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Plagiarism Declaration Form

Name: Akshay Kumar

Enrollment Number: 105362542

Course: MSc-FT

1. I know that plagiarism is wrong. Plagiarism is to use anothers work and to pretend that it is ones own.

2. I will use a recognized convention for citation and referencing. Each significant contribution to, and quotation in, my report/ project from the work, or works, of other people has been acknowledged through citation and reference.

3. All reports / projects will be original work completed by myself. I will not use the same material in all my submissions to the department.

4. I will not allow anyone to copy my work with the intention of passing it off as his or her own work.

________________________ Signature of student

15 June 2012 Date

th

FOOTWEAR DESIGN AND DEVELOPMENT INSTITUTE


(Ministry of Commerce & Industry, Government of India) A-10/A, Sector 24, Noida 201301, Gautam Budha Nagar, U.P.

A STUDY OF FOOTWEAR INDUSTRY AND ITS MAJOR PLAYERS (BATA, LIBERTY, ADIDAS AND NIKE)

This Dissertation work was completed in partial fulfillment of the requirements for the Masters Degree in Footwear Technology Footwear Design & Development Institute

Presented by: AKSHAY KUMAR

----------------------------------------(Signature of Student)

This coursework confirms that the study was completed by the student in his best capacity and under the institutes interest in terms of ethical standards of writing which is free from issues of Plagiarism or inappropriate ways of preparing the report.

PRESENTED TO:

Mr. A.K.Mathur

Date: 15th June 2012

ACKNOWLEGDEMENT

It gives me great satisfaction on completion of Project entitled A Study of Footwear Industry and its major players(Bata, Liberty, Adidas and Nike)

On the submission of my project report I would like to express my sincere gratitude to my guide Mr. A.K. Mathur (FDDI, NOIDA) for mentoring me and taking active interest throughout the project.

I am again deeply indebted to M r . A. K . M a t h u r for sharing his insights on the topics and for being a constant source of inspiration andcourage during the entire project work. He was always available, correcting mistakes, intelligently directing me to proper sources of information advising to aim for simplicity, brevity, clarity and accuracy. I am indeed thankful to him for his valuabl e guidance. I would like to thank entire faculty members for sharing their immense experience and extending their support in carrying out thisproject work. I am greatly acknowledged for their kind help .

TABLE OF CONTENT
1) Introduction

of footwear ..............................................................................................5

2) Footwear history..............................................................................................................................6

3) Classification of Footwear.........................................................................................................................8

Shoe Slippers, Sandals, Boots, Chappals

4) Shoe......................................................................................................................8 History of Shoes..9 Parts of shoe..10 Types of shoes..13

5) Interesting Facts: ......21 6) Indian Footwear Industry .....23

Major Production Centers..25 Import, Export of Footwear & Leather Products.26

7) Indian Footwear Market Forecast 201431 SWOT Analysis of India Footwear Industry..36 Current trends of Footwear Industry39 The future of the Footwear Industry.42

8) Major Players of Footwear Industry

1. 2. 3. 4.

Bata..43 Liberty64 Adidas81 Nike.95

FOOTWEAR INDUSTRY
Introduction of footwear Spanish cave drawings from more than 15,000 years ago show humans with animal skins or furs wrapped around their feet. The body of a well-preserved ice-man nearly 5,000 years old wears leather foot coverings stuffed with straw. Shoes, in some form or another, have been around for a very long time. The evolution of foot coverings, from the sandal to present-day athletic shoes that are marvels of engineering, continues even today as we find new materials with which to cover our feet. Has the shoe really changed that much though? We are, in fact, still wearing sandals the oldest crafted foot covering known to us. Moccasins are still readily available in the form of the loafer. In fact, many of the shoes we wear today can be traced back to another era. The Cuban heel may have been named for the dance craze of the 1920s, but the shape can be seen long before that time. Platform soles, which are one of the most recognisable features of footwear in the 1970s and 1990s were handed down to us from 16th century chopines. Then, high soles were a necessity to keep the feet off of the dirty streets. Today, they are worn strictly for fashions sake. The poulaine, with its ridiculously long toes is not that different from the winkle-pickers worn in the 1960s. If one can deduce that basic shoe shapes have evolved only so much, it is necessary to discover why this has happened. It is surely not due to a lack of imagination the colours and materials of shoes today demonstrate that. Looking at shoes from different parts of the world, one can see undeniable similarities. While the Venetians were wearing the chopine, the Japanese balanced on high-soled wooden shoes called geta. Though the shape is slightly different, the idea remains the same. The Venetians had no contact with the Japanese, so it is not a case of imitation. Even the mystical Chinese practise of footbinding has been copied (though to a lesser extent) in our

culture. Some European women and men of the past bound their feet with tape and squashed them into too-tight shoes. In fact, a survey from the early 1990s reported that 88 percent of American women wear shoes that are too small! As one examines footwear history, both in the West and in other parts of the world, the similarities are apparent. Though the shoemakers of the past never would have thought to pair a sandal with a platform sole, our shoe fashions of today are, for the most part, modernised adaptations of past styles.

FOOTWEAR HISTORY

Footwear is estimated to have started its long history of human use during the Ice Age some 5 million years ago. Unkind weather conditions are said to have created the necessity for footwear. Other evidences show that footwear came to use at the end of the Paleolithic Period, at about the same time the early humans learned the art of leather tanning. Early pieces of footwear were made of wrappings, usually made of leather or dried grasses. Later on pieces were developed from an oval piece of leather which is bound by a piece of strong leather thongs. Sandals, which are the first crafted footwear, are the successors to these wrappings. In Egyptian funeral chambers, paintings show the different stages in the preparation of leather and footwear. The images also show that in Egypt, footwear depicted power and class. The Pharaohs sandals were distinguished by the turned up toes, a characteristic which is missing in the commoners footwear. Egyptian sandals were crafted using straw, papyrus, or palm fiber.Lateron, Egyptian women adorned their footwear with precious stones and jewels. Material evidences showed that the Greeks loved and took good care of their feet by using different footwear for different activities. Greek women began wearing sandals to signify their social class. Their footwear signified beauty, elegance, refinement, and extravagance. It has been said that Greek women of bad reputation attracted men by wearing elevated sandals. These sandals create a clacking sound when the wearer moves, and this sound was considered as a symbolic flaunting of sexual charms. In Mesopotamia, leather wrappings are tied to the feet by a strip of the same material.

Romans, on the other hand, created durable leather thongs so their legions can travel to places on foot. It is also believed that foot fetishes began with the Romans when Senator Lucius Vitellus frequently kissed the shoe of his mistress which was hidden in his tunic.

In Rome, footwear also exhibited social class. The consuls wore white shoes, the senators wore brown shoes, and the uniform footwear for the rest of the region was a short pair of boots that uncovered the toes.

But in all of these early civilizations, footwear indicated social status. Footwear consists of garments that are worn over the feet. They are worn mainly for protection and hygiene, but also for fashion and adornment.

Footwear items come from a wide range of materials including leather, rubber, canvass, wood, and plastic. But early pieces were made from available materials like straw, leather, cowhide, and grasses.

When footwear is assembled, the main components are adhesives, cushion, counterfort, heel, hook, insole, laces, sole, steel shank, tack, toe puff, tread, and welt. Generally, footwear is classified into: boots, industrial footwear, shoes, and sandals.

Boots are available as cowboy boots, galoshes, ski boots, thigh length boots, and so on. Industrial footwear includes plastic boots and rubber loafers which are used in laboratories, construction sites, and production lines.

Shoes include athletic shoes (or running shoes), climbing shoes, clogs, high heels, maryjanes, moccasins, mules, loafers, tap shoes, and cross-training shoes. Sandals, on the other hand, include espadrilles, flip-flops or thongs, slide-ons, and slippers. Footwear is considered an extension of ones personality. Well-maintained footwear says things about the owner, with cleanliness as the most important concern. Although the intricacy of this craft may have been lost to modernization, their influences are still present in shoes today.

The moccasins worn in early times by people in cold countries are still being worn there, while the sandal patterned after the Egyptians creation is still frequently used in hotter countries.

Classification of Footwear.

Shoes, Slippers, Sandals, Boots, Chappals

Shoe

A shoe is an item of footwear intended to protect and comfort the human foot while doing various activities. Shoes are also used as an item of decoration. The design of shoes has varied enormously through time and from culture to culture, with appearance originally being tied to function. Additionally fashion has often dictated many design elements, such as whether shoes have very high heels or flat ones. Contemporary footwear varies widely in style, complexity and cost. Basic sandals may consist of only a thin sole and simple strap. High fashion shoes may be made of very expensive materials in complex construction and sell for thousands of dollars a pair. Other shoes are for very specific purposes, such as boots specially designed for mountaineering or skiing.Shoes have traditionally been made from leather, wood or canvas, but are

increasingly made from rubber, plastics, and other petrochemicalderived materials.Until recent years shoes were not worn by most of the world's populationlargely because they could not afford them. Only with the advent of mass production, making shoes available very cheaply, has shoe-wearing become predominant.

History of shoe
The oldest known leather shoe, about 5500 years old, found in Armenia. The earliest known shoes are sandals dating from about 8000 to 7000 BC and found in Oregon, USA in 1938.[5] The world's oldest leather shoe, made from a single piece of cowhide laced with a leather cord along seams at the front and back, was found in a cave in Armenia in 2008 and is believed to date to 3,500 BC. tzi the Iceman's shoes, dating to 3,300 BC, featured brown bearskin bases, deerskin side panels, and a bark-string net, which pulled tight around the foot. However, tanned leather, the material most commonly used for making shoes, does not normally last for thousands of years, so shoes were probably in use long before this. Physical anthropologistErik Trinkaus believes he has found evidence that the use of shoes began in the period between about 40,000 and 26,000 years ago, based on the fact that the thickness of the bones of the toes (other than the big toe) decreased during this period, on the premise that wearing shoes resulted in less bone growth, resulting in shorter, thinner toes.[9][10] The earliest designs were simple affairs, often mere "foot bags" of leather to protect the feet from rocks, debris, and cold. Since shoes use more leather than sandals, their use was more common in cold climates. By the Middle Ages, turn-shoes had been developed with toggled flaps or drawstrings to tighten the leather around the foot for a better fit. As Europe gained in wealth and power, fancy shoes became status symbols. Toes became long and pointed, often to ridiculous proportions. Artisans created unique footwear for rich patrons, and new styles developed. Eventually the modern shoe, with a sewn-on sole, was devised. Since the 17th century, most leather shoes have used a sewn-on sole. This remains the standard for finer-quality dress shoes today. Until around 1800, shoes were made without differentiation for the left or right foot. Such shoes are now referred to as "straights". Only gradually did the modern foot-specific shoe become standard. Since the mid-20th Century, advances in rubber, plastics, synthetic cloth, and industrial adhesives have allowed manufacturers to create shoes that stray considerably from traditional crafting techniques. Leather, which had been the primary material in earlier styles, has remained standard in expensive dress shoes, but athletic shoes often have little or no real leather. Soles,

which were once laboriously hand-stitched on, are now more often machine stitched or simply glued on.

Part of shoe

Sole
The bottom of a shoe is called the sole.

Insole
The insole is the interior bottom of a shoe, which sits directly beneath the foot under the footbed (also known as sock liner). The purpose of insole is to attach to the lasting margin of the upper, which is wrapped around the last during the closing of the shoe during the lasting operation. Insoles are usually made of cellulosic paper board or synthetic non woven insole board. Many shoes have removable and replaceable footbeds. Extra cushioning is often added for comfort (to control the shape, moisture, or smell of the shoe) or health reasons (to help deal with defects in the natural shape of the foot or positioning of the foot during standing or walking). Basically, this is a main part of shoes which can absorb foot sweat. Footbeds should typically use foam cushioning sheets like latex and EVA, which provide good wearing comfort of the shoe.

Outsole
The outsole is the layer in direct contact with the ground. Dress shoes often have leather or resin rubber outsoles; casual or work-oriented shoes have outsoles made of natural rubber or a synthetic material like Polyurethane. The outsole may comprise a single piece, or may be an assembly of separate pieces of different materials. Often the heel of the sole has a rubber plate for durability and traction, while the front is leather for style. Specialized shoes will often have modifications on this design: athletic or so called cleated shoes like soccer, rugby, baseball and golf shoes have spikes embedded in the outsole to grip the ground.

Midsole
The layer in between the outsole and the insole that is typically there for shock absorption. Some types of shoes, like running shoes, have another material for shock absorption, usually beneath the heel of the foot, where one puts the most pressure down. Different companies use different materials for the midsoles of their shoes. Some shoes may not have a midsole at all.

Heel

The bottom rear part of a shoe is the heel. Its function is to support the heel of the foot. They are often made of the same material as the sole of the shoe. This part can be high for fashion or to make the person look taller, or flat for a more practical and comfortable use.

Vamp/upper
Every shoe has an upper part that helps hold the shoe onto the foot. In the simplest cases, such as sandals or flip-flops, this may be nothing more than a few straps for holding the sole in place. Closed footwear, such as boots, trainers and most men's shoes, will have a more complex upper. This part is often decorated or is made in a certain style to look attractive.

Lateral/medial
The outside part of the shoe is referred to as the lateral and the inside facing part of the shoe is the medial. This can be in reference to either the outsole or the vamp.

Welt
A welt is a strip of leather, rubber, or plastic that is stitched to the upper and insole of a shoe, as an attach-point for the sole.

Types of shoes
Dress and casual shoes
Dress shoes are characterized by smooth and supple leather uppers, leather soles, and narrow sleek figure. Casual shoes are characterized by sturdy leather uppers, non-leather outsoles, and wide profile. Some designs of dress shoes can be worn by either gender. The majority of dress shoes have an upper covering, commonly made of leather, enclosing most of the lower foot, but not covering the ankles. This upper part of the shoe is often made without apertures or openings, but may also be made with openings or even itself consist of a series of straps, e.g. an open toe featured in women's shoes. Shoes with uppers made high to cover the ankles are also available; a shoe with the upper rising above the ankle is usually considered a boot but certain styles may be referred to as high-topped shoes or high-tops. Usually, a high-topped shoe is secured by laces or zippers, although some styles have elastic inserts to ease slipping the shoe on.

Men's

This male dress shoe, known as a blucher, is distinguished by its open lacing. Men's shoes can be categorized by how they are closed:

Oxfords (also referred as "Balmorals"): the vamp has a V-shaped slit to which the laces are attached; also known as "closed lacing". The word "Oxford" is sometimes used by American clothing companies to market shoes that are not Balmorals, such as Blchers.

Blchers (American), Derbys (British): the laces are tied to two pieces of leather independently attached to the vamp; also known as "open lacing" and is a step down in dressiness.

Monk-straps: a buckle and strap instead of lacing Slip-ons: There are no lacings or fastenings. The popular loafers are part of this category, as well as less popular styles, such as elastic-sided shoes.

Men's shoes can also be decorated in various ways:


Plain-toes: have a sleek appearance and no extra decorations on the vamp. Cap-toes: has an extra layer of leather that "caps" the toe. This is possibly the most popular decoration.

Brogues (American: wing-tips): The toe of the shoe is covered with a perforated panel, the wing-tip, which extends down either side of the shoe. Brogues can be found in both balmoral and blucher styles, but are considered slightly less formal.

Men's shoes on display in a shopping outlet. Formal high-end men's shoes are manufactured by several companies around the world, most notably in England, France, Italy, and America. Notable British brands include: Church's English Shoes (est. 1873), John Lobb Bootmaker (est. 1849), Edward Green Shoes (est. 1890), and Crockett & Jones (est. 1879). Both John Lobb and Edward Green offer bespoke products. In between the world wars, men's footware received significant innovation and design, led by

cobblers and cordwainers in London's West End.[11]The most notable French product is made by J.M. Weston. Armani of Italy was a major influence on men's shoe design in the 1960s-1980s until they returned to the larger proportions of its forebears, the welt-constructed AngloAmerican dress shoe originally created in Edwardian England. Another well-known Italian company is Salvatore Ferragamo Italia S.p.A.. The remaining elite American companies are Allen Edmonds and Alden Shoe Company. Alden, located in New England, specializes in genuine shell cordovan leather from the only remaining horse tannery in America (Chicago)[12] and is completely manufactured in America, whereas Allen Edmonds, of Wisconsin, is a larger company that outsources some of its production.[13]

Women's

Women's shoes on display in a shop window, 2005 There is a large variety of shoes available for women, in addition to most of the men's styles being more accepted as unisex. Some broad categories are:

High-heeled footwear is footwear that raises the heels, typically 2 inches (5 cm) or more above the toes, commonly worn by women for formal occasions or social outings. Variants

include kitten heels (typically 1-2 inches high) and stilletto heels (with a very narrow heel post) and wedge heels (with a wedge-shaped sole rather than a heel post).

Sneaker boot or sneaker pump: a shoe that looks like an athletic shoe, but is equipped with a heel, making it a kind of novelty dress shoe.

Mules are shoes or slippers with no fitting around the heel (i.e. they are backless) Slingbacks are shoes which are secured by a strap behind the heel, rather than over the top of the foot.

Ballet flats, known in the UK as ballerinas, ballet pumps or skimmers, are shoes with a very low heel and a relatively short vamp, exposing much of the instep. They are popular for warm-weather wear, and may be seen as more comfortable than shoes with a higher heel.

Court shoes, known in the US as pumps, are typically high-heeled, slip-on dress shoes.

Women's high heel pump

Unisex

The flip-flop sandal, worn both by men and women


Clog Platform shoe: shoe with very thick soles and heels Moccasin: originated by Native Americans, a soft shoe without a heel and usually made of leather.

Sandals: open shoes consisting of a sole and various straps, leaving much of the foot exposed to air. They are thus popular for warm-weather wear, because they let the foot be cooler than a closed-toed shoe would.

Espadrilles are casual flat warm-weather shoes of a style which originated in the Pyrenees. They usually have a cotton or canvas upper and a flexible sole of rope or rubber. There are high-heeled versions for women.

Saddle shoe: leather shoe with a contrasting saddle-shaped band over the instep, typically white uppers with black "saddle".

Slip-on shoe: a dress or casual shoe without laces; often with tassels, buckles, or coin-holders (penny loafers).

Boat shoes, also known as "deck shoes": similar to a loafer, but more casual. Laces are usually simple leather with no frills. Typically made of leather and featuring a soft white sole to avoid marring or scratching a boat deck. The first boat shoe was invented in 1935 by Paul Sperry.

Boots: Long shoes (covering the ankle) frequently made of leather. Some are designed to be used in times of bad weather, or simply as an alternate style of casual or dress wear. Styles include rubber boots and snow boots, as well as work boots and hiking boots.

Slippers: For indoor use, commonly worn with pajamas. VibramFiveFingers, meant to simulate the "natural" experience of going barefoot, while protecting the foot

Sneakers or Canvas shoes

Athletic

Today the most popular shoe globally: the sports shoe adapted for everyday use Men's and women's athletic shoes and special function shoes often have less difference between the sexes than in dress shoes. In many cases these shoes can be worn by either sex. Emphasis tends to be more on function than style.

Running shoes: very similar to above, with additional emphasis on cushioning. Track spikes: lightweight; often with plastic or metal cleats Cleat (shoe): a type of shoe featuring molded or removable studs. Usually worn while playing sports such as rugby, football, American football, or baseball.

Golf shoes: with "spikes" for better grip in grass and wet ground. Originally the spikes or "cleats" were made of metal but replaceable "soft spikes" made of synthetic plastic-like materials with prongs distributed radially around the edge of each spike are much more common today (and are required on many golf courses since they cause less damage to the greens).

Bowling shoes: intermediate style between ordinary dress shoes and athletic shoes. They have harder rubber soles/heels so as not to damage bowling alley floors. They are often rented or loaned at bowling alleys.

Climbing shoes: a shoe designed for rock climbing. They typically have a close fit, little if any padding, and a smooth sticky rubber sole with an extended rubber rand.

Hiking shoes or boots: usually have a high somewhat stiff upper with many lace eyelets, to provide ankle support on uneven terrain, with extra large traction on the sole.

Walking shoes: have a more flexible sole than the running shoe, lighter in weight than the hiking boot, may have air holes, may not be water proof.

Skating shoes: typically called skates. They have various attachments for skating on the bottom of the shoe portion.
o

Ice skates

o o

Roller skates Inline skates

Ski boot: a large, thick plastic boot specially designed for attachment to the ski. Skate shoes: specifically designed for use in Skateboarding, the shoes are manufactured with flat soles as to allow a skateboarder to have better grip when riding a skateboard. They are very wide and have extra layers of padding to protect the skateboarders feet.

Cycling shoes are equipped with a metal or plastic cleat to interface with clipless pedals, as well as a stiff sole to maximize power transfer and support the foot.

Snowshoes are special shoes for walking in thick snow. In temperate climates, snowshoes are used for mostly recreational purposes in winter.

Wrestling shoes are light, flexible shoes that mimic bare feet while providing additional traction and protection.

Orthopedic
Orthopedic or "comfort" shoes are made with pedorthic and anatomically-correct comfort qualities, such as padded removable footbeds, wide toe boxes and arch support are made especially for those with problematic feet.

Dance

Pointe shoes are designed for ballet dancing. These have a toe box that is stiffened with glue and a hardened sole so the dancer can stand on the tips of their toes. They are secured by elastic straps and ribbons that are tied to the dancer's ankles.

Ballet shoes are soft, highly pliable shoes made of canvas or leather, with either continuous or two-part sole (also called split-sole). The sole is typically made of leather, with thicker material under the ball and heel of the foot, and thinner and thus more flexible material under the arch so that the foot can be pointed to its utmost. Ballet slippers are usually secured by elastics that cross over the top of the foot. They are most commonly pink, white, black, or pale tan, although they may be made in specialty colours such as red or blue.

Ghillies are soft shoes that are used in Irish dance, Scottish country dance, and highland dance.

Jazz shoes typically have a two-part, rubberized sole (also called split-sole) to provide both flexibility and traction, and a low (one inch or shorter) heel. They are secured to the foot by laces or elastic inserts.

Tango and Flamenco shoes are used for dancing the tango or flamenco. Ballroom shoes fall into two categories: Ballroom and Latin American. Both are characterised by suede soles. Men's ballroom shoes are typically lace-ups with one-inch heels and patent leather uppers. Ladies' ballroom shoes are typically court shoes with twoinch heels, made of fabric that can be colored to match the dancer's dress. In contrast to the low Ballroom heel, which evenly distributes weight across the foot, Latin American shoes have higher heels designed to shift weight onto the toes. Latin shoes are also more flexible than ballroom shoes. Men's Latin shoes typically have 1.5- to 2-inch high, shaped heels, while Ladies' Latin shoes have 2,5-inch to 3-inch heels. Ladies shoes are typically open-toed and strapped.

Dance sneakers. Also known as dansneakers, these are a combination of a sneaker and a dance shoe, with a reinforced rubber toe.

Character shoes have a one to three inch heel, which is usually made of leather, and often have one or more straps across the instep to secure it to the foot. They may come in softsoled (suede) or hard-soled varieties. They may be converted to tap shoes by attaching taps.

Foot thongs are known by various names depending on the manufacturer, including dance paws, foot undies, and foot paws. They are slip-on, partial foot covers that protect the ball of a dancer's foot from skin abrasions while executing turns. From a distance, flesh colored foot thongs give a dancer the appearance of having bare feet.

Tap shoes have metal plates mounted to the bottoms of the toe and heel. The metal plates, which are known as taps, make a loud sound when struck against a hard performance surface. Tap shoes, which are used in tap dancing, may be made from any style of shoe to which taps can be attached.

Few Interesting Facts: - The Indian footwear retail market is expected to grow at a CAGR of over 20%
spanning from 2008 to 2011. for the period

- Footwear is expected to comprise about 60% of the total leather exports by 2011 from over 38% in 2006-07.

- Presently, the Indian footwear market is dominated by Men's footwear market that accounts for nearly 58% of the total Indian footwear retail market.

- By products, the Indian footwear market is dominated by casual footwear market that makes up for nearly two-third of the total footwear retail market. - As footwear retailing in India remain focused on men's shoes, there exists a plethora of opportunities in the exclusive ladies' and kids' footwear segment with no organized retailing chain having a national presence in either of these categories. - The Indian footwear market scores over other footwear markets as it gives benefits like low cost of production, abundant raw material, and has huge consumption market. - The footwear component industry also has enormous opportunity for growth to cater to increasing production of footwear of various types, both for export and domestic market.

Indian footwear industry

Indian leather industry is the core strength of the Indian footwear industry. It is the engine of growth for the entire Indian leather industry and India is the second largest global producer of footwear after China. Reputed global brands like Florsheim, Nunn Bush, Stacy Adams, Gabor, Clarks, Nike, Reebok, Ecco, Deichmann, Elefanten, St Michaels, Hasley, Salamander and Colehaan are manufactured under license in India. Besides, many global retail chains seeking quality products at competitive prices are actively sourcing footwear from India. While leather shoes and uppers are produced in medium to large-scale units, the sandals and chappals are produced in the household and cottage sector. The industry is poised for adopting the modern and state-of-the-art technology to suit the exacting international requirements and standards. India produces more of gents footwear while the worlds major production is in ladies footwear. In the case of chapels and sandals, use of non-leather material is prevalent in the domestic market. Leather footwear exported from India are dress shoes, casuals, moccasins, sport shoes, horrachies, sandals, ballerinas, boots. Non-leather footwear exported from India are Shoes, Sandals and Chappals made of rubber, plastic, P.V.C. and other materials. With changing lifestyles and increasing affluence, domestic demand for footwear is projected to grow at a faster rate than has been seen. There are already many new domestic brands of footwear and many foreign brands such as Nike, Adidas, Puma, Reebok, Florsheim, Rockport, etc. have also been able to enter the market. The footwear sector has matured from the level of manual footwear manufacturing methods to automated footwear manufacturing systems. Many units are equipped with In-house Design Studios incorporating state-of-the-art CAD systems having 3D Shoe Design packages that are intuitive and easy to use. Many Indian footwear factories have also acquired the ISO 9000, ISO 14000 as well as the SA 8000 certifications. Excellent facilities for Physical and Chemical testing exist with the laboratories having tie-ups with leading international agencies like SATRA, UK and PFI, Germany.

One of the major factors for success in niche international fashion markets is the ability to cater them with the latest designs, and in accordance with the latest trends. India, has gained international prominence in the area of Colours & Leather Texture forecasting through its outstanding success in MODEUROP. Design and Retail information is regularly made available to footwear manufacturers to help them suitably address the season's requirement. The Indian Footwear Industry is gearing up to leverage its strengths towards maximizing benefits. Strength of India in the footwear sector originates from its command on reliable supply of resources in the form of raw hides and skins, quality finished leather, large installed capacities for production of finished leather & footwear, large human capital with expertise and technology base, skilled manpower and relatively low cost labor, proven strength to produce footwear for global brand leaders and acquired technology competence, particularly for mid and high priced footwear segments. Resource strength of India in the form of materials and skilled manpower is a comparative advantage for the country. The export targets from 2007-08 to 2010-11 as tabulated below reflects the fact that footwear sector is the most significant segment of the Leather Industry in India. India has emerged in recent years as a relatively sophisticated low to medium cost supplier to world markets The leather industry in India has been targeted by the Central Government as an engine for economic growth. Progressively, the Government has prodded and legislated a reluctant industry to modernise. India was noted as a supplier of rawhides and skins semi processed leather and some shoes.

In the 1970s, the Government initially banned the export of raw hides and skins, followed this by limiting, then stopping the export of semi processed leather and encouraging local tanneries to manufacture finished leather themselves. Despite

protestations from the industrialists, this has resulted in a marked improvement in the shoe manufacturing industry. India is now a major supplier of leather footwear

to world markets and has the potential to rival China in the future (60% of Chinese exports are synthetic shoes). India is often referred to as the sleeping giant in footwear terms. It has an installed capacity of 1,800 million pairs, second only to China. The bulk of production is in mens leather shoes and leather uppers for both men and ladies. It has over 100 fully mechanised, modern shoe making plants, as good as anywhere in the world (including Europe). It makes for some upmarket brands including Florsheim (US), Lloyd (Germany), Clarks (UK), Marks and Spencer (UK). India had mixed fortunes in its recent export performance. In 2000, exports of shoes were US$ 651 million, in 2001 these increased to 663 million but declined in 2002 to 623 million dollars (See Statistics). The main markets for Indian leather shoes are UK and USA, which between them take about 55% of total exports. India has not yet reached its full potential in terms of a world supplier. This is due mainly to local cow leather that although plentiful, has a maximum thickness of 1.4 1.6mm, and the socio / political / infrastructure of the country. However, India is an excellent supplier of leather uppers. Importation of uppers from India does not infringe FTA with Europe or the USA. The potential is set to change albeit slowly, but with a population rivalling China for size, there is no doubt the tussle for world domination in footwear supply is

between these two countries.

Major Production Centers

The major production centers for footwear and leather products are located in:

Tamil Nadu - Chennai, Ambur, Ranipet, Vaniyambadi, Trichy, Dtndtgul West Bengal - Kolkata Uttar Pradesh - Kanpur, Agra & Noida Punjab - Jallandhar Karnataka - Bangalore Andhra Pradesh - Hyderabad Haryana - Ambala, Gurgaon, Panchkula and Karnal,Delhi

Import ,Export of Footwear & Leather Products Indian Footwear Industry in a Nutshell: -Second largest footwear producer after China -2.06 billion pairs produced in an year -16 % of the global production is produced in India -Contract manufacturers supply to leading global brands - 644 Member produces situated as clusters at Chennai, Ambur, Ranipet, Kanpur, Agra, Mumbai, Delhi and Karnal The export of Leather and Leather Products for the period April-March 2007-08 touched US$3477.52 million against the performance of US$3059.43 million in the corresponding period of last year, registering a positive growth of 13.67% in Dollar Terms. In rupee terms the export touched Rs.140007.33 million against the previous years performance of Rs.138437.84 million showing a positive growth of 1.13%. The export value during 2006-07 was revised upwards by DGCI&S, from US$2981,79 million (Rs.134924.39 million) to US$3059.43 million {Rs.138437.84 million).

A Statement showing the Product-wise Export performance during April-March 2007-08 visa-vis April-March 2006-07 is given below: (In Million Rs.)

Major Highlights
Export of Footwear (leather, footwear components & non-Leather footwear) has increased from US$1236.91 million in April-March 2006-07 to US$1475.83 million in April-March 2007-08, registering a growth of 19.32% In Dollar terms, Leather footwear has alone grown by 19.45%, footwear components by 21.05% and Non-Leather footwear by 7.39% Export of Leather Garments has increased by 11.00%, Saddlery& Harness by 28.53%, and Leather Goods by 11.14% Export of Finished Leather has increased by 5.93

The export targets from 2007-08 to 2010-11


(In Million US$)

Product Leather Footwear Garments Leather Goods Saddlery & Harness Total

2006-07 Actual Export 688.05 1212.25 308.98 690.66 81.85 2981.79

2007-08 726.85 1967.88 358.53 733.34 105.66 3892.26

2008-0 2009-10 785.00 2597.60 372.87 798.69 127.85 4682.01 847.80 3428.83 387.78 870.06 154.70 5689.17

2010-11 915.63 4526.05 403.30 948.04 187.19 6980.21

export target from 2007-8 to 2010-11


product 686.05 1212.25 308.98 690.66 81.85 leather footwear garment leather goods saddlery & harness total

2981.79

INDIA S FOOTWEAR EXPORT GROWTH OVER THE LAST FOUR DECADES

Current Export of Footwear and Projections by 2010-11

Port-wise Export Performance


As per the Port-wise compilation for the period April-March 2007-08, export of Leather and Leather Products from South, West, East and Central Regions are showing positive growth. However, there is a decline of 0.16% from Northern Region.(In Million US$)

Indian Scenario:

The Footwear Industry is a significant chunk of the Leather industry in India. India ranks second among the footwear producing countries next to China. The industry is labor intensive and is concentrated in the small and cottage industry sectors. While leather shoes and uppers are concentrated in large-scale units, the sandals and chappals are produced in the household and cottage sector. India produces more of gents footwear while the worlds major production is in ladies footwear. In the case of chappals and sandals, use of non-leather material is used to manufacture these in the domestic market. Reputed global brands like Florsheim, Nunn Bush, Stacy Adams, Gabor, Clarks, Nike, Reebok, Ecco, Deichmann, Elefanten, St Michaels, Hasley, Salamander and Colehaan are manufactured under license in India. Besides, many global retail chains seeking quality products at competitive prices are actively sourcing footwear from India. The industry is on the edge of adopting the modern and state-of-the-art technology to suit the exacting international requirements and standards. The Indian Footwear Industry is all set for leveraging its strengths towards maximizing benefits. Strength of India in the footwear sector originates from its command on reliable supply of resources in the form of raw hides and skins, quality finished leather, large installed capacities for production of finished leather & footwear, large human capital with expertise and technology base, skilled manpower and relatively low cost labor, proven strength to produce footwear for global brand leaders and acquired technology competence, particularly for mid and high priced footwear segments. India has the competitive advantage over other countries in the form of materials and skilled manpower. The Indian footwear retail market is expected to grow at a CAGR of over 20% for the period spanning from 2008 to2011. Footwear is expected to comprise about 60% of the total leather exports by 2011 from over 38% in 2006-07. Presently, the Indian footwear market is dominated by Men's footwear market that accounts for nearly 58% of the total Indian footwear retail market. By products, the Indian footwear market is dominated by casual footwear market. As footwear retailing in India remains focused on men's shoes, there exists a plethora of opportunities in the exclusive ladies' and kids' footwear segment. The Indian footwear market scores over other footwear markets as it gives benefits like low cost of production, abundant raw material, and has huge consumption market. India is now a major supplier of leather footwear to world markets and has the potential to rivalChina in the future (60% of Chinese exports are synthetic shoes).

India is often referred to as the sleeping giant in footwear terms. It has an installed capacity of 1,800 million pairs, second only to China. The bulk of production is in mens leather shoes and leather uppers for both men and ladies. It has over 100 fully mechanized, modern shoe making plants, as good as anywhere in the world (including Europe). It makes for some up market brands including Florsheim (US), Lloyd (Germany), Clarks (UK), Marks and Spencer (UK)

Major Markets for Indian Footwear:


The European Union and the USA are the major markets for Indian Footwear accounting for 79.95% and 9.22% share respectively in Indias total footwear export. The major markets for Indian Footwear are Germany 16.66%, UK 16.31%, Italy 15.32%, USA 9.22%, France 7.81%, Spain 5.10%, Netherlands 4.91%, Portugal 2.50%, UAE 2.48% and Denmark 1.18%. These 10 countries together accounts for nearly 81.49% of Indias total leather products export

Indian Footwear Market Forecast 2014


India is standing on the threshold of a retail revolution and witnessing fast changing retail scenario, with footwear market set to experience phenomenal growth in coming years. Besides, the entry of numerous international players has had a significant impact on the Indian footwear

market and the demand for Indian footwear will continue to grow in future as well, says our recent report, According to our latest study on the sector, Indian footwear industry possess significant potential with overall market anticipated to grow at a CAGR of around 9% during 2011-2014. The report thoroughly discusses factors, which will drive the growth of the footwear market during the forecast period. Our research highlights that, the success mantras for footwear market in India lies in the advantages offered by the country, such as low labor cost, skilled working professionals, etc. Footwear industry in the country ranked second across the globe after China in terms of production. Additionally, it is the main growth driver of the overall leather exports from the country, with majority of the share acquired by footwear components and leather & non-leather footwear. The report covers various aspects of the Indian footwear market. It presents detail analysis of the footwear market in terms of segment (men, women, and kid), category (casuals, mass, sports, premium). Each section sufficiently explains the current and future market trends, and developments in the Indian footwear market. Our research foresees immense opportunities for various industry players including domestic as well as international. Besides, we have comprehensively analyzed the emerging trends, like medical shoe and ecommerce, which are expected to prevail in near future. This will help clients in understanding the present and future outlook of the footwear market and developments in the country. Further, the study also evaluates various strategies that will boost the footwear market in India.

Positive Outlook for footwear and leather industry:

The National Manufacturing Competitiveness Council (NMCC) has identified the sector as one of the twelve focus manufacturing sectors in terms of competitiveness and untapped potential in the country.

The sector is one of the top eight foreign exchange earners of the country worth Rs. 10,000 crores per annum and accounting for 2.5 percent of the global leather-related trade

of Rs. 387,200 crores. An estimated 15 percent of total purchase of leading global brands in footwear, garments, leather goods & accessories, in Europe, and 10 percent of global supply is outsourced from India.

Deliberating upon the current scenario, the Report states that the leather industry employs about 2.5 million people and has annual turn over of Rs. 25,000 crores. Nearly 60-65 percent of the production is done by small / cottage sector.

In tune with the whole sector, the Indian footwear industry too obtains 90 percent production in SMEs, having about 42,000 units registered under SSI, concentrated largely in Agra, Kanpur and Tamil Nadu. Most of the SSI units are also into the production of non-leather footwear.

The footwear segment is the pride of India's leather industry, and ranks second in the world, next to China. The global trade in leather footwear is US$ 30 billion and in nonleather footwear is US$ 18 billion; however India's share in both segments is only marginal -1.4 percent and 0.15 percent respectively.

In the last five years, the leather footwear and footwear component production increased by 60 percent, the consumption of footwear in rural India is 75 percent of the total. An interesting aspect of India's footwear industry is that India produces more of gents' footwear while the world's major production is in ladies footwear.

Analyzing the export - import potential of the sector, the Report informs that imports mostly comprise of hides and skins, semi finished and finished leather. Product imports are low.

On the other hand, almost 50 percent of the total domestic production is exported. Nearly 75 percent of the total export of footwear components is from the Southern Region, the Northern Region, being a poor second with 13 percent. Increased value of export of footwear from Rs 2957.5 crores in 2005 to Rs. 11,000 crores by 2012 is envisaged. Annual export earnings from the Footwear and Leather sector were US$ 2.1 billion in 2003-04 and the sector ranks 8th among the top 10 sectors in India's export list at 2.74 percent.

In addition to the global market, Indian Leather Industry is yet to capture the existing untapped potential in the domestic market. India has a large and growing consumer class

(annual income > US$ 449), estimated to constitute nearly 90 million households by 2006 - 07, having with a CAGR around 12 percent. This is a large and growing market for Footwear and Leather goods, the Report further stressed.

The distinct advantages of the Footwear & Leather industry in India, highlighted in the Report are low costs; variety & abundance of raw material; quality consciousness and back up; R & D facilities with extension support enables India as a significant participant in the world Footwear & Leather market. As per the current scenario; the Footwear & Leather Industry in India is spread largely over unorganized sector, comprising tanning & finishing, footwear & footwear components, leather garments, leather goods including saddlery& harness, etc.

Stressing on the improvement areas in infrastructure and investment in the Sector, the Report states that an estimated investment in the entire footwear and leather sector in India is approximately Rs. 4,500 crores and annual production is at Rs. 22,000 crores.

However, India seems to have missed out the investments in the footwear industry with China getting most of the benefit by attracting 10 times more investments than India in the last 20 years.

It can be said that India has not been alive to its potential in this matter. India's loss has been China's gain. India's lack of awareness of its potential and its belated recognition of this sector have been to be made good speedily.

Though the Leather Industry, especially the Footwear industry has made a strong contribution to the Indian economy, India's share in global trade remains low, however being a labour intensive industry, its contribution to employment is significant.

In a recent study carried out by NMCC, it was highlighted that total employment in this sector would amount to 2.5 million (30 percent of which are women).

Footwear industry provides employment to the uneducated population - 40 percent of employment is represented by unskilled workers doing table work operation in the assembly line.

Large employment opportunities on the input side - minority community and low caste people have their sole source of livelihood from collecting carcasses, skinning dead animals and tanning leather.

The Footwear industry has potential to provide employment across all sections of the economy Industry estimates of employment potential 3 lakh jobs in next 3 years.

The potential for employment is across all skills to the tune of semi-skilled and unskilled labourers - 92 percent; technical supervisory, shop floor - 7 percent; entrepreneurs, senior managers and technologists - 1 percent.

Indian Footwear and Leather industry is clearly optimistic about the future. To protract this optimism, State Governments must ensure that they are able to create an attractive and enabling environment. CII believes this can be achieved through openness to investments, good governance and robust infrastructure.

SWOT Analysis of Indian Footwear Industry


STRENGTHS:

Existence of more than sufficient productive capacity in tanning. Easy availability of low cost of labour. Exposure to export markets. Managements with business background become quality and environment conscious. Presence of qualified leather technologists in the field. Comfortable availability of raw materials and other inputs. Massive institutional support for technical services, designing, manpower development and marketing.

Exporter-friendly government policies. Tax incentives on machinery by Government.

Well-established linkages with buyers in EU and USA.

WEAKNESSES:

Low level of modernisation and upgradation of technology, and the integration of developed technology is very slow.

Low level of labour productivity due to inadequate formal training / unskilled labour. Horizontal growth of tanneries. Less number of organised product manufacturers. Lack of modern finishing facilities for leather. Highly unhygienic environment. Unawareness of international standards by many players as maximum number of leather industries are SMEs.

Difficulties in accessing to testing, designing and technical services. Environmental problems. Non availability of quality footwear components Lack of fresh investment in the sector. Uneconomical size of manufacturing units. Competition among units vying for export orders leading to undercutting. Little brand image. Poor labour productivity. Lack of awareness about consistent in

plant training and retraining- Inconsistent quality high rejection rate Lack of quality job work units

Delayed deliveries Weak support infra- structure for exports Low machine and material productivity.

OPPORTUNITIES:

Abundant scope to supply finished leather to multinationals setting up shop in India. Growing fashion consciousness globally.

Use of information technology and decision support software to help eliminate the length of the production cycle for different products

Product diversification - There is lot of scope for diversification into other products, namely, leather garments, goods etc.

Growing international and domestic markets. Exposure to newer markets through Fairs/ BSMs Retain customers through quality supplies and timely deliveries Aim to present the customer with new designs, infrastructure, country & company profiles.

Use of modern technology Exhibit strengths in manufacturing, for example, strengths in classic shoe manufacturing, hand crafting etc.

De-reservation of the footwear sector.

THREATS:

Entry of multinationals in domestic market. Stiff competition from other countries.(The performance of global competitors in leather and leather products indicates that there are at least 5 countries viz, China, Indonesia, Thailand, Vietnam and Brazil, which are more competitive than India.)

Non- tariff barriers - Developing countries are resorting to more and more non tariff barriers indirectly.

Improving quality to adapt the stricter international standards. Fast changing fashion trends are difficult to adapt for the Indian leather industries. Limited scope for mobilising funds through private placements and public issues, as many businesses are family-owned.

Current trends of footwear industry

The Indian economy has shown a positive growth with gross domestic product expected to grow at a rate of over 9 per cent in 2011-12. The leather and footwear industry has been growing at over 20% for the period spanning 2008 to 2011. Footwear alone has been projected to make up about 60% of the total leather exports in the current fiscal. Given this growth, India's position as a manufacturing footwear centre and a producer of leather and fashion accessories has been gaining international recognition. To help boost the Indian economic and business environment, fMM&T 2011 provides an ideal platform to meet business prospects, clients & partners all in one location.

Delcam's new technology revolotionises the footwear Industry


Delcam, one of the world's top suppliers of CADCAM software product development solutions for the manufacturing industry, has developed rapidly since its establishment in 1977. Also being one of the largest software companies, Delcam witnessed its business expansion in the Asia-Pacific region, particularly in China in recent years.

With the launch of Delcam Crispin OrthoScan, a 3D laser foot scanner, many people, especially those who need orthopaedic repair and refurbishments have benefited a lot from this customized service. OrthoScan scans the foot, ankle and lower leg using the I-Ware USB 3D laser scanner, and provides an STL template of the scanned foot, then to import into OrthoLast, which imports the scanned foot data in STL format.

OrthoLast imports the scanned foot STL, template, then modifies the shape from an existing last into a new customer last, in relation to the scanned foot. It exports the new last for milling and transfers the last data to OrthoStyle and/or Ortho Design that builds on the functionality of Ortho Style to provide a comprehensive 3D footwear design system.

The advanced technique collects accurate information and provides a template of each foot, then the data will be used to help create customer's last, and sometimes, more economically, the insoles.

"I have been wearing these insoles since last summer, proximately one year now. As a distance runner, I run a hundred miles every week, so I am in pain in my knees and hips because I am getting older, " said Stuart Stokes, a British steeplechaser who won the 4th place in the last Commonwealth Games.

"Since I put these insoles in, it comforts my body and my pain has gone. So because the pain in my knees and hips has gone, it allows me to train harder, mentally as well. Every day when you are in pain, it is very different," added Stokes.

"Now with the insole, I can train longer. I hope this summer it will increase my performance and hope to have better results in the Beijing Olympics. I have quite a few of personal performances. Sometime winning races means a lot to you; other time you don't win the race, and you know you did you best. That can be equally as good. " noted the steeplechaser.

The future of the footwear industry


Representatives from some of the most influential names in footwear and leather attended to hear industry experts provide insight into the rapidly changing global marketplace. Opening the event, Johs Knudsen, ECCOs Vice President of Business Development, discussed how complete ownership of the supply chain can become a competitive advantage, enabling quick reaction to retail demand. He highlighted a general industry shift from production push and sell commercial models to better identification of market demand to generate supply, while using time zones as a global production advantage. Pittards Chief Executive, RegHankey, then stressed how maintaining a source of good quality material is a global challenge and revealed that, post-recession, there could be 5 million fewer cattle hides available. He suggested that an important role for SATRA is to help companies

better understand legislation, including REACH and DMF, and determine the most appropriate testing throughout the supply chain. MrHankey concluded with two thought-provoking questions: will oil-based synthetic materials be impacted by diminishing global oil reserves, and what will global population growth mean for supply and demand of leather and materials?

Exploring ethical issues


The next speaker was Lesley Roberts, Director of Corporate Responsibility at the Pentland Group, which claims to have reduced its landfill waste by 50 per cent in 12 months. Ms Roberts explored a variety of ethical issues, including how climate change will affect the amount of available leather, and how synthetic materials require considerable energy to produce. She suggested that China is no longer so focused on footwear exports, increasingly finding local markets more interesting. Ms Roberts pointed out that the industry needs help from SATRA with restricted substances and the environment, and left delegates with a probing question: What will you do if you find child labour in the supply chain? Steve Smith, Supply Chain Director at Clarks, described his companys online presence and revealed how control of stock for home delivery and in-store use has been combined to provide an integrated control procedure. Mr Smith commented that wholesale customers are starting to look for retail-type support models, and that his main challenge is to balance minimal stock levels with high availability never easy at the best of times. DESMAs General Manager, Klaus Freese, picked up on Chinas possible shift from footwear export to a domestic market, and proposed that modern technology, production processes and quality control at source will mean competitive footwear production anywhere in the world. He highlighted that there is currently no cost advantage in using recycled materials in footwear production.

The conference closed with a question and answers to a panel of speakers and members of the SATRA Research Team, a conclusion being reached that the industry is probably not currently investing enough in research and innovation to turn challenge into opportunity. SATRAs Research Team Leader, John

Hubbard, commented that investment in innovation will provide the future products demanded by future markets. There was a consensus that the whole supply chain has collective responsibility for consumer needs and future generations. Feedback from the day showed that all in attendance found the event and the subjects discussed useful even essential. Members see SATRA as being central to the debate and will look to the Technology Centre to play an important part in helping the industry face the challenges and opportunities.

Major Players Of Footwear Industry

ABOUT BATA
Bata is one of the world's leading footwear retailers and manufacturers with operations across 5 continents managed by 4 regional commercial business units (CBUs). The MBU approach provides quality resources and support in key areas to the companies operating in similar markets such as product development, sourcing or marketing support. Each MBU is entrepreneurial in nature, and can quickly adapt to changes in the market place and seize potential growth opportunities.

Bata's strength lies in its worldwide presence. While local companies are self-governing, each one benefits from its link to the international organization for back-office, systems, product innovations and sourcing.

Although Bata operates in a wide variety of markets, climates and buying power Bata companies share the same leadership points. Two important ones are product concept development and constant improvement of business processes in order to offer customers great value and the best possible service.

Management - Bata India


Name P M Sinha Rajeev Gopalakrishnan U Khanna J G N Clemons Akshay N Chudasama Name M Villagran F M Hussein J Carbajal Atual Singh UdayKhanna Designation Director Additional Director Director Director Independent Director Designation Managing Director Director (Finance) Director Independent Director Chairman / Chair Person

History of Bata footwear Industry


1931 - Bata India Limited the Company was incorporated at Calcutta. The Company Manufacture and market of all types of footwear, footwear components, leather and products allied to footwear trade.

Bata was originally promoted as Bata Shoe Co Pvt Ltd by Leader AG, Switzerland, a member of the Toronto-based multinational, Bata Shoe Organisation (BSO). It became a public limited company in 1973 and the name was changed to Bata India Ltd.

1952 - In Mokamehgat, a tannery was established and a hide purchasing centre was also set up there. Another factory was constructed at Faridabad. 1973 - With the public issue of capital in June, Leader A.G. St. Moritz, Switzerland offered for sale 5,00,000 shares out of their holdings at a premium of Rs 20 per share (2,00,000 shares each to LIC and UTI and 1,00,000 shares to the public). 1977 - Leader A.G. St. Moritz, Switzerland offered for sale 8,00,000 shares at a premium of Rs 8 per share to resident Indian nationals thereby reducing their holdings to 12,00,000 shares or 40% of the issue capital.

- Another 47,14,000 No. of equity shares of Rs 10 each at a premium of Rs 25 per share were issued to Bata (BN) B.V., Amsterdam, a wholly owned subsidiary of Leader A.G. St. Moritz, Switzerland, in order to raise their holding in the Company from 40% to 51%. 1979 - 7,50,000 bonus shares issued in prop. 1:4. 1984 - 15,00,000 bonus shares issued in prop. 2:5 in April. 1987 - The Company privately placed with financial institutions (UTI,

LIC, GIC & its subsidiary) 15% debentures worth Rs 5 crores. The Company also allotted debentures worth Rs 1.75 crores to the Army Group Insurance Fund.

- The Bata Shoe Organisation consists of 96 independently run companies in 90 countries throughout the world.

- 52,50,000 bonus shares issued in prop.

1988

- Agreement was arrived at with Adidas of West Germany for manufacture and marketing of sports and special application footwear, spots goods and sports wear in India and the products were expected to be launched in December, 1989.

- Marketing of `Star' clothings designed by Murjani International, New York, U.S.A. and sourced through Inmark Brands Pvt. Ltd., was launched.

- A new brand of shoe, `Tigre' was introduced during the year for sales through wholesalers and independent retailers.

1989 - The Company sucessfully launched `Adidas' collection of hi-tech sports footwear.

- As a result of the R&D activities, special leather board was

developed as a substitute for insole leather.

1990

- A highly versatile sample 18-station bicolour injection moulding plant was installed in the Bangalore factory for production of `State-of-the-art' injection moulded shoes with synthetic and textile uppers and specially developed PVC compounds as soleing material.

- Pursuant to a Scheme of Arrangement between the Company and Bata Properties, Ltd. a wholly-owned subsidiary of the Company, certain properties constituting the real estate division of the Company were transferred to BPL for better development and management with effect from 1st July.

1991 - A promotional brand `Tigre' was launched to keep the factories full at all times and thereby reduce losses due to under recovery of overheads.

- The Company issued non-convertible debentures aggregating Rs 3.50 crores to SBI Mutual Fund. These debentures are redeemable in three equal instalment at the end of 6th, 7th and 8th year from the date of allotment. Negotiations were in progress for private placement of the remaining debentures.

1992 - The workers at Batanagar factory went on strike from 3rd January, to 23rd May, which resulted in a substantial loss of

production during the initial 6 months of the year.

- The Company undertook to set up a green field export oriented unit at Hosur in Tamilnadu with the State-of-the-art technology.

- Over the years, the Company with the collaboration of Bata Development, Ltd., London, U.K., and its association with Bata, Ltd., Toronto, has been building up its own well-equipped and up-to-date R&D organisation.

1993 - The Company undertook to expand and modernise its existing plants for capacity optimisation to become cost efficient on a global basis. Apart from it also undertook expansion and upgradation of its retail stores. Export Oriented Unit was also to be set up at Hosur in Tamil Nadu.

- During January, the Company issued 105,00,000 No. of equity shares of Rs 10 each at a premium of Rs 20 per share on rights basis in the proportion of 1:1. Allotment of 1,856 No. of equity shares was kept in abeyance since the matter was sub-judice. The balance 104,98,144 shares were allotted.

1995 - 13,114,000 No. of equity shares allotted to Bata (BN) BV Amaterdown, The Northerlands the holding company.

- The Long Term Agreement with the Bata Mazdoor Union representing employees of Batanagar and Calcutta Offices was signed at bipartite level satisfactorily without any disruption

of work. 1996 - The Company has received a notice in writing from a member of the Company under Section 257 of the Companies Act, 1956 signifying his intention to propose the appointment of Mr Thakur as a Director of the Company. 1997 - India's largest shoe company Bata India (BIL) has performed admirably to stage a remarkable turnaround for the year ended December 1996.

- Bata has entered into a marketing tie-up with Nike wherein the latter's products will be offered from select Bata outlets.

- The company's debt-equity ratio is also set to improve dramatically to 0.60:1 from 1.90:1 in December 1996, and 2.06:1 in December 1996.

- Bata India, a 51 per cent subsidiary of Canada based Bata Shoe Organisation, had last revalued its buildings in 1969, and the latest exercise which will cover all fixed assets is expected to substantially prop up its reserves. 1998

- Bata India, a subsidiary of the Canadian multinational Bata Shoe Organisation, has suspended its after-sales service.

- Every Bata outlet, 1,000 owned and over 600 joint ventures

were expected to sell Hush Puppies, Marie Claire and Adidas.

- Bata India has proposed a dividend of 85 paise per share to its shareholders for the year ended December `98.

- The shoe major had concluded long term wage agreements with the workers of its factories at Faridabad (Haryana) and Mokamehghat (Bihar) for three years up to 2001.

1999 - Bata needs to launch new products on a regular basis by expanding its women's range, and moving into the premium segments it had vacated.

- The company will launch the `Sundrops' line at New Delhi on August 16.

- The company signed seven long-term agreements and the last in Batanagar is in an advanced stage of negotiations which will be settled soon.

- Bata's Faridabad factory workers' union finally reached an agreement with the company management, ending the nearly eight-month-old lock-out at the unit.

- Bata India is aiming to achieve a 15 per cent growth in


turnover and profits in 1999, to reach the target set out in the Vision 2001 plan drawn up by Compass, the international board of the Bata Shoe Organisation (BSO).

- Shoe major Bata India, which is set to unleash a new

advertisement campaign for its new ladies range `Sundrops', has signed up film actress Rani Mukherjee to endorse the line.

2000

- Bata India (Bata) is the largest footwear manufacturer and produces a wide range of footwear such as canvas, rubber, leather, plastic and so on.

- The Company has lifted the lock-out at its Peenya factory in Karnataka. The lockout was declared on March 8th following a strike by the employees' union.

2002 -Withdraws lockout at Bata India's Peenya Factory on the direction of Government of Karnataka.

-Creates its own insider Trading rules in an attempt to protect the rights of shareholders and prevent unscrupulous trading in the company's share by insiders.

-Shareholders approve for the transfer of Tannery and Footwear division to separate companies.

-Appoints MrJaswant Singh as the wholetime Director, Marketing and Commercial.

2003

-Shareholders pass all the major nine requisite resolutions.

-Appoints GautamThapar, Vice-chairman and MD of Ballarpur Industries Ltd on the Board of the company.

-Forges into a retailing alliance with Lee Cooper Shoes , to retail their shoes.

-Engages Ogilvy and Mather to devise its Festive season Advertising, side stepping , JWT, its incumbent agency.

-Repositions itself as the marketing firm.

2004

-Bata unveils new flagship store in Mumbai

-de-lists equity shares from the Calcutta Stock Exchange Association Ltd.

-Appoints MrConstantinSalameh, Senior VP and CFO of Bata Shoe Organization as acting Chairman

-Bata India has inducted P M Sinha, former CEO of Pepsi Cola International South Asia as Chairman of the company

2006

- Bata India Ltd has informed that Mr. J Carbajal has been appointed as an Additional Director on the Board of Bata India Limited

2007

- Bata India Ltd has set up a new flagship store in Thiruvananthapuram.

2010

- Bata India Ltd has informed that Mr. Fadzilah Bin Mohd Hussein has been appointed as an Additional Director on the Board of the Company with effect from July 29, 2010.

Products
Bata Shoes

We are the dealers for all types of bata shoes. We are one of the trusted names, when it comes to Bata Shoes. The Bata Shoes offered by us are made from premium quality material that offers strong and durable structure to them.High ankle shoes with full leather upper and excellent soft padding inside. Four eyelets with closed / open Tongue. Perfect grip and most comfortable to wears

Foot Wears

We are dealers of all types of foot wear. We offer tastefully designed variety of mens and ladies leather footwear in diverse designs and styles. Available in various colours and sizes ranging from 5 to 11 (uk standards) and featured with slight toe spring, tone on tone stitching and rubber outsole.

Products products. Specialization

Manufacturer and Marketer of Footwear

The Company manufactures quality leather, rubber, canvas and PVC shoes in wideranging designs and styles at affordable prices.

Quality Batanagar factory is the first Indian shoe manufacturing unit to receive the ISO 9001 certification in 1993 Facilities Operates 4,600 retail stores,Manages a retail presence in over 50 countries,Runs 40 production facilities across 26 countries

BRANDS OF BATA BABY BUBBLES----Shoes (as well as clothing and accessories in Latam) for infants from birth to 1-year Bata--Shoes for all occasions in ones life BATA INDUSTRIALS--Protective footwear for various industries BOBBLEGUMMERS--Stylish and colorful shoes for active kids COMFIT---Ergonomic design, soft uppers and cushioned insole support are combined to bring you a collection of shoes for your ultimate comfort. The Comfit range provides support and comfort in a quality you can count on ECO FIT--Eco-friendly shoes, made from ecological organic and biodegradable materials MARIE CLAIRE--Stylish and chic shoes for confident women NIORTH STAR--The vision of youth daring, exploratory causal shoes. PATAPATA--Our thong brand, ideal for sunny outdoor life POWER--Power, our sports brand that brings out the spirit of the game SANDAK--Practical plastic injected sandal for the mass market. SUNDROP--A womens comfort shoe designed for office wear and casual evenings. WEINBRENNER--Our shoe offering for outdoors and adventure.

New special technology


Bata introduces the new special technology footwear for the growing feet. Launched under the School Shoes umbrella, Bata brings you selections like Champ, Tennis, Scout, Naughty Boy, and Ballerina. The shoes are designed to fight odour round the clock. Besides the in-built Microban antibacterial protection in the insole material of the shoe; this is designed to reduce unpleasant odours caused by bacteria and helps keep the feet cleaner & fresher. Cushioned insole would ensure total comfort for the little ones. Thus these scientifically designed shoes are a complete solution to all the worries of the mothers about their little ones playing for long hours in the sun. Toxicity and dermal studies have shown products with Microban to be completely safe, non-toxic and non-irritating to skin. The Microban protected liners keep shoes completely bacterial free, which result in odor reduction, keeping feet clean, fresh and hygienic. What more, School is more fun this year for the kids as well; they can walk out with a cool sipper adorning their favorite toon Ben10. This cool Ben 10 sipper is available at a special price with any school product. And this is not all; there are special Ben10 goody bags to be won. So, hurry log on to www.batabacktoschool.com and win exciting Ben 10 goodies. Microban is an anti-microbial agent which, when introduced into the actual molecular structure of fibers, fabrics and polymers, provides inherent control over the growth of certain odor and stain causing bacteria, yeasts and fungi. Bata is committed to customer satisfaction and to giving the best services at competitive rates as well as offer shoeline as per the specific need of customer.

Research Development
Bata operates 6 Shoe Innovation Centres (S.I.C). Research is conducted into the application of new technologies, materials and designs for shoe comfort features.

Each S.I.C has a product focus to supply complete packages of services for the manufacturing and marketing of innovative shoes.

Shoe Making Expertise

Not only is Bata one of the world's leading footwear retailers but they are also experts in making shoes, with over 110 years of experience in manufacturing. Currently they operate 27 production facilities across 20 countries. While most modern day manufacturers outsource in Asia, Bata manufactures predominantly in OUR OWN manufacturing facilities, guaranteeing quality and expertise. Approximately half of our factories output is destined for sale through Bata-owned retail stores, and the balance is manufactured to the specifications of wholesale customers or under contract to other footwear brands. Bata personnel made key advances in several footwear production techniques in use today, including the Direct Vulcanization Process (DVP) and slush-moulding. Bata inventors also patented the original process that adheres PVC outsoles to textile uppers. During the 1990s additional patents were awarded, including one for the first removable heel cartridge system for athletic performance footwear. Most of Bata manufacturing facilities have passed stringent ISO 9000 certification, with others presently in the certification process.

Italy-----Bata Premium Collection


The Shoe Innovation Centre Europe (SICE) creates new collections for our house brands such as Weinbrenner, North Star, Power, Bubblegummers and uses innovative technologies for the Premium collection. By investing in multi-talented human resources and the latest technology design equipment, (Cad cam), SICE is in a position to realize shoe prototypes, from the early stages of design thanks to a functional product development centre. SICE works with all Bata SICs worldwide to obtain the best quality/price ratio for productive sourcing. SICE offers a wide and qualified range of fashion shoes thanks to market trend research, new ideas and strict attention to production standards. They are the ideal reference point for style and design in the fashion industry and also provide better valueadded services. Finally, the SICE will be a strategic focal point for European and worldwide BSO Companies for industry experience and skills and for improvements in the manufacturing process from production planning, control, material consumption, cutting, stitching, assembly and finishing.

Canada

Power Footwear
Power Athletics Limited (PAL) operations are based in North America, where the majority of reputable athletic shoe companies are located, and where most athletic footwear specialization, as well as technical features and technologies, originates.

The first-class designers on our team are fully dedicated to Power, concentrating all of their expertise on creating the best, most up-to-date product and designs. Most of them are graduates of the highly respected Industrial Design Program at Carleton University. Their training has been focused on process, from concept and design through to manufacturing and, ultimately, the everyday use of the product. Prior to conceptualizing and building a new collection, our designers painstakingly analyze past sales and study the latest trend reports. In addition to investigating other major brand activities, they also consult and collaborate extensively with colleagues in Europe, America, and Asia. This detailed analysis enables them to assess and determine the new styles, new materials and colours most suitable to our markets. PAL's operations are not just about product design, however. We offer a complete service package that includes design as well as sales, marketing, and finance support. Our designers work in tandem with our sales, marketing, and finance teams. We also work closely with our customers, ensuring that the final product is designed, developed, and priced to meet specific market requirements. Detailed attention is also given to making sure that the product and communications are aligned with our target consumer and are consistent with our brand message. All of our products follow a strict and rigorous technical development process, from mouldmaking and perfecting patterns to prototyping. PAL's proficient technical and sourcing manager in China ensures that our products are technically sound and manufactured by dependable and trustworthy factories. Our sourcing manager has extensive knowledge of the manufacturing process and has been able to develop strong long-term cooperative relationships with reliable third-party factories. The development process includes the careful selection and approval of materials and material suppliers, many of whom have been working with us for long periods of time. Prior to launching a new style, we subject it to a comprehensive testing process that includes fit- and wear-testing, as well as material and technical tests conducted by a reputable North American laboratory. We are a comprehensive service provider and our dedicated team members are inspired by a strong passion for product and are committed to excellence in all of our activities.

Netherlands

Industrial Footwear
Bata Industrials is more than just a manufacturer. It is a knowledge enterprise with a progressive Research & Development department and extremely advanced test facilities. Research forms the basis of the powerful Bata Industrials brand. Bata knows what people need in their work environment. Nobody understands human anatomy in quite the way we do. By continuously investing in new materials and technologies, Bata can keep reacting to market developments and to changing working conditions in an appropriate and innovative manner. Our knowledgeable and experienced R&D team is complemented by a group of outside knowledge centres, such as internationally renowned universities. This co-operation results in a unique combination of shoes and socks for every professional in every situation.

Indonesia

Affordable high-value footwear for mainly tropical climates The Shoe Innovation Center in Indonesia works with a variety of frameworks including technologies, methods, production processes, designs, materials, trend lifestyle research,

economic oriented product development and it all helps Bata to be a leader in footwear for both domestic and international markets. By investing in multi-talented human resources and the latest technology design equipment, the SIC in Indonesia supplies creative services for the manufacturing and marketing of footwear. Our team is a unique composition of experienced footwear designers and passionate creative designers with multiple backgrounds who are able to capture our consumers lifestyle needs.

China

Sourcing from the Factory of the World


The Shoe Innovation Centre Chinas (SICC) manufacturing sources come from the wide and varied groups of factories available in China, for different product categories of the different Bata Brands developed for the BSO group of companies worldwide. With a team of multitalented personnel and investments in new technology and techniques in the related fields, the centre constantly develops and creates new products with the best price/quality ratio for footwear sourced from the Factory of the World China. All without sacrificing product quality by having strict BSO based quality control and quality assurance standards and procedures. The centre also provides excellent services in all ways and areas to the BSO companies buying or sourcing from China. In each SIC, international designers and technicians conduct advanced product research and establish strict quality control procedures. The focus is on introducing new and exciting products that are competitively priced and give the best value to customers. Always ahead in new designs,

features and products, each SIC will continue their relentless search for better quality in pursuit of excellence. Each Bata SIC supplies model making, components and accessories for the production of exclusive footwear to factories throughout the world. Exclusive designs and technologically advanced shoe lines are developed by a team of designers supported by a pool of internationally renowned freelancers. Quality is ensured by best-in-class processes of:...

Raw materials selection Sophisticated and strict control of all production process steps Respect of Bata quality specifications

Retail City Store


Bata operates stores in many of the worlds fashion capitals. Bata City Stores offer urban customers the best in todays fashion footwear and accessories. These stores are in city centres prime locations, and provide a high level of customer service, exclusive fashion shoelines with complementary accessories, and contemporary shopping environments to discerning shoppers

Large Format Store


Bata Superstores offer a wide assortment of fashion, casual and athletic footwear for the entire family. Located primarily in urban and suburban shopping centres, these spacious stores offer the best value by providing good quality shoes at great prices. Service is fast thanks to a self selection shopping environment with qualified staff to serve and assist.

One of the cornerstones of the Bata Superstore is the sports area: a real store within a store. All the key international sports brands are featured, carefully selected for the most discerning customers

Family Store
Bata is the worlds leading family footwear chain thanks to the wide assortment of everyday fashion footwear available in our stores from Milano to Delhi. The products are primarily the Bata brand, with a carefully selected assortment of articles from both local and international brands.

Factory Store
Factory stores first opened in 2003 and are the largest and the most value-oriented stores of our retail chain. They are ideally located in power centres, commercial parks and outlet centres with easy parking facilities. The product selection offers more than 10,000 styles of ladies, mens, childrens and sport shoes with related accessories and apparel sold at attractive price points. It is based on a self service concept with helpful staff available for service at anytime. Achievements Bata initiated and propelled thedevelopment of a modernfootwear industry in India.According to the Brand EquityMost Trusted Brands 2009Survey, Bata is India's mosttrusted name in brandedfootwear, today.The recognition has followed

sustainedeffort.The companyhas beenundertakingaggressivemeasuressince 2004, torestructureand reengineeritsoperations.Theupshot: growing popularity amongst

consumers,augmentation in net profit, acomplete turnaround with anupmarket product range, new designs and high visibility in chic locations .Indeed, such has been the turnaround for Bata that it was recently chosen by Business Week, as one of The World's 25 Unsung MostInnovative Companies.

Promotion
Bata has optimised its product range to includeexciting and innovative designs at knockoutprices. It is the company's belief that value,comfort and quality are the three imperatives that sell footwear. To bring this message home to consumers, Bata has recently launched

the'Be Surprised New Range, GreatPrices'advertising and promotions campaign.This effort has already coursed across thecountry riding on bus and metro stations,billboards,TV, print and point of purchase (POP)materials.In a first-of-a-kind initiativeinthe footwear retail industry, India's leading retailer has alsointroduced Bata Gift Vouchers. Ideal forcorporate gifting, employee incentives andconsumer promotions, these vouchers can beused in place of cash and are available in various denomination

Market Share

The company enjoys the highest market share in India and this is evident from the fact that the total retail presence of the company currently is more than thrice that of its closest competitor (Liberty: 381 stores). Bata has over 15% market share in Organized Retail market and around 6.5% share in Unorganized retail.

Bata: Indian market offers a big opportunity to grow HDFC Sec | 04 Jan, 2011 A higher consumer spend is a positive development for the FMCG industry as it translates into higher pricing power and revenues for the players in the industry. BIL with a market share of 35% in the organised shoe market could be a major beneficiary of the rising consumer spends as it could drive the revenues of the company and also a better pricing power could boost the operating margins of the company

Bata India: Best foot forward PunamChoudhary | 19 Apr, 2010 The consolidated revenue and EBITDA of the company has grown at a CAGR of 11% & 41.6% respectively over the last 4 years. This growth was driven by strict cost control, improved product lines, modernization, consolidation of manufacturing operations, and transformation of the wholesale business. At a current market price of Rs.252.6, the company is trading at 20.8 times its estimated FY10 earnings and 16.5 times its estimated FY11 earnings

Bata Q2CY09: Revenue up 8% Hem Securities | 03 Aug, 2009 In Q2CY09, revenues surged 7.72% at Rs3089.96 mn from Rs2868.50 mn in Q2CY08

Export
BIL (Bata India Limited) exports around 3 million pairs of shoes and other footwear annually, primarily to Western Europe, Middle-East and Far-East markets. Majority of the export is Canvas shoes under leading private labels to customers in the United Kingdom and France. Men's leather shoes are sold to established retailers in Europe, Middle-East and Far-East.

BIL's most modern leather shoe Factory is located in Hosur (Tamilnadu) and is geared to make international quality footwear for export. This Factory is comparable to the best anywhere in the world with high degree of flexibility and is fully equipped to manufacture Men's, Ladies' and Children's cemented and Moccasin shoes and other footwear

Ownership:

Company

Company Type: Manufacturer Specialisation: Address: City: Footwear Liberty House, Liberty Road, P.O. Box No. 103 Karnal,Haryana [India]

Liberty Shoes Ltd. is the only Indian company that is among the top 5 manufacturers of leather footwear in the world with a turnover exceeding U.S. $100 million.

We produce more than 50,000 pairs of footwear a day covering virtually every age group and income category. Products are marketed across the globe through 150 distributors, 350 exclusive showrooms and over 6000 multi-brand outlets, and sold in thousands every day in more than 25 countries including fashion-driven, quality-obsessed nations like France, Italy, and Germany.

With 50 years of excellence, today Liberty produces footwear for the entire family and is a trusted name across the world. In the domestic market it is one of the most admired footwear brands and holds the largest market share for leather footwear.

History of Liberty
It was the 25th December of 1954 when India was nurturing its growth as a free country, three dreamers in a small town in erstwhile Punjab thought of producing an Indian brand of footwear to make a basic necessity available to their countrymen.

Mr. D P Gupta, Mr. P D Gupta and Mr. R K Bansal allowed their vision to cross every barrier and brought cutting-edge technologies to their own country. Within a short span of time, the name, Liberty became a synonym to quality footwear in the domestic market and this encouraged the company to invest further for enhancing production capacities and to cater to the demands of international markets. With 50 years of excellence, today Liberty produces footwear for the entire family and is a trusted name across the world. In the domestic market it is one of the most admired footwear brands and holds the largest market share for leather footwear.

Corporate Philosophy
Steeped in a philosophy that has at its core innovation, technology and advancement, we at Liberty, pride ourselves over and above everything else on our healthy and heart-felt respect for the human ethos, which projects itself in the expectancy and excitement with which one greets the arrival of the new combined with a sincere and deep regard for the old, which is appreciative

of and adopts at every stage the unique balance between modernization and tradition.

Liberty as a brand is constantly evolving to keep pace with the changing trends, styles, beliefs, and aspirations of people while maintaining the sanctity of certain traditions like workmanship and good value.

Our Credo
To ensure that the method we use is the latest technology the world over. To follow the highest standards of honest workmanship in whatever we make. To walk the extra mile to ensure customer satisfaction worldwide. To remain a true cosmopolitan to the spirit. To remain a great corporation to associate with, to work for.

Liberty Retail Revolutions Limited


In the elite shopping avenues of fashion capitals "Revolutions" has begun its walk. The fashion accessory and footwear stores have begun operations in Chennai, Bangalore , Mumbai, Kolkatta, Hyderabad, Indore, Lucknow, Delhi & NCR and Pune with upcoming Revolutions Stores in Noida, Chandigarh and Ahmedabad.These are company managed and owned outlets where the emphasis is to deliver high fashion to the customers backed by quality service making it a delightful shopping experience.

Management - Liberty Shoes


Name Adesh Kumar Gupta ShammiBansal Satish Kumar Goel RaghubarDayal Designation Executive Director & CEO Executive Director Director Independent Director

Prem Chand Garg SiddharthSanghi Name Adarsh Gupta Sunil Bansal Surendra Kumar Arya Amitabh Taneja VivekBansal

Independent Director Independent Director Designation Executive Director Executive Director Independent Director Independent Director Independent Director

About Liberty Established in the year 1954, Liberty Shoes Ltd. is a leading leather shoes brand and is engaged in the manufacturing, supplying and exporting of the same. With an annual turnover of U.S. $100 million, it is the only Indian leather shoe brand that occupies fifth ranking among the top shoes manufacturing companies in the world. With 50 years of brilliance, today we are a preferred brand in more than 25 countries including style and quality addicted countries such as France, Italy, and Germany. Our far reaching capabilities are due to our extensive marketing network of 150 distributors, 350 exclusive showrooms and over 6000 multi-brand outlets We have a wonderful combination of the most talented minds with the most latest in technology. Enjoying the credit of introducing PU technology in India, we are working constantly to introduce newer and better concepts that can help in the efficient manufacturing of various types of shoes like leather shoes, black leather shoes, brown leather shoes, ladies shoes etc.

Product Profile

We offer a flawless collection of footwear for men, women and kids, manufactured using advanced technology. High quality leather is procured from well known vendors to bring out exclusive footwear that can be worn in all the seasons. Our collection is available under brand names Coolers, Freedom, Footfun, Force 10, Fortune, Gliders, Senorita, Tiptopp, Warrior and Windsor. Freedom is our popular collection which includes industrial safety shoes such as gum boots, fire protection boots etc that are ideal to be worn during hazardous industrial works. We manufacture gliders that include leather shoes, non leather, gliders Eva and many more. These include are formal shoes as well as casual footwear. These are also available with built-in acupuncture facility for proper blood circulation. All our products share following features: Durable

Water resistant Excellent finish Perfect fit Comfortable

Quality

We have always led maximum emphasis on quality. Our products are quality tested under the able guidance of quality analysts who know the quality control process. Furthermore we also have management systems and tools in place such as :

In the year 2000, KAIZEN was implemented and is practiced throughout the organization. The concept of 5S was introduced in the company in the year 2001 and presently it is in matured stage and is followed religiously.

We have received ISO 9001:2000 certification and are in the process of acquiring the same for the entire group.

We have established waste management system and we are proud of its being our pilot project. We follow the ISES-200 norms to ensure social, health & environmental safety. This standard is closely monitored by Indo German Export Promotion Council of India.

Also we have ENGERGY MANAGEMENT SYSTEM in place which is one of the unique of its own kind.

Cemented Construction Direct PVC Injection Direct PU Injection Direct EVA Injection Direct TPU Injection SYMPATEX water proofing technology Eva Compounding technology Thermo Plastic Elastomer technology

We have a patented technology "HUMANTECH" which states our philosophy of the optimum utilization of human craftsmanship and technological excellence. Our production unit is equipped with a unique ERP Solution called SAP. This software interlinks the modules related to finance logistics & supply chain. SAP was used first time in Indian footwear Industry by Liberty.

Distribution Network
Our extensive distribution channel has enabled us to develop a firm grip over the market. Our presence in the global front led us to penetrate deep into the various markets of world and offer our qualitative range of products. Our presence across the world is in the form of

02 Overseas Offices 14 Branch Offices 20 Overseas Showrooms 300 Liberty Exclusive Distributors 375 Retail Stores (10 outside India).

Social Responsibility
We being one of the most admired brands across the globe understand our responsibility towards the society and therefore ensure the practice of the following:

We perform all our business activities with utmost sincerity, and reliability. We deliver not just quality products and technological innovations but also ensure th at all our business dealings with customers, suppliers, government officials and all those who are outside the Liberty Group are equally qualitative. We also give paramount importance to a safe, healthy and non-discriminatory working atmosphere for our entire workforce. Also, we make sure that our staff is free from harassment of any form by senior officials, supervisors, co-workers, clients and other agents. Our principled standards and practices are meticulously adhered because of which our products have found place in the most admired list of reputable brands such as Wal-Mart, Reebok, Nike and many more.

Contribution to Industry
We have always indulged in pioneering many technologies in India and this has provided us the status of being the second largest manufacturer of India. We understand that we hold

equal responsibility towards the entire industry, keeping this in mind our contribution towards the industry has been in terms of:

We have initiated in bringing the PU technology to India We have also given a presentation related to footwear foot prints for the future in Asia Pacific Customer Conference 200 organized by Humtsman Polyurethane at Singapore We are the only company in India that has the approval of using SYMPATEX technology. This technology is a patented technology on water proofing We have launched an industrial segment shoes which is recognized by the brand name WARRIOR & FREEMDOM. These safety shoes are introduced to Indian market for the first time by us. Also, our entire range of safety shoes meets all the standards laid by DIN/EN Our manufacturing facility is the first in India that has received the prestigious ISO 9001:2000 accreditation Our production unit is the only unit in India that is equipped with a unique ERP Solution called SAP. This software interlinks the modules related to finance, Materials, Costing, logistics & supply chain

Social Contribution
Our contribution towards the society has been in the form of: Our directors have initiated the Liberty Footwear Training Institute for imparting training to future footwear technicians Our higher management sponsors the children of our employees for higher studies and also provides them with training and employment after graduation in FDDI We also follow ISES-2000 (social and environmental standard). This standard is being monitored by Indo German Export Promotion Project in India The product supplied by us is manufactured using eco-friendly and latest techniques

Corporate Saga

With our excellent performance of more than fifty years, we have been successful in fulfilling the expectations of the successive generations by manufacturing products that have the ability to cater to their requirements. Our range has always been designed and developed carefully, keeping in view the preferences and expenditure ability of every income bracket and age segment.

Our patented technology Humantech is a unique combination of talented brains and innovative technology. This has always enabled us to supply shoes that have created a benchmark in the industry and has depicted a new style statement.

We have received the greatest opportunity to make a change in the lives of millions of people across India by providing them with some form of the employment. Our vision and the biggest motive to expand have always been to create wealth, share prosperity and generate progress. Health and Safety - All the employees of the organization, should be provided with safe, healthy and encouraging working atmosphere.

Customer Relations Customers should be the priority and they should be served with products that are as per the National and International standards. Innovation and creativity should also be maintained in the products.

Shareholders All the shareholders should receive the correct and timely information that is in agreement with the applicable provisions and shall work for the value addition to the stakeholders of the company.

Advertising Campaign
Advertising campaigns are the interface between an organization and its target audience. Our

campaigns always evolve around human emotions and this has been the reason that our buyers have always been able to identify with them. We have invested a considerable portion of money in these campaigns and have taken help of print media, electronic media, radio and televisions. They have always been creative and share our idea which has helped us to hold an effective communication between our company and our buyers. Statutory Compliance They should always follow all the obligatory and legal provisions, rules, regulations / guidelines as pertinent on the organization under various statutes

Insider Trading They should abide by the guidelines for prevention of insider trading.

Protecting Company's Assets There should be not be any misusage of tangible as well as intangible assets of the organization. Also all the assets should be protected and safeguarded against any loss, damage, theft etc.

Concurrent Employment They are not liable to accept any service or any job with any other enterprise except with the prior approval of the Executive Director.

Integrity Of Data They should always make certain that they should keep full integrity towards the companys sensitive data and information.

Events Participation

Liberty will put a new spring in your step this summer. The recently held Channel Meet on January 16 at LibertyPuram was used by Liberty as a platform to unveil the new Spring-Summer Foot Fashion Collection for 2010.

Meeting of the Board of Directors of the company shall be held on Monday,25th January, 2010.

Notice is hereby given pursuant to Clause 41 of the Listing Agreement that a Meeting of the Board of Directors of the company shall be held on Monday,25th January, 2010 at Corporate Office.

The Board of Directors meeting shall be held on Saturday, 24th October, 2009 at Corporate Office. Notice is hereby given pursuant to Clause 41 of the Listing Agreement that a meeting of the board of directors shall be held on Saturday, 24th October, 2009 at corporate Office of the Company.

Liberty launches Autumn-Winter 2009 Collection. Whats underfoot in the coming season? A man is known by his shoes. And a girls footwear can make a man swoon. Wisecracks or pearls of wisdom, there can be no gainsaying the fact that the well-hee.....

The Annual General Meeting will be held on Wednesday, 30th September, 2009 at 3.00 P.M. Notice is hereby given that the 23rd (Twenty Third) Annual General Meeting of the Company will be held on Wednesday, 30th September, 2009 at 3.00 P.M. at the Registered Office of the Company to transa.....

Buyers of Liberty Shoes Scratch & Win Nano car and a host of other prizes! It has been a season of Mega Prizes and Happy Winners at Liberty Foot Fashion. And considering the overwhelming response to the Scratch & Win offer for all those who made a purchase of Rs.500 or more .....

Meeting of the Board of Directors shall be held on Saturday, 25th July, 2009. Notice is hereby given pursuant to Clause 41 of the Listing Agreement that a meeting of the

Board of Directors shall be held on Saturday, 25th July, 2009 at Corporate Office of the Company, inter alia.....

Liberty Shoes Scratch & Win offer for Nano car The monsoons have arrived and in keeping with the happy mood it is raining prizes at Liberty Foot Fashion. For the style-driven, always on the lookout for something cool & something new, this is an op.....

Biggest Liberty showroom in Gurgaon for the latest in foot fashion. Libertys gigantic Exclusive Showroom in Kannu Arcade, near Kalyani Hospital on MG Road, Gurgaon has been conceived on a truly grand scale and lavished with all the luxurious touches

PRODUCT RANGE
The new range from Liberty is all about style, design, and comfort. The range imbibes the spirit of fun and is trendy to the core. There is a product for every season and occasion.

Coolers
Coolers are a brand of unisex sandals and slip-ons. Catering to a wide segment across the country Coolers are much sought after not just in the summer season but also during the monsoons and in the coastal regions for their water-resistant property.

Footfun
The brand exhibits the vivacity of children in every way. Colorful and comfortable, the range has

smart sandals, elegant sports shoes and bright colored lace up to ensure a formal look for the children.

Force 10
Sporty and vibrant the Force 10 range has been rewriting the industry norms. Constant technology upgradations have made it one of the more desired brands in the category.

Fortune
A pure male fashion brand, Fortune has the latest styles in formal footwear for men .

Freedom
Professionals, undertaking high impact, electrical, thermal, chemical or even slippage risks, walking over surfaces or operating in environments that expose them to dangers related to these, use a pair of Boots that they completely rely on.

Whether you are a power plant technician, alkali unit worker, or even an X-treme sports practitioner, you will appreciate the safety of FREEDOM Protective Professional Boots.

Made from super-resilient rubber, blended with PVC, these boots afford the protection that no ordinary footwear can provide, no matter how well they are constructed. They are resistant to, electrical shock, mechanical crush, chemical corrosion and extreme heat and cold. These boots are also anti-static, anti-slippage, non-tearable.

Gliders
Gliders is a complete range of footwear in itself. Using the trendy EVA technology it comprises of beachwear to casual as well as formal footwear both in leather and other innovative material meant. And is perfect for not just grown up boys and girls but young kids too.

Prefect
One, two buckle my shoe

A choicest range of school shoes for both boys and gals in buckled and lace type that makes school going an interesting affair. Available in shining black and pure white, its wide variety makes way for the wonder years of school life.

Senorita
Senorita is a brand for the fashion and style conscious young woman. She's comfortable expressing herself and makes life beautiful and invigorating whether at work or home.

Tiptopp
The brand offers women comfortable and fashionable slip-ons, sandals and bellies with neat styling thrown in, not bordering on the bizarre but acceptable across a wide spectrum.

Warrior

Liberty 's Warrior range has over a short period of time developed a reputation that's an envy of many a competition. The product quality and the range that we produce have gained acceptability across a varied segment of industrial users. Some of the biggest corporate houses of the country are sourcing the footwear for their workforce from us. The product range caters to the building and construction industry, the Oil industry the healthcare segment. The range has not just safety shoes but footwear for the executives in the company and special footwear for the nurses and the healthcare segment. Windsor

A Windsor shoe embodies comfort and style. With its classic looks that's popular amongst the young executives the Windsor brand of shoes are one of the largest set of Men's shoes sold by Liberty. Workman

Presenting low budget Safety Shoes from the house of Liberty.Workman Safety Shoe isspecially designed & developed for Industries like Construction,Engineering, Service sector where contractual workers with limited budget are employed. Design and R&D

Our footwear is a fashion statement and needs constant updating in terms of technology and worldwide trends. Our R & D team is always ready and open to experimentation and trying out stuff that help improve the products

A group of 50 young designers are working round-the-clock at the factory looking at products and ideas for the next seasons' footwear. Each of these designers is a trained professional from

a leading fashion institute.

Technology

Better methods. Better tools. Better technology. Enhanced productivity. Finest quality. Greater customer satisfaction. Liberty has a lot of firsts to its credit.

It has introduced a new material called TPU (Thermo Plastic Urethane), for high quality footwear, into the country. This material has better properties than PVC or TPR (conventional materials used for footwear).

Liberty has also been instrumental in introducing EVA (Ethyl Vinyl Acetate), which is a direct injection molding used for making sole for the first time in Asia. This technology uses very light material & the footwear is made with the direct injection system.

Liberty also pioneered the PU (Poly Urethane) Technology in India for the footwear industry.

Besides these Thermo Plastic Elastomer has been developed for the first time in India at Liberty. A CAD/CAM design center is in place at Liberty . The Sympatex waterproof technology in footwear was pioneered by also Liberty . Liberty is also the first company to market PPE products for safety purpose.

Design and R&D


Our footwear is a fashion statement and needs constant updating in terms of technology and worldwide trends. Our R & D team is always ready and open to experimentation and trying out stuff that help improve the products

A group of 50 young designers are working round-the-clock at the factory looking at products and ideas for the next seasons' footwear. Each of these designers is a trained professional from a leading fashion institute.

Technology
Better methods. Better tools. Better technology. Enhanced productivity.Finest quality.Greater customer satisfaction. Liberty has a lot of firsts to its credit.

It has introduced a new material called TPU (Thermo Plastic Urethane), for high quality footwear, into the country. This material has better properties than PVC or TPR (conventional materials used for footwear).

Liberty has also been instrumental in introducing EVA (Ethyl Vinyl Acetate), which is a direct injection molding used for making sole for the first time in Asia. This technology uses very light material & the footwear is made with the direct injection system.

Liberty also pioneered the PU (Poly Urethane) Technology in India for the footwear industry.

Besides these Thermo Plastic Elastomer has been developed for the first time in India at Liberty. A CAD/CAM design center is in place at Liberty . The Sympatex waterproof technology in footwear was pioneered by also Liberty . Liberty is also the first company to market PPE products for safety purpose.

Manufacturing Excellence
We call them Humantech Centers. When people visit us they see them as centers of Excellence for manufacturing shoes where technology works in perfect tandem with human creativity.

Liberty has Humantech centers at four locations in India , the latest being the Uttaranchal project which was launched recently to boost the production of world-class footwear. This Greenfield plant near Dehradun will increase the company's existing production capacity of 18 million units pa by 200,000 units.

BRANDS

Business Description
Liberty Shoes Ltd. is the only leather footwear manufacturer in India who is among the top 5 manufacturers of leather footwear in the world with a turnover exceeding U.S. $100 million. We produce more than 50,000 pairs a day and our range in fashion footwear covers virtually every segment.

LATEST PERFORMANCE

Performance update as at 6th Jul'11 (Since May'10

Adidas
Company History:
In 1925, in a small German village, the world got it's first taste of adidas. It was there, in a village by the name of Herzogenaurach, located 12 miles to the north and the west of Nuremberg, that those simple three stripes were brought to life by adidas' founder, Adolf "Adi" Dassler. Adi created adidas after realizing the need for performance athletic shoes. Adidas began small, producing soccer and running shoes, which ironically enough are still the main products that adidas is known for. As Dasslers experience grew, so did his reputation. Dassler became widely known as the "equipment manager of the world." His shoes were first worn in Olympic competition in 1928, and from then on he worked with everyone from Olympic athletes to national soccer teams. Some of history's greatest athletic performances are in debt to Dassler and his work. Jesse Owens wore adidas track shoes, during his spectacular Olympic performance in 1936, where he earned four gold medals. And Armin Hary was the first athlete to run the 100-m sprint in 10 seconds, also wearing adidas shoes. In 1949, Dassler created the first soccer shoe with molded rubber studs, adopting the trademark three stripes. The German National team truimphed in the 1954 World Cup wearing Adi's soccer boots with screw-in studs, which enabled the game to be played under vastly different conditions without slipping. Hundreds of world records, Olympic medals and World Cup victories stand as a testament to AdiDassler's life work. One of Dassler's goals in producing athletic shoes was to design them according to each sport's specific demands. Dassler's drive to fulfill this goal resulted in more than 700 patents. His long list of sport shoe innovations includes nylon soles and running spikes. He considered any material that might enhance the performance of his shoes. Dassler experimented with sharkskin as a sole material and kangaroo skin for the sides of his shoes. Whatever the athlete's needs, Dassler took them into consideration when designing a shoe. Gold medals, world records and personal athletic accomplishments are the true testaments to

Dassler's shoes and the effectiveness of Adi's innovations. Recognizing the genius of Dassler's work, the American Sporting Goods Industry Hall of Fame inducted Dassler in 1978 as its first non-American member. Today the world refers to Dassler as the founder of the modern sporting goods industry. Yet it was not Adi's creativity and mastery of shoe technology alone that catapulted adidas to the top of the athletic shoe industry. Dassler's wife, Kathe, and their five children all had a hand in the business. Horst, the Dasslers' first-born, perhaps made the most signigicant contribution to his father's company. While Adi's were creative talents, Horst had a head for marketing. With the combination of Dassler shoe quality and Horst's ability to market that quality, adidas was bound for success in the athletic shoe market.

Adidas Logo History


For years the only symbol associated with adidas was the trefoil (flower) logo. This is the logo on top of the three you see on the right. In 1991 a new adidas logo was introduced. This logo evolved to become the performance logo (on the bottom) featured on most adidas products today. The performance logo was actually a part of the logo used for adidas' higher line of product's called adidas equipment. The equipment line began in 1991 with a trio of soccer shoes. The trio consisted of the following.

MISSION OF ADIDAS
Our mission is to be the best sports brand in the world. We will never equate quantity with quality. Adidas founder, AdiDassler was passionate about sports and committed to meeting the demands and needs of athletes. He gave them the unexpected, the little differences that made them more comfortable and improved performance.

This is our legacy. This is what the brand stands for. This will never change.

Product Line
Adidas-Salomon produces under the following brand names: Adidas: footwear, apparel and hardware Erima: Apparel Bonfire: Apparel

Newly acquired brands:


Salomon: skis, snowboards, bindings, ski boots, cross country ski equipment, in-line skates Taylor Made, golfclubs and accessories Mavic, bike wheels and rims

Adventure Shoes Backlash Lo Backlash Mid EQT Arooga Lo EQT Arooga Mid EQT Badlander

Basketball shoes Downtown EQT Elevation Lo EQT Elevation Mid Squire Turnaround Violation

Cycling shoes Campiolo DirtSurfer Garda Ghissalo Off Ramp Vuelta

Eye Tennis shoes protection Chili Cookie Cop Lizard Robin Sprocket Twini Central EQT precision Response FYW Spitfire Lo The Open The Wells Top rank Mid

Track and Field Shoes Adistar Accelarator

Soccer shoes Copa Mundial

Running Shoes Alfrescon Trail Equipment Salvation Equipment Trident Lexicon Extra Ozweego Response Response Trail Supernova

Training shoes 4 by 1 Bradenton Lo Dorsey Equipment Extreme Fast Malice Roll Out Speed Trainer

The World Cup Soccer Ball The World Cup Soccer Ball

AdistarHammer/Discuss EQT Real Liga Adistar High jump Adistar Javelin Adistar LD Adistar Long jump Adistar MD Adistar Race Walk Adistar Shot Put Adistar Sprint Adistar Steeple Adistar Triple jump Titan LD EQT Velez Liga Predator Traxion Cup Rapier Traxion junior World cup

Creation Of a product at adidas.


An immense amount of work goes into the creation of an adidas product. First, Marketing consults with the internal adidas sports and technical divisions and external sources, such as athletes and coaches, to find out where a product is needed, or where other products are falling short. After the consumers' needs and opportunities for product improvements are identified, Marketing presents the concepts to our design department, which creates products

to fill these needs with innovative technologies and functional design. Development makes the actual prototypes. Marketing presents these prototypes to the retail market. Clearly, an adidas product is the result of the intense thought and creative energy of many different people at adidas. Our goal is to crate a product that is honest. In other words, adidas designs products that are intended to perform. The rule is simple, form follows function. The following is a gerneral outline of how an adidas product is created: 1. Marketing evaluates athletes' needs, develops a basic concept of how those needs should be met, and presents the concept to Design. 2. Design sketches possible prototypes to meet the needs expressed by Marketing. 3. Design and Marketing consider the prototype sketches together, narrowing the selection to those they anticipate will most successfully meet athletes' needs. 4. Design works with Development to create a prototype. 5. Marketing, Design and Development meet to review and improve the prototype. 6. Samples are wear-tested to ensure the product meets adidas standards for performance and durability and stands up to the demands of the sport for which it was designed. 7. Preview samples are presented to key accounts and consumer focus groups for feedback. Final changes are made. 8. Salesman samples are distributed to adidas sales representatives for presentation to retailers. 9. Product is delivered to retailers

Adidas - Crm Technology

Abstract

Purpose - In a seminal article, Webster argued in 1992 (Journal of Marketing, Vol. 56/October, pp. 1-17) that some changes in concept and practice have fundamentally reshaped the field of marketing. He claims that customer relationships' are now the key strategic resource of a business. Strategic partnerships and networks are replacing simple market-based transactions. The purpose of this paper is to investigate this claim in the context of various relationships maintained by the adidas group. Approach A detailed analysis was carried out to consider how the organisation has adopted a customer-oriented approach as their key strategy for improved business. This includes factors like increased loyalty of the customers, innovation in creation of new products, use of technology to maintain customer information and the importance of strategic alliances with other businesses. Findings Customer Relationship management is an integral part of the marketing strategy in every organisation. Every department of the organisation works in a cumulative way to add value to the customer and thereby increase the efficiency of the organisation in terms of profits. Adidas group has employed CRM as it core marketing strategy in both business-tobusiness relationships and business-to-consumer relationships using innovative products and latest technologies like mySAP-CRM. Keywords - relationship marketing, customer retention, adidas group

Position and perspectives--Solomon


Founded in 1947 by Georges Salomon, the Salomon Worldwide Group was established as a skiedges workshop in the French Alps. Nowadays, the company is among the leaders in sports equipment with strong brands: Salomon (winter sports, hiking boots and rollerblade), Taylor Made (golf clubs and accessories), and Mavic (cycle components).

Salomon Worldwides strength and philosophy lies in its reputation of designing true innovative products, with both technical advantages and esthetics, resulting in a true partnership with sport-oriented men and women. This strategy is supported by strong investments in R&D and marketing (respectively 5% and 20% of sales). The company has proven its ability to quickly attain strong market positions and profitability. Its strategy is to become a leader in the "freedom actions sports":

Facing the decline of its traditional markets (winter ski and fixations), Salomon still world leader in winter sports has diversified its activities in the fast growing snowboard and in-line skates markets.

Taylor Made is number two in metalwoods worldwide driven by the success of Burner Bubble irons, it is the golf brand with the strongest growth on the American market and expects to confirm its position as an innovative brand.

Mavic is the world leader of top-level rims, and new products such as ultra-aerodynamic wheels are currently being studied by the company

Corporate Responsibility
Compared to US companies Nike and Reebok, Adidas has been slow to respond to issues of corporate responsibility. It was only in June 1998 that Adidas adopted a code of conduct ("Standards of Engagement") and an internal monitoring system. Until then, Adidas had stated that it did not wish to develop a code of its own but favoured an industry-wide code similar to that drawn up by the World Federation of Sporting Goods Industry (WFSGI). To monitor these standards, Adidas has initiated an internal monitoring program, with subsequent audits of suppliers conducted all over the world by regionally located AdidasSalomon personnel. The majority of Adidas suppliers have been evaluated for compliance with the SOE and other action plans developed with individual suppliers to improve working conditions. Adidas-Salomon has teamed up with Business for Social Responsibility, a non-profit organization which promotes corporate citizenship, to train monitors and suppliers'

representatives. With the assistance of experienced environmental consultants, a manual on health and safety and environmental issues has been developed which will help to make the SOE effective in practice. Manuals on labour issues are also being developed. Next to that, Adidas-Salomon supports, through the WFSGI, projects which provide educational opportunities for working children in Pakistan and thus alternatives to stitching footballs. A similar project is being developed in India. Both involve local sports goods manufacturers, the ILO, Save the Children, UNICEF and local NGOs. In January 1999, Adidas appointed David Husselbee as global director of Social and Environmental Affairs. Husselbee used to work for Save the Children Fund and worked on WFSGI child labour projects in Pakistan. Adidas sources most of its products from suppliers all over the globe. About 95% of its sports shoes and 60% of its garments are sourced from Southeast Asia. The increase in Adidas sales of sports shoes and garments is due to a "strict control" of international sourcing costs. The Adidas Annual Report of 1996 already states that sourcing is at the heart of the business and a crucial factor in reducing production costs. The consequences of this policy on working conditions in the supplier factories of Adidas has been described in detail which are as follow: 1. At the Formosa/Evergreen factory in El Salvador, there are about 1000 women who work 60-70 hours per week for a monthly wage of US$133. Women becoming pregnant are dismissed. Unions are being suppressed. (German TV broadcast "Monitor" 13 August 1998) 2. The monthly wage in the Chinese shoe factory Han Tin is between US$47 and US$72. Workers have to work seven days a week with forced overtime of up to seven hours a day paid at the normal rate of pay. (Asia Monitor Resource Center and Hong Kong Christian Industrial Committee, October 1997) 3. The women workers at the Bulgarian knitting supplier Orfei earn 67 US $ per month. (Documentation of the International Forum on Clean Clothes 30 April - 5 May 1998 Brussels)

4. At the Tainan factory in Indonesia, neither the minimum wage nor the legally prescribed overtime pay are being paid. Overtime is forced and exceeds the legally prescribed maximum number of hours. Union activities are being hampered. Sanctions for mistakes are excessive in proportion to the wages paid. Health and safety are neglected. Female workers are sexually harassed. ("Cheap production in Indonesia for Germany's fashion TNCs: Steps towards alternatives", SDWIND-Materialien Nr. 7, Siegburg/Germany, November 1999) International pressure on Adidas has increased over the last couple of years, with the aim to press the company to go beyond internal monitoring. Subsequently, Adidas has started to respond to letters from international Clean Clothes Campaigns sympathizers and to talk to the German Clean Clothes Campaign. In 1999, Adidas became a member of the Fair Labor Association in the USA and applied for membership of the Ethical Trading Initiative in Great Britain. Although progress is slow and confined to selected cases of labour violations such as Formosa/Evergreen, Adidas opted for corrective measures from the end of 1998. In June 1999 the US audit company "Verit", hired by Adidas, monitored Formosa/Evergreen and reported continued, gross violations of labour legislation. This report was communicated to the Clean Clothes Campaign by adidas, as well as a correctional action plan dated October 1999. Over a year after publication of the Formosa/Evergreen report, there is little progress, but at least first improvements are beginning to be felt by the workers: workers applying for a job are no longer asked if they are members of a union.

Industry Profitability
The athletic footwear industry is a challenging and saturated market. Intense competition, fashion trends, and price conscious consumers have slowed growth in this industry. Manufacturers are combating sluggish sales with radical new styles, along with offering more styles at lower price points. Companies are looking for new ways to boost sales by capitalizing on direct Internet sales to consumers. Many companies are also increasing profitability by transferring production to cheaper offshore facilities.

This segment has reached a point of maturity in the domestic market and can look forward to only modest sales growth for the long term. However, sales are improving slightly, especially in the areas of running shoes, cross-trainers and basketball shoes. Therefore, companies with strong brands will increasingly turn to international markets for growth.

INDUSTRY ANALYSIS: Opportunities

The athletic footwear and apparel industries will benefit from the currently strong economic backdrop in the United States. Spending is high and is expected to result in sales growth industry-wide.

Athletic shoes and apparel have become a staple in wardrobes worldwide. This is due to both the increasing numbers of people exercising and the trend towards casual apparel.

Competition is fierce at all levels in within the industry, especially among the leaders. This creates a sense of security for the companies that have been able to create a niche.

Cost cutting due to restructuring of operations will give many companies the chance to price products more competitively.

One area in the industry that is ever changing is research and development. The strong departments will surely capitalize on the trends of tomorrow if their efforts are successful.

Increasing financial recovery in overseas markets proves to be an area of expansion for the athletic footwear and apparel industry.

E-tailing, or customer-designed internet merchandise, is threatening the traditional distribution channels, thus eliminating the "middle-man" distributors and allowing for increasing profitability.

Threats

The industry has reached a level of maturity. While style and technology in athletic apparel and footwear has reached a leveling-off point, the important aspect now is for companies to differentiate their lines.

Inflation is looming over the U.S. economy, which may spark a cutback in consumer spending.

Consumers are becoming savvier and may lean towards discounted items. In terms of market saturation, many of the key manufacturers in this industry have been around for many years. Consumers may be scanning the market for new and different footwear and apparel products.

KEY OPPORTUNITY

The key opportunity for adidas currently is the booming economy of the United States. Currently the company has the ability and the resources to exploit this opportunity. Adidas has capitalized on the recent economic boom with higher sales and income. However, they are not using their resources to the fullest degree. There are currently many areas in which adidas is not paying attention. They have not catered to a large portion of the new generation that demand the latest trends and styles. Also, adidas must take into account the changing demographics in this country. There is a much higher proportion of Hispanics, Asians, and African Americans than there was before. These groups have somewhat different tastes that adidas should be able to satisfy.

To exploit this opportunity, adidas needs to focus on who the next generation of loyal customers will be and cater to their needs. In addition, the world economy is recovering currently, which allows adidas to make an impression in foreign markets as well. adidas is strong in many foreign countries, but we need to focus on the younger market of consumers. Adidas has been doing a great deal of research and development, but if they want to increase their market share, they must look at trends while maintaining their high standards of quality

Business Segments
The Adidas Group organizes its business segments by brand: adidas (72.4% of 2009 net sales): The adidas brand is the ultimate profit driver for the adidas Group, accounting for about three quarters of net sales. The brand consists of 2 segments: Sports Performance and Sports Style. This brand, which employs a premium-price strategy, sells items in fashion, apparel, and footwear. Reebok (19.4% of 2009 net sales): Reebok has three different divisions: Reebok (80% of brand revenue in 2009), Reebok-CCM Hockey (8%), and Rockport(12%).Since beingacquired in 2006, the group has been trying to reposition the Reebok brand image. Before its acquisition, Reebok had employed excessive discounting in an effort to drive volume sales, but the adidas Group has been raising prices. The group is also trying to position the brand as a specialist in the women's, fitness, and running markets, to limited success. Overall, Reebok's brand image is still diluted because of its previously low prices. Most analysts believe that a Reebok integration and shift in brand image are significant opportunities for the adidas Group. Taylor Made-adidas Golf (8.2% of 2009 net sales): Taylor Made-adidas Golf is comprised of Taylor Made (clubs and balls) and adidas Golf, (footwear and apparel).

MARCKET SHARE
Adidas is currently enjoying the fastest growth of any brand domestically, with a market share of 6% and revenues of $500 million. They have been shielded from bad publicity by the two Goliaths of the industry, Nike and Reebok, and are reaping the rewards substantially. They

have adjusted their manufacturing strategy, from a vertical operation in Germany in the 60s and 70s, to an outsourcing focus today throughout Asia. Unlike the big two, they do not have a code of conduct, and their factories are considered to be the worst in the industry. It is just a matter of time before they are exposed, with an underground swelling of negativity already occurring today. In order to avoid the negative effects and lost revenues that Nike and Reebok have received, they need to immediately begin to take a proactive stance in regards to the working conditions of their factories

BRANDS Adidas Sport Performance


The guiding principle of the adidas Sport Performance Division is to equip all athletes to achieve their impossible. adidas Sport Performance brings its passion for great products to athletes in all sports and mainly focuses on four key categories globally:football, running, training and basketball.

Adidas Original
Personal collections,innovative style,groundbreaking fashion.Orginals by original is the sum of all three,pure celebration of originality in footwear and apparel. From born originals like Mark Gonzales and Nike Nastase, to the music and style of Missy Elliot and Run DMC, to true champions like David Beckham and Stan smith the three stripes has been there since the very beginning.

Adidas Style

The Sport Style Division is the home of Originals, defined as authentic sportswear, the Fashion Group, which is the future of sportswear, and Style Essentials, the fresh sport-inspired label made accessible for style-adopting youth. Together they offer consumers products from street fashion to high fashion, all uniquely inspired and linked to sport.

NIKE

A brief history of Nike


The Nike athletic machine began as a small distributing outfit located in the trunk of Phil Knight's car. From these rather inauspicious beginnings, Knight's brainchild grew to become the shoe and athletic company that would come to define many aspects of popular culture and myriad varieties of 'cool.' Nike emanated from two sources: Bill Bowerman's quest for lighter, more durable racing shoes for his Oregon runners, and Knight's search for a way to make a living without having to give up his love of athletics. Bowerman coached track at the University of Oregon where Phil Knight ran in 1959. Bowerman's desire for better quality running shoes clearly influenced Knight in his search for a marketing strategy. Between them, the seed of the most influential sporting company grew. The story goes like this: while getting his MBA at Stanford in the early '60s, Knight took a class with Frank Shallenberger. The semester-long project was to devise a small business, including a marketing plan. Synthesizing Bowerman's attention to quality running shoes and the

burgeoning opinion that high-quality/low cost products could be produced in Japan and shipped to the U.S. for distribution, Knight found his market niche. Shallenberger thought the idea interesting, but certainly no business jackpot. Nothing more became of Knight's project. Cut to 1963. Phil Knight traveled to Japan on a world-tour, filled with the wanderlust of young men seeking a way to delay the inevitable call of professional life. Seemingly on a whim, Knight scheduled an interview with a Japanese running shoe manufacturer, Tiger--a subsidiary of the Onitsuka Company. Presenting himself as the representative of an American distributor interested in selling Tiger shoes to American runners, Knight told the businessmen of his interest in their product. Blue Ribbon Sports--the name Knight thought of moments after being askedwho he represented--was born. The Tiger executives liked what they heard and Knight placed his first order for Tigers soon thereafter. By 1964, Knight had sold $8,000 worth of Tigers and placed an order for more. Coach Bowerman and Knight worked together, but ended up hiring a full-time salesman, Jeff Johnson. After cresting $1 million in sales and riding the wave of the success, Knight et. al. devised the Nike name and trademark Swoosh in 1971. By the late '70s, Blue Ribbon Sports officially became Nike and went from $10 million to $270 million in sales. Katz (1994) describes the success via Nike's placement within the matrix of the fitness revolution: 'the idea of exercise and game-playing ceased to be something the average American did for fun,' instead Americans turned to working out as a cultural signifier of status. Clearly, the circumstances surrounding the shift are not this simple; it is one of the aims of this project to discover other generators of popular attention to health. If Nike didn't start the fitness revolution, Knight says, "We were at least right there. And we sure rode it for one hell of a ride" (Katz, 66). The 80s and 90s would yield greater and greater profits as Nike began to assume the appearance of athletic juggernaut, rather than the underdog of old. "Advertising Age" named Nike the 1996 Marketer of the Year, citing the "ubiquitous swoosh...was more recognized and coveted by consumers than any other sports brand--arguably any brand" (Jensen, 12/96). That same year Nike's revenues were a staggering

$6.74 billion. Expecting $8 billion sales in fiscal 1997, Nike has targeted $12 billion in sales by the year 2000. And all from the back of a car. Few can question Nike's financial hegemony. But nearly $7 billion in revenues clearly begs the question, What sells these shoes? It is my assertion that Nike's power to sell comes from deeprooted yearnings for cultural inclusiveness and individual athletic accomplishment. These seemingly paradoxical desires collide in consumers hearts and minds and produce the unyielding zeal for Nike shoes and apparel. Unfortunate effectsof this zeal can be found in the rash of Nike apparel killings in 1991 and the profusion of Nike collectors and webpages designed around the company's products. (See listing of homepages on Works Cited Page) Nike appeals to these disparate elements of Americans' personalities through an advertising philosophy that is, at once, simple and sublime. In addition, Nike's practice of top-level athletes promoting their products appeal to countless ages and creeds as a way to identify with and emulate their athletic heroes. These forces work powerfully upon the individual consumer, but one should not lose sight of the cultural context in which the individual moves.

end of fiscal 2011, NIKE, Inc.s affiliate businesses contributed approximately $2.7 billion of the companys $20.9 billion in reveAcquisitions
As of November 2008, Nike, Inc. owns four key subsidiaries: Cole Haan, Hurley International, Converse Inc. and Umbro. Nike's first acquisition was the upscale footwear company Cole Haan in 1988. In February 2002, Nike bought surf apparelcompany Hurley International from founder Bob Hurley.[12] In July 2003, Nike paid US$309 million to acquire Converse Inc., makers of theiconic Chuck Taylor All Stars sneakers.[13] On March 3, 2008, Nike acquired sports apparel supplier Umbro, known as the manufacturers of the England national football team's kit, in a deal said to be worth 285 million (about US$600 million).Other subsidiaries previously owned and subsequently sold by Nike include Bauer Hockey and Starter.

Products

A Nike brand athletic shoe

A pair of Nike Air Jordan I basketball shoes Nike produces a wide range of sports equipment. Their first products were track running shoes. They currently also make shoes, jerseys, shorts, baselayers, etc. for a wide range of sports, including track and field, baseball, ice hockey, tennis, association football (soccer), lacrosse, basketball, and cricket. Nike Air Max is a line of shoes first released by Nike, Inc. in 1987. The most recent additions to their line are the Nike 6.0, Nike NYX, and Nike SB shoes, designed for skateboarding. Nike has recently introduced cricket shoes called Air Zoom Yorker, designed to be 30% lighter than their competitors'.[16] In 2008, Nike introduced the Air Jordan XX3, a highperformance basketball shoe designed with the environment in mind. Nike sells an assortment of products, including shoes and apparel for sports activities like association football,[17] basketball, running, combat sports, tennis, American football, athletics, golf, and cross training for men, women, and children. Nike also sells shoes for outdoor activities such as tennis, golf, skateboarding, association football, baseball, American football, cycling, volleyball, wrestling, cheerleading, aquatic activities, auto racing, and other athletic and recreational uses. Nike is well known and popular in youth culture, chav culture and hip hop culture for their supplying of urban fashion clothing.Nike recently teamed up with Apple Inc. to produce the Nike+ product that monitors a runner's performance via a radio device in the shoe that links to the iPod nano. While the product generates useful statistics, it has been criticized

by researchers who were able to identify users' RFID devices from 60 feet (18 m) away using small, concealable intelligence motes in a wireless sensor network. In 2004, they launched the SPARQ Training Program/Division. Some of Nike's newest shoes contain Flywire and Lunarlite Foam to reduce weight. On July 15, 2009, the Nike+ Sports Band was released in stores. The product records distance run and calories expended, keeps time, and also gives runners new programs online they could try running.[clarification needed] The 2010 Nike Pro Combat jersey collection will be worn by teams from the following universities: Miami, Alabama, Boise State, Florida, Ohio State, Oregon State, Texas Christian University, Virginia Tech, West Virginia, and Pittsburgh. Teams will wear these jerseys in key matchups as well as any time the athletic department deems it necessary.

Headquarters
Nike's world headquarters are surrounded by the city of Beaverton, but are within unincorporatedWashington County. The city attempted to forcibly annex Nike's headquarters, which led to a lawsuit by Nike, and lobbying by the company that ultimately ended in Oregon Senate Bill 887 of 2005. Under that bill's terms, Beaverton is specifically barred from forcibly annexing the land that Nike and Columbia Sportswear occupy in Washington County for 35 years, while Electro Scientific Industries and Tektronix receive the same protection for 30 years.

Manufacturing
Nike has contracted with more than 700 shops around the world and has offices located in 45 countries outside the United States.[23] Most of the factories are located in Asia, including Indonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan, Philippines, and Malaysia. [24] Nike is hesitant to disclose information about the contract companies it works with. However, due to

harsh criticism from some organizations like CorpWatch, Nike has disclosed information about its contract factories in its Corporate Governance Report.

Human rights concerns Sweatshops


Nike has been criticized for contracting with factories (known as Nike sweatshops) in countries such as China, Vietnam, Indonesia and Mexico. Vietnam Labor Watch, an activist group, has documented that factories contracted by Nike have violated minimum wage and overtime laws in Vietnam as late as 1996, although Nike claims that this practice has been stopped.[25] The company has been subject to much critical coverage of the often poor working conditions and exploitation of cheap overseas labor employed in the free trade zones where their goods are typically manufactured. Sources for this criticism include Naomi Klein's book No Logo and Michael Moore documentaries. During the 1990s, Nike faced criticism for the use of child labor in Cambodia and Pakistan in factories it contracted to manufacture soccer balls. Although Nike took action to curb or at leastreduce the practice, they continue to contract their production to companies that operatein areaswhere inadequate regulation and monitoring make it hard to ensure that child labor is not being used.[26] In 2001, a BBC documentary uncovered occurrences of child labor and poor working conditions in a Cambodian factory used by Nike.[27] The documentary focused on six girls, who all worked seven days a week, often 16 hours a day. Campaigns have been taken up by many colleges and universities, especially anti-globalisation groups, as well as several anti-sweatshop groups such as the United Students Against Sweatshops.[28] Despite these campaigns, however, Nike's annual revenues have increased from US$6.4 billion in 1996 to nearly US$17 billion in 2007, according to the company's annual reports.

A July 2008 investigation by Australian Channel 7 News found a large number of cases involving forced labour in one of the largest Nike apparel factories. The factory located in Malaysia was filmed by an undercover crew who found instances of squalid living conditions and forced labour. Nike have since stated that they will take corrective action to ensure the abuse does not continue.[29] As of July 2011, Nike stated that two-thirds of its factories producing Converse products still do not meet the company's standards for worker treatment. A July 2011 Associated Press article stated that employees at the company's plants in Indonesia reported constant abuse from supervisors.

China Olympics
Nike also caused controversy during the 2008 Olympics in Beijing, China, when their sponsored Chinese athlete, Liu Xiang, withdrew from the Olympic 110 metre hurdles, leaving the track after a false start by another competitor. Liu claimed that he withdrew due an ankle injury. [31] However, an anonymous message was posted on the internet, purportedly from a source close to Nike, claiming that the corporation had forced Liu to withdraw as he was unlikely to win, thereby tarnishing their image. Nike responded by announcing that "we have immediately asked relevant [Chinese] government departments to investigate those that started the rumour"

Environmental record
Nike tries to counteract the detrimental effect with different projects. According to the New England-based environmental organization Clean Air-Cool Planet, Nike ranks among the top three companies (out of 56) in a survey of climate-friendly companies.[33] Nike has also been praised for its Nike Grind program (which closes the product lifecycle) by groups like Climate Counts.[34] One campaign that Nike began for Earth Day 2008 was a commercial that featured basketball starSteve Nash wearing Nike's Trash Talk Shoe, which had been constructed in February 2008 from pieces of leather and synthetic leather waste from factory floors. The Trash

Talk Shoe also featured a sole composed of ground-up rubber from a shoe recycling program. Nike claims this is the first performance basketball shoe that has been created from manufacturing waste, but it only produced 5,000 pairs for sale.[35] Another project Nike has begun is called Nike's Reuse-A-Shoe program. This program, started in 1993, is Nike's longest-running program that benefits both the environment and the community by collecting old athletic shoes of any type in order to process and recycle them. The material that is produced is then used to help create sports surfaces such as basketball courts, running tracks, and playgrounds.[36] A project through the University of North Carolina at Chapel Hill found workers were exposed to toxic isocyanates and other chemicals in footwear factories in Thailand. In addition to inhalation, dermal exposure was the biggest problem found. This could result in allergic reactions including asthmatic reactions.

Marketing strategy
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Nike promotes its products by sponsorship agreements with celebrity athletes, professional teams and college athletic teams. However, Nike's marketing mix contains many elements besides promotion. These are summarized below.

Advertising
In 1982, Nike aired its first national television ads, created by newly formed ad agency Wieden+Kennedy (W+K), during the broadcast of the New York Marathon. This was the beginning of a successful partnership between Nike and W+K that remains intact today. The Cannes Advertising Festival has named Nike its Advertiser of the Year in 1994 and 2003, making it the first and only company to receive that honor twice.

Nike also has earned the Emmy Award for best commercial twice since the award was first created in the 1990s. The first was for "The Morning After," a satirical look at what a runner might face on the morning of January 1, 2000 if every dire prediction about the Y2K problem came to fruition.[40] The second was for a 2002 spot called "Move," which featured a series of famous and everyday athletes in a variety of athletic pursuits.[41] In addition to garnering awards, however, Nike advertising has generated its fair share of controversy.-

2011 Investor Update Meeting


On June 28, 2011 NIKE, Inc. hosted an investor update meeting at its world headquarters in Beaverton, OR. At the event NIKE, Inc. President and Chief Executive Officer, Mark Parker, and other members of the executive management team provided an overview of fiscal 2011 results and reviewed progress against the companys long-term strategy to deliver sustainable, profitable growth

BRANDS
The following 35 pages are in this category, out of 35 total Air Jordan Air Melo Line Cole Haan Converse Exeter Brands Group Hurley Nike Air Max Nike Considered Nike Flywire Nike Free Nike Golf Nike Mercurial Vapor Nike Shox Nike SB Swoosh Air Force 1 Team Starter Nike Total 90 Umbro Nike Multi-Turf

Nike's footwear market share 'to grow steadily' 16 Mar 11 - 9:58AM


Nike's global footwear market share is set to "grow steadily" over the next few years and is predicted to reach 20 per cent by 2017.

That is according to financial news and services website The Street, which claims Nike's market

share in the footwear market will increase for a number of factors.

It states: "The growth is mainly attributable to Nike's continuous evolution of its product line and marketing initiatives.

"In addition to its strong brand name and large distribution channel, Nike's expansion opportunities, innovative product development, and marketing strategies should contribute towards growth in its footwear market share."

The news provider also cites the sports brand's expansion opportunities as a key factor to its success.

It suggests that Nike's presence in emerging markets, such as India and China, will help to offset any "recent weakness" in the US.

Nike, Inc was originally founded as Blue Ribbon Sports in 1964 by Philip Knight, a track athlete from the University of Oregon, and his coach Bill Bowerman.

MARCKET SHARE
Nike currently enjoys a 47% market share of the domestic footwear industry, with sales of $3.77 billion. Nike has been manufacturing throughout the Asian region for over twenty-five years, and there are over 500,000 people today directly engaged in the production of their products. They utilize an outsourcing strategy, using only subcontractors throughout the globe. Their majority of their output today is produced in factories in China, Indonesia, and Vietnam, but they also have factories in Italy, the Philippines, Taiwan, and South Korea. These factories are 100% owned by subcontractors, with the majority of their output consisting solely of Nike products. However, Nike does employ teams of four expatriates per each of the big three countries (China, Indonesia, Vietnam), that focus on both quality of product and quality of working conditions, visiting the factories weekly. They also developed their code of conduct in 1992 and have implemented it across the globe, as its goal is to set the standard for subcontractors to follow if they wish to do

business with Nike. However, due to a manufacturing network of this magnitude, they have faced numerous violations involving factory conditions and human rights issues, which have been widely publicized. They have responded to these issues through the Andrew Young report, the Dartmouth Study, and Ernst & Youngs continual monitoring, but are still approximately two years away from completely addressing these problems throughout the globe.

Opportunities.

Product development offers Nike many opportunities. The brand is fiercely defended by its owners whom truly believe that Nike is not a fashion brand. However, like it or not, consumers that wear Nike product do not always buy it to participate in sport. Some would argue that in youth culture especially, Nike is a fashion brand. This creates its own opportunities, since product could become unfashionable before it wears out i.e. consumers need to replace shoes.

There is also the opportunity to develop products such as sport wear, sunglasses and jewellery. Such high value items do tend to have associated with them, high profits.

The business could also be developed internationally, building upon its strong global brand recognition. There are many markets that have the disposable income to spend on high value sports goods. For example, emerging markets such as China and India have a new richer generation of consumers. There are also global marketing events that can be utilised to support the brand such as the Nike World Cup (soccer) and The Olympics.

Threats.

is exposed to the international nature of trade. It buys and sells in different currencies and so costs and margins are not stable over long periods of time. Such an exposure could mean that Nike may be manufacturing and/or selling at a loss. This is an issue that faces all global brands.

The market for sports shoes and garments is very competitive. The model developed by Phil Knight in his Stamford Business School days (high value branded product manufactured at a low cost) is now commonly used and to an extent is no longer a basis for sustainable competitive advantage. Competitors are developing alternative brands to take away Nike's market share.

As discussed above in weaknesses, the retail sector is becoming price competitive. This ultimately means that consumers are shopping around for a better deal. So if one store charges a price for a pair of sports shoes, the consumer could go to the store along the street to compare prices for the exactly the same item, and buy the cheaper of the two. Such consumer price sensitivity is a potential external threat to Nike.

'If you have a body, you are an athlete' - Bill Bowerman said this a couple of decades ago. The guy was right. It defines how he viewed the world, and it defines how Nike pursues its destiny. Ours is a language of sports, a universally understood lexicon of passion and competition. A lot has happened at Nike in the 30 years

About Puma
PUMA is a German-based shoe company that produces sportswear and specializes in making athletic shoes. It employs nearly 8,000 people and its products reach as many as 80 countries around the world. PUMA sponsors many individual athletes, such as Olympic champion Usain Bolt of Jamaica and also sponsors a large number of national and club teams in sports ranging from soccer to cricket.

History

A German man named ChristophDassler, who lived in the town of Herzogenaurach in the Bavarian region of Germany, worked in a shoe factory prior to World War I. His wife ran a laundry and they had a son named Rudolf, who also worked with his father at the factory. Rudolf served in the army during the war and when he returned, he worked in manufacturing venues near the city of Nuremberg. He finally returned to his hometown in 1924, where he joined his younger brother Adolf who had established a shoe factory of his own. This was the beginning of what would become PUMA shoes.

Significance
The Dassler Brothers Shoe Factory had humble beginnings as the two siblings used their mother's laundry to make the shoes. They had to supply their own electrical power at times by riding a stationary bike hooked up to their equipment. The brothers' big break came in 1936 when Adolf traveled to the Summer Olympics in Berlin, where he was able to talk the great American track star Jesse Owens into wearing a pair of their track spikes. Owens went on to win four gold medals and the brothers' shoes became a hit.

Effects
Cashing in on their fame, the Dassler brothers were able to expand their factory and sold thousands of shoes. But World War II came along and both brothers joined the Nazi party. During the course of the war, the brothers had a severe falling out and when the war ended they broke up their business. In 1948, Adolf founded Adidas shoes while Rudolf called his new shoe company Ruda.

Identification
Both companies thrived over the years. Rudolf quickly changed the name of his to PUMA and was able to still sponsor many athletes, including the West German soccer team in 1948. In 1949, Rudolf came up with soccer shoes that had removable spikes and in1952 a runner wearing a pair of PUMA spikes won a gold medal in the Helsinki Olympics. PUMA became identified with the most famous athlete in the world when the company signed the great Pele of soccer to a marketing contract. PUMA also boasted of having basketball star Walt Frazier and football icon Joe Namath endorse their shoes.

Expert Insight
The two brothers never reconciled. When Rudolf died in 1974, his two sons took over the company, which became a corporation in 1986. Adolf passed away in 1978. The pair are buried in the same cemetery but as far apart as could be. In 1998, the company, named for the Spanish word for a cougar, diversified, branching out into sportswear as well.

PUMA in Present day

A Puma store in a shopping centre

Puma AG has approximately 9,500 employees and distributes its products in more than 120 countries.[when?] For the fiscal year 2003, the company had a revenue of 1.274 billion. Puma were the commercial sponsors for the 2002 anime series Hungry Heart: Wild Striker, with the jerseys and clothing sporting the Puma brand. The company has been conducted by CEO and Chairman JochenZeitz since 1993. His contract has been extended ahead of schedule for four more years until 2012 in October 2007. [10] Japanese fashion guru Mihara Yasuhiro teamed up with Puma to create a high-end and highconcept line of sneakers. Puma is the main producer of enthusiast driving shoes and race suits. They are the prime producer in both Formula One and NASCAR especially. They had also successfully won the rights to sponsor the 2006 FIFA World Cup champions, the Italian national football team, with them making and sponsoring the clothing worn by the team. Their partnership with Ferrari and BMW to make Puma-Ferrari and Puma-BMW shoes has also contributed to this success. On 15 March 2007, Puma launched its first new 2007/2008 line of uniforms for a club, and Brazilian football club Grmio will be the first to use the laser sewn technology, similar to the one worn by Italy at the 2006 World Cup. Grmio and other Brazilian clubs will be the first to use the technology because their season starts six months earlier than European clubs. Puma also

makes baseball cleats, and Johnny Damon, the outfielder for the Detroit Tigers, is their spokesperson. He has his own cleat called the "DFR Metals".

COMPARISON OF COMPANIES Companies Average Growth Rate(200508

nike
adidas

10.5% 26.46%

bata liberty

7.8% 11.16%

30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% nike adidas bata liberty average growth rate

COMPARISON OF COMPANIES (PORTERS MODEL):

Basis of Nike comarision Barriors to absent

adidas

relaxo

Action

bata

liberty

absent

absent

absent

absent absent

SUPPLY CHAIN IN FOOTWEAR


In nutshell the supply chain in footwear starts from the farmers end and ends with finished goods in the customers hand. The farmers who tame the animals send the skins to skins &hides collector in their respective area, then these raw

Materials are sent to the tannery which transforms these skins into raw material for the shoe manufacturing companies, which in turn convert this into finished goods in the form of footwear. Further these footwear are sent to warehouse of the manufacturing companies, after that these goods are supplies to customers through various channel members like retailers, wholesalersretail chains, department stores. The diagrammatic illustration is shown below

KEY ISSUES:
Employment of children in the footwear industry: Children are employed in the manufacturing of shoes, particularly in the Agra area of U.P. where approximately 25000 children are estimated to be involved in the process of shoe making for domestic as well as international markets. These children are between the age group of 10 15 mainly employed for the assembling shoes process. Furthermore these children are exposed to physical factors like leather dust, benzene and p-tertbutyl phenol, poor illumination. Thus these children suffer from problems like respiratory problems, skin infections etc.

MARKET FORECASTS
Market Value Forecast
In 2010, the indian footwear market is expected to have value of $4,380.3 million, an increase of 62.1% since 2005. The compounded annual grouth rate of the market in the period is to be 10.1%

India Footwear Market Value Forecast; $ million, 2005-10 year 2005 2006 2007 2008 2009 2010 CAGR,2005-10 $ million 2701.5 2960.4 3256 3589.7 3963.8 4380.3 INR billion 119.2 130.6 143.6 158.4 174.9 193.2 growth 9.10% 9.60% 10% 10.2% 10.4% 10.5% 10.1%

5000 4500 4000 3500 3000 2500 2000 1500 1000 500 0 $millian INR billian growth

TURNOVER

turnover
3.2

bata liberty 351.2

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