“The profound effect of a teacher upon the students

Can be described by the lives of his students”

I am most grateful to almighty Allah, the most beneficent and the benevolent whose protection is sort by all and who bestowed us all the mental abilities, knowledge and wisdom from his unfathomed treasure to complete this research report.

I pay a stack of gratitude towards our respected and erudite teacher, who gave me chance to get exposed to practicality. His initiative became a stimulus, which really actuated me to complete this assignment.

History of Pakistan Textile Industry

Increase in the cotton production and expansion of textile industry has been impressive in Pakistan since 1947. Cotton – bales increase from 1.1 million bales in 1947 to ten million bales by 2000. Number of mills increased from 3 to 600 and spindles from about 177,000 to 805 million similarly looms and finishing units increased but not in the same proportion. It employs 50% of industrial labor force and earns 65% foreign exchange of total exports. Pakistan’s textile industry experts feel that Pakistan has fairly large size textile industry and 60-70% of machines need replacement for the economic and quality production of products for a highly competitive market. But unfortunately it does not have any facility for manufacturing of textile machinery of balancing modernization and replacement (BMR) in the textile mills which need to think about joint ventures for the production of complete spinning units with china, Italy and production of shuttle less looms (Projectile) with Korea, Taiwan and Italy.

Cotton textile industry has been premier industry in Pakistan and a major source of export earning and employment. It also helps in value addition to the manufacturing sector of the economy. During the six years between 1993 and 1998, production of yarn (in quantity terms) registered a steady annual growth rate of 302% in Bangladesh and 405% in India. On the contrary, Pakistan registered a growth rate of 101% per annum in yarn production although it ranked third after China and India in the global yarn production during the same six years. In exports, while Taiwan, India and the republic of Korea registered an annual increase of 18.1%, 27.7% and 5.4% respectively during 1993-1998, Pakistan registered a negative growth of 4.8% one important development was that till 1997, Pakistan was the world’s largest exporter yarn followed by India. However, in 1998, India gained the NO 1 position, leaving Pakistan at NO 2 In the case of cotton cloth production, a number of Asian countries have been emerging in the international market to compete with Pakistan. These countries are Bangladesh, India, Taiwan, Indonesia, Thailand, Turkey, Sri Lanka and Iran. The latest available date on overall export performance of Pakistan comported with some regional countries is given in table 1: The above-mentioned presentation in the context of international scenario highlights the adverse position of Pakistan’s textile industry when is likely to continue further following the full implementation of WTO agreement from 2005 onwards when an era of free trade will start globally. Notwithstanding the above fact, current stagnation in the local textile

Industry can be overcome through efforts, consistent with charges occurring in the international market. It must be appreciated that all successive governments since the birth of cotton textile industry in Pakistan have been encouraging the textile exporters to penetrate into new market and also to broaden the base of exportable commodities by including value added textile goods so that reliance on exports of cotton, cotton yarn and coarse fabrics gradually become minimal.

Reflecting on the state of affairs, Abid Chinoy, Pakistan cloth merchants Association (PCMA) Chairman, Appreciated government’s efforts to encourage new exports and finding new markets, which need aggressive export marketing. The steps taken on the monetary front, such as the frequent devaluation of Pak rupee in terms of dollar could not

Improve the cost competitiveness of exportable products due to increase in prices of the local and imported inputs of the local textile industry, and also due to inelastic demand for the Pakistan’s exports. It has been rightly mentioned in the latest stage bank of Pakistan’s annual report (FY01) that, “Over the years Pakistan’s exports receipts have been vulnerable on account of the narrow base of exportable items, concentrated markets and low value addition ‘this indicated that the growth in the country’s overall exports, including textile products which contributed more then 60% of total export receipts each year, could to be related some cosmetic and ad hoc measure like devaluation of Pak rupee and concession export credits. The first textile commission, which was constituted by the first material law government in 1960 had, inter-alias, recommended that an economic size textile unit should preferably have 25,000 spindles and 500 looms. No new mill with only 12,500 spindles and without looms should be sanctioned. However, no need was paid to the advice by the sanctioning authorities with the result that an excess capacity had tented to build up in the spinning sector.

During the period 1973 to December 1992, some 71 spinning units with 1,136, 835 spindles, 6,600 rotors ands 7,329 looms were closed down. In 1992, a foreign consultant form was hired by the government to look into the stagnating conditions in the local textile industry. One of the observations of the foreign consultant was “Pakistan has failed to make real progress in the international market and is being over taken by many of the neighboring competitor countries. The spinning sector, traditionally the core of the industry, is already in the crisis with many spindles lying idle and mills being forced to close. Worse still, this sector will be hit by the projected decline of its major markets in Japan and Hong Kong in the coming years.”

Another important strategic recommendation given by the foreign consultant very much relevant to the current

Conditions: “It is vital that companies play very positive role in the markets, which each one having its own marketing activity, whose job is to understand the need of the customers and the ever changing competitive dynamics of the markets. In order to

Improve exports, Pakistan’s Readymade Garments Manufacturers and Exporters Association (PRGMEA) has urged the commerce minister Abdul Razzak Dawood to set

Up an Apparel Board for the promotion of export of woven and kit garments which fetch US$ 2.5 billion foreign exchange for the country. The industry experts are of the opinion that in the order to have a strong industrial base, Pakistan economy need investment upswing. Pakistan’s economic growth performance during recent years has been dismal: as against the average growth rate of 6.1% in the 1980s, the half and 4.0% in the 2nd half of the 1990s. The major micro-economic instability factors like high inflation rate, budgetary deficit, continuous depreciation of rupee, economic sanctions, etc. could not help the investment process. Such an environment cannot be conducive to investment and growth. Exporters of textile products have found the target of US$ 10.4 billion set by the government for the year 2002-2003, as achievable and termed it a realistic approach. The textile sector which constituted 69% of total export during 2001-2002, believes that enhanced quota by the European Union and Turkey would make this possible to fetch another US$1 billion this year.

The rise in export of value-added products from Pakistan was another point of encouragement for the textile sector. “The export of value-added products rose to 57.4% from 53.9% last year-a clear sign that we are moving in the right direction, “said the Chairman of all Pakistan textile mills association.

The trade policy is considered an acceptable paper, but in the industry does not fine anything that could lead to a high level exports achievement and remove trade imbalance.

Pakistan’s textile sector earned US$5.77 billion during the outgoing year, compared with US$5.577 BILLION OF 2000-2001 indicating a growth of 0.69%. “Textile vision 2005” has identified the present status and opportunities to make in roads in conventional and hew markets and has developed sectoral recommendations, hence the sectoral committees set up by the federal textile Board (FTB) would play an important role be ensuring the availability of quality raw materials on competitive prices and improvement in designing, and would adopt quality standards and increase productivity levels. It would attract foreign brands and promote Pakistani brands with world-class standers.

With such a positive trend, Pakistan’s textile sector is getting rid of old impediments and gearing itself up for the new opportunities in the new trade regime.

Company introduction

Amtex is one of the leading textile manufacturing groups in Pakistan. Amtex Limited is a public limited company incorporated in 1992 under the company’s ordinance 1984; it is a vertically integrated group with operations in all sectors of the textile industry from Spinning to Stitching. The annual turnover of the group is around 200 million US dollars. Amtex provides employment opportunities to about 15,000 families. It has a diversified product and market portfolio. Amtex holds a special position in the textile industry in the sense that it provides the largest variety and combination of products to its customers under one roof.

Amtex is leading manufacturer of Home Textile and garments Products. The manufacturing processes are certified on ISO 9001:2000 standards. Amtex is a quality conscious company; it has a well define policy towards quality. This policy is the driving force behind achieving the quality of the products produced in Amtex.

Our philosophy is to create a single channel for satisfying diverse and high class needs of our valued partners. We are highly flexible in responding to dynamic needs of our customers. We have a set of truly devoted professionals who focus on their areas of specialties to produce highly valued products. We believe in partnership not only with our customers but also with our employees who have proved to be a key in maintaining the highest level of excellence in our outputs.

Corporate Vision & Mission

Our aim is to become the buyer's first choice all around the world.

To achieve this target we make sure that we stay true to the highest standards of excellence and customer's satisfaction.

Our vision is to provide our customers with just the one venue to supply all their requirements

Growth & Future

To keep tradition of mega growth, management of Amtex group of industries is fully aware of the new challenges of international trade.

A team of young directors has taken up the task of doing the manufacturing activity on the most modern lines. Emphasizing the research & development as core of there policy the management is targeting a triple digit growth in the next five years both in sales volumes and manufacturing capacity. Service excellence and value addition is another area focused by the management, highly skilled staff is being recruited, and exisiting staff is being trained according to the coming challenges of the global market

Amtex History:

Amtex journey originally began three decades ago as a weaving unit, entered in international market in 1993 and experienced exponential growth to date by touching a milestone of total annual turn over of $ 200 Million. A team of Over 15000 professionals is ready to serve the clients in the best possible manner. Such mega growth is indicative of sheer dedication showed by the management of the mills the clients as well as to their employees

Fabrics:

We can produce fabric from 1016mm to 3200mm width in 100% Cotton, Poly / Cotton, 100% Polyester, Viscose, Acrylic, Acetate rayon, Triacetate, Poly / Viscose, Poly / Acrylic, Poly / Acetate, Polypropylene (all blend ratios) with plain and different weaves like Twills, Drills, Satins, Dobbies, Jacquards. All these qualities are available in Grey, Bleach, Dyed, Coated & Floacked and Printed Fabric (Pigment & Reactive

Home Textile:

Amtex is fully equipped to offer customers a variety of textile products, according to the diversified needs of our valued customer by following new trends. We make uniquely styled & designed products as per the aesthetic sense of the customer, keeping in mind the specific requirement of final consumer. At Amtex our customers have the option to select from a rich variety of fabrics, exported in the form of piece goods as well as various confections in made ups.

Our apparel division is producing both light & heavy weight garments. A comprehensive Quality Control & Assurance System is working continuously monitor, control and assure the quality Standards. Various inspections in cutting, stitching, washing, finishing and packing facilitate us to maintain AQL levels as per customer's requirement

Product Line

Light Weight Garments
Lounge Wear
Sleep Wear
Casual Shirts
Hospital Wear
Scrub Sets
Heavy Weight
Bottom Wear (Basic & Fashion)
Work Wear

Garment Wet Processing State of the art imported machines are utilised to enhance the fabric handle, feel, wash and natural look of the garment. GWP is fully equipped to produce following types of washes and special effects.
Rinse Wash
Silicon Wash
Stone Wash
Enzyme Wash
Bleach Wash
Distress
Sand Blast
Spray
Moustache
Distress
Tints

Spinning:

We have state of the art spinning facilities covering the complete sphere of yarn manufacturing including ultramodern automated setup with high speed ring frames. Amtex's automated spinning facility is the most modern in the region.

We have the facilities to produce carded as well as combed yarn. The flexibility of in our house machinery results in manufacturing of yarn counts from 7 s to 120 s with high uniformity, evenness and low IPI's which is reflected in our woven products.

Weaving:

Amtex has an extensive weaving set up having variety of machines including Power, Auto, Shuttles, Air jet and Water jet looms which produce an enormous variety of fabrics having multiple weaves from 1/1 plain weave to jacquard in different widths ranging from 36 inch to 153 inch with maximum thread count of 1000 threads per square inch. The inventory of more than 5000 machines is fully equipped with various kinds of secondary and auxiliary equipments to produce Dobbies, Jacquards and Seer sucker weave patterns.

Design & Creation:

Amtex has an in-house Design Studio with the responsibility for procuring and generating designs for various markets under the guidance of international professionals.

We get regular advice including "Story and Mood Boards" from our design consultants in Western Europe, USA, Australia and the , allowing us to stayat the "Cutting Edge" of International design and styling.

Customers can view our "Online" Design Library. We have the facility of a most modern fabric plotter, that can readily print design on fabric without making screens just to give our valued customers actual look of the design on the fabric.

Processing:

Singeing & Preparation:

Singeing is the first process and is that which determines the ultimate pilling of the finished fabric. The recent acquisition of new singeing machine ensures that we can obtain the very best possible results and allow us to achieve pilling levels of 5 where required. Our modern Singeing machines from Vollenweider and Osthoff are quite simply "the best that money can buy". At Amtex we have the latest wide width Continuous Bleaching Range from Goller (Germany) with fully computerised PLC Chemical Dosing system.

Dying:

Our dyeing operations are equipped with the most sophisticated continuous dyeing machinery available. We have a wide width Thermosol range from Monforts (Germany) fitted with KUSTER padder (Germany) and a new padsteam/wash range from BENNINGER.

These machines together with our careful selection of the most suitable dyestuffs, continuous automatic monitoring of all process parameters, and regular instrumental colour measurement, guarantee that our products achieve and maintain the highest quality standards.

Printing:

Our printing department equipped with 3 most modern Zimmer printing Machines, the last of which is installed in 2004. we are capable of printing 21 colors on fabric up to width of 3200 mm, and repeat sizes ranging from 641 mm to 1200 mm is the best available . The latest addition of a new Zimmer wide width flat bed panel printing system' Magnoprint Trend line" which can print repeats up to 3500 mm.

Burn out
Panel print
Glow in the dark
Pigment printing
Reactive printing

Finishing:

Amtex has a range of excellent stentering machines from Monforts Germany with fully automatic controls. These can be used for batching and finishing of fabric having Mahlo weft straighter at entry and exit points to avoid bowing and skewness.these are equiped with infra red which helps in pigment dyeing in pastel and medium shades. We have got extensive Calendaring equipment including the latest Ramisch Kleineweferwith "Nipco bowls" wide width Sanforising machine and Xetma Combined Peaching/raising machines from Germany.

Chintz Peaching
Wrinkle Free
Teflon Finish
Sanitized Finish
Water Repellent
Down Proof Finish
Silky Flash Soft Finish
Non Iron Finish/Easy Care

Area focused:

Research is concerned with systematic gathering of information. Its purpose is to help us in our search for truth; that would be to know precisely how any person or group would behave in any organizational context. Here the required survey is to check the degree of association of customers with the “Corporate Image”.

The nature of the project is Research-based and has following features:

ü Ongoing research adds to our body of knowledge

ü To keep up with the latest findings & updates

ü In depth studies of marketing concepts

SWOT Analysis of Amtex Limited

Now I will give you a brief look on the Amtex’s strengths, weaknesses, Opportunities and Threats.

Strength:

1- High standards and quality

Amtex having 4th position in the exporting firm of the textile industry, by providing high standard of quality to their customers. Amtex maintain the tradition of quality in products and in the business runs un broken through out the history of the Amtex Limited.

2- Resources

Amtex reach with their advocate’s resources, like financial resources, human resources, technological resources.

Advance Machinery

Amtex have advance machinery use for their production and produced high standard quality products according to customer satisfaction level.

Satisfied customers

Amtex is the growing industry in the textile sector, therefore they offered premium price on their products because customer are willing to pay that amount after receiving the desired quality standards.

Social marketing

Amtex take full advantage form the social marketing. The Amtex square is the big example of the social marketing.

Weakness:

1- Low knowledge of policies

Weaknesses, which the Amtex faces, are, In Amtex the department policies are not well known to the employees.

2- Ignoring local market

Am textile’s more concentration is only on the export they are no paying attention to capture the local community.

3- Centralized decision making

There is a centralize decision making due to which there is delays in decisions taking which required immediate response.

Opportunities:

Amtex people always look opportunities to enter into the new area of export market.

2-Amtex has opportunities to open their sales offices in foreign countries, which is beneficial in attracting more customers from foreign countries, and save cost of hiring agents.

3-Amtex can expand their product line by increasing more made up garments, more stitched garments are made not only for international market but also introduce their garments in the local big shopping centers.

4- Amtex have the opportunities to open big display centers in big cities like Faisalabad, Karachi, Lahore, and Islamabad, which increase its recognition in the customer minds.

Threats:

There is always fear of new entering of competitors in textile sector, therefore you always prepare for the competition.

Amtex always face challenges from the local manufacturing of quilted products, like quilted raise, pillows, bed sheets etc.

Now a day’s all textile faces the complex situation due to political condition of our country.

Due to political instability, the foreign investors are hesitating to do the business with our businesses, which create deficiency of foreign exchange in our country.

Economic condition of our country is very critical; day-by-day our currency value is going down as compare to other developing countries.

Every industry has to face the challenge from their customer-diversifying attitude, therefore they have to try hard to manage their clients and made them loyal customer of your products.

Before entering or targeting new market, management must prepare full plan and program in written format in order to avoid any misunderstanding.

Managing human resources is a very threaten for any company to make them satisfy and happy the administration department has to prepare policies for customer’s safety and security.

PESTEL ANALYSIS OF AMTEX

Political factors;

Political factors that affect the Amtex are the political instability, terrorist attacks, and policies of govt. And the politics that is played among competitors also affect AMTEX. As Amtex is a textile company so it is also influenced with policies of foreign governments, ISO certifications &quality standards.

Economical factors;

Economic recession, inflation rate & low purchasing power of people affect the Amtex.

Social factors;

Amtex contributes so much towards charity purposes & social welfare of society. It is involved in some relief work, generosity towards the poor, supply of medicines to hospitals, construction of Zoo & Amtex square in Faisalabad.

Technological factors;

The change in technology greatly affects the company. As it exists in textile sector, so it has to adopt the new technology to remain in the competition. Amtex has best equipment & state of the art hi-tech machinery available at its premises.

Environmental factors;

The products produced by Amtex do not cause any harm to environment. They are environment friendly.

Legal factors;

On Amtex there are not so much legal restrictions. In spite that govt. supports and facilitates the company as it conducts the production of cloth here which increases the employment rate of country.

Factor chosen for research and analysis

Purpose and Need/Importance for Project Research:

The main objective or the core purpose of the study is to provide a business plan & marketing strategies which will aid Amtex in reviving its position in the textile segment and to make the company more profitable in the long run.

· For the purpose of research study, Selection of Variables

A variable is a general characteristic that can be measured & that changes in amplitude and intensity.

ü Dependent variable is a response that is affected by an independent variable. It is denoted by “Y” and expressed as Y=f (X)

ü I have selected “Corporate Image” as dependent variable.

ü Independent variable is the presumed cause of some change in dependent variable. “in time delivery”, “sales volume”

Research Procedure (methodology):

The following procedure has been adopted so far for research purpose:

· Sampling

Sample is the true representative of the whole population that is going to be studied and on the basis of the information derived from the sample we make decision about the population.

Here I took the Non-Conditional sample of 15 employees (only managers) for the required purpose.

Ø Research Design:

High precision, generalizability and control almost always translate into high costs: whom they will study, where research will be done & the methods they will use to collect data.

The popular research design I opted for is

“Questionnaire Technique”.

ü A sample of respondents was selected to represent a larger group

ü They were surveyed using a questionnaire to collect data on particular characteristics

ü Questionnaire is less costly & economic technique

It provides more efficient way to find out how people feel about issues or how they say they behave.