Products and Completed Operations - Recent Headline Case Provides Proof Why This Coverage Is Vital

For many of today's vast and growing industries, significant liability exposures can arise from their products and completed operations compared to their premises and on site operations. Product liability arises when a company can be held responsible for bodily injury or property damage caused by the products they sell, manufacture and or distribute. Completed operations liability results when the company can be held liable for property damage or bodily injury caused by work performed such as service and repairs.

Products and completed operations are often combined together within the insurance policy because they both address the fact that a problem has occurred once control has been relinquished and the product has left the insured's premises. Product liability insurance has quickly become one of the most important coverage's that can be obtained today. Constant headlines of defective or tampered products, large judgements and increased litigation has led to demand for safer products across all industries. The treat of mass litigation, and increased insurance costs has encouraged businesses to increase internal safety testing measures while producing safer products for the consumer.

Over the recent Christmas holidays, a large national retailer was in the news for pulling a baby formula from all of their 3000 nationwide outlets. The formula had been linked to an infant death and the chain decided to pull the formula as a precautionary measure until full facts regarding the case were made available. A move like this can cost the manufacturer millions of dollars from lost revenues, product recall, investigating the cause, litigation and potential damages awarded to plaintiff(s). Back in the early 1980's, six people were killed in Chicago after taking capsules that were found to be laced with Cyanide. The investigation later revealed that the deaths were not due to manufacturing but tampering of the product after reaching the stores. The manufacturer who at the time was unsure if this was a nationwide crisis quickly pulled all of their capsules across the country. This product recall cost them in excess of $100 million.

Most standard Commercial General Liability (CGL) policies provide coverage for Products-Completed operations. A general definition of this coverage is defined as:

The Aggregate Limit is the most the Insurer will pay under Coverage A for the sum of all damages arising out of the "Products and Completed operations hazard" in any one period of twelve months terminating on an anniversary of the inception date of the policy.

It is very important to take note that while most policies will cover property damage and bodily injury resulting from the products or completed operations, these same policies EXCLUDE coverage for the cost of the product recall. Product recall insurance can be purchased from a speciality carrier who will cover all the expenses incurred by a company that is forced to recall their product for any circumstance. Companies involved in pharmaceuticals, food/beverage, and toys have a much higher propensity for product recalls therefore making product recall insurance a vital cost of doing business.

Just as businesses are taking great care in manufacturing quality and safe products, insurance companies take similar precautions when assessing a potential risk for Products & Completed Operations. A prudent insurance underwriter will look at a number of key pieces of information before making a decision. The following is a brief list of checkpoints I used when analyzing large product manufacturing operations.

Potential Hazard of the product - what is the worst possible scenario if the product fails? A manufacturer of plastic bowls has much less risk compared to a manufacturer of lighters.



Packaging - Does the packaging properly protect the product from being damaged while in transit and is the packaging itself safe with proper warnings in place.



Product Manuals - are manuals thorough with illustrations and provide details in how the product is to be used safely with information on how to instructions and all possible warnings.



Internal Quality Control - has the manufacturer established an adequate program in place to monitor testing, design, inspection, safety measures.



Customer Complaints - a detailed procedure should be in place to include the following: A record of all complaints- date/time/outcome A record of each product that caused the complaint- make/model A detailed record of all lawsuits and claims A record of final responses and or actions taken to eliminate similar future cases Copies of notices/reports sent to press, associations, authorities



Detailed records - itemized list of all suppliers, distributors, manufacturers involved in the design, creation and distribution. Invoices should contain full information on quantity, batch numbers sent to distributors, outlets to assist in tracing the products history.

All the above channels of distribution play an integral role in reducing and or eliminating a mass product recall. Without them, a recall can become very difficult and costly. In a case where the manufacturer is unaware which product is faulty, then the entire line of products may have to be recalled causing additional time to locate the problem with the potential of more injuries/damages to occur until the problem has been identified.

A few years ago, a woman and her legal team successfully sued a retail chain for damages caused by a hair dryer she purchased at their store. The hair dryer caught fire and ended up burning the woman. The case alleged that the retailer sold an unsafe product failing to warn purchasers of any inherent dangers. She was awarded $186,000. It is certain that retailer would have tried to recover their losses by suing the manufacturer of the product in addition to pulling the product off their shelves in all locations.

Product liability concerns can vary drastically with each type of product. Previous losses within the company or in the industry are the best indicators of potentially large future claims. This is why insurance companies can spend weeks or longer evaluating large complex and dangerous risks. They invest considerable resources such as hiring firms to review financial statements & on site inspectors to be made aware of all factors before quoting and eventually insuring a risk. Companies requiring this coverage should seek out a broker that can offer multiple quotes from different carriers to compare pricing, wordings, restrictions. If one pricing seems too low compared to others, make it a point to ask how much experience the company has in the specific class of insurance. If they are relatively new than with little or no experience handling a large claim, then it may be best to seek out another carrier with proven experience in the industry.

Consumers Need Protection From Products That Contain Lead

In 2008, products that contain lead continue to arrive from China and appear everyday on American store shelves. The purchase of many of these products can result in a variety of potential health risks to the unsuspecting consumer. The danger inherent in the lead in the product is not identified on the product label. The consumer has no knowledge until a product is recalled that the product even contained lead.

Last year in America there was an extensive list of consumer products, made in China, that were recalled. The 2007 product recall list for high lead content included the following items: jackets and overalls, bracelets, key chains, children's rings, easels, paint, lunch boxes, necklaces, and wooden toys.

In 2008, imported products containing high lead content continue to be found on store shelves. So far this year the Consumer Product Safety Commission (CPSC) product recall list includes Hobby Stores Easter egg containers, X Force Commander Jet Airplanes (sold at the Dollar Store), children's medal jewelry sold by the Pecoware Company, children's memory testing cards from Riverside Publishing, children's sketchbooks from eeBoo Corp, and various children's educational products from importer RR Donnelley, of Chicago, Ill. The product recall list also includes products with high lead content in various children's garden rakes, toy banks, and jewelry. In fact, at this point everything on the retail store shelf made in China, even if it has not yet been recalled, is an item that the consumer should assume probably contains lead.

In addition to products containing lead on the store shelves, a new concern for the consumer has surfaced in the dentist office. It has recently been reported that dental crowns, veneers, bridges, and dentures made in China and other foreign dental labs may contain lead. Since about 20% of restorative dental products are outsourced to foreign dental labs, including China, it may be a good idea for consumers to check with dentists to insure that their restorative dental care does not include dangerous amounts of toxic lead from products produced in foreign labs. The FDA currently monitors only a small amount of imported dental products for compliance to its standards.

The problem for the American consumer is that government agencies involved in product oversight have not been properly funded by the federal government. Indeed, the Consumer Product Safety Commission was created in 1974 to insure product safety for the American consumer. However, since its creation, imported products from China into the United States have increased over 300%, but the budget for the CPSC has been slashed to less than half of its original 1974 budgeted amount.

Consider that the CPSC began with 800 employees in 1974. Today, it only has 420 staff members with just one employee monitoring imported toys. It is an agency overwhelmed and therefore the American consumer should not expect it to protect them from all the lead products on American store shelves imported from China. It is evident that many current products containing a high content of lead on American store shelves will never be properly identified or recalled.

The truth is that the world of globalization is presenting increased risk to the American consumer and the natural environment as it provides ever higher profit margins for large national and multi-national corporations. In an effort to increase profit margins by taking advantage of cheap, unskilled labor, an American company contracts China to make a product. This action reduces the cost of making the product to the company and, in effect, may out-source American jobs to mainland China. The product is made by the Chinese and imported back into the country where it is sold on American store shelves. The product is often made with cheap components such as lead paint. The imported product may not be reviewed by the CPSC because the Commission has not been properly staffed. Therefore the product may never be found to contain a high content of lead or ever be recalled.

If a product is discovered with lead, the product is then recalled by the company and apparently the lead somehow just disappears. Hopefully, in the next few years lead won't be found in our landfills and contaminate the environment. On the other hand, if the product is not discovered to contain lead, but does, it is never recalled. It eventually gets sold to a consumer and the lead content in the item places the buyer's health at risk. When the product is eventually discarded, it will end up in a landfill and the lead will contaminate the environment.

In an effort to finally address the problem, the United States House and Senate have both recently passed consumer protection bills. The Senate bill nearly doubles the budget of the Consumer Product Safety Commission from $88 million next year to close to $160 million in 2015. It bans lead in all but trace amounts in children's toys, and it also gives the agency new authority to levy stiff fines against companies that balk at product recalls.

In effect, federal lawmakers have just begun to take the problem of imported lead on consumer products seriously. The new 2008 Consumer Protection Bill also bans lead on children's toys. That sounds like a great idea until we realize that lead paint has been banned on children's toys in the United States since 1978.

The solution to faulty consumer products is not politics, new law, or regulation. It is simply providing the money and the authority necessary for the CPSC to do the job it is supposed to do in an age of high consumer product imports and globalization. The federal government spends more than $400 billion per year in grants. In addition, Congressional pork-barrel spending was estimated to be $29 billion in the fiscal year 2006 alone. (Citizens Against Government Waste). A few million dollars to address the problem of lead in imported consumer products has always been available. It is about time that Congress has acted to provide the money necessary to begin to adequately staff the Consumer Product Safety Commission. Indeed, it is Congressional action long overdue to protect the American consumer and the environment from dangerous imported consumer products that contain high levels of lead.

James William Smith has worked in Senior management positions for some of the largest Financial Services firms in the United States for the last twenty five years. He has also provided business consulting support for insurance organizations and start up businesses. He has always been interested in writing and listening to different viewpoints on interesting topics. Visit his website at http://www.eworldvu.com

Customizing Products and Services Presents Entrepreneurs a Great Way to Bootstrap a Business

We live in a world where mass production and scalability have enabled consumers around the world the opportunity to enjoy a wider range of Consumer Products and Services than ever before. Large scale production drives down prices. Items that were once luxuries are now within reach of masses of consumers on every continent.

Overwhelmingly the benefits of scale and industrialization are beneficial to society. Jobs, distribution opportunities, global trade and finance have all thrived in large part because of the benefits of a consumer driven world. The Benetton sweater or MAC cosmetic that is purchased in Denver is the same as a unit of either sold in Sydney.

There is a downside to mass production, a downside that presents opportunities for those seeking to position their enterprise successfully within the whirl of this hyper--competitive consumer marketplace. Most mass produced products are impersonal. They offer value, utility and uniform performance features. They do not, however, differentiate themselves significantly from competitors. This is where the creative and craft minded producers can maximize their offerings.

Hermes purses and scarves are famous, but simple examples of a Brand that has been built from scratch, painstakingly over time and by being extremely protective of distribution channels for their limited production, hand crafted products. Hermes controls the price and design of each unit produced with a discipline that borders on fanaticism. When a design becomes popular and demand soars, the family owned Company caps production far short of maximum sales potential. This is a classic example of a limited distribution strategy that serves to increase Hermes' product desirability among discerning consumers.

Ferrari automobiles, Zegna menswear, Piaget watches, Tory Burch fashions and La Prairie Skin Care and Cosmetics are other examples of Brands that have created world-wide franchises by avoiding any taint of a mass production model. They sell service, customization and personalized product that elite customers demand. The strategy does not need to be limited to exclusive couture brands, however!

The Branding and Marketing Consulting firm that we manage utilizes many different forms of personalized service or customized product assembly to differentiate our clients. In order to be able to compete with behemoth, multi-national brands a new company must be able to identify their Unique Selling Proposition (USP). A better ingredient story or a better mousetrap design will not suffice.

Recently a prospective client approached us with a Perfume concept. The Fragrance world is huge and brutally competitive. The perfumer we met with was keen to commercialize a range of scents, mainly by utilizing generic top notes. We spent a good deal of time trying to define a USP that would differentiate her product, while creating a niche she could occupy. The final, agreed suggestion was to sell a value added personalized blending service with each offering customized, value added and unique to each client. There are a number of added special service features which insure that the Brand will be perceived as unique by her "alpha" clientele.

We have utilized one form or another of this strategy for Gourmet Food products, Toys, Cosmetics, Wellness regimens, Service Providers and many other client projects. An important feature of this strategy is the opportunity to bootstrap the product or service when limited resources are at hand. Local sales can be leveraged to regional sales and beyond. The enterprise can be grown at a pace that is more easily handled by thinly resourced entrepreneurs.

Red Bull, Snapple and Arizona Iced Tea did not start as national and international brands. They were bootstrapped. They found holes in saturated, developed marketplaces and they filled niches. This model is available to creative entrepreneurs who are driven to compete, but understand that they must deal from a different, smaller deck of cards.

by: Geoff Ficke

Geoff Ficke has been a serial entrepreneur for almost 50 years. As a small boy, earning his spending money doing odd jobs in the neighborhood, he learned the value of selling himself, offering service and value for money.

After putting himself through the University of Kentucky (B.A. Broadcast Journalism, 1969) and serving in the United States Marine Corp, Mr. Ficke commenced a career in the cosmetic industry. After rising to National Sales Manager for Vidal Sassoon Hair Care at age 28, he then launched a number of ventures, including Rubigo Cosmetics, Parfums Pierre Wulff Paris, Le Bain Couture and Fashion Fragrance.

Geoff Ficke and his consulting firm, Duquesa Marketing, has assisted businesses large and small, domestic and international, entrepreneurs, inventors and students in new product development, capital formation, licensing, marketing, sales and business plans and successful implementation of his customized strategies. He is a Senior Fellow at the Page Center for Entrepreneurial Studies, Business School, Miami University, Oxford, Ohio.

The Crucial Importance of Crude Prototypes in Launching And Marketing New Consumer Products

The most spectacular example of stunning product design extant in the world today must surely be on display in Marinello, Italy at the Ferrari Auto works. Ferrari is the apex of beauty; exclusivity, performance and technology, all bundled into one visually stunning work of mobile art. The famous Prancing Horse icon, seen racing down a winding road, attached to a Ferrari is one of the most beautifully alluring visions in the world.

The legendary Ferrari, so rarely seen on the road or in showrooms is the highest form of world famous Italian design. However, like any other car, the Ferrari is conceived only after small scale models and prototypes are made. Typically the first prototypes are crafted from clay. Then they are critiqued, tweaked and re-worked. Only after much prototype development work is conducted is the car ready to go to engineering for planning and detailed design and construction.

The Ferrari is never produced from a single prototype design. The styling group is always looking to improve and enhance the design. Even when the silhouette of the shape appears perfect, the designers continue to strive for perfection. This drive to make a "Ferrari" is what makes the car so desirable.

Consumer Products that are considered "Hard Goods" are always evolved from prototypes. Established Companies with sophisticated Engineering and Marketing Departments intentionally seek "crudeness" in early design. This relatively undefined "alpha" model is purposely created to spark creative input. Product Design Engineers have learned that a near perfect or too finished prototype results in too much agreement and too little critical thought. It is criticism that generates improvement.

Toy Companies always utilize prototypes to pre-test responses from children before entering production. Jewelry manufacturers use wax and then alloy prototypes to insure integrity and detail of design. Sporting Goods, Small Electrics, Sporting Goods, Packaging Components and Pet Products are made in the same way.

Another reason to produce prototypes through a "crudeness" cycle is to insure proof of product performance. A Consumer Product that must be built from tooling in the manufacturing process requires a significant investment. The cost of a crude prototype can be a source of great savings by confirming the Features and Benefits of the product before spending any monies on the construction of molds.

As the prototype is improved and finished it will take on the look of the go-to-market product that the Sales, Marketing and Branding departments will launch.

For Entrepreneurs the prototype process is crucial. My Product Development and Marketing Consulting firm works extensively with inventors and small businesses. The proper investment in obtaining a Production Quality Prototype is often an enterprise' Achilles Heel. This is a reality that we must constantly restate.

A few points that will reinforce the importance of securing Production Quality Prototypes:

• Decision Makers expect to see a working model in shelf-ready shape

• Garage, self-produced models demonstrate a lack of professionalism

• 3D CAD art used to create Prototypes is essential in learning Cost of Goods

• Manufacturing process requires a Release Packet based on the Prototype

• Finished Prototypes are the model for Manufacturing Execution

• We Pre-sell from Production Quality prototypes

• Prototypes determine unit carton packaging options

• Prototypes can be photo-shopped for producing Sales Collateral

• The Web-Site visuals can be created from Prototype images

• Do not expect the 1st prototype to be perfect, "crude" is a good 1st step

Multi-national Companies such as Toyota, Swatch or Unilever have extensive R&D and New Product Development budgets. Entrepreneurs typically do not. Nevertheless, the prototype development process will be the difference in whether most projects reach market. Do not skirt this step. There are no rewards for taking shortcuts.

by: Geoff Ficke

Geoff Ficke has been a serial entrepreneur for almost 50 years. As a small boy, earning his spending money doing odd jobs in the neighborhood, he learned the value of selling himself, offering service and value for money. After putting himself through the University of Kentucky (B.A. Broadcast Journalism, 1969) and serving in the United States Marine Corp, Mr. Ficke commenced a career in the cosmetic industry. After rising to National Sales Manager for Vidal Sassoon Hair Care at age 28, he then launched a number of ventures, including Rubigo Cosmetics, Parfums Pierre Wulff Paris, Le Bain Couture and Fashion Fragrance. Geoff Ficke and his consulting firm, Duquesa Marketing, has assisted businesses large and small, domestic and international, entrepreneurs, inventors and students in new product development, capital formation, licensing, marketing, sales and business plans and successful implementation of his customized strategies. He is a Senior Fellow at the Page Center for Entrepreneurial Studies, Business School, Miami University, Oxford, Ohio.

Heel USA - Worldwide Marketer and Producer of Homeopathic Products

Knowing about the Heel USA: -

Heel has become the leading company in the field of the natural and homeopathic products because of the superb formulation and combination of their work. Another reason for the popularity of the Heel USA is that all the products of this company lie under the strict guidelines of FDA, which insure best manufacturing and claims. In USA, the Heel's products can be available at any clinic or physician's offices as these products are present within the medical community in large amount. The main motive of this company is to commercialize the business and also building the sales of US pharmacy and drugs along with the maintenance of the revenue stream.

Heel USA- Aiding the people: -

Market Intelligence: the products of this company are so much popular in the country that the doctors always prescribe these Heel products. Any of the retail based programs are not recommended by the doctors and consumers had to purchase the products which are recommended and sold by doctors.

Key Strategic Development: Heel USA is popularizing because they are going for the development of the different brands strategies for both retail and medical. Special care is given in the packaging of the products by using different products and brand name.

Development of New Product: along with the packaging, positioning of the brands is also done over the time. New SKUs channels are developed for the mass-retails. In the present scenario, Heel USA is developing CVS program along with the selection of the private label programs.

Marketing Campaigns: the main reason behind the success of the Heel is that the main focus in on the single brand in their range of products. That is why; the selected brand has a record of success in NFS trade class and health food stores. The main advantage of the marketing campaign so that trade marketing can be carried out which includes consumer marketing program like magazines/print and infomercials on TV.

Sales Management: the process of sales began with the solidification of the base of NFS and then expanding the circle to the Drug Wholesalers and then further expanding to the regional and national Drug chain stores. In current time, the main target of the company is the stores of the stores of premium grocery. Besides this a strong relationship is also been developed in the active medical community which makes the company a leader in the homeopathic products.

Get more information Heel USA and Carlson Labs.

Advanced Insurance Marketing - Ranking Best States For Marketing Insurance Products

Choosing the top states to market your products in is the sign of an advanced insurance marketing organization. There is a clear realization among the best marketers that many factors are involved in determining a state's insurance product market ability. Here are the states ranked in order. View a previous report on how 30 steps are engaged to calculate where one state relates in a positional ranking to another.

Recruiting agents in one state to sell your product may be a breeze while in another it could be a financial nightmare. The margin of response is very vast. So vast, that spending the same amount of money an insurance marketing recruiting campaign in one state, produces double the results of another. Why not start with the states consistently producing for most wise marketers good productive replies and product sales production exceeding normal expectations?

This wisdom applies both to selecting agents and to insurance recruiting in individual states to give you a state-by-state analysis of insurance recruiting and insurance agent marketing. Using the combined knowledge allows you to plan your insurance recruiting campaign on smart insurance agent marketing information. You will be shown from the top down to the very bottom, the guideline ranking best states for marketing insurance successfully.

This means that it you have a national territory, what do you do. It does not mean recommending that you send a proportionate amount of marketing sales pieces to agents in each of the states. Smart marketing can be achieved either of two ways. Spend 80% of your recruiting budget on states known to provide great results and 20% on the others. Here is an option to this. It is better to mail a quality list in a good state twice than a bad one once. Double mailing the best is a very viable option. Mail the best and forget the rest.

For a successful insurance recruiting campaign, follow the ranking best states for marketing insurance products recommendations, or take your chances at hit and miss. This particular state insurance agent marketing information provided to you is not available from any insurance recruiting internet or list source. A list broker would not want this information published. It is more beneficial to them to sell you a list of agent names in all states. To a list broker the larger the agent name list you purchase, and the more states you order, the bigger their profits become. Ask yourself if this is a means of enhancing their profits or your personal profits.

The distinguishing reasons for why some states tend to be so more productive will be found in another advanced insurance marketing report. Size is not a major factor. If it was, Illinois, New York, and Pennsylvania would be given a much higher rank. The median family income is a factor, but just one of many issues that are analyzed. The Northeastern and New England states often enjoy a much higher average family income, but that presents itself as a minor aspect with insurance agents. View how few of these states are listed among the top half.

RANKING FOR MARKETING INSURANCE PRODUCTS

1. Florida

2. California

3. Texas

4. Ohio

5. Georgia

6. Wisconsin

7. Minnesota

8. North Carolina

9. Michigan

10. Missouri

11. Tennessee

12. Oregon

13. Alabama

14. Kentucky

15. Arkansas

16. Kansas

17. Mississippi

18. Oklahoma

19. Nebraska

20. Utah

21 New Mexico

22 West Virginia

23. North Dakota

24. Montana

25. Maine

26. Louisiana

27. Pennsylvania

28. Montana

29. Iowa

30. Idaho

31. Illinois

32. Delaware

33. Massachusetts

34. South Dakota

35. New Hampshire

36. Connecticut

37. Virginia

38. Maryland

39. Washington

40. New Jersey

41. New York

42. Indiana

43. Alaska

44. Wyoming

45. Vermont

46. Rhode Island

47. Colorado

48. Arizona

49. Nevada

50. Hawaii

Well published author, Don Yerke likes to concentrate on what you don't know or what no one else dares to print. Tell it like it is.

Watch for his new paperback book debuting on Amazon this spring. It is loaded with great insurance marketing and recruiting information.

Come and get your FREE "Think and Grow Rich" Ebook by Napoleon Hill instantly. The website address is [http://www.agentsinsurancemarketing.com]

Marketing of Products Produced by Self Help Groups

In the era of growth and development, all nations try to uplift themselves to global standards in all areas. The key areas commonly identified by most economists are the social and economical transformation. The economic indicators are per capital income, gross domestic product, net domestic product, share in world trade, foreign exchange reserves etc. On the social side, drinking water, reliable electricity, good sanitary conditions, viable transport system etc, are given due importance. Millions of people in our country dream that India will become an economic super power in"2020".

It will be possible only by means of a balanced growth in all sectors. The pattern of growth prevailing at present is more in urban and metropolitan cities when compared to rural areas. This creates an economical imbalance in our social system.

Over the years poverty, unemployment and excess population are our important weakness. Among the above three, poverty and unemployment are directly correlated. Creating employment opportunities will curtail the poverty line. Previous studies with regard to people living below the poverty line clearly reveals that majority of them are living in rural areas. So concentrating on rural mass is the need of the hour.

After independence Government of India launched innumerable social and economical welfare programmes in spite of poverty and unemployment proliferates. Earlier programmes like Integrated Rural Development Programme (IRDP), Development of Women and Children in Rural Areas (DWCRA), Training of Rural Youth for Self-Employment (TRYSEM), Supply of Improved Toolkits to Rural Artisans (SITRA) and Ganga Kalyan Yojana (GKY) were conceived to be complementary to each other, for achieving the larger goal of poverty alleviation in the rural areas. Over the years, however, there was an erosion in the process of implementation of the programmes. These were conceived as integrated programmes with the objective of supplementing each other efforts to ensure energy. However each programme has been implemented as a separate and independent programme that focused more on the achievement of individual programme targets. The over all impact of the programmes in poverty alleviation, therefore was less than what was expected of them. The programmes were, therefore reviewed and the Swaranjayanti Gram Swarozgar Yojana (SGSY) was launched on April 1999as the single self-employment programmes in their place.

The SGSY is a holistic programme and the objective of SGSY is to bring the assisted poor families (Swarozgaris) above the poverty line. Under SGSY poor families are organized into Self-help groups (SHGs) through the process of social mobilization. SGSY ensures training and capacity building and provides income-generating assets through a mix of bank credit and Government subsidy. It is a credit linked scheme. Here, the credit plays a predominant role and subsidy is an enabling component.

Under this scheme, financial assistance may be given to individuals or groups (Self-help Groups) belonging to below poverty line families. However, the emphasis will be on the Group approach. The SGSY envisages developing activity clusters by selecting about 10 key activities per block. The programme is being implemented in rural areas of all the States / UTs (except Delhi and Chandigarh)1

The basic idea of "SHG" scheme is derived from International Fund for Agricultural Development (IFAD). IFAD (1989) is quite similar to SHG programme, which was organised by an international social welfare agency. The head quarters of IFAD is situated in Rome. IFAD aimed at providing subsidized individual loans to people below poverty line for undertaking activities such as animal husbandry, horticulture, sericulture, khadi and handloom. Indian Bank played a key role in financing these schemes. The scheme was implemented in 75 unions of 8 districts on a selective basis. The IFAD project was successfully completed in the year 19982. Keeping in mind the positive results of this scheme, the state Governments in India wanted to continue this scheme. So a separate wing was setup under social welfare department for continuing this scheme. Now SHG is being used as a major weapon in poverty eradication.

The research had been carried out on the following objectives:

To study the origin, growth and development of Self-help groups

To understand the marketing of the Self-help groups products

To analyze the marketing problems of Self-help groups

To know the self-employment activities done by the Self-help groups

HISTORY OF SELF - HELP GROUPS

Self-help groups first emerged in MYRADA in 1985. In 1986 - 87 there were some three hundred SHGs in MYRADA's projects. Many had emerged from the breakdown of the large cooperatives organized by MYRADA. In these areas, a numbers of members asked MYRADA to revive the credit system. They usually came in groups of 15-20. When reminded of the loans they had taken out from the cooperative, they offered to return them to MYRADA, but not to the cooperative, which in their experience was dominated by a few individuals. MYRADA staff suggested that they return the money to themselves in other words the members who had come in a group to present their case to MYRADA. After some hesitation, they decided to continue meeting in these smaller groups. MYRADA staff realized that they would need training: how to organize a meeting,set an agenda keep minute, etc. Efforts were made to train the members systematically. On analysis it emerged that the members were linked together by a degree of affinity based on relationship of trust and support; they were also often homogeneous in terms of income or of occupation (for example, agricultural labourers), but not always. Caste and creed played a role, but in several groups affinity relationship and economic homogeneity were stronger; as a result, several groups included different castes and creeds. From the time that the first SHGs emerged in 1985 to the inclusion of the SHG strategy in the annual plan for 2000/01 (Government of India, 2000), several important steps were taken by the National Bank for Agriculture and Rural Development (NABARD), the Reserve Bank of India (RBI) and leading NGOs, as well as by multilateral agencies, particularly IFAD. The SHG strategy is an important component of the Government's overall thrust to mitigate poverty and has been included in every annual plan since 2000.

SUGGESTIONS

1. There is no male SHG in the study area. The promotion of the male SHG can be suggested in the study area.

2. Family planning awareness must be given to the group members as majority of them have 4-6 members in their family.

3. Make each and every member of the group to attend the meeting regularly.

4. Motivate the group members.

5. Strict action should be taken for not attending the meeting.

6. Necessary steps should be taken to deposit the collected amount in nationalized and co-operative banks to promote rural development.

7. Steps should be taken to make all the group members to attend the self employment-training programme promptly.

8. Self-employment training programme should be suited to the surrounding environment.

9. The groups must make use of the loan amount efficiently.

10. The number of self-employment activities should be increased.

11. There should be adequate co-ordination within the group.

12. The government authorities can promote the marketing of goods at state level.

13. Self help group mainly concentrated on pickle making business. Self-Help Groups should give keen attention on other areas in order to increase the diversification of business, which may earn higher profit to them.

14. Women's development is mainly depends upon their income level. Nowadays most of the women's are join in Self-Help Groups and do their job. From the study, the produced products mainly selled in village town and district. They are not concentrated on state level marketing. It may because of non co operation from the other states or lake of finance. So the central government should give appropriate co ordination to self help group do get loan from the nationalized bank and also each and every state should co operate them selves to allow the sales of products of other state self help groups.

15. Government should arrange most members of training program and way of presenting advertisement and also the government channels can broadcast the self help group advertisement with meager amount or at free of cost. Which may help them to advertise their product easily with lower amount. The public also may know about the product through advertisement.

16. Most of the Self-Help Groups are following direct selling method to sell the products. It may because of non preference by the shop keepers. The government can give subsidies to the shop keepers and also to other purchases like shopping malls, big bazaar's etc., It may increase the sales of products.

17. Government should take necessary steps to increase the sales of self help groups. Government should assure the purchase of certain products such as Seri culture handy crafts etc., which may increase the income self help group members. The government should take necessary action to increase the number of Self-Help Groups in order to increase the women empowerment. Government should allot adequate fund to do the small scale businesses such as preparing paper cups etc.,

Self-Help Groups are created with the aim of women empowerment. It is only possible through encouraging Self-Help Groups in several small scale industries. From the above study make known that most of Self-Help Groups are involving sum self employment activities and market their products. Still they are in need of government support to improve their activities. If the governments do that defiantly their economic level can be improved.