401 - Strategic Management

1. Describe the steps involved in SWOT analysis?

While undertaking a SWOT analysis of your organization you can follow the following major
steps of SWOT analysis. Such as:-

1. Analyze the external environment

2. Analyze the industry and competition
3. Identify the external opportunities and threats
4. Analyze the internal environment and identify the internal strengths and weaknesses
5. Assess the attractiveness of the organization’s situations and draw conclusions regarding the
need for strategic action.

2. Write about Strategy formulation and explain business level Strategy.

Strategy formulation:
Strategy formulation is the process of determining and establishing the goals,
mission and objectives of an organization, and identifying the appropriate and best
courses or plans of action among all available alternative strategies to achieve them.

business level Strategy

Michael Porter, a professor at Harvard Business School, is widely regarded as the Father of
Corporate Strategy. According to Porter, there are three types of business-level strategy any
organization can pursue to gain an advantage over its competitors. These are cost leadership,
differentiation and focus.

five generic business-level strategies in turn.

 Cost Leadership Strategy. ...
 Differentiation Strategy. ...
 Focused Cost Leadership Strategy. ...
 Focused Differentiation Strategy. ...
 Integrated Cost Leadership/Differentiation Strategy.

3. What are out scouring Strategies?

The Strategy Scoring Matrix is an easy-to-use tool for small or large businesses to score their
projects and determine the value of investing limited resources. The process helps to manage
those limited resources. The matrix discussed here focuses on six items and can be adapted to
fit your business.

1. Strategic Fit
 2. Market Attractiveness
3. Competitive Advantage
4. Technical Feasibility
5. Financials
6. Risks
4. Explain about Strategy evolution and its control.

The Evolution of Strategy

Strategy evaluation is that phase of the strategic management process in which top
management try to assure that the strategy formulated is being properly
implemented and is meeting its objectives of the enterprise. A follow through on
strategy and at implementation requires a control system and effective information
system, which provides managers with accurate and complete feedback in real-
time so that they can act on the data.

PROCESS OF STRATEGY EVALUATION OF CONTROL

1. Determine what to measure

2. Establish Standards of Performance:

3. Measure Actual Performance

4. Compare Actual Performance with the standard

5. Take Corrective Action

5. Explain about redesigning organizational structure.

Five Steps to Redesigning Your Organization

1) Ensure all your stakeholders understand your new strategy
2) Define the functions necessary for success
3) Identify the capabilities required to achieve your new strategy
4) Assess your talent
5) Shape your processes and culture
 402 - Business Intelligence

1. Explain the process of business performance measurement.

Business process performance measurements:

 Specific
 Measurable
 Attainable
 Relevant
 Time-based

2. What is business analytics and how it helps in current situations

business analytics

Business analytics combines the fields of management, business and computer science. The
business aspect requires both a high-level understanding of the business as well as the practical
limitations that exist. The analytical part requires an understanding of data, statistics and
computer science

a real life example of business analytics:

1. Fast-food companies have begun to implement business analytics to streamline their
restaurants. No one wants to have a slow experience in a fast-food drive-thru. By
monitoring how busy the drive-thru is these businesses can increase efficiency during
peak hours. When the line gets long, the digital order boards change.
2. Casinos have embraced business analytics to improve their profits and keep customers
coming back. Casinos have a complicated relationship with their customers. Though the
house wins most of the time, players need to win enough to enjoy themselves and keep
playing. Otherwise, players would quickly lose interest and stop coming back.

3. What is data visualization, explain in brief.

Data visualization is the graphical representation of information and data. By

using visual elements like charts, graphs, and maps, data visualization tools
provide an accessible way to see and understand trends, outliers, and patterns in
data.

Pros of Data Visualization

 1. Better understanding

2. Easy sharing of information

3. Accurate analysis

4.What are the managerial issues related to BI implementation

6 business intelligence challenges that every organization faces

1: Lack of BI Strategy
2: Business Intelligence when you don’t know how to code
3: Lack of Training & Execution
4: Lack of BI impact (Low utilization)
5 Business Intelligence with unstructured data
6 Installation and Deployment

5. Explain about RFID.

RFID (radio frequency identification) is a form of wireless communication that

incorporates the use of electromagnetic or electrostatic coupling in the radio
frequency portion of the electromagnetic spectrum to uniquely identify an object,
animal or person. Use cases for RFID technology include healthcare, manufacturing,
inventory management, shipping, retail sales and home use.

403 - Supply Chain Management

1. Explain about, the role of transportation in supply chain.

Transportation refers to the movement of product from one location to another as it makes
its way from the beginning of a supply chain to the customer. This requires a new broad look
at the business of transportation supply chain, including supply chain management, logistics,
and procurement. Many manufacturers and retailers have found that they can use state of the
art supply chain management to reduce inventory and warehousing costs while speeding up
delivery to the end customer.
2. Explain about types of warehouses and their operations.
1. Private Warehouses:
These are owned and managed by the channel suppliers (manufacturers/traders) and resellers and
are used exclusively for their own distribution activities.

Examples:
(a) Warehouses constructed by farmers/producers near their fields/places of work.

2.Public Warehouses:
These warehouses are owned by government and semi government bodies and are made
available to private firms to store goods on payment of rent.

Example

before festivals or before marriage seasons, retailers may order extra merchandise to avoid ‘out
of stock’ situations. These warehouses are typically regulated by the government bodies.

3. Bonded Storage:
These warehouses are owned, managed and controlled by government as well as private
agencies. Bonded warehouses are storage facility used to store imported goods for which import
duty is still to be paid. The bonded warehouses run by private agencies have to obtain license
from the government .

4.Co-operative Warehouses:
As the very name implies, these warehouses are owned, managed and controlled by co-operative
societies. These societies provide storage facilities on the most economical rates to their
members only. The basic purpose to run such warehouses is not to earn profit but to help their
members.

5. Distribution Centres:
These warehouses basically by nature, serve as points in the distribution system at which goods
are procured from different suppliers and quickly transferred to various customers. These centers
provide computerized control, which make movement of goods quick, fast and reliable .

3. Explain about role of it in supply chain management.

Role of Technology in Supply Chain Management

A new generation of shopping options through eCommerce and mCommerce has made supply chain
management a vital area of concern for many businesses. It is particularly critical for manufacturing
companies, which are heavily dependent on the supply chain partners to deliver their products.
Manufacturers, suppliers, retailers, shippers and distributors are the major stakeholders in the supply
chain of manufacturing companies, which ends with product delivery to the customer. With an increasing
emphasis on technological advancements, as well as the changes in customer expectations, the need for an
integrated supply management has become increasingly important. For manufacturing companies to build
substantial customer bases, digitization of business processes has become more of a necessity than a
value-add proposition. This has increased the requirement for creating a digital environment that
seamlessly integrates the operations carried out by various entities in the supply chain. Technological
advancements now enable businesses to build end-to-end supply chain solutions that speed up processes
and avoid bottlenecks in the supply chain. Interestingly enough, real time or near real time information is
the key factor in supply chain management. Supply chain management software is designed to manage
and enhance the exchange of information of across various key supply chain partners to attain such
outcomes as just-in-time procurement, reduction of inventory, increase of manufacturing efficiency and to
meet customer needs in a timely fashion. Oftentimes, these technology solutions enable companies to
attain some level of on-demand or mass customization in the production cycle.

3. Explain the role and importance of distributors in SCM

importance of distributors in SCM

While there might seem to be an incentive to purchase MRO products direct from the factory that manufactures

them, seemingly “cutting out the middleman”, the hidden costs of doing so will inevitably far outweigh any short-

term cost savings.

To understand the importance of a distributor’s role in the supply chain, let’s first take a look at why one may want

to purchase products directly from a manufacturer. Often times, people are more inclined to acquire products from

manufacturers when there is a need for routine products that are bought in the same quantities at regular intervals.

Because the support for such products is so minimal, you may instinctively ask yourself, “Why pay a distributor a

margin when I know what I want, and want it for the lowest price?”From manufacturers’ perspectives, factories are

built to make goods and ship them in large quantities.

Role of Distributors in SCM Distributors play a vital role in smoothly connecting

manufacturers and customers. They can expedite response times, enhance a company's reach,
and even create value-added packages that complement a company's product offering or scope.
4. Explain the Relationship Management with suppliers ,customers and
employees

For a positive growth of business all customers have to depend, directly or

indirectly, on good and reliable suppliers. Apart from their expectations from
the supplier the customers also need to be loyal to them so as to strengthen their
relationship. Therefore customers should work on building a strong and long-
lasting supplier relationship as they do with their own customers. And it is not a
complicated process.

The lapses and diversions on the part of the suppliers can affect their relationship
in many ways as given below:

Satisfaction: The customer expects overall attention and convenience in all

departments to ensure smooth fulfillment of his needs.

Competitiveness: Customers assess the supplier through competition based on the

pricing and quality of their products, its reliability, its technological background
and industry trends. These factors affect the deal.

Innovation: It is difficult for the supplier to divert the customer from their quality
assessment.

Finance: Suppliers have to be ready for providing financial advantages as loan,

extended terms on purchases and postponement of debt when demanded by their

On the other hand suppliers also have a right to get their needs met as they are
ultimately motivated by profitTherefore it is only win-win relationships
between them in all stages of the customer-supplier chain to produce total
satisfaction. It should be remembered that a customer assumes his name only in
relation to his supplier.

404 - Investment Management (Finance)

1.Explain abut capital assert pricing model

The Capital Asset Pricing Model (CAPM) describes the relationship between systematic risk
and expected return for assets, particularly stocks. CAPM is widely used throughout finance for
pricing risky securities and generating expected returns for assets given the risk of those assets
and cost of capital.

Understanding the Capital Asset Pricing Model (CAPM)

The formula for calculating the expected return of an asset given its risk is as follows:

&ER_i = R_f + \beta_i ( ER_m - R_f )

{where:}

ER_i = {expected return of investment}

Rf = {risk-free rate}

beta_i = {beta of the investment}

(ER_m - R_f) =t{market risk premium}

2.Write the computational procedure of Sensex and nifty

Process of calculation of Sensex

First, the market capitalization is taken into account. This is done by multiplying all the shares issued
by the company with the price of its stock. Then BSE determines a Free-float factor that is a multiple
of the market capitalization of the company. This helps in determining the free-float market
capitalization based on the details submitted by the company. Then, Ratio and Proportion are used
based on the base index of 100. This helps to determine the Sensex.
How is Nifty calculated?

Nifty is also calculated through the free-float market capitalization weighted method. Just like Sensex,
Nifty also follows a mathematical formula based to know the market capitalization. It multiples the
Equity capital with a price to derive the market capitalization. To determine the Free-float market
capitalization, equity capital is multiplied by a price which is further multiplied with IWF which is the
factor for determining the number of shares available for trading freely in the market. The Index is
determined on a daily basis by taking into consideration the current market value divided by base
market capital and then multiplied by the Base Index Value of 1000.
3.Explain the concept of portfolio return and risk

i. Portfolio Return:
The expected return of a portfolio represents weighted average of the
expected returns on the securities comprising that portfolio with weights
being the proportion of total funds invested in each security (the total of
weights must be 100).

The following formula can be used to determine expected return of a

portfolio:

Applying formula (5.5) to possible returns for two securities with funds
equally invested in a portfolio, we can find the expected return of the
portfolio as below:

ii. Portfolio Risk:

Unlike the expected return on a portfolio which is simply the weighted
average of the expected returns on the individual assets in the portfolio, the
portfolio risk, σp is not the simple, weighted average of the standard
deviations of the individual assets in the portfolios.

ADVERTISEMENTS:
It is for this fact that consideration of a weighted average of individual
security deviations amounts to ignoring the relationship, or covariance that
exists between the returns on securities. In fact, the overall risk of the
portfolio includes the interactive risk of asset in relation to the others,
measured by the covariance of returns. Covariance is a statistical measure of
the degree to which two variables (securities’ returns) move together. Thus,
covariance depends on the correlation between returns on the securities in the
portfolio.

Covariance between two securities is calculated as below:

1. Find the expected returns on securities.

2. Find the deviation of possible returns from the expected return for each
security

ADVERTISEMENTS:

3. Find the sum of the product of each deviation of returns of two securities
and respective probability.

The formula for determining the covariance of returns of two securities

is:
 4. How to identify overpriced and under priced securities

How to know if a stock is overvalued or

undervalued?
1. Price-Earnings Ratio (P/E Ratio) & Earnings Yield (E/P)
It is a ratio of valuing a company which calculated by the measure of its current share price relative to its
earnings per share (EPS).

P/E ratio = Current share price / earnings per share

2. Price to Book Value Ratio (P/B Ratio)

Price to book value ratio is a very handy approach to finding undervalued and overvalued stock. It is also used
to evaluate a company for valuation. Price-to-book value (P/B) ratio is the ratio of the market value of a
company’s shares (share price) over its book value of equity. By book value, we mean the value expressed on
the balance sheet.

P/B Ratio = Stock Price / [total assets – liabilities]

3. EV/EBITDA as a Valuation Measure

EBITDA is a valuation measure to gauge stock undervaluation when a company is being merged or acquired.
It works best in case of M&A situations. Enterprise multiple is a ratio of enterprise value (EV) and EBITDA
which determine the value of a company. It a valuation measure which usually works in the case of power
companies, internet companies, and telecom companies. Because these are the sectors which usually take years
to turn around and make profits. During that time, P/E ratio is not much of any use.

Enterprise Multiple = Enterprise Value (EV) / EBITDA

4. Dividend Yield
The dividend yield is another way to measure if the stock is undervalued or overvalued but to an extent. It is
because the dividend yield is the dividend per share divided by the price per share.

Dividend Yield = Dividend per share / Price per share

5. The Margin of Safety of the Stock
It is rather a new way to gauge the valuation of a company and to know if the stock is undervalued or
overvalued. It comes from Warren’s Buffettology that has gained a lot of popularity in recent times. It is
defined as the gap between the actual intrinsic value of a stock and the actual market price.So, lower the
margin of safety, more undervalued is the stock.

5. Explain the regulations of Mutual funds in India.

Regulation of mutual funds

Mutual funds are regulated primarily by Securities and Exchange Board of India (SEBI). In
1996, SEBI formulated the Mutual Fund Regulation. SEBI is also the apex regulator of capital
markets and its intermediaries. Issuance and trading of capital market instruments also comes
under the purview of SEBI. Along with SEBI, mutual funds are regulated by RBI, Companies
Act, Stock exchange, Indian Trust Act and Ministry of Finance. RBI acts as a regulator of
Sponsors of bank-sponsored mutual funds, especially in case of funds offering guaranteed
returns. In order to provide a guaranteed returns scheme, mutual fund needs to take approval
from RBI. The Ministry of Finance acts as supervisor of RBI and SEBI and appellate authority
under SEBI regulations. Mutual funds can appeal to Ministry of finance on the SEBI rulings.

404 - Consumer Behavior (Marketing)

1.Explain about cross cultural marketing practices

Cross-Cultural Marketing
When an organization does not fully understand another culture, bloopers will inevitably occur.
For example:

 The Swedish furniture giant IKEA unfortunately created the name 'FARTFULL' for one
of its new desks that was to be sold in English-speaking countries. Enough said.
  In other products, companies may include the word 'mist' in the name of the good.
Several examples are a liqueur named 'Irish Mist,' a curling iron called a 'Mist Stick,' and
the British Rolls Royce named the 'Silver Mist.' That is fine when only selling within
English-speaking countries, but when these companies expanded into Germany,
organizations found themselves in a cross-cultural marketing fiasco. 'Mist' translates into
'manure' in German.
 'Traficante' is the name for an Italian mineral water. When the company expanded into
Spain, they realized the importance of cross-cultural marketing. In Spanish, the word
translates as 'drug dealer.'

2.Explain about split-brain theory.

Split-brain or callosal syndrome is a type of disconnection syndrome when the corpus

callosum connecting the two hemispheres of the brain is severed to some degree. It is an
association of symptoms produced by disruption of, or interference with, the connection between
the hemispheres of the brain. The surgical operation to produce this condition (corpus
callosotomy) involves transection of the corpus callosum, and is usually a last resort to treat
refractory epilepsy. Initially, partial callosotomies are performed; if this operation does not
succeed, a complete callosotomy is performed to mitigate the risk of accidental physical injury
by reducing the severity and violence of epileptic seizures. Before using callosotomies, epilepsy
is instead treated through pharmaceutical means after surgery, neuropsychological assessments
are often performed.
After the right and left brain are separated, each hemisphere will have its own separate
perception, concepts, and impulses to act. Having two "brains" in one body can create some
interesting dilemmas. When one split-brain patient dressed himself, he sometimes pulled his
pants up with one hand (that side of his brain wanted to get dressed) and down with the other
(this side did not). He also reported to have grabbed his wife with his left hand and shaken her
violently, at which point his right hand came to her aid and grabbed the aggressive left hand.
However, such conflicts are very rare. If a conflict arises, one hemisphere usually overrides the
other

3.Explain the steps between evaluation of alternatives and purchase decisions.

1. Need or Problem Recognition

During need or problem recognition, the consumer recognizes a problem or need that could be
satisfied by a product or service in the market.

Problem Recognition is the first stage of the buyer decision process.

2. Information Search

Once the need is recognized, the consumer is aroused to seek more information and
moves into the information search stage.

The second stage of the purchasing process is searching for information.

After the recognition of needs, the consumers try to find goods for satisfying such
needs. They search for information about the goods they want.

3. Evaluation of Alternatives

With the information in hand, the consumer proceeds to alternative evaluation, during
which the information is used to evaluate” brands in the choice set.

Evaluation of alternatives is the third stage of the buying process. Various points of
information collected from different sources are used in evaluating different alternatives
and their attractiveness.

4. Purchase Decision

After the alternatives have been evaluated, consumers take the decision to purchase products and
services. They decide to buy the best brand.

But their decision is influenced by others’ attitudes and situational factors.

5. Post-Purchase Evaluation

In the final stage of the buyer decision process, postpurchase behavior, the consumer takes action
based on satisfaction or dissatisfaction.

In this stage, the consumer determines if they are satisfied or dissatisfied with the purchasing
outcome. Here is where cognitive dissonance occurs, “Did I make the right decision.”
4. Explain the behavior of post-purchase.

Post-Purchase Behavior

All the activities and experiences that follow purchase are included in the post purchase
behavior. Usually, after making a purchase, consumers experience post-purchase dissonance.
They sometimes regret their decisions made. It mainly occurs due to a large number of
alternatives available, good performance of alternatives or attractiveness of alternatives, etc.
The marketers sometimes need to assure the consumer that the choice made by them is the right
one. The seller can mention or even highlight the important features or attributes and benefits of
the product to address and solve their concerns if any.
A high level of post-purchase dissonance is negatively related to the level of satisfaction which
the consumer draws out of product usage. To reduce post-purchase dissonance, consumers may
sometimes even return or exchange the product.

5. What are the models of CB.

Models of Consumer Buying Behaviour
1. Traditional models Economic model:
The economic model of consumer behavior focuses on the idea that a consumer's
buying pattern is based on the idea of getting the most benefits while minimizing costs.
2. Learning model: This model is based on the idea that consumer behavior is governed
by the need to satisfy basic and learned needs. Basic needs include food, clothing
and shelter, while learned needs include fear and guilt. Thus, a consumer will have a
tendency to buy things that will satisfy their needs and provide satisfaction. A
hungry customer may pass up on buying a of jewelry to buy some food, but will
later go back to purchase the jewelry once her hunger is satisfied.
3. Psychoanalytic model: The psychoanalytical model takes into consideration the fact
that consumer behavior is influenced by both the conscious and the subconscious
mind. The three levels of consciousness discussed by Sigmund Freud (id, ego and
superego) all work to influence one's buying decisions and behaviors. A hidden
symbol in a company's name or logo may have an effect on a person's subconscious
mind and may influence him to buy that product instead of a similar product from
another company.
4. Sociological model: The sociological model primarily considers the idea that a
consumer's buying pattern is based on his role and influence in the society. A
consumer's behavior may also be influenced by the people she associates with and
the culture that her society exhibits.