Presented by:

Ali Sarmad Kazmi

Layout

Introduction of product: (Carpets & Rugs)

Companys profile: (Rauf Carpets)
Targeted country: ( Bangladesh)
Comparative advantage
Absolute advantage
Porters Diamond model
Modes of entry

Introduction:
Woven Carpets & Rugs

A Pakistani rug (Rug or Pakistani carpet) is a type of handmade

floor-covering textile traditionally made in Pakistan. Pakistan is
amongst the world's largest producers and exporters of
hand-knotted Oriental carpets. In the last few decades,
Pakistani carpets have reached the farthest corners
of the world.

Intro..

Some historians consider that the Indus Valley civilization

first developed the use of woven textiles. The carpets
woven in Lahore were the first to reach European markets,
including England, as far back as Seventeenth century.
Textiles comprise 57% of Pakistan's export revenues

Major centers in different cities of Pakistan

Quetta
Gilgit
Haripur
Peshawar
Attock
Bahawalpur
Sailkot
Karachi

Companys Profile
Rauf carpets

History:
We have been in the business of handmade carpets
manufacturing since 1975. Today, Rauf Carpets is one of the
leading carpet manufacturers of oriental carpets and
modern rugs in Lahore, Pakistan. We have a manufacturing
setup which includes hundreds of looms installed in small towns.

We have production capacity of over 3,000 square

meters a month and can be increased. For professionally
accomplishing the carpet manufacturing process.

Your Choice, Our art

In addition Rauf Carpets is also famous for customized/

program production of traditional and new era
Contemporary rug according to the latest market trends to
fulfill the demands of the international buyers and we
fully ensure secrecy of
our buyer's designs, color combinations and qualities.

Products:
Kashimir Silk

Products:
Chobi

Products:
Modern

Products:
Tribal

Products:
Bokhara

Products:
Kazak

Products:
Pak Persian

Rauf carpets Export Countries

Brazil
Philippines
South Korea
Indonesia
Germany

Target Country(Bangladesh)
In woven industry Bangladesh faces many
problems like , very less woven dyeing
facilities, lack of modern design machines,
vendors dont want to take risk.
Bangladeshs key industry is garment
production but the sector is affected by strikes
and factory accidents. And there is a huge
demand of Pakistani carpets in the world so
Bangladesh also import carpets and rugs from
different countries like India, Iran

Major Imports/Exports of Bangladesh

IMPORTS

Machinery and equipment

Chemicals
Iron and steel
Textiles
Foodstuffs

Total imports in (2014-15) $40.69

billion
GDP (2015) $226.76 billion

EXPORTS

Clothing
worn clothing
Footwear
Tobacco
Fish

Total Exports in (2014-15)

$33.4billion
GDP per capita $1,466

Pakistan Imports/Exports
IMPORTS
Machinery
Petroleum
Chemicals
Vehicles and spare parts
Fertilizers
Plastic material
Total in (2014-15) $36.9 billion
GDP of Pakistan $284 billion
(2015)

EXPORTS
Raw cotton
Textile products and Cotton yarn
Rice
Leather and leather products
Carpets and rug
Sports goods
Total in (2014-15) $24 billion

GDP per capita $1,474

Comparative advantage of Pakistan

Pakistan has a great potential to stand out in this sector

in the region as a prospective and overwhelming
proportion of labor force is engaged in this sector. It is
expected that export-led growth strategy cause a
significant boost in production, employment and the
productivity of labor along with the improvements in
overall economic status but the political and socioeconomic conditions in addition to primitive types of
technology use may hinder the way to rapid progress.

Comparative Advantage.
The carpet industry plays a fundamental role in
determining the export bearing of Pakistan. There has
been an ever increasing demand for carpets and floor
coverings both in Pakistan and around the globe. The
carpet industry plays a fundamental role in
determining the export bearing of Pakistan. There has
been an ever increasing demand for carpets and floor
coverings both in Pakistan and around the globe

Absolute Advantage

Pakistan is one of resource rich countries in the world

having a large amount of coal, gas, gemstones, copper
and gold reserves. Other resources also included oil,
iron, titanium and aluminum which are a necessity for
any growing economy. Absolute advantage of
Pakistan is in different sectors like agriculture and
textile sectors and also in finish goods like leather,
sports items, spices, food commodities and textile.


Porters Diamond Model:

Factor conditions

Basic factors: Human resources, physical resources, climate,

geographic location , demographics are focus on basic factor.
In Pakistan the labor cost is very low and a number of labors
are available. Another main factor is land.
Advance Factors: knowledge resources, capital resources and
infrastructure are advanced factor of endowments, The number
of capital also available in Pakistan. In this case, Factor
conditions are available. Communication system are very
good. Factories are available in Lahore, Karachi and Multan .

Demand Condition

The demand condition of Pakistani carpet is very good

in the market. Pakistan can export high quality product
with low cost because the labor is very low cost. And
the demand is also very high in Europe, America,
Africa and the Muslim countries because Pakistan is a
Muslim country. Pakistan is the 4th largest carpet
exporter in the world. If the demand of a product is less
than the profit is also low. So the demand condition is
also very much important

Related and supporting industries

Firm Strategy, Structure, Rivalry

Modes Of Expansion:

Direct Export