In order to effectively create business opportunities for the ready made garments manufacturers and be able to promote the industry as a leading and growing sector in the Egyptian economy, the RMGEC is devising a strategy that hinges on the strengths and opportunities of the sector.
The strategy of the RMGEC must emphasize the creation of business opportunities by assisting in the export process and influencing the policy advocacy for the sector.
By pooling all existing resources and working on making the process more efficient, the RMGEC can set strategies that develop the ready made garments sector. Setting a strategic plan depends on performing an in- depth analysis for the sector to identify the main competitive advantages of the Egyptian ready made garments sector over the other ready made garments suppliers.
Strategic Analysis:
To strategically position the Egyptian ready made garments sector, the RMGEC needs to promote the competitive advantages specific to the sector. There are two major competitive advantages in the ready made garments sector; first, Egypt's renowned Egyptian cotton, second is Egypt’s unique geographic location with its close proximity to all markets.
The sector must assess the main elements that factor in the export of the ready made garments products. These elements determine the ability of the sector to export to international markets and to compete domestically. Price of the ready made garments products is certainly a factor, but not the only one as quality, design, quality control, packaging, delivery, factory specifications and political stability all affect the supply and demand process.
To promote the Egyptian ready made garments sector, the RMGEC must first assess the existing resources and the needs of the consumers in order to tailor the aspects that need development.
Determining the needs of the consumers and the product requirements can thus enable the RMGEC to develop training programs, enhance policy to support the RMG sector, and facilitate the export process.
Strategic Planning:
The RMGEC role extends to assisting the sector to develop its market and brand position. In the strategic plan, the RMGEC sets realistic methods and measures to accomplish its objectives and perform an in-depth analysis in order to best evaluate the most effective plan.
To assume its central role in the ready made garments sector, the RMGEC should strengthen its existing resources. It positions itself as the mediator of sector by developing key partnerships with all the major stakeholders. To achieve this, the RMGEC needs to attract the manufacturers and be able to offer them incentives to foster mutual benefits and interests. The RMGEC must first identify key stakeholders in RMGEC industry in Egypt and abroad (government, regulators, manufacturers, investors, agencies…). It must liaise with all stakeholders and develop strong rapports with government offices, regulators, sourcing offices through meetings, seminars and conferences. It will utilize domestic and foreign agencies to determine needs of foreign consumers, examine pricing strategies, and become acquainted with foreign protocol.
The RMGEC is to develop short term and long term strategic and financial plans for the RMGEC. To more effectively evaluate the industry in Egypt and abroad, the RMGEC must create an accurate and complete database on the sector and undertake studies on the industry in Egypt and abroad. The role of the RMGEC is not only to evaluate, strengthen and market the sector, but must also involve the various parties in the process and utilize the media as a pivotal player in increasing awareness of ready made garments sector of Egypt.
Market Position:
A current assessment of the Egyptian ready made garments share in the global economy is to be performed. This assessment is crucial not only to identify the Egyptian ready made garments share in the market, but to identify the market share of its competitors. This assessment will allow strategic planning for a broader market share of the Egyptian products.
Brand Strategy:
The RMGEC must assist the Egyptian ready made garments manufacturers in positioning their product to occupy a distinctive and unique place in the international market. All elements in the marketing plan are used to differentiate the product of the Egyptian ready made garments sector from their competitors, yet the already established competitive edge of Egyptian cotton is an added value. Moreover, to assess competitors' position is crucial relative to significant product dimensions (i.e. consumer needs and priorities). Evaluation would determine realistic priorities of consumers and identify their actual needs.
Accomplishments:
RMGEC emphasizes on 3 key components since its inception.
(1) Ready Made Garments Sector:
RMG is one of the highest potentials to increase the ready made garments market share and raise exports for the Egyptian economy. RMGEC has determined that the following points are some of the main target areas to accomplish this objective in causing a boom in the RMG sector, and thus in the Egyptian economy. RMGEC started implementing its policy through:
- Policy advocacy and lobbying for the ready made garments sector in terms of facilitating access to export for manufacturers and entry access to international sourcing offices.
- Promote interests of the ready made garments sector.
- Establishing criteria for new companies to gain access to export market.
- Provide support for the RMG manufacturers to export process.
- Establish a fair and promotion committee that serves to set plans for the business development of the ready made garments sector.
- Determine criteria for participating companies in trade missions & exhibitions.
- Raise the awareness of exporters to increase exports in terms of rules, regulations, and specifications of quality of product.
- Cooperate with other parties such as Foreign Trade training Center and Fashion Design Center and Industrial Training Council to help upgrade the standard of the sector.
(2) Information & Transparency:
It has focused on the gathering and collection of information, as accurate information for both manufacturers and business investors is one of the main lacking factors in the Middle East.
- The RMGEC has obtained reliable data on the ready made garments industry from different sources (domestic & foreign). It has conducted and disseminated in-house studies on the international markets to assist exporters in tailoring to their needs. The RMGEC portal's main role is to increase awareness to the Egyptian industry abroad as well as increase awareness to the manufacturers, promoting the ready made garments sector.
- A comprehensive database on the ready made garments manufacturers is created for the sector's analysis and to help create potential joint ventures and partnerships.
- The RMGEC assisted in establishing quality international testing labs (ITS & SGS) to set the benchmark for standards and ensure the implementation of procedures for the industry.
(3) Sourcing Offices:
In order to enhance export and increase trade agreements, RMGEC has found it crucial to work in cooperation with the sourcing offices to identify the main problems they face in Egypt. It collaborates with them to find effective solutions to increase investments, product specifications, and quality assurance.
Creating new business opportunities, the RMGEC develops strong rapport with the various sourcing offices and agencies. RMGEC's matchmaking is based on product needs and specifications of the sourcing offices and the production facilities of the manufacturers.
The RMGEC ensures the arrangement of periodical meetings between the minister of trade & industry, and the sourcing offices in order to reach effective solutions to address the problems faced conducting business in Egypt. The philosophy behind these meeting is to extend to the sourcing offices the sense of partnership with the government, and allowing them have to be a part in the decision making process.