Industry Profile

The textile sector enjoys a pivotal position in the exports of Pakistan. In Asia,
Pakistan is the 8thlargest exporter of textile products. The contribution of
this industry to the total GDP is 8.5%. It provides employment to about 15
million people, 30% of the country work force of about 49million. The annual
volume of total world textile trade is US$18 trillion which is growing at 2.5
percent. Out of it, Pakistans share is less than one per cent. The
development of the Manufacturing Sector has been given the highest priority
since Pakistans founding with major stress on Agro-Based Industries. For
Pakistan which was one of the leading producers of cotton in the world, the
development of a Textile Industry making full use of its abundant resources
of cotton has been a priority area towards industrialization. At present, there
are 1,221 ginning units, 442 spinning units, 124 large spinning units and 425
small units which produce textile products. The industry consists of largescale organized sector and a highly fragmented cottage / small-scale sector.
The

availability

of

cheap

labor

and

basic

raw

cotton

as

raw material for textile industry has played the principal role in the growth of
the Cotton Textile Industry in Pakistan.

Company Introduction
COMPANY PROFILE

The Nishat Group:

Nishat has grown from a cotton export house into the premier business group
of Pakistan with 5 listed companies, concentrating on 4 core business;
Textiles, Cement, Banking and Power Generation. Today, Nishat is considered
to be at par with multinational operating locally in terms of its quality
products and management skills.

Annual turnover of 17 billion rupees.

14 billion from textiles.

Earn foreign exchange of US $ 236 million.

Pay taxes and levis of 2,080 million rupees annually

Nishat Textiles Limited:Nishat Textiles Limited is a public Limited Company incorporated in Pakistan
under the Companies Act, 1913(Now Companies Ordinance, 1984) and listed
on

Stock

Exchanges

in

Pakistan.

The Company is engaged in the business of textile manufacturing and of

spinning, combing, weaving, bleaching, dyeing printing, stitching, buying,
selling and otherwise dealing in yarn, linen, cloth and other goods and
fabrics made from raw cotton, synthetic fiber and cloth, and to generate,
accumulate, distribute and supply electricity. Company is providing quality
products to its customers within the Pakistan and outside the Pakistan.
Presently company is exporting its all kinds if apparel products.
The textile business is further subdivided into 2-textile division:
Nishat Faisalabad
2

Nishat Chunian
The textile capacity of the group is the largest in the country. An addition of
20,000 new spindles, 100 new air jet looms and new dyeing plants has
increased the existing capacity of 242,000 spindles, 740 looms and dyeing
and finishing capacity of 5 million meters. It is the largest exporter of textile
products from Pakistan, for more than a decade.

Over The Years:

1951
1959
1961
1989
1992
1996
2005
2008

Nishat Mills Limited commenced its business as partnership.

The company incorporated as private limited company.
Nishat Mills Limited was listed on Karachi Stock Exchange.
The Company was listed on Lahore Stock Exchange.
The Company was listed on Islamabad Stock Exchange.
Acquired the operating assets of Nishat Tek Limited and Nishat
Fabrics Limited.
Acquired the assets of Umer Fabrics Limited.
Acquired the assets of Nishat Apparel Limited.

Vision Statement:
To transform the Company into a modern and dynamic yarn, cloth and
processed cloth and finished product manufacturing Company with highly
professionals and fully equipped to play a meaningful role on sustainable
basis in the economy of Pakistan.

Mission Statement:
To provide quality products to customers and explore new markets to
promote/expand sales of the Company through good governance and foster
a sound and dynamic team, so as to achieve optimum prices of products of
the Company for sustainable and equitable growth and prosperity of the
Company.

Business & Products:

Spinning:
Nishat

Mills

Spinning

Division

has

over 198,120 spindles,

which

are

operationally organized into 8 spinning units. The entire machinery is from

world-renowned manufactures. All yarns made at Nishat are Ring Spun
suitable for both knitting and weaving. Besides the best Pakistani cotton,
long stapled American, Egyptian and US Pima cotton is also used for fine
counts. For our strong belief in product development and innovation we have
our own in house state of the art cotton and yarn testing laboratories. Nishat
spinning is one of the most trusted brands in the market due to its efficient
production and quality. Spinning production capacity for both Cotton and
Blended Yarns is 185 Tons / Day.

Weaving:
Nishat Mills Weaving division has 670 modern Air Jet and projectile looms
which produce approximate 9.0 million meters of fabric per month and
makes it the largest weaving facility of Pakistan catering to home textile and
apparel fabrics.

Processing:
Its fabric processing facility is one of the largest and most modern
factories of Pakistan. With an array of custom-made machinery, it has the
capacity to produce 90 million meters of fabric per annum. It is specially
designed to handle heavy weight fabrics like twills, drills, canvases /
poplins, fabrics with minimum tension such as stretch fabrics and all high
4

density weaves. The advantage achieved by the customized design of its

machines is the result of an extensive research work with the help of
world renowned machine makers. To ensure that our customers get the
very best we use more than 75% dyes and chemicals of European origin.
The standards are higher than ever, dedicated by fashion, efficient
productivity and further automation is engineered in the plant. To maintain
quality and international standards, an on-line Quality Control (QC)
Department has been setup. The QC department is augmented by a fully
equipped Laboratory, which scrutinizes the fabric process flow at all levels.
Our extra ordinary Research & Development work and highly trained
marketing personal are pivotal to sustain long term business relationships.

Garments:Nishat Mills Limited has state of art garment manufacturing facility both for
men and women. The Apparel division has deployed 1627 high end sewing
machines such as Vibe Mac, Juki, Mitusibishi and Brother. The Division has
the capacity to produce 7.20 million garments per annum.The Garment wet
process utilizes the modern techniques of Rinse, Enzyme
Stone, Enzyme Wash, Super Bleach, Reducer
Wash, Tint Wash and Raisin Wash. In order to obtain best results, our facility
is geared with Tonello Washing machines, Maino dryers, Wrinkle Curing
Hangers and Barrel washing machines and Dryers for sampling. Our qualified
team members utilize the equipment to obtain optimal results and cater to
the specific needs of the client.

Generation Facilities:
Nishat Mills has established state of the art, modern, highly reliable and
extremely efficient captive co-generation power plants to cater in house
energy requirements at all its spinning, weaving, processing, stitching and
apparel units. These facilities are using Wartsila, Caterpillar, Cummins,
5

Daihatsu, Jenbacher & Mak engines for power generation. Gas, Furnace Oil,
Diesel and Steam is being used as fuel for power generation.

Nishat Linen:
Nishat Linen is a concern of Nishat Mills, the textile and home fashion retail
chain that has redefined the industry with acute attention paid to quality,
design and affordability. Nishat Linen prides itself on being the brand of
preference for discerning customers who are in search of things, unique and
chic without compromising on aesthetics or price. Unsurpassed customer
service, including tailor-made orders, ensures our clientele remains loyal to
the Nishat family.
From bed linen to kitchen coordinates, upholstery to apparel, Nishat Linen
has become a household name as a creator of stunning, high-quality designs
at reasonable prices; a feat achieved by few.

Competitors:
The competitors of Nishat Mills Ltd. are:

Crescent Textile
Gul Ahmed Textile
Chenab Textile
Arzoo Textile
Alkaram
Sitara Textile
Kohinoor Textile

Porters Five Force Model:

Industry Rivalry:
The rivalry in industry is very strong. Currently, there are many firms
operating with the good growth rate in the industry. Nishat Textile Mills
has a good growth rate in the market. Chenab Textiles, Al-Karam
7

Textiles, Kohinoor, Crescent textile Mills are considered as strong

competitors.

Bargaining power of Suppliers:

The suppliers of various raw materials have a low bargaining power
because the raw materials required are produced in bulk such as
cotton.

Bargaining power of Buyers:

Buyers enjoy a high bargaining power as Pakistan has a great number
of textile mills, therefore its easy to switch from mill to another.

Threat of New Entrants:

Due to easy and wide availability of raw materials, its easier to raise a
textile mill which also serves as a threat to Nishat Textiles.

Threat of Substitute Products:

There are many competitors doing good currently in the industry and
produce the goods of same and better qualities which serves as a
threat to Nishat Textiles.

SWOT Analysis:
SWOT MATRIX
STRENGTHS

ISO 9001 and IKO-TEX 100

Certified
Biggest composite unit in
Pakistan
Highest credit rating by PACRA
Self owned power plant
Largest dyeing facility in South
East Asia

OPPORTUNITIES

WTO regime implementation

Cost reduction by using modern
and technology
Local market development
Entering in Energy sector
(Subject to Government
permission)

WEAKNESSES

Relying on international market

High cost of production
High employees turnover
Transit time is more as
compared to foreign competitor

THREATS
Export of raw cotton and yarn
WTO regime implementation
Exchange rate fluctuations
Instable political and economical
conditions
Government policies

STRENGTHS
ISO 9001 and IKO-TEX 100 Certified:
As NML is mainly focusing on international markets, and with the
implementation of WTO regime, these types of certifications are very helpful
to win the customers satisfaction.

Biggest Composite Unit in Pakistan:

NML is enjoying the status of being the biggest textile composite unit of
Pakistan, this strength is helpful to create economies of scale that is the key
to success in international markets.

Highest Credit Rating by PACRA:

NML has been awarded highest investment grade by Pakistan Credit Rating
Agency (PACRA), which will make it easy for the NML to raise long-term
funds.

Self Owned Power Plant:

Now adays, having your own power plant is of crucial importance, because it
makes sure un-interrupted supply of energy at very low cost, which is helpful
in competing on international level.

Largest Dyeing Facility in South East Asia:

NMLs processing division got the largest dyeing in South East Asia, making it
a candidate to accept those contracts from other companies that involve out
sourcing of dyeing facilities.

WEAKNESSES
Relying On International Market:
10

NML has beenfocusing on international markets so there are chances that

this strategy may hurt its sales as there are rapid fluctuations in international
markets, competition and buyers preferences.

High Cost of Production:

All Pakistani firms including NML is suffering from high cost of production as
compared to the other countries like; India, China and Bangladesh, they are
cutting our throats by being cost competitive day by day while at the same
time producing high quality stuff as compared to Pakistani firms.

High Employee Turnover:

Trends have been seen in workforce data to leave the NML on permanent
basis, this is especially true for the lower level staff.

Transit Time Is More as Compared to Foreign Competitors:

Foreign countries like India, Bangladesh and China are very much efficient
while completing and consigning their orders to foreign buyers. NML has
more transit time as compared to its international competitors. The reason
may be the contracts with shipping companies or some internal process
problems.

OPPORTUNITIES
WTO Regime Implementation:
With the abolishment of quota system, now it is an opportunity for the NML
to capture the international market share by providing low priced and high
quality

goods

to

international

customers.

In

this

regard

is

cost competitiveness is a special concern.

Cost Reduction by Using Modern Technology:

11

As WTO regime has opened the doors for free trade for the whole world, now
the only survival of the firms would on the minimization of production cost
and offering innovative, high quality goods with competitive price. NML has
got strong financial support from Nishat Group can help in acquiring this
opportunity.

Local Market Development:

Nishat Mills has the opportunity to better cater the local customers using its
products and retail stores of Nishat Linen.

Entering in Energy Sector:

NML may get the privilege of generating and providing electricity for
residential and commercial areas of Faisalabad, by negotiating with the
government of Pakistan. Although local rules make it difficult but still there is
a huge opportunity to capitalize.

THREATS
Export of Raw Cotton and Yarn:
Recent trends in the Pakistan to export raw cotton and yarn to foreign
countries is hitting like nails on the heads of textile value addition units,
although NML has its own spinning facilities but somehow export of raw
cotton is dangerous for it.

WTO Regime Implementation:

Abolishment of quota system presents a opportunity as well as a biggest
threat to the Pakistani firms including NML, as other countries are free to
capture the market, we the Pakistani firms are suffering with high cost of
production may be driven out of the competition.

12

 Exchange Rate Fluctuations:

NML most of the sales are comprising exports, it receives payment in foreign
currency especially American dollars, ultimately these sales proceeds are to
be converted to Pakistani rupees, here come

the magic of exchange rate

whose fluctuation can change a profitable deal into a bad loss. Finally,
if Pakistani rupees got strength against other currencies we will get lower
value for our proceeds.

Instable Political and Economical Conditions:

Changing Governments, war on terror, decreasing buying power and altering
buying trends and preferences of customers are posing big threats to NML, in
this regard we are confronting with local an well as international political and
economical conditions.

Government policies:
Government polices like high rates of taxes, VAT, duties oninternational
trades, high energy cost, re-organizing unions are causing a serious damage
to the performance of over all industry including NML.

13

THE STRATEGY
FORMULATION
ANALYTICAL PROCESS

STAGE 1:

14

THE INPUT
STAGE

15

I. EXTERNAL FACTORS EVALUATION (EFE) MATRIX

Key External Factors
OPPORTUNITIES
WTO regime implementation
Cost reduction by using modern and technology
Local market development
Entering in Energy sector (Subject to Government
permission)
THREATS
Export of raw cotton and yarn
WTO regime implementation
Exchange rate fluctuations
Instable political and economical conditions
Government policies
TOTAL

Weigh
t

Rating Weight
ed
Score

0.11
0.12
0.13
0.10

3
3
4
2

0.33
0.36
0.52
0.20

0.12
0.10
0.09
0.12
0.11
1.00

4
4
2
3
1

0.48
0.40
0.18
0.36
0.11
2.94

EFE score of 2.94 indicating that the Nishat Textiles is taking the external
opportunities and avoiding external threats quite well. However, there is a
room for improvement as well. This score suggests NML to be aggressive but
the degree of aggressiveness needs to be little moderate, it should not go for
diversification, rather it should go for penetration in the existing market,
further developing local or foreign markets or it may design a new product.

16

II.

INTERNAL FACTORS EVALUATION (IFE) MATRIX

Key External Factors

STRENGTHS
ISO 9001 and IKO-TEX 100 Certified
Biggest composite unit in Pakistan
Highest credit rating by PACRA
Self owned power plant
Largest dyeing facility in South East Asia
WEAKNESSES
Relying on international market
High cost of production
High employees turnover
Transit time is more as compared to foreign
competitor
TOTAL

Weigh
t

Rating Weight
ed
Score

0.11
0.10
0.13
0.15
0.12

3
4
4
4
4

0.33
0.40
0.52
0.60
0.48

0.10
0.12
0.06
0.11

2
2
1
1

0.20
0.24
0.06
0.11

1.00

2.94

IFE score of 2.94 indicating that the NML is an internally strong organization,
it represent that it is quite good in its overall internal strategies when it come
to explore strengths and weaknesses.

17

III.
CRITICAL
SUCCESS
FACTORS

COMPETITIVE PROFILE MATRIX (CPM)

WEIG
HT

NISHAT
MILLS LTD.
Rati
ng

GULAHMED
TEXTILE
MILLS

CHENAB
TEXTILE MILLS

Product
design

0.07

Weight
ed
Score
0.28

Technologica
l upgradation
Research &
Developmen
t
Market
Segmentatio
n
Distribution
& promotion
Capacity
utilization
Persistence
in product
quality
Efficient
procurement
of raw
materials
Financial
strength
Trained
manpower
Cost
competitiven
ess
Customer
satisfaction
& loyalty
TOTAL

0.11

0.33

0.33

0.33

0.10

0.40

0.40

0.20

0.06

0.18

0.24

0.18

0.07

0.21

0.28

0.14

0.08

0.24

0.32

0.32

0.09

0.36

0.27

0.36

0.08

0.24

0.24

0.24

0.10

0.40

0.20

0.20

0.07

0.28

0.21

0.21

0.10

0.20

0.20

0.10

0.07

0.21

0.21

0.14

1.00

3.33

Rating

Weighte Rating
d Score

0.28

0.21

3.18

Weighte
d Score

2.63
18

Nishat Mills Limited is dominating in the industry as compared to local

players. CPM scores for NML showing aggressiveness as compared to Gul
Ahmed and Chenab Textile Mills. NML is basically leading the industry in the
following aspects:

Product design, Research & development, Persistence in product

quality, financial strength and Trained Manpower.

STAGE 2:
THE MATCHING
STAGE

19

I.
Financial Strength
Leverage
Net Income
E.P.S
R.O.E
Average

SPACE MATRIX
Rating
4
6
5
5
5

TOTAL
Competitive Advantage
Market share
Product quality
Customer loyalty
Technological know-how
Average

TOTAL

Rating
-1
-2
-3
-2
-2

Environmental Stability
Rate of inflation
Technological changes
Competitive pressure
Risk involve in business

Rating
-3
-3
-3
-2

Average

-2.75

Y-AXIS

2.25

Industry Strength
Growth potential
Financial stability
Resource utilization
Profit potential

Rating
5
3
3
2

Average

3.25

X-AXIS

1.25

For the purpose of evaluating financial strength we have compared

Nishat Mills Ltd. with industrial average.

Leverage used by Nishat mills was significantly low as compared to

industrial average that why we have ranked it at point 4.

Net income of Nishat mills was highest in industry thats why it is given
6 points.

Its E.P.S & return on equity were also high as compared to industry
thats why they
were ranked at 5.

Market share of Nishat mills was highest about 12% that why it is given
-1 point.

Their products are of good quality that is why -2 is given to this factor.
20

The customers are loyal but customers cant be very loyal in this
industry thats why it is ranked at -3.

They have new & advanced technology thats why they are ranked at2.

Rate of inflation is increasing, technological changes are rapid and

Nishat Textiles face competitive pressures from China & Bangladesh
thats why these factors were given -3.

There is high risk in this business but due to being an Industrial giant in
Pakistan they are not in such greater risk thats why it is given -2.

There is high growth potential in textile industry therefore 5 points is

given to this factor.

Industry is less financial stable as well as most of the companies are

producing below their capacity thats why these two factors are ranked
at 3

Due to increase in cost the profit potential has been declined that why
this is ranked at 2.
X - Axis Total = -2 + 3.25 = 1.25
Y - Axis Total = -2.75 + 5 = 2.25

Directional vector point is :( 1.25, 2.25)

21

According to our calculations the score of our company is 1.25 on X axis and 2.25 on Y- axis which is showing that NML should go for

aggressive strategy.
Furthermore it is telling us that the financial strength of NML is the
dominating factor in industry.
Our concerned strategies can be
Backward, forward, horizontal Integrations
Market penetration
Market development
Product development
Diversification(related or unrelated)

22

II.

THE BOSTON CONSULTING GROUP (BCG) MATRIX

23

Nishat

Generati
on
Weavi

Process

Spinni
Garmen

Overall Nishat Textiles Ltd is at The Maturity stage and its SBUs Spinning,
Weaving, Processing and Garments can be placed in quadrant Cash Cow of
BCG Matrix, while Nishat Linen and Generating Facilities are placed in Star of
BCG Matrix.

24

III.

SWOT MATRIX
STRENGTHS
1. ISO 9001 and IKOTEX 100 Certified
2. Biggest composite
unit in Pakistan
3. Highest credit rating
by PACRA
4. Self owned power
plant
5. Largest dyeing
facility in South
East Asia

OPPORTUNITIE
S
1. WTO regime
implementation
2. Cost reduction by
using modern and
technology
3. Local market
development
4. Entering in Energy
sector (Subject to
Government
permission)

THREATS
1. Export of raw
cotton and yarn
2. WTO regime
implementation
3. Exchange rate
fluctuations
4. Instable political
and economical
conditions
5. Government
policies

S-O STRATEGIES
1. Provide electricity to
residential areas
(S4, O4)
2. Capture local market
by providing facility
of dyeing to other
companies
(S2,S5,O3)

S-T STRATEGIES
1. Penetration in
foreign markets
(S1,T2)
2. Make future
contracts to avoid
currency fluctuations
(S3,T3)

WEAKNESSES
1. Relying on
international
market
2. High cost of
production
3. High employees
turnover
4. Transit time is
more as compared
to foreign
competitor

W-O STRATEGIES
1. Import modern
technology
(W1,W2,O2)
2. Company can
enter in new
market through
more retail outlets
(W1,W4,O3)

W-T STRATEGIES
1. More focus on
local market
(W1,W2,W4,T2,T
3)
2. Import modern
technology, and do
agreements with
suppliers to secure
your supply of raw
material (W2,T1)

25

Nishat Textiles can import new technology to reduce its cost of production.
Company can thus be able to penetrate in the market and capture more
shares by improving quality of goods and services, and provision of goods at
lower prices.

IV.

THE INTERNAL -EXTERNAL (IE) MATRIX

IFE TOTAL SCORE
Stro

ng
I

II

III

Grow and Build

Grow and
Build

IV

Hold
Maintain

and

VI

Grow and Build

Hold and

Harvest

Maintain

I.

VII

II.

Hold and Maintain

Moderate

Divest
Harvest

Low

High
26

EFE
TOTAL
SCORE

Medium

Low

IFE Total Score (As per IFE Matrix) = 2.94

EFE Total Score (As per EFE Matrix) = 2.94
It implies that Nishat Textiles is in a much stronger position but,
comparatively it is stronger internally as compare to its external position.
As per IE Matrix Nishat Textiles lies in fifth cell, which implies that it should go
for strategies that is hold and maintain strategies. The possible strategies for
Nishat Textiles may be the intensive strategies. Nishat Textiles has the
opportunity to go for Market Penetration to capture more shares in the
existing market by using new technology, and increasing promotional
activities. It also has a tremendous option of local market development.
Other feasible strategies may be the backward integration to secure the
supplies in order to tackle with the threat of exporting of local raw material
to foreign markets. Also Nishat Textiles goes for forward integration to
minimize its weaknesses of transit time of goods and services to its
customers.
V.

GRAND STRATEGY MATRIX:

27

Rapid Market Growth

Quadrant II
Quadrant I

Weak
Competi
tive
Position

Quadrant III

Quadrant IV

Strong
Competitive
Position

Slow Market Growth

Total number of players in the textile industry is more than 60, and Nishat
Textiles is the market leader. It captures 12% market share as a whole. In
2009, the growth rate of Nishat Textiles was 24%. As the market growth rate
is high, and Nishat Textiles has strong competitive position in the market. So,
it lies in the first quadrant of Grand Strategy matrix, which implies that it
should go for aggressive strategies. The possible strategies for Nishat
Textiles may be Market Development, Market Penetration, Backward and
Forward Integrations.

28

STAGE: 3
THE DECISION
STAGE

QUANTITATIVE STRATEGIC PLANNING MATRIX (QSPM)

Strategy 1

Strategy 2

Local Market
Development

International
Market
Development
29

Key Internal Factors

Weigh
t

AS

TAS

AS

TAS

ISO 9001and IKO-TEX

100 Certified

0.10

0.10

0.30

Biggest Composite Unit

in Pakistan

0.11

0.44

0.22

Capacity Utilization

0.13

0.39

0.26

Self-Owned Power Plant

0.14

0.28

0.42

Largest Dyeing Facility

in South East Asia

0.12

0.24

0.24

Relying on international
markets only.

0.10

0.40

0.20

High Cost of Production.

0.12

0.36

0.48

Market Segmentation.

0.07

0.21

0.07

Transit time is more as

Compared to Foreign
Competitors.

0.11

0.22

0.11

STRENGTHS

WEAKNESSES

SUBTOTAL

2.64

2.18

Continued

Strategy 1

Strategy 2

Local Market
Development

International
Market
Development
30

Key External Factors

Weigh
t

AS

TAS

AS

TAS

0.12

012

0.48

Cost reduction through

introducing modern
technology.

0.13

0.26

0.52

Local market
development.

0.11

0.33

0.11

Entering in Energy
Sector.

0.11

Export of raw cotton

and yarn.

0.12

0.36

0.24

WTO regime
Implementation.

0.10

0.10

0.30

Exchange rate
fluctuations

0.09

0.18

0.09

Instable Political and

Economic Conditions

0.11

0.33

0.22

Government Policies

0.11

0.22

0.33

OPPORTUNITIES
WTO regime
Implementation.

THREATS

SUBTOTAL

GRAND TOTAL

1.90

2.29

4.54

4.47

INTERPRETATIONS

I.S.O certification will only be helpful in market penetration so thats

why it is given high marks.
31

Biggest composite unit & less capacity utilization will be helpful or will
be used better by open chain store rather then market penetration so
it is given higher marks.
Increasing sales in foreign will better use energy rather then chain
store so it is given higher marks.
Largest dying facility has its goodwill so we have ranked it higher in
chain store.
Reliance on international market can be decreased by opening chain
store thats why it is given higher marks.
Higher cost of production can be decreased by exporting more quantity
but opening new store will increase expenses so thats why penetration
is given higher marks.
Open chain store will increase our segmentation & it will decrease
reliance on exports which will lessen the impact of transit time these
are given higher marks.
WTO regime will be useful only in penetration so it Is given higher
marks.
Local market development will be done only in that case when we will
go for chain store so it is given higher marks.
If we will open chain store we will be able to charge higher prices due
to our goodwill so yarns export problem will not affect us as it is
effecting.
WTO regime implementation will be covered only in that case when we
will go for market penetration.
Exchange rate fluctuation will impact us only in that case when we will
go for foreign trade so opening retail store will reduce its impact thats
why it is given higher score.
Due to bankruptcy of foreign customers the political & economical
conditions will have less impact on us if we will go for chain store thats
why it is given higher marks.
Government polices regarding opening a new store can be difficult to
meet so it is given lower marks.

32

RECOMMENDATIONS
Nishat Textile Mills already has a good reputation and growth rate in the
industry; therefore, it should pursue imposing Intensive Strategies which are
Market Penetration, Market Development and Product Development which
will help to attain more market share and compete strongly with its
competitors.

33