In this study, we studied the competitive advantages of the Cashmere Industry in Mongolia. Several additional directions for further research are suggested as follows:
Firstly, this study covers a broad topic, namely “A study on the competitive advantages of the cashmere industry in Mongolia”. Thus, this study suggests that future research can choose more detailed topics such as a competitive advantage of cashmere quality, the competitiveness of price, a competitive advantage of raw cashmere, etc.
Secondly, this study involves experts from the various organizations, such as governments, cashmere factories, and research institutions as the survey samples. Thus, the herdsman, businessperson, or cashmere industry stakeholders could be included in the survey samples. The respondents from different segments may have different evaluations of the factors.
Thirdly, this study adopts the methodology of AHP to explore the competitiveness of the cashmere industry. Even though, AHP is a good method to evaluate the relative importance of the alternatives, in order to explore more details in a wide variety of the field’s problems in the future research, AHP can be combined with other techniques, such as mathematical programming, SWOT, Delphi method, etc. In addition, in-depth interviews can be conducted in order to deeply explore the respondents’ points of view, feelings, and perspectives.
Fourthly, the Diamond model of Michael Porter for the Competitive Advantage of Nations offers a model that can help understand the competitive position of a nation in global competition. Our evaluation model gained the expected results in the case of cashmere industry. Thus, a further study can use this model to study the business environments of other industries.
In summary, this study focused on selection of the best strategy for the cashmere factory. The future research should refine the theory and methodology and continue to investigate the related topics in this industry.
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APPENDIX I
СУДАЛГААНЫ АСУУЛГА Таны амар амгаланг айлтгая.
Монгол Улсын тогтвортой хөгжлийг хангахад үйлдвэрлýл ихээхэн чухал үүрэгтэй бөгөөд эдгээр үйлдвэрлэлийн өрсөлдөх чадварыг сайжруулах, бизнес эрхлэх эрх зүйн болон татварын таатай орчинг бүрдүүлэх, цаашилбал үндэсний үйлдвэрлэлийг дэмжих төрийн бодлого, үйлдвэрлэл эрхлэгчдийн зүгээс бизнес төлөвлөгөө, зах зээлийн оновчтой стратеги зэргийг боловсронгуй болгоход шаардлагатай хүчин зүйлсийг илрүүлэн судлах зорилгоор монгол орны хувьд түүхий эд нь хангалттай байдаг ноолууран бүтээгдхүүний үйлдвэрлэлийг сонгон авч энэ талаархи санал асуулгыг явуулж байна.
Таны үзэл бодол, санал дүгнэлт бидний судалгаанд үнэтэй хувь нэмэр оруулах тул идэвхтэй оролцохыг хүсье.
Тайванийн Sun Yat-sen Их сургууль Бизнесийн удирдлагын факультет Удирдагч багш: Hsin Hin Lin (Ph.D)
Jih-hwa Wu (Ph.D) Оюутан: С.Ганхуяг Энэ судалгаанд М.Е. Портерийн ДИАМОНД загварыг ашиглав. Тус загвар нь харилцан бие биендээ хамаарсан хүчин зүйлс болох:
• үйлдвэрлэлийн нөхцөл (хүний нөөц, түүхий эд , хөрөнгийн нөөцүүд, дэд бүтэц гэх мэт);
• зах зээлийн эрэлт (бүтээгдэхүүний дотоод ба гадаад зах зээлийн эрэлт гэх мэт);
• харилцан бие биенээ дэмжих үйлдвэр (сэлбэг, туслах материал, засвар үйлчилгээний хангамж, борлуулалтын сүлжээ гэх мэт),
• компанийн стратеги, бүтэц, өрсөлдөөн (тухайн нөхцөл дэх компаниудын чиг хандлага, удирдлага, үйл ажиллагаа гэх мэт),
• засгийн газрын үүрэг оролцоо (үйлдвэрлэлийн үйл ажиллагааг дэмжсэн хууль тогтоомж) зэргээс бүрдэнэ.
Дээрхи үндсэн хүчин зүйл тус бүрд хамаарах дэд хүчин зүйлсийг шатлан харьцуулах аргаар ноолуурын үйлдвэрийн өрсөлдөх чадварыг нэмэгдүүлэхэд чухал хүчин зүйлс, хувилбарыг тодорхойлж гаргахыг зорьж байна.
САНАЛ АСУУЛГЫГ БӨГЛӨХ ЗААВАРЧИЛГАА:
Сонгох тоо Тайлбар
1 Хоёр хүчин зүйлийн ач холбогдол нь тэнцүү 3 Аль нэг нь бага зэрэг ач холбогдолтой 5 Аль нэг нь илүү ач холбогдолтой 7 Аль нэг нь маш илүү ач холбогдолтой
9 Аль нэг нь харьцангуй илүү ач холбогдолтой 2, 4, 6, 8 Завсрын утга
Тайлбар: Хүчин зүйлсийг хоёр хоёроор нь харьцуулан илүү ач холбогдолтойг нь дараах жишээг
(6) Засгийн газрын үүрэг оролцооны хувьд аль нь илүү чухал гэж Та үзэж байна вэ?
А хүчин зүйл A нь В ээс чухал
их бага В нь А аас чухал
бага их B хүчин зүйл
9 7 5 3 1 3 5 7 9
Түүхий ноолуурын экспортыг хориглох
□ □ □ □ □ □ □ □ □ Түүхий ноолуурын экспортын татварыг нэмэгдүүлж, % тогтоох (30% хүртэл)
□ □ □ □ □ □ □ □ □ Үйлдвэрлэл, өргөтгөлийг дэмжсэн хөнгөлөлттэй зээл тусламж үзүүлэх
□ □ □ □ □ □ □ □ □ Үйлдвэр эрхлэгчдэд зарим төрлийн татварын
хөнгөлөлт үзүүлэх Түүхий ноолуурын
экспортын татварыг нэмэгдүүлж, % тогтоох (30% хүртэл)
□ □ □ □ □ □ □ □ □ Үйлдвэрлэл, өргөтгөлийг дэмжсэн хөнгөлөлттэй зээл тусламж үзүүлэх
□ □ □ □ □ □ □ □ □ Үйлдвэр эрхлэгчдэд зарим төрлийн татварын
хөнгөлөлт үзүүлэх Үйлдвэрлэл, өргөтгөлийг
дэмжсэн хөнгөлөлттэй зээл тусламж үзүүлэх
□ □ □ □ □ □ □ □ □ Үйлдвэр эрхлэгчдэд зарим төрлийн татварын
хөнгөлөлт үзүүлэх
(7) Дээрхи хүчин зүйлтэй уялдан аль хувилбар нь илүү чухал ач холбогдолтой гэж Та үзэж байна вэ?
APPENDIX II Questionnaire
February 25, 2009 Dear Sir,
I would kindly ask you to participate in a survey connected to my research work.
I am Gankhuyag.S who is studying in the GMBA program at the NSYSU, Kaohsiung, Taiwan.
I have chosen a topic which is named of “A Study on the Competitive Advantages of Cashmere Industry in Mongolia” for a master thesis in the International Business Management department at the College of Management. The purpose of the study is to find ways to improve competitiveness of the Mongolian Cashmere Industry and subsequently to develop recommendations to number of CEO & managers of cashmere industry and officials of related government organization.
The enclosed questionnaire will be sent to a number of CEO & managers of the cashmere companies, as well as a number of officials who are working in government organizations, the research workers of research institutions, and also managers who sell Mongolian cashmere products in the international market.
Your participation will be of great help to me. I would much appreciate it if you would take some time to answer the enclosed questionnaire. However, in order to finish my research in time, I kindly ask you to return your answers before 25 March 2009.
I thank you again for all your attention, your valuable time and your help. If you have any questions, please do not hesitate to contact me through email
Sincerely, Gankhuyag. S
e-mail: [email protected] GMBA student, CM, NSYSU Kaohsiung, Taiwan
P.S: I have used M.E. Porter’s diamond model in my research and it consists following factors such as factor conditions for production (human resources, physical, knowledge and capital resources, transportation etc) ; demand conditions (home and international demand conditions) ; related & supporting industries (pars and service suppliers and distributors) ; firm strategy, structure & rivalry (which firms are created, managed and operated, given the situations) and government role (rules and regulation in industry activities). All determinants are interlinked and generally must be favorable for a given national industry to attain global competitiveness. Through the diamond model, I am hoping to be able to specify the relative importance of the different factors for the Mongolian cashmere industry today and in the future.
Directions:
I would like you to rate the factors with regards of its importance to be a competitive strategy as a cashmere industry on the basis of your experience. I have divided into 5 criteria. Each criterion comprises of several sub criteria. You are kindly requested to mark from 1 to 9 based on importance to the issues for cashmere industry of Mongolia.
Scale and Meaning
Intensity of Importance
Definitio
n
1 Equal importance of C1 and C2
3 Weak importance of C1, over C2
5 Essential or strong importance of C1, over C2 7 Very Strong demonstrated importance of C1, over C2 9 Absolute importance of C1, over C2 2, 4, 6, 8
Intermediate values between adjacent scale
values
For example: According to the following example please choose your answer.
A Items <=A is more important than B B is important than A=> B Items 9 7 5 3 1 3 5 7 9
Price □ √ □ □ □ □ □ □ □ Quality
□ □ □ □ □ √ □ □ □ Color a
□ □ □ □ □ □ □ □ √ Design
Level.1: Goal Level 2: Criteria Level 3: Sub-Criteria Level.4: Alternatives
Consumer preference to impure (blended) cashmere product
Global consumer preference to natural 100% cashmere product
Best technology and equipment Innovation on design
Facility location Human Resource
Supply chain for other inputs such as chemicals, and spare parts
Competition on procurement of raw material
Patent acquisition
Financial institution support
Set export ban on raw cashmere
Increase specific tax export on raw cashmere by %. (up to 30% of value) Provide loans to promote production and expansion of value-added production
Government Travel & International buyer market
expansion
Related legal institution support
Differentiation strategy Good quality raw material
Cost leadership strategy
Provide some tax-rebate for entrepreneurs
Establish
Strategic alliance with international Herders, agency of collecting raw
(1) For the Best strategy of Cashmere Industry in Mongolia which factor is most important?
Firm strategy, rivalry &
structure
□ □ □ □ □ □ □ □ □ Government role
(2) For the Production factors which sub factor is most important?
A Items <=A is more important than B B is important than A=> B Items
Best technology and
equipment □ □ □ □ □ □ □ □ □ Innovation on design
(3) For the Demand condition which sub factor is most important?
A Items <=A is more important than B B is important than A=> B Items
9 7 5 3 1 3 5 7 9
Consumer preference to natural 100% cashmere product
□ □ □ □ □ □ □ □ □ Consumer preference to
impure (blended) cashmere product
□ □ □ □ □ □ □ □ □ Travel & International
buyer market expansion Consumer preference to
impure (blended) cashmere product
□ □ □ □ □ □ □ □ □ Travel & International
buyer market expansion
(4) For the Related & Supporting Industry for cashmere industry which sub factor is most important?
A Items <=A is more important than B B is important than A=> B Items
9 7 5 3 1 3 5 7 9
Supply chain for other inputs such as chemicals, and spare parts
□ □ □ □ □ □ □ □ □ Related legal institution support
□ □ □ □ □ □ □ □ □ Financial institution
support
□ □ □ □ □ □ □ □ □ Herders, agency of
collecting raw cashmere Related legal institution
support □ □ □ □ □ □ □ □ □ Financial institution
support
□ □ □ □ □ □ □ □ □ Herders, agency of
collecting raw cashmere Financial institution support □ □ □ □ □ □ □ □ □ Herders, agency of
collecting raw cashmere
(5) For the Firm Strategy, Structure & Rivalry which sub factor is most important?
(6) For the Government role which sub factor is most important?
A Items <=A is more important than B B is important than A=> B Items
9 7 5 3 1 3 5 7 9
Set export ban on raw
cashmere □ □ □ □ □ □ □ □ □ Increase specific tax
export on raw cashmere by %. (up to 30% of
export on raw cashmere by %. (up to 30% of Provide loans to promote
production and expansion of value-added production
□ □ □ □ □ □ □ □ □ Provide some
tax-rebate for entrepreneurs
(7) Related with above factors, which alternative is most important?
A Items <=A is more important than B B is important than A=> B Items
9 7 5 3 1 3 5 7 9
Establish Research and Development center for design and technology of cashmere product
□ □ □ □ □ □ □ □ □ Set up system for raw material procurement in regions
□ □ □ □ □ □ □ □ □ Government shall
implement legal and tax policies favoring industrial
implement legal and tax policies favoring industrial development
□ □ □ □ □ □ □ □ □ Establish semi-processing factory in several regions
□ □ □ □ □ □ □ □ □ Set up United Industry Park Government shall
implement legal and tax policies favoring industrial development
□ □ □ □ □ □ □ □ □ Establish semi-processing factory in several regions
□ □ □ □ □ □ □ □ □ Set up United Industry Park Establish semi-processing
factory in several regions □ □ □ □ □ □ □ □ □ Set up United Industry Park
Feel free to add criteria and alternative that should fall in to the research but is not mentioned above: 4. What type of organization does your job belong to:
□ Government organization □ Cashmere Industry □ Supplier & Distributor □ Research Institutions
5. What is your position in your organization □ CEO □ manager □ research worker □ others