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Bata India

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COSTING AND MANAGEMENT ACCOUNTING PRACTICES

COMPANY:
BATA INDIA Ltd.

EXECUTIVE SUMMARY
This report discusses the detail of 1) Bata’s main line of business. 2) Its main competitors and their value chain comparison. 3) Strategy the company is following. 4) Current Costing System of the company. 5) Decision making on the basis of cost and information. 6) Decisions are being taken using management accounting information.
To summarise the above points we know that Bata is the fastest growing footwear brand in the country with a presence across 400 cities. The brand offers a wide range of comfortable, stylish and trendy footwear at affordable prices, ensuring there is something in the collection for everyone. The USP of the …show more content…

Now they are not dependant on some third party for procurement of raw material.

Sales and distribution-
Bata operated through exclusive chain of executive own and franchise stores located in prime location country wide. Bata owns network of 300 exclusive wholesalers who serviced 30,000 retail outlets throughout country. Overall it has over 1,600 showrooms, 27 wholesale depots and 8 distribution centers across the country.

Technological resources-
In 2004, Bata installed point of sale management information system (POS), for providing sales and inventory information across the company’s stores. This provides company to plan production and optimize inventory level.
LIBERTY SHOES LTD.:
Technology –
It has introduced a new material called TPU (Thermo Plastic Urethane), for high quality footwear, into the country. This material has better properties than PVC or TPR (conventional materials used for footwear).
Liberty has also been instrumental in introducing EVA (Ethyl Vinyl Acetate), which is a direct injection moulding used for making sole for the first time in Asia. This technology uses very light material & the footwear is made with the direct injection system.
Liberty also pioneered the PU (Poly Urethane) Technology in India for the footwear industry.
Besides these Thermo Plastic Elastomer has been developed for the first time in India at Liberty. A CAD/CAM design centre is in place at Liberty. The Sympatex waterproof technology in footwear was

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