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dy is to identify the factors those causing/caused this clustering in relatively short period. This will be accomplished by focusing on following objectives:-

To identify the factors causing the clustering of Motorcycle Manufacturing industry in Hyderabad.

To point out the most influencing factor(s).

To study the industrial/manufacturing policy of government in order to identify the incentives to the industrialist especially of Hyderabad.

To study the industrial clusters in other city, to find similarities with Hyderabad.

1.4 RESEARCH methodology

This research is consists of a mixed methodology, where qualitative study is conducted to identify the factors and then quantitative data collection is to examine the factors. However, Quantitative style is dominant to qualitative style of data analysis.

The study focuses on the factors behind the establishment of motorcycle manufacturing units in Hyderabad.

At the first stage the different factors for example: cheap labor, environment, availability of parts, etc were identified through literature review and qualitative data collection. The desk research regarding government policies of manufacturing and industrial sector was conducted. After identifying the factors a questionnaire survey was conducted to get insight of the factors and how the managers looking at the different identified factors.

The data were then analyzed through statistical software to examine all the factors and to identify the factors which are responsible in the growth of this cluster.

1.5 SCOPE AND LIMITATIONS

The motorcycle manufacturing industry in the city is in clustering phase, as new entrants are coming and few competitors have left the market. Therefore, this analysis of the factors causing the clustering in Hyderabad is a timely study. The managements of MMUs in Hyderabad are totally Seth based, no proper organizational structure is there and corporate culture is a strange concept. All manufacturers are partnerships concerned and private limited companies, so their reports are not publicly available. People working there are not properly educated and they take a new person as competitor, resultantly they are very reluctant to inform about their organization. The reluctance of entrepreneurs to report on the values such as sales, income and wages paid, and their ability to provide accurate retrospective data and information as well as accurate valuation for current assets, inputs and output poses a major challenge to measuring performance of the MMUs. On the other hand, simpler measures such as variations in the number of person engaged may not fully reflect the reality of their performance. But few friendly people are also working there. However, it is managed to get relevant information through survey. One MMU have left the market, but manager responded and it is included in the analysis.

Mainly this study focuses on the Factors “causing the industrial cluster” in Hyderabad. And it would provide useful information to policy makers to devise the policies, keeping in view the ground facts of the city, in order to attract more investors to accelerate the economic activities. This effort can be useful for the investors to analyze the opportunities here.

1.6 STRUCTURE OF THE THESIS

The second Chapter reviews the literature rele