STRATEGIC INTERVENTIONS FOR UNORGANIZED SECTOR: A CASE OF SURAT‐BASED ZARI INDUSTRY IN INDIA
Renuka Garg and Manish Sidhpuria
ABSTRACT
Surat Zari Industry is one of the oldest Industries in Surat (Gujarat state in the Western part of India) dating back to the 16th century. It enjoys the status of cottage industry since 1955. It is largely a family based, skilled oriented business, experiencing intense rivalry. At present, there are over 6750 Units in Surat contributing to about 70% to 80% of the Country’s Zari production. Around 47500 artisans and workers are employed by the industry, which has an annual turnover of about Indian Rs. 300 crores. A socially and educationally backward community as declared by the Government of Gujarat largely owns the zari manufacturing units. The industry is fast losing its glitter for various reasons and needs some strategic interventions for its revival and growth. The present study is qualitative in nature and was conducted in four phases. Phase‐I helped in getting insights into the industry dynamics, and the challenges and the issues being faced by the industry. In phase‐II of the research, a case study on the industry was developed and was put before 30 management teachers. The discussion brought forth different perspectives to look at the issues and challenges facing the industry. In phase‐III, a series of in‐depth interviews were conducted with the entrepreneurs to elicit their response on challenges being faced by the industry, commonly felt needs and possible strategic interventions to enhance the competitiveness of the industry. In the fourth phase, a workshop for 30 young entrepreneurs from zari industry was conducted. This helped in finding out issues and challenges at firm level. This was followed by the nominal group technique to identify possible strategic interventions. The major challenges that the industry currently face are related to the areas of research and development, marketing, production,
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