
v. The reward of the entrepreneur is uncertain. Entrepreneur guarantees
interest to lender of capital, wages to workers and rent to the landlord
vi. The level of uncertainty in business can be reduced by applying the
technique of consolidation. The total level of uncertainty can be
reduced by pooling individual instances.

115 | P a g e
 III. Economic Theory of Entrepreneurship

G.F. Papanek (1962) and J. R. Harris (1970) were of the view that economic
incentive is the main factor that influences entrepreneurial activities Economic
gains sponstaneously develop the willingness among the entrepreneurs to
undertake diverse entrepreneurial initiatives. The relationship between an
individual’s inner urge and the desired economic gains has a profound influence
in the development of entrepreneurial competencies. Entrepreneurship
development and conomic growth takes place whenever certain economic
conditions are favourable,’

116 | P a g e
VI SUPPLY CHAIN MANAGEMENT

117 | P a g e
The supply chain(SCM) operations are the largest number required to plan,
monitor and conduct the flow of a product in the most rationalised and cost
effective manner possible from sourcing of raw materials and production to
delivery to the end customer. SCM from the comprehensive planning and
execution, in the broadest fields of demand planning, sourcing, production,
warehousing , inventory management, transportation- and logistics- and returns
on surplus or insufficient goods for the optimisation of products, data and
financial capital. Supply chain management is extensive and complex, based on
every partner, from suppliers to manufacturers and beyond. For this purpose,
efficient management of the supply chain often needs change in management,
coordination and risk management to ensure that all organizations have
alignments and interaction. Therefore, sustainability in supply chain- which
encompasses economic, social and legal concerns, in addition to green
procurement- and the intimate social responsibility framework- which measures
the environmental and social welfare impact of a product are the key areas of
concerns for business today.

Management of the supply chain generates benefits, such as new efficiences,

higher profits, reduced costs and increased cooperation. SCM enables
companies to better manage demand, maintain the correct inventory volume,
deal with disruptions, minimize costs and respond as efficiently as possible to
customer demand. The correct techniques and tools are used to achieve certain
SCM benefits

118 | P a g e
PRODUCT AND FABRIC AND
DESIGN RAW MATERIAL PRODUCTION DISTRIBUTORS
DEVELOPMENT PROCUREMENT

RETAIL STORES REGIONAL

Figure 63
TO CONSUMERS WAREHOUSE TO
GLOBUS STORES

 Product And Design Development- product design, quantity , raw

materials and production process is decided in Delhi.
 Fabric and raw materials procurement- Fabric( leather and PU) is
procured from a supplier in Kolkata. Trims and other raw materials are
procured from a supplier in Mumbai. Both raw materials are assembled in
the factory in Delhi.
 Production- the main production unit is in Delhi. Production of the bags
start after procurement of the fabric, trims and other raw materials.
Production, branding and packaging in done in the Delhi production unit.
 Distributors- Distributors in Delhi, Kolkata, Mumbai and Bangalore help
my products reach the retail outlets of the Globus stores from the regional
warehouses after local transportation is used to send the products from the
main manufacturing unit in Delhi.
 Regional Warehouses to Globus Stores- local transportation is used to take
the final product to the warehouses in Kolkata, Mumbai and Bangalore from
the Delhi warehouse. Local transportation is used in Mumbai, Delhi and
Bangalore to take the products from the respective warehouses to the Globus
stores in the cities.

119 | P a g e
 Stores to consumers- the globus stores in Delhi, Mumbai, Kolkata and
Bangalore help the product reach to the final consumers.

GOVERNMENT SUPPORT

The government has always supported the leather goods industry, specially with
funds and incentives. Investors benefit from an abundance of qualified
personnel, professional and beneficial environmental standards, and the
committed support of the allied industries in addition to easy raw materail
availability. The main reason for the change is the various policy initiatives
taken by the Indian government.

The leather goods industry has products ranging from designer collections to
personal leather accessories, and has a share of 20.53 % in the leather industry,
while maintaining an average growth rate of 11% recorded in the last 5 years.
However going by the future forecast of the Indian leather industry gives ample
scope to the sector to progress. With its rich resource base of raw hides, skins
and human capital, the industry has the capacbility ro increase its share in global
laether trade as well. The global leather industry is in the process of shifting its
manufacturing base from developed to developing nations. This provides an
opportunity for increased flow of foreign direct investments into India. In such a
scenario, factors like abundance of leather, increasing wareness for quality,
manufacturing know-how and designing capabilities all work in favour of India.

In 2017, the Government announced an incentive of Rs 2,600 to boost the

exports and the creation of jobs for the leather and footwear industry. The
proposal was mooted by the commerce and industry ministry, has sought tax
incentives for the ‘Indian Footwear, Leather and Accessories Development
Programme’. The sector is relevant as it represents a driving force for the
initiative ‘Make in India’. The Indian industry is dominated by synthetic leather

120 | P a g e
products. It accounts for approximately 90% of the country’s total leather
production

https://searcherp.techtarget.com/definition/supply-chain-management-SCM

https://economictimes.indiatimes.com/news/economy/finance/rs-2600-crore-incentive-package-for-leather-
sector-likely-soon/articleshow/59686512.cms

https://www.mbarendezvous.com/general-awareness/the-leather-industry/

121 | P a g e
VII FINANCIAL MANAGEMENT

VII.1 COST SHEET

Figure 64

122 | P a g e
VII.2 MARKETING BUDGET

Figure 65

VII.3 PRE LAUNCH BUDGET

Figure 66
123 | P a g e
VII.4 BREAK EVEN AND 5 YEARS TARGET(IN ₹INR)

Figure 67

Figure 68
ADMIN AND TIME TABLE

124 | P a g e
 VII.5 ADMIN PLAN

ADMIN PLAN
S. NO TIME SLOT HOURS PREFERRED ROUTINE REMARK
1 8:30 AM NA OFFICE OPENS SECURITY
2 8:45-9:15 AM 0.5 CLEANING CLEANER OR HELPER
3 9:30-11:00 AM 1.5 WORK HOURS EMPLOYEES ARRIVE
4 11:00-11:15 AM 15 mins TEA BREAK
5 11:15 AM-1:30 PM 2.15 WORK HOURS
6 1:30-2:15 PM 45 mins LUNCH BREAK
7 2:15-5:15 PM 3 WORK HOURS
8 5:15-5:30 PM 15 mins TEA BREAK
9 5:30- 7:00 PM 1.5 WORK HOURS
10 7:30 PM NA OFFICE SHUT DOWNS SECURITY
TOTAL OFFICE HOURS 10
(Including breaks, starting from morning work hours)
Figure 69

125 | P a g e
VIII. VISUAL MERCHANDISING

Figure 70

COLLABORATING STORE- GLOBUS

STORE LAYOUT

126 | P a g e
 Figure 71

FACTORY LAYOUT

127 | P a g e
 IX ANNEXURE

Product Survey
Sling Bag into a Fanny Bag
* Required

Name *

Your answer

Age Group *
15-20
21-25
26-30
31-35
36-40

Email id

Your answer

Location *

Your answer

In your view what is fashion? *

Following trends
Setting up your trend and being comfortable in whatever you wear
Other:

Do you carry a hand bag or purse on a regular basis? *

Yes
No

For what purpose do you carry your purse/ hand bag? *

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Carrying your goods and accessories
To enhance your outfit
Both.

What material do you prefer for your purse/ handbag? *

Leather
Textile fabric (cotton, jute, synthetics as jerseys, nylon, polyester, acrylics etc.)
Suede (rough, soft, napped leather with a velvety touch)
Jelly Kelly (transparent rubber bags)

Which is your preferred style of bag amongst the following two options ? *

Sling Bag

Fanny Bags

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Any of the two

How often do you purchase a new bag/ purse? *

Occasionally
Half yearly
Annually

According to your preference, what are the factors you consider while selecting
a hand bag/ purse for yourself for daily use. *
Fashion
Colour
Style
Price
Material
Stitching quality and finishing
Usability
Durability

Which of the following features would you prefer in a sling bag? *

Multiple large compartments
Front flap
Water resistance
Small compartments for accessories
Zipper pouch compartment
Other:

Have you seen anyone use a fanny bag or 'waist bag' ? *

Yes
No

Would you be comfortable in carrying a 'waist bag'? *

Yes
No
Maybe

If yes, would you be willing to try a sling bag which can be converted into a
fanny bag?
Yes

130 | P a g e
No
Maybe

Are you aware of the brand Accessorize? *

Yes
No
Maybe

If yes to the above question do you think a product like a convertible sling bag
could be introduced in the Accessorize stores in the Tier-1 cities in India?
Yes
No
Maybe
Any other comments or suggestions

131 | P a g e
 X REFLECTION

This whole project has not only been really time consuming but also very
enriching. Every small detail has been taken care of so as to make it look
realistic as if the brand Bershka was to launch its first store in India in reality.
Making the project as an individual was challenging as I had to incorporate all
my learning. The project covered all the modules starting from financial
management to marketing and visual merchandising. The purpose was to
understand the role of each module while opening an International brand in
India. The project required indepth research to show about how the industry was
doing in India and how the brand would do according to the consumer
behaviour and purchasing power of the target customers. I got to know a lot
about how to create a brand, its policies, its marketing strategies, production
process, different pricing of the products according to the country, etc. I would
also like to thank our course leader and teachers without whose
support,guidance and encouragement this project would not have been possible.
On the whole I have put in a lot of effort and tried to keep my work as original
as possible. There will always be scope for improvement in my work and effort
as an individual as I would accept and learn from my mistakes. I hope that the
outcome of the project is as per our teacher's expectations. This has been a new
thing for me and I would like to thank all the teachers for this opportunity.

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