Business Plan Development for a Flip-Flop Factory in Jharkhand Project

This project presents a comprehensive business plan for establishing a flip-flop factory in Jharkhand, India, under Thriveni Apparels and Textiles Private Limited. The plan encompasses market analysis, including PESTLE, competitor analysis, SWOT analysis, and marketing mix strategies (7 P's). It ...Read More

Project Management
and Consultancy
Project

EXECUTIVE SUMMARY
This research project mainly emphasis on development of new business. This business
mainly related with the flip-flop factory in Jharkhand. Different number of research methods
have been applied to find out the competencies of Thriveni Apparels and Textiles Limited
(parent company) for footwear sector. Along with this, there are different activities which have
been used by researcher in order completed research project in effective manner. Research aim
and objectives have been developed with the help of research topic. Literature review is another
important and useful section of investigation which have been done by analysing opinion of
authors. In this section, different models used by researcher such as PESTLE analysis, 7p's of
marketing, competitor analysis, SWOT analysis etc. All these are useful models in identification
of market and customers needs about the flip-flop. PESTLE analysis support an organisation in
development of new business in new market or place. This model will assist them to analysis
political, legal, environmental, economical, social and technological situation of Jharkhand.
Marketing mix is another model which have been used by an organisation to find out price,
place, people, physical evidence, promotion and product elements. All these are useful elements
and support a new business in its growth and success within given time period. SWOT analysis
is another useful model used by company in identification of its strength, weakness, threats and
opportunity. As it will support them to overcome their weakness and gain better results within
given time period. Research methodology is another chapter which have been followed by
researcher. With the help of this section, a researcher have to used different methods such as
qualitative and quantitative research, primary and secondary method of data collection, research
philosophy, research design, research approach, research strategy etc. These are useful and
valuable methods which will assist an investigator to collect reliable and accurate amount of
information about the business development. Execution of research method and findings,
Discussion and implications, Conclusion and recommendations have been completed by
developing business idea systematically and timely.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
CHAPTER 1: INTRODUCTION....................................................................................................1
Overview.....................................................................................................................................1
Aim of the Research....................................................................................................................3
Objectives....................................................................................................................................3
Research Questions.....................................................................................................................3
Conceptual Framework...............................................................................................................3
Gantt Chart..................................................................................................................................4
Mission Statement.......................................................................................................................5
Vision Statement.........................................................................................................................5
CHAPTER 2: LITERATURE REVIEW AND MARKET ANALYSIS.........................................5
2.1 Market Analysis....................................................................................................................5
2.2 Literature Review................................................................................................................10
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................12
CHAPTER 4: EXECUTION OF RESEARCH METHODS AND FINDINGS............................18
Identify the requirements of the factory....................................................................................18
Process.......................................................................................................................................19
Training requirement by process...............................................................................................20
ETI.............................................................................................................................................20
Technological Investment.........................................................................................................20
Timeframes...............................................................................................................................21
Metrics for success...................................................................................................................21
Develop the marketing strategy................................................................................................21
7 P's analysis.............................................................................................................................21
Kapferer and SOSTAC framework...........................................................................................22
USP, visual marketing assets....................................................................................................23
Unit spec sheets and pricing analysis........................................................................................24
Analyse adherence to circular economy principles...................................................................24
ETI, green marketing principles................................................................................................24
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Sales forecasting rationale for 12 months.................................................................................25
Pre launch Cash budget for six months.....................................................................................27
Projected P&L ..........................................................................................................................29
Balance Sheet............................................................................................................................29
CHAPTER 5: DISCUSSION AND IMPLICATIONS OF THE ABOVE....................................30
CHAPTER 6 RECOMMENDATION AND CONCLUSION......................................................33
Recommendations.....................................................................................................................33
Conclusion.................................................................................................................................34
REFERENCES..............................................................................................................................36
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CHAPTER 1: INTRODUCTION
Overview
Project Management can be defined as the process which focuses on various aspects for
the successful completion of closure of some work in order to achieve their specific goals and
objectives with practise of initiating, planning, executing, controlling and closing the work
within the specified period of time. The company chosen for the completion of this assignment is
Thriveni Apparels and Textiles Private Limited which is a subsidiary of Thriveni Earth movers
Limited. The following organisation is one of the largest Mine Developer Operator in India. This
organisation currently deals in manufacturing textiles and is now expanding their business lines
to new products which is Flip Flops in the market. The main objective of the company behind
this step is related to create employment opportunity in the state and project affected persons in
mining areas covering around 17 villages of Chepakalan, Dadikalan and Sinduwari Panchayats
of Barkagaon Block in Hazaribag District of Jharkhand. The focus of this organisation is women
as most of the employment opportunities are reserved for women. In the following assignment,
the creation of Business Plan for setting up the new business will be done for Flip Flops which
are being introduced by the company within some period of time. This project also aims at
improving the working and living standards of the people residing there. As with the help of
mines, the creation of job opportunity for them will be done. The another objective is related to
making livelihood for the people residing there because the requirements of this project is related
to more area of lands so that mines could be increased displacing more people from their area
and people from the land. The organisation will also make its focus on filling the market gap and
seeing this as an opportunity to grow business in Jharkhand which have been developed further
in this research project (Boshyk, 2016).
This project aims at providing employment to more than 50,000 people in order to
promote the socio-economic development and inclusive growth in the project affected area. This
assignment will start with making its focus on the providing the introduction of the research
project. In addition to this, the focus on this assignment will also be made on the literature
review where several other topics such as PESTEL, Competitors, Market Segmentation, SWOT
Analysis, Channels to Market and many more concepts will be done. The following business is
also focused on providing the females with the chance to work. With the help of this project, it
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will make its focus on providing maximum job opportunities to the females for their betterment
and growth. The discussion about Research Methodology will also be covered in the following
research project along with the execution of research and its findings. Moreover, it will also be
related to discussion and implications of above those findings whether they approve the starting
of the project or not. Lastly, the project will provide some recommendations and conclusion on
the basis of above findings of the research project.
The proposed opportunity:
• Items of Manufacture: Garments and Footwear.
• Peak Capacity: 1 million of various garments (men’s casual and formal shirts full/half
sleeves) and 3 million pair of Footwear.
• Employment generation: 1000 persons to start with a capacity of maximum of 5000.
• Total Investment: 40 Crore Rupees over a period of 5 years.
• Location: Barkagaon, Hazaribag, Jharkhand.
• Till date 300 women from the project affected area were enlisted for training and
have completed training in garment making and apart from this, 50 women will
be trained in Hawaii footwear making.
• NTPC Ltd., the Owners of the Pakri Barwadih Coal Block, have set up an ITI, where
a garment training centre is established by TSMPL, and training will continue.
• They do take job orders for mining uniforms, safety jackets, overalls, and a few other
uniforms for schools and establishments locally, including job order on shirts
with a marketing agency. All fabric and accessories are being provided by the
buyers.
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• Government has allotted a parcel of Land of 1.425 acres in Mauza Sikri, Barkagaon
under Khata No 136 and Plot No 151, through Jharkhand Industrial Area Development
Authority, for the project.
Aim of the Research
The aim of the research is to develop a Business Plan for a flip-flop factory in
Jharkhand, as part of Thriveni Apparels and Textiles Pvt. Ltd., embedding sustainable
practices.
Objectives
 Market analysis of the business opportunity for flip-flops in India.
 Critically explore sustainable practices in footwear (flip-flops) in India, to embed
principles of circular economy.
 Identify routes to market.
 Identify the lessons learned for success and failures of ‘Thriveni Textiles in
Training’.
 Develop a business plan for a flip-flop factory in Jharkhand, India.
Research Questions
‘Business plan to develop a flip-flop factory in Jharkhand, India, with sustainable
practices and circular economy embedded’.
Conceptual Framework
In the following dissertation, it will cover various aspects which will help in the
successful completion of the project. The dissertation will start from the Executive Summary of
the project in which the major findings, overview and discussion of the dissertation will be done.
After that it will provide an introduction of the dissertation in which the future activities of the
dissertation will be provided. The business will be introduced, its structure as well as the core
interest will also be covered here. In addition to this, it will also make its focus on the clothing
manufacturing initiatives along with the summary introduction to the following business plan
objectives. The Mission Statement, key values and purpose of the project are also an important
part of this dissertation which will be discussed here.
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The second section will make its focus on the literature review and the market analysis in
order to know about the market conditions whether it will be good or not to setup the business
there. Literature Review will provide information on the basis of the opinions of different
authors which have presented their own views and perspectives. Market Analysis will be done
with the help of different models and tools such as PESTLE Analysis, Competitors Analysis,
Market Segmentation, SWOT Analysis, Channels to market, detail on sustainability, ETI
Compliance, detail on circular economy, analysis of upskilling economically inactive females
and NGO Activities, etc. ensuring love 7 Analysis from a wide range of sources in the Literature
Review. Further, the discussion will be made about the research methodology in which the
coverings will be related to method, limited work streams from proposal, ethical consent and
limitations of the research will also be provided. Moreover, the assignment will cover research
methods and findings of the research which will be based on the requirements of the factory,
processes, training requirement by process, ETI, technological investment, time frames, metrics
for success, development of marketing strategy, 7 P's Analysis, Kapferer and SOSTAC
Framework, USP, visual marketing assets, Unit Spec sheets and pricing analysis, analysis of
adherence to circular economy principles, ETI, Green Marketing Principles, sales forecasting
rationale for 12 months along with the explanation of the training to saleable output and the
scaling up of production. Cash Flow Forecast including the set up costs and trading costs, profit
and loss account, projected balance sheet, and the investment capital required will also be
presented in the dissertation. Lastly, the dissertation will put light on the discussion and
implications of above concepts along with conclusions and recommendations of the dissertation
topic.
Gantt Chart
It was developed by Karol Adamiecki, in the mid of 1890s, who was a Polish Engineer.
The following is the tool which is used in project management and development. With the help
of this tool, it will be possible to divide the complete project is smaller parts so that the
completion of the project could be made in time and with accuracy (Burns and Dewhurst, 2016).
This tool provides many benefits and information to the researcher which helps in efficiently
conducting the research such as the description of the various activities, the beginning and end
date of the every activity of the project, the time period to which the activity needs to be
completed, the starting and ending point of the complete project. So with the help of this chart, it
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will be possible to make possible the efficient conduction of the project and prevent it from
overlapping of work and many other issues. The use of Gantt Chart will also be done in order to
make successful completion of this dissertation as well which has been provided as under:
Mission Statement
The Mission Statement of Thriveni Apparels has been provided as under:
 To provide the customers with the maximum satisfaction with the help of their products
and services.
 To make the company able enough to create a place not only in the country but also over
the boundaries of the country as well.
Vision Statement
The Vision of Thriveni Apparels is to make continuous improvement in the market area
of the company along with the increase in number of customers and their satisfaction level
considering the benefit of society and environment as well (Burns, 2016).
CHAPTER 2: LITERATURE REVIEW AND MARKET ANALYSIS
2.1 Market Analysis
PESTLE Analysis
The following tool is used in order to know about the impact of macro environmental
factors on the working of an organisation. The application of this analysis on the working of
Thriveni Apparels:
Political Factors: These are those factors which impacts upon the working of an organisation
due to factors such as political stability or instability, employment laws, labour laws and many
more that could impact upon the working of an organisation. However, the policies of Jharkhand
Government related to electricity, water and gas supply has also impacted negatively on the
growth and development of manufacturing sector industries (Charles, Schmidheiny and Watts,
2017). But with the help of good performance of mining, quarrying and construction sector, it
has covered the low performance of manufacturing sector.
Economical Factors: These are the factors which impacts upon the working of an organisation
due to changes in the interest rates, inflation, deflation, disposable income of customers, bank
rates, GDP of a country and many more impacting upon the working of an organisation. As such
as, increment in overall GDP at factor cost of Jharkhand has increased to 8 percent which reflects
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clearly on the growth and development of the state and also the RBI Policy has also helped in
maintaining price stability and also improving economic growth of the country.
Social Factors: These are the factors which impacts upon the working of an organisation due to
changes in the feelings, beliefs, taste and preferences of people in regards to the products and
services of an organisation (Cramer, 2017). There will be a positive impacts of establishment of
this organisation there because mostly it is covered with public sector organisations such as
banks, so there are chances that people will love to experience something different and Thriveni
Apparels could give them with best experience.
Technological Factors: These are those factors which impacts upon the working of an
organisation due to changes in the ways of producing goods and services, changes in technology
and many more impacting upon the working of an organisation (Damborg, Danson and Halkier,
2017). Because of high literacy level and skilled, educated people, it will be easy for the
organisation to make setup of their business and people will also easily accept changes which
will be beneficial for the company.
Legal Factors: These are those factors which impacts upon the working of an organisation due
to some special rules and regulations that have been made by the government. The government
has also made rules and regulations for organisation in relation to the use of information
technology, labour laws and regime and industrial policy regime for the growth and development
of companies (Diaz-Briquets, 2019).
Environmental Factors: These are those factors which impacts upon the working of an
organisation in both positive and negative ways due to the impact which has been created by
working of organisation on environment such as pollution, environmental degradation, emission
of harmful gases and many more. However, the working of this organisation will not impact on
environment but the contribution made by it towards environment will help in creating brand
awareness and good image in the minds of people, society and government (Goodstadt and
Buchan, 2017).
Competitors
It refers to the firms or individuals standing in front of an organisation working in the
same industry or profession with the motive of earning profit. As Thriveni Apparels in going to
open their business in Jharkhand, so it have to face many competitors as there are many
companies operating in the same industry and without having competitive advantage, it will not
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be possible for the company to survive in the market and earn profit. Competitors are such as
Nike, Puma, Adidas, Reebok, Woodland, Fila, Flite, Sparx and many more which are operating
in this business in order to make market for their products as well. It is important for Thriveni to
focus on the marketing strategies, promotion strategies, customers, taste and preferences of
people and many more concepts in order to get capture market share and attract customers
towards products and services of the company (Healey, 2017).
Market Segmentation
This is the process with the help of which market of potential customers is divided into
different parts, groups and segments based on their different characteristics. So the STP of
Thriveni Apparels is presented as under:
Segmentation: The segmentation of customers is being done keeping in mind the demographic
and behavioural attributes of customers which is on the basis of age. The target customers of
Thriveni Apparels are kids, youngsters and adults as well. Additionally, the behavioural
attributes are also considered in which the focus is on the purpose of customers for which they
are purchasing products. The flip flops of Thriveni will be available for people coming in
between the age of 10-50 years. So by providing different variety of products and to different
classes it will be possible to attract more people (Ibidunni, Peter and Ogbari, 2017).
Targeting: It is the marketing strategy with the help of which large market is break down in
smaller parts and is concentrated on specific group of customers or segments. The target
customers of the company will be people in between the age groups of 10-50.
Positioning: It will be made possible with the help of giving advertisement in newspapers,
comic books, online, television and purchase of the products will be available on physical outlets
and the online delivery of the products will also be provided (Johnson and Garvin, 2017).
SWOT Analysis
This tool is used in order to know about strengths, weaknesses and opportunities and
threats of the company.
Strengths:
 Easy availability of low cost of labour.
 Tac incentives from Government.
 Supportive policies of government in relation to information technology and many more
concepts.
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 Highly educated people living there will help in growth and development of company by
providing new ideas.
Weaknesses:
 Lack of Proper Knowledge of markets.
 Environmental Issues.
 Lack of availability of Footwear components for its manufacturing (Kusumaningrum and
Hidayat, 2016). Unskilled labours will also prove to be weakness for Thriveni.
Opportunities:
 To develop market area and share.
 To make increment and ease in the reach of customers towards products. Product Diversification is also an opportunity for Thriveni.
Threats:
 Threat from domestic and international competitors.
 Formation of cartels.
 Rapid changes in trends will prove to be threat for Thriveni.
Channels to Market
It can be defined as medium which is used in order to transfer the ownership of product
from area of production to end customers (Lee and Shin, 2018). This is very crucial decision
which the organisation needs to take into consideration very carefully so that customers do not
face any issue regarding their access to the products and services of an organisation. So in order
to make access of product to customers, the use of direct and indirect channel of distribution will
be done. In direct channel, it will pass through many mediators such as wholesalers, retailers and
agents. In direct, online orders will be accepted and customers orders will be fulfilled straight
away from the organisation.
Detail on Sustainability in Shoe Industry
The Indian Leather Industry consist of around 42,000 SSI Units which accounts for over
75% of total manufacturers and employing over 2.5 million workers. Out of the 2.5 million
workers, 30% workforce consist of women and is enough to show that many lives are dependent
on the earnings of this sector. Tamil Nadu, the biggest exporter of leather in India have a share of
43% of the total country's share and some states are also having tanning industry which are West
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Bengal, Uttar Pradesh, Punjab, Karnataka, Andhra Pradesh, Haryana and Delhi (Li and et. al.,
2016).
Sustainable Development refers to the use of resources in a way which fulfils the needs
and requirements of current generation as well as preserves it for the fulfilment of requirement of
future generation as well. The shoe industry is sustainable in three ways such as social
sustainability, economic sustainability and environmental sustainability as such as products are
designed according to requirements of people, focus on gaining maximum profits with the
optimum utilisation of resources and also focusing on their removing their more rely on non-
renewable resources as compared to renewable resources whereas renewable resources must be
utilised at optimum basis.
ETI Compliance
It refers to the Ethical Trading Initiative is the alliance of companies, trade unions and
voluntary organisations which works for the improvement in the conditions of people who make
purchases of raw materials or produces consumer goods. For example, Thriveni is also
complying with the ETI Base Codes such as employment is to be freely chosen. Organisation
will provide their employees with free working environment and they will not be bounded or
forced to work (Peterson, Jaret and Schenck, 2016). Their identities will not be kept but by
providing them with the best working environment and fulfilling their needs and requirements it
will be made possible to keep them in the organisation for a long period of time.
Detail on Circular Economy
It is the systematic approach to economic development designed to benefit the
businesses, society and the environment. It is linear model, a circular economy which is
regenerative by design and aims to gradually de couple the growth from the consumption of
finite resources. It also explores about the technical as well as biological materials, and the
different opportunities that exist in between materials and products in use and the history of idea.
Thriveni Apparels will make its focus on the importance of economy needing to work more
effectively at all scales for big and small businesses for organisations, individuals, globally and
locally. The following concept is based on three principles which are designing out waste and
pollution, keeping products and materials in use and regenerate natural systems. The organisation
will also implement those strategies in the working of organisation with the help of which it
could become possible to make improvement in their working and ensure optimum utilisation of
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the resources. With the help of this, the company will be able to fulfil their corporate social
responsibility and it will be possible for it to create brand awareness and good brand image with
increasing number of customers for Thriveni Apparels (McKeever, 2016).
Analysis of Upskilling Economically Inactive Females
The main focus of the company is to make improvement in the overall condition of the
females residing in Jharkhand. As they are unskilled but educated so Thriveni Apparels is
working for making improvement in the overall condition of females and to make them
independent in order to earn their livelihood at their own. In addition to this, Thriveni Apparels
will firstly hire the female employees in their organization and after training will be provided to
them so that they could also become known with their work. With the help of this, it could
become possible for them to have knowledge about what they are needed to do and to become
aware about the type of work they are required to do. However, in comparison to other states of
India, Bihar is having the lowest rate of women as working. So these organisation do not have
much physical work for females and it will be possible for them to deal good with the situations
as well that will be confronted by them in the organisation. Thriveni Apparels is giving the
females with a chance to come up with their talent and become self dependent. This will help in
the growth and development of the country and company and will also motivate other females to
become an example for others as well (Tanev, Rasmussen and Hansen, 2016).
NGO Activities Ensure Love 7 Analysis
2.2 Literature Review
Market Analysis of the Business Opportunity for flip-flops in India
According to Adesh Gupta, 2017, it has been said tat there are more chances of growth of
footwear industry is India as compared to other countries of the world. However, it is not related
to all the countries but this market has much power to beat the competition of other countries as
well. The Footwear Industry of India is also having great success by straight away achieving the
target of $ 27 billion from the base of $15 billion which shows huge success and achievement for
the country as well as the companies also. Additionally, it has also been said that due to low and
bad tax structure of the country, it is not possible for the industry to have competitive advantage
over others. There has been certain improvements which have been by the upcoming of GST and
this has also forced the unorganized sectors to become organised sectors. With the increase in the
tax prices, the prices are directly charged from the customers and there is also a lot of different in
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between prices of different places, even in the case when the customers are making purchase of
same kind of products of an organisation. But the difference exists because of the differentiated
tax policies of different states which creates difference in the prices of different products and
services (Toro-Jarrín, Ponce-Jaramillo and Güemes-Castorena, 2016).
Critically Explore Sustainable Practices in Footwear (flip-flops) in India, to Embed
Principles of Circular Economy
According to Leonidas Milios, 2018, with the increased working of industries in the
world, there has been significant impact on the environment, nature and also on the human
beings as well. According to the principles of embedded circular economy, it focuses on
removing the wastes and pollution, regenerating the natural resources and keeping the products
as well as materials in use. Overall, the discussion has been made about the optimum use of
resources that the best productivity could be achieved by making the least use of resources. The
focus of the organisation should be on the use of renewable resources which could be recycled
and reuse for future. In case of Non Renewable resources, they are required to be used very
carefully so that not only the current but the future generations could also make use of these
resources in an appropriate manner (Rubens and et. al., 2018). This will help in environmental
prevention but will also make the future of future generations to be safer. So the organisations
should make their focus on the adoption of those ways that could contribute in the prevention of
environment from degradation such as recycling and reusing process. There are many benefits of
recycling process such as less pollution, less exploitation of resources of the company and many
more. So the use of following method will prove to be helpful for the companies.
Identify Routes to Market
According to Avinash G.Mulky, 2013, it depends totally on the organisation and the
market to make their decision in relation to the use of best route that could help them in making
their access to the final market place where the process of buying and selling of goods and
services will take place. But there are many important things which the companies needs to take
into consideration at the time of making their decision in relation to the marketplace. In big
countries, it becomes difficult to make decision about choosing the best way to make access to
market places (Ward, 2016). Further dependency of companies on the nature of the products and
services is also important because with the help nature of product, the duration of being usable
will be clear to the manufacturer and user. So in that case the use of direct channel of
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communication will be preferable to the companies. In case of Thriveni Apparels, the use
indirect channel of communication will be best so as to know better about the needs, tastes and
preferences of people such as the physical outlets and online option for buying. This will help in
creating good market share and relation of the company with their buyers.
Identify the Lessons Learned for Success and Failures of ‘Thriveni Textiles in Training
According to Connie Malamed, 2019, learning is the process with the help of which an
individuals make the conversion of his thinking into reality and have new experiences of their
lives. For Thriveni Apparels as well, the company has made its focus on the growth and
development of their employees skills and knowledge so that they could perform more better in
the tasks they are provided with. With the increase in the skills and knowledge, the morale of
employees will increase (Uhl and Gollenia, 2016). However, in starting, it was not possible to
deal good with the situation as the employees were not performing well in accepting the changes
and to learn with what they were told about. But with the passing of time as they were told with
the benefits of taking training programs it become possible to make necessary changes in the
thinking of employees and to make them to learn new things.
CHAPTER 3: RESEARCH METHODOLOGY
Research methodology is consider as most crucial part of an investigation which includes
a detail discussion regarding number of methods or techniques used for performing a particular
project in effective manner. This help a researcher in determining a particular direction or
pathway within which operations must be performed so that appropriate research outcome can be
taken. It is consider to be most important phase within an investigation which depict about a
particular pathway to be consider for accomplishing the goals or objective of particular project in
order to achieve success (Aithal, 2017). Following project is based on business plan of Thriveni
Apparels and Textiles Private Limited (TATPL), which is planning to expand its business in
India within Jharkhand which it consider to be a place that provides several growth and
sustainability opportunity to the company. But to determine several growth opportunities or
feasibility of plan an investigation over market is performed to determine several resources or
techniques required to perform this project in effectively manner. The essential methods or
techniques required in this investigation are mentioned below:
Research methods:- In order to gather information regarding a particular project two
type of research methods can be used such as qualitative and quantitative which support in
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identifying the information in more reliable and efficient manner. Among them qualitative
investigation is one which focuses toward gaining an in depth understanding regarding
underlying opinion or reasons (Almalki, 2016). In addition to this it also work toward developing
hypothesis for gathering and comparing the information with them to conclude most suitable
outcome. On the other side quantitative method is one where numerical data in the form of hard
facts or numericals is being generated for implementing the mathematical, statistical and logical
techniques. The quantitative investigation is basically used to quantify the behaviour and opinion
of people for generalising the result from larger population.
For gathering market information regarding the business plan of Thriveni Apparels and
Textiles Private Limited (TATPL), qualitative type of investigation will be performed. This is so
because it help in gathering information in detailed manner. In addition to this it will provide a
theoretical framework to get in-depth insight within the investigated data by using several
theoretical framework so that appropriate information can be extracted out of collected data.
Type of investigation:- This section depict about the source which is used to gather
information regarding the expansion plan of Thriveni Apparels and Textiles Private Limited
(TATPL) so that main objective of investigation can be accomplished effectively. There are
basically two type of investigation method which are used to collect information. Such as
primary and secondary (Bresler and Stake, 2017). Among them primary investigation involve
collection of information for the first time which is not yet been gathered by any other person,
using several sources like interview, survey, questionnaire, focused group etc. On the other hand,
secondary investigation is refers to one in which information is being collected from already
published data which support in developing understanding regarding a particular study or area of
concern. For performing this research secondary method of investigation will be performed as it
help in gathering the information regarding current status of market and type of opportunities as
well as risk present within marketplace.
Location of project :- Thriveni Apparels and Textiles Private Limited (TATPL) deals in
textile manufacturing which remains a successful area of operations for the company and it also
achieved a greater success. But now its planning to expand business in new section i.e. footwear
for offering flip flops in market. The location selected for this new business line is situated in
Pakri Barwadih, Barkagaon, Hazaribagh,
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Jharkhand which is expanded in around 4.15 acres and company get this land through
government by completing all the legal process (Clandinin, Cave and Berendonk, 2017). The
main reason behind selecting this location is that plant is situated in industrial area so easy
availability of resources would be the more advantageous things for the company. In addition to
this people in Jharkhand are high educated but in that district public sector companies are more
which involve high competition fight to get employment, hence company will provide more job
opportunities to localities. Despite of all this, policies related with information technology,
labour laws and regime and industry are favourable to the company which make it possible for
them to achieve great sustainability at marketplace.
Means of Finance :- The getting fund for this project company has discussed its plan
with its stakeholders so that required equity can be generated. For this, a meeting was arranged
for the shareholder of the company so that proper planning can be discussed among them and
make them convinced for investment. Hence the fund will be gathered from the promoters of
Holding company. In addition to this, company will also get capital from the government of
Jharkhand according to the scheme of government. The amount gathered from these sources are
mentioned below:
Means of Finance Amount
(Rupees in Lacs)
Equity Contribution 3599.43
Capital Subsidies 124.74
Total 3724.16
From the above mentioned information it has been found that Thriveni Apparels and
Textiles Private Limited (TATPL) will get around 3599.43
rupees with the help of equity contribution. On the other side 124.74 rupees will be gathered
from the capital subsidies and by total company will get around 3724.16 lac rupees for the
project from these sources.
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Raw material:- For effective execution and success of the project it is crucial for the
company to arrange not only fund but also the raw material required for starting up
manufacturing with the factory. But in order to achieve sustainability in Jharkhand it is crucial
for the Thriveni Apparels and Textiles Private Limited (TATPL) company to maintain relation
with suppliers that provide high quality raw material to the company so that standardised product
can be manufactured by the company which further contributed toward attracting larger number
of customer from several area of country (Cvitanovic and et. al., 2015). This is very crucial as
competition footwear industry is already higher in India. Hence in order to deal with this
company has decided to brings raw material from several part of world in order gather best
possible quality raw material to achieve maximum brand image, sales and profitability.
Following are the raw material required for manufacturing of flip flops,
 Leather will be used for the sole of footwear so that it provide long lasting benefits to the
customers and also provide a different look. In order to used best leather material for the
flip flops, Thriveni Apparels and Textiles Private Limited (TATPL) company is bringing
leather from Tamil Nadu which is consider to be one of the biggest leather exporter
within India.; the major benefit of collecting leather from Tamil Nadu is that with the
availability of larger amount of leather the deal would be at lower rate (Flick, 2015) .
 The raw material like EVA / PVC / PU etc. are decided to be imported from the southern
east Asian manufacturing companies such as Samsung, LG, TPC etc. which help in
gathering high quality raw material at reasonable price.
 The rubber used for manufacturing the structure of slipper will be purchased from the
areas like Kerala, Agartalla and Bangladesh (Gray, Grove and Sutherland, 2016) . In
addition to this chemical used while this manufacturing process will be purchased from
Delhi and West Bengal. But the packaging material will be purchased from the local
market of Jharkhand.
Utilities:- Despite of fund and raw material another essential thing needed for achieving
success within the project of Thriveni Apparels and Textiles Private Limited (TATPL) is proper
availability of utilities so that operations can be continued without nay sort of barriers. The basic
utilities required for performing this project are mentioned below: Power:- The power requirement for the plant is relatively higher as manufacturing of
footwear as well as textile involves lots of machineries which get operated with the help
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of electricity and required higher voltage to run effectively (Halcomb and Hickman,
2015). For this plant the power required for each unit 1 i.e. garments and unit 2 footwear
will be 350 KVA which company will get from Jharkhand state electricity. Despite of
this in case of emergency company has also arranged the Diesels generator of 125 KVA
for each of the unit that can be used in case of emergency. Despite of this, company is
also planning to implement solar panels once its operations get started so that solar
energy can be generated for running of machineries without expanding much electricity
from state board as its costs higher. Water:- In order to fulfil the need of water required for the plant operation, Thriveni
Apparels and Textiles Private Limited (TATPL) company has dogged its own well in
plant area so that proper supply of water would be there to perform operations
effectively.
 Manpower:- The Thriveni Apparels and Textiles Private Limited (TATPL) company is
planing to employ around 1000 people in its second unit of footwear manufacturing so
that manufacturing operations can be performed in effective manner. The employees
recruitment perform for this will be technically qualified that are having required
experience in this field of manufacturing within the different level of organisational
hierarchy (Kumar, 2019). The main aim behind selecting the Jharkhand as the location of
Footwear unit of Thriveni Apparels and Textiles Private Limited (TATPL) is that people
are highly educated which is a positive factor for the company as it will be able to get
employees desired skills and capabilities.
Selling and Marketing Arrangements:- In order to achieve success in marketplace it is
very essential for the Thriveni Apparels and Textiles Private Limited (TATPL) company to
adopt appropriate marketing as well as selling strategies so that larger number of customer can
be attracted toward the offerings of the company (Kusi-Sarpong, Gupta and Sarkis, 2019) . The
product will be send closure to customers by appointing several distributors from different states
or districts so that they deliver the products to retailers and from them it would be then taken by
the final consumer. But in order to make customers aware about the availability of product
within marketplace company will use several channels like TV advertisement, social media
promotion, newspaper ads, Banner or holdings etc. will be used in order to create awareness
about the product. This support company in making brand visible in marketplace so that
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customer will think about trying new Flip Flops in marketplace (Smith and Osborn, 2015).. In
addition to this for creating a positive brand image within marketplace company will promote
brand as Thriveni In-Training so that more and more awareness get increased among the
customers that company is focusing on mission of empowering the unemployed women.
Ethical Consent:- A success and reliability of project depends on the ethical
consideration taken by a company while working over the project. Hence, for performing
investigation to collect data for current business plan secondary sources is used and researcher
collect information from authenticated sources and also ensure to represent data in ethical
manner by ensuring the avoidance of any kind of modulation and filtration to present it in
attractive manner (Leavy, 2016) . In addition to this employees recruitment will be done by
considering the informed consent ethical standard so that employees known in advance what
may be the policies it required follow and risk involve in their job role along with that conditions
of working will also be explained to them. Despite of all this, the Thriveni Apparels and Textiles
Private Limited (TATPL) company also ensures that each laws and regulations formulated by the
government of Jharkhand regarding such companies must be followed in each and every
operations performed with the plant. This will help in creating a positive brand image not only in
market place but also in front of the government and other authorities which further help in
future actions or projects (Leung, 2015).
Limitation:- Though the project involve several things that support in performing
operations in effective manner but despite of this there are certain limitation present that affect
the operations within this project (McCusker and Gunaydin, 2015). This includes raw material
gathered by the company from the nearer state of Jharkhand but in order to get best quality
product manufacturing company must try to gather raw material from several countries of Asia
which are specialised in particular raw material so that high quality material can be gathered so
that it would be able to deal with competition present in market which is relatively higher. In
addition to this the investigation is based on secondary sources which includes only past
information that may get updated with the time. This is the major limitation as if it so then it
affect the way of operation and strategic planning also which directly affect the performance
(Quinlan and et. al., 2019). Hence, for effective execution of plan investigation must also involve
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primary information which support in getting fresh information as well as view point of market
so that demand of customer can be meet effectively.
CHAPTER 4: EXECUTION OF RESEARCH METHODS AND FINDINGS
Identify the requirements of the factory
The Indian Footwear factory is hold an important place in economy of India for potential
for the employment mainly for weak sections and also support an economy by foreign exchange
earnings (Subic and et. al., 2012). Thriveni Apparels and Textiles Private Limited (TATPL) is
subsidiary of the Thriveni Earthmovers Private Limited and it is biggest mine developer operator
in India. It set up its two manufacturing units of Footwear and Garments in Jharkhand. Under
this, before set up the business, it is necessary to study about market. For the shoes factory, there
are some requirements mention below:
Target niche market- Under this step, it is necessary for Thriveni Apparels and Textiles
Private Limited (TATPL) to target niche of the shoes for sell purpose. There is a need to select
which types of the shoes firm will manufacture.
Prepare Business Plan- There is a requirement to company to write business plan for
business of the shoe store by consist sing the marketing as well as public relation plan. Aware
about target market, analyse competitors, budget and then project projections.
Obtain the Licenses and Permits- Obtain permit required to Thriveni Apparels and
Textiles Private Limited (TATPL) in Jharkhand to begin new business. On the basis of location,
it may consists resale permit, Employer Identification Number, state tax identification number
and name certificate (Kim, 2013).
Get location for business- There is a requirement to location for the warehouse storage,
production, inquiries and sales which will be done. After getting the office space, company
require to employ the workers or staff.
Resources required-
Physical resources- It is necessary for the Thriveni Apparels and Textiles Private
Limited (TATPL) to arrange the physical resources to start the manufacturing to shoes. It
consists the raw materials, machines, storage facility etc. In addition to this, basic raw materials
needed are Cotton and the Blended Cotton (Zhang and et. al., 2012).
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Human resources- It is related to staff, marketing experts and those people which are
able to perform the activities. These all the resources are necessary in organisation in creative
sectors and knowledge- intensive.
Financial resources- These are one of the most necessary requirement of company
because without the funds, it is unable to establish the factory. From this, it will purchase land,
building, Miscellaneous Fixed Assets, plant and machinery etc.
Order for Raw Material and Start Manufacturing- In this next step, Thriveni
Apparels and Textiles Private Limited (TATPL) requires to search the cheap place to order the
raw materials which required to start the shoe manufacturing. In this, raw materials will based on
kind of shoes which firm want to manufacture.
Sales and Advert- In this last step of process, company need to left its sales team to find
the better way to give advertisement of shoes and also begin to getting the sales order for
organisation (Dinh and et. al., 2012). In addition to this, better way to be advertise shoes is word
of mouth. On the other hand, it can create its own website and e- commerce site to give all the
details about shoes or its collection.
Process
Wide variety of the shoes stores or factories are available to the customers from those
manufacture the male, female and babies shoes. Thriveni Apparels and Textiles Private Limited
(TATPL) is a start up business and its main focus on manufacturing shoes so for this there is
process given below:
Acquiring materials- Production of the shoes starts with arrival of the raw materials to
factory. Materials is to be classified as well as arranged through dyes, soles, polishes etc.
Transportation to manufacturing area- Chosen materials are to be transported to area
where need to be assembled (Modgil, Sharma and Singh, 2013).
Cutting pieces- Chosen material is to be shaped on mold that depends on model for shoe.
Mold may be acquired through the producer from other source.
Gathering pieces- Arranging pieces in to the groups before production starts. Each shoes
need from 7-12 pieces based on model.
Machining- It consists different processes such as folio, perforations, toe capping etc.
Mounting- Under this, mold is chosen with model number. In addition to this, setting
process is to be conducted to assure that shoes fits perfect to mold (Tatàno and et. al., 2012).
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Attaching the sole by traditional bonding process- Soles are buy pre- made. Sole is to be
marked and then punched where upper is to be going glue. In this, punching is done through
special machine so that glue will be saturate in a better way in to sole.
Finishing- Insole is to be glued in shoe, edges and the linings of shoe that are to be
painted.
Dying- It is to be done to make colour uniform. Athletic shoes is retouched with the
polish to make shine.
Packaging- In this step, model number is to be printed and product is to be packaged in
the cardboard boxes (Febriana, Soebono and Coenraads, 2014).
Training requirement by process
For manufacturing the shoes, there is a need to provide the training to workers so that
they can able to give their participation in shoe manufacturing. The training can be related to
choosing better raw material, use machinery, polishing, packaging.
ETI
It is leading alliance of organisations, NGOs and trade unions that helps in promote the
respect for rights of workers around globe. Its vision is to make the workers free from any
discrimination and exploitation so that they can enjoy the freedom conditions and equity. Its
focus on provide the safe working conditions to workers and living wages are to be paid
(Raynolds and Bennett, 2015). It restricts the child labour and provide children high education.
Technological Investment
In the fashion industry, technology plays a necessary role and it helps in make innovation
to produce some thing new or unique. It helps in minimize response time and enhance flexibility.
The government of Jharkhand shall be taken to support up gradation of technology for the
footwear processing, providing necessary assistance for export footwear products, skilling the
large number of people to use technology (Poulsen, Kvåle and van Leeuwen, 2018). Automatic
lacing system will be used through Thriveni Apparels and Textiles Private Limited (TATPL). In
establishing machine, an investment will be Rs. 1350000/ unit.
Timeframes
The 3 months timeframe that will be require for completing the process of manufacturing.
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Metrics for success
The success has been measured by achieving the target within given time frame. It sets
target to target market and sell fixed shoes in specific period of time. Company also hire the well
qualified and capable employees which are able to make innovation and focus on brining new
technique.
Develop the marketing strategy
The advertisement better marketing strategy that Thriveni Apparels and Textiles Private
Limited (TATPL) will be used. It can be through using social media. With the help of this, large
number of people will get the information about new shoes and they will be attracted towards it
in an effective manner.
7 P's analysis
It is mainly used to examine and also re-evaluate activities of business. The 7p's analysis
mention below:
Product- Main focus of company is on producing the flip- flops. Footwear is accessed
easily through Jharkhand people because of cheap prices.
Prices- In Jharkhand, the flip- flops can be sold easily through branding under ‘Thriveni
In-
Training’. Company sets the moderate pricing so that people can purchase at the affordable cost.
Through this, company can expand its business in many different cities of India.
Place- The site location is established at Pakri Barwadih, Barkagaon, Hazaribagh,
Jharkhand. Area of that land is 4.15 acres. Firm will acquire land by Government of Jharkhand
for the development of shoes factory (Mohammad, 2015).
Promotion- Flip- flops would be promoted as well as advertised under brand name
‘Thriveni In-
Training’. It will be helpful in generate the awareness and also educate consumers regarding
noble cause of the upskilling the uneducated women.
Process- Through using circular economy process, business is attaining its objectives and
aims. Adopted process is helpful in minimization of the waste management that aids in growth
factor on environment.
People- All the employed women and stakeholders plays necessary role in business.
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