Submitted By:-

-: Submitted To:-

Brahmachari Wadi Trust

1 Administration
Institute Of Business
Ashram Road, Ahmedabad.
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 Research objective
RESEARCH:-

It means systematic design, collection, analysis and reporting of data

relevant to specific situation/problem.

RESEARCH OBJECTIVE

Research objective can be defined as a purpose or motive behind the

research through which the researcher tries to conclude some of the major
and minor findings. There are two types of research objective:

A. Primary objective:

The Footwear research‟s primary objective is to identify the consumer‟s

Behavior and preference towards Footwear.

B. Secondary objective:

Our primary research objectives are following:

 Factors affecting the buying pattern of the consumer for Footwear

 To find out what percentage of population likes to use the footwear.
 To find out which brand of footwear is most preferred.
 To analyze the reason for the popularity of the most preferred footwear.
 To find out how much people spend on footwear in yearly.
 To find out the preferences of people for different brands.
 To find how frequently customer buy footwear product.
 To find out where customer buy such footwear product.
 To analyses the marketing mix strategy adopted by various footwear
industry.

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 Research Design

Research design is the basic framework which provides guidelines for the rest of
research process. It specifies the methods for data collection and data analysis .In
this research project we have used the survey method of data collection, to be
more specific questionnaire method. We conducted a survey in Ahmadabad. Our
sample size is 200. Respondents in the sample size were asked to fill the
questionnaires to gather the data.

Classification of research design

Research
Design

Exploratory Conclusive
Res. design Res. design

Descriptive Casual
Research research

Cross Longitudinal
sectional Research

Single cross Multiple cross

Sectional sectional

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1. Exploratory research design:

Exploratory research design means to find something new that helps us to

collect preliminary information and research hypothesis consumption. The
Exploratory research is done to provide insights into, and an understanding
of, the problem confronting the researcher.

2. Descriptive reach design:

Descriptive research design means to describe any situation or information

in detail. To describe something in related area at that time descriptive
research is used means to give detail explanation of the research then the
descriptive research is used. Our primary objective is to analysis changing
taste & preference and switching behavior for that descriptive research is
must.

3. Casual research design:

Casual research design means to study the cause and effect relationship of
situation.

Here in the market research we have used exploratory research and

descriptive research design. We started with descriptive research by
explaining the features, quality of footwear product and its benefits in detail.

 To find out contribution of each footwear companies in footwear industry.

 To find out major key players in footwear industry.

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 Data sources
The source from which we get information or data for research is known as data
source. There are two types of data sources. Primary as well as secondary
data sources. We used both data sources to make project efficient.

1. Primary sources of data;

Primary data sources are that data sources which are newly and freshly
gathered information which we get first time. Primary data are gathered
for a specific purpose or specific project.

a) Observations

b) Questionnaire:

There are two type of questionnaire. First is structured and second is

unstructured questionnaire. Questionnaire has been used to collect the
information the consumer behavior and preferences, most preferred brand
and flavor of footwear, customer buying habit of footwear. These data
were originated by us only for the purpose of research.

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2. Secondary sources of data :

The data that already exists somewhere which was gathered in the past for
some other purpose is known as secondary data. Here we get the
information through internet by using different websites.

a) Company’s catalogues

b) Company’s route card

c) Company’s website

d) Business magazines and newspaper

We started our investigation by examining secondary data to see whether the

problem can be partly or fully solved without collecting primary data. When
we found that the required data was outdated, inaccurate, incomplete or
unreliable, at that time we collected the primary data through various
research approaches.

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 Research approaches
It means how you approach to your respondent. Different approaches are as
follow

After deciding the data source we can get the required information from our
respondents i.e. consumers. Primary data can be collected in following four ways:

(1) Observation approach:

Here researcher will observe the behavior of respondent. Fresh data can be
collected by observing the consumers when they buy or consume the products.
Important points can be noted down while analyzing the behavior of consumers.

(2) Focused group approach:

Here company will invite the 10-12 people and they will discuss on a specific
point. Here company will appoint a moderator who will note the points which are
discussed. In this, researcher selects people who are potential to afford their
products. The trained moderator will ask the questions to the respondents and he
will note the important points regarding his preferences.

(3) Survey research approach:

It refers to face to face or direct communication with the respondents and
researcher then it is called survey approach.

Here researcher face to face interacts with respondent and ask the question and
take the feedback. In this, pre-decided questions are asked to the respondents. It
is suitable for descriptive research. survey are best suited for descriptive research
objective, Survey research approaches is best suited to know about consumer
behavior and preference. For research development research instrument like
questionnaire is require.

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(4) Experimental research approach:

Here researcher gets the data through experiment. Here researcher selects the
two objects and apply the different strategy and analyze the cause and effect
relation. In this two mutually exclusive groups are selected having similar
characteristics, keeping the same controllable factors and same variables in both
groups but providing them different treatment to observe the differences in their
opinion

In our research we have used survey method to know about the consumer‟s
beliefs, preferences and satisfaction regarding the footwear with the help of survey
instrument known as “Questionnaire”.

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 Contact Method

In this we decide the methods through which we can contact the respondents to
get the information. There are basic 4 type of contact method:

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1) Personal interview:
It is a face to face communication with the respondents. By this type of interview
we can get the reliable information and researcher is able to complete all the
questions. Explanation is given for the question which is not understood by the
respondents.

2) Telephonic interview:
In this, researchers ask questions to respondents through telephone and researcher
get the data through telephonic communication this interview method is known as
telephonic interview. It is the best method for gathering information quickly and is
less costly as well. But, in this type of method, researcher cannot get reliable,
accurate and correct information.

3) Mail questionnaire:
A structured questionnaire is prepared and sent to the respondents. The
respondents supposed to fill up the entire questionnaire and send it back to the
researcher. We have not sent the questionnaire through post or courier to the
respondent. This method is very time consuming.

4) Online interview:
In this type of research the questions are asked online to the respondents through
chatting or E-Mail. Large number of respondents can be covered and it is less
costly.

 In our footwear research report we used personal interview to get the reliable
information. We met the consumers of various age groups to know their
preferences regarding the business dailies read by them.

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 Research instrument
Researches Instruments are the tools, which are used in research are known as
research instrument. Basically there are two main types of research instruments

They are:

 Questionnaire
 Mechanical devices

 Questionnaire

Questionnaire is a structure technique for data collection that consists of a series of

questions in written or verbal that a respondent have to answers. In our research we
have used questionnaire as a research instrument. There are 2 types of
questionnaire:

1) Structured questionnaire :

In this type of questionnaire all the questions are in pre-decided format and it is
asked in a logical sequence.

2) Unstructured questionnaire:

In this type of questionnaire questions are ready but not asked in logical sequence.
Researcher can ask any question at any time according to his wish as the format is
not pre-deiced.

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 There are 2 types of question:

 Open ended questions:

It means where respondents is allowed to answer in his own way by using own
words and sentences. Here freedom is provided to respondents to answer.

 Type of open ended questions

 Completely unstructured
 Word association
 Sentence completion

 Close ended questions:

It means where respondents are provided the options and is supposed to answer
from those alternatives only. Here freedom is not provided to respondents to
answer.

 Type of close ended questions

 Dichotomous question
 Multiple choices
 Rating scale
 Intention to by scale

IN our research report we have used STRUCTURE QUESTIONNAIRE that includes

only close ended questions. In close ended type of questions we have used
multiple choice question and rating scale type of question.

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 Sampling Plan

Researcher uses sampling plan to reduce time and cost of research. Few units
from population are selected known as sample.

Sampling plan has following 3 decisions to be made:

(1) Sampling Units

(It refers to that who we should survey?)

Sample unit means any of population that represents the population.

Researchers select the target audience and do the research. For our research our
sampling units are the students, occupation, professional etc.

(2) Sampling size

(It refers to how many people to be surveyed?)

Sample size should be optimum to the survey to get reliable results. For our
research sampling size was 200 consumers consisting of students and the
professional peoples.

(3) Sampling procedures

(It refers to how should we choose the respondents?)

There are basic two types of sampling procedures. First is probability sampling and
second is non probability sampling. The researcher can use any of the two
sampling.

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 Probability sampling procedure :
It is used where all the units of population is given known and equal chance to be
selected samples. There are 3 types of probability sampling:

I. simple random sample:

In this method, all subject or elements have an equal probability of being
selected. There are two major ways of conducting a random sample. The
first is to consult a random number table, and the second is to have the
computer select a random sample.

II. Stratified sampling:

In a stratified sample, we sample either proportionately or equally to
represent various strata or subpopulations. For example, if our strata were
gender, we would sample both men and women.

III. Cluster sampling:

In cluster sampling we take a random sample of strata and then survey every
member of the group. For example, if our strata were individuals‟ schools in
the St. Louis Public School System, we would randomly select perhaps 20
schools and then test all of the students within those schools

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 Non probability sampling procedures
It is used where all the population do not get known and equal chance to be
selected as samples.
In our research we used Non-Probability sampling procedure by
convenience sampling as all the units of population do not get known and
equal chance to be selected as samples.

i. Convenience:

In convenience sampling the researcher select the easiest population member

from which information is obtain that is sample is selected as per
convenience of research

ii. Judgment sampling:

The researcher finds and interviews a prescribed number of people

according to his ability to judge.

In our footwear research report we use non probability samples procedures

by convenience sampling as all the unit of population do not get known and
equal chance to be selected as sample.

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 Analysis of data
The analysis of our footwear research report is divided into following parts.

There are:

(1) Screening
(2) Coding
(3) Decoding
(4) Tabulation
 General tabulation.
 Cross tabulation
(5) Pie charts.

The above all five parts are defined deeply as below:

1) Screening:
Screening involves collections of all necessary information through questionnaire
and then identifies the eligible questionnaires that are useful for research. We have
give number to the entire questionnaire to find out that any questionnaire is
missing or not. In this process we have discriminated the correct questionnaires
and conducted our analysis. On the basis of these error free questionnaires we have
conducted the further analysis.

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2) Coding:
The assignment of a code to represent specific question along the record column
position that code will occupy. We have given code number to each and every
question in questionnaire in sequence manner to analysis it. In the second stage of
our analysis we have marked 1 to 200 numbers on the questionnaires. That our
sample size was 200 respondents. Each and every question of questionnaire and the
options given in each question of questionnaire and the options given in each
question was also assigned a code.

For example: What type of the footwear do you use from following?
0 Floaters 1 Sport Shoes

2 Formal Shoes 3 Multi-Purpose Shoes

4 Slippers 5 Sandals

6 Other (specify)………

In above example the question is assigned the code as Q-7 and the code options
given in Q-7 are assigned o to 6 no‟s as code.

3) Decoding :

Decoding of data involves transferring the code data from that the questionnaire or
coding sheet on to disks or magnetic tapes or directly into the computer by key
purchasing. In this steps of our analysis the same method which we have applied at
the time of coding in the actual questionnaire. In the computer first of all we have
entered 200 respondents as R1, R2, R3, R4, R5…..R200 and the questions 1 to 16.
These 16 questions include ranking type of question also. In the ranking type of
questions. The options were also considered as a separate question at the time of
decoding.

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4) Tabulation:

In the tabulation we as a researcher have used 2 types of tabulation. They are

General tabulation and cross tabulation.

 General tabulation:

In general tabulation we have arranged the data in forms of table for every
question. Likewise what types of promotional offer important for respondent and
number of respondent. This type of tabulation is being prepared from our side for
each and every question in our questionnaire.

 Cross tabulation:
In cross tabulation we have make a cross table for combine question. Likewise
occupation and number of connection. This type of tabulation is being prepared
from our side for three combine question in our analysis.

5) Chart:
We have also presented the information collected from our side in the form of bar-
chart also so that a clear idea about respondents and the response given by them
can be obtained

Example:

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 Research Limitations

There are certain limitations to be faced while doing these researches.

1) Some of the respondents were totally Un Responsive and were not ready
to cooperate.

2) Cost:
It became more expensive due to gathering primary as well as secondary data to
know the preference about the footwear industry.

3) Biasness:
Biasness is the most serious limitation. Although measures have been taken
to reduce the biasness but complete elimination of biasness is impossible.

4) Reliability:
The reliability of the data to great extent is dependent on the honesty and
cooperation of the respondents in providing the information.

Thus reliability and validity of data collection through survey method is not
always without doubt.

5) Time:
It is time consuming as it took nearly 6-7 months for data collection, primary
survey and analysis of it of 200 sample size.

Due to above limitations the findings may not be 100 % Accurate.

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 Industry Definition:
“Operators in the industry manufacture footwear. This includes footwear for
men, women and children. Operators may manufacture rubber and plastic
footwear, plastics, or fabric uppers and rubber and plastics protective footwear.
They may also manufacture house slippers and slipper socks. Operators may
manufacture men's or women's footwear designed for dress, street and work”.

 Indusrty Activities (Products & Services):

1) The primary activities of this industry are:

 Athletic shoes manufacturing

 Ballet slippers manufacturing
 Children's shoes manufacturing
 Cleated athletic shoes manufacturing
 House slipper manufacturing
 Infants' shoes manufacturing
 Men's footwear (except athletic) manufacturing
 Other footwear manufacturing
 Rubber and plastics footwear manufacturing
 Women's footwear (except athletic) manufacturing

2) The major products and services in this industry are:

 Women's shoes (except athletic)
 Men's footwear (except athletic)
 Athletic shoes
 Rubber and plastic footwear
 Children's shoes
 Slippers
 Protective footwear
 Other

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 Indian Footwear Industry:
“Footwear is a man made outer covering of foot. It is genially made out of leather but the
same can be made with synthetic material. When the human being came into existence,
they were needed to protect themselves from heat, cold dampness, dust and roughness of
ground while walking, standing, or even running. So they innovate shoes for the
protection of their feet”.

The Footwear Industry is a significant chunk of the Leather industry in India.

India ranks second among the footwear producing countries next to China.
The industry is labor intensive and is concentrated in the small and cottage industry
sectors. While leather shoes and uppers are concentrated in large-scale units, the
sandals and chappals are produced in the household and cottage sector. India
produces more of gent‟s footwear while the world‟s major production is in ladies
footwear. In the case of chappals and sandals, use of non-leather material is used to
manufacture these in the domestic market.

The industry is on the edge of adopting the modern and state-of-the-art technology
to suit the exacting international requirements and standards. The Indian Footwear
Industry is all set for leveraging its strengths towards maximizing benefits.

Strength of India in the footwear sector originates from Its command on

reliable supply of resources in the form of rawhides and skins, quality finished
leather, large installed capacities for production of finished leather & footwear,
large human capital with expertise and technology base, skilled manpower and
relatively low cost labor, proven strength to produce footwear for global brand
leaders and acquired technology competence, particularly for mid and High
priced footwear segments. India has the competitive advantage over other countries
in the form of materials and skilled manpower.

Assembly line production is organized, and about 90%of the workforces in the
mechanized sector in South India consist of women. In fact, this sector has opened
up plenty of employment opportunities for women who have no previous
experience.

Presently the key players in Indian market are Bata, Adidas, Liberty, Action,
Relexo, Reebok and NIKE.

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 The major production centers in India are Chennai, Ranipet, Ambur in Tamil
Nadu, Mumbai in Maharastra, Kanpur in U.P., Jalandhar in Punjab, Agra,
Delhi, Karnal, Ludhiana, Sonepat, Faridabad, Pune, Kolkata, Calicut and
Ernakulam.

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 It must be noted that while ET has mentioned that leather shoes produced in
India stand at 909 million pairs, data released by CSO shows that only 2.5
million pairs were produced in India during financial year 2010-11. This may
mean that CSO statistics are under-estimates.

 India‟s footwear industry is valued at around $ 5 bn and nearly 1.8 bn pairs. The
domestic market is highly competitive with few national players and
multinational players present in the organized segment and a large unorganized
segment characterized by chappals / sandals served by small scale players.

 The growth rate of the Indian domestic footwear industry is around 8 % and is
predicted to grow at around 7.5~8% in the near future.

Total Production
2065 million
pairs (100%)

Leather Shoes Leather Shoes Non-Leather

909 million Uppers 100 Footwear 1056
(46.2%) million million (53.8%)

Export Domestic sales Export Domestic Sales

(93 mn pairs) (816 mn pairs) (57 mn pairs) (999 mn pairs)
(4.7%) (41.5%) (2.9%) (50.8%)

 India produces 2065 million pairs of footwear each year

 Leather Footwear 909 million pairs
 Leather Shoe Uppers 100 million pairs
 Non Leather Footwear 1056 million pairs

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 Estimated size of the footwear market in India stands at Rs 16,000 crore

 Unorganized players account for almost 65% of the market

 Bata claims a market share of 25-30% in the branded market

 India exports about 115 million pairs. Thus, nearly 95% of its production goes
to meet its own domestic demand. Accounting for 14% of global footwear
production. Of 14.52 billion Pairs.

 The footwear sector is a very significant segment of the Footwear Industry in

India.

Footwear exported from India are Dress Shoes, Casuals, Moccasins, Sport Shoes,
Horrachies, Sandals, Ballerinas, Boots, Sandals and Chappals made of rubber,
plastic, P.V.C. and other materials.

MNC Brands sourced MNC Brands Sold in Indian Brands sold in

from India India India
Acme, Clarks, ColeHann, Aldo, Bally, Clarks, Red Tape, Bata, Liberty,
Deichmann, Ecco, Ecco, Florshiem, Khadims, Lakhani, Metro,
Elefanten, Florsheim, Ferragammo, Hush Action
Gabor, Hasley, Hush Puppies, Lee cooper,
Puppies, Double H, Lloyd, Marks & Spencer,
Justin, Marks & Spencer, Nike, Nine West, New
Nautica, Nike, Nunn Balance, Reebok,
Bush, Reebok, Rockport, Stacy Adams
Salamander, Stacy
Adams, Tony, Lama,
Next, Bally

The Indian Footwear Industry provides employment opportunities to a total of 1.1

million people, mostly from the weaker sections of the society. Out of this, about
0.2 million are employed in the organized sector, 40% of whom are women.
Remaining 0.9 million people are engaged in unorganized footwear sector like
rural artisans, cottage and household units etc.

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The Footwear Sector is now de-licensed and de-reserved, paving the way for
expansion of capacities on modern lines with state-of-the-art machinery. To further
assist this process, the Government has permitted 100% Foreign Direct Investment
through the automatic route for the Footwear Sector.

The footwear industry is the engine of growth for the entire Indian leather industry
and India is the second largest global producer of footwear after China . Reputed
global brands like Florsheim, Nunn Bush, Stacy Adams, Gabor, Clarks, Nike,
Reebok, Bata, Relexo, Puma, Ecco, Deichmann, Elefanten, St. Michaels, Hasley,
Salamander and Cole Haan are manufactured under license in India.

The strength of India in the footwear sector originates from its command on
reliable supply of resources in the form of raw hides and skins, quality finished
leather, large installed capacities for production of finished leather & footwear,
large human capital with expertise and technology base, skilled manpower and
relatively low cost labour, proven strength to produce footwear for global brand
leaders and acquired technology competence, particularly for mid and high priced
footwear segments.

 Leather footwear exported from India are dress shoes, casuals, moccasins, sport
shoes, horrachies, sandals, ballerinas, boots.
 Non-leather footwear exported from India are shoes, sandals and chap-pals
made of rubber, plastic, P.V.C. and other materials.

With changing lifestyles and increasing affluence, domestic demand for footwear
is projected to grow at a faster rate than has been seen. There are already many
new domestic brands of footwear and many foreign brands such as Nike, Adidas,
Puma, Reebok, Florsheim, Rockport, etc. have also been able to enter the market.

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 Footwear Sector – Global:

 The global footwear trade was valued at around US$100 bn in 2010.

Organizations in the developed economies source footwear products from
developing economies directly or through intermediaries while focusing on
building brands.

FOOTWEAR COMPANIES

Companies in fashion and Suppliers to Brand Owners

accessories segment

Bata, Nike‟s, Reebok, Kasen Holdings, Yueyuen

Adidas, Gucci, Action, Etc... and numerous SMEs

USA, UK, European Countries, China, India, and Other

& African Countries. Countries.

Footwear is the engine of growth for the entire Indian Footwear industry and India
is the second largest global producer of footwear after China, accounting for 14%
of global footwear production. Countries

Zone Year Countries

1. 1960s USA, European Countries (Garmany, France, UK etc)
2. 1970s-80s Korea, Taiwan
3. After 1980 China, India
4. After 1990 Vietnam, Indonesia, Brazil
5. After 2000 African Countries (Ethiopia, Kenya etc)

 India and China evolved as leading footwear producing nations during the same
time period (around 1980s).

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 GLOBAL footwear MARKET
 India ranked 2nd in production, 13thin share of exports

World footwear production has crossed 20 billion pairs in 2010. The first World
Footwear Yearbook Report, just released by APICCAPS (The Portuguese
Footwear, Components, Leather Goods Manufacturers' Association), claims that
global production last year was 20.18 billion pairs, including shoes made from a
variety of materials like Leather, rubber, plastics, textiles, waterproof material,
etc.)

China had the major share with 62.4% of all production, or 12.6 billion pairs. India
is second on the list, with just over 2 billion pairs, followed by Brazil 894 million
pairs, Vietnam 760 million, Pakistan 295 million and Mexico 244 million. Other
countries making more than 200 million pairs of shoes a year are Thailand (245
million) and Italy (203 million).

The Asian countries produced 87% of all footwear in 2010 and South America 6%,
Europe 4%, Africa 2% and North America 2%.

World footwear exports have reached 13 billion pairs worth $ 85 billion, a growth
of 12% from the previous year. In exports China had a market share of 73.4%
(9,930 million pairs) in 2010. But in value its share is only 38.5%.of the total
earning $33.66 billion. India is ranked 13 in world trade with earnings of $1.4
billion. Average price realization per pair for China was $3.39, but for India it was
$12.53.

In terms of consumption, the two most populated countries in the world (China and
India) represent, respectively, 15.2% and 11.7% of the total. However the US
stands out even though it has a lot less consumers, registering the second position
at world level with a 13.4% share of the 2010 total.

Consequently, rubber and plastic footwear's share of world exports increased from
43% to 54%, in terms of volume, while leather footwear fell from 30% to only
17%. Given its high price, in terms of value

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  World’s top 15 exporters of footwear
Rank Country Us$ (Million) World Share Average Price
1 China 33665 38.5% $3.39
2 Italy 8755 10.0% $39.51
3 Hong Kong 5244 6.0% $12.47
4 Vietnam 4224 4.8% $15.79
5 Belgium 3717 4.2% $18.30
6 Germany 3444 3.9% $19.99
7 Indonesia 3002 3.4% $14.09
8 Netherland 2464 2.8% $16.64
9 Spain 2411 2.8% $21.51
10 France 1970 2.2% $28.32
11 Portugal 1718 2.0% $25.90
12 Brazil 1487 1.7% $10.40
13 India 1434 1.6% $12.53
14 U.K 1265 1.4% $23.81
15 Romania 1121 1.3% $19.36

Leading Footwear Clusters in Addition to India:

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1 Vietnam / Indonesia
• OEM production
• Focus on low costs segments mainly for the European market

2 China
• OEM production
• Focus on low costs segments mainly for the US market

3 Romania
• Production subsidiaries of Italian companies
• Focus on lower to medium price range

4 Italy
• Design, marketing & production of premium shoes
• Export widely to the world market

5 Portugal
• Production
• Focus on short-production runs in the medium price range

6 United States
• Design and marketing
• Focus on specific market segments like sports and recreational shoe and boots
• Manufacturing only in selected lines such as hand sewn casuals shoes and boots

Country Weakness Threat

Portugal Predominantly catering to Competition from Chinese and
European markets other low cost countries
Romania
Italy High cost of labor Rising exports from the low cost
countries
China Low value, high volume Tariff barriers on Chinese exports
products by the European Union
Vietnam Predominantly a footwear Tariff barriers on Vietnamese
manufacturer (esp. Sports shoes) exports by the European Union
Indonesia Unstable political system , Rising costs due to raw material
currency depreciation forcing out imports, flooding of the domestic
companies from Indonesia market by Chinese manufacturers
United High cost of labor Virtually no manufacturing of
States shoes except for defense units.

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 Footwear Sector – Indian:
 The Footwear Industry is a significant segment of the Footwear Industry in
India.
 India ranks second among the footwear producing countries next to China.
 India produces more of gents‟ footwear while the world‟s major production is
in ladies footwear.
 The major production centers India are Chennai, Ranipet, Ambur in Tamil
Nadu, Mumbai in Maharastra, Kanpur in U.P., Jalandhar in Punjab, Agra and
Delhi. The following table indicates concentration of units in various parts of
the country:

Region Large & Medium Scale SSI Household

Tamil Nadu 64 31 7
Delhi & up North 4 8 25
Agra, Kanpur 9 34 14
Calcutta 1 3 19
Bangalore 6 3 4
Mumbai 3 11
Others 13 10 32

In terms of volume, the market size of the footwear industry in the top 20 cities in
the country is estimated to be 100 mn pairs per annum. For the country as a whole,
the annual domestic consumption of footwear is approximately 1.1 billion pairs per
annum, as per government statistics. With a population base of 1 billion, this
translates to a per capita consumption of 1.1 pairs per person per annum.

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  Leading Players (Footwear)

According to Indian Footwear Industry Analysis growth of 20% in year 2008 -

2011.As the trend is growing Indian footwear market relies on Men's Footwear and
also Casual footwear's.

Retailers No of Stores
 Bata 1400
 Liberty 334
 Khadim‟s 260
 Woodlands 200
 Metro/Mochi 52

Footwear industry in India can never be a heavy industry in general and small
entrepreneurs with small investments in machinery and capital could remain for all
purposes the backbone of industry. It is the ideal industry for entrepreneurs without
much of investment in the industry assuring growing demand and profits.
Availability of raw material and manpower is not a problem. So the small sector
has to play a vital role in industry development. Depending upon the styles, type
and purpose, the footwear can be broadly classified into three groups:

 Chappal or open type footwear.

 Sandal or strap attached footwear.
 Boot & shoe or closed type footwear covering most part of the feet.

35
36
 Facts about Indian Footwear Markets-

Indian footwear market is estimated at about Rs 19,900 crore with a growth

rate of 8-10 per cent.

The category covers casual, formal, and semi-formal and sports shoes along with
sandals for men and women. Men‟s segment accounts for 59 per cent of the
market, while women‟s segment contributes 41 per cent

The overall share of organized retail is 20 per cent and is expected to reach 25-30
per cent by 2015. Urban India is estimated to contribute 70 per cent to the overall
footwear market in FY 2011. Exclusive-brand outlets account for over 50 per cent
of the footwear market followed by multi-brand outlets at 28 per cent.

Key brands in India are Bata, Liberty, Clarks, Woodland, Khadims, Metro, Red
Tape, The Loft, M&B Footwear, Da Milano, Timberland, Puma, Nike, Adidas,
Reebok, M&B, Rockport, Provogue, Lee Cooper, Converse, Nine West, Aldo,
Relaxo etc

 Women's footwear market in India

The women‟s footwear market is estimated to be Rs 8,000 crore which is projected

to grow at a CAGR of 10 per cent to reach Rs 12,900 crore by 2015. Of this, 65 per
cent is the unorganized segment and the rest 35 per cent, totaling Rs 2,800 crore, is
the organized segment.

The casual footwear segment forms the maximum (60 per cent) share in the total
market, followed by formal shoes at 30 per cent.

The major brands present in the formal and party wear segments include Catwalk,
Aldo, Charles & Keith, Bata, Red Tape, Metro etc.

The major growth driver is the increase in career women (doubled from 5 to 10
million in the last decade).

The number of career women is estimated to increase fourfold to an estimated 45-

50 million working women in the age group of 20-40 years in urban India by 2020.

37
 Men's premium footwear market in India

Men‟s footwear market in India is estimated to be Rs 13,000 crore in 2011. It is 50

per cent of the total footwear market. The category is growing at about 9 per cent a
year

 Footwear industry expands, steps into non-metro markets

Reebok, a part of Adidas, the world‟s second largest sportswear maker, said last
month it would make a $1 shoe for India. Even with a less valuable rupee, that‟s a
pair at roughly Rs 52. Though Reebok has cautioned that this is not the final price,
the market is agog. It is clear the company is seeking volumes in India‟s growing
rural market, where a lot of people do not wear footwear at all.

Reebok is not the only brand targeting the rural consumer. A number of footwear
makers say they have discovered the enormous growth potential of India‟s non-
metro market.

 Sizeable-unorganized-market

About 40 per cent is in the organized segment while close to 60 per cent of the
market is dominated by unorganized players. Also, almost 70 per cent of the
market comes from small towns to rural areas.

38
 Organized Sector vs. Unorganized Sector
Footwear is a necessity to every person and at the same time is now a lifestyle as
also a performance enhancement product; and is thus a segment with vast potential.

 Indian footwear market is estimated at about Rs 19,900 crore with a growth rate
of 8-10 per cent.
 The ladies footwear segment still remains the most untapped as nearly80-90
percent purchases happen in the unorganized market. Organized Market
Unorganized Market as are under;

Indian Footear Market

100.00%

50.00% 65.00%
35.00%

0.00%
Organised Market Unorganised Market

Indian Footear Market

 Marginal share of 2.44 percent in global trade worth US$ 97.606 billion.

 Estimated target of 12 bn $ (7bn $ export + 5 bn $ domestic) trade by the

year 2012 overseas economies and trends.

 Growing middle class and growing buyer power leading customers to look
for branded shoes.

 Seasonality issues ± sports is more of a rage in summers.

 Lack of targeting of market segments for kids and women.

39
 A Few Interesting facts:
 The Indian footwear retail market is expected to grow at a CAGR (Compound
Annual Growth Rate) of over 20% for the period spanning from 2008 to 2011.
 Footwear is expected to comprise about 60% of the total leather exports by
2011 from over 38% in 2006-07.
 The Indian footwear market is dominated by Men‟s footwear market that
currently accounts for nearly 58% of the total Indian footwear retail market.
 It is dominated by casual footwear products, which make up for nearly two-
thirds of the total footwear retail market
 As footwear retailing in India remains focused on Men‟s shoes, there exists a
plethora of opportunities in the exclusive ladies‟ and children‟s footwear
segment with no organized retailing chain having a national presence in either
of these categories
 The Indian footwear market scores over other footwear markets as it offers
benefits like low cost of production, abundant raw materials, and has a huge
consumption market.

 In a Nutshell:

 There are nearly 4000 units engaged in manufacturing footwear in India. The
industry is dominated by small scale units with the total production of 55%. The
total turnover of the footwear industry including leather and non-leather
footwear is estimated at Rs.8500-9500 crore (Euro 551.3-1723.1 Million)
including Rs.1200-1400 crore (Euro 217.6-253.9 Million) in the household
segment.
 India's share in global leather footwear imports is around 1.4% Major
Competitors in the export market for leather footwear are China (14%), Spain
(6%) and Italy (21%).
 Assembly line production is organized, and about 90% of the workforces in the
mechanized sector in South India consist of women. In fact, this sector has
opened up plenty of employment opportunities for women who have no
previous experience. They are trained to perform a particular function in the
factory itself.

40
 MAJOR TYPE OF FOOTWEAR
The major products and services in this industry are:

1) Women's footwear’s

 The casual footwear segment forms the maximum (60 per cent) share in the
total market, followed by formal shoes at 30 per cent.
 The major brands present in the formal and party wear segments include
Catwalk, Aldo, Charles & Keith, Bata, Red Tape, Metro etc.
 The major growth driver is the increase in career women (doubled from 5 to 10
million in the last decade).
 The number of career women is estimated to increase fourfold to an estimated
45-50 million working women in the age group of 20-40 years in urban India by
2020.

1. Sandals - open shoes consisting of a sole and various straps, leaving much of
the foot exposed to air. They are thus popular for warm-weather wear, because
they let the foot be cooler than a closed-toed shoe would.

2. Saddle shoe - leather shoe with a contrasting saddle-shaped band over the
instep, typically white uppers with black "saddle"

41
 2) Men's footwear

Men's footwear (excluding athletic) should account for about 50% of the industry's
revenues. Slower changes in the styles of men's footwear allow existing machinery,
equipment and inputs to be used each year. This product has increased in recent
years at the expense of women's footwear. Men's footwear is more generic and is
better suited to mass production in low labor cost countries.

 Men's shoes can be categorized by how they are closed:

1. Balmorals: the vamp has a V-shaped slit to which the laces are attached; also
known as "closed lacing". In England, the balmoral is known as the Oxford. The
word "Oxford" is used by American clothing companies to market shoes that are
not balmorals, such as rubber-sole bluchers.

2. Bluchers: the laces are tied to two pieces of leather independently attached to
the vamp; also known as "open lacing". In England, the Blucher is known as the
Derby shoe.

3. Monk-straps: a buckle and strap instead of lacing various other closings exist
but are less popular such as side-elastic closings.

42
 3) Athletic
Men's and women's athletic shoes and special function shoes often have less
difference between the sexes than in dress shoes. In many cases these shoes can be
worn by either sex. Emphasis tends to be more on function than style.

1. Sneakers/trainers (also called gym shoes or tennis shoes) - general purpose

athletic shoes; made out of rubber, cloth, and/or plastic to be lightweight, flexible,
and have good traction. Special varieties available for basketball or tennis.

2. Running shoes - very similar to above, with additional emphasis on cushioning.

3. Track shoes - lightweight; often with plastic or metal cleats

4. Cleats - a type of shoe featuring molded or removable studs. Usually worn

while playing sports such as rugby, football, American football, or baseball

5. Golf shoes - with "spikes" for better grip in grass and wet ground. Originally the
spikes or "cleats" were made of metal but replacable "soft spikes" made of
synthetic plastic-like materials with prongs distributed radially around the edge of
each spike are much more common today (and are required on many golf courses
since they cause less damage to the greens)

6. Bowling shoes - intermediate style between ordinary dress shoes and athletic
shoes. They have harder rubber soles/heels so as not to damage bowling alley
floors. They are often rented or loaned at bowling alleys.

7. Walking shoes - have a more flexible sole than the running shoe, lighter in
weight than the hiking boot, may have air holes, may not be water proof.

43
 4) Children's shoes

Children's shoes should account for around 8.0% of industry revenue. Most
children's shoes are produced in low labor cost countries as only a very small
percentage of consumers purchase children's shoes for design, quality and brand
names.

5) Rubber and plastic

Rubber and plastic footwear should make up about 8.2% of industry revenue.
These products, which exclude sandals and slippers, have vulcanized, molded or
cemented components.

44
 6) Slippers

Footwear in the slippers segment usually includes house slippers, slipper socks and
leather slippers. This segment should account for 4.1% manufactured footwear.
Work and protective footwear, which typically includes steel cap shoes, water
shoes and overshoes, should account for 3.3% of industry revenue. The other
segment is expected to include, ballet slippers, hiking boots, golf shoes, moccasins
and theatrical shoes.

These product categories are further segmented into: fashion shoes, work shoes
(including school shoes), work boots, sports shoes, and footwear components.

7) Others
1 Pointe Shoes: Designed for ballet dancing. These have a
toe box that is stiffened with glue and a hardened sole so the
dancer can stand on the tips of their toes. They are secured
by elastic straps and ribbons that are tied to the dancer's
ankles.
Pointe Shoes

2 Ballet Shoes: Heel-less slippers made of canvas or leather,

with either continuous or two-part sole (i.e., split-sole). The
sole is typically made of leather, with thicker material under
the ball and heel of the foot, and thinner and thus more
flexible material under the arch so that the foot can be
pointed to its utmost. Ballet slippers are usually secured by
elastics that cross over the top of the foot.
Ballet Shoes

45
3. Jazz Shoes: These typically have a two-
part, rubberized sole (i.e., split-sole) to
provide both flexibility and traction, and a
low (one inch or shorter) heel. They are
secured to the foot by laces or elastic
inserts. Jazz Shoes

4. Dance sneakers-

Also known as dansneakers, these are a combination of a sneaker and a dance

shoe, with a reinforced rubber toe.

5. Character shoes-

Shoes with a one to three inch heel, which are usually made of leather, and often
have one or more straps across the instep to secure the foot during dance. They
may come in soft-soled (suede) or hard-soled varieties. They may be converted to
tap shoes by attaching taps.

6. Work Shoes:

Work shoes are designed to stand heavy wear, to protect the wearer, and provide
high traction. They are generally made from sturdy leather uppers and non-leather
outsoles. Sometimes they are used for uniforms or comfort by nurses, waitresses,
police, military personnel, etc. They are commonly used for protection in industrial
settings, construction, mining, and other workplaces. Protective features may
include steel-tipped toes and soles or ankle guards.

46
 Brands in Indian footwear market

 MNC Brands sourced from India

Reebok, Laurent, Acme, Ann Taylor, Bally, Charter Club, Clarks, Coach,
Colehann, Daniel Hector, Deichmann, DKNY, DOUBLE H, Ecco, Elefanten,
ETIENNEAIGNER, Florsheim, Gabor, Geoffrey Beene, Guess, Harrods, Hasley,
Hugo Boss, Hush Puppies, Kenneth Cole, Liz Claiborne, Marks & Spencer,
Nautica, Next, Nike, Nunn Bush, Pierre Cardin, Salamander, Stacy Adams,
Tommy Hilfiger, Tony Lama, Versace, Yves St.

 MNC Brands Sold in India

Adidas, Aldo, Bally, Clarks, Ecco, Florshiem, Ferragammo, Hush Puppies, Lee
cooper, Lloyd, Marks & Spencer, Nike, Nine West, New Balance, Reebok,
Rockport, Stacy Adams, Levi Strauss , Lee Cooper, Puma, Bata

 Indian Brands sold in India

Red Tape, Liberty, Khadims, Lakhani, Metro, Action, Provogue, ID, M&B
Footwear, Firangi

47
 Existing Footwear Chains - Domestic:

 Bata India Ltd:

Bata India is the largest company for the Bata Shoe Organization in terms of sales
pairs and the second largest in terms of revenues, with 1250 stores across the
country. By the time Bata had come to India in 1931, it was already recognized as
a leading shoe brand. Its manufacturing and marketing operations heralded the rise
and the development of a modern footwear industry in India. Today, backed by a
brand perception of experience, the company is working towards positioning itself
as a vibrant and contemporary young brand. It has significantly transformed its
retail formats to become more lifestyle-oriented, which has helped change
consumer perceptions to a large extent. The company currently sells over 45
million pairs of shoes every year and has an annual sales turnover of more than Rs
8000 million.

 Reliance Footprints:

A specialty footwear store offering formal and sportswear in men, women and
children's footwear, was launched in Hyderabad and Bangalore. They launched
another Footprint store in New Delhi.

 Woodlands:

The brand Woodland was introduced to the Indian market in 1992 through two
exclusive outlets in New Delhi. At present, there are 200 exclusive Woodland
stores across the India in addition to a distribution network covering over a
thousand stores across the country.

 Action:

Action Shoes has more than 5,000 retail outlets all over India. Action also has
exclusive showrooms in Jammu & Kashmir, Himachal Pradesh, Punjab, Haryana,
Uttaranchal, Delhi, Uttar Pradesh, Bihar, Rajasthan and Madhya Pradesh.

48
 Khadim's:

Khadim India Limited forayed in footwear retailing in 1993. it has more than 260
Exclusive stores out of which 52 are owned by the company and the remaining are
exclusive dealers are located across 22 states.

 Liberty:

Liberty Shoes Ltd. has more than 365 retail stores across India. Liberty markets its
products are the network of 150 distributors, 350 exclusive showrooms.

 M & B Footwear:

Delhi-based M&B Footwear has 75 stores including 26 exclusive concept stores

located in premium malls and high streets and 6 shop-in-shop modules placed
within Central and Pantaloons. The company's brand portfolio comprises of Lee
Cooper, ID, Provogue, Geox, Firangi, Rider and MB Sports. The company has
planned to open 100 stores by 2008 and take it to 275 stores by 2010.

 Red Tape:

Red Tape is the flagship brand of Mirza International. It was launched in 1996.
Red Tape retail markets its products through multiple brand outlets, chain stores
and exclusive Red Tape showrooms. Its countrywide network of exclusive
showrooms spans 30 cities in India.

49
 Existing Footwear Chains - International / MNCs:

 Crocs India:

It is a US footwear brand, launched in India in 2007. At present, the company retail

products through 500 stores across India & also selling through 5 company owned
stores in metros like, Delhi, Mumbai, Pune and Gurgaon.

 Adidas:

German sportswear and apparel major Adidas is planning for a major expansion
across India in 2008, which would involve setting up around 160 new stores. Post
the planned expansion, Adidas would have 450 franchise stores and presence in
140 cities as against 119 cities currently.

 Nike:

Nike entered into India through a seven year license agreement with Sierra
Industrial Enterprise. In 2004, Nike Inc formed its 100 per cent subsidiary, Nike
India. Nike has 1,000 retail outlets including exclusive stores and shop-in-shop.

 Reebok:

Reebok India is planning to expand its retail presence in India by the end of 2008.
The number of exclusive Reebok stores is expected to go up from 675 to 800 by
December 2008. The company has plan to tap tier II and Tier III cities. Reebok is
planning to add 55 new lifestyle stores by the end of this year.

 GUCCI:

GUCCI has 2 stores in Delhi, 1 in Mumbai and 1 in Bangalore it is planning to

open more stores in other metros.

 Carlton London:

UK's shoe brand Carlton London operates 7 stores in Ludhiana, Gurgaon, Noida,
New Delhi.

50
 Factors that make Indian Footwear market attractive

A. Rising disposable incomes:

India has a large and growing middle income class constituting 350 million
persons. The penetration level for footwear (both leather and non-leather) is
only around 60%4

B. Abundance of raw material:

India has the largest livestock population in the world. It has 22% of the world‟s
large animals (cows, buffaloes, camels) and 10% of the small animals (goat,
sheep, calves).

C. Improved access to new designs:

With the Indian economy opening up there has been rapid influx of foreign
technology through foreign collaborations with indigenous firms which has
resulted in improved access to new designs for domestic firms

D. India’s emergence as a low cost manufacturing base:

There is an abundance of labour in our country available at competitive rates.

E. Government policy:

The government policies in the footwear sector are conducive to the easy
setting up and operation of footwear producing units. The footwear clusters in
the country enjoy numerous set-up and export incentives.

51
 MAJAR MARKET FOR Indian Footwear Industry

During 2010-11, the main markets for Indian Footwear are UK with a share of
19.16%, Germany 16.15%, Italy 12.46%, USA 8.04%, France 8.93%, Spain
6.45%, Netherlands 4.51%, Portugal 1.41%, U.A.E 2.45% and Denmark 0.97.%.
These 10 countries together accounts for 80.53% share in India‟s total footwear
export.

Nearly 90% of India‟s export of footwear goes to European Countries and the
USA. Future growth of Indian footwear in India will continue to be market driven.
The European countries and the US are major consumers for the Indian footwear.

Footwear Exports – To major markets – 2010-11

EU – 79.15%, USA – 8.04%, Australia – 0.72% and others – 12.09%

A Statement showing India’s Export of Footwear to different countries:

(Value in Million US$)
Country 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 % Share
Germany 170.97 217.23 246.84 229.65 224.27 279.80 16.15%
UK 195.78 208.2 241.37 247.06 296.45 331.92 19.16%
Italy 134.35 186.11 229.81 221.09 209.95 215.81 12.46%
USA 131.07 127.15 136.92 163.03 123.6 139.21 8.04%
France 74.48 99.81 116.03 119.2 144.45 154.72 8.93%
Spain 63.7 64.57 76.69 91.86 95.99 111.74 6.45%
Netherlands 32.96 48.57 72.91 76.2 65.13 78.19 4.51%
Portugal 22.15 35.03 37.34 28.21 22.63 24.38 1.41%
UAE 25.78 34.64 39.23 39.4 39.61 42.36 2.45%
Denmark 18.37 14.65 17.48 14.78 17.02 16.74 0.97%
Australia 11.58 10.11 12.52 13.34 15.49 12.54 0.72%
Sweden 6.77 7.99 12.04 12.64 12.2 13.76 0.79%
Canada 11.95 10.91 10.41 8.96 9.3 10.40 0.60%
South 8.26 12.11 8.52 8.49 9.87 11.07 0.64%
Africa
Japan 3.17 3.07 4.63 8.23 5.45 7.17 0.41%
Others 133.9 156.76 226.61 252.18 216.37 282.23 16.29%
Total 1045.24 1236.91 1489.35 1534.32 1507.51 1732.04 100.0%

52
 Partnerships that spell success

 Formas Kunz Brazil - This facility is coming up in the Footwear Component

Park. Chennai, India.

 Feng-Tay Enterprises Co. Ltd., Taiwan - This is an SEZ-proposed facility in

an area of 275 acres, coming up in SIPCOT Industrial Estate, Cheyyar (TN).
Feng Tay is a manufacturer of sports shoes, skate shoes and casual shoes for
Nike and other global brands.

 Apache Footwear, China - This FDI is coming up in Tada Mandal, Nellore

(AP), in an area of 340 acres. Apache is a supplier of shoes for Adidas and
has manufacturing facilities in China.

 A few other examples are, Mondial (Italy), Suolificio Malaspina (Italy),

Fagus(Germany), Zahonero Virgili SL, (Spain), Top Fondi (Italy), Xie Zhan
Moulds (China)

Footwear is the engine of growth of the leather industry in India. India‟s export of
Footwear touched US$ 1732.04 million in 2010-11, accounting for a share of
45.05% in India‟s total export from the leather sector of US$ 3844.86 mn.

 India‟s Footwear export (leather, uppers & non-leather) is growing at a CAGR

of 8.78% in the last five years ending 2010-11

 India‟s export of leather footwear had increased from US$ 974.33 million in
2006-07 to US$ 1460.42 million in 2010-11.

 India‟s export of footwear components had increased from US$ 219.84 million
in 2006-07 to US$ 215.03 million in 2010-11

 India‟s export of non-leather footwear has increased from US$ 42.74 million in
2006-07 to US$ 56.59 million in 2010-11

53
 India’s Footwear Export Growth over the last Four Decades
Export of footwear from India increased manifold over the last four decades. Today,
India‟s footwear export is valued at US$ 1732.04 million, constituting 45.05% share in
total export of leather & Footwear products.

Footwear exports has increased from US$ 99.77 million in 1980-81 to US$ 1732.04
million in 2010-11

 A Vision Document 2011

Footwear is the engine of growth of the leather industry, currently accounting for an
export value of US$1212 million, holding a major share of 41% in India‟s total leather
trade.

The export targets from 2007-08 to 2010-11

(In Million US$)

Product 2006-07 2007-08 2008-09 2009-10 2010-11

Leather 688.05 726.85 785.00 847.80 915.63
Footwear 1212.25 1967.88 2597.60 3428.83 4526.05
Garments 308.98 358.53 372.87 387.78 403.30
Leather Goods 690.66 733.34 798.69 870.06 948.04
Saddlery & Harness 81.85 105.66 127.85 154.70 187.19
Total 2981.79 3892.26 4682.01 5689.17 6980.21

54
 Current Export of Footwear and Projections by 2010-11

Future growth of Indian footwear industry in India will continue to be market

driven and oriented towards the European and the US markets. Technology
partnerships with major merchandising houses in USA and market leaders in
Europe are decided advantages in the integrated developmental plan of India.
Investment backed technology support for footwear component industry is being
sought to be outsourced.

Footwear is the engine of growth of the leather industry, currently accounting for
an export value of US$1212 million, holding a major share of 41% in India‟s total
leather trade.

An ambitious target of US$ 4.5 billion in respect of Footwear export from India by
2010-11where the overall export of leather products will reach US$7 billion,
wherein footwear alone will account for a share of 65% in India‟s total leather
export trade.

55
56
 BATA:-

 Registered Office address of the Company

Bata India Limited
6A, S. N. Banerjee Road
Kolkata 700 013, West Bengal

Tel: (033) 2244 3416-18

Fax: (033) 2227 7418
E-mail: batacal@bataindia.com

 Brief History
The Company was originally incorporated as Bata Shoe Company Limited on
December 23, 1931 under Indian Companies Act, 1913 for the purpose of
manufacturing and marketing of all types of footwear, footwear components,
leather and products allied to the footwear trade. Subsequently, the Company
changed its name to .Bata Shoe Company Private Limited. on April 6, 1956 upon
conversion into private company. The Company changed its name from .Bata Shoe
Company Private Limited. To Bata Shoe Company Limited., upon conversion to a
public company on April 18, 1973. The name was once again changed to the
current name, i.e. Bata India Limited, on April 23, 1973.

The Company was promoted by Leader A.G., St. Moritz, Switzerland, a member
of the multinational Bata Shoe Organisation (BSO) with a 100% Equity
Shareholding, and consequently, the Company too is a member of the BSO. The
BSO consists of independently run companies operating in several countries across

57
the world. Bata Limited, Toronto, Canada acts as the headquarters of BSO. Bata
Shoe Organisation provides an important interchange of new manufacturing
technologies, machine design, factory lay-out plans advertising market forecasts,
fashion trends, modern marketing techniques, new material testing and also
information on the most advanced machinery and technology for production of
shoes are made available to the Bata group of companies, including Bata India
Limited.
Bata India is the largest company for the Bata Shoe Organization in terms of sales
pairs and the second largest in terms of revenues. With 1250 stores across the
country, it also has the widest retail network within the BSO.
By the time Bata had come to India in 1931, it was already recognized as a leading
shoe brand. Its manufacturing and marketing operations heralded the rise and the
development of a modern footwear industry in India.

Incorporated as Bata Shoe Company Private Limited in 1931, the company was set
up initially as a small operation in Konnagar (near Calcutta) in 1932. In January
1934, the foundation stone for the first building of Bata's operation - now called the
Bata. In the years that followed, the overall site was doubled in area. This township
is popularly known as Batanagar. It was also the first manufacturing facility in the
Indian shoe industry to receive the ISO: 9001 certification.

The Company went public in 1973 when it changed its name to Bata India Limited.
Today, Bata India has established itself as one of Asia's largest footwear retailer. It
has cornered around 35per cent market share in the organized sector (and approx.

58
8.5% of the total footwear market) Almost 98 percent of the company's revenue is
from the domestic market while the rest is from exports. The company currently
sells over 45 million pairs of shoes every year and has an annual sales turnover of
more than Rs 8000 million (USD 178 million). Over the years, Bata India has
established a leadership position in the footwear industry and is easily the most
trusted name in branded footwear. Its retail network of 1250 stores gives it a reach/
coverage that no other footwear company can match. The stores are present in
good locations and can be found in all the metros, mini-metros and towns

In terms of products, the company has now built a good, market-oriented collection
that is in line with fashion trends and offers a good quality to price ratio. Its
product range now encompasses classic shoes such as Ambassador for Men and
comfort shoes such as Comfit for ladies, as well as a more trendy collection for
ladies in the Marie Claire range and a sporty fashion collection for young adults in
the North Star range.

Bata's smart looking new stores supported by a range of better quality products are
aimed at offering a superior shopping experience to its customers. And the new
face of Bata India is now visible to the industry as well as its customers. Today,
backed by a brand perception of experience, the company is working towards
positioning itself as a vibrant and contemporary young brand. It has significantly
transformed its retail formats to become more lifestyle-oriented, which has helped
change consumer perceptions to a large extent.

59
Liberty:-
Liberty Shoes Ltd. is the only Indian company that is among the top 5
manufacturers of leather footwear in the world with a turnover exceeding U.S.
$100 million.
Company produces more than 50,000 pairs of footwear a day covering virtually
every age group and income category. Products are marketed across the globe
through 150 distributors, 350exclusive showrooms and over 6000 multi-brand
outlets, and sold in thousands every day in more than 25 countries including
fashion-driven, quality-obsessed nations like France, Italy, and Germany.

Liberty has developed a spectrum of 10 exclusive brands, each of which has been
given that extra edge to cater to a specific target group. Today, the new range from
Liberty is all about style, design, and comfort. The range imbibes the spirit of fun
and is trendy to the core.
Liberty has something for every occasion, for every income bracket & every age
group. It pampers its customer by keeping pace with global footwear fashion trends
and by going that extra mile which is why, special care has been taken to make
sure that the outlets' design meets the specific needs and taste of the target groups.

60
Apart from the existing brands, Liberty is busy fashioning the look of the future in
footwear. Introducing new designs that redefine styles and comfort associated with
the finest in workmanship. These are the brands of Liberty

Steeped in a philosophy that has at its core innovation, technology and

advancement, we at Liberty, pride ourselves over and above everything else on our
healthy and heart-felt respect for the human ethos, which projects itself in the
expectancy and excitement with which one greets the arrival of the new combined
with a sincere and deep regard for the old, which is appreciative of and adopts at
every stage the unique balance between modernization and tradition.

Liberty as a brand is constantly evolving to keep pace with the changing trends,
styles, beliefs, and aspirations of people while maintaining the sanctity of certain
traditions like workmanship and good value.
Liberty Shoes, a manufacturer of footwear, is broadening its market by establishing
specialized retail stores called ³Revolutions´. The introduction of an entirely new
product range to cater to a wider income group along with diversifying their focus
from men¶s shoes and children school shoes to catering to the entire family which
will help increase Liberty‟s addressable market. The company has introduced
shoes for fashion conscious consumers

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Khadim:-
The Registrar of Companies, West Bengal
Nizam Palace
IInd MSO Building
234/4, A J C Bose Road,
Kolkata – 700 020
West Bengal

 About Us-
We were incorporated as S.N. Footwear Industries Private Limited, by taking over
the business of S. N. Industries Limited, a partnership firm on December 03, 1981
under the provisions of the Companies Act, 1956 vide registration no. 21-034337.
The name of the Company was subsequently changed to Khadim Chain Stores
Private Limited pursuant to a fresh certificate of incorporation dated April 17,
1998.

We, Khadim India Limited (Khadim‟s), are the 3rd largest footwear retailer in
India (based on the number of stores) and our flagship brand “Khadim‟s” is
considered the most preferred footwear brand in Eastern India (as per IMRB
survey). We have more than 260 retail outlets (including owned and exclusive
dealers) across 22 Indian states. We offer a wide range of footwear for the entire
family, at various price points, catering to the different income groups. Our
expertise in footwear retailing dates back to 1993 when we started three high street
stores at Kolkata.

We are into footwear retail since 1993. Before that we were into wholesaling and
distribution of footwear. Currently we are engaged in manufacturing, wholesaling
and retailing of footwear. We are present across 22 Indian states with over 260 plus
retail outlets which makes us the 3rd largest footwear retailer in India. On an
average we have 4000 SKUs at any point of time.

62
Right from our foray in footwear retailing, Khadim's is synonymous with quality
products at affordable prices. We use a mix of outsourced product and
manufactured products that help us to provide the consumers the best, not only in
terms of style and quality, but also in terms of price.

The Rs 120-crore Khadim group of companies, one such player now emerging as a
market leader in the region, has already gone into manufacture, along with 100 per
cent outsourcing, and is now poised to expand in a big way, particularly in eastern
region and South, mainly Tamil Nadu, Andhra Pradesh and Karnataka.
Established in Kolkata in 1953 by a Bengali businessman, Mr Satya Prosad Roy
Burman, as a small trading outfit involved in footwear wholesale business,
Khadims has grown steadily and today commands brand premium in several
States.
Khadim have grown mainly through our outsourcing strengths and today have as
many as 27retail outlets in both urban and semi-urban centers and some 150
franchisee shops. The Khadim group of companies, with a significant presence in
the footwear segment, especially in the east and south regions, has redefined its
business plans to leverage the Khadim's brand and register a major presence in
lifestyle retailing in the semi-urban markets. The company plans to launch 10
superstores initially in district towns, under `Khadim's Khazana' brand entailing an
investment of Rs 50 crore in the next three years The first such store, housed in
30,000 sq ft and spread over four floors, has been launched at Kanchrapara town in
North 24 Paraganas district.

Mission: Ensuring customer delight and stakeholders return by delivering quality

product at affordable price through extensive retail network

Vision: To be in every Indian step.

63
64
Relaxo:-
Relaxo Footwears Ltd, incorporated in September 1984 is part of „Relaxo Group‟,
one of India‟s largest organized branded footwear manufacturing company as a
private limited company and has products such as rubber Hawaii slippers, canvas
shoes, leather shoes and PVC footwear. In March 1993, the company got listed on
the stock exchange and transformed into full fledged manufacturing unit with
capacity of 100 million pairs per annum. Some of its brands include Hawaii, Flite,
Sparx, Schoolmate, Elena, Casualz, Mary Jane and Boston. The company operates
in two business segments: footwear and power. Headquartered in Delhi, India, the
company maintains a balanced combination of comfort, style and workmanship
while embarking on appreciable growth plans for the future.

Operations
Relaxo has established its production facilities primarily in the North Indian
region with 6 actively functioning facilities. It has factories in Bahadurgarh
(Haryana) plant which manufactures Hawaii‟s and light weight footwear.

The company had implemented a hi-tech Hawaii manufacturing plant at Bhiwadi

(Rajasthan), which is the largest Hawaii manufacturing plant in India during the
FY2000. In addition, the company has factories in Delhi and Haridwar that
manufactures various types of shoes and sandals. With a cumulative area of over
120,000 sq. feet, these units have a huge set up enabling massive production. Each
manufacturing unit is equipped with world-class machinery and hi-tech product
testing laboratories.

65
Relaxo‟s export business has been also instrumental in driving up the sales with
exports to Europe, the US and Middle East. Its manufacturing capacity of over 100
million pairs per annum, is second only to Bata India Ltd. It also has the capacity
to manufacture 310,000 pairs of Hawaii slippers per day which is the highest in
India.

Economies of scale enable the company to keep its product prices low and target
the lower and middle class mass market in the branded segment.

The company has so far opened 100 retail outlets covering NCR, Punjab,
Uttaranchal and Gujarat displaying their entire range of products. The roll-out of
these retail outlets is directly influencing consumer demand and turnover of the
company.

Amongst the major players in organized footwear industry

Relaxo Footwears Ltd. (Relaxo) is amongst the leading players in the Indian
footwear industry and is engaged in the manufacturing and trading of footwear.
The company operates in two business segments: footwear and power. Its main
products include rubber Hawaii slippers, casuals, joggers, leather shoes and PVC
footwear. The company sells its products through network of distributors and
retailers in India, as well as exports its products to the United States and Europe.
Relaxo has established its production facilities primarily in the North Indian region
with 6 actively functioning facilities. The company has also set up wind turbine
generator unit with an aggregate capacity of 6 MW in FY10.

Outlook for Indian footwear industry looks positive

The Indian footwear industry is highly fragmented and large national level
companies face stiff competition from the unorganized sector (including small
scale units). However, with increasing purchasing power, rising middle-class and
higher disposable income there is a growing trend amongst the urban youth
population to opt for branded products which offer better design and quality. The
organized sector is bound to gain from this growing trend and is expected to
dominate the Indian footwear market in future.

66
Key concerns
 Fluctuation in raw material prices
 Higher exposure in North Indian region (Regional player)
 High competition in retail business format Valuations

Relaxo is currently trading at trailing P/E and EV/EBITDA multiples of 11.5 times
and 7.2 times respectively

The Company such is the story behind the creation and flourishing of Relaxo
Footwear, the company that has established itself as one of the most stalwart,
quality conscious and avant-garde footwear companies in the Indian economy
today.
Headquartered in New Delhi, India, it maintains a fine combination of comfort,
style, and workmanship and is embarking upon appreciable growth plans for the
future. The company began as a small enterprise in the year 1976 and was
officially incorporated in 1984 and further went into public listing in 1995.
According to the 2008 Business Survey, it has now emerged as the second largest
footwear producer in India.
Relaxo Footwear commenced its journey with the manufacture of Hawaii slippers.
It has now grown into a large-scale entrepreneurship catering to the basic needs of
the quintessential Indian citizen. From a modest sale figure of Rs. 1 million in
1977 to more than Rs. 5000 million last year; the company has experienced a
record-breaking growth since inception. Today, the company manufactures over 3
lakh pairs of footwear per day, which approximately adds up to over 10 million
pairs per year. Each pair is given thorough attention by the dedicated and skilled
employees working at the 10 state-of-the-art manufacturing units in Northern
India. Thus, it is no small wonder that the annual turnover has multiplied 2.4 times
in the last 3 years from Rs. 305 crore in 2007-08 to a whopping Rs. 550 crore
in2009-10.

67
What‟s more, with over 30 years of experience and 100 million satisfied
customers, Relaxo keenly looks forward to achieving an estimated annual turnover
of Rs. 1000 crore by the year 2012.

Vision & Mission:

Relaxo Footwear was conceptualized with a lot of hope and hard work by an
outstanding pilot team of brilliant Indians, headed by the enterprising Dua family.
Likewise, the company‟s vision and mission were as powerful as its personality.

Vision: Achieving an annual turnover of Rs 1000 crore by the end of 2012.

Mission: Ensuring customer satisfaction in keeping with the company‟s motto of

"Quality Par Excellence".

Core Values

The Core Values that Relaxo lives by are exclusive in their overpowering
simplicity and absolute effectiveness. They are:

 Corporate Citizenship
 Honesty
 Transparency
 Employee Satisfaction
 Customer Orientation
 Team Orientation

Hawaii:

Hawaii is the most popular brand in the Relaxo portfolio. It comes in diverse
shades and styles and its comfort value makes it a favorite among all age groups.
With an output of 3,00,000 pairs a day, Relaxo is the largest manufacturer of
Hawaii in India.

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Flite:

Flite is Relaxo‟s most exclusive brand. Its unique ³fashionable and light´ quality is
ensuredby its manufacturing process, involving cutting-edge EVA technology.
Available in an array ofcolours and designs, it is among the popular products in the
casual footwear industry

Sparx:

Sparx is a range of sports shoes, sandals and Hawaii slippers that embodies the
spirit of today's generation. Available in awe-inspiring colours and designs, it
reflects verve and dynamism as an iconic youth brand and is symbolic of a
wholehearted zest for life.

Schoolmate:

Schoolmate is a range of school shoes for boys and girls and is an expression of
Relaxo‟s faith and commitment towards the young leaders of tomorrow. Made
with special care to pamper thousands of tiny feet, each pair bears the mark of
superb workmanship and adaptable design.

69
 About Us-
The patriarch started this commendable
journey in 1966 with the inception of
Lakhani Rubber Works, a small venture to
manufacture rubber components. His
hardship and commitment made Lakhani
Rubber Works an acclaimed name in the
industry. Eight years later, he expanded his
vision further when the group diversified
into the manufacturing of Beach Slippers
and that signaled a new dawn in the history of Indian Shoe Industry. And three
years later, the Canvas Shoes followed.

His endeavor and systematic approach helped the group expanding its horizons to
sports shoes manufacturing in the year 1982.

This never ending saga of success continued with their tie-up with Adidas India for
the manufacturing of sports shoes.

the group is the largest manufacturer of beach slippers in India with a production
capacity of 40 million pairs per year. Also, it is the largest manufacturer & largest
exporter of canvas and vulcanized shoes in India, with a production capacity of 3.5
million pairs per year.

For over 80 years the adidas Group has been part of the world of sports on every
level, delivering state-of-the-art sports footwear, apparel and accessories. Today,
the adidas Group is a global leader in the sporting goods industry and offers a
broad portfolio of products.

Lakhani Armann group has been manufacturing sports shoes for adidas for the last
10 years and it is the only suppliers in India. The group is manufacturing more than
1 million pairs per year for the brand adidas including all the latest high tech shoes.

70
Beside this, the group also has the distinction of being the largest suppliers of
rubberized auto components to major automobile players in the Indian market.
Year of tracking key industries extensive experience and knowledge coupled with
primary research has enabled the group to deliver specified products to their
customer.

Some of the names, Lakhani Rubber Work is supplying to, are :Maruti Udyog
Limited, Honda Siel Cars India Pvt. Limited, GKN Invel Transmission Limited,
Sona Koyo Steering Systems Limited, Escort Limited (Tractor Division), Escort
Limited (Farmtrac Division), Escort JCB Limited, Escort Construction Equipment
Limited, LML Limited, New Holland Tractors Ltd, Subros Limited, Ford India
Limited, Krupps JBM Ltd, Fiat (India) Ltd, Motherson Sumi Systems Ltd and QH
Talbros etc.

And the clients in the domestic appliances are:IFB Ltd, Intron Ltd (Electrolux
Group) and Samsung Electronics (India) Ltd

Lakhani Armaan group is the largest manufacturer of beach slippers in India with a
production capacity of 40 million pairs per year. Also, it is the largest manufacturer
& largest exporter of canvas and vulcanized shoes in India, with a production
capacity of 3.5 million pairs per year.

The eminence of the company, in the International Footwear Industry, is apparent

from the fact that it has been manufacturing sports shoes for the global sports
apparel manufacturing giant, adidas.

For over 80 years the adidas Group has been part of the world of sports on every
level, delivering state-of-the-art sports footwear, apparel and accessories. Today,
the adidas Group is a global leader in the sporting goods industry and offers a
broad portfolio of products.

Lakhani Armann group has been manufacturing sports shoes for adidas for the last
10 years and it is the only suppliers in India. The group is manufacturing more than
1 million pairs per year for the brand adidas including all the latest high tech shoes.

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 Brands:

 Red Label  Sailor

 Touch Gold  Madam Liza
 XYLO Sports Shoes  Classic
 Tonino  Hawai
 Coolak  Pogo Kidz
 Lakstyle  GoodTime School Shoes

 Manufacturing

 Sports

The sports Shoes manufacturing facility is equipped with high end machinery for
producing top of the line sports shoes. Skilled manpower and superior technology
has enabled the company to produce shoes known for comfort and better
performance. Over the years, the company has immensely upgraded itself in terms
of quality and production capacity.

 Leather

Lakhani Armaan has world-class facilities at its leather shoe manufacturing unit.
It‟s a perfect blend of man & machines to achieve world-class quality standards. At
Lakhani Armaan, special care has been taken to ensure that the leather footwear
developed at its manufacturing facility combines the right balance of fashion and
comfort.

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 Canvas

At Lakhani Armaan canvas Shoes are manufactured in the state of the art facility.
The facility is well equipped to manufacture premium-quality Premoulded Canvas
Shoes, Rolled Sole Canvas Shoes and Unlined Vulcanized Shoes. The division is
producing more than 11000 pairs per day for the domestic and export market.

 EVA

Lakhani Armann has ultra modern facility for the manufacturing of EVA and
Beach Slippers. The group has made the best use of the EVA injection technology
by substantially increasing the product line and the production capacity. The
company is again geared up to install two color EVA injection machines in its
facility

Research & Development

Footwear is no longer just a functional necessity, but rather, something that is

flaunted as a fashion statement. A good shoe should have both, Comfort and Style
and it should adjust to your feet with every step. To survive this test of time, it is
always necessary to keep abreast with the changing market trends and to innovate
new and fresh. Therefore, Research and Development is a key area of operations at
Lakhani Armaan. Latest trends and technological innovations are researched
extensively in the process of creating new products and designs.

73
The Quality

The VISION inspired Lakhani Armaan Group ensures strict adherence to quality
standard at each and every stage of operation. The group has translated its
commitment to quality into clear objectives where strategies and plans are shared
by the entire organization.

Technology

Footwear Technology is evolving at an amazing speed. Better and updated

technology is the key to the quality and enhanced productivity. Lakhani Armaan
Group blends premium material and advanced technology to produce footwear of
international standards. The group has pioneered in latest footwear technologies
like PU, EVA etc

74
Adidas:-

In 1998, Adidas sued the NCAA over their rules limiting the size and number of
commercial logos on team uniforms and apparel. Adidas withdrew the suit, and the
two groups established guidelines as to what three-stripe designs would be
considered uses of theAdidas AG

Type Public

Founded 1949

Location Herzogenaurach, Germany

Key people Adolph Dassler, founder

Herbert Hainer, CEO
Robin Stalker, CFO
Andreas Gellner, Managing
Director, India

Industry Textile

Products Footwear
Accessories

Website www.adidas-group.com

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INTRODUCTION
Adidas is a Ger man sports apparel manufacturer, part of the Adidas- Salomon
Corporation. Adidas was named after its founder, Adolph (Adi) Dassler, who
started producing shoes in the 1 9 2 0 sin Herzogenaurach near Nuremberg with
the help of his fellow friend Cody. It registered as Adidas AG on 18 August 1949.
The company's clothing and shoe designs typically include three parallel stripes of
the same color, and the same motive is incorporated into Adidas' official logos.

COMPETITORS
Rudolf Dassler, Adie’s brother, founded a rival company, PUMA the chief
competitors of Adidas are Puma and Nike. In August2005, the company
announced that it had made a deal to acquire rival Reebok for $3.8 billion. The
acquisition would increase its market share in North America and allow it to
further compete with Nike. This will propel Adidas to the number two spot in the
foot apparel market behind Nike. Adidas' trademark saying is' impossible is
nothing'.

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 ENHANCEMENT
In the 1980s, Adidas sneakers became popular amongst teenagers and young men.
The Adidas sneaker was popularized by the Run DMC song "My Adidas" and
became a huge fashion trend.

The Tapie affair the history of the company as presented by its official web site is
in complete, perhaps because it is indirectly linked to financial scandals. After a
period of serious trouble following the death of Adolf Dassler's son Horst
Dassler in1987, the company was bought in1990 by Bernard Tapie, for 1.6 billion
French francs ($320 million), which Tapie borrowed. Tapie was at the time a
famous specialist of rescuing bankrupt companies, a business on which he built his
fortune.

Tapie decided to move production off shore to Asia. He also hired Madonna for
promotion.

In February1993, Credit Lyonnais sold Adidas to Robert Louis-Dreyfus, a friend of

Bernard Tapie (and cousin of Julia Louis-Dreyfus from the Seinfeld TV series), for
a much higher amount of money than what Tapie owed, 4.485 billion francs rather
than 2.85 billion. Forgetting why the bank actually bought Adidas, Tapie later sued
the bank, because he feltspoiled by the indirect sale.

Robert Louis-Dreyfus became the new CEO of the company. He is also the
president of the Olympique de Marseille football team, to which Tapie is closely
linked.

Tapie went bankrupt himself in 1994. He was the object of several lawsuits,
notably related to match fixing at the football club. He spent 6 months in La-
Santé prison in Paris in 1997 after being sentenced to 18.

In 2005, French courts awarded Tapie 135 million euro compensation (about 886
million francs).

Post-Tapie era

In1997, Adidas AG acquired the Salomon Group, and its corporate name was
changed to Adidas-Salomon AG

77
Adidas Ltd. is a major German sports apparel manufacturer and part of the Adidas
Group, which consists of Reebok Sportswear Company, Taylor Made- Adidas Golf
Company, and Rockport. Besides sports footwear, the company also produces
other products such as bags, shirts, and other sports and clothing related goods.
The following table shows the revenue of the company from the year 2005 to 2009.
And it is seen that the revenue of the company is increasing.

Financial Data in Millions of Euros

YEAR 2005 2006 2007 2008 2009

Sales 10.084 10.266 12.478 14.636 16.084
EBITDA 532 627 725 818 098
Net Results 483 499 520 560 600
Net Debt 1498 946 594 551 2231

Adidas today, is manufacturing different style of shoes used for different purposes
by manypeople. Whether it is running, playing or walking Adidas provides shoes for
every different activity.
One of the main focuses of Adidas is football kit and associated equipment. Adidas
also provides apparel and equipment for all teams in Major League Soccer. Adidas
remain a major company in the supply of team kits for international football teams.
Adidas also designs and makes clothes, sandals, watches, eyewear, bags, baseball
caps, and socks. As well, Adidas has a branded range of male and female
deodorants, perfumes, aftershave and lotions

78
Nike:-
Nike, Inc. is a major publicly traded sportswear and equipment supplier based in
the United States. The company is headquartered in the Portland metropolitan area
of Oregon, near Beaverton. It is the world's leading supplier of athletic shoes and
apparel and a major manufacturer of sports equipment with revenue in excess of
$16 billion USD in 2007. As of2008, it employed over 30,000 people worldwide.
Nike and Precision Cast parts are the only Fortune 500 companies headquartered in
the state of Oregon.

Nike, originally known as Blue Ribbon Sports, was founded by University of

Oregon track athlete Philip Knight and his coach Bill Bowerman in January 1962.
The company initially operated as a distributor for Japanese shoe maker Onitsuka
Tiger, making most sales at track meets out of Knight's car.

The company's profits grew quickly, and in 1966, BRS opened its first retail store,
located on Pico Boulevard in Santa Monica, California. By 1971, the relationship
between BRS and Onitsuka Tiger was nearing an end. BRS prepared to launch its
own line of footwear, which would bear the newly designed Swoosh.

Nike produces a wide range of sports equipment. Their first products were track
running shoes.They currently also make shoes, jerseys, shorts, baselayers etc. for a
wide range of sportsincluding track & field, baseball, ice hockey, tennis,
Association football, lacrosse, basketballand cricket. Nike Air Max is a line of

79
shoes first released by Nike, Inc. in 1987. The most recentadditions to their line are
the Nike 6.0, Nike NYX, and Nike SB shoes, designed forskateboarding. Nike has
recently introduced cricket shoes, called Air Zoom Yorker, designed to be 30%
lighter than their competitors'. In 2008, Nike introduced the Air Jordan XX3, a
high performance basketball shoe designed with the environment in mind.

Official logos:

Nike sells an assortment of products, including shoes and apparel for sports
activities likeassociation football, basketball, running, combat sports, tennis,
American football, athletics, golfand cross training for men, women, and children.
Nike also sells shoes for outdoor activities suchas tennis, golf, skateboarding,
association football, baseball, American football, cycling,volleyball, wrestling,
cheerleading, aquatic activities, auto racing and other athletic andrecreational uses.
Nike is well known and popular in youth culture, chav culture and hip hopculture
as they supply urban fashion clothing. Nike recently teamed up with Apple Inc.
toproduce the Nike+ product which monitors a runner's performancevi a a radio
device in the shoewhich links to the iPod nano. While the product generates useful
statistics, it has been criticizedby researchers who were able to identify users' RFID
devices from 60 feet (18 m) away usingsmall, concealable intelligence motes in a
wireless sensor network.
Nike has contracted with more than 700 shops around the world and has offices
located in 45countries outside the United States. Most of the factories are located
in Asia, includingIndonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan,
Philippines, and Malaysia

80
The Swoosh

The SWOOSH logo is a graphic design created by Caroline Davidson in 1971. It

represents the wing of the Greek Goddess NIKE. Caroline Davidson was a student
at Portland State University in advertising. She met Phil Knight while he was
teaching accounting classes and she started doing some freelance work for his
company. Phil Knight asked Caroline to design a logo that could be placed on the
side of a shoe. She handed him the SWOOSH, he handed her $35.00. In spring of
1972, the first shoe with the NIKE SWOOSH was introduced.....the rest is history!
(From Nike Consumer Affairs packet, 1996) The Nike athletic machine began as a
small distributing outfit located in the trunk of Phil Knight's car. From these rather
inauspicious beginnings, Knight's brainchild grew to become the shoe and athletic
company that would come to define many aspects of popular culture and myriad
varieties of 'cool.'

Nike emanated from two sources: Bill Bower man‟s quest for lighter, more durable
racing shoes for his Oregon runners, and Knight's search for a way to make a living
without having to give up his love of athletics. Bower man coached track at the
University of Oregon where Phil Knight ran in 1959. Bower man‟s desire for better
quality running shoes clearly influenced Knight in his search for a marketing
strategy. Between them, the seed of the most influential sporting company grew.
Synthesizing Bower man‟s attention to quality running shoes and the burgeoning
opinion that high-quality/low cost products could be produced in Japan and
shipped to the U.S. for distribution, Knight found his market niche. Shallenberger
thought the idea interesting, but certainly no business jackpot. Nothing more
became of Knight's project.

Cut to 1963. Phil Knight traveled to Japan on a world-tour, filled with the
wanderlust of young men seeking a way to delay the inevitable call of professional
life. Seemingly on a whim, Knight scheduled an interview with a Japanese running
shoe manufacturer, Tiger--a subsidiary of the Netsuke Company. Presenting
himself as the representative of an American distributor interested in selling Tiger
shoes to American runners, Knight told the businessmen of his interest in their
product. Elements of Americans' personalities through an advertising philosophy
that is, at once, simple and sublime. In addition, Nike's practices of top-level
athletes promoting their products appeal to countless ages and creeds as a way to
identify with and emulate their athletic heroes. These forces work powerfully upon
the individual consumer, but one should not lose sight of the cultural context in
which the individual moves.

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 BRANDS:
 Converse
 Nike Team Sports
 Cole Haan
 Nike Football
 Nike Basketball
 Nike All Conditions Gear (ACG)
 Nike Goddess
 Hurley International
 Jordan Brand
 Nike Hockey
 Nike Town
 Nike Golf
 Bauer
 Blue Ribbon Sports

WORLDWIDE:

 Nike Germany
 Nike Italy
 Nike France
 Nike Spain
 Nike (UK)
 Nike Japan
 Nike Canada
 Nike Korea
 Nike Hong Kong
 Nike Taiwan
 Nike London (UK)

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 Reebok
INTRODUCTION:

Reebok is the world's third-largest maker of sneakers, athletic shoes and sports
apparel. Goods are sold under the brands Reebok, Rockport and Greg Norman
Collection. Reebok is also the official outfitter of the NFL and has an exclusive
deal to supply NBA jerseys beginning this season.

Reebok announced in July it will merge with German sporting apparel

company adidas-Salomon in a deal valued at $3.8 billion. The merger is expected
to be completed by the first half of 2006 and will create the second-largest sporting
goods company behind Nike with $11 billion in revenues.

Adidas will maintain its corporate headquarters in Germany and its

North American headquarters in Portland, OR. Paul Fireman will
remain as Chief Executive Officer of Reebok International Ltd. and will continue
to lead the Reebok team. Reebok will continue to operate under its name and will
retain its headquarters in Canton, MA.

In fiscal 2004, Reebok had net income of $192.4 million and sales of $3.7billion

83
BRIEF HISTORY:

Reebok's origins go back to 1895 when Joseph William Foster made

running shoes with spikes in them. He formed a company called J.W.
Foster and Sons which made shoes for top runners. The family-owned business
made the shoes for athletes in the 1924 Summer Olympics.

In 1958, two of the founder's grandsons started a companion company that came
to be known as Reebok, named for an African gazelle.
In 1979, Paul Fireman, a partner in an outdoor sporting goods
distributorship, spotted Reebok shoes at an international trade show.
He negotiated for the North American distribution license and
introduced three running shoes in the U.S. that year.At $60, they were the most
expensive running shoes on the market.

By 1981, Reebok's sales exceeded $1.5 million, but a dramatic move was planned
for the next year.In 1982, Reebok introduced the first athletic shoe designed
especially for women; a shoe for a hot new fitness exercise called aerobic dance.
The shoe was called the Freestyle, and with it Reebok anticipated and encouraged
three major trends that transformed the athletic footwear industry: the aerobic
exercise movement, the influx of women into sports and exercise and the
acceptance of well-designed athletic footwear by adults for street and casual wear
Reebok went public in 1985.

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BENEFITS:
MEDICAL INSURANCE

Employees who work at least 20 hours per week are eligible to join our group
medical plans after one month of employment. We currently offer three health
plans (depending on your geographical location) so that you may choose the plan
that best suits your needs. All of our plans have prescription drug coverage.

DENTAL INSURANCE (For both New England and Non New England: Delta
Dental)

Employees who work at least 20 hours per week are eligible to join our group
dental plan after one month of employment. We currently offer two dental options
so that employees may choose the plan that best suit their needs.

GROUP LIFE INSURANCE & AD&D (Prudential)

Full-time employees. We currently offer $10,000, one times an employee's base

pay or two times an employee's base pay; supplemental life up to $300,000. The
maximum coverage for Life and AD&D are $500,000 each.

LONG-TERM DISABILITY (Prudential)

Full-time employees. Coverage begins on the 91st day of disability. We offer three
different levels of coverage - 50%, 60% and 70% of base earnings.

SHORT-TERM DISABILITY

Full-time employees. Coverage equals 100% of base earnings for up to 90 days.

TRAVEL ACCIDENTAL DEATH & DISMEMBERMENT (American International

Group)
Five times your annual salary to a maximum of $1,000,000.Coverage is free.

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REEBOK EMPLOYEE STOCK PURCHASE PLAN
All Employees with six months of service may elect to participate in the Reebok
Stock Purchase Plan. Employees may contribute between 2%and 10% of their
weekly earnings on an after-tax basis to buy stock at a special discount at the end
of an option period. Option periods begin on January 1 and July 1.

REEBOK SAVINGS AND PROFIT-SHARING RETIREMENT PLAN

All employees with one year of service (and over age 21) are eligible to participate
in the 401(k) plan. Under this plan, employees may
contribute between 1% and 80% of pre-tax earnings, choosing how
their contributions are invested. To encourage participation, Reebok
provides an employer matching contribution of 50 cents for each $1.00 saved by
the employee, up to 10%. This matching contribution is vested over a five year
period.

PAID VACATION
Twelve Vacation time is accrued on a monthly basis. Full-time
employees accrue .833 days per month with a maximum of 10 days in a calendar
year. In the calendar year in which employees celebrate their fifth anniversary,
vacation is increased to three weeks, in the calendar year of their tenth anniversary,
vacation is increased to four weeks per year and in the calendar year in which the
employee celebrates their twentieth anniversary, vacation is increased to five
weeks per year. Part- time employees working at least 20 hours per week
accumulate vacation time on a pro-rated basis.

PAID SICK LEAVE

Full-time non-exempt (generally those paid on an hourly basis) employees
accumulate? Day sick time per month for the year. Part-time non-exempt
employees working at least 20 hours per week accumulate sick time on a pro-
rated basis.

PAID HOLIDAYS
Twelve holidays are observed annually by Reebok International Ltd.
Holidays typically observed by the Company include, but are not
limited to: New Year's Day, Martin Luther King Day, Memorial Day,
Independence Day, Labor Day, Thanksgiving, and Christmas Day.
Floating holidays are also provided.

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EDUCATIONAL ASSISTANCE:
Full-time employees are immediately eligible for educational assistance.
Undergraduate, graduate and continuing education classes must be pre-approved
and must be both job related and required to enhance job performance. Reebok
International Ltd. reimburses up to 100% of tuition costs, providing a "C" or better
is earned. The maximum reimbursement for the calendar year is $10,000 for
graduate programs and $5,250 for undergraduate programs, which includes books
and materials.

DEPENDENT CARE AND MEDICAL CARE REIMBURSEMENT ACCOUNTS

Full-time employees may elect to defer pre-tax dollars to be used to reimburse
qualified dependent care and medical care expenses.

LIFE BALANCES RESOURCES

Free to employees. A nationwide service designed to assist employees with
information and resources to balance the demands of work and personal life
including finding quality, near-site day care.

EMPLOYEE ASSISTANCE PROGRAM

Free to employees and their families. Confidential counseling on personal issues.

EMPLOYEE DISCOUNTS
Employees and their families are able to purchase quality Reebok, Greg Norman
Collection, Rockport, and Ralph Lauren Footwear products at discount prices
through the Employee Purchase Program. They receive a 40% discount on apparel
and footwear products purchased at the company outlet stores50% discount at all
concept stores.

FITNESS AND WELLNESS CENTERS

For a low price, employees at the Canton and Lancaster sites may access exercise
classes, wellness activities and state-of-the-art equipment in our professional
staffed fitness centers.

BUSINESS CASUAL ENVIRONMENT

Save the stiff, uncomfortable stuff for social events. Suits and ties are not
required.

87
Puma:-
Puma AG Rudolf Dassler Sport (officially styled PUMA) is a major German
multinationalcompany that produces high-end athletic shoes, lifestyle footwear and
other sportswear. Formedin 1924 by Rudolf Dassler, the company is based in
Herzogenaurach, Germany.

Puma AG has approximately 9,204 employees and distributes its products in more
than 80 countries. For the fiscal year 2003, the company had revenue of ¼1.274
billion. Puma were the commercial sponsors for the many series, with the jerseys
and clothing sporting the Puma brand.

Japanese fashion guru Mihara Yasuhiro teamed up with Puma to create a high-end
and high-concept line of sneakers.Puma is the main producer of enthusiast driving
shoes and race suits. They are the prime producer in both Formula One and
NASCAR especially.

88
They had successfully won the rights of sponsoring the 2006 FIFA World Cup
champions, theItalian national football team, with them making and sponsoring the
clothing worn by the team.Their partnership with Ferrari and BMW to make Puma-
Ferrari and Puma-BMW shoes has alsocontributed to this effect. On March 15,
2007 Puma launched its first new 2007/2008 line ofuniforms for a club, and
Grêmio will be the first to use the laser sewn technology;similar to theone worn by
Italy at the World Cup in 2006. Grêmio and other Brazilian clubs will be the first
touse the technology because their season starts six months earlier than European
clubs. Puma alsomakes baseball cleats, and Johnny Damon, the all-star center
fielder for the New York Yankees,is their spokesperson. He wore pumas during the
Red Sox 2004 World Series win. He has hisown cleat called the DFR metals.

89
Production Technology:

The production of the industry starts with Agro Industries and progresses through
the chemical industry and tanning to manufacturing. Leather is a by-product of the
food industry. It is a commodity and as such is subject to market forces in a similar
way to tea, sugar, coffee, etc.

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 MANUFACTURING PROCESS FOR FOOTWEAR
The manufacturing of footwear consists of conceptualization and designing,
procuring raw material, finalization of product and design, manufacturing footwear
either internally or outsourcing, finishing and packaging and storing in warehouse.
The overall manufacturing process flows in the following manner:

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1) Product Development

The development is the process of designing new styles of shoes or adapting

existing or previous ones and then specifying the materials and components,
detailing the materials and processes to be followed in order that the styles of shoes
can be produced in bulk and then satisfies the needs of consumer when purchased.

2) Designing and Pattern Cutting

Shoe is manufactured in the sampling room under the supervision of the shoe
designer by the craftsmen/artisan. The designers also specify the materials required
for making the shoes.

Firstly they cut the fiber and made the mid-sole according to shape & size of the
given shaping tools i.e. of MEN OR WOMEN.

3) Skving or Sliting

This machine used for reducing the

thickness of the sole or split the
unnecessary material. E.g. sole is of
3.2mm then SKVING MACHINE
reduces its thickness to 2.5mm or any
measurement we want.

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4) Clicking/ Components Division

The components are clicked by hand or machine by the clicker then checked and
marked by hand or by stamping machine. The upper and lining components are
skived according to the manufacturing process. The reinforcement materials as per
requirement/design are also attached with upper components.

5) Making upper

In this stage various types of uppers are made with the fiber & it is pasted with
adhesive (type of glue used for only pasting the parts of the footwear).Here sewing
machine is used for sewing the borders of the upper. The uppers are mostly hand
made.

6) Joining of Mid-Sole & the leather

Now mid-soles are pasted (joined) with the

leathers again with help of adhesive.

7) Patterning/Pulling over:

When uppers are joined with the mid-sole then the process is called PATERNING
with the help of LAST. Most important of these is the creation of the last. The last
is a hand-carved wood or moulded plastic replica of the human foot. The last
determines the contour of the arch and how evenly the wearer‟s weight will be
distributed throughout the foot. A different last is required for each shoe style and
size to be produced.

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8) Joining of sole & Mid-sole

Here finally sole is attached with the mid-sole with the help of adhesive. (if heal is
required then it is also attached)

9) Grindigedge

Through Grinding machine footwear gets the final finishing & it is

also polished. The edge of the sole is ground down with a blade
revolving at high speed. As there is no ruler the sense of the
craftsman is paramount. The technique shines as volume is given
by drawing it out and delicacy is perfected by grinding.

10) Lasting, Making and Finishing

Lasting in the shoe making is to pull the upper over the last. The Toe puffs and
stiffeners are fitted between upper and lining, and then mulling operation is done to
soften the uppers. Then upper is lasted on insole which was fitted on Bottom side
of the last. If the synthetic materials are used then chemicals are used for ruffling
the lasted margin. The unit soles are attached with the help of adhesive then press
on stuck on press for permanent sticking.

11) Packing
The shoe lift is inserted in the shoes to maintain the shape of the finished shoes.
After this operation the finished shoes are kept in the boxes.

94
A scan of the internal and external environment is an important part of the
strategic planning process. Environmental factors internal to the firm usually
can be classified as Strengths (S) or weaknesses (W), and those external to
the firm can be classified as opportunities (O) or threats (T). such an analysis
of the strategic environment is referred to as a SWOT ANALYSIS.

The SWOT analysis provides information that is helpful in matching the

firm‟s resources and capabilities to the competitive environment in which it
operates. As such, it is instrumental in strategy formulation and selection.
The following diagram shows how a SWOT analysis fits into an
environmental scan:

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 Strengths

A firm’s strengths are its resources and capabilities that can be used as a basis for
developing a competitive advantage. Example of such strength includes:

1) Markets:
 Strong presence in the domestic market. Traders/Wholesalers are present in
the local market.
 Ancillary arrangement with medium/SSI units.
 Development trust and relationship in the long run.
 No import is requiring as all items are indigenous.

2) Technology:
 Availability of customized and local made machines.
 Machinery is available at low price.
 Tools & equipments locally manufactured and available at low price.

3) Inputs availability:
 Raw materials are available in sufficient quantity.

 Availability of other inputs like Adhsives, chemicals, last, Punch,

Grainderies and packing materials (Boxes) etc.

4) Innovation capability:
 Ability to develop duplicate and customized machines.
 Flexible operating practices.

96
5) Skills:
 Workers are very skilled and working like machines.
 Workers are specialized in specific field.
 Most of the job is learnt while doing in house hold units.
 Vast pool of skilled laborers.

6) Business Environment:

 Stable business environment till today and increasing day by day.

 Existence of more than sufficient productive capacity in tanning.
 Easy availability of low cost of labour.
 Exposure to export markets.
 Managements with business background become quality and environment
conscious.
 Presence of qualified leather technologists in the field.
 Comfortable availability of raw materials and other inputs.
 Massive institutional support for technical services, designing, manpower
development and marketing.
 Exporter-friendly government policies.
 Tax incentives on machinery by Government.

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 WEAKNESSES: -

The absences of certain strength may be viewed as a weakness. For example, each
of the following may be considered weaknesses:
1) Markets:
 Loosing ground in the domestic market due to mechanisation and set up
Mechanised
 units at different part of the country.
 Imports started coming in especially from China.
 Middlemen/traders enjoying most of the profits in the value chain.

2) Technology:
 Tradition method of production.
 Low level of technological development.
 Manufacturing defects and use of substandard materials.
 Problem with quality and productivity.

3) Inputs availability:
 Most of the raw materials are indigenous.
 Imported materials are also used.

4) Innovation capability:
 Very frequently changes in design, technology, process and marketing due
to foreign branded footwear availability in the market.

5) Skills:
 Skilled workers are specialized in particular types of operation.
 No skill up gradation training for the workers.

6) Business Environment:
 Business Environment is changing.
 Competition is going to increase.

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 OPPORTUNITIES

The external environmental analysis may reveal certain new opportunities for
profit and growth. Some example of such opportunity includes:

1) Markets:
 The domestic market has tremendous market potential and can be utilized at
the maximum.
 Globalizations can user tremendous market potential for the competitive
firms (entire globe is the market – global village).
 Tariff and non-tariff barriers are depleting.
 Quality and productivity is the rule of the game.
 Enterprises can join hands together for international marketing, brand
buildings and participation in trade fairs.

2) Technology:
 Advent of latest technology with the intervention of CLRI, FDII, CFTI and
foreign country.
 Creation of technological awareness among entrepreneurs.
 Tremendous enthusiasm on the part of the cluster actors.
 Possibility of establishing consider for providing technical knowhow.

3) Inputs availability:
 Competition is going to make availability of inputs cheaper and sufficient.

4) Innovation capability:
 Exposure visits, participating in exhibitions may make the entrepreneurs and
technicians more innovative and problem solving.
 Demonstration effect /awareness program.

99
5) Skills:
 Increased awareness is likely to improve the skill base of the workers.

6) Business Environment:
 Changing business environment and marketing channel can provide
opportunity for enterprising firms.
 Abundant scope to supply finished leather to multinationals setting up shop
in India.
 Growing fashion consciousness globally.
 Use of information technology and decision support software to help
eliminate the length of the production cycle for different products
 Product diversification - There is lot of scope for diversification into other
products, namely, leather garments, goods etc.
 Growing international and domestic markets.
 Exposure to newer markets through Fairs/ BSMs
 Retain customers through quality supplies and timely deliveries
 Aim to present the customer with new designs, infrastructure, country &
company profiles.
 Use of modern technology
 Exhibit strengths in manufacturing, for example, strengths in classic shoe
manufacturing, hand crafting etc.
 De-reservation of the footwear sector.

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THREATS: -

1) Markets:
 Competition is going to increase because of setting up modern units
elsewhere in the country.
 Overseas importers are smart enough to change their sourcing country.
 Survival of the fittest.

2) Technology:
 Low level of technological development.
 Technology can impose a major threat unless it is changed/ modernised.
 Technology is an ever changing process.

3) Inputs availability:
 Difficulty in encountering competition unless raw materials are made
cheaper.
 Quality of raw materials.
 Quality of footwear components.

4) Innovation capability:
 Innovation is required in every facets of business operations.

5) Skills:
 Skill base of the workers needs up gradation to adopt latest technology.

6) Business Environment:
 The changing business environment is always a problem for the less
enterprising firms.

101
 PEST ANALYSIS

POLITICAL FACTORS
The political arena has a huge influence upon the regulation of businesses, and
the spending power of consumers and other businesses.

The political factors are how and to what degree government interventions in the
economy. Specifically political factors includes areas such as tax policy, labor la,
environmental law, trade restriction, tariffs and political stability, political factors
may also include good and services which the government wants to provided or
be provided and those that govt. does not want to be provided further more.

(1) Stability of government:

Stability of government is one of the external factors affecting footwear industry. If
government will stable, so there is no change in rules & regulation. If government
is stable then for establishing of any footwear is having very essay.

(2) Government policy:

The government policies in the footwear sector are conducive to the easy setting up
and operation of footwear producing units. The footwear clusters in the country
enjoy numerous set-up and export incentives.

102
(3) Government support:

 The entire footwear sector is now de-licensed and de-reserved, paving way
for expansion on modern lines with state-of-the-art machinery and
equipments.

 100% Foreign Direct Investment and Joint Ventures permitted through the
automatic route.

 100% repatriation of profit and dividends, if investments made in

convertible foreign currency. Only a declaration to this effect to the Reserve
Bank is required.

 Promotion of Industrial Parks (one leather park in Andhra Pradesh; one

leather goods park in West Bengal; one footwear park in Tamil Nadu and
one footwear components park in Chennai)

 Duty free import of all types of raw materials

 Liberal import-export of consumer products and components

ECONOMICAL FACTORS
In the past few years the footwear industry has witnessed an improved growth in
the industry, this is attributed to india positive economic growth in recent year. The
growth of the industry is expected to grow by at a CAGR of over 20% for the
period spanning from 2008 to 2011. Footwear is expected to comprise about 60%
of the total leather exports by 2011 from over 38% in 2006-07.

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 Increased in Footwear Shopping
The country's largest shoe retailer India's increasing competition is forcing the
companies to refresh their collection at a faster rate than before.

 Increasing Fashion Trends

Industry insiders say the frequency of footwear shopping has increased
dramatically. While men buy a pair of shoes every quarter, women do it faster,
every two months. "With fast-changing fashion, customers prefer to update shoes
and accessories whenever they update their wardrobe with new apparel,"

 Changing lifestyles and increasing affluence

Domestic demand for footwear is projected to grow at a faster rate than has been
seen. There are already many new domestic brands of footwear and many foreign
brands such as Nike, Adidas, Puma, Reebok, Florsheim, Rockport, etc. have
also been able to enter the market.

 Rising labor cost

Which has risen by around 40% since January 2010-11, and currency appreciation?
Chinese products, which used to be cheaper by around 10% compared to the Indian
products, are no longer cheaper.

 Rising per capital incomes:

India has a large and growing middle income class constituting 350 million
persons. The penetration level for footwear (both leather and non-leather) is only
around 60%

 Increasing in rate of GDP

India's GDP (Gross Domestic Product) is as follows: Agriculture - 18.5 per cent,
Industry - 26.4 per cent, and Services - 55.1 per cent. The fact that the service
sector now accounts for more than half the GDP is a milestone in India's economic
history and takes it closer to the fundamentals of a developed economy.

104
 SOCIAL FACTORS
The social and cultural influences on business vary from country to country. It is
very important that such factors are considered. It includes the cultural aspects and
included health consciousness, population growth rate and emphasis on safety,
foreign product and service, role of men and women within society. Trends in
social factor affect the demand for a company‟s product and how that company
operates.

(1) Increasing education

As recent situation the literacy rate of country is increasing. We can say that the
high literate customers are knowledgeable and aware about the product which is
offered to him.

As they are educated they become more knowledgeable about the variety of
product.

(2) Demographical variable

 INCOME:

The income of consumer is also considered as social element which affect to the
footwear industry.

Income increase then purchasing power also increases, that affect to the footwear
industry.

 POPULATION:

India has large number of population, it has ranked 2nd in the world.

If population is high then it is benefited to industry because of that number of

customer increases.

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 Consumer buying Footwear Patterns
The country's largest shoe retailer India's increasing competition is forcing the
companies to refresh their collection at a faster rate than before. The consumer
buying footwear patterns such as floaters, formals, sports, slippers and sandals are
buying the patterns.

 Fashion & Changing lifestyles and increasing affluence

While men buy a pair of shoes every quarter, women do it faster, every two
months. "With fast-changing fashion, customers prefer to update shoes and
accessories whenever they update their wardrobe with new apparel,"

Domestic demand for footwear is projected to grow at a faster rate than has been
seen. There are already many new domestic brands of footwear and many foreign
brands such as Bata, Khadims, Relaxo, Lakhani, and Liberty etc. have also been
able to enter the market.

(3) Increasing participation of women in workforce:

Share of women in employment out of the total employment has been showing an
increasing trend over the years in line with the changing mindsets and increasing
education levels among women. This has resulted in women having more impact
on the purchase decision of household product as well as rising demand of
footwear. It has also led to increased disposable household incomes for working
couples and lifestyle changes. Women have less time to spend on household chores
which has led to increased demand of household durables and out of home
services.

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 Labor availability
 9.1 % of the population unemployed
 Women comprise more than 50% in footwear industry.
 Work force understands English
 Adequate social security measures are in-built

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(1) Employment to the people

India‟s leather industry employs 1.7 million people and helps the socially-
disadvantaged, known as Scheduled Castes in officials, earn a livelihood. And
even though India has a cattle population of 195 million – the world‟s largest –
cows provide only 10.8 percent of hides. The rest are derived from goat and sheep.
The fear is that the campaign against Indian leather will embrace these animals too.

(2) Women Employees

Women are employed in large numbers in Indian leather industry and are making
important contribution to the national economy as well as to exports. Women are
involved in footwear production in Athani (Karnataka), Rajasthan, Agra (UP) and
Chennai, Ambur, Ranipet and Vaniambadi (Tamil Nadu). Their entry into
productive work has helped considerably in improving their household situation.
With the `take off' of the footwear industry, especially in the last 20 years and the
rapid rise of exports, women's employment has increased.

(3) Child Labour

The Leather Industry is Labour intensive and is concentrated in the small and
cottage industry sectors. While leather shoes and uppers are concentrated in large
scale units, the sandals and chappals are produced in the household and cottage
sector. The processes in the footwear making include last making, pattern cutting,
clicking, sewing Assembling and finishing. There is no gender selectivity in child
labour. Adults earn wages that are only marginally higher than what the children
earn. Irrespective of the experience, skill and family size and requirements the
wage payment system remains insensitive and relatively inelastic. Children
contribute 20 to 40 per cent of the family income.

Children between 10 & 15 yrs. old are mainly employed in assembling shoes.
Some 80% of the children work for contractors at home. Children work on soling
(fixing upper portions of shoes to leather or rubber soles) with glue. Children in
cramped poorly lit rooms suffer from continuous skin contact with industrial
adhesives & breathing vapors from glues. The children working in the footwear
industry are exposed to physical factors like poor illumination, noise & poor
ventilation and chemicals like leather dust, benzene that is used as a solvent in
glues and p-tert.

108
 TECHNOLOGY FACTORS
Technology is vital for competitive advantage, and is a major driver of
globalization. The technological factor includes technological aspects such as
research and development, automation technology incentives and the rate of
technological change. They can determine the barriers to entry.

1. Technology Offers Good footwear and Good Health

In response to continued consumer interest in health and wellness and the multi-
tasking lifestyle, a slew of shoe manufacturers and brands are touting a wealth of
health claims. Ailments from back pain to varicose veins and benefits such as
improved posture, posterior toning, and burning calories, are all being met with
high-technology and design innovations such as rounded soles and heels, extensive
cushioning and contoured shapes to mimic walking barefoot.

2. Impact of Emerging Technologies.

The impact of technology is increasing and is rising high as per the consumption
patterns is concerned.

3. Competition
Selling prices of our products may be affected if competition intensifies. Further,
as a result of increased capacity of production, adoption of aggressive pricing
strategies by our competitors in order to gain market share or new competitors
entering the markets, may adversely affect our operations and financial results.

109
110
 Marketing MIX
Marketing mix is one of the major concepts in modern marketing. We define
marketing – mix as the set of controllable, tactical marketing tools of that the firm
blends to production the respects it wants in the target marketing. The marketing
mix consists of everything the firm can de influence. The demand for it s
production the marketing mix consist the company‟s tactical tool kit for
establishing strong position in target marketing‟s.

Marketing mix will naturally be changing marketing condition and also with
changing environment factory which a technical, social economical and political
affecting to each marketing which are based on marketing research information.

A successful marketing strategy must have a marketing mix as wall as a target

market for which the marketing mix is prepared. The elements or variable that
make up a marketing- mix are only four:

1) Decision on product or services

2) Decision on price

3) Decision on promotion

4) Decision on distribution

The Four ingredients are closely interrelated. Under the system approach the
decision in one area affects action in the other. Marketing – mix decision constitute
a large part of marketing mix.

111
Product Innovation
Though only a few Indian companies have their own design studios, innovation in developing the product is high.
Companies are also focusing on improving their time-to-market capabilities

112
 1. Product
“Product means the goods and services combination offered by the company to
target market.”

The product policy and strategy is the cornets of a marketing mix. Without a
product there is nothing to distribute. Nothing to promote, nothing to price. If the
product fails to satisfy consumer demand no additional of the marketing mix will
improve the product performance in the marketing place. A company, while
consider it‟s has to consider some factors related to product like variety, quality,
design. Features, brand name, packaging services, size, return etc.

 Variety

Variety means “the companies provide much verity in their product which will
attract to customers.” The company provides lots by people will satisfy needs and
demand.

We also try to cover information about Shoes manufactured in India wear brand names:

 Relaxo
 Lakhani
 Salamander
 Paragon

The Big Giants of the Foreign Market also covering Footwear market of India. Some of
Big Names of Indian Footwear Industry are:

 Bata Footwear's
 ID Footwear
 Liberty Shoes Limited
 Reebok Footwear‟s
 Puma Footwear

Our infrastructure is backed by a strong network of professionals. We have covering

Information on in-house production unit, Company Production Centers. This contains
state-of- the-art technology, excellent informative personal from market.

113
  Designing and Pattern

According to the samples of shoes, design or requirement of the customer the

model last is selected by the shoe designers then patterns are developed and sample
shoe is manufactured in the sampling room under the supervision of the shoe
designer by the craftsmen/artisan.

 Clicking/ Components Division

The components are clicked by hand or machine by the clicker then checked and
marked by hand or by stamping machine. The upper and lining components are
skived according to the manufacturing process. The reinforcement materials as per
requirement/design are also attached with upper components.

 Packing

The shoe lift is inserted in the shoes to maintain the shape of the finished shoes.
After this operation the finished shoes are kept in the boxes.

 Example
NIKE PRODUCT SERVICE

Nike offers a wide range of shoe, apparel and equipment products, all of which are
currently its top-selling product categories. Nike started selling sports apparel,
athletic bags and accessory items in 1979. Their brand Cole Haan carries a line of
dress and casual footwear and accessories for men, women and children.

They also market head gear under the brand name Sports Specialties, through Nike
Team Sports, Inc. They sell small amounts of plastic products to other
manufacturers through Nike IHM, Inc. Bauer Nike Hockey Inc. manufactures and
distributes ice skates, skate blades, in-roller skates, protective gear, hockey sticks
and hockey jerseys and accessories.

114
 Pricing Strategy
In the narrowest sense.” Price is the amount of money chagrined for a product
or the benefits of having or using the production or services. Historically price
has been the major factored affection buyer choice. ”

 PRICING POLICY

Price denotes the value of a product or service express in the terms of money. It is
a powerful instrument to both, e.g. the buyer and seller, in the market place. In
money, economy without price there cannot be marketing. It is the only element in
the marketing mix that creates sales revenue. Therefore, pricing is a dangerous and
explosive marketer‟s force. It must be used with great care. Prices of the products
are being set in the company by considering the following parameters:

1. Raw material input: The cost of raw material consumed per unit is
approximately calculated.

2. Commission cost: The total cost measured for the commission of raw material
into finished product is calculated and then profits are calculated including the
rejection.

3. Competitor‟s policy: The main factors to be considered while setting the prices
of the product of the companies‟ competitors‟ policy in setting up their products
prices and also other quality of competitor‟s product is compared with the quality
of the company‟s products.

Pricing strategy of Nike

Nike‟s pricing is designed to be competitive to the other fashion shoe retailers. The
pricing is based on the basis of premium segment as target customers. Nike as a
brand commands high premiums. Nike‟s pricing strategy makes use of vertical
integration in pricing wherein they own participants at differing channel levels or
take part in more than one channel level operations. This can control costs and
influence product pricing.

115
 Place strategy
Places states the wide range of distribute coverage and number of channels used
for reading productions is customer.

Place is another buy marketing mix tool. It can be defined us “it include company
activity that make the product available to target customer.” It is also know as
physical distribution delivering the product to the and place is an equally import
ant function in marketing

This refers to how an organization will distribute the product or service they are
offering to the end user. The organization must distribute the product to the user at
the right place at the right time. Efficient and effective distribution is important if
the organization is to meet its overall marketing objectives. If an organization
underestimate demand and customers cannot purchase products because of it,
profitability will be affected.

Distribution strategy of Nike

Nike shoes are carried by multi-brand stores and the exclusive Nike stores across
the globe. Nike sells its product to about 20,000 retail accounts in the U.S. and in
almost 200 countries around the world. In the international markets, Nike sells its
products through independent distributors, licensees and subsidiaries. Independent
distributors need not adapt to local pressures because the 4Ps of marketing are
managed by distributors.

116
 Promotion
Promotion means” activities that communication the Maries of the product and
persuade target customers to bye it.”

In other word promotion means” the specific mix of advertising personal setting
sales promotion public relations sales promotion public relations and direct
marketing tools a company used to pursue its advantage sing and marketing
objectives.”

SALES PROMOTION

To attract the consumers, sales promotion activities are considered essential;

promotion by definition is persuasive communication. The message is arranged to
facilitate the consumer decision-making. Sales promotion is the process of
marketing communicatti9on involving information persuasive communication. The
message is arranged to facilitate the customer decision-making. Promotion
message is one of the sources of information at disposal of buyers. Firm may have
the best product package, it may have a fair price, but the people will not buy the
product if they have never heard of it. Sales do not take place automatically
without marketing communication. Sales promotion is the process of marketing
communication involving information persuasion and influence. important sales
promotional activities are:

117
 Advertising:
Advertising of the products of the footwear industry is done through newspaper,
television and trough their website.

The world advertising is derived from the Latin word, via, “averter”. “Ad” meaning
“towards” or I “turn”. Literally it means to turn people’s attention to a specific
thing.

It is defined as “any form of non-personal preservation and promotion of ideas,

goods or services by identifies sponsor.”

Advertising can be done through two mediums:

Print media

Electronic media

Footwear industry advertising in this following print media:

Business India

Times of India

Gujarat samachar

Sandesh

Advertising In electronic media in. TV

D.D. news, Zee TV, Sony, Star plus, Ten sports etc.

118
 Promotion of Nike shoes
Promotion is largely dependent on finding accessible store locations. It also avails
of targeted advertising in the newspaper and creating strategic alliances. Nike has a
number of famous athletes that serve as brand ambassadors such as the Brazilian
Soccer Team (especially Ronaldino, Renaldo, and Roberto Carlos), Lebron James
and Jermane O‟Neal for basketball, Lance Armstrong for cycling, and Tiger
Woods for Golf.

Nike also sponsors events such as Hoop It Up and The Golden West Invitational.
Nike‟s brand images, the Nike name and the trademark swoosh, make it one of the
most recognizable brands in the world. Nike‟s brand power is one reason for its
high revenues. Nike‟s quality products, loyal customer base and its great marketing
techniques all contribute to make the shoe empire a huge success.

119
 QUESTIONNAIRE
Questionnaire for Analysis of Consumers’ Behavior and
Preference on Footwear Industry.
We are the students of BWT Institute of Business Administration. We are
conducting research on consumers‟ preference on footwear. So please give your
valuable time to us. The information provided by you will be kept confidential and
will be used for the study purpose only. Tick the valuable response applicable to
you and if needed, specify your answer in given space.

-: PERSONAL DETAILS:-
1. NAME :-

2. CONTACT NO. :-

3. GENDER :- Male Female

4. AGE :-
Less than 18 year 19 to 25

26 to 35 36 to 45

46 to 55 Above 55

5. OCCUPATION :-
Student Self Employed

House wife Service

V Other (Please specify)

6. What is your monthly household income? :-

Less than 20,000 20,001 to 30,000
30,001 to 40,000 40,001 to 50,000
Above 50,001

120
Q.1 What type of the footwear do you use from following?
Floaters Sport Shoes

Formal Shoes Multi-Purpose Shoes

Slippers Sandals

Other (specify)……………….

Q.2 What kind of footwear do you buy?

Branded Unbranded

Both

 If Branded & Both, Which brand do you use in following footwear?

Floater

Formal Shoes

Sport Shoes

Multi-Purpose Shoes

Slippers

Sandals

Others (Specify)

Q.3 Who influence your buying decisions for footwear?

No one Parents

Friends Siblings

Other (Specify)

Q.4 Where do you buy footwear from?

Market Company Outlet Shop

Near Home Online Purchase

Other (Specify)

121
Q.5 How often do you buy such footwear?
Yearly On Occasion

As per need Not decided

Other (Specify)

Q.6 What kind of attributes do you look for in footwear? (Please Rank)

Attributes Comfort Style Durability Economy Brand

Types Name
Of footwear

Floaters
Formal Shoes
Sport Shoes
Multi-Purpose
Slippers
Sandals
Others:-

Q.7 How much amount do you spend behind one pair of following footwear?

(Please Tick)

Amount Less 300 600 1000 Above

Types than to to to 1500
Of footwear 300 600 1000 1500

Floaters
Formal Shoes
Sport Shoes
Multi-Purpose
Slippers
Sandals
Others:-

122
Q.8 What factors influence you to buy any footwear products?
Advertisement Internet

Past Experience Other (Specify)

Would of month communication

Q.9 Are you satisfied with your current brand?

Yes No

 If no, why?

Q.10 Do you wish to shift from your existing brand?

Yes No

 If yes, to which brand will you shift?

123
AN ANALYSIS OF CONSUMER PREFERANCE AND
CONSUMER BEHAVIOR

Que.1 What type’s responder is use in research?

GENDER RESPONDENT IN % (percentage)

MALE 132 66
FEMALE 68 34

RESPONDENT

Interpretation:-

According to research, we are using 66% male&34% female out of 200 people.
By this we can say that in this research most of person is male.

124
Que.2 What Age group of people using in research?

AGE GROUP Age group In%(percentage)

LESS THAN 18 19 9.5%
19-25 136 68%
26-35 34 17%
36-45 10 5%
46-55 1 0.5%
ABOVE 55 0 0

0%
AGE GROUP
5%
0%
10%
LESS THAN 18
17%
19-25
26-35
36-45
46-55
68% ABOVE 55

INTERPRETATION:

In our research the 9 % people’s age is less than 18. Respectively 68%.17
%.5%.1%, 0% people age is19-25, 26-35,36-45,46-55 and more than 55. By
this statement we can say that. We are mostly person selected age group 19 to
25 and lowest peoples are selected in more than 55 age group people.

125
Que:3 WHAT IS YOUR OCCUPPATION

category Occupation In %(percentage)

Student 107 53.5%
Self Employed 33 16.5%
House wife 11 5.5%
Service 45 22.5%
Other 4 2%

OCCUPATION

2%

23% student
self employed
house wife
6% 53%
service
16% other

Interpretation

According to our research we are using 53% peoples those occupation is student.
And respectively 16%, 6%, 23%, and 2% people occupation is self employed,
house wife, service and other. So by the research we can say that we using most
of student and least of other in our research project.

126
Qus.4 What is your monthly house hold income of respondent?

Monthly household Person In %

income
Less than 20000 73 36.5%
20001 to 30000 52 26%
30001 to 40000 32 16%
40001 to 50000 19 9.5%
Above 50001 24 12%

Monthly household Income

12%

Less than 20000

9%
37%
20001 to 30000
30001 to 40000
16% 40001 to 50000
Above 50001
26%

Interpretation:-

According to the our research those person we are selected these monthly
household income 36% people is less than 20000. And 26%, 16%, 10%, 12%
people income is respectively20001 to 30000, 30001 to40000, 40001 to50000 and
above 50001. So by these statement we can say that in our research maximum
36% peoples income is less than 20000 and 40001 to 50000 income is very lowest
only 10% people in our responder.

127
Qus.5 What type of the footwear do you use from following?
Types of footwear Responder (In %)
Sport Shoes 1 0.5%
Multi-purpose 1 0.5%
Slippers 4 2
Sandals 8 4
Floaters – Formals 1 0.5
Floaters – Slippers 1 0.5
Floaters – Sandals 7 3.5
Sports – Slippers 13 6.5
Sports – Sandals 11 5.5
Formals – Slippers 4 2
Formals – Sandals 10 5
Multi-purpose – Slippers 3 1.5
Multi-purpose – Sandals 2 1
Slippers – Sandals 18 9
Floaters - Sports – Slippers 2 1
Floaters - Sports – Sandals 1 0.5
Floaters - Formals – Slippers 1 0.5
Floaters - Formals – Sandals 6 3
Floaters - Slippers – Sandals 8 4
Sports - Formals – Slippers 8 4
Sports - Formals – Sandals 11 5.5
Sports - Multi-purpose – Slippers 1 0.5
Sports - Slippers – Sandals 36 18
Sports - Sandals – others 1 0.5
Formals - Multi-purpose - Slippers 4 2
Formals - Slippers- Sandals 19 9.5
Multi-purpose- Slippers –Sandals 4 2
Floaters -Sports - Formals – Sandals 2 1
Floaters -Sports - Slippers – Sandals 1 0.5
Floaters -Formals - Slippers – Sandals 2 1
Sports- Formals - Multi-purpose- Sandals 1 0.5
Sports - Multi-purpose - Slippers – Sandals 1 0.5
Floaters - Formals - Multi-purpose - Slippers - others 1 0.5
Sports - Formals - Slippers – Sandals 6 3

128
 2000.00%
18
1800.00%
1600.00%
1400.00%
1200.00%
9 9.5
1000.00%
800.00% 6.5
5.5 5 5.5
600.00%
4 3.5 4 4
400.00% 3 3
2 2 1.5 1 2 2
200.00% 0.50% 1 0.50.5 1 0.5 1 0.50.50.5
0.50% 0.50.5 0.5 0.5
0.00%

RESPONDENT

Interpretation:

According to our research of 200 people, we can say from above chart that majority
people (18%) are using combination of sports shoes, slipper and sandals. only sports
shoes and only multi- purpose are using by 0.5% respondent. And only sandals are
using by 4% respondents. 2% respondent are using only slipper. And no one
respondent are using combination of all footwear.

129
Qus. 6 What kind of footwear do you buy?

Kinds of footwear Responder In (%)

Branded 31 15.5%
Unbranded 79 39.5%
Both 90 45%

RESPONDER

15%

Branded
45%

Unbranded

40%
Both

Interpretation:-

According to our research of 200 people, we can say from above chart that 45% people
are use in both branded and unbranded footwear, and 40% people are unbranded
footwear are use and rest of 15% people are branded footwear are use in above chart.

130
Qus.7 If branded & both, which brand do you use in following footwear?

Sales In (%)
Sandal 3 2.48%
Floaters - Formals 1 0.83%
Floaters - Slippers 1 0.83%
Floaters - Sandals 4 3.30%
Formals - Sports 1 0.83%
Formals - Slippers 3 2.48%
Formals - Sandals 9 7.44%
Sports - Slippers 11 9.09%
Sports – Sandals 8 6.61%
Multi-purpose- Slippers 3 2.48%
Slippers - Sandals 9 7.44%
Floaters - Formals - Slippers 1 0.83%
Floaters - formals - Sandals 6 4.96%
Floaters - Sports - Slippers 1 0.83%
floaters - slippers - sandals 6 4.96%
formals - sports - slippers 6 4.96%
formals - sports - sandals 4 3.30%
formals - slippers - sandals 12 9.92%
Sports - sliippers - sandals 20 16.53%
sports - sandals - others 1 0.83%
Multi-purpose- Slippers - sandals 3 2.48%
sports - multi-purpose - slippers - Sandals 1 0.83%
floaters- formals - slippers - sandals 1 0.83%
formals - sports - slippers - sandals 6 4.96%

131
 12

10
10

6
6 5.5
4.5 4.5
4
4
3 3 3 3
2 2
2 1.5 1.5 1.5 1.5
0.5 0.5 0.5 0.5 0.5 0.5 0.5 0.5
0

BRANDED & BOTH

Interpretation:-

According to our research of 200 people, we can say from above chart 121 people
are using branded & both. From that 17% people are using combination of branded
sports- slippers – sandals. 10% are using combination of branded formals - slippers
– sandals.

132
Qus.8 who generally buys footwear for you?

Responder In (%)
No one 92 46%
Parents 19 9.5%
Friends 81 40.5%
Siblings 6 3%
Other 2 1%

RESPONDER
1%
3%
No one
Parents
46%
40%
Friends
Siblings

10%
Other

Interpretation:-

According to our research of 200 people, we can say from above chart that 46%
people are buy footwear in no one and 41% people are buy footwear with friends
and rest of 9%, 3%,and 1% are parents, sibling with buy the footwear.

133
Qus.9 where do you buy footwear from?

Responder In (%)
Market 110 55%
Company Outlet Shop 39 19.5%
Near home 49 24.5%
Online Purchase 2 1%
Other 0 0

RESPONDER
1% 0%

Market
25%
Company outlet shop

Near home
55%

20% Online Purchase

Other

Intrpretation:-

According to our research of 200 people, we can say from above chart that 55%
people are buy the footwear in market and 25%,20%,1% people are buy the
footwear in near home, company outlet and online purchase .

134
Qus.10 How often do you buy such footwear?

Responder In (%)
Yearly 6 3%
On Occasion 18 9%
As per need 116 58%
Not decided 60 30%
Other 0 0%

RESPONDER
0% 3%

9%

30%
Yearly
On Occasion
As per need
Not decided
58%
Other

Interpretation:-

According to our research of 200 people, we can say from above chart 58% people
are buy footwear in as per need. And 30%,9%,3% people are buy footwear in not
decided and on occasion, yerly buy the footwear.

135
Qus.11 Give Floater (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 10 29.41%
2nd 13 38.24%
3rd 6 17.65%
4th 2 5.88%
5th 3 8.82%

Rank given to floaters (Comfort)

9%
6%
1st
29%
2nd
18%
3rd
4th
38% 5th

Interpretation:-

According to our research of 200 people, we can say that above chart that 29%
people are give 1st rank , 38% people give 2nd rank, 18% people are give 3rd rank
and6% people are give 4th rank,9% people are give 5th rank to floter(comfort) in
above chart.

136
Qus.12 Give Floater rank according to your preference.

Rank Style In (%)

1st 13 38.24%
2nd 5 14.71%
3rd 8 23.52%
4th 5 14.71%
5th 3 8.82%

Rank given to floaters (Style)

9%

15% 1st
38%
2nd
3rd
4th
5th
23%

15%

Interpritation:-

According to our research of 200 people, we can say from above chart that 38%
people give 1st rank,15%people give2nd rank,235 people are give3rd rank,15%
people are give 4th rank and 9% people are give 5th rank in floater(style)

137
Qus.13 Give Floater rank according to your preference.

Rank Durability In (%)

1st 1 2.94%
2nd 5 14.71%
3rd 4 11.76%
4th 13 38.24%
5th 11 32.35%

Rank given to floaters (Durability)

3%
15%
32% 1st
2nd
12%
3rd
4th
5th

38%

Interpretation:-

According to our research of 200 people, we can say from above chart 3% people
are give1st rank ,15% people are give 2nd rank , 12% people are give 3rd
rank,and38% people are give 4th rank and rest of 32% people are given in 5th rank
in floater(durability).

138
Qus.14 Give Floater rank according to your preference.

Rank Economy In (%)

1st 6 17.65%
2nd 8 23.53%
3rd 9 26.47%
4th 7 20.59%
5th 4 11.76%

Rank given to floaters (Economy)

12%
18%

1st
2nd
21%
3rd
23% 4th
5th

26%

Interpretation:-

According to our research of 200people , we can say fromabove chart 18% people
are given 1st rank. 23% people are given 2nd rank, 26% people are given 3rd rank,
and 21% people are given 4th rank, and 12% people are given 5th rank in floater
(Economy).

139
Qus.15 Give Floater (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 4 11.76%
2nd 2 5.88%
3rd 8 23.53%
4th 7 20.59%
5th 13 38.24%

Rank given to Floater(brand name)

12%

6%
1st
38%
2nd
3rd
23% 4th
5th

21%

Interpretation:-

According to our research of 200 people, we can say from above chart 12% people
are given 1st rank. 6% people are given 2nd rank, 23% people are given 3rd rank, and
21% people are given 4th rank, and 38% people are given 5th rank in floater (Brand
name).

140
Qus.16 Give Formal Shoes (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 28 36.84%
2nd 24 31.58%
3rd 15 19.74%
4th 5 6.58%
5th 4 5.26%

Rank given to Form(comfort)al Shoes

5%
6%

1st
37%
20% 2nd
3rd
4th
5th

32%

Interpretation:-

According to our research of 200 people, we can say from above chart 37% people
are given 1st rank. 31% people are given 2nd rank, 20% people are given 3rd rank,
and 7% people are given 4th rank, and 5% people are given 5th rank in formal shoes
(Comfort).

141
Qus.17 Give Formal shoes (Style) rank according to your preference.

Rank Style In (%)

1st 20 26.31%
2nd 15 19.74%
3rd 10 13.16%
4th 17 22.37%
5th 14 18.42%

Rank given to Formal shose(style)

19%
26%
1st
2nd
3rd

22% 4th
5th
20%

13%

Interpretation:-

According to our research of 200 people, we can say from above chart 26% people
are given 1st rank. 20% people are given 2nd rank, 13% people are given 3rd rank,
and 22% people are given 4th rank, and 19% people are given 5th rank in formal
shoes (Style).

142
Qus.18 Give Formal shoes (Durability) rank according to your preference.

Rank Durability In (%)

1st 10 13.16%
2nd 12 15.79%
3rd 18 23.68%
4th 21 27.63%
5th 15 19.74%

Rank given to formal shoes(durability)

13%
20%

1st

16% 2nd
3rd
4th
27% 5th

24%

Interpretation:-

According to our research of 200 people, we can say from above chart 13% people
are given 1st rank. 16% people are given 2nd rank, 24% people are given 3rd rank,
and 27% people are given 4th rank, and 20% people are given 5th rank in formal
shoes (Durability).

143
Qus.19 Give Formal shoes (Economy) rank according to your preference.

Rank Economy In (%)

1st 7 9.21%
2nd 15 19.74%
3rd 22 28.95%
4th 14 18.42%
5th 18 23.68%

Rank given to Formal shoes (Economy)

9%
24%
1st
20%
2nd
3rd
4th
18% 5th

29%

Interpretation:-

According to our research of 200 people, we can say from above chart 9% people
are given 1st rank. 20% people are given 2nd rank, 29% people are given 3rd rank,
and 18% people are given 4th rank, and 24% people are given 5th rank in formal
shoes (Economy).

144
Qus.20 Give Formal shoes (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 11 14.47%
2nd 10 13.16%
3rd 12 15.79%
4th 19 25%
5th 24 31.58%

Rank given to Formal shoes (Brand name)

14%

32% 1st

13% 2nd
3rd
4th
5th
16%

25%

Interpretation:-

According to our research of 200 people, we can say from above chart 14% people
are given 1st rank. 13% people are given 2nd rank, 16% people are given 3rd rank,
and 25% people are given 4th rank, and 32% people are given 5th rank in formal
shoes (Brand name).

145
Qus.21 Give Sport shoes (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 17 18.68%
2nd 33 36.27%
3rd 27 29.67%
4th 7 7.69%
5th 7 7.69%

Rank given to Sport shoes (Comfort)

8%
19%
8%
1st
2nd
3rd
4th
29%
5th
36%

Interpretation:-

According to our research of 200 people, we can say from above chart 19% people
are given 1st rank. 36% people are given 2nd rank, 29% people are given 3rd rank,
and 8% people are given 4th rank, and 8% people are given 5th rank in Sport shoes
(Comfort).

146
Qus.22 Give Sport shoes (Style) rank according to your preference.

Rank Style In (%)

1st 41 45.05%
2nd 20 21.98%
3rd 17 18.68%
4th 9 9.89%
5th 4 4.40%

Rank given to Sport shoes (Style)

4%
10%

1st

45% 2nd
19%
3rd
4th
5th

22%

Interpretation:-

According to our research of 200 people, we can say from above chart 45% people
are given 1st rank. 22% people are given 2nd rank, 19% people are given 3rd rank,
and 10% people are given 4th rank, and 4% people are given 5th rank in Sport shoes
(Style).

147
Qus.23 Give Sport shoes (Durability) rank according to your preference.

Rank Durability In (%)

1st 6 6.59%
2nd 15 16.49%
3rd 14 15.38%
4th 34 37.36%
5th 22 24.18%

Rank given to Sport shoes (Durability)

7%

24%
17% 1st
2nd
3rd
4th
15%
5th

37%

Interpretation:-

According to our research of 200 people, we can say from above chart 7% people
are given 1st rank. 17% people are given 2nd rank, 15% people are given 3rd rank,
and 37% people are given 4th rank, and 24% people are given 5th rank in Sport
shoes (Durability).

148
Qus.24 Give Sport shoes (Economy) rank according to your preference.

Rank Economy In (%)

1st 12 13.19%
2nd 11 12.08%
3rd 21 23.07%
4th 20 21.99%
5th 27 29.67%

Rank given to sport shoes (Economy)

13%

30% 1st
12% 2nd
3rd
4th
5th
23%
22%

Interpretation:-

According to our research of 200 people, we can say from above chart 13% people
are given 1st rank. 12% people are given 2nd rank, 23% people are given 3rd rank,
and 22% people are given 4th rank, and 30% people are given 5th rank in Sport
shoes (Economy).

149
Qus.25 Give Sport shoes (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 15 16.49%
2nd 12 13.19%
3rd 12 13.19%
4th 21 23.07%
5th 31 34.06%

Rank given to Sport shoes (Brand name)

17%

34% 1st
2nd
13%
3rd
4th
5th
13%

23%

Interpretation:-

According to our research of 200 people, we can say from above chart 17% people
are given 1st rank. 13% people are given 2nd rank, 13% people are given 3rd rank,
and 23% people are given 4th rank, and 34% people are given 5th rank in Sport
shoes (Brand name).

150
Qus.26 Give Multi-purpose (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 8 44.44%
2nd 3 16.67%
3rd 3 16.67%
4th 2 11.11%
5th 2 11.11%

Rank given to Multi-purpose shoes(comfort)

11%

11% 1st

44% 2nd
3rd
4th
17%
5th

17%

Interpretation:-

According to our research of 200 people, we can say from above chart 44% people
are given 1st rank. 17% people are given 2nd rank, 17% people are given 3rd rank,
and 11% people are given 4th rank, and 11% people are given 5th rank in Multi-
purpose shoes (Comfort).

151
Qus.27 Give Multi-purpose (Style) rank according to your preference.

Rank Style In (%)

1st 3 16.67%
2nd 3 16.67%
3rd 9 50%
4th 2 11.11%
5th 1 5.55%

Rank given to Multi-purpose shoes (Style)

5%
17%
11%
1st
2nd
17% 3rd
4th
5th

50%

Interpretation:-

According to our research of 200 people, we can say from above chart 17% people
are given 1st rank. 17% people are given 2nd rank, 50% people are given 3rd rank,
and 11% people are given 4th rank, and 5% people are given 5th rank in Multi-
purpose shoes (Style).

152
Qus.28 Give Multi-purpose (Durability) rank according to your preference.

Rank Durability In (%)

1st 1 5.56%
2nd 3 16.67%
3rd 2 11.11%
4th 7 38.89%
5th 5 27.77%

Rank given to Multi-purpose shoes

(Durability)

5%

28% 17% 1st

2nd
3rd
11%
4th
5th

39%

Interpretation:-

According to our research of 200 people, we can say from above chart 5% people
are given 1st rank. 17% people are given 2nd rank, 11% people are given 3rd rank,
and 39% people are given 4th rank, and 28% people are given 5th rank in Multi-
purpose shoes (Durability).

153
Qus.29 Give Multi-purpose (Economy) rank according to your preference.

Rank Economy In (%)

1st 3 16.67%
2nd 5 27.78%
3rd 4 22.22%
4th 2 11.11%
5th 4 22.22%

Rank given to Multi-purpose shoes

(Economy)

17%
22%
1st
2nd
3rd
11%
28% 4th
5th

22%

Interpretation:-

According to our research of 200 people, we can say from above chart 17% people
are given 1st rank. 28% people are given 2nd rank, 22% people are given 3rd rank,
and 11% people are given 4th rank, and 22% people are given 5th rank in Multi-
purpose shoes (Economy).

154
Qus.30 Give Multi-purpose (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 3 16.67%
2nd 4 22.22%
3rd 0 0%
4th 5 27.78%
5th 6 33.33

Rank given to Multi-purpose (Brand name)

17%

33% 1st
2nd
3rd
22%
4th
5th

28% 0%

Interpretation:-

According to our research of 200 people, we can say from above chart 17% people
are given 1st rank. 22% people are given 2nd rank, Nil people are given 3rd rank, and
28% people are given 4th rank, and 33% people are given 5th rank in Multi-purpose
shoes (Brand name).

155
Qus.31 Give Slipper (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 50 35.46%
2nd 35 24.22%
3rd 15 10.64%
4th 38 26.95%
5th 3 2.13%

Rank given to Slipper (Comfort)

2%

27% 1st
36%
2nd
3rd
4th

11% 5th

24%

Interpretation:-

According to our research of 200 people, we can say from above chart 36% people
are given 1st rank. 24% people are given 2nd rank, 11 people are given 3rd rank, and
27% people are given 4th rank, and 2% people are given 5th rank in Slipper
(Comfort).

156
Qus.32 Give Slipper (Style) rank according to your preference.

Rank Style In (%)

1st 36 25.53%
2nd 24 17.03%
3rd 41 29.08%
4th 22 15.60%
5th 18 12.76%

Rank given to Slipper (Style)

13%
25%
1st
16% 2nd
3rd
4th
17% 5th

29%

Interpretation:-

According to our research of 200 people, we can say from above chart 25% people
are given 1st rank. 17% people are given 2nd rank, 29% people are given 3rd rank,
and 16% people are given 4th rank, and 13% people are given 5th rank in Slipper
(Style).

157
Qus.33 Give Slipper (Durability) rank according to your preference.

Rank Durability In (%)

1st 17 12.06%
2nd 41 29.08%
3rd 36 25.53%
4th 35 24.82%
5th 12 8.58%

Rank given to Slipper (Durability)

9% 12%

1st
25% 2nd
3rd
29%
4th
5th

25%

Interpretation:-

According to our research of 200 people, we can say from above chart 12% people
are given 1st rank. 29% people are given 2nd rank, 25% people are given 3rd rank,
and 25% people are given 4th rank, and 9% people are given 5th rank in Slipper
(Durability).

158
Qus.34 Give Slipper (Economy) rank according to your preference.

Rank Economy In (%)

1st 34 24.11%
2nd 34 24.11%
3rd 34 24.11%
4th 24 17.03%
5th 15 10.64%

Rank given to Slipper (Economy)

11%
24%
1st
17%
2nd
3rd
4th
5th
24%
24%

Interpretation:-

According to our research of 200 people, we can say from above chart 24% people
are given 1st rank. 24% people are given 2nd rank, 24% people are given 3rd rank,
and 17% people are given 4th rank, and 11% people are given 5th rank in Slipper
(Economy).

159
Qus.35 Give Slipper (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 4 2.84%
2nd 7 4.96%
3rd 15 10.64%
4th 22 15.60%
5th 93 65.96%

Rank given to Slipper (Brand name)

3% 5%

11%
1st
2nd
3rd
15%
4th
66% 5th

Interpretation:-

According to our research of 200 people, we can say from above chart 3% people
are given 1st rank. 5% people are given 2nd rank, 11% people are given 3rd rank, and
15% people are given 4th rank, and 66% people are given 5th rank in Slipper (Brand
name).

160
Qus.36 Give Sandal (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 35 22.44%
2nd 62 39.74%
3rd 30 19.23%
4th 21 13.46%
5th 8 5.13%

Rank given to sandal (Comfort)

5%

14% 22%
1st
2nd
3rd
19% 4th
5th

40%

Interpretation:-

According to our research of 200 people, we can say from above chart 22% people
are given 1st rank. 40% people are given 2nd rank, 19% people are given 3rd rank,
and 14% people are given 4th rank, and 5% people are given 5th rank in Sandal
(Comfort).

161
Qus.37 Give Sandal (Style) rank according to your preference.

Rank Style In (%)

1st 70 44.87%
2nd 37 23.72%
3rd 36 23.07%
4th 7 4.49%
5th 6 3.85%

Rank given to sandal (style)

4%
4%

1st
23% 2nd
45%
3rd
4th
5th

24%

Interpretation:-

According to our research of 200 people, we can say from above chart 45% people
are given 1st rank. 24% people are given 2nd rank, 23% people are given 3rd rank,
and 4% people are given 4th rank, and 4% people are given 5th rank in Sandal
(Style).

162
Qus.38 Give Sandal (Durability) rank according to your preference.

Rank Durability In (%)

1st 20 12.82%
2nd 23 14.74%
3rd 26 16.67%
4th 49 31.41%
5th 38 24.36%

Rank given to sandal (Durability)

13%
24%
1st
15% 2nd
3rd
4th
5th
17%
31%

Interpretation:-

According to our research of 200 people, we can say from above chart 13% people
are given 1st rank. 15% people are given 2nd rank, 17% people are given 3rd rank,
and 31% people are given 4th rank, and 24% people are given 5th rank in Sandal
(Durability).

163
Qus.39 Give Sandal (Economy) rank according to your preference.

Rank Economy In (%)

1st 14 8.97%
2nd 21 13.46%
3rd 42 26.93%
4th 48 30.77%
5th 31 19.87%

Rank given to sandal (Economy)

9%
20%
13% 1st
2nd
3rd
4th
5th
31% 27%

Interpretation:-

According to our research of 200 people, we can say from above chart 9% people
are given 1st rank. 13% people are given 2nd rank, 27% people are given 3rd rank,
and 31% people are given 4th rank, and 20% people are given 5th rank in Sandal
(Economy).

164
Qus.40 Give Sandal (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 16 10.26%
2nd 13 8.33%
3rd 23 14.74%
4th 30 19.23%
5th 74 47.44%

Rank given to sandal (Brand name)

10%

8%
1st
2nd
48%
15% 3rd
4th
5th

19%

Interpretation:-

According to our research of 200 people, we can say from above chart 10% people
are given 1st rank. 8% people are given 2nd rank, 15% people are given 3rd rank, and
19% people are given 4th rank, and 48% people are given 5th rank in Sandal (Brand
name).

165
Qus.41 Give Other (Comfort) rank according to your preference.

Rank Comfort In (%)

1st 1 100%
2nd 0 0%
3rd 0 0%
4th 0 0%
5th 0 0%

Rank given to other (Comfort)

0% 0% 0%
0%

1st
2nd
3rd
4th
5th

100%

Interpretation:-

According to our research of 200 people, we can say from above chart 100% people
are given 1st rank. 0% people are given 2nd, 3rd, 4th, and 5th rank in Other (Comfort).

166
Qus.42 Give Other (Style) rank according to your preference.

Rank Style In (%)

1st 0 0%
2nd 0 0%
3rd 0 0%
4th 0 0%
5th 1 100%

Rank given to Other (style)

0%

0%
1st
100%
2nd
3rd
4th

0% 5th

0%

Interpretation:-

According to our research of 200 people, we can say from above chart 0% people
are given 1st, 2nd, 3rd, 4th, and 100% people are given 5th rank in Other (Style).

167
Qus.43 Give Other (Durability) rank according to your preference.

Rank Durability In (%)

1st 0 0%
2nd 0 0%
3rd 1 100%
4th 0 0%
5th 0 0%

Rank given to other (Durability)

0%

0%
0%

0% 1st
2nd
3rd
4th
5th

100%

Interpretation:-

According to our research of 200 people, we can say from above chart 0% people
are given 1st, 2nd, 100% people are given 3rd, 4th, and 5th rank in Other (Durability).

168
Qus.44 Give Other (Economy) rank according to your preference.

Rank Economy In (%)

1st 0 0%
2nd 1 100%
3rd 0 0%
4th 0 0%
5th 0 0%

Rank given to other (Economy)

0% 0%
0%
0%

1st
2nd
3rd
4th
5th

100%

Interpretation:-

According to our research of 200 people, we can say from above chart 0% people
are given 1st rank, 100% people are given 2nd, 0% people are given 3rd, 4th, and 5th
rank in Other (Economy).

169
Qus.45 Give Other (Brand name) rank according to your preference.

Rank Brand name In (%)

1st 0 0%
2nd 0 0%
3rd 0 0%
4th 1 100%
5th 0 0%

Rank given to other (Brand name)

0% 0%
0% 0%

1st
2nd
100% 3rd
4th
5th

Interpretation:-

According to our research of 200 people, we can say from above chart 0% people
are given 1st, 2nd, 3rd, 100% people are given 4th, and 0% people are given 5th rank in
Other (Brand name).

170
Que. 46 How much do you spend behind one pair of floater for Responder?

Price Floater responder In (%)

Less than Rs. 300 1 2.94%
Rs. 300 to 600 5 14.71%
Rs. 600 to 1000 16 47.06%
Rs. 1000 to 1500 9 26.47%
Rs. 1500 Above 3 8.82%

Buy the floater responder

9% 3%
15%
Less than Rs. 300
Rs. 300 to 600
26%
Rs. 600 to 1000
Rs. 1000 to 1500
Rs. 1500 Above

47%

Interpretation:-

According to our research of 200 people, 34 peoples are buying the floaters, we can
say that above chart that 3% people are buy the floaters less than Rs. 300, 15%
People are buy the floaters Rs. 300 to 600, 47% are buy Rs.600 to 1000, and 26%
are buy Rs. 1000 to 1500, and 9% people are buy Rs. 1500 above the floaters.

171
Que. 47 How much do you spend behind one pair of formal shoes for responder?

Price Formal shoes responder In (%)

Less than Rs. 300 1 1.33%
Rs. 300 to 600 11 14.67%
Rs. 600 to 1000 34 45.35%
Rs. 1000 to 1500 20 26.67%
Rs. 1500 Above 9 12%

Formal shoes buy the responder

1%

12%
15%

Less than Rs. 300

Rs. 300 to 600

27% Rs. 600 to 1000

Rs. 1000 to 1500
Rs. 1500 Above
45%

Interpretation:-

According to our research of 200 people, 75 peoples are buying the formal shoes, we
can say that above chart that 1% people are buy the less than Rs. 300, 15% People
are buy Rs. 300 to 600, 45% are buy Rs.600 to 1000, and 27% are buy Rs. 1000 to
1500, and 12% people are buy Rs. 1500 above the formal shoes.

172
Que. 48 How much do you spend behind one pair of Sport shoes for responder?

Price Sport shoes are buying the responder In (%)

Less than Rs. 300 2 2.20%
Rs. 300 to 600 23 25.27%
Rs. 600 to 1000 28 30.78%
Rs. 1000 to 1500 14 15.38%
Rs. 1500 Above 24 26.37%

Sport shoes are buying the responder

2%

26%
25% Less than Rs. 300
Rs. 300 to 600
Rs. 600 to 1000
Rs. 1000 to 1500
16% Rs. 1500 Above

31%

Interpretation:-

According to our research of 200 people, 91 peoples are buying the Sport shoes, we
can say that above chart that 2% people are buying the less than Rs. 300, 25%
People are buying the Rs. 300 to 600, 31% are buying the Rs.600 to 1000, and 16%
people are buying the Rs. 1000 to 1500, and 26% people are buying the Rs. 1500
above the Sport shoes.

173
Que. 49 How much do you spend behind one pair of Multi-purpose shoes for
responder?

Price Multi-purpose are buying the In (%)

responder
Less than Rs. 300 0 0%
Rs. 300 to 600 3 17.65%
Rs. 600 to 1000 6 35.29%
Rs. 1000 to 1500 4 23.53%
Rs. 1500 Above 4 23.53%

Multi-purpose shoes are buying the

responder
0%

18%
24%
Less than Rs. 300
Rs. 300 to 600
Rs. 600 to 1000
Rs. 1000 to 1500
23% 35% Rs. 1500 Above

Interpretation:-

According to our research of 200 people, 17 peoples are buying the Multi-purpose
shoes, we can say that above chart that 0% people are buying the less than Rs. 300,
18% People are buying the Rs. 300 to 600, 35% are buying the Rs.600 to 1000, and
23% people are buying the Rs. 1000 to 1500, and 24% people are buying the Rs.
1500 above the Multi-purpose shoes.

174
Que. 50 How much do you spend behind one pair of Slipper for responder?

Price Slippers are buying the responder In (%)

Less than Rs. 300 124 86.11%
Rs. 300 to 600 19 13.19%
Rs. 600 to 1000 1 0.70%
Rs. 1000 to 1500 0 0%
Rs. 1500 Above 0 0%

Slippers are buying the responder

0% 0%
1%

13%

Less than Rs. 300

Rs. 300 to 600
Rs. 600 to 1000
Rs. 1000 to 1500
Rs. 1500 Above

86%

Interpretation:-

According to our research of 200 people, 144 peoples are buying the Slippers, we
can say that above chart that 86% people are buying the less than Rs. 300, 13%
People are buying the Rs. 300 to 600, 1% are buying the Rs.600 to 1000, and 0%
people are buying the Rs. 1000 to 1500, and 0% people are buying the Rs. 1500
above the Slippers.

175
Que. 51 How much do you spend behind one pair of Sandals for responder?

Price Sandals are buying the responder In (%)

Less than Rs. 300 53 34.42%
Rs. 300 to 600 70 45.45%
Rs. 600 to 1000 28 18.18%
Rs. 1000 to 1500 2 1.30%
Rs. 1500 Above 1 0.65%

Sandals are buying the responder

1% 1%

18%

34% Less than Rs. 300

Rs. 300 to 600
Rs. 600 to 1000
Rs. 1000 to 1500
Rs. 1500 Above

46%

Interpretation:-

According to our research of 200 people, 154 peoples are buying the Sandals, we can
say that above chart that 34% people are buying the less than Rs. 300, 46% People
are buying the Rs. 300 to 600, 18% are buying the Rs.600 to 1000, and 1% people
are buying the Rs. 1000 to 1500, and 1% people are buying the Rs. 1500 above the
Sandals.

176
Que. 52 How much do you spend behind one pair of others footwear responders?

Price Other footwear are buying the In (%)

responder
Less than Rs. 300 0 0%
Rs. 300 to 600 1 100%
Rs. 600 to 1000 0 0%
Rs. 1000 to 1500 0 0%
Rs. 1500 Above 0 0%

Others Footwear are buying the responder

0% 0%
0%
0%

Less than Rs. 300

Rs. 300 to 600
Rs. 600 to 1000
Rs. 1000 to 1500
Rs. 1500 Above

100%

Interpretation:-

According to our research of 200 people, 1 peoples are buying the other footwear,
we can say that above chart that 0% people are buying the less than Rs. 300, 1%
People are buying the Rs. 300 to 600, 0% are buying the Rs.600 to 1000, and 0%
people are buying the Rs. 1000 to 1500, and 0% people are buying the Rs. 1500
above the Other footwear’s.

177
Que.53 What factors influence you to buy any footwear products of responder

Responders In (%)
Advertisement 19 9.5%
Internet 3 1.5%
Past Experience 111 55.5%
Would of month communication 12 6%
Others 2 1%
Advertisement – past commu. 33 16.5%
Advertisement - internet 1 0.5%
Adevertisement – month commu. 4 2%
Past experience – month commu. 10 5%
Internet – month commu. 1 0.5%
Advertisement – past experience - internet 1 0.5%
Advertisement – past experience – month commu. 3 1.5%

60.00%
50.00%
40.00%
30.00% 55.50%
20.00%
10.00% 16.50%
9.50% 6% 5%
0.00% 1.50% 1% 0.50% 2% 0.50% 0.50% 1.50%

factors Influencing consumers

Interpretation:

According to our research of 200 respondent, from that 111 respondent are
purchasing their footwear on the basis of their past experience. 19 respondent are
purchasing according to advertisement, 12 respondent according to month
communication, 3 respondent according to internet. 16.5% respondent are using
both past experience and advertisement to purchase their footwear.

178
Que.55 Are you satisfied with your current brand?

Answer Responder In (%)

Yes 193 96.5%
No 7 3.5%

Responder
4%

Yes
No
96%

Interpretation;-

According to our research of 200 pepole, we can say from above chart 96% people
are satisfied in current brand and rest of 4% people are not satisfied in current
brand.

179
Que.55 Do you wish to shift from your existing brand?

Answer Responder In (%)

Yes 10 5%
No 190 95%

Responder

5%

Yes
No

95%

Interpretation;-

According to our research of 200 pepole, we can say from above chart 5% people
are says existing in current brand and rest of 95% people are says not existing in
current brand.

180
 Bibliography

 www.wikipedia.org
 Website: www.footwear industry.com
 Marketing Management – Philip Kotler
 The Times of India
 Advertisement
 Business environment

181