Empirical Study on Social Initiatives of Small and Medium Enterprises (SMEs) in Indian Apparel Industry

SMEs have initiated social responsible activities for enhancing their competitiveness in the export trade. The study aims to recognise the influence of international standards (ISO 9000, ISO 14000, SA 8000 and WRAP) on the competitiveness of knitted apparel export organisations in India. The study visualises the commitment of business houses with internal and external social issues in their geo domain. Export organisations in the Indian apparel cluster, which exports products mainly to the USAand the European Union, have shown various contributions and are committed to social issues, especially workers' welfare, even during a lull in the financial period. International buyers are also collaborating with the business houses towards social initiatives. This research study was confined to the Tiruppur apparel cluster in India, which is the single largest cluster, exporting 40% of the total Indian knitted garments to the world market. The study attempted to understand the level of social initiatives undertaken by SME apparel exporters in the Indian apparel industry. The study result also highlights the need for and significance of social standards over other competitive factors like price and quality.