Dharavi Leather
ravThe Genteel Leather from Dharavi
Abstract
Leather Industry is a traditional industry. The case study focus on the thriving leather market in the Dharavi region in Mumbai – an analysis that explains the problems faced, solution to the problems and the opportunities generated from the efficient procurement, warehousing, packaging and marketing of the leather goods manufactured under a brand.
Introduction
People from near and far know of Dharavi for being Asia's biggest slum spread over parts of the Sion, Bandra, Kurla and Kalina suburbs of Mumbai. But not many people know of the thriving leather handbag industry right along its borders.
Dharavi, for those in the know, is almost synonymous with leather handbags - about 120 leather goods shops are located here, furnished with items manufactured in the region's estimated 5,000 leather workshops. Bags here are made with genuine leather - sheep, buffalo and cow - in the latest colours, designs and shapes. Other leather items such as jackets, belts and wallets are also produced and sold throughout Dharavi.
For retailers with their own manufacturing units, production costs are low, and as goods are often produced in-house, the supplier-to-consumer chain is relatively short.
In the absence of middlemen, many shop owners are able to make a decent profit even whilst selling products at very low prices. The bag would cost about 900 rupees which cost at least 1500. Prices that seem even more remarkable, given that the quality of the bags is at the same standard one would expect to find in any other genuine leather market in India.
But the problems faced by the leather cluster of Dharavi are many – lack of dedicated market, encroachment by outsiders, inefficient warehousing, unskilled labor, use of traditional techniques in manufacturing, inefficient disposal of effluent causing health concerns of the residents.
Threat
Threat
Strength
Strength
Oppurtunity
Oppurtunity
Weakness
Weakness
SWOT Analysis
Abstract
Leather Industry is a traditional industry. The case study focus on the thriving leather market in the Dharavi region in Mumbai – an analysis that explains the problems faced, solution to the problems and the opportunities generated from the efficient procurement, warehousing, packaging and marketing of the leather goods manufactured under a brand.
Introduction
People from near and far know of Dharavi for being Asia's biggest slum spread over parts of the Sion, Bandra, Kurla and Kalina suburbs of Mumbai. But not many people know of the thriving leather handbag industry right along its borders.
Dharavi, for those in the know, is almost synonymous with leather handbags - about 120 leather goods shops are located here, furnished with items manufactured in the region's estimated 5,000 leather workshops. Bags here are made with genuine leather - sheep, buffalo and cow - in the latest colours, designs and shapes. Other leather items such as jackets, belts and wallets are also produced and sold throughout Dharavi.
For retailers with their own manufacturing units, production costs are low, and as goods are often produced in-house, the supplier-to-consumer chain is relatively short.
In the absence of middlemen, many shop owners are able to make a decent profit even whilst selling products at very low prices. The bag would cost about 900 rupees which cost at least 1500. Prices that seem even more remarkable, given that the quality of the bags is at the same standard one would expect to find in any other genuine leather market in India.
But the problems faced by the leather cluster of Dharavi are many – lack of dedicated market, encroachment by outsiders, inefficient warehousing, unskilled labor, use of traditional techniques in manufacturing, inefficient disposal of effluent causing health concerns of the residents.
Threat
Threat
Strength
Strength
Oppurtunity
Oppurtunity
Weakness
Weakness
SWOT Analysis