How to improve the future of the portuguese handicraft: a case study of Arraiolos rugs

Abstract

Arraiolos rug is a Portuguese handicraftproduced since the 16thcenturyin the small village of Alentejo that gave it the name.Nowadays, this industry faces a period of recession, since the amount obtained with sales is not enough to cover the costs of production and to pay properly to embroiderers. The large reduction in the number of stores during the last few years indicates that the sustainability of this cultural manifestation is in danger; therefore, this Work Project aims to better understand this scenario and provide suitable recommendations to attract both customers and labor force.The research methodologywas mainly qualitative, includingin-store observations and short interviews tolocal embroiderers, store owners and people linked to the business.With this information, it was determined the attractiveness of each group of customers and, based on that, it was possibleto select the target and design the marketing plan accordingly. Moreover, recommendations for a structural reformulation were provided to complement the marketing strategy in improving the business performance.