Assessment of socio-economic correlates for analyzing the management orientation of muga silk entrepreneurs in Assam

Introduction

Muga silk is a variety of silk that has a beautiful golden colour and a shiny texture. It is produced specifically in the region of Assam in India and is known for its durability and resilience. The fabric made from this fibre is extremely durable, which creates a strong demand for it in both domestic and global markets [1] . The silk is often used to create traditional Indian garments, such as sarees, and is highly valued for its beauty and quality. The triangular prismlike shape of silk's cross-sectional structure gives it a striking and magnificent appearance. This ability of silk fabric to refract the light at various angles causes a vivid exhibition of colours [2] . In 2007, Muga Silk was given the "Geographical Indication" recognition under the legal framework of the Geographical Indication of Goods (Registration and Protection) Act 1999, and in 2014 it was granted the GI logo to maintain its trademark rights. This helps with the production and commercialization of this unique silk worldwide [3] . Muga silk is highly demanded in Assam, but due to the shortage of silk yarn production, weavers are mixing it with local tasar silk, Chinese tasar silk or tasar-like polyester silk. This ultimately leads to a decline in the quality of authentic silk used for commercial purposes [4] . Global warming, climate change, more tea growers in Upper Assam, excessive use of pesticides, and the decline of muga silkworm rearing and traditional muga plantations in Assam have caused a significant decrease in the production of muga yarn and fabric in comparison to other types of silk in India [5] .

Currently, the dominance of low-cost fabrics in the textile market is posing a major concern for owners of loom. Assam silk fabrics are sold under this name, but consumers often get deceived by dishonest traders. The sale of counterfeit products labelled as Assam silk must be prohibited to ensure the seamless operation of the natural silk handloom industry [6] . According to a report in The Assam Tribune, the weavers and small-scale handloom entrepreneurs of Sualkuchi, also known as the "Silk centre of Assam," faced numerous challenges and showed remarkable resilience in 2013. Due to such large number of issues, the states Silk business is steadily getting worse. Efficient Management is one of the crucial factor for growth and development of an enterprise. Therefore, it is essential to comprehend the issues and future possibilities of these businesses, for which it is important to investigate the phenomena in many contexts especially management of muga silk entrepreneurs point of view.

Materials and Methods

The study was carried out in Kamrup district of Assam, which belongs to the Lower Brahmaputra Valley Zone of Assam. The convenient sampling technique was adopted for the present study. Kamrup district of Assam was selected purposively because the production of silk handloom weaving in Assam is centred in Kamrup district, accounting for approximately 70 percent of the state's silk post-cocoon activities. Silk activities after cocooning happen in Sualkuchi and Bamundi sectors of Kamrup which are important Silk Weaving clusters in North-East India. This cluster plays a central role in the trade and production of silk products. Approximately 75% of Muga cocoons and over 50% of Eri cocoons produced in Northeast India are concentrated in Kamrup district of Assam for trading, production, weaving, and marketing of silk cloth [7] . Sualkuchi recognized by UNDP as the "Manchester of the East", is located in the Kamrup district of Assam is Asia's largest silk weaving cluster 5 .The Kamrup district of Assam is consist of 14 blocks and out of which Sualkuchi, Rani, Rampur and Boko were selected purposively for the study because muga silk weaving is highly concentrated in these areas. Among the selected 4 blocks highest muga silk entrepreneurs are concentrated in Sualkuchi followed by Rani, Rampur and Boko. Hence, following a convenient sampling from Sualkuchi (50), Rani (20), Rampur (15) and Boko (15) were selected for the study. The profile variables selected for this study were age, family type, education level, annual income, organizational pattern, experience, source of finance, mass media exposure, social participation, type of business and exposure to training. Meanwhile, the descriptive variables selected for the study were management orientation. Management orientation is operationalized in terms of managing their enterprise activities such as production, planning, and marketing to earn income. The overall management orientation was measured on the basis of mean of the obtained scores. The data were collected with the help of structured schedule prepared for the study after the pilot survey through the process of interview.

Results and Discussion

Personal and Socio -economic characteristics profile of muga silk entrepreneurs

Based on the data presented in the table 1 it is concluded that majority of respondents (87.00%) belonged to the middle-aged group having age between 36 to 50 years followed by the old age group (7.00%) above 60years age. Among the different level of education most of the respondents (52.00%) had completed Higher Secondary, followed by 32.00 per cent of respondents belonged to High School category, 11 per cent of respondents who had completed graduation. Majority of the respondents (70.00%) belonged to nuclear family, while the remaining 30.00 per cent belonged to joint family. As far as source of the finance was concerned majority (60.00%) of entrepreneurs did not go for outside source of finance or in other words had to put in their own finance for establishing their enterprise. While 40.00 percent went to banks and other financial institutions for financing their units and none chose to borrow finance from friends and relatives. Significant numbers of respondent i.e. (93.00%) was set up their enterprise individually without any other people's involvement. The rest 7.00 percent had started their enterprise on a partnership basis. Regarding training exposure, majority (68.00%) of the respondents engaged in entrepreneurial activities had medium level of training exposure, followed by low (21.00%) level of training exposure. Only small percentages (11.00%) were from high training exposure. In the study area all the muga silk entrepreneurs having good experience ranging from 20years to 25 years above. Out of total entrepreneurs36.00 percent respondent had a experience of 25 years and above in the muga silk enterprise. Few respondents i.e., 23.00 percent found an experience ranging from 20-21 years. Morethan half (53.00%) of entrepreneur had medium mass media exposure followed by high (31.00%) and low (16.00%) level of mass media exposure. A good number of entrepreneurs (60.00%) were associated with one or more than one organization of that locality and 40.00 percent entrepreneurs were not found association with any other organization. Maximum percentage of the entrepreneurs (76.00%) was found under small enterprise category and 17.00 percent had micro level. Most of the respondents (75.00%) belonged to the medium-income group (income ranging between Rs.413835.54 to Rs. 644725.01 annually) followed by respondents' 13 percent in the lower income group (Up to Rs 413834.54). Very few numbers of entrepreneurs (12.00%) belonged to higher income group where total annual income ranged more than Rs.644726.01.

Management orientation of mugs silk entrepreneurs

Management is crucial for the success of any enterprise. In an enterprise good management helps in achieving targeted goals, optimum utilization of resources, reduces cost. In the present study management orientation was a combination of various functions of planning, production and marketing and expressed in low medium and high categories.

Discussion

A perusal of the table 3 shows that the variable education(r=0.340) is positively and significantly correlated with the management orientation towards muga silk enterprise. Majority of entrepreneurs have good educational background. Educated respondents are more likely to have more interest in acquiring the knowledge about muga silk enterprise. Good education helps in effective decision making process. Moreover higher education improves not only the knowledge of an individual but sharing of knowledge and information is also more which helped in better management of the enterprise. The variable experience of an entrepreneur plays a crucial role in the success of any business. Maximum numbers of entrepreneurs were associated with this particular enterprise more than 20 years at the same time we got a reflection that a long term entrepreneurial experience is not only helps in entrepreneurial performance but also a key factor in the growth and development of the enterprise. As a result variable experience(r=0.690) had positive and highly significant relationship with management orientation towards the enterprise. The study reveals that a large majority (68.00%) of the respondents engaged in entrepreneurial activities had medium level of training exposure. Training programmes related to this enterprise had improved the capacity of the entrepreneurs in terms of production of quality product and their marketing. That is why the variable training exposure (r=0.395) is positively and significantly correlated with the management orientation towards muga silk enterprise. More than half of entrepreneurs had medium mass media exposure followed by high level. The finding reveals that majority of the muga silk entrepreneurs keep updated their knowledge related to their enterprise though booklets published by Handloom and Textile board, handloom related websites, articles published in the newspaper and expert discussion telecasted in television. Mass media played an important role not only upgrading the knowledge or information but also allowed entrepreneurs to get the word out about their business venture and starts making the brand known to people. Hence the variable mass media exposure(r=0.624) is found positively and highly significant correlation with management orientation towards the enterprise. Several research findings revealed that increased annual income is responsible for efficient management of an enterprise. The study reveals that higher the annual income of an entrepreneur leads to better management of his enterprise because he can effectively invest the money for utilization of different resources, hiring of skill labour and promote mechanization for increase the production level of his enterprise. As a result annual income(r=0.486) is significantly and positively associated with management orientation towards the enterprise. Participation of entrepreneurs had been seen in different organization such as Panchayat, co-operative society, farmer organization and others. The study reveals that majority of the respondents were associated with one or more than one organization. Social participation can also create value for both society and business. Social participation improves communication between customers, might reach a wider audience, customer loyalty and improves service delivery. Therefore, the variable social participation(r=0.344) is positively and significantly correlated with management orientation. The variable type of business in the study reflects the micro, small and medium categories. Majority of the entrepreneurs found under small category enterprise which gives flexibility in works, less capital investment, less number of labour and ultimately better management practices are possible with the enterprise. Hence the variable type of business (r=0.431) is positively and significantly associated with the management orientation. Under organizational pattern highest score had been assigned to proprietorship that is more than 90 percent. Proprietorship oriented organizational pattern proprietors enjoy full control and profits from the enterprise. Moreover proprietorship offers a high degree of flexibility in operation and management. As a result organizational pattern (r=0.4390) is positively and significantly correlated with management orientation towards enterprise. The variable source of finance has been classified into several financial sources but the higher score is assigned to own source of finance for enterprise. The study revealed that own source of finance gives much more control than other finance option. Moreover own finance gives freedom to run your enterprise your way and compelled to prioritize your business expenses and prevent wasteful spending. Due to the fact the variable source of finance(r=0.551) is found positive and highly significant with management orientation.

Conclusion

Muga silk holds immense significance in the cultural heritage of the state. Kamrup district, both in its urban and rural areas, stands out as a prominent hub for the production and trading of Silk in India. Entrepreneurs dealing with muga silk enterprise are earning handsome amount from their enterprise and this enterprise was found to be very lucrative as well as economically viable for that particular region. Proper planning was considered an important factor in management orientation by most of the respondents and they felt it was necessary to follow their own strategy to run their business. The production and marketing of Muga silk enterprise were impacted by the poor planning of a few entrepreneurs. Majority of the muga silk entrepreneurs were performing production related operations, such as timely planning and investment, use of labours and raw materials (raw silk) without compromising the quality but there is room for improvement in terms of boosting production and meeting customer demands. The findings revealed that majority of the respondents were concerned about market and customer centered approach had given top priority which is reflected in their income from this enterprise. It can be interpreted that the Muga silk entrepreneurs in this region are smoothly managing their enterprise with a handsome profit but more emphasis is needed in sound management covering all the aspects for better growth of this enterprise. To make this industry robust and sustainable enough these factors should be taken into consideration and accordingly need some effort for growth and expansion of this industry.

References

1. Freddi G, Gotoh Y, Mori T, Tsutsui I, Tsukada M. Chemical structure and physical properties of Antheraea assama silk. J Appl Polym Sci. 1994;52(6):775-781.
2. Gogoi M, Gogoi A, Baruah B. Exotic muga silk: pride of Assam. Int J Appl Home Sci. 2017;4(1):72-78.
3. Goswami D, Rabha B, Veer V. Muga silk -the golden thread of Assam. In: Bioprospecting of indigenous bioresources of North-East India. 2016;5:279-294.
4. Talukdar RB. A fillip for the silk industry in north-east India. One World South Asia, India Together. 2009;5:5556.
5. Akhtar N. Livelihood vulnerability and coping mechanism among the silk weavers of Sualkuchi, Assam. Int J Soc Sci Econ Res. 2019;4:2959-2972.
6. Khakhlari P. Silk products and marketing strategy of a weaving industry in Assam. Humanit Soc Sci Rev. 2020;14:20-23.
7. Bajpeyi CM, Padaki NV, Mishra SN. Review of silk handloom weaving in Assam. Text Rev. 2010;5:29-35.