DESIGN IN BUSINESS, BUSINESS OF DESIGN

Diagnostic study for setting up INCUBATION CENTER at educational Research and Development institutes for design in the field of fashion, clothing and accessories.
Research by Mr. Pramod Yadav, Director Projects, ARCH

Clothes are an epitome of a culture. Peoples in different part of world have their own styles of
dressing which symbolize their culture and status. The last two centuries have seen an upsurge in the use of manmade textiles like polyester, nylon, PP, Acrylic etc. in almost every part of the world.

The Textile industry holds a significant position in Indian economy because of its prevailing existence and immense contribution on industrial production, employment generation and foreign exchange earnings. It contributes about 14% to the industrial production and about 4% of GDP. It is the only industry that has provided employment to both skilled and unskilled on account of its close linkage with the agriculture. It provides direct employment to over 35 million in the country including substantial segments of SC and ST women. In fact, the textile industry continues to be the 2nd largest provider of employment after agriculture the contribution of this industry. It is the only industry which is self-reliant and complete in value chain from production of raw materials to delivery of final products, adding considerable value at each stage of processing which is a major contribution to the country’s economy.

SWOT Analysis

STRENGTHS

• Strong demand for ethnic product of Jaipur and foreign tourist destination.
• Strong base in ethnicity and traditional tie & dye, printing and embroidery.
• Proximity to Delhi.
• Strong co-operation among industry players.
• Relatively lower overhead costs than other Centres.
• Good availability of power.
• Strong entrepreneurial base.

WEAKNESSES
• Shortage of trained and skilled manpower and seasonal shortage of labour
• Inadequate and obsolete processing facilities.
• Near absence of any Export House.
• Absence of textile or Garments Park.
• Lack of good training institutes.
• The landed cost of fabric increases as fabric sourcing centres are located far away.
• Lack of Knowledge about government schemes.
• Lack of incubator facility to support the new entrepreneurs.

OPPORTUNITIES

• Popularity of Jaipur prints.
• Development of modern processing centre
• Greater growth prospects with NCR as a centre becoming expensive day by day
• Japanese market offers good scope for business Expansion

THREATS

• Countries like Thailand have expertise in manufacturing very good quality printed fabrics at cheaper cost.
• Manufactures supplying to the formal market are facing sluggish demand
• Influx of units from NCR is leading to crowding and thereby rises in the land prices and overhead costs.
• Advanced processing facilities in other cluster and other countries could eat in to the share of the cluster.

CONCLUSION

As per the matrix module evaluation, it is observed that Jaipur, Jodhpur, Bhilwara, Pali & Chittorgarh are playing major role for textile & garment designing from the Rajasthan State. Some other prominent area for Textile/Garment designing and manufacturing for new startups are:-

1. Support required for product diversification/ innovative projects.
2. Support required to develop the business model base on some design innovation and makes its scalable for achieving commercial success through start-ups.
3. Business supports required through incubation of incubators are like resources and services, coaching & mentoring and networking connection.
4. Support required to the angle investors, therefore the procedure for registration with SEBI or reputed institutes.
5. Help required preparing the prototype stage as a pre-production as a pre-launch stage where a startup has developed a basic product with most key features in the final product.
6. Support required for pilot stage to start production of the desire product.
7. From the Rajasthan state more than INR 3500 Cr. export belongs to the Textile and readymade garments exports only. Therefore, the proposed incubator will be helpful to fulfill the requirement of local Indian market as well as to increase the export from the Rajasthan through new startups.