Case

Topsy Turvy in Changing South Asian Journal of

Business and Management Cases
Scenarios: A Case on 5(1) 1–9
© 2016 Birla Institute of Management Technology
Chikankari Textile SAGE Publications
sagepub.in/home.nav
DOI: 10.1177/2277977916634251
http://bmc.sagepub.com

Neha Wason1
Sidhartha Wason2

Abstract
The case presents a typical problem that a new-generation entrepreneur faces if he wants to enter
a traditional Indian industry working on the lines of business framework that has remained unchanged
till now. The main topic in study is to understand the challenges faced by the traditional textile industry
of India. The study concerns chikankari textile, a subsection of the vast traditional textile industry of
India. The chikankari has been awarded a geographical indicator status and belongs to the Lucknow
district located in the state of Uttar Pradesh, the most populous state of India. The data have been
collected through a series of surveys and in-depth interviews of major players in the industry. As the
information was largely qualitative in nature, hence case study method was considered to be the most
suited for its analysis and description of the results. The collected information was transcripted and
themes identified aligned with the challenges before the respective textile form. The case highlights
such challenges to find feasible solutions to set up a sustainable business venture. The case is developed
from the perspective of a budding ambitious entrepreneur, Rahul Rastogi, interested in a start-up.
The case describes the dynamics of the industry and closes with Rahul thinking about plans to enter
and establish a start-up in the current state of affairs.

Keywords
Chikankari, artisans, challenges, geographical indicator, business plan

Disclaimer: This case is written for classroom discussion and is not intended to illustrate either effective or ineffective
handling of an administrative situation or to represent successful or unsuccessful managerial decision-making or endorse the
views of the management.

1
Banasthali University, Banasthali, India.
2
Bharat Abhiuday Foundation (Non-govt Organization), Lucknow, India.

Corresponding author:
Neha Wason, Banasthali University, Banasthali, India.
E-mail: nehawason19@gmail.com

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2 South Asian Journal of Business and Management Cases 5(1)

Introduction
Rahul Rastogi has just completed his studies in business management and is keen to start a business on
his dream project.1 His family has been a native resident of the region, and many of the relatives have
been working as entrepreneurs in different aspects of the chikankari industry. Besides, being a native of
Lucknow, Rahul had always known chikankari from childhood and its vocabulary was familiar to him.
His perception of the industry had undergone a change when on a recent visit to Ludhiana, the largest
city and a prosperous industrial town in the northern state of Punjab, he accompanied his relative took
him to a garment showroom. He realized the importance and dignity of the handicrafts his native city of
Lucknow produced. Amongst the various varieties of stitched apparel the shop displayed, there was also
a look-alike chikankari embroidered suit. Only Rahul could immediately make out the difference
between the real and the look-alike, whereas his accompanying relative was busy appreciating the
garment. He investigated more about the reach of the product in this part of India and found out that
most of the shops in the area were involved in such practices, some intentionally capitalizing on the
ignorance of the customers and others fooled by the wholesales they relied on the supply of chikankari
garments. His visit to Ludhiana provided him a new angle to explore and discover new knowledge about
the age-old industry which could be capitalized.
The starting point of his exploration was the Lucknow’s Chauk market known as the hub for
chikankari embroidered garments and his own eagle-eyed observations, this time more as a potential
entrepreneur, to discover the customers. His discoveries were astounding:

• Both the wholesale and retail shops were selling duplicate and substitute machine made embroidery
work under the name of chikankari.
• The virtual market domain was flooded with chikankari garment websites but none exhibiting any
designer innovation or modern approach to the product.
• His friends, neighbours and acquaintances were rarely dressed in chikan even in peak summers.
• Relatives who were interested in chikankari were interested in it as a gift item for someone else,
and emphasized on low cost than on quality of the product.
• Presence of commission holders was one of the most irritating parts of the total shopping experi-
ence. The commission holders are middle-men who make out their living on encouraging poten-
tial customers. It is common occurrence to see your tour-maker at Agra, the Taj Mahal city to
entice a tourist to his choice of a shop dealing in carpets or marble miniatures of Taj Mahal or
other marble artefacts, as he gets a commission from the selling-shop on your total sale. Chikankari
replaces the carpets or marble items at Lucknow.

Rahul decided to go deeper to know more about the craft and the trade. He decided to meet and find
out more details from the four major players of the chikankari wholesale trade. For a native of Lucknow,
it is not difficult to zero in on the top four places:

1. Motamal the only wholesaler with a registered brand name and who owns a centre in Chauk, the
city hub of the trade
2. Bhawanidas and Sons
3. Nand Kishor Agrawal: the chairman of Traders Association and
4. Adab Chikan Studio.

Together with his visits to the various websites, library of Lucknow University, an accomplished
place for higher learning in oriental disciplines, and the interviews that he held with four of the top

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Wason and Wason 3

businessmen in the trade, the basic information as gathered was revealing to Rahul in many aspects.
The information was also unique in many aspects as the same had not been collected and disseminated
as a study. The following sections sum up this information.

Origin
Chikankari has a very interesting history with two major downfalls in its history and its revival after
every blow. Lots of stories are woven around its origin. Some say it came from Persia, others trace that
it was taught to a farmer by a sufi-saint. However, the trade is united to trace its usage and popularity in
India to the Mughal rulers. Fashion conscious, beauteous and graceful Empress Noorjahan, escort of
Emperor Jahangir, the fourth of the rulers in Mughal dynasty is said to be associated with it, as she is said
to have provided a look of fashion to otherwise thin muslin cloth reserved for the hot summer months of
Indian plains that were under the Mughal regime. The account is plausible as the chikankari artisans still
make visits to copy and to get inspiration from the original chikankari designs depicted in marble
mehrabs of the tomb of Itmad-ud-daula at Agra built by Noorjahan in 1622 in memory of her father. Pure
chikankari is fine dexterous needle work which comes with high skills on thin cloth. Noorjahan had
developed the skills and practiced in the regime of Emperor Akbar, the third in Mughal dynasty. Hence
the arts origin dates back to the sixteenth century. The flowers were very close to the Mughuls, both in
architecture, in perfumes and in literature (persion-itr: perfume from the roses is again traced back to
Noorjahan). Chikankari needle work uses mostly flower motifs.
Another proof of the origin of the art is lies in Burhan’s classical dictionary of 1651 which describes
chikan as ‘a kind of embroidery with gold thread, Quilting’ (Nayak et al., 2007). In India, the word
chikan first was used in John Richardson’s Persian/English dictionary published in Calcutta in 1806. It
had defined chikan or chitin as ‘a kind of cloth worked with the needle in flowers’ (Nayak et al., 2007).

Passages of Time
Soon, it became the signature of the elite ruling class of Indian subcontinent. It flourished and it
became the dress of the rich zamindars (landowners), the Nawabs, the rulers and the power wielders.
This unique embroidery art has an age not of around 400 years and has seen various phases in its life
cycle. There have been two major downfalls and revivals:

• The first downfall came with the de-jure fall of the Moghal empire at Delhi. It was split of the
empire into several seats of power, with the Moghal king enjoying only a de facto power. The
power wielding and the men who mattered in statehood moved away to other destinations:
Hyderabad, Agra, Lucknow, Murshidabad were the major places. In absence of the patronage
of the court and royalty, chikankari moved from Delhi, the seat of the Moghuls to the new seats of
power. The down fall of the Mughul empire in 1857 completed this phase.
• The first downfall also meant and led to the revival of the art under the patronage of Nawabs
of Lucknow. The ruling Nawabs were a different lot; given to merriment, celebration with
people of their state, dance and music. Chikankari also spread and alongside came commercializa-
tion. Block printing joined chikan work. The period was, however, short lived as the Britishers
took over the country completely. The aristocracy, in tune with new masters changed their dresses

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4 South Asian Journal of Business and Management Cases 5(1)

Table 1. Milestones of Chikankari Work

The New Product Addition and Their Time of Addition

Clothes of elite Mughal rulers Till 1860
Start of commercial item manufacturing 1860
Topi palla 1860–1947
Gents kurta and sarees 1947–70
Ladies suit and luncheon set 1970–90
Suit lengths 1990–99
Work on georgette and other materials and home decor items like curtains, bed sheets, etc. 1999 onwards
Source: Field survey by the authors.

to show affinity with the British. For the first time, however, the chikankari came closer to the
common man.
• The rise of the art and the culture to take pride in chikankari can be traced to the period of
independent India. There was an upsurge to take pride in the ethnic. Commercial practices surfaced
a movement to bring down the prices and meet the demand of various sections. Innovative usages
on different dresses were discovered. Table 1 provides milestones on chikankari usage.

Innovation in Stiches
The commercialization brought innovatory usage not only in a variety of dresses, but also led to the
discovery of new stitches and a variety of choice before the customers. This is what is advocated in
customization. The names of few of the stitches used in this embroidery are ‘Sidhual, Makra, Mandarzi,
Bulbulchashm, Tajmahal, Phooljali, Phanda, Dhoom, Gol murri, Janjeera, Keel, Kangan, Bakhia, Dhania
Patti, Lambi Murri, Kapkapi, Karan Phool, Bijli, Ghaspatti, Rozan, Meharki, Kaj, Chameli, Chane ki
Patti, Balda, Jora, Pachni, Tapchim Kauri and Hathkati & Daraj of various types’ (Arya & Sadhana, 2012).

Geographical Indicator Guide

During the long period of neglect of the chikankari, the trade fell in poor demand and low returns leading
to poverty amongst the artisans who had inherited the art from their forefathers. There was exploitation
from the middlemen. The initiatives to revive came from the government by creating elementary cluster
in the form of designating an area to carry out the trade. Geographical Indicator Guide (GIG) has helped
in bringing together all the specialist workers at one place for easy communication and to provide a
recognition. The authorized areas where chikankari is allowed to be practiced under the GIG lines is
Lucknow district and its peripheral areas. The area’s radius ranges about 125 km in and around Lucknow
district. Lucknow is the main centre and a hub point of almost all kinds of transactions taking place in
the business, be it in terms of raw material for manufacturing or finished goods for sale. The production
process of the craft is highly scattered geographically throughout this authorized area. The process is
divided into stages depending on the nature of work done over the product and each stage is performed
at a different geographical location where the craft men specialized in performing the task are stationed
(it is mostly the residential area of the craftsman). Pedal rickshaw pullers work as the connecting links
between these work stations in this production layout.

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Wason and Wason 5

The Process
The following sections provide technological details of the process, highlighting the equipment,
procurement process, the skills needed and various activities to complete the chikankari embroidery.
Table 2 provides brief details of various process activities.

Type of embroidery used—hand embroidery

Equipments used—needle, wooden/plastic frame, wooden blocks

According to Pankaj Arya and Shilpi Sadhana, the chikankari art is responsible for the bread and butter
of 2.5 lacs artisans if only the hand embroidery part of the process is considered. Besides, around
one million other non-craft-related artisans (involved in washing, dyeing, transportation of the raw

Table 2. Process in Chikankari

Steps in the Process

Cloth purchase Colour and type of cloth to be used for a batch is decided at this stage. There are
separate wholesalers who deal in purchase and sale of cloth for chikan market
exclusively. Every chikankari wholesaler has his own contact with one or more
such cloth merchants from where they buy cloth as per their requirements.
Cutting Cutting is done in different lengths in case of ladies suit lengths1 and sarees,
respectively, and in various shapes and designs for stitching kurtas and suits.
Stitching Half of the stitching is done at this stage in a way so that all the parts of a ladies suit
or saree are intact as one and still the cloth remain free for embroidery.
Design and colour At this stage the decision on colour and design is taken either verbally or using a
selection catalogue by the manufacturer or wholesaler owning the batch. This recorded in
coded form on the cloth.
Printing In this step wooden blocks are used to print design on the cloth. For this process a
mixture of gum and indigo blue or washable blue pigment is diluted in water for the
print. Specialist artisans are available in the market for this work.
Embroidery Embroidery is done on the design and patterns printed on the cloth. 32 stitches are
used in this embroidery. The cloth area to be embroidered is stretched and fixed in a
frame and embroidery is carried out on the stretched area by using a needle. The raw
material is dispatched from the main trader and the middlemen take over the task of
distribution of cloth, instructions and other accessories if needed, for embroidery to
the artisans in the villages and centres. The same is collected in lot after the pre-decided
time period.
Jali work It is done after the embroidery is finished. It is a kind of filling done with stitches in
vacant areas inside the embroidery. This work requires trained artisans. This activity is
increasingly getting replaced by attaching patches of net-cloth to the cloth before the
embroidery is carried outdone. It involves cutting of cloth where jali is required and
then stitching of the net-patch across this blank on the backside of the cloth. This is
easy, cheaper and time saving but lacks the originality and its aesthetic beauty.
Pico It is carried out only in the case sarees.
(Table 2 continued)

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6 South Asian Journal of Business and Management Cases 5(1)

(Table 2 continued)

Steps in the Process

Final stitching In this step, the semi-stitched cloth is fully stitched as per the requirements and
specifications.
Washing At this stage, the embroidered cloth that has become soiled and dirty is dipped in an
appropriate chemical solution for around 10–12 hours for cleaning. The chemical used
is generally caustic soda because it is cheap and available easily. Another set of artisans
are involved in this step.
Finishing and ironing These steps done usually by the wholesaler.
Packing Usually the transparent plastic polythene bags are used to pack the finished products.
Sale The process involves various channels and includes distributors, wholesalers, malls,
super bazaars, retailers.
Source: Field survey by the authors.
Note: 1Ladies suits in Indian subcontinent refer to combination of three pieces: the upper body covering, usually referred to as
kurta, the garment for the lower body is in the shape of a pyjama in various shapes as churidar, salwar, narrow parallel
pyjami, etc., and third garment is in the form of a stole, referred to as duppatta.

material, finished and semi-finished goods during production process, etc.) generate their employment
from the trade. The craft serves as one of the biggest rural employment sources for housewives in
Uttar Pradesh. More than 90 per cent of the work is carried out by rural women at their home. Work
centres, established by the intervention of government for providing a training and production area for
the craft are merely working as distribution and collection centres as opposed to their original purpose.

Worker Profile
The worker profile as deciphered from the collected information is detailed in Table 3a. Table 3b lists
the social and occupational profile of the employees.

Table 3a. Profile of the Workers

Religion Workers Majority are Muslims

Wholesalers Majority are Hindus
Sex Workers Majority are female
Wholesalers Majority are male
Work area Workers Centres, home
Wholesalers Shops
Age group Majority of workers belong to 16–40 years
Basis of payment Difficulty of design or amount of work
Time taken for one batch to complete 3–4 months
MANREGA Implemented
Occupational diseases Low eye sight, backache, Spondylitis, etc.
Source: Field survey by the authors.

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Wason and Wason 7

Table 3b. Social and Occupational Level Problems

• L ow family income
• Polygamy
• Low living standards, literacy rate and lack of family planning
• Electricity problem
• Lack of time as the craft is done by many as a side income source
• Centres are far away
• Work from home, were the distribution and collection of product becomes difficult so it becomes a loop
hole for the middlemen to enter
• Many hands involved in one unit of embroidery
• Focus on completion of work and is not on quality of work
• Unhygienic and unhealthy environment at home
• Production of one person decreases with age and time as it depends on good eye sight
• Occupational diseases are another hindrance in a crafts man’s efficiency and productivity
• Middlemen at different stages of production process create a wide gap between actual craft men
and customers
• Craft is not taken seriously in terms of learning the skills as well as experimenting new stitches
and designs as
• It is practiced as a side income source and not as full fledge profession by most of the craftsmen involved
• Centres are opened by either the wholesalers or the award winning expert artisans who get aids by
government to open a centre but most of the work is done at home and the process merely involves
instruction as per design by manufacturer and following of instruction by craftsmen
Source: Field survey by the authors.

Identification of Problems
According to Rahul’s discussion, he could identify few problems inherent to the industry and others
arising due to lack of up-gradation of the industry with time. The industry belongs to a highly unorga-
nized sector. The process is too lengthy and scattered throughout the Lucknow district and other
authorized craft centres around Lucknow. It takes around 3–4 months on an average for manufacturing
one batch of finished goods. Automation of peripheral activities (like washing, dyeing, stitching, etc.)
and up-gradation of processes have not taken place with time. Middlemen work as a link between the
manufacturers, wholesalers and workers at every stage as the keeping track of the semi-finished product
during its production cycle, availability of a chain of worker required at different stages and logistics
management in the industry is a huge task to be handled single handedly by the manufacturers or
wholesalers.
Geographical indicator status is available but its advantages like using it as a USP for sales or
increasing awareness, brand or authentication mark development, banning of chikankari work in rest of
the India except the authorized areas etc. are not tapped and utilized by the trade.
The product is majorly sold as a gift item or cheap alternative to wear. Designer pieces are very less
and hard to find which shows the low creativity, risk taking ability and innovation in the markets.
Markets are filled with duplicate and similar looking products which are liquefying the brand
chikankari. They form the biggest challenge for the craft as they are automated, machine made, less time
taking and cheaper in cost than chikankari which is inherently a hand embroidery-based textile form. The
mass segment of customers being price sensitive and less sensitive towards hand crafts finds value for
money in the modern looking cheap duplicates.

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8 South Asian Journal of Business and Management Cases 5(1)

One batch of finished products takes around 3–4 months for completion. The average cost of an authen-
tic chikankari embroidered garment comes to anywhere between `500 and 2,000, whereas the selling price
of an authentic chikankari embroidered textile can range from 100 to 30,000 and more. The average selling
price of the product comes out to be `670. The industry is able to sell around 1,000,000 authentic chikan-
kari embroidery in a month. At this rate, annual turnover could reach around `7 billion.
Another problem surfaced out of discussion is of the commission agents that are present all over the
market. Their presence increases the cost of the product and causes difficulties for small retailers and
upcoming wholesalers.
Artisans work for both, their own as well as other manufacturer’s businesses so their work time gets
divided and biased. No proper training is given to the workers, only the expert embroiderer’s children
get right type of training. The well-trained artisans are, on other hand, diminishing day by day due to lack
of interest and diversification into other fields like centre owner, manufacturer, etc.
Many hands are involved in the manufacturing process of one unit of product. This persists not only
at embroidery level (where three to five women of the family or neighbours join hands to complete the
work over a single piece) but also at every stage of production as each step is performed by different kind
of worker belonging to a completely different profession. Production of one unit takes 3–4 months,
which is a long duration in an industry where every 15 days the fashion changes therefore all the more
curbing the risk-taking initiatives of innovation and spirit of experimentation with the product. Here it is
important to mention that the skill of embroidery differs from person to person and many a times for a
special high priced piece or a particular difficult stitch specialized crafts specific artisans. Artisans are
assigned the task to complete a product unit/batch.
Price of raw material keeps on fluctuating because of which price fixation and standardization
becomes difficult. Standardization and categorization of the work is not present and is difficult to
establish in the industry as the industry is highly skill intensive. This leads to wages and pricing left
on the mercy of bargaining power of the entities involved.
Copying of design and stealing of the pieces is a common practice in the industry because of which
the sunk cost increases. Wednesday Bazaar2 provides a legal market to sell such stolen pieces in market
in form of artisan made garments.

Gleam of Hope
The positive points that came out of the discussion were the inheritance of a well aware brand name
which needs no introduction. The industry has fully developed framework of process with number of
skilled workers available at its vicinity. There are many kinds of government aids working in favour
for the industry. There are many designers working on chikankari for its promotion and development
of the art. The existence of this industry over so many centuries speaks of its strength and importance.
The scope of innovation and improvement is immense. The art has been given a geographical indicator
status which gives a lot of rights and recognition to the art. The uniqueness of every piece prepared is the
non-utilized USP of the art. The unique set of stitches used in making chikankari adds to its beauty and
gives it an exotic touch which is non-replicable elsewhere in the world.

Path Ahead
The demand is still exceeding the production limits and this gap is working as an advantage for the
duplicate and substitute products. Another gap that is being exploited by the substitute products is the
lack of new designs and modern presentation of the product.

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Wason and Wason 9

The international market is a blue ocean market for the product and has a great potential. Many other
factors work in the favour of the competitors and many factors work as a challenge to the chikankari.

Rahul Wants to Know

The challenging picture that was exposed was exciting to work on as lot of gaps were present where
Rahul could work on and capitalize them as opportunities. At the same time, the limitations were creat-
ing a risk factor in the way of his decision making. He could not imagine of letting the business idea go
waste. ‘There has to be a way to develop a business plan that can be profitable in this scenario?’ or ‘Am
I being naïve?’ Should I move into some other business venture or should I stay and find a new path?
These were issues that were haunting him. Rahul seeks your advice.

Notes
1. Interested readers can approach the corresponding author to know the authors response to the issues raised.
2. An open bazaar practice from the old days when the small producers, the farmers and petty traders used to bring
their produce to sell in a designated area on a designated day of the week, at a designated open area of the town.

References
Arya, P., & Sadhana, S. (2012). Lucknow chikankari cluster—diagnostic study artisan. The chikan embroidery clus-
ter. Lucknow, Uttar Pradesh. The Cluster Development Agent Training Programme of Unido CDP, New Delhi
and The Entrepreneurship Development Institute of India (Ed.), Ahmedabad and Sponsored by Sidbi. Retrieved
15 May 2012, from www.scribd.com. Kavita Nagvanshi
Nayak, P., Rout, T. K., Kumar, S. K., & Dwivedi, R. (2007). Art and artifacts of Lucknowi chikankari. Project of
Ministry of Commerce and Industry UNCTAD and DFID. Mumbai: Textiles Committee Government of India.
Retrieved 4 September 2012, from http://www.readbag.com/tcunctad-in-publicationimages-otherspdf-33

Authors’ Bio-sketch
Neha Wason did her Masters in Marketing from the Indian Institute of Tourism and Travel Management,
Gwalior, India. Presently she is pursuing her doctoral programme at Banasthali Vidyapeeth, Banasthali,
India.

Sidhartha Wason did his Masters in Social Work from Dr. Shakuntala Misra National Rehabilitation
University. He is working as a Communication Officer at Bharat Abhiuday Foundation (a non-government
organization), Lucknow, India.

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