Case study

. It is compulsory. Jute Handicrafts Marketing Problems. The importance of the jute sector to the Bangladesh economy cannot be overstated. It is a major cash crop for over three million small farm households. Also, its the largest industry, producing about one-third of manufacturing output, and is the largest agricultural export commodity in Bangladesh. The livelihood of about 40 million people is dependent on jute - related activities (Roy, 2017). Jute fibre is 100 percent bio-degradable and recyclable and thus environmentally friendly (Moazzem , 2010). Jute is not only our past glory but also our golden future. Bangladesh earned $962.42 million from jute exports in the 2016-17 fiscal year, as compared to $918 million in FY2015-16 (BBS 2017). The world market for jute bags will reach $2.6 billion in 2022, and Bangladesh can use this opportunity if proper measures are taken. The government has enacted the mandatory Jute Packaging Act, and production of raw jute in the country is increasing every year. The environment-friendly bags can also be made from jute and this product has huge demand both home and abroad due to increased awareness of environmental degradation. However, the small handicrafts manufacturers located in rural areas are not aware of the Marketing Mix of such types of products and attention needs to be paid in this regard. Another dark side of jute products manufacturers is that they are mostly unable to reap the best output of their hard work. The middlemen or intermediaries enjoy the major part of the profits made by these products. The market intermediaries are those who take part in the process of marketing of jute handicrafts (shopping bags, ladies vanity/fancy bags, handicrafts like dolls, slippers, hammocks, lunch box bags, etc). The market intermediaries like retailer, wholesalers, exporters and commission agents are taking most of the profits made by the jute handicrafts. On the other hand, the handicrafts manufacturers get only a little portion of the price at which products are sold to the end users. Sometimes products are sold three or four times higher prices than what the small manufacturers get. It happens for many reasons but the most important one is their ignorance or inefficiency of marketing skills. The retailers of big shopping malls and other boutiques like Rang, Aarong, Jatra, Banglar Mela, Meena bazaar etc are making huge money by selling the handicrafts while the manufacturers are getting a minimum amount. Although market information is available to some extent to the intermediaries, the information is often not clear to the small manufacturers. Questions1. Suggest the marketing strategies (STP &4Ps) for jute products for both national and international markets so that the manufactures of jute handicrafts can get the fair prices. *

5 points