This study is to show the analysis of the situation of the Macedonian textile companies as per the criteria’s for getting the European Quality Award: leadership, policy and strategy, staff management, resources, processes, customer satisfaction, employee satisfaction, impact to the company, business results etc. These criteria are used to evaluate what will be their position when they will compete for the European prize for quality. The results showed weak development in terms of the criteria, for that reason this study is proposing guidelines and recommendations for increasing the competitiveness of textile companies and their restructuring to catch up with the latest global trends