Textile Industry in India
Textile Industry in India
Name:
Institution:
TEXTILE INDUSTRY IN INDIA
Introduction
All industries or organizations in the world are influenced by factors such as environmental, legal, technical, social, economic, and political factors, in addition to other factors including emerging globalization, competitive market conditions, labor factors, and government policies. In this case, the paper has defined the Indian textile industry’s macro-economic environment through a PESTLE analysis. Up to the point where the Indian economy was liberalized, the textile industry in the country was basically unorganized. However, the industry has now risen to being the second biggest textile industry in the world, only trailing China. It accounts for 38% of total exports in the country, which makes it a major industry in the country (Singleton, 2007: p22). The factors discussed in this paper affecting the Indian textile industry such as political factors are vital since lack of stability would adversely affect it. Since the economy of India is dependent largely on manufacture and export of textiles with 27% of its foreign exchange coming from the sector, environmental and social factors are also of great influence (Singleton, 2007: p23). Therefore, these factors have been discussed, as have the issues that affect these factors in the textile industry.
Analysis of Macro environment in India The textile industry emerged in the 18th century during the industrial revolution as clothing mass production turned into a major industry. The textile industry in India began as an unorganized industry until liberalization of the economy in the 90s at which point the industry grew dramatically. However, the industry has been affected by various factors such as environmental, legal, technical, social, economic, and political factors.
Political Environment Business enterprise management, as well as that of their policies, is influenced considerably political systems in
Name:
Institution:
TEXTILE INDUSTRY IN INDIA
Introduction
All industries or organizations in the world are influenced by factors such as environmental, legal, technical, social, economic, and political factors, in addition to other factors including emerging globalization, competitive market conditions, labor factors, and government policies. In this case, the paper has defined the Indian textile industry’s macro-economic environment through a PESTLE analysis. Up to the point where the Indian economy was liberalized, the textile industry in the country was basically unorganized. However, the industry has now risen to being the second biggest textile industry in the world, only trailing China. It accounts for 38% of total exports in the country, which makes it a major industry in the country (Singleton, 2007: p22). The factors discussed in this paper affecting the Indian textile industry such as political factors are vital since lack of stability would adversely affect it. Since the economy of India is dependent largely on manufacture and export of textiles with 27% of its foreign exchange coming from the sector, environmental and social factors are also of great influence (Singleton, 2007: p23). Therefore, these factors have been discussed, as have the issues that affect these factors in the textile industry.
Analysis of Macro environment in India The textile industry emerged in the 18th century during the industrial revolution as clothing mass production turned into a major industry. The textile industry in India began as an unorganized industry until liberalization of the economy in the 90s at which point the industry grew dramatically. However, the industry has been affected by various factors such as environmental, legal, technical, social, economic, and political factors.
Political Environment Business enterprise management, as well as that of their policies, is influenced considerably political systems in
References: Bhandari, Anup Kumar & Maiti, Pradip . (2009). Efficiency of Indian Manufacturing Firms: Textile Industry as a Case Study. International Journal of Business and Economics , 71-88. Goswami, Omkar . (2010). Sickness and Growth of India 's Textile Industry: Analysis and Policy Options. Economic and Political Weekly , 2496-2501. Mazumda, Dipak . (2011). Import-substituting industrialization and protection of the small-scale: The Indian experience in the textile industry. World Development , 1197–1213. Roy, Tirthankar . (2010). Economic Reforms and Textile Industry in India. Economic and Political Weekly , 2173-2182. Singleton, John . (2007). The World Textile Industry. London: Routledge .