Preview

Business and Competitive analysis of RM

Powerful Essays
Open Document
Open Document
9059 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Business and Competitive analysis of RM
Term Paper on
Business analysis of Readymade Garments industry in context of Complex Strategic environment of Bangladesh
Term Paper on
Business analysis of Readymade Garments industry in context of Complex Strategic environment of Bangladesh

Prepared For:
MD. Shahin Miah
Lecturer
Department of International Business
Faculty of Business Studies
University of Dhaka

Prepared By:

Tanmoy Das
Roll No. 01
2nd Batch (15th Batch BBA)
Department of international Business
University of Dhaka

Date of Submission: 15th April, 2013

ABSTRUCT
This paper reveals the linkage between the strategic factors of Ready Made Garments and Bangladesh itself. In order to analyze business and competitive positions of RMG and Bangladesh, analysis of Bangladesh’s situation as whole is being described and analysis of RMG sector follows that as a supplementary analysis of each other. SWOT analysis, Porters five forces and porter’s diamond has given highest priority for the sake of simple analysis of this complex factor.
An operational business model for RMG sector has been established in the initial part of this paper. In a later part of this paper, nine competitive forces has been established after the discussion of the PEST analysis and the Porters Five forces analysis of the RMG industry ob Bangladesh.
Before we dive on this paper, we must recall that lower cost of labor force is the main competitive factor for strategy formulation of Bangladesh’s business. So, this factor will have a higher priority in the discussion of this paper. This paper starts its discussion by discussing what a business model is, and what is strategy for the better understanding of strategic and competitive factors of Bangladesh. This paper concludes with some recommendations preceded by establishing Porter’s Diamond analysis for the RMG industry of Bangladesh.

Table of Contents
Introduction 2
Bangladesh 's Ready-Made Garments Industry 3
OPERATING MODEL FRAMEWORK OF RMG INDUSTRY OF BANGLADES 5
Bangladesh



References: http://www.thefinancialexpress-bd.com/2008/04/16/30828.html http://en.wikipedia.org/wiki/Bangladesh_textile_industry http://www.mightystudents.com/search?q=A+SWOT+Analysis+on+Readymade+Garment+Industry+in+Bangladesh http://www.businesswire.com/news/home/20110511006349/en/Research-Markets-Bangladesh-Apparel-Industry-Analysis http://www.just-style.com/analysis/bangladesh-garment-industry-aims-for-fast-growth_id109958.aspx http://moshiur008.blogspot.com/2011/08/swot-analysiss-of-bangladesh-economy.html http://e.unescap.org/tid/publication/aptir2456_haider.pdf

You May Also Find These Documents Helpful

  • Powerful Essays

    Before this analysis will begin, it is vital to stress that this model is well-known as an effective instrument. An advantage of this model is that it captures the immediate environment in which the company competes. It allows to clearly understand the forces which operate in the company`s environment and helps to identify those which affect the company in the nearest future. It is considered to be a powerful tool in determining the strategy. However everything has its deficiencies and this model is not the exception. In my point of view it is needed to combine this model with some of the others, because there are few issues which are not considered in it. To be specific, this model does not count with nonmarket changes such as interference of the government and political changes, fluctuation of the economy and the changes in behaviour of the competition. Porter´s model is criticized for the fact that it neglects analysis of regulations of the government and antitrust violations. Therefore, in this analysis it is needed to use PEST analysis to offer more accurate viewing to company`s environment to help to make and recommend better and more efficient strategy. (ref. č. 1)…

    • 2222 Words
    • 9 Pages
    Powerful Essays
  • Best Essays

    References: Fu, Baozong. (2008). Six ways of restructuring and upgrading to textile and clothing industrial. China Investment, No. 6, 114-115. Li, Min & Mao, Tingting. (2009). Apparel industry upgrading under financial crisis. China Textile Leader, No. 7, 25-26. Li, Shixi. (2009). The current strategic choice taken through the SWOT analysis of Chinese clothing industry. Manager Journal, No. 10, 278. Mu, Zi, & Li Yining. (2009-02-13). ULW patterns of Chinese clothing. China Textile Newspaper, (5). Qiu, Xiaowen. (2009). Development Strategy of Chinese small and medium-sized textile and clothing enterprises. Enterprise Economy, No. 5, 143-145. Wang, Haifeng. (2009). Chinese textile and clothing industry entered into a period of strategic adjustment in 2009. Intertrade, No. 2, 9-12. Zhang, Chaoying & Yang, Nana. (2009). Brief talk on difficulties of Chinese textile and clothing industry. Manager Journal, No. 5, 32.…

    • 3061 Words
    • 13 Pages
    Best Essays
  • Powerful Essays

    The importance of the textile industry in the economy of Bangladesh is very high. The garments manufacturing sector earned $19 billion in the year to June 2012, one of the impoverished nation 's biggest industries. Currently this industry is facing great challenges in its growth rate. The major reasons for these challenges can be the global recession, unfavorable trade policies, internal security concerns, the high cost of production due to increase in the energy costs, different safety issues specially fire, etc. Depreciation of Bangladeshi Taka that significantly raised the cost of imported inputs, rise in inflation rate, and high cost of financing has also effected seriously the growth in the textile industry. As a result neither the buyers are able to visit frequently Bangladesh nor are the exporters able to travel abroad for effectively marketing their products. With an in-depth investigation it was found that the Bangladesh textile industry can be brought on top winning track if government and others individuals takes serious actions in removing or normalizing the above mentioned hurdles. Additionally, the government should provide subsidy to the textile industry, minimize the internal dispute among the exporters, withdraw the withholding and sales taxes etc. Purchasing new machinery or enhancing the quality of the existing machinery and introducing new…

    • 5329 Words
    • 22 Pages
    Powerful Essays
  • Better Essays

    Bangladesh Studies

    • 1120 Words
    • 5 Pages

    Market Failure: Market Failure is an economic situation that occurs in free market economy. When in any given market, the quantity of a product demanded by consumers does not equate to the quantity supplied by suppliers, market failure occurs. This is a direct result of a lack of certain economically ideal factors, which prevents equilibrium. Due to market failure, the social costs of producing the good or service are not minimized, and this results in a waste of some resources. It can also occur when personal needs are met at the cost of social well-being. One of the reasons of market failure is Negative externalities: for e.g. the effects of environmental pollution causing the social cost of production to exceed the private cost. Market failure of Dyeing Industry in Bangladesh: There is free market economy in the dyeing Industry of Bangladesh. The textile dyeing and washing industry play an important role in the economic growth as well as the environmental sectors of Bangladesh. The textile dyeing industries has been condemned as being one of the world’s most offenders in terms of pollution. There are many dyeing industries in Bangladesh which are mainly located at Gazipur and Narayanganj industrial area. Almost all Readymade Garment (RMG) factories require textile and garment washing-dyeing-finishing (WDF) services. There are about 1,700 washing dyeing units in Bangladesh. The liquid and solid pollutants that are being generated by the WDF units are negatively affecting the lives of people living around these facilities. The known negative impacts include long term damage to arable lands; aquatic ecosystem of the low lying wet lands and inland…

    • 1120 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    Cultural Diversity

    • 4122 Words
    • 16 Pages

    May11, 2013 Muhammad Shahin Miah Lecturer Department of International Business, Faculty of Business Studies, University of Dhaka.…

    • 4122 Words
    • 16 Pages
    Powerful Essays
  • Powerful Essays

    several popular RMC companies of Bangladesh and their factories. The survey study dealt with a number of useful information such as the…

    • 2399 Words
    • 21 Pages
    Powerful Essays
  • Powerful Essays

    Here I am submitting my Term Paper on “Ready made garments: A Case Study on Export performance” as per requirement of the course Theory and practice of international business (Course Code: EIB 510). For this purpose, I have gone through Internet, different books, annual report’s of different organization, articles, journals, and class lecture sheets for the relevant information of the assigned topic.…

    • 5920 Words
    • 24 Pages
    Powerful Essays
  • Powerful Essays

    Equity research paper Bata

    • 10492 Words
    • 42 Pages

    The next part briefly discusses the tannery industry in Bangladesh. Who are the major players and what is the future industry growth prospects is discussed. Then we delve into the company analysis or competitive analysis of BATA Shoe. The sales growth and income potential of the company is discussed. Also the various ratios are analyzed to give us a proper overview of the company performance.…

    • 10492 Words
    • 42 Pages
    Powerful Essays
  • Powerful Essays

    Garments Compliance Dhaka

    • 4821 Words
    • 49 Pages

    in the late 1970s and within a short period of time emerged as an important player in…

    • 4821 Words
    • 49 Pages
    Powerful Essays
  • Powerful Essays

    Analysis is the critical starting point of strategic thinking. Kenichi Ohmae Awareness of the environment is not a special project to be undertaken only when warning of change becomes deafening ...…

    • 8615 Words
    • 35 Pages
    Powerful Essays
  • Satisfactory Essays

    Business

    • 367 Words
    • 2 Pages

    This course will provide the students with a complete and comprehensive view of business enterprises in home and abroad. Students will be able to know about different institutions supporting business in Bangladesh and different types of documentations used in export and import process. Further they will know how social responsibility and business ethics help to continue business.…

    • 367 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Readymade Garments sector is a booming sector in Bangladesh and the government is giving incentive to this sector as huge employment is created by this sector, especially unskilled and semi skilled women are getting employed by this sector. In spite of having lots of obstacle and challenges the sector is doing great and is playing a vital role to the economy. This sector is heavily depends on the…

    • 5480 Words
    • 20 Pages
    Powerful Essays
  • Powerful Essays

    [5] CPD. 2007. Bangladesh`s Apparel Sector In Post-MFA Period: A Bench-marketing Study on the Ongoing Restructuring Process. Annual report of the Centre for Policy Dialogue.…

    • 7303 Words
    • 30 Pages
    Powerful Essays
  • Better Essays

    After Liberation when country 's traditional items of export could not yield expected result, in late 70s the government and a section of entrepreneurs - young, educated and dynamic, began to emphasize on development of non-traditional items of export. By the year 1983, Ready-Made-Garment (RMG) emerged to be a non-traditional export oriented sector most promising in the socioeconomic context of the country. By that time, those entrepreneurs felt a necessity of sectoral trade body, non-government in nature, free from traditional bureaucracy, to help the RMG sector and to boost up the foreign exchange earnings of the country urgently needed at that time. Responding to that necessity, 19 (Nineteen) RMG manufacturers and exporters joined together and by their untiring efforts got Bangladesh Garment Manufacturers and Exporters Association (BGMEA) incorporated on February 20, 1983, Today 2400 small and medium scale privately owned garment factories, registered with BGMEA, spread in cluster over the EPZ and urban areas of Dhaka, Chittagong and Khulna, are manufacturing ready-made garments of varied specifications as per size and designs stipulated by the overseas buyers. Starting with a few items, the entrepreneurs in the RMG sector have widely diversified the product base ranging from ordinary shirt, T-shirt, trousers, shorts, pajama, ladie 's wear and children 's wear to sophisticated high value items like quality suits, branded jeans items, jackets-both cotton and leather, sweaters, embroidered wear etc.…

    • 4571 Words
    • 19 Pages
    Better Essays
  • Satisfactory Essays

    Since the late 1970s, the RMG industry started developing in Bangladesh primarily as an export-oriented industry although; the domestic market for RMG has been increasing fast due to increase in personal disposable income and change in life style. The sector rapidly attained high importance in terms of employment, foreign exchange earnings and its contribution to GDP.…

    • 1250 Words
    • 5 Pages
    Satisfactory Essays