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Manufacturing industry plays an important role in India by generating jobs and contributing towards economic stability by exporting various types of products and services. In last few years many industries came in to existence and some foreign firms shifted their base in the country. The entry of foreign giants in to its own domestic market increased the competition. Due to this competition companies try to contend with each other by providing better products and services to the customers. In this situation core functional competencies help companies in various forms to perform well and improve their competitiveness in the market.