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PIMT
Journal of Research
Volume-13, No-3 (B) (April-June) 2021
ISSN No: 2278-7925 UGC Care Listed Journal
PATRONS
Sh. Naresh Aggarwal, Chairman
Sh. Raj Kumar Goyal, President
Sh. Nitin Saggar, Secretary
EDITOR –IN- CHIEF
Dr. Manisha Gupta, Director
Published By
Punjab Institute of Management & Technology
(Estd. In 1997, Approved by AICTE, New Delhi, Affiliated to IKG PTU, Jalandhar)
(Near GPS, Mandi Gobindgarh) Vill. Alour, Khanna -141401, Distt, Ludhiana, Punjab, India
PUNJAB INSTITUTE OF MANAGEMENT & TECHNOLOGY
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The PIMT Journal of Research (PIMT JR), a peer-reviewed refereed journal, started in March, 2008 is the Quarterly publication
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EDITORIAL BOARD ISSN No: 2278-7925

PATRONS
Sh. Naresh Aggarwal, Chairman
Sh. Raj Kumar Goyal, President
Sh. Nitin Saggar, Secretary
EDITOR –IN- CHIEF
Dr. Manisha Gupta, Director
EDITORIAL TEAM
Dr. Neha Mahajan , Editor
EDITORIAL ADVISORY BOARD

Dr. Rajib Doogar, University of ILLINOIS, USA
Dr. Jeremy Cripps, Heidelberg College, Ohio, USA
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Dr. Mahesh Joshi, RMIT University, Melbourne, Australia
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Dr. Khwaja Amjad Saeed, Pro Vice- Chancellor (Retd.), University of Punjab, Lahore, Pakistan
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Prof. Ajay K.Rajan, MD University, Rohtak
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Prof. Raghbir Singh, GND University, Amritsar
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Prof. M.K. Jain, Kurushetra University, Kurushetra
Prof. P.K Sharma, Director, Kota Open University, Kota (Rj.)
Prof. D.P.S. Verma (Retd.), Delhi University, Delhi
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Dr. S.K Mishra, Registrar & Head –Centre of Continuing Education, Dr. B.R Ambedkar National Institute of
Technology, Jalandhar, Punjab
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CMA (Dr.) Rajni Bansal, Assistant Professor, Chitkara Business School, Chitkara University, Rajpura, Punjab
Dr. Dinesh Tondon, Assistant Professor, Chitkara Business School, Chitkara University, Rajpura, Punjab
©All rights reserved with Punjab Institute of Management & Technology, Vill. Alour, Khanna, Distt. Ludhiana, Punjab, India
Published by Dr. Manisha Gupta, on behalf of Punjab Institute of Management & Technology, Vill. Alour, Khanna Distt. Ludhiana.
Printed by National Press Associates, New Delhi
From the Editor’s Desk
I am pleased to place before the readers this issue Vol-13, No.3 (B) (April-June) of PIMT Journal of
Research (UGC Care listed Journal), a publication of Punjab Institute of Management and Technology,
Village Alour, Khanna. The response from the contributors of research articles has been overwhelming. The
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versatility in the methodology adopted in their research work.
We also express our gratitude to the reviewers of the various articles and contributors of the doctoral
dissertation abstracts for giving their valuables contributions, comments and the suggestions for the
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Journal of Research.
Our commitment to the cause of promoting high quality research work in multidisciplinary areas that will
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The Chairman Sh. Naresh Aggarwal, President Sh. Raj Kumar Goyal, Secretary Sh. Nitin Saggar, and other
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extremely grateful to them for their continued guidance and support.
Dr. Manisha Gupta

Editor-in-Chief
PIMT, Alour, Khanna
CONTENTS
1. IMPACT OF DEVELOPMENT-ORIENTED HR PRACTICES ON ORGANIZATIONAL PERFORMANCE IN

INFORMATION TECHNOLOGY INDUSTRY
Aslam Hasan, M. Ashraf Ali 1
2. JOB RESOURCES AND WORK ENGAGEMENT: MEDIATING ROLE OF JOB SATISFACTION

Raghavendra Prasanna Kumar, Poorna Raghavendra M.V, V.Murugaiah 6
3. AN EMPIRICAL STUDY ON SUCCESSION PLANNING & PRACTICES IN FAMILY BUSINESS

Surendra Kumar 11
4. AN ANALYTICAL CLOSED FORM SOLUTION BASED ON BLACK-SCHOLES MODEL WHICH

FOLLOWS TRUNCATED NORMAL DISTRIBUTION FOR PRICING THE AMERICAN PUT OPTIONS
Akash Singh, Ravi Gor 16
5. AWARENESS AND UNDERSTANDING OF XBRL IN INDIA: AN EXPLORATORY STUDY OF

CHARTERED ACCOUNTANTS
Manjinder Singh, Navninderjit Singh 22
6. DIGITAL MARKETING EFFECTIVENESS STUDY: A SPECIAL FOCUS ON PROMINENT FUTURISTIC

TOOLS OF DIGITAL MARKETING FOR INDIAN HOTELS
Amol Kumar, Asif Ali Syed, Ajay Singh 28
7. A STUDY OF THE AWARENESS AND COMPLIANCE OF GOODS AND SERVICES TAX (GST) AMONG
DIFFERENT SMALL BUSINESSES IN GOA
Gajanan B. Haldankar, Santosh Patkar 35
8. WORK LIFE BALANCE: AN OVERVIEW

Parminder Walia 40
9. IMPACT OF PERFORMANCE MANAGEMENT SYSTEMS (PMS) ON EMPLOYEE ENGAGEMENT

Deepika Singla, Ramneek Kaur 43
10. EFFECTS OF GREEN ADVERTISING ON CONSUMER BEHAVIOR TOWARDS GREEN PRODUCTS: A

SPECIAL REFERENCE TO GHAZIABAD DISTRICT
Farah Tazeen, N.H. Mullick 50
11. THE PESTER POWER LEVEL IN AUTOMOBILE ADVERTISEMENTS-AN EMPIRICAL PERSPECTIVE

Gargi Sarma, C.K. Nath 55
12. GROWING IMPORTANCE OF AFTER SALE SERVICE IN INDIAN AUTOMOBILE SECTOR: A REVIEW
OF STUDY
Bhushan Kumar Chawla , Balbir Singh 59
13. AN EMPIRICAL STUDY OF CONSUMERS’ PERCEPTION AND ACCEPTANCE TOWARDS GREEN

CONSUMER DURABLE PRODUCTS IN DELHI/NCR
Shweta, Md. Shahnawaz Abdin 63
14. INTELLECTUAL CAPITAL AND FIRM PERFORMANCE: A SYSTEMATIC LITERATURE REVIEW

Shashi Kapoor 69
15. RETENTION OF EMPLOYEE USING TAGUCHI LOSS FUNCTION

Pratya Mishra, Rajesh Singh, Gaurav Yadav 75
16. A CRITICAL ANALYSIS OF PERFORMANCE OF AGRO BASED INDUSTRIES IN INDIA

Veena, Vimal Parkash, Sita Dagar 81
17. A STUDY ON WORK LIFE BALANCE AMONG FEMALE TEACHERS IN HIGHER EDUCATION (WITH
SPECIAL REFERENCE TO SELECTED INSTITUTES & COLLEGES IN PUNJAB)
Richa Sharma, BS Bhatia 88
18. FILTER BUBBLE AND SOCIAL MEDIA. AN EMPIRICAL STUDY
Soumyashree N Hegde, Supriya R 93
19. AUDIT COMMITTEE SIZE AND ITS IMPACT ON SHAREHOLDER VALUE

Ritesh Kumar Jain, Rishi Chaudhary 96
20. MEASURE THE RELATIONSHIP BETWEEN PROCESSING AND WORKING MARKETING

CHALLENGES BEING FACED BY TRADITIONAL TEXTILE MANUFACTURERS OF GARHWAL
REGION OF UTTARAKHAND
Sunayana, Manoj Rawat, Surendra Kumar 101
21. STRESS AMONG STUDENTS DUE TO ONLINE LEARNING DURING COVID -19 AND COPING
STRATEGIES
Manisha Verma, Kirti Gupta, Pallavi Chopade 105
22. A STUDY OF INFORMATION TECHNOLOGY INFRASTRUCTURE IN CO-OPERATIVE, NATIONALIZED

AND PRIVATE BANKS
Rupal Choudhary, P. N. Razdan 111
23. AN EMPIRICAL INVESTIGATION ON THE UNDERPRICING OF INITIAL PUBLIC OFFERINGS –

EVIDENCE FROM INDIAN CAPITAL MARKETS
Srilakshmi D, Archana HN 117
24. CONSUMER PERCEPTION TOWARDS E-PHARMACY IN GUJARAT

Khyati Lakhani, Nadiminti Rajesh Kumar 122
25. AN EMPIRICAL APPROACH ON THE EFFECTIVENESS OF THE EMPLOYEE ENGAGEMENT UNDER

THE PROFESSIONAL ISOLATION SETUP
Shikha Singh, Seema Sant 128
26. IMPACT OF INDUSTRIAL ACCIDENTS ON EMPLOYEES BEHAVIOUR AND PRODUCTIVITY

Dilip Nana Aher, Vijay Dhole 134
27. AN EMPIRICAL ANALYSIS OF USAGE OF SOCIAL NETWORKING SITES (SNS) BY JOB SEEKERS IN
RAJASTHAN
Umang Raj, Mahima Rai 139
28. IMPACT OF CELEBRITY ENDORSEMENT ON BRAND PROMOTION

Neha Goyal, Gurcharan Singh Ghotra 144
29. DERIVATIVES FOR MANAGING EXPOSURES: A COMPREHENSIVE REVIEW OF USAGE,

PREFERENCE, REASON AND FIRM VALUE
Rashad. PP, EK. Satheesh 150
30. DYNAMICS OF BOARD INDEPENDENCE FOR LISTED COMPANIES IN INDIA

Rajesh Kumar, Shivani Inder 154
PIMT Journal of Research
Volume-13, No-3 (B) (April-June) 2021 UGC Care Listed Journal
PP: 1-5 ISSN No: 2278-7925
IMPACT OF DEVELOPMENT-ORIENTED HR PRACTICES ON
ORGANIZATIONAL PERFORMANCE IN INFORMATION TECHNOLOGY
INDUSTRY
*
Aslam Hasan **M. Ashraf Ali
*
Research Scholar, Aligarh Muslim University, India
**
Professor, Aligarh Muslim University, India
ABSTRACT
The relationship between development-oriented HR practices and organizational performance has been
underrepresented in the literature. This research sought to better understand the possible linkages of
development-oriented HR practices and organizational performance in IT companies in Bangalore.
Online self-structured questionnaire were sent to employee to collect data (N =178). EFA and multiple
regression were employed to analyze the data. Results suggested that learning and training, performance
guidance and development have positive and significant impact on organizational performance but
career planning and development was found to have insignificant effect on organizational performance.
Finally the suggestions were provide for IT Company’s HR professionals for making strategies.
Keywords: Organizational Performance, learning and training system, performance guidance and
development, career planning and development, and IT industry.
INTRODUCTION
Indian IT-BPM industry is a knowledge-based industry as performance and remain successful in the dynamic
knowledge, skills, and attitude are essential for IT environment. Human resource are the assets that have the
professionals to achieve the organizational success in the potential to give competitive advantages to the
era of globalization, digitization and market penetration. organizations and make them successful. Because they are
This sector plays a unique role in India's development and regarded as true business agent who are responsible for
growth because it has contributed significantly to GDP, utilization of all other resources, whether tangible or
exports, software and service development, and intangible (Sveiby, 2001). Knowledge-based organizations
employment. According to NASSCOM report, in the fiscal more especially the information technology companies
year 2020, the IT-BPM sector has contributed a share of 7.7 need specialized and skilled human resource to achieve
per cent to India's GDP and expected to contribute 10% in their goals of becoming high performer organization in
2025. Further, IT-BPM export grew at a rate of 8.3% dynamic environment. Therefore, these organization try to
reached to $136 billion, and more than 4 million people got maintain pools of highly skilled employees that can only be
employment in 2019, making it the biggest employment possible if the companies invest appropriate part of their
creators in India. To remain competitive and successful in budget to the development-oriented HR practices for
the dynamic environment, IT organization need develop developing their employees in term of knowledge, skills,
their employees and make them updated with the latest and attitude. In this study, we are going to examine the
technology. The foremost objectives of every organization impact of development-oriented HR practices on perceived
whether large or small, is to improve organizational organizational performance in Indian IT industry.
THEORETICAL BACKGROUND AND (Holton III, 2000). Along the same line, Werner &
Desimone, 2006 define human resource development
LITERATURE REVIEW
practices as “these are programs designed strategically
DEVELOPMENT-ORIENTED HR PRACTICES toward an organizational process for managing the
development of employees so as to contribute to the overall
Development-oriented HR practices are those HRM
success of the organizations”. Rao, 2008 has taken learning
practices that help to develop employees in term of
and training system (LST), performance guidance and
knowledge, skills, and attitude. In professional term, these
development (PGD), and career planning and development
practices are known as human resource development
(CPD) one most crucial HRD practice to develop
practices. HRD practices are the set of practices, whether employees.
formal or individual, designed and implemented to enhance
employees' potential contribution to the organization ORGANIZATIONAL PERFORMANCE (POP)
Organizational performance is multi-dimensional construct context. Choosing the criteria depends upon the objectives
and not easy to define. Researchers define the construct and aims of the particular organization. According to Kim,
differently taking financial, operational, and market 2004 organizational performance is the efficient and
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PP: 1-5 ISSN No: 2278-7925
effective operation of the organization in performing its style on organizational performance. Results suggested that
administrative and operational duties and the extent to democratic, autocratic, and transformational leadership
which it produces the actions and results as directed by the styles have positive and significant impact on
institution. It is the extent of success to which the organizational performance while transactional, charismatic
organization reaches its aims. and bureaucratic leadership style negatively impacted
organizational performance. Domínguez-Falcón et al., 2016
PRIOR STUDIES
examine impact of high commitment HR practices on
Substantial researches found on various antecedents of organizational performance through mediating role of
organizational performance. Some of the latest one are manager's and supervisor's satisfaction and commitment.
presented as below: Data was collected from 68 managers and 296 supervisors
working in 4 and 5 star hotels in Canary Island, Spain.
Several studies found various antecedents of organizational Findings disclosed that high commitment HR practices
performance such as impact of organizational climate have positive and significant effects on satisfaction and
(Berberoglu, 2018), knowledge management, decision
commitment of managers and supervisors. Study further
making style (Abubakar et al., 2019), organizational
revealed that manager‟s satisfaction and commitment did
culture, organizational commitment (Nikpour, 2017). Otoo,
not have any impact on organizational performance while
2019 investiagted the impact of human resource
supervisor‟s commitment and satisfaction have significant
management practices on organization performance contribution to the organizational performance.
through mediating role of employee competence. Data
collected from 600 employees working in 1 to 5 star hotels Sung & Choi, 2014 investiagted the impact of four distinct
of Ghana. Study disclosed that HRM practices such as dimensions of HRD (including quantitative and qualitative
recruitment and selection, training and development, and approuches) on organizational performance taken the
employee participation significantly impacted employee management and employees perspective. Data collected
competence while career planning and performance from 207 manufacturing companies to confirm evidently
appraisal have insignificant impact on employee the prosposed hypotheses. Study revealed that quantitative
competence. Results further revealed that employee dimensions of HRD namely resource investment in HRD
competence significantly impacted organizational and employee exposer to HRD, impact significantly
performance and HRM practices have significant impact on employee commitment that results in improved financial
organizational performance through mediation of employee performance of the organizations, while qualitative
competence. Data collected from Iraqi telecommunication dimensions of HRD, namely management support for HRD
company‟s employees. The study revealed that HRD and perceived benefits of HRD, improve employee
practices such as career development, performance commitment and employee competence that determine the
appraisal, and training and development have positive and financial performance of organizations.
significant effect on human capital that determine the
RESEARCH GAP
organizational performance.
From the previous literature, we found that there is scare
Uraon & Gupta, 2019 investigated impact of HRD
studies on employee‟s perceived organizational
practices on perceieved operational performance and
performance in Indian IT industry. Secondly, previous
market performance in the software companies of India.
studies determine various HRM practices as antecedents of
Collected data from 516 employees working in 37 software
organizational performance, however, few studies
companies. Findings revealed that HRD practices have
considered employee‟s perceived development-oriented HR
direct and significant impact on market performance and
practices as the antecedents of employee‟s perceived
operational performance. Furthur, study revealed that
organizational performance, more specifically in Indian IT
operational performance played a mediating role between
industry context. The address these gap, this study
HRD practices and market performance relationship. Al
formulated the following objectives.
Khajeh, 2018 examine the impact of various leadership
LST
CPD POP
PGD
Figure 1. Conceptual Model
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PP: 1-5 ISSN No: 2278-7925
OBJECTIVES OF THE STUDY RESEARCH METHODOLOGY
Main objective of the study is to examine the impact of Respondents of this study were the employees working in
development-oriented HR practices on perceived IT companies situated in Bangalore. Judgement sampling is
organizational performance in Indian IT industry which is adopted in selecting IT companies and Convenience
sub-divided into following objectives; sampling technique is used to collect responses. Study
sample comprised of 178 employees working as software
1. To examine the impact of learning and training
engineer and developers, IT analysts, and administrative
system on perceived organizational performance.
personnel with qualifications in engineering and
2. To examine the impact of performance guidance
management. To collect responses from employees, online-
and development on perceived organizational
structured questionnaires in google form were sent to 350
performance.
employees through e-mail and WhatsApp contacts, 178
3. To examine the impact of career planning and
responded to the online questionnaires which generate a
development on perceived organizational
response rate of 50.85%, and considered for further
performance.
analysis. Sample of 178 respondents consisted of 80.3%
HYPOTHESES OF THE STUDY males and 19.7% females, with majority (55.1%)
belonging to the age group of 25-29 years, 7.9% to the age
Main hypotheses of this study is „there is a positive and
group of 20-24 years, 28.7% to the age group of 30-34
significant impact of development-oriented HR practices on years, and 8.4% to the age group of 35 years and above.
perceived organizational performance‟ that has been Approximately 23% respondents have 2-3 years of tenure,
divided into three sub-hypotheses
12.4% of respondents working for 4-5 years, respondents
H1: There is a positive and significant impact of learning with less than 2 years of attachment with the organization
and training system on perceived organizational are 43.8%, only 9% of respondents had highest tenure with
performance. organization which was above 8 years, and 11.8% of
respondents were working for 6-7 years with organization.
H2: There is a positive and significant impact of 38.8% of respondents were postgraduates, and 61.2% were
performance guidance and development on perceived undergraduate. The summary of respondents profile is
organizational performance. shown in Table1.
H3: There is a positive and significant impact of career Exploratory factor analyses (EFA) and multiple-regression
planning and development on perceived organizational was employed to analyze and tested proposed hypothesis.
performance.
MEASUREMENTS OF VARIABLES
Table 1. Respondents Profile
Demographic Variable Frequency Percentage
Age (Years) 20-24 14 7.9
25-29 98 55.1
30-34 51 28.7
35 and above 15 8.4
Gender Male 143 80.3
Female 35 19.7
Educational Qualification Graduate 109 61.2
postgraduate 69 38.8
below 2 78 43.8
2-3 41 23.0
Tenure with organization (Years) 4-5 22 12.4
6-7 21 11.8
8 and above 16 9.0
Total 178 100.0
All the development-oriented HR practices were measured asked to provide their opinion on the performance
using scale provided by T. V Rao, 2008. Respondents were indicators of their organization during last 3 years as
asked to provide their level of satisfaction on 5-point scale compared to other organization in the same industry, on 5-
ranging from strongly disagree (denoted by 1) to strongly point scale ranging from worst (denoted by 1) to best
agree (denoted by 5). 6-items of LST, 6-items of PGD, and (denoted by 5).
5-items of CPD practices were used, which generated the
EXPLORATORY FACTOR ANALYSIS
Cronbach‟s alpha above threshold limit of 0.6 as shown in
table3. EFA was employed to assess the dimensionality and
reliability of the development-oriented HR practices. It was
POP was measured using 7-items scale given by Delaney,
address to validate the three-factor structure of the
1996 whose Cronbach's alpha was 0.92. Respondents were
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PP: 1-5 ISSN No: 2278-7925
development-oriented HR practices scale in the context of test of Sphericity, χ2(136)=2214.782, p<0.000, denoted that
Indian IT industry. Principal component factor analysis the correlations among all items were considerably high to
(PCA) as extraction method and Varimax as rotation perform PCA. The EFA results was disclosed in table2. All
method with eigen value more than 0.70 for extracting values of indictors are above the threshold limit as shown
factors of development-oriented HR practices as provided in table2, hence the extracted factors were used for
by Rao, 2008 was employed. The Kaiser-Meyer-Olkin regression analysis.
sampling adequacy measure was 0.942, with the Bartlett‟s
Table 2. EFA Results

Items Rotated-Component Matrix
Items-Communalities 1 2 3
LST1 .711 .747
LST2 .661 .681
LST3 .663 .670
LST4 .700 .753
LST5 .669 .725
LST6 .665 .708
PGD1 .721 .643
PGD2 .721 .705
PGD3 .712 .734
PGD4 .805 .825
PGD5 .752 .745
PGD6 .746 .759
CPD1 .658 .677
CPD2 .755 .754
CPD3 .700 .756
CPD4 .604 .651
CPD5 .627 .624
Percentage-of-Variance 24.321 24.666 20.838
Kaiser-Meyer-Olkin .942
Bartlett‟s test-of-Sphericity χ2(136)=2214.782 p<0.000
and the SD ranged from 0.84900 to 0.90966. Dependent
MEANS, SD, CORRELATIONS, AND FACTORS variable is POP whose mean score is 3.6164 which were
RELIABILITY considered as moderate. All coefficient of correlation value
showed a positive and significant relation among
Table3 shows means, standard deviations, inter-correlations independent variables (LST, PGD, CPD) and with
and reliability analyses of all the variables taken in this
dependent variable (POP). Reliability coefficients for the
study. Mean value of three dimensions of development-
measures exceeded minimum recommended level of 0.60
oriented HR practices were considered moderate to high,
which was acceptable.
Table 3. Descriptive Statistics, Correlation, and Reliability analyses

Variables Mean Std.Deviation 1 2 3 4
1 POP 3.6164 .83881 .921*
2 LST 3.5028 .84900 .691 .903*
3 PGD 3.5590 .90966 .692 .728 .926*
4 CPD 3.4876 .85408 .649 .743 .748 .876*
* Cronbach‟s Alpha
HYPOTHESIS TESTING
Hypothesis were tested through multiple regression. To industry, F(3,174) = 74.140, p<0.000, shown in Table4.
generalize the results and consistent findings, there are The beta weights, and significant t value as shown in
assumptions of multiple regression. The data fulfill all the Table4, indicate that LST and PGD were positively and
assumption such as lack of autocorrelation, significantly contributed to the POP, supported H1, and H2
homoscedasticity, normally distributed error, no perfect whereas H3 was unsupported as CPD is insignificantly
multi-collinearity. All the criteria were fulfilled during influence POP. Further, effect of PGD (β=0.338, p<0.000)
performing regression. VIF was less than 10 as shown in is slightly larger than LST (β=0.335, p<0.000) as shown in
Table4 (Bowerman and O‟connell, 1990). This Table4. Model accounted for variance in POP 56.1% as R
combination of variables significantly predicted POP in IT squared value was 0.561 as shown in Table4.
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Table 4. Multiple Regression
95.0% Confidence-Interval Collinearity-Statistics
Independent-Variables B Stand-Beta Sig. Lower-Bound Upper-Bound VIF
(Constant) .843 .000 .463 1.222
LST .331 .335 .000 .172 .489 2.628
PGD .312 .338 .000 .163 .461 2.672
CPD .145 .148 .081 -.018 .308 2.798
Note. Model: F(3, 174)=74.140, p<0.000, R2=0.561, and Adjusted R2=0.554
DISCUSSION AND CONCLUSION health services research, 18(1), pp. 1–9.

4. Bowerman, B. L. and O‟connell, R. T. (1990), Linear statistical
The findings of the study confirm H1 by disclosing LST is
models: An applied approach, Brooks/Cole.
directly influence POP. These findings are consistent with
prior study of Delaney, 1996; Otoo, 2019; Uraon and 5. Delaney, J. T. (1996), "The Impact of Human Resource
Management Practices on Perceptions of Organizational
Gupta, 2019. Employees who have opportunity to Performance", The Academy of Management Journal, 39(4), pp.
participate in training and learning programs acquired new 949–969.
knowledge, skills, and attitude that help to improve
6. Domínguez-Falcón, C., Martín-Santana, J. D. and De Saá-Pérez,
perceived organizational performance. H2 also confirm that P. (2016), "Human resources management and performance in the
PGD significantly contributed to the POP which followed hotel industry", International Journal of Contemporary
the findings of Uraon & Gupta, 2019. One of the Hospitality Management, 28(3), pp. 490–515.
unexpected findings of this study is that CPD did not 7. Holton III, E. F. (2000), "On the nature of performance and
directly influence the POP contrary to our proposed H3 learning in human resource development", Advances in
which followed the findings of Otoo, 2019 who found that Developing Human Resources, 2(3), pp. 60–64.
career planning and development have insignificant impact 8. Al Khajeh, E. H. (2018), "Impact of leadership styles on
on employee competence which determine the organizational performance", Journal of Human Resources
organizational performance. This finding is contrary to the Management Research, 2018, pp. 1–10.
findings of Ayanda & Sani, 2010 who suggested that career 9. Kim, S. (2004), "Individual-level factors and organizational
planning and development progrms improve the knowledge performance in government organizations", Journal of public
and skills of employees that were beneficial for individaul administration research and theory, 15(2), pp. 245–261.
and organizational success. 10. Nikpour, A. (2017), "The impact of organizational culture on
organizational performance: The mediating role of employee‟s
IT companies considered the development-oriented HR organizational commitment", International Journal of
practices as strategic measure to develop the employees in Organizational Leadership, 6, pp. 65–72.
terms of knowledge, skills, and attitude. These attributes of 11. Otoo, F. N. K. (2019), "Human resource management (HRM)
employees helps the company to stay competitive in the practices and organizational performance: The mediating role of
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LST and PGD came out as crucial practices as compare to
CPD, that develop the employees and ultimately enhance 12. Rao, T.V. (2008), HRD Score Card 2500 : Based on HRD Audit,
organizational performance. IT companies are knowledge- Response Business Books, SAGE Publications India Pvt Ltd, New
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knowledge, skills and attitude to achieve targeted growth 13. Organizational Behavior, 35(6), pp. 851–870.
and profit. So, this study suggest that HR managers of IT 14. Sveiby, K. E. (2001), "A knowledge-based theory of the firm to
companies should aligned the development-oriented guide in strategy formulation", Journal of Intellectual Capital,
practices like HRD practices with the organizational 2(4), pp. 344–358.
performance goals and invest considerable financial 15. Uraon, R. S. and Gupta, M. (2019), "Do HRD practices affect
resources in these practices to improve and develop perceived market performance through operational performance?
employees to achieve the targeted performance of the Evidence from software industry", International Journal of
Productivity and Performance Management.
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16. Werner, J. M. and Desimone, R. L. (2006) ,Human Resource
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decision-making style and organizational performance", Journal
of Innovation & Knowledge, 4(2), pp. 104–114.
2. Ayanda, O. and Sani, D. (2010), "Strategic human resource
management and organizational effectiveness in the public sector:
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organizational commitment and perceived organizational
performance: empirical evidence from public hospitals", BMC
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JOB RESOURCES AND WORK ENGAGEMENT: MEDIATING ROLE OF
JOB SATISFACTION
*
Raghavendra Prasanna Kumar **Poorna Raghavendra M.V. ***V.Murugaiah
*
Guest Faculty, Institute of Management Studies, Davanagere University, Davangere
**
Guest Faculty, Sahyadri College, Shimoga.
***
Professor, Institute of Management Studies, Davangere University, Davangere
ABSTRACT
The study's main objective is to know the mediation effect of job satisfaction between job resources and
work engagement. Primary Data is collected through structured questionnaires (five-point Likert scale)
from the employees. Overall, three-hundred and fifty-two (352) respondents were chosen from the
service sector, such as hotels, restaurants, and travels in Davanagere district, Karnataka State.
Appropriate statistical tools used, such as simple percentage and correlation matrix, standard deviation,
regression. This study includes involved both descriptive and inferential statistics. The study's findings
demonstrate that job resources have a positive impact on job satisfaction and work engagement. In other
words, job satisfaction fully mediating the relationship between job resources and work engagement.
Keywords: Job resources, Work engagement, Job satisfaction, Hotels, and Restaurants
INTRODUCTION the role of job satisfaction between job resources and
employee engagement based on this concept.
High levels of energy and mental resilience while working
are called vigour. Being actively interested in one's work Successful change occurs at the organizational workgroup
and feeling a sense of importance, passion, and challenge stage, so it can only happen when the company members
are all examples of commitment. Absorption is described as set the bar. Organizations derive the most excellent benefit
being sufficiently concentrated and contentedly absorbed in from employee engagement programs when leaders
one's own work (Schaufeli and Bakker, 2004). Employee incorporate employee engagement into employees'
engagement is distinct from job-related flow and achievement goals and inspire them to achieve those goals.
participation in job-related incentives; work engagement
REVIEW OF LITERATURE
has evolved from job satisfaction. Work-based flow refers
to the most significant experience, encouragement linked to Srivastava (1985) Lazarus (1991) discovered that
engagement, and job satisfaction stands for well-being, occupation tension is a sensible answer to dubiousness,
tremendous work, enjoyment (dedication) with high vague dread, instability, and stress as it respects one or a
activation (vigor, absorption). The Satisfaction- few particular employment components. Examination
Engagement Approach, According to the Gallup shows that actively push is a square to finishing separate
Organization: "The term employee engagement refers to an points making the discrete arranged to unease (Skinner and
individual's involvement and satisfaction with as well as Brewer, 2002). Chen and Spector (1992) contemplate that
enthusiasm for work" (Harter, Schmidt and Hayes., 2002: activity, requests (e.g., job strife, job vagueness,
269) outstanding tasks at hand, and relational clash) were
decidedly identified with representatives' CWBs (e.g.,
Jose G and Mampilly S.R (2014), an exemplary employee
dynamic work environment practices, robbery, and waste
level, demonstrate that members believe their work and job
practices). Demerouti et al. (2001) found under high
events are significant and meaningful. Bakker A.B and
occupation requests (e.g., remaining burden, time weight,
Demerouti E (2008) staff involved are more active than
and work-family strife), representatives' physical quality
those who are not. Employees who are engaged experience
and vitality are expended, conceivably making them feel
positive feelings such as satisfaction, excitement,
that the activity surpasses their abilities (Hakanen et al.,
enthusiasm, enhanced well-being, the ability to build their
2005), which could prompt low employment control
work and personal capital, and the ability to pass their
(Parker, 1998).
commitment to others (p 215). Wright and Cropanzano
(2000) argued that 'happy' workers perform better and that Maslach, Schaufeli, and Leiter, (2001), Maslach et al.
'happiness' should be used to operationalize psychological (2001), Maslach, (2003,) Melamed, Shirom, Toker,
well-being (p.91). Hakanen, Bakker, & Schaufeli (2006) Berliner, and Shapira, (2006), Taris, (2008) burnout is a
said, an increase in performance is possible only from fundamental issue in the mental writing. Research has
reckoned employee engagement. This study will find out exhibited that weariness can result in uneasiness, misery,
drops in confidence, substance misuse, diminished
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execution, and expanded medical issues, and it is likewise structured questionnaire and face-to-face communication
acknowledged as infectious and has an unfavorable methods collect the employees' primary data (five-point
overflow impact on individuals' home lives. Likert scale). To ensure completeness, the authors tested
Maslach et al. (2001) burnout is a psychosomatic event the variables' reliability using Cronbach's alpha before
characterized by delayed exhaustion and a lack of analyzing the results. Before leading the research,
commitment (commonly in the workplace), and it is an respondents obtained permission to evoke interest in the
essential component of worker well-being and authoritative study; the authors approached all the employees and
science. Hierarchical demands and properties have played informed them about its purpose and objectives. Overall,
an essential role in the development of Burnout, and they three-hundred and fifty-two (352) respondents (lower-level
are critical components of the COR hypothesis (Hobfoll, employees) were chosen from the service sector, such as
2002). A few preliminary examinations have set up this hotels, restaurants, and travels in Davanagere district,
relationship is being: for instance, Schaufeli et al. (2002) Karnataka State.
examine, recommend that activity requests could cause
Appropriate statistical tools used, such as simple
work burnout.
percentage and correlation matrix, standard deviation,
Demerouti et al. (2001): Coetzer and Rothmann (2006):
regression.
Hakanen et al. (2008): Kinnunen et al. (2011): Rodriguez-
Muñoz et al. (2012): Friedman (2014): discovered MEASURES
employment requests, for example, time weight, primary
leadership process and long working hours cause for We measured Job resources with seventeen items, with
every three items assessing autonomy, social support,
wellbeing weakness and occupation, assets, for example,
feedback, and growth and development opportunities—five
work control, social help from associates, and equity of the
items assessing coaching. The respondents provided their
boss are going about as a spark and prompts abnormal state
of commitment in the working environment. responses on 5-point Likert scales: the response format for
Hobfoll, Stevan & Johnson, Robert & Ennis, Nicole & P all items was 1= Never, 2= Sometimes, 3= Regularly, 4=
Often, 5= Very Often. The above scales were developed by
Jackson, Anita (2003) communicated that individual assets
Bakker, A.B. (2014). The Job Demands–Resources
are certain parts of the self that allude to people's capacity
Questionnaire, Rotterdam: Erasmus University. An
to control and affect their condition effectively.
example item of autonomy is "Do you have flexibility in
Judge, Van Vianen, and De Pater (2004) said it has
believably uncovered that individual assets have positive the execution of your job?", an example item of social
self-assessments foresee real setting, inspiration, execution, support is "If necessary, can you ask your colleagues for
help?" an example item of feedback is "I receive sufficient
occupation and life fulfillment, and other essential
information about my work objectives," an example item
outcomes.
for opportunities for growth and development is "In my
Hakanen et al. (2006) Xanthopoulou et al., (2007) as needs
work, I have the opportunity to develop my strong points,"
are, undertaking trouble increments and work, excitement
decreases, improving the probability of truancy and and an example item for coaching "I feel valued by my
nonappearance. supervisor." Work engagement measures were taken from
the Utrecht work engagement scale (UWES), Vigor
OBJECTIVES OF THE STUDY measured with six items (e.g., I can continue working for a
very long time). Absorption measured with six elements
In this research, the authors are interested to know the
(e.g., Time flies when I am working). Dedication is
impact of job resources on employee engagement. Further,
measured with five items (e.g., My job is challenging
the study's main objective is to investigate the mediating
enough), as Schaufeli et al. (2002) suggested.
role of job satisfaction between job resources and work
engagement. Job satisfaction was assessed using Scott smith's
questionnaire, and measured Job satisfaction was measured
RESEARCH METHODOLOGY (INCLUDING
with ten items (e.g., I feel encouraged to come up with new
EMPIRICAL MODEL)
and better ways of doing things).
This research aims to collect data and test the hypothesized
relationship between the study variables empirically. A
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Fig.1 Research Model
Job Resources (IV)

Employee
Engagement (DV)
Job Satisfaction
(Mediator)
Source: Based on the literature
DATA ANALYSIS AND RESULTS

Table-1 Mean, Standard Deviations, Internal Consistencies (Cronbach's alphas – on the diagonal in italics)
Sl No. Variables M SD 1 2 3
1 Job Resources 63.46 12.23 (0.90)
2 Work Engagement 64.37 13.76 .96** (0.88)
3 Job Satisfaction 36.58 8.69 .60** .57** (0.81)
Note: Bold and italic numbers are Cronbach alpha values
Source: Prepared by the authors
Table-1 presents the research variables' mean ratings, significant relationship. The internal reliabilities of the
standard deviations, reliability indexes, and correlations; all measures used in this analysis have been summarised, and
scales have suitable reliabilities, and the structures have a each has exceeded the minimum recommendation.
Table-2 Hierarchical regression steps for testing the mediation effect
Steps IV DV R R2 F B SE P
1 Job Resources Work Engagement .96 .93 4746 1.08 .016 .000
2 Job Satisfaction Work Engagement .57 .33 175.2 .91 .069 .000
3 Job Resources Job Satisfaction .60 .37 206.7 .433 .030 .000
Job resources
-0.17 -- 2372
4 Job Satisfaction Work Engagement -0.26 0.028 .348
Note: P<.001 for the first three steps
Source: Authors' calculations
The table-2 reveals the values of hierarchical regression There was a significant relationship between job
steps used to test the mediation effect of job satisfaction satisfaction and work engagement (r = .57, p<0.01), with
between job resources and work engagement. job satisfaction accounting for 33% variance in work
engagement. For every unit increase in job satisfaction,
There is a significant relationship between job resources
work engagement will enhance by 0.91.
and work engagement (r = .96, p<. 01), with job resources
accounting for 93.1% of the work engagement variance. The above variables' relationships are significant, so we
For every unit increase in job resources, work engagement have evidence for the mediated pathway.
will enhance by 1.08.
The last step requires evidence that job satisfaction
There was a significant relationship between Job resources mediates the relationship between job resources and work
and job satisfaction (r =0.60, p<0.01), with job resources engagement. Stepwise multiple regressions show that job
accounting for 37% of the variance in job satisfaction. For resources explain an additional -26% of the variance in
every unit increase in job resources, job satisfaction will work engagement after controlling the job satisfaction
enhance by .433, which so close to one.
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Table-3 Total effects, direct effects and indirect effects of Job resources on Work Engagement
Sl No. Total effect
1 Variables Coeff SE T P
Job Resources + Job Satisfaction + Work Engagement 1.086 .016 68.89 .000
Direct effect
Job Resources → Work Engagement 1.09 .02 55.12 .000
Indirect effect
Job Resources x Job Satisfaction x Work Engagement -.026 .028 -.940 .348
Sources: Prepared by the authors
Table-3 reveals the bootstrap values, i.e., the total effect is being entirely focused on something and experiencing a
significant (P <.01), the direct effect is also significant (P high concentration level while performing a task (Coetzee
<.000), and the indirect effect is insignificant (P=.348) at a & De Villiers, 2010).
1% level of significance. So, complete mediation exists.
Reilly, R (2014) The successful executives know that their
DISCUSSION performance and that of the company rely on their
accomplishments. However, not everyone can be a
Employee job satisfaction is often improved when job
professional president. Good bosses matter about the well-
opportunities are available. It is critical to understand that
being of their employees. We make every effort to consider
job satisfaction, work-related flow, and motivation are
each employee's strengths and provide them with every
critical for successful work engagement. Employee
opportunity to apply those strengths in their work.
involvement is influenced significantly by work
Administrators who are good at what they do inspire their
experience. It is also ideal that the observed connection
employees. Royal K (2019) said coaches inspire staff to
between work experience and organizational engagement is
take on tasks and use their talents to motivate workers.
not due to an employee's age or grade but is independent of
Engaged employees do not need or want a supervisor but
both (Mohapatra M and Sharma Baldev R, 2010).
may receive guidance, assistance, and support from their
To perform better in the workplace, organizations need to supervisors to enhance their performance. Such
motivate employees who relate to job satisfaction. This encouraging partnerships foster commitment habits. "You
correspondence to Demerouti and Bakker (2011), job support me to do this, and I can behave like that" that
resources act as an extrinsic motivational role (p 2). makes for high success.
Xanthopoulou D, Bakker. A.B, Demerouti, and Schaufeli Pendell, R, and Hartert, J (2019) the workplace today is
(2007) hypothesized personal resources mediated the transparent than ever before. This suggests what the
relationship between job resources and engagement and workers encounter inside an organization will significantly
found significant that personal resources have a meaningful affect the business's capacity to recruit and attract great
relationship with involvement only when job resources are talent.
adequate. Employees who have adequate job resources will
CONCLUSION
feel productive, necessary to the company, and hopeful
about their future, and therefore will remain engaged in This study among the respondents shows that the
their jobs. Two years later, the same group Xanthopoulou organizations' transformational job resources will enhance
D, Bakker. the employees' job satisfaction. Based on this, employees'
engagement level can be increased to sustainable business
They are considering vigor as the significant prophet of
development and face stiff competition. It is recognizable
organizational citizenship behavior. According to their job
that organizations try to increase job resources and create
descriptions, moral corporate citizens will improve the
proper working environment contexts in which employees
organization's performance (Nelson. D.L and Simmons,
can feel happy and perform well. Finally, this research
B.L, 2011). Dedication of employees is keenly interested in
shows that job satisfaction partially mediating the
learning more and more about their job. He also intends to
relationship between job resources and employee
grow personally and even care about the organization's
engagement.
well-being. Devoting more personal time to the job is a
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AN EMPIRICAL STUDY ON SUCCESSION PLANNING & PRACTICES IN
FAMILY BUSINESS
*
Surendra Kumar
*
Assistant Professor, Department of Business Management, H.N.B Garhwal University, Srinagar
Garhwal, Uttarakhand.
ABSTRACT
The present study is based both on primary and secondary data. The primary data was collected through
a sample survey of owners/founder of small business family-owned firms. Family owned or controlled
businesses accounts for a large-scale employment and revenue generation the family business have dual
qualities of ownership and policy making, both dominated by people of an emotional kinship group. The
main purpose of this study is to throw light upon the process of business succession planning in small
family firms. Consequently, this study addresses succession planning among small family-owned
businesses. This study suggests that awareness regarding succession planning process and its
importance/relevance must be increased in small family-owned firms so that the owners/founder can get
the relevant information. This will help them to select the successor/new incumbent who will be suitable
enough to run the business
Keywords: • Business System, Succession Planning, small family firms, Family business.
INTRODUCTION group. And both these issues in turn were centered on
another: succession.
Family business in other words can also be defined as-
―any business in which a majority of an ownership or Succession refers to the transfer of management or control
control lies within a family, and in which two or more of a business. Ownership succession focuses on who will
family members are directly involved. It is a complex, dual own the business, when and how will that happen.
system consisting of the family and the business; family Management succession focuses on who will run the
members involved in the business are part of a task system business. Succession planning can be unsuccessful if these
and part of a family system (Nancy Bowman-Upton, two processes (ownership succession and management
1991)‖. In simple words, family firms include all succession) are not coordinated or at least both are
enterprises that are owned, managed or influenced by a addressed together.
family or families.
Succession planning, for many family firms can certainly
Small family firms are bedrock of the Indian economy, the be a difficult process. Actually, most end up doing it
economy heavily depends on the success of these small poorly. But, when it is done well, with the right kind of
family firms. Yet only a small proportion of these firms last support and planning, it can mean the difference between a
into the second generation, in other words we can say that comfortable retirement and a struggling retirement,
their survival rate is very poor. There are many issues between great family ties and strained family ties. Done
involved in the family businesses which decide the family very well, it can dramatically improve the finances and
firm‘s fate. One overlooked area in the study of Small subsequent quality of life for all stakeholders in the
Family Firms (SFF) is the continuity issue from one process. Succession planning is taken to cover the
generation to the next in family owned business, i.e identification of successors.
Succession Planning.
The major purpose of the research was to show how small
(Alesh.k &Ondrej .M12018) “Succession is one of the most family firms have recognized the inherent difficulties of
discussed topics in family business research. However, succession planning and adapted it to be of practical value.
despite the changing professional and family roles of
MEANING AND IMPORTANCE OF SUCCESSION
women and the growing number of female CEOs
PLANNING
worldwide‖Be it the Ambanis of Reliance Industries, the
Bajajs of Bajaj Auto, the Nandas of Escorts, or the Modis Succession refers to the transfer of the management and/or
of Modi Rubber — each family has, in the recent past, the control of a business. Succession can be: Ownership
faced succession and ownership issues and found them succession, Management succession. The former focuses
tough to resolve. The battle that was raging between the on who will own the business, when and how will that
two Ambani brothers was because of the difference over happen, whereas the latter focuses on who will run the
two issues: ownership and management, of the Reliance business, what changes will occur, when will they be
accountable for results and how will results be realized.
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Succession planning can be unsuccessful if these two firm finds difficult to plan for succession.
processes (ownership succession and management
2. The difficulties/obstacles which the owner faces while
succession) are not coordinated or at least both are
planning for succession.
addressed together.
3.The current status of succession planning in family-
NEED OF THE STUDY
owned businesses in and intervention strategies which can
The current reality of the small family firms with reference help family business owners to ensure successful
to the succession planning. The owners really plan for the transition?
succession? What type of selection process the firms follow
and which type of the difficulties the owner/founder of
small family firms face while planning for succession? In order to explain life cycle and successión planning Dr.
Jon I. Martínez has given a three-dimension developmental
RESEARCH OBJECTIVES
model.
1.The awareness level of small family firm owners
regarding succession planning. which the owner of family
Three Dimension
Developmental Model
The Ownership System
3. Cousin Consortium
2. Sibling Partnership
1. Controlling Owner
1. Young Business Family 1. Start-up

2. Entering the Family Business
2. Expansion
3. Working Together
3. Maturity
4. Passing the Baton
The Family System The Business System
From Generation to Generation: Life Cycles of the Family Business
According to this model there are three systems, management control (Nancy Bowman-Upton, 1991). It is
constituting the family business. These are: often said that, it is very much important to have the right
man at the right place and at the right time. Even in family
 The Ownership System run businesses it is very much important that the ownership
 The Family System and control be transferred to the right man and at the right
time to ensure successful transition. Carlos.A,Cristina Q
 The Business System &Vanesa F(2011) ―describes the structure and trends of the
When the business is just in its introductory stage, the family business literature. We analyse the content of the
family system constitutes of a young business family and papers focused on family firms published in any journal of
there is a single controlling owner. But once the business the categories ‗business‖
starts expanding and reaches its maturity stage, the Though succession planning ensures smooth running of the
ownership and the family system also starts enlarging. The organization, still owners/founders of small family firms
ownership system constitutes of sibling partnerships. In the avoid planning for the process. Many reasons that have
family system, as the business starts expanding and been identified by researchers during their study were: fear
maturing the transfer of ownership becomes an issue. Many about death, reluctance to relax control, identity loss,
small family firms facing the transfer of ownership issues inability to choose among children, (Lansberg, 1988). All
have some of the options to consider. The options that have these obstacles are faced by the owner while deciding for
been identified were: close the doors, sell the business to an the succession. David Javitch (2005) has explained that if
outsider or employee, retain ownership but hire outside succession plans for the business are not made before the
management and retain family ownership as well as owner voluntarily leaves, considerable and often
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destructive infighting can occur between the ―heirs SAMPLING
apparent‖, whether they‘re family or non family members.
The Sample size for present study was 200respondents. The
Hema.b& Ramjeet (2016) ―Family businesses are
respondents were the owners/founder of small family
fundamental to nation building as they contribute towards
firms/businesses.
the GDP of any country and are also major employment
creators. Therefore, family business management is an The data was collected from 200 respondents of small
emerging area of academic interest. In this regard, family-owned family firms/businesses through structured
comparison between family and non-family businesses has questionnaire. Out of 200 questionnaires, the data of 115
become an important area of research‖ Sir Adrian Cadbury respondents were collected by personally visiting the
(2000) has discussed some actions that family firms need to respondents, whereas 55 questionnaires were distributed
take, to increase the chances of their survival and success. through internet and post. Out of 60 questionnaires
According to him there are three essential requirements: distributed through internet and post only 175
clarity of role, an effective board and a logical organization questionnaires were answered. Therefore, in total out of
structure. The three altogether ensures smooth running of 200 only 105 questionnaires were usable. For the purpose
an organization. the distribution of sample was as follows: -
RESEARCH METHODOLOGY Steps and criteria followed for selection of sample
The present study was based on primary as well as State Rajasthan
secondary data. The primary data was collected through a
District 5, District
sample survey of owners/founder of small business family
owned firms selected from Kota, Jaipur Jodhpur, Udaipur, Respondents Family Business, owner/founder
Bikaner districts of Rajasthan. The data for the study was
collected from primary sources. In terms of geographical Criteria: - Family businesses in the proposed research will
scope, the study was confined to the owners/founder of include all the small firms owned and managed by the
small family firms of Rajasthan. The analysis of result owner/founder of the firm, one or two family members
would be based on sample survey of 200respondents from assisting.
four districts of Rajasthan. For this purpose the distribution of sample was: - The
sample was taken from the four districts of Rajasthan,
Kota, Jaipur, Jodhpur and Udaipur, Bikaner . The division
was as follows:
Divisional Headquarter (in alphabetical

S. No. Sample Size
order)
1. kota 40
2. Jaipur 50
3. Jodhpur 30
4. Udaipur 35
5 Bikaner 35
Total 200
DISCUSSION AND ANALYSIS The result of chi-square test shows that the calculated value
was more than the tabulated value in both the cases at .05,
Analysis of collected data both descriptive and inferential
level of significance. Therefore, we reject the Ho
statistics were used. In order to assess the awareness level
hypothesis and accept the Ha hypothesis. Thus we can
among owners/founders of small family-owned firms in
conclude that all the age groups are not equally aware with
Rajasthan, to know whether they plan for succession or not,
the term succession planning.
and to assess the various reasons for not planning it, the
description was also made through the statistical techniques The respondents were asked if they followed any selection
like: frequency distribution, Percentage, simple mean, chi process to choose the successor/new incumbent. Out of
square test and T-test. For the collected data. In the 100respondents, 55 said yes that they have certain fixed
present study the researcher has tried to find whether the procedure through which they choose the successor. Out of
owners/founder of small family firms/businesses were 45 respondents, maximum number of respondents said that
aware/clear about the terminology succession planning, they follow direct selection. They believed that being the
whether they plan for succession or not. The awareness member of the family, no test or assignment is required as
level among the owners/founders was identified by taking such, because ultimately whole business will go in the
into consideration two important factors: age and hands of the new incumbent.
qualification. Chi square test was applied to see whether all
The new incumbent when enters into new business, it
age groups were equally aware or not and whether
becomes necessary for the owner/founder to make him/her
qualification and awareness level were interrelated or not.
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feel comfortable with the new environment, so that he/she CONCLUSION
can work comfortably. For this the respondents were asked
Awareness level of owners/founder of small family owned
if they thought that the new incumbent requires any
firms/businesses regarding the term succession planning
training or support, maximum of the respondents said, they
have been analyzed in deeper way in the present study.
feel that the new incumbent requires certain training as well
This study attempts to provide insights into the succession
as support so that they can work in the new environment
process in family owned firms/businesses. The present
comfortably. Out of 150 respondents, maximum
study was confined to the small firms of Rajasthan owned
respondents i.e. 30 respondents said that to provide training
and managed by the owner/founder of the firm, one or two
to the new respondents challenging projects should be
family members assisting. This includes four districts of
given to them.
Rajasthan i.e. Ajmer, Udaipur, Jaipur and Jodhpur. Similar
Succession planning process can be successful if the studies can also be conducted in future for other districts
owners/founder chooses the new incumbent on the basis of also for getting wider presentation.
some evaluative criteria like education, experience,
The study reveals that though the owners/founder of small
decision making power, leadership skills etc. Therefore, the
family firms are aware of the term succession planning but
respondents were asked to rate the important criteria
majority of them have not planned for it because they feel
according to their preference. The factors/criteria that were
that their control will be lost and as such they will not be
taken in this study were education, experience, Family
able to exercise any control over the business once it is
Values, Knowledge Base, Leadership skills, attitudes,
transferred to the next generation.
Personal and emotional factors, trust, Decision making
power, Work competence, Risk taking power, Birth rank, The Present study calls for the involvement of the people
Gender. The study chose chi-square test in order to see who are aware of the term succession planning and know
whether all the factors were equally considered during its relevance, from grass root level in spreading the
choosing successor or not. The result shows that the importance of succession planning, so that the effectiveness
calculated value was more than the tabulated value at .05, of the planning process can be increased.
level of significance. Therefore, we accepted the
The sample under study consisted of 200 respondents. The
Hypothesis and rejected the Ho hypothesis.
study revealed that majority of the respondents has not
Further all the factors were divided into groups and the planned for the succession. The reason for not planning is,
related factors were clubbed in one group. The Ist group they feel that they will not be able to exercise their control
was that of Exposure and competence which had factors on the business in which they have spend most of their
like: education, experience, knowledge base and work lifetime.
competence. The IInd group was that of business acumen
This study suggests that awareness regarding succession
which included factors like: risk taking power, leadership
skills and attitude, decision making power and personal and planning process and its importance/relevance must be
emotional factors and trust. The last category was that of increased in small family owned firms so that the
owners/founder can get the relevant information. This will
Personal perception (of the owners/founder), which
help them to select the successor/new incumbent who will
included factors such as birth rank, family values and
be suitable enough to run the business. The planning
gender. T- test was used to compare all these factors and to
process helps in gradual transfer of ownership and control,
see which one of the group/category carried more
weightage. thus giving time to the successor/new incumbent as well as
the owner and other family members to adjust to their new
The common perception regarding the survival of the roles and establishing new zones of comfort for all the
family business was examined. In many of the researches members.
done previously it was believed that the family firms often
The study also offers some interesting insights regarding
do not survive beyond second and third generation. The
various reasons responsible for this are ill suited the evaluative criteria that the owners/founders of small
successors, sibling rivalry, business maturity etc. These family firms consider while choosing the successor from
amongst two – three potential successors. The study
reasons were put in front of the owners/founder of the small
suggests that succession planning clearly deserves some
family firm in order to see if they also agreed with the
attention, especially in small sized firms/businesses in
above given statement. The result shows that maximum
Rajasthan.
respondents believe the statement to be true. The reason
that most of them agree with, was because of business Thus, we can conclude that though the owners/founder of
maturity and ill-suited successor. The selection of small family firms in Rajasthan are aware of the term
successor/new incumbent is done directly, being the family succession planning, but majority of them avoid planning
member, neither any test, assignment or project is given to for the process. Reluctance to let go of control has been
check their competence nor their interest is taken into identified as the most important reason which holds them
consideration and therefore the chances of their failure back, from planning for the process. The selection of new
increases and as such the business also suffers. incumbent from amongst all the potential successors is also
an important decision which helps in the successful
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succession process. Through the study done it is clear that
the owners/founder of small family firms do not conduct
any test or assignment in order to select a new incumbent,
instead they prefer direct selection. Leadership skills and
attitude, work competence, knowledge base, education etc
are some of the most important criteria which the
owners/founders consider while choosing the successor
from amongst all the potential successors. The researches
done in the past identified that majority of the family
businesses do not survive beyond second and third
generation. The study has confirmed that even in Rajasthan,
majority of the owners/founder of small family firms
believed the above given statement to be true. Business
maturity was identified as the most important reasons
because of which the family businesses/firms are not able
to survive beyond second and third generation. Thus, the
results overall suggest that the owners/founder are aware of
the term succession planning, they just need to learn more
about its importance so that they can carry out the process
in the right manner and at the right time.
REFERENCES
1. Bowman-Upton Nancy, (1991). ―Transferring Management in the
Family Owned Business‖.
2. Sharma Pramodita, Chua Jess H., Chrisman James J. (2000).
―Perceptions About the Extent of Succession Planning in
Canadian Family Firms‖.
3. Cadbury, Sir. (2000). ―The Corporate Governance Agenda
―Corporate Governance: An International Review. 8. 7-15.
10.1111/1467-8683.00175.
4. Wang Yong, Watkins David and Harris Neil, Spicer Keith,
(2004).‖The Relationship between Succession Issues and
Business Performance‖, International Journal of Entrepreneurial
Behaviour and Research, Vol.10 No.1/2, 2004 pp.59-84.
5. David Javitch (2005). ―Opinions expressed by Entrepreneur
contributors are their own‖
https://www.entrepreneur.com/article/80762
6. Carlos A. Benavides,Velasco ,Cristina Quintana-Garcı.A
&Vanesa F. Guzma.n-Parra (2011)‖ Trends in family business
research‖ Springer Science Business Media, LLC
7. Hema.B & Ramjeet (2016) Comparative Analysis of Family
Business With Non Family Business : Empirical Evidence From
India. Serbian Journal of Management
8. AlesKubicek , Ondrej Machek (2018) ―Gender‑related factors in
family business succession‖ Springer-Verlag GmbH Germany,
part of Springer Nature(online)
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AN ANALYTICAL CLOSED FORM SOLUTION BASED ON BLACK-
SCHOLES MODEL WHICH FOLLOWS TRUNCATED NORMAL
DISTRIBUTION FOR PRICING THE AMERICAN PUT OPTIONS
*
Akash Singh **Ravi Gor
*
Research Scholar, Department of Mathematics, Gujarat University, Ahmedabad
**
Associate Professor, Department of Mathematics, Gujarat University, Ahmedabad
ABSTRACT
An American option is an option that can be exercised anytime during the life, and not only at its
expiration. In general, pricing American options is complex. In this paper, we use Black-Scholes put
pricing formula based on truncated normal distribution by using put-call parity relation for pricing the
American put option. By using the closed form solution, we can check its relevance with some numerical
examples and observe some interesting underlying phenomena.
Keywords: American option pricing, truncated normal distribution, put-call parity, closed-form solution,
Black-Scholes formula
1. INTRODUCTION
In option pricing, the most important thing is to find the framework. These methods consist of having numerical and
premium value of an underlying asset. If we are able to hybrid approaches. Hybrid method works on the
predict the premium of an option most accurately then we combination of both analytical and numerical
are sure to secure our position in the market. The premium approximations (see, Fatone et al (2015)). Examples of
consists of intrinsic value and time value. This premium hybrid method include Fatone et al (2015), Zhu (2006) and
value depends on various parameters such as stock price, Barone- Adesi(2005). Examples of the numerical methods
strike price, volatility, riskless rate of interest and include Kim et al (2013) and Ahn and Song (2007).
expiration time. The premium of an asset behaves
These methods suffer some limitations, such as the lack of
differently in both European and American option.
simplicity and accuracy. These limitations of the existing
The celebrated Black-Scholes model is a one-dimensional methods are discussed in Fatone et al (2015), among others.
stochastic model where the asset price S follows the The closed form solution for pricing the American options
following dynamic: using the Black-Scholes pricing formula is given by
dS   Sdt   SdW (t ) (1.1) Moawia Alghalith (2018). In the paper, the closed form
formula derived is not completely closed (in terms of
Here, the parameters  and  are the constant rate of accuracy) with the real market data due to the assumption
that the asset returns follows log-normal distribution as
return and volatility respectively. Here, W (t ) is a
proposed in Black-Scholes model. A modified Black-
Brownian motion. The Black-Scholes model is known for Scholes pricing formula for European options with bounded
deriving the theoretical premium value of call for European underlying prices is given by Song-Ping Zhu, (2017). In the
option by using its closed form solution formula. By using paper, they conclude that in real market, the model in which
put-call parity relation, we are able to derive the theoretical the underlying log-price is assumed to follow a truncated
premium value of put for European option. normal distribution performs better than the B-S model in
In order to derive a closed form solution for the American the tested data set of real market.
put option seemed impossible. Because the option will be In this paper, a modification is presented with a non-
exercise on or before its expiration date, due to this reason structural model being adopted under the assumption that
there does not exist put-call parity relation in valuing the the log-returns of the underlying asset follows a truncated
American option. normal distribution during a certain period with finite upper
In general, pricing American options is complex. In order and lower bounds. When the truncated normal distribution
to derive an analytical solution to transient American is chosen in option pricing, there would be a price range for
options does not exist. Hence, obtaining an analytical, a the underlying asset.
non-complex solution seemed impossible. In this present paper, we overwhelm these limitations. In
Some methods were suggested to solve the problem of doing, we derive a simple, exact and analytical solution to
pricing American options using the Black-Scholes the American put option partial differential equation using
the Black-Scholes pricing formula framework based on
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truncated normal distribution. In compare of hybrid and 2. METHOD
numerical method, our formula is more simple and exact.
2.1. Definition (Truncated Normal Distribution): If a
This solution formula gives more accurate value as it
shown in real market data. random variable X is assumed to follow a truncated
normal distribution with X [a, b] , then its probability
density function can be specified as
 1  x 
  

    , a xb
f ( x;  ,  , a, b)    b    a  (2.1)
 
      


 0 , o.w.
where  . and  . represents a standard normal density function and distribution function respectively.
It is well-known that ( by using truncated normal distribution; see, for example, Song-Ping Zhu, Xin-Jiang He
(2017)), the European call option pricing formula is given as
 K 
 ln    t 
 b  t 
 t      0 
S
  t
  t    t   b  t   K 
       ln  S    t 
Vc  S0    Ke rt   t    0  (2.2)
 b  t   a  t   b  t   a  t 
  t      t    
  t    t    t    t 
Since, we know that, in order to derive a European put option there is a well-known property called put-call parity. The
put-call parity formula is given by
Vc  Vp  S0  Ke rt
i.e. Vp  Vc  S0  Ke rt
Now, by using (2.2), we have
 K 
 ln    t 
 b  t 
 t      0 
S
  t
  t    t   b  t   K 
       ln  S   t 
V p  S0    Ke rt   t    0   S  Ke  rT
 b  t   a  t   b  t   a  t 
0
  t      t    
  t    t    t    t 
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  K  
  ln     t  
   b   t   t      S0   t 
   t 
   t     b  t   K 
         
 ln     t  
    1  Ke  rt    t    S0    (2.3)
V p  S0   1 
 b  t   a  t   b  t   a  t  
   t      t       
   t    t      t    t  
 
 
 
 
In order to derive the formula for the pricing of American price process is given by S0  e , where
ru
' r ' is the
put option, we use the standard portfolio-consumption
model and the assumptions of the Black-Scholes model constant risk-free rate of return.
(see, Cvitanic and Zapatero (2004)). The risk-free asset
The dynamics of the risky price asset is given by
dS (u)  S (u)   du   dW (u )  , t  u  T (2.4)
where  and  are the constant rate of return and the volatility respectively. Here, W (u ) is a Brownian motion which is
defined on the probability space (, F , Fu , P) , where Fu t uT is the augmentation of filtration.
Since, we know that two types of investment opportunities, riskless and risky are available in the asset market.
First, consider a risk-free asset B that we call a bond or a bank account. We assume that following dynamics for the bank-
account process:
dB(t )  rB(t )dt , B(0)  1 (2.5)
with r  0 as the constant, continuously compounded interest rate.

We denote by XX x ,
the wealth process strategy  to be self-financing, by which we mean that the
corresponding to the initial investment x  0 and the amount held in the bank at time t is equal to X (t )   (t )
portfolio strategy  . Typically, we require the portfolio and that X satisfies
 X 
dX  dS  dB
S B
The above equation says that the change in wealth X is S , plus change in B times the “number of shares” held in
equal to the change in S times the number of shares held in B . The integral form of this equation is
t
 (u ) t
X (u )   (u )
X (u )  X (0)   dS (u )   dB(u)
0
S (u ) 0
B(u )
By using equations (2.4) and (2.5), we have
t
 (u ) t
X (u )   (u )
X (u )  X (0)   S (u) ( du   dW (u)   rB(u )du
0
S (u ) 0
B(u )
t t
X (u )  X (0)    (u )   du   dW (u )     X (u)   (u)  rdu
0 0
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t t t
X (u )  X (0)     (u ) du   (u ) dW (u)    rX (u) du   r (u ) du
0 0 0
t t
X (u )  X (0)   (   r ) (u)  rX (u)  du     (u)dW (u)
0 0
dX (u)  rX (u)  (   r ) (u) du   (u) dW (u)

The wealth process satisfies the equation (see, for example, Alghalith (2009),Cvitanic and Zapatero (2004) and Detemple,
J. (2005))
dX (u)  rX (u)  (  r ) (u)  c(u) du   (u) dW (u)

where  (u ) is the risky portfolio process, c(u )  0 is the consume a fraction of the wealth if the buyer didn‟t
consumption rate. Here, the consumption is included exercise at the optimal exercise time (see, for example,
because it is possible for the writer of the option to Cvitanic and Zapatero (2004)).
The dynamics of the European call are
 1 
dP  u, s(u )    Pu   sPs   2 s 2 Pss  du   sPu dW (u )
 2 
By the assumptions of the B.S. Model,
1
Pu   sPs   2 s 2 Pss  rP  c
2
Therefore, the modified Black-Scholes PDE is
1
Pt  r ( sPs  P)   2 s 2 Pss  c  0, P T , s(T )   g (s) (2.6)
2
where „ s ‟ is the current price of the underlying asset, and „ g ‟ is the payoff of the option.
Using the hedging assumption (see, Cvitanic and Zapatero

optimal time, c(t )   (t ) X   (t )  P(t )  c(t )  ,
(2004)), X (t )  P(t ); so that X (t )  P(t )  c(t ) . Now,
since it is possible for the writer of the option to consume a where 0    1 is the fraction of the wealth that is
fraction of the wealth if the buyer didn‟t exercise at the consumed, thus,
 (t )
c(t )  P(t ) Assuming that „ ‟ is martingale (a common assumption in finance, so that
1   (t )

  E   (u)    (t ) thus, c(t )  P(t ) .
1
Substituting this into (2.6), we obtain
1  (1  r )
Pt  rsPs   2 s 2 Pss   P  0, P T , s(T )   g (s) where   r  .
2 1
This is an example of the generalized Black-Scholes PDE; therefore, the solution is given by (see, Song-Ping Zhu, Xin-
Jiang He (2017))
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  K  
  ln     t  
   b   t   t      S0    
   
t
  K  
  t   t  b  t 
 (1 r )
       
 ln     t  

P(t , s )  e 1
(T  t )     Ke  rt   t    S0  
 S0  b  t   a  t   b  t   a  t  
   t      t     
   t    t    t    t  
 
 
 
 
 (1 r )
(T  t )
1
e PBS (2.7)
Where PBS is the Black-Scholes price of the equivalent European call option.
Thus, the price of the American put option is given by
  K  
  ln     t  
   b   t   t      S0   t 
   t 
   t     b  t   K 
 (1 r )
          ln  S    t  
1
(T  t )     1  Ke  rt    t    0 
Pp (t , s )  e S0   1 
 b  t   a  t   b  t   a  t  
   t      t       
   t    t      t    t  
 
 
 
 
 (1 r )
(T t )
1
i.e. Pp (t , s)  e PBS (2.8)
where PBS is the Black-Scholes price of the equivalent European put option which follows truncated normal distribution.
3. NUMERICAL ILLUSTRATIONS:
Example 1.Consider the Stock Index : CBOE, Company : Implied Volatility : 27.26%, Premium: $4.95 (which was
APPLE (AAPL), Current price : $166.27, Strike price : traded in the market) , Expiration date : 08/02/2019,
$170.00, Expiration time : 6 days, Interest rate : 7% , Current date: 01/02/2019.
Clearly, T  t = 0.0247
By using equation (2.7), we have PBS = $ 4.64
Now, by using equation (2.8), we get put premium as Pp  t , s   $4.67

Example 2.Consider the Stock Index : NASDAQ, , Implied Volatility : 41.53%, Premium: $7.3 (which was
Company : APPLE (AAPL), Current price : $150.76, Strike traded in the market) , Expiration date : 04/02/2019,
price : $155.00, Expiration time : 13 days, Interest rate : 7% Current date: 23/01/2019.
Clearly, T  t = 0.0537
By using equation (2.7), we have PBS = $ 6.22
Now, by using equation (2.8), we get put premium as Pp  t , s   $6.92
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4. COMPARISON TO THE OTHER METHODS 3. Ahn, J., & Song, M. (2007). Convergence of the trinomial tree
method for pricing European/American options. Applied
When we do computations, compared to numerical methods mathematics and computation, 189(1), 575-582.
hybrid methods are less expensive (but less accurate). Also, 4. Barone-Adesi, G. (2005). The saga of the American put. Journal
these hybrid methods are not suitable for a long maturity. of Banking & Finance, 29(11), 2909-2918.
The convergence is not always achieved. Examples of the 5. Barone‐Adesi, G., & Whaley, R. E. (1987). Efficient analytic
hybrid method include Barone-Adesi and Whatley (1987) approximation of American option values. The Journal of
who approximated the price of the American option as the Finance, 42(2), 301-320.
price of the equivalent European option (given by the 6. Cvitanić, J., & Zapatero, F. (2004). Introduction to the economics
Black-Scholes formula) and an early exercise premium. and mathematics of financial markets. MIT press.
They numerically estimated the free boundary by a non- 7. Detemple, J. (2005). American-style derivatives: Valuation and
linear equation. Geske and Johnson (1984) used a computation. Chapman and Hall/CRC.
piecewise estimation of the Black-Scholes PDE to derive a
8. Fatone, L., Mariani, F., Recchioni, M. C., & Zirilli, F. (2015).
pricing formula. They used Richardson extrapolation to The Barone-AdesiWhaley formula to price American options
approximate the formula. Fatone et al (2015) generalized revisited. Applied Mathematics, 6(02), 382-402.
the Barone-Adesi-Whatley method. Zhu (2006) introduced
9. Geske, R., & Johnson, H. E. (1984). The American put option
an explicit formula for pricing the American put. The valued analytically. The Journal of Finance, 39(5), 1511-1524.
formula is based on a numerically estimated free boundary.
10. Harrison, J. M., & Kreps, D. M. (1979). Martingales and
It is expressed as a Taylor expansion with infinite terms. arbitrage in multiperiod securities markets. Journal of Economic
The formula is somewhat becomes very complex. theory, 20(3), 381-408.
The numerical methods include the finite differences 11. Kim, I. J., Jang, B. G., & Kim, K. T. (2013). A simple iterative
method (see, Brennan and Schwartz (1977)), the Monte method for the valuation of American options. Quantitative
Finance, 13(6), 885-895.
Carlo method (see, Ahn and Song (2007)) and the
regression method (see, Longstaff and Schwartz (2001). 12. Longstaff, F. A., & Schwartz, E. S. (2001). Valuing American
options by simulation: a simple least-squares approach. The
The main differences between our method and the other review of financial studies, 14(1), 113-147.
methods are: 13. Longstaff, F. A. (1995). Option pricing and the martingale
restriction. The Review of Financial Studies, 8(4), 1091-1124.
1. Our method circumvents the free boundary while the
other methods relied on the approximation and 14. Lustig, H., Van Nieuwerburgh, S., &Verdelhan, A. (2013). The
modeling of the free boundary. wealth-consumption ratio. The Review of Asset Pricing
Studies, 3(1), 38-94.
2. The other methods used standard numerical methods 15. Zhu, S. P., & He, X. J. (2018). A modified Black–Scholes
that are computationally expensive, whereas our pricing formula for European options with bounded underlying
method does not use these numerical methods. prices. Computers & Mathematics with Applications, 75(5),
1635-1647.
3. Our method is far simpler than the other methods.
16. Zhu, S. P. (2006). An exact and explicit solution for the
5. CONCLUSIONS valuation of American put options. Quantitative Finance, 6(3),
229-242.
In the closed form formula if we take   0 , the option
price is equal to the European option price. For practical
purposes, the value of  can be obtained using current
market data. This formula is relevant with the real market
data. The pricing of American put option with our modified
closed form formula is much nearer to the price of premium
in the real market. In the real market, the premium which is
traded for the option is how much beneficial for the
investors is more accurately calculated using our formula as
it gives a range of the premium which the investors have to
pay in order to buy or sell the put option.
REFERENCES
1. Alghalith, M. (2018). Pricing the American options using the
Black–Scholes pricing formula. Physica A: Statistical Mechanics
and its Applications, 507, 443-445.
2. Alghalith, M. (2009). A new stochastic factor model: general
explicit solutions. Applied Mathematics Letters, 22(12), 1852-
1854.
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AWARENESS AND UNDERSTANDING OF XBRL IN INDIA: AN
EXPLORATORY STUDY OF CHARTERED ACCOUNTANTS
*
Manjinder Singh **Navninderjit Singh
*
Associate Professor, Post Graduate Department of Commerce, Sri Guru Gobind Singh College,
Sector-26, Chandigarh
**
Assistant Professor, Department of Commerce, Punjabi University, Patiala
ABSTRACT
XBRL (eXtensible Business Reporting Language) is a digital language designed for the exchange of
business information.Chartered accountants (CAs) are at the forefront of this new development in
business reporting. XBRL offers cost and time saving benefits to chartered accountants. Previous
research showed that XBRL is currently not a well-known reporting tool internationally. Present study
was carried out to elicit the views of chartered accountants regarding XBRL in India. The study found
that 63.41 percent of respondents were not aware of XBRL. Further, only 46 percent of aware
respondents had some knowledge of XBRL. The justification given by the respondents for using XBRL
exhibited the perceived advantages described in the relevant studies. The ability to analyse and compare
data has been perceived as most important benefit by respondents. Present study can be informative to
the Indian Government and its regulatory and professional agencies in formulating policies to support
the implementation of XBRL in India.
Keywords: XBRL, Chartered Accountants, Ministry of Corporate Affairs, MCA21 E-governance Project,
Registrar of Companies.
1. INTRODUCTION AND BACKGROUND examine the procedure of mapping accounting items to
XBRL labels. The use of incorrect XBRL taxonomy, for
In the electronic era, information experts are frequently
instance, the US GAAP taxonomy in place of the IFRS
encountered by new technological developments that will
taxonomy, will also lead to repeat the whole mapping
“restructure” the way information is exchanged and
process.
analysed. One suchdevelopment that is being acclaimed as
being insurgent is eXtensible Business Reporting language The above discussion provided an overview of XBRL, its
(henceforth XBRL). XBRL is an open standarddeveloped benefits and threats. Although, XBRL adoption will
for the exchange of corporate information (XBRL benefits all participants in the financial information supply
International, 2007a). At a conceptual level, XBRL is chain (preparers, auditors, regulators and investors),
basically a technique of attaching supplementary data to emphasis has been placed mainly on preparers and auditors
chunks of text, thus giving it sense for computer program. as the decision whether to adopt XBRL or not as well as the
Implementation of XBRLglobal standard is taking place in implementation process itself will primarily be their
growing numbers under the administration and supervision responsibility. It would therefore appear that a high level of
of global cluster of firms and establishments (XBRL awareness and understanding of XBRL should exist among
International, 2007b). Chartered Accountants.
The prime benefits of accepting XBRL is that it removes The rest of the study is organized as follows. The next
the physical transmission of text, resulting in lesser errors section presents an overview of the literature on XBRL. In
and standard information. XBRL accelerates the third section, research methodology has been discussed.The
preparation of monetary and textual information. XBRL is results of study are taken up in fourth section, followed by
independent of the computer platform and the software conclusions and limitations of the study.
applications. The data can therefore be used for creating
2. LITERATURE REVIEW
monetary, statutory and internal reportsand tax returns, all
of which are understandable on diverse computer This section provided an overview of literature on
systems.There are certain errors attached to XBRL. awareness and understanding of XBRL. Pinsker (2003)
Accountants need to be mindful of these risks when made an attempt to analyse the views of auditors regarding
carrying out their review processes. Errors can take place at XBRL in the USA. The results indicated that there was a
the time of assignment of tags, for instance, the “electricity lack of an understanding of XBRL among the auditors.
expenses” tag may be assigned to “power and fuel Canadian Securities Administrators (2006) conducted a
expenses”. The chartered accountants should carefully study assessing the awareness of XBRL in the market place
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and the interest in an XBRL filing program. The feedback These research issues were examined using data gathered
received from the marketplace indicated that about half of from chartered accountants through a questionnaire.
the respondents had some understanding of XBRL and a
3.3 Questionnaire design and distribution
significant number were in favour of an XBRL filing
program. Nel and Steenkamp (2008) analysed the In order to elicit the views of chartered accountants
perceptions of financial accountants regarding XBRL in regarding XBRL in India, a structured questionnaire was
South Africa. The study found that large number of developed. The development of questionnaire was based on
financial accountants in South Africa was not aware of this the review of studies on awareness and perceptions of
technology. Only 11 percent of the financial accountants XBRL among chartered accountants, academicians,
has some knowledge of it. Chartered Financial Analyst auditors, fund managers, tax practitioners and investment
Institute (2009) conducted survey and found that 55 percent analysts. The questionnaire included two sections. Section
of chartered financial analysts were unaware of XBRL. 11 one covered the respondents‟ demographic profile and
percent were aware of it and planned for its utilisation in general awareness of XBRL. Section two dealt with
corporate reporting. respondents‟ prior exposure to and perceptions of XBRL.
All respondents were requested to complete section one.
Dune et al. (2013) examined the advantages and problems
Only respondents who had been aware of XBRL prior to
of new technology and its effects on auditing and assurance
receiving the questionnaire were requested to complete
in the UK. The results of the study showed that majority of
section two of the questionnaire, because the questions
the stakeholders were unaware of the advantages of XBRL.
would only be applicable if they were aware of XBRL.
Only auditors had some understanding of this technology.
Ghani and Muhammad (2014) analysed the perceptions of 3.4 Sample
financial report preparers regarding XBRL in Malaysia.
The questionnaire was distributed to 150 chartered
Most of the preparers perceived that XBRL could provide
benefits to organizations for decision-making purpose. accountants registered with The Northern India Regional
However, the study provided some indications that the Council of the Institute of Chartered Accountants of India
(ICAI). As XBRL is a new language in the area of financial
preparers might not have sufficient knowledge and
reporting and chartered accountants being experts in this
understanding on XBRL which might impair the benefits of
area, it was thought that they would be the most suitable
XBRL to organizations. Mahadevappa and Raju (2016)
population. Random sampling was adopted in selecting the
assessed the awareness level of XBRL reporting among
various regulators in India. The study found that the level respondents. The questionnaire was distributed
of awareness of XBRL was better among regulators in electronically. An email explaining the purpose of the study
was sent to the respondents. The survey was made available
India.
for four week. The responses to the questionnaire were
It is clear from literature that XBRL is presently not a entered into Microsoft Excel application where the answers
familiar reporting standard worldwide. The present study were first scrutinised and then analysed.
examined this matter in the Indian context.
4. RESULTS
3. RESEARCH METHODOLOGY
4.1 Response rate
3.1 Contribution of the research
Forty one responses were obtained. The response rate
As discussed in introduction section, the prospect of XBRL (27.33%) was not an ideal one, but it was decided to carry
being taken up by entities in the medium and long term can on the research for the following reasons:
be gauged by evidence on intention to adopt by chartered
accountants, be it as auditors or as compilers of information  Despite the low response rate in terms of
because they are among the first to be exposed to this new percentage coverage, absolute numbers (41) was
technology. Intention to adopt, however, will be affected by still an adequate ground for preliminary
chartered accountants‟ extent of familiarity with the XBRL inferences.
and its capabilities. They should be aware of and have  Previous research of this type conducted by Nel
understanding of XBRL. It is expected that findings of this and Steenkamp (2008, 2012) had a very low
study will assist Indian government and its regulatory and response rate in terms of percentage coverage
professional agencies in formulating policies to support the (2.2% and 2.9%).
implementation of XBRL in India. 4.2 Demographic information and awareness level
3.2 Research issues Forty one responses were obtained to the first section of the
The study attempted to answer the following research questionnaire. This section included questions centering on:
issues.  The respondents‟ demographic profile
 Awareness of XBRL  The respondents level of awareness
 Knowledge of XBRL  The respondents‟ appetite for further investigation
on XBRL in the future because of this survey.
 Potential benefits of XBRL
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4.2 (a): Demographic profile of respondents positions, experience levels, genderand age group. Table I
shows the respondents‟ demographic profile.
This section consisted of questions focusing on the
respondents‟ demographic information like different job
Table: I
Demographic variables No. of respondents
Financial Accountant 23 (56.10)
External Auditor 8 (19.51)
Job Description
Internal Auditor 4 (9.76)
Consultants or Others 6 (14.63)
0-4 years 3(7.31)
4-10 years 17(41.46)
Experience
10-14 years 14(34.16)
Above 14 years 7(17.07)
Male 29 (70.73)
Gender
Female 12 (29.27)
Up-to 30 years 13 (31.71)
31-40 years 22 (53.66)
Age 41-50 years 4 (9.76)
51-60 years 1(2.44)
Above 60 years 1(2.44)
(Figures in parenthesis show percentages)
It is evident from the table I that most of the respondents 2.44 percent each were from the age groupsof 51-60 years
(56.10%) were in positions where they were more directly and above 60 years.Thus, majority of the respondents, that
involved with ﬁnancial data or information (e.g. ﬁnancial is, 85.37 percent of the sample, were from the young and
accountants). They were directly involved in the extraction middle age group.
of financial data or information. Other respondents were
4.2 (b): Level of awareness of XBRL
employed as external auditors (19.51%), internal auditors
(9.76%) and consultants (14.63%).Most (76%) of the XBRL provide many benefits. It offers cost and time saving
respondents had 4 to 14 years‟ experience in their benefits to chartered accountants. Therefore, chartered
roles.Table also depicts that the majority (70.73 %) of the accountants should be aware of and have understanding of
respondents were male and 29.27 percent of the sample XBRL. The chartered accountants were asked to assess
were females with 31.71 percent of the respondents from their awareness level of XBRL. The results are presented in
the age group of up to 30 years, 53.66 percent from 31-40 table II.
years, 9.76 percent from the age group of 41-50 years and
Table II: Awareness of XBRL

Statements Percentages
I have never heard of it 17.07%
I have heard of it, but do not know what it is about 46.34%
I have heard of it and am aware of it 36.59%
(Statements adapted from Nel and Steenkamp 2008: 88)
It is clear from the table that 63.41 percent of respondents 4.2 (c): Appetite for further investigation on XBRL in
were not aware of XBRL at the time of survey.This might the future
be an indication that there is a low level of awareness of
Part 1 of the questionnaire included statements assessing
XBRL in market. Previous research on XBRL awareness
chartered accountants keenness to explore XBRL further.
(Pinsker, 2003; Troshani and Doolin, 2007; Chartered
Responses were regrouped as shown in table III.
Financial Analyst Institute, 2007a, 2007b) stated lack of
education, ongoing changes in the accounting arena and
lack of resources are major reasons of low awareness.
Table III: Exploration of XBRL in the near future
Will explore in near future Will not explore in near future Total
Was aware 21% 7% 28%
Was not aware 59% 13% 72%
80% 20% 100%
As shown in table III, only 20 percent of the respondents XBRL in near future even though they wereunaware of
said that they would not explore XBRL in the near future, XBRL before the survey.
compared to 82 percent (59% / 72%) who would examine
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4.3 Understanding potential benefits of XBRL 4.3 (a): Knowledge of XBRL
This section included two questions focusing on the In order to evaluate the knowledge of chartered accountants
following: regarding XBRL, the questionnaire included
statementsregarding knowledge of XBRL. Table IV shows
 Knowledge of XBRL
the results.
 Potential benefits of XBRL
Table IV: Understanding of XBRL

Statements Percentages
I was aware of XBRL, but did not have basic knowledge of it 53.34%
I have basic knowledge of XBRL 33.33%
I have full knowledge of XBRL 13.33%
It is clear from the table that only 46.66 percent of the data, improved screening of data, ability to exchange data
aware chartered accountants had some understanding of between different proprietary systems better investment
XBRL. This low level of understanding was expected decisions etc.(Singh, 2014).Although the literature
considering the fact that XBRL technology is in the process documents a number of perceived benefits to various
of being implementation in India. parties, Richards and Tower (2004) believe that the
“benefits are notoriously hard to measure and may be
4.3 (b): Potential benefits of XBRL
illusionary”.In order to analyze the potential benefits of
XBRL adoption will benefit all participants in the financial using XBRL, a list of eight statements was prepared and
information supply chain, from the company preparing the used in the study. The respondents were asked to express
financial statements, to the investors, external auditors, their level of agreement/ disagreement on a five point
internal auditors, regulators, tax practitioners, general Likert scale ranging from „strongly agree‟ to „strongly
practitioners, lenders, investment analysts, stock brokers, disagree‟, with respect to each statement. The Weighted
and even accounting and finance researchers (Singh, 2014). Average Scores (WAS) for each statement were calculated
Various sources (Johannesburg Stock Exchange, 2010; by allocating the weights 5,4,3,2,1 to the responses
XBRL US, 2009; Troshani and Doolin, 2007; Hannon. „strongly agree‟, „agree‟, „neutral‟, „disagree‟ and „strongly
2005a; Hannon, 2005b; Flowerday et al., 2006; Barac, disagree‟ in that order. Responses with respect to simple
2004; Barton, 2003; Bergeron, 2003; Higgins and Harrell, frequencies, percentage values and WAS are shown in
2003; Weber, 2003, Wills, 2003) pointed out some of the Table V. The results of the statements should be understood
benefits of XBRL. The most commonly reported benefits keeping in mind that only 46.66 percent of the respondents
include savings in time and costs, the improvement in data who responded to these statements had some knowledge of
quality such as accuracy and completeness of data, multiple XBRL.
uses for data, enhanced ability to analyze and compare
Table V: Potential benefits of XBRL

Potential Benefits SA A N D SD WAS
XBRL can reduce the re-keying of 6 3 4 2 0 3.87
financial data (40.00%) (20.00%) (26.67%) (13.33%) (0.00%)
XBRL- based reports can be re-used 7 2 5 1 0 4.00
with no loss in data integrity (46.66%) (13.33%) (33.33%) (6.67%) (0.00%)
Use of XBRL can provide 5 4 4 1 1 3.73
Interoperability with other existing (33.33%) (26.67%) (26.67%) (6.67%) (6.67%)
applications/ systems
XBRL can contribute to speeding up 6 4 3 2 0 3.93
the reporting cycle (40.00%) (26.67%) (20.00%) (13.33%) (0.00%)
XBRL fosters data comparability 7 4 4 0 0 4.20
(46.66%) (26.67%) (26.67%) (0.00%) (0.00%)
XBRL can be used to produce more 4 4 5 1 1 3.60
analytical (26.67%) (26.67%) (33.33%) (6.67%) (6.67%)
tools
XBRL can help reducing processing 7 3 4 1 0 4.07
Errors (46.66%) (20.00%) (26.67%) (6.67%) (0.00%)
XBRL-enabled information 5 3 5 1 1 3.67
can be an authentic source for the production of (33.33%) (20.00) (33.33%) (6.67%) (6.67%)
interim and annual statements
Abbreviations: SA: strongly agree; A: agree; N: neutral; D: disagree; SD: strongly disagree; WAS: weighted average score.
(Statements adapted from Dunne et al. 2009: 47)
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As shown in table above, the most important perceived 6. Chartered Financial Analyst Institute, (2007b), “XBRL Survey
June 2007”. Available at:
benefit of using XBRL was comparability of data (WAS-
http:/cfainstitute.org/centre/reporting/pdf/xbrl_results.pdf.
4.20). Other significant benefits reported by the
respondents included reduction in processing errors (WAS- 7. Chartered Financial Analyst Institute, (2009), “CFA Institute
Member Survey: XBRL November 2009”, CFA Institute Market
4.07), reusability of data without losing integrity (WAS- Research. Available at:
4.00), speeding up the reporting cycle (WAS-3.93), no re- http://www.cfainstitute.org/survey/xbrl_member_survey_report_2
keying of data (WAS-3.87), interoperability with existing 009.pdf
applications/systems (WAS-3.73), authentic source for the 8. Canadian Securities Administrators, (2006), “Canada‟s Securities
production of interim and annual statements (WAS-3.67) Regulators Launch Extensible Business Reporting language
and more analytical (WAS-3.60).The results of this study (XBRL) Voluntary Filing Program”. Available at:
were consistent with the results of Davidson et al. (2007), http://www.securities-administrators.com.
Nel and Steenkamp (2008) Securities and Exchange 9. Davidson, A., Robinson, A. and Malthus, S., (2007), “Awareness
Commission (2008) and Dunne et al. (2009) and Use of XBRL by Chartered Accountants in New Zealand”,
New Zealand Journal of Applied Business Research, 6(2), 37-54.
5. CONCLUSIONS AND LIMITATIONS 10. Dunne, T., Helliar C., Lymer A. and Mousa R., (2009), “XBRL:
XBRL is a new technology for the internal and external The Views of Stakeholders”, Research Report No.111, London:
Association of Chartered Certified Accountants, 1-70.
exchange of financial and non-financial information among
various stakeholders.Chartered accountants (CAs) are at the 11. Dunne, T., Helliar, C., Lymer, A. and Mousa, R., (2013),
“Stakeholder Engagement in Internet Financial Reporting: The
forefront of this new development in accounting and Diffusion of XBRL in the UK”, The British Accounting Review,
reporting. Following research in the USA, UK and South 45(2013), 167-182.
Africa, in which low degree of awareness and
12. Flowerday, S., Blundell, A.W. and Von Solms, R., (2006),
understanding of XBRL were found; the present study “Continuous Auditing Technologies and Models: A Discussion”,
elicited the views of chartered accountants regarding Computers and Security, 25(5), 325-331.
XBRL in India. A questionnaire was constructed and
13. Ghani, E.K., and Muhammad, K., (2014), “Financial Reporting
disseminated to selected chartered accountants in India. Preparers‟ Perception on Usage Expectation of Extensible
The results showed that most of the chartered accountants Business Reporting Language in Malaysia”, British Journal of
were not aware of XBR. Around 47 percent of the aware Economics, Finance and Management Sciences, 9(1), 1-12.
chartered accountants has some knowledge of XBRL. The 14. Hannon, N., (2005a), “XBRL GL: The General Ledger gets its
reasons given by the respondents for adopting XBRL Groove”, Strategic Finance, 87(3), 57-58.
reflected the perceived benefits reported in the literature. 15. Hannon, N., (2005b), “Makin Data the Centre of Your
The most common reason stated by the respondent was the Information System”, Strategic Finance, 87(4), 55-56.
ability to analyse and compare data. Other benefits reported 16. Higgins, L.N. and Harrell, H.W., (2003), “XBRL: Don‟t Lag
by the respondents included reduction in processing errors, behind the Digital Information Revolution”, The Journal of
reusability of data without losing integrity, speeding up the Corporate Accounting and finance, 14(5), 213-221.
reporting cycle, no re-keying of data, interoperability with 17. Johannesburg stock Exchange, (2010), “XBRL: The Digital
existing applications/systems, authentic source for the Reporting Evolution”. Available at: www.jse.co.za/Libraries/X-
production of interim and annual statements and more Filing-Brochure/XBRL_brochure.sflb.ashx.
analytical. 18. Mahadevappa, B. and Raju, R., (2016), “Awareness Level of
XBRL Reporting among Regulators”, Primax International
The present study has one limitation. The survey was Journal of Commerce and Management Research, IV (3), 151-
limited to discovering the perspectives of those working in 156.
India. The findings in India may be different from those of
19. Nel, G.F. and Steenkamp, L.P., (2008), “An Exploratory Study of
other countries, although the prior studies conducted in Chartered Accountants‟ Awareness and Understanding of
other countries have also reported limited understanding of XBRL”, Meditari Accountancy Research, 16(1), 79-93.
XBRL. 20. Nel, G.F. and Steenkamp, L.P., (2012), “The Adoption of XBRL
in South Africa: An Empirical Study”, The Electronic library”,
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1. Barac, K., (2004), “South African Auditors‟ Policies, Practices
21. Pinsker, R., (2003), “XBRL Awareness in Auditing: A Sleeping
and Perceptions with regard to Internet Reporting”, Meditari
Giant”, Managerial Auditing Journal, 18(9), 732-736.
Accountancy Research, 12(2), 1-19.
22. Richards, J. and Tower, G., (2004), “Progress on XBRL from an
2. Barton, K. E., (2003), “XBRL”. Available at:
Australian perspective”, Australian Accounting Review, 14(1), 81-
www.nysscpa.org/committees/emergingtech/
87.
3. xbrl_2003.html
23. Securities and Exchange Commission, (2008), Advisory
4. Bergeron, B., (2003), Essentials of XBRL, John Wiley and Sons, Committee on Improvements to Financial Reporting, New York.
Hoboken, NJ.
24. Singh, M., (2014), “Corporate Web Disclosure in India: An
5. Chartered Financial Analyst Institute, (2007a), “Response Empirical Study”, Unpublished Research Project Report (UGC).
Overview”. Available at:
25. Troshani, I. and Doolin, B., (2007), “Innovation Diffusion: A
http;//www.cfainstitute.org/centre/reporting/xbrl/questions.html
Stakeholder and Social Network View”, European Journal of
Innovation Management, 10(2), 176-200.
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26. Weber, R., (2003), “Trust and Data Assurances in Capital
Markets: The Role of Technology Solutions”. Available at:
www.xbrleducation.com/pubs.PWC_Book.pdf.
27. Wills, M., (2003), “Corporate Reporting Enters the Information
Age”, Regulation, 26(3), 56.
28. XBRL International, (2007a), “Financial Reporting Taxonomies”.
Available at: http://www.xbrl.org/FRTaxonomies/.
29. XBRL International, (2007b), “How XBRL Works”. Available at:
http://www.xbrl.org/HowXBRLWorks/.
30. XBRL US, (2009), “Survey Results and analysis for AICPA
XBRL, Preparedness Survey Combined Report of AICPA and
XBRL US Members”. Available at:
www.xbrl.us/news/documents/AICPAreadiness2009.pdf.
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DIGITAL MARKETING EFFECTIVENESS STUDY: A SPECIAL FOCUS ON
PROMINENT FUTURISTIC TOOLS OF DIGITAL MARKETING FOR
INDIAN HOTELS
*
Amol Kumar **Asif Ali Syed ***Ajay Singh
*
Research Scholar, Aligarh Muslim University, Aligarh
**
Associate Professor, FMSR, Aligarh Muslim University, Aligarh
***
Associate Professor, ABES Engineering College, Ghaziabad
ABSTRACT
Purpose- This is a research work primarily done to study ‘Digital Marketing Effectiveness’ for Hotel
and Restaurant Approval & Classification Committee (HRACC)’s classified star category Indian hotels
and also to probe upon prominent futuristic digital marketing tools.
Design/Methodology/Approach- This paper has evolved from extensive literature review followed by the
survey methodology.
Data analysis- The collected data has been analysed with the help of SPSS 17.0 version software
Findings- Digital marketing tools are playing very effective role for the hotels
Keywords: Digital Marketing, futuristic tools, Effectiveness, Star category, HRACC Classified Indian
hotels
INTRODUCTION 6. Website: Kafley et al., (2018) , Kaur (2017)
Digital marketing, one of the greatest disruptions of recent 7. Search Engine Optimization: Paraskevas et
times after internet and incorporates the usage of al(2011))
technologies through marketing efforts via internet. Internet
8. Email Advertising/Marketing: Hartemo(2016),
Live Stats, (2019) (2020) suggests that total internet users
Kaur (2017), Pawar (2014)
in the world at grew from 4.28 billion in 2019 to 4.62
billion at present times in mid of 2020 and the number is 9. Content Marketing: Kaur (2017)
growing at a rapid pace. The advancement in advanced
10. Affiliate Marketing: Bostanshirin (2014)
technologies, evolution of digital devices and easy
accessibility to common masses have pulled the business 11. E-WOM or Viral Marketing: Leung et al., (2017) ,
world including hospitality industry for marking a shift Bostanshirin (2014)
towards digital paradigm. As per the review, frequently
used tools of digital marketing from hotel’s perspective as 12. Influencer Marketing: Nafi & Ahmed (2019) ,
highlighted from previous studies are as follows: Gupta& Mahajan (2019)
1. Website Parvez et al (2018) 13. Pay Per Click (PPC): (Yasmin, Tasneem &
Fatema,2015)
2. Social Media: Parvez et al (2018), Kaur (2017)
14. Web Banner Advertising: Pawar (2014)
3. Property Management System (PMS): Parvez et
al., (2018) 15. Artificial Intelligence(AI): Ivan(2020)
4. Mobile Marketing: Mahendru (2015), Kaur (2017) 16. Online Travel Agencies/Portals
(OTAs/OTPs):(Carroll & Sileo,2014) (Sengupta &
5. Online Reviews and Blogs: Kaur (2017), Sengupta,2014) (Jayawardena et al, 2013)
Mahendru (2015)
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Exhibit-01
Important Statistics related to Indian Tourism (During 2018)
1 No. of Arrivals: Annual growth rate (AGR) In Millions
 Foreign tourists
 Non-Residents Indian 10.56: 5.2
 International tourists 6.87: 1.4
17.42: 3.7
2 Foreign Exchange Earnings from Tourism 1,94,881 Crore (In INR) 9.6%
with AGR
3 Approved Hotels 1961 (5 Star Deluxe=170 with 37955
rooms, Apartment Hotels=3 with 252 rooms,
Guest House=7 with 106 rooms, Heritage Hotels=58
with 1843 rooms & Bed and Breakfast
Establishments=639 with 2983 rooms)
No. of Rooms 102490

4 Star category: No. of Approved Hotels: No. 1* 9 348
of Rooms 2* 37 990
3* 535 18889
(As on 31st Dec,2018) 4* 322 16451
5* 181 22673
5 Distribution of Classified Star Category 5 * Deluxe 22 6875
Hotel & Hotel Rooms in Delhi 5* 10 1402
(As on 31st Dec,2017) 4* 5 474
3* 5 149
1* 2 14
* In India, HRACC looks after the classification/re-classification of hotels including Project approval.
Source: Ministry of Tourism (2019)
1.1 RESEARCH NEEDS 2.2 Gap Analysis
There lack quality researches on hotel based digital Most of the research papers were focusing on describing
marketing as well as the fact that hotels do provide a the basic tools of digital marketing. Empirical study on
considerable amount of jobs in India and is still going, even digital marketing effectiveness was missing in most of the
during and post COVID 19 scenario it possesses several research works priorly done which encouraged the
unique reasons to bounce back and grow, has a significant researchers to study on digital marketing effectiveness Star
contribution towards India’s GDP and is characterized by category hotels pint of view
more or less in offering a recession free environment those
2.3 Research Objectives
who work here, directly or indirectly. Such valid reasons
make pressing needs for the researchers to carry this 1. To explore the effective role played by digital
research forward. marketing tools for hotels
1. LITERATURE REVIEW 2. To find out the impact of Online Travel Agencies
(OTAs) on hotels
The relevant literature has been majorly extracted from
online journals, reports, websites, unpublished reports, 3. To find the futuristic tools of digital marketing for
manuscripts, Bachelors, Masters and Doctorate level thesis. star classified Indian hotels
2.1 EFFECTIVENESS OF DIGITAL MARKETING
3 RESEARCH METHODOLOGY
Wilson, Wnuk, Silvander & Gorschek (2018) highlights the
literal meaning of Effectiveness as the strength of An extensive literature review was then followed by the
producing desired result. Appiah-Adu, Fyall & Singh survey through which primary data was collected based out
(2001) found major marketing effectiveness dimensions as of structured questionnaire filled by managerial level
customer-based performance (retention), gainfulness professionals of selected star hotels of Delhi NCR,
(profitableness, efficiency in operations, strategic inquiring into more than 10 hotels. Initially the research
orientation, sufficient marketing information, & Integrated was exploratory in nature then followed by causal research
marketing organization with majority of the parameters for the data SPSS (Statistical Package for Social Sciences)
having significant and positive relationship with growth in 17.0 version was used.
sales. Krizanova et al. (2019) suggested Return on
Research Design (Descriptive and Exploratory)
Investment (ROI) as highly appropriate to measure the
digital marketing effectiveness. Sampling technique used=Convenience sampling
Respondents=Managerial level professionals of 4 Star and
above category HRACC classified hotels of Delhi NCR
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Primary data was collected by the enumerators (who  This study has focussed only from hotel’s
themselves were Master’s level hospitality students) who perspective. The future research can focus on
were appointed by the researchers. others constituents of the service /hospitality
industry.
3.1 Research limitations/ Implications-
4 DATA ANALYSIS
 Small sample size
 Only HRACC classified, star category of hotels 4 In order to explore the effective role played by digital
star and above category were contacted for data marketing tools for hotels. An instrument in which 14 items
collection, confined to Delhi NCR region of India were development and the responses were analysis, firstly
 Customer’s feedback was not included for primary reliability analysis was performed followed by Exploratory
data collection Factor Analysis (EFA).
Reliability Statistics
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
.701 .710 14
Value of alpha= 0.701 (which is greater than the cut-off value of 0.6. Hence the scale is reliable to carry out further
analysis)
Kaiser-Meyer-Olkin (KMO) & Bartlett's Test
KMO Measure of Sampling Adequacy. .862
Bartlett's Test of Sphericity Approx. Chi-Square 210.274
Df 78
Sig. .000
KAISER-MEYER-OLKIN (KMO) & BARTLETT’S Value is 0.862 which is excellent to carry out Factor
TEST analysis. Also, the P- value is less than 0.05, Hence it is
significant.
KMO test is used for Sample adequacy which should be
greater than 0.6. In the below mentioned table KMO
Total Variance Explained
Compo Initial Eigenvalues Extraction Sums of Squared Loadings Rotation Sums of Squared Loadings
nent Total % of Variance Cumulative % Total % of Variance Cumulative % Total % of Variance Cumulative %
1 3.453 26.558 26.558 3.453 26.558 26.558 2.738 21.060 21.060
2 2.713 20.870 47.428 2.713 20.870 47.428 2.540 19.536 40.596
3 2.361 18.162 65.590 2.361 18.162 65.590 2.504 19.262 59.858
4 1.630 12.538 78.128 1.630 12.538 78.128 2.375 18.270 78.128
Extraction Method: Principal Component
Analysis.
First component has 26.55 percent of variance share 12.528 percent of variance, Total cumulative percent of
followed by second component having 20.870 percent of variance share is 78.128 which explains that 78 percent of
variance, followed by third component having 18.162 variance shared by all 4 components.
percent of variance, finally, fourth component having
Rotated Component Matrixa

Component
1 2 3 4
Improvement of brand image .781 .077 -.026 .142
Increase in sales .709 .197 -.445 -.296
Increase in direct bookings .707 -.453 .035 -.279
Educating and persuading the customers for booking hotel services again .696 .104 .215 .352
Better room check-in experiences .094 .845 .083 .057
Converting prospects into buyer of services -.034 .793 .045 -.054
Better engagement practices -.235 .118 .916 .151
Providing opportunity for customer to compare what was said vs. delivered .230 .574 .710 .040
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Enhancing the efficiency in terms e.g., lesser time-taken by customer in booking through
.540 -.152 .699 -.170
electronic devices
Increasing overall online reputation -.050 .525 .606 -.502
Getting unbiased feedback from customer -.140 -.129 -.114 .833
Better promotion of hotel services .452 .090 .119 .824
Transforming the updated information for customers -.050 .519 .155 .618
*Factor Analysis using principal component is done in the present study
After conducting EFA, 4 factors have emerged, first factor In order to various find out challenges faced by hotels in
is Brand Awareness, Second Factor is Improved Services, adopting digital marketing tools, an instrument with 9 items
third factor is customer engagement, and fourth factor is were developed and then responses were analysed, at first
hotel services promotion. Reliability analysis was performed followed by EFA.
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
.725 .751 9
In calculating scale reliability, value of alpha came out to be 0.725 which is above the suggested minimum value of 0.6.
Total Variance Explained (contributed by each component)
Initial Eigenvalues Extraction Sums of Squared Loadings Rotation Sums of Squared Loadings
Component Total % of Variance Cumulative % Total % of Variance Cumulative % Total % of Variance Cumulative %
1 2.937 32.635 32.635 2.937 32.635 32.635 2.298 25.530 25.530
2 1.831 20.339 52.974 1.831 20.339 52.974 2.185 24.278 49.807
3 1.397 15.524 68.497 1.397 15.524 68.497 1.682 18.690 68.497
Extraction Method: Principal Component Analysis.
First component has 32.635 percent of variance share percent of variance, finally, Total cumulative percent of
followed by second component having 20.339 percent of variance share is 68.497 which explains that 68 percent of
variance, followed by third component having 15.524 variance shared by all three components.
Rotated Component Matrixa
Component
1 2 3
Requires investments manifolds in comparison to traditional marketing -.760 -.093 .365
Most of the working staffs are not very qualified and trained so implementation is difficult .753 .361 -.059
It always keeps the marketing team on toes to regularly update the content .738 -.067 .287
The operating team immediately look forward to salary hike and appraisal after the increase in revenue through
.628 .238 .335
DM
It generates lots of queries by guests out of which several goes unattended and causes dissatisfaction .249 .782 .297
The individual contribution of the marketing team is not highlighted so employee least prefer using DM sources .017 .764 -.018
There are many tools so result on any specific type of digital tool is hard to be predicted .191 .761 -.127
Online reputation cannot be retained/or is hampered when using digital tools -.091 .226 .808
Requires lots of training inputs to key staffs responsible for digital marketing .328 -.399 .770
After conducting EFA, 3 factors have emerged, 1st factor is In order to understand the impact of Online Travel
Employee Satisfaction, 2nd Factor is Customer handling, Agencies (OTAs) on hotels item to total correlation
3rd factor is Online Hotel Reputation. analysis was performed on all the statements in which 6
items were retained which are having correlation above 0.3.
Pearson Correlation Coefficient

-0.138
Increase in hotel’s revenue 0.519
24
.694**
Instantly leads to offering comparison
0
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24
0.359
Smart phones are utilised so customer is at ease 0.085
24
.494*
Leads to Billboard effect 0.014
24
.516**
Leads to more cancellations by the guests 0.01
24
.599**
Sometimes misleading the customers through false
0.002
advertisements
24
In the above table the maximum correlation coefficient is 0.599,Another factor leads to Increase in hotel’s revenue is
0.694 which explains that OTA leads to instant comparison with correlation coefficient 0.519, followed by another
of different hotels on different attributes such as price and factor Leads to more cancellations by the guests with
services followed by Sometimes misleading the customers correlation coefficient of 0.516, Leads to Billboard effect
through false advertisements with correlation coefficient of (0.494)and Smart phones are utilised so customer are at
ease(0.359).
CONCLUSION from these there are several others which can be uncovered
with more elaborative studies.
The digital marketing tools are playing very effective role
for hotels leading to Brand Awareness, Improved Services, Some of the major challenges faced by hotels in adopting
Better Customer Relationship, Cost effectiveness, customer digital marketing tools are: Top level management’s
engagement, better online reputation and hotel products and positive approach or managerial support towards
services promotions. These are some major benefits apart implementation, digitally training human resource, digital
training and development, growing competition, Initial cost
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of implementation, different digital requirements based on Technology, 8(1), 19-38. doi:http://dx.doi.org/10.1108/JHTT-08-
2016-0039
different star categorization of hotels, Maintaining data
security, higher customer expectations and Online Hotel 10. M. Wilson, K. Wnuk, J. Silvander, and T. Gorschek (2018).
Reputation management. ―A literature reviewon the effectiveness and efficiency of
business modeling,‖ e-Informatica Soft-ware Engineering
The impact of Online Travel Agencies (OTAs) leads to Journal, vol. 12, no. 1, pp. 265–302
instant comparisons of different hotels on different 11. Mahendru., A. (2015), Indian Hotel Industry: Transformation
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mislead customers through false advertisements, increase in Management, Vol.2(1), 522-531
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and Leisure, Volume 8 (1), 1-15
decision making and e-payments.
13. Paraskevas, A., Katsogridakis, I., Law, R., & Buhalis, D. (2011).
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Big data, Internet of things (IoT), Augmented Reality (AR), distribution channels. Cornell Hospitality Quarterly, 52(2), 200-
Recognition technology, Virtual Reality (VR), 208.
Gamification (online games), Online public relations in the 14. Parvez, S., Moyeenudin, H.M, Arun, S., Anandan, R., & Janahan,
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3. Gupta, S., & Mahajan, R. (2019). Role of Micro-Influencers in Publishing
Affecting Behavioural Intentions. International Journal of Recent WEBSITES
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A STUDY OF THE AWARENESS AND COMPLIANCE OF GOODS AND
SERVICES TAX (GST) AMONG DIFFERENT SMALL BUSINESSES IN GOA
*
Gajanan B. Haldankar **Santosh Patkar
*
(Research Scholar at Goa Business School , Goa University), Assistant Professor, Department of
Commerce, VVM’s Shree Damodar College of Commerce & Economics, Margao- Goa.
**
Principal, Sridora Caculo College of Commerce and Management Studies, Mapusa- Goa.
ABSTRACT
GST is newly introduced in India from 1st July 2017 and considered as one of the biggest reforms in
India. Before the introduction of GST there were number of indirect taxes. GST has replaced existing
multiple cascading taxes levied by the Central and State Governments. Since GST is a newly introduced
tax law it is very important to understand weather the business community are having a proper
awareness of the GST law and what are their understanding about the GST law. In this research paper
the researcher studies the awareness and compliance about GST amongst small businesses from the
state of Goa. For the purpose of analysis descriptive and chi square analysis have been used through
Jamovi software.
Key Words: Indirect Tax, GST, Small Business, Awareness, Compliance.
INTRODUCTION 2. To study and compare the opinion of compliance
towards GST among different small businesses in
Taxation is the imposition of compulsory levies on
Goa.
individual persons or entities by the Government. Taxes are
charged in almost every country to increase its revenue for RESEARCH METHODOLOGY
the Government expenditures. The power to impose and
The present study is based on survey methodology for
collect various tax is entrusted with either Central
collecting data required to accomplish the objectives. The
Government or State Government or collectively both.
detailed research methodology is outlined as under:
In India there are two types of taxes first one is Direct Tax
1. Sample design: The present study is based on survey
and second one is indirect Tax. Indirect tax is applicable to
of responses from GST registered businesses of Goa.
almost full population of India. Before 1 July 2017 number
A sample of 100 respondents has been drawn on
of taxes were applicable under in Indirect taxes in India
random basis. The primary source of information
from 1st July Goods and Services Tax was introduced in
was collected with the help of structured
India. With the introduction of GST certain indirect taxes
questionnaire administered to selected sample of
are subsumed under GST. Such as central taxes like Central
businesses of Goa.
Excise duty, Duties of Excise, Additional Duties of Excise,
2. Tools and Techniques: The responses obtained
Additional Duties of Excise, Additional Duties of Customs,
through sample survey have been analysed using
Special Additional Duty of Customs, Service Tax , Central
Descriptive statistics and Chi Square analysis.
Surcharges and Cess..
Main reason for GST being introduced in India is to reduce
the cascading effect of tax and to minimize the tax burden Literature review is basically an in-depth study of the
that falls on ultimate customers and to make the overall previous research done on a topic which relates to current
indirect tax easy. GST is supposed to make the burden of research topic. This Section provides detailed review of the
the Businessmen less by reducing the compliance. Since literature related to current research topic and literature
GST is a very new tax law it is very important to study the available is studied deeply to understand the work done so
opinion of GST amongst the business class which is dealt far.
in this research paper.
Gupta (2014) The author said that the GST will simplify
OBJECTIVES the India’s tax structure, broaden the tax base, and create a
common market across the states. The author concluded by
The research has been undertaken to accomplish the
saying that tax policies plays an important role on the
following objectives
economy through introducing GST in future it will surely
1. To study and compare the awareness of GST among impact the economy in positive manner.
different small businesses in Goa.
Sehrawat and Dhanda (2015) The researchers have
adopted a descriptive type research design to have more
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accuracy and rigorous analysis of research study. The benefit will be the more investment the reason is because of
accessible secondary data is used for research study. The GST the cost of products will go down as a result more
researchers say that a simple, user-friendly and transparent people will save and invest.
tax system is required which can be fulfilled by
Verma, Khandelwal and Raj (2018) In this study it was
implementation of GST.
found that GST had huge impact on outlasting of a business
Priya (2017) The author explained what will be the impact in the market. Few businesses found it advantageous
of GST on various sector on Indian economy for example whereas most of them faced difficulties in accepting.
telecom, E-Commerce, Automobile real estate, banking and
Mughudhan B and Kirubagank k (2018) studied on the
consumer goods.The author has concluded by stating that
topic “GST & Its impact on small scale business in
the transition from multiple tax regime to GST will take
Tamilnadu: An analysis.” It was found that there was no
some time but at the end GST will benefit the overall
significant impact on small scale business in Tamilnadu.
economy and it will be a game changer.
Baliyan and Rathi (2018) in their research paper tried to
Agrawal (2017) The author explains the impact of GST by
study the impact on GST on different sectors in India. After
saying that there will be positive impact on the economy
analysis all this sectors the authors conclude by stating that
because the number of taxes will be reduced, the prices of
there will be more positive effect of GST on the sectors as
the products and services will go down, corruption free
compared to negative effects.
taxation system will be developed and less tax compliance
will be there, GST will be anti-cascading effects etc Uppal, Wadhwa, Anubha and Kaur (2019) in their
research tried to study awareness and perception of GST
Abda (2017) the author in his paper tried to study the GST
among businessman in Ghaziabad Region. From the
models in details. The author concluded by saying that
research the finding was that maximum businessmen had a
there are more advantages of GST as compared to
wrong perception about GST and GST training.
challenges , it will give Indian Economy a strong and smart
tax system for Economic development but for gaining this DATA ANALYSIS AND INTERPRETATION
country will need to build a strong mechanism.
In this research 100 Respondents were given a
Kishan (2017) He explained that the major benefit of GST questionnaire who are running various business in Goa.
for consumers which will be decrease in the cost of product Since GST is a newly introduced in India, this research
and services, for producers the benefit will be the tries to find out the awareness of GST amongst different
complexity will go down and for the government the small business in Goa.
Table 1.
Profile of the Respondents
Type of Question No. of Respondents Percentage
Age of the respondents
20-40 years 60 60
40-60 years 31 31
60-80 years 6 6
80 years and above 3 3
Total 100 100
Gender
Male 71 71
Female 29 29
Total 100 100
Type of Business
Wholesale business 28 28
Retail business 24 24
Service organisation 18 18
Trading business 30 30
Total 100 100
Source: Primary Data

OBJECTIVE 1: -
The above table shows the profile of the respondents. The
study indicates that, most of the respondents are between To study and compare the awareness of GST among
20-40 years of age. The study indicates that, most of the different small businesses in Goa. To achieve this objective
respondents are males as compared to females. The study the following analysis have been conducted.
also reveals that, the maximum no. of respondents surveyed
are engaged in Wholesale business.
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A) Does the business profit have been affected after the Below table shows if the profit has been affected after the
implementation of GST? implementation of GST in India
Table 2
Sr. No. Particulars No of Respondents Percentage

1 Yes 23 23
2 No 12 12
3 May be 65 65
Total 100 100
feels profits have not been affected and rest 23% says that
INTERPRETATION
GST has affected the profits of the business
The above table depict whether business profit have been
B) Does the introduction of GST have affected the
affected after implementation of GST. It is clearly shown
demand for products and services.
that majority of the respondents which is 65% are not sure
if GST have affected their business profits or not, 12% Below table shows if GST have affected demand for
products and services after introduction.
Table 3
Sr. No. Particulars No. of Respondents Percentage
1 Positively affected 16 16
2 Negatively affected 15 15
3 No impact on demand for goods and services 69 69
Total 100 100
C) Comparing awareness of GST among different small
INTERPRETATION
business in Goa
The above table shows if the introduction of GST has
To Compare the awareness of GST among different small
affected demand of products and services positively,
business in Goa. The hypothesis frame are as follows.
negatively or has no impact on goods and services. Out of
100 respondents 16% of the businesses have been Ho: - There is no significant difference between
positively affected to gear up the demand for the goods & knowledge about GST among different small business
services, whereas the demand of 15% businesses are in Goa.
negatively affected by the introduction of GST and
H1: - There is significant difference between
remaining 69% of respondents were of the opinion that
knowledge about GST among different small business
there is no impact of GST on the demand for goods and
in Goa.
services.
The above hypothesis has been tested using Chi Square
test the results are as follows
Table 4
Having knowledge about GST
Type of Business Yes No. Total
Wholesale business 19 9 28
Trading business 5 19 24
Service organisation 12 6 18
Retail business 21 9 30
Total 57 43 100
χ² Tests
Value Df Value
χ² 16.9 3 < .001
N 100
Source: Author’s Computation using jamovi software
INTERPRETATION revealed that there was a significant difference between
knowledge about GST among different small business in
chi-square test was used to determine whether there was
Goa as the p value was less than < .001. which basically
significant difference between knowledge about GST
means that different businesses like the wholesalers,
among different small business in Goa. After the test it was
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retailers, traders and service provider have difference when A) Amount of spending on goods and service tax
it comes about knowledge and awareness about GST law. compliance per year.
OBJECTIVE 2:- Below table shows how much business currently spend on
goods and service tax Compliance per year.
To study and compare the opinion of compliance towards
GST among different small businesses in Goa. To achieve
this objective the following analysis have been conducted.
Table 5
Sr. No Particulars No..of respondents Percentage
1 Less than 5,000 24 24
2 5,000 - 10,000 21 21
3 10,000-25,000 20 20
4 More than 25,000 35 35
Total 100 100
INTERPRETATION: B) key changes to make GST law more taxpayers
friendly
The above table indicates how much the respondent spend
on GST compliance per year. Out of the total respondents Below table shows what are the key changes respondents
24% spends less than Rs. 5000, whereas 21% spends in the wants to see in GST law to make it more taxpayers friendly
range of Rs.5000-Rs.10000, further 20% spends between
Rs.10000-Rs.25000 and balance 35% of the respondent
spends more than Rs.25000 per year.
Table 6
Sr. No. Particulars No..of Respondents Percentage
1 Reduction in GST rate 30 30
2 Input Tax Credit adjustments 9 9
3 Compliance 61 61
Total 100 100
INTERPRETATION To Compare the opinion of compliance towards GST

among different small businesses in Goa. The hypothesis
The above figure shows the key changes that the
frame are as follows
respondents would like to see to make GST friendlier to
taxpayers. 30% of the respondents were of the opinion that Ho: - There is no significant difference between the
GST rates should be revised, 9% said excess input tax opinion of compliance towards GST among small
credit adjustment would make GST tax payer friendly, businesses in Goa.
whereas the remaining 61% said that documentation and
H1: - There is significant difference between the opinion of
compliance reduction would make GST more friendly.
compliance towards GST among small businesses in Goa.
C) Opinion of compliance towards GST among
The above hypothesis has been tested using Chi Square
different small businesses in Goa.
test the results are as follows
Table 7
Is GST easy to comply
Type of Business Yes No Total
Wholesale business 9 19 28
Trading business 9 15 24
Service organisation 5 13 18
Retail business 13 17 30
Total 36 64 100
χ² Tests
Value Df P Value
χ² 1.43 3 0.698
N 100
Source: Author’s Computation using jamovi software
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INTERPRETATION 2. Gupta, N. (2014), “Goods and Service Tax: It’ S Impact on Indian
Economy”, International Research Journal of Commerce Arts and
Chi square test was used to determine whether there is Science, Vol. 5(3) pp 126–133.
significant difference between the opinion of compliance 3. Kour, M., Chaudhary, K., Singh, S., & Kaur, B. (2016). “A Study
towards GST among different small businesses in Goa. on Impact of GST After Its Implementation”, International
After the test it was revealed that there was no significant Journal of Innovative Studies in Sociology and Humanities, Vol.
1(2) pp. 17-24.
difference between the opinion of compliance towards GST
among different small businesses in Goa as the p value was 4. Matheen, A., Kumar, K. S. S., Hina, Q. U., & Sharmila, V.
more than 0.05 (i.e =0.698) which basically means that (2017). “Impact of GST on Indian Financial System”,
International Journal of Scientific Research in Science and
different businesses like the wholesalers, retailers, traders Technology, Vol. 3(8), pp. 1152–1156.
and service provider have no difference about opinion of
compliance towards GST. 5. Pudari, P. (2017). “A Study on GST and Its Impact on Indian
Insurance Sector”, International Journal of Recent Scientific
FINDING OF THE STUDY Research, Vol. 8(6), pp. 18047–18053.
6. Priya, B. M. (2017). “GST – A Game Changer”, International
From the analysis it was revealed that Journal of Management Research and Social Science, Vol. 4(1),
pp.10–12.
1) Majority of the respondents are not aware if because
of the GST their profits have gone up or down. 7. Agrawal, Y. K. (2017). “Goods and Services Tax and Its Impact
2) Study also depicts that majority of the respondents on Indian Economy”, IOSR Journal of Business and Management,
Vol. 19(10), pp. 26–30.
are not fully aware if GST is having a positive or
negative impact on demands for goods and services. 8. Abda, s. (2017). “Effects of goods and services tax on Indian
3) Chi square test revealed that there is a significant economy”, international education and research journal, vol. 3(5),
pp. 584-585.
difference about awareness of GST amongst
Different business class i.e wholesalers, retailers, 9. Kishan, B. (2017). “GST: Major Benefits and Issues for India”,
Abhinav National Monthly Refereed Journal of Research in
traders and Service providers. Commerce & Management, Vol. 6(9), pp. 28–30.
4) From analysis it is clear that more than 50 percent of
the respondents think that Compliance should be 10. 10.Verma, A., Khandelwal, P. & Raj, S. J. (2018). “Impact of
GST on the Regulation of Small Business”, Journal of Business
reduce about GST law. and Management, Vol. 20(7), pp. 81–83.
5) Chi square test revealed that there is no significant
11. Mughudhan B., & Kirubagaran K. (2018). “GST and its impact on
difference between the opinion of compliance
small scale businesses in TamilNadu: An analysis”, International
towards GST among small businesses in Goa i.e Journal of Pure and Applied Mathematics.,pp. 120(5), 3519–3525.
wholesalers, retailers, traders and Service providers.
12. Kaur A. (2018). “A Research Paper on Impact Of GST On Indian
CONCLUSION Economy”, International Journal of Advance Research in Science
and Engineering, Vol.07 (4), pp. 534–539.
Based on the findings made from the analysis of the data
13. 13.Nayyar, A., & Singh, I. (2018). “A Comprehensive Analysis of
collected, it can be concluded that majority of the Goods and Services Tax (GST) in India”, Indian Journal of
respondents are not having a proper awareness of GST and Finance, Vol. 12(2), pp. 58-73.
also the overall opinion of the respondents towards
14. Baliyan, M. (2018). “Impact of GST On Different Sectors of
compliance is the same i.e negative opinion. Indian Economy”, International Journal of Innovative Research
GST is a huge step by Government of India to streamline and Advanced Studies, Vol. 5(3), pp. 241-24
the former tax regime. The concept of “One Nation, One
Tax” was brought with an intention of simplifying the
overall Indirect Tax system, relief from the overhead
Compliance costs for small enterprises, but from the study
reveals negative effect of GST, On the other hand due to
GST technological dependency of every enterprise has
increased. GST has the ability to increase GDP with widen
tax base and increase foreign investment and promote make
in India which will result in producing more job
opportunities. GST is an important turning point for India’s
economic growth. It can be said that since GST is a new
law it will take some time for the Business Class to get well
versed with the new taxation system, and then only the
nation will have benefits from new tax regime.
REFERENCES
1. 1.Sehrawat, M., & Dhanda, U. (2015), “GST In India: A Key Tax
Reform”, International Journal of Research, Vol.3(12) pp. 133-
141
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WORK LIFE BALANCE: AN OVERVIEW
*
Parminder Walia
*
Sri Guru Gobind Singh College, Chandigarh, India
ABSTRACT
Work life balance refers to how people combine and manage their work and other life responsibilities.
Inability to balance the two spheres may lead to many undesired consequences both for the person as
well as his employer organization. These may include stress, health issues, job dissatisfaction and
strained relations. The present paper makes an attempt to understand the concept of work life balance
and why it is considered so important.
Key Words: Work life balance, work family conflict
INTRODUCTION  Various individuals related factors that give rise to
the need to address the issue of imbalance”.
The concept of Work life balance is being widely discussed
and deliberated globally in the present times due to rapidly Work life balance is a significant issue for the employees
changing economic and social environment across the as well as the organizations. The organizations have started
entire world. In the post globalization era, when the world to realize the strategic importance of work life balance and
has almost become a one big single market, the competition how only highly motivated stress free employees having a
has become stiffer and organizations have no choice but balance in their work and life can help in attaining the goal
become more cost effective and productive in order to of a highly productive organization.
sustain in the market. As a result, there is an ever
increasing expectation and pressure on the employees. The DEFINING WORK LIFE BALANCE
labour market too is becoming competitive and companies Work life balance initially evolved in terms of work family
are outsourcing to reduce their labour costs. The employees conflict, then, work family enhancement and afterwards as
feel compelled to put in longer hours of work to prove their work family balance. With time, it was realized that life is
worth and meet the expectations of the organizations. ’24 not restricted only to the two spheres of work and family,
x7’ working has become the norm for the professional and rather revolves around multiple domains like, work, family,
managerial executives. As the time being devoted to work friends, neighbors, leisure, health, and society. All these
is expanding, the time available for the activities beyond spheres are closely intertwined and thus emerged the term
work is obviously shrinking. Number of physical and “work life balance’.
mental health related issues are being reported by
employees due to these work pressures. Another important “Work life balance refers to how people combine paid
development in the society has been the increasing number work with life’s other responsibilities. Work/life Balance
of women in the workforce. The women who earlier were has been defined as: A state of equilibrium in which the
playing the role of home makers only are now in a dual demands of both person’s job and personal life are equal.”
role, i.e. home maker as well as bread winner. Playing According to Bailyn, Drago and Kocham (2001) work/life
this dual role certainly leads to an extra pressure, especially balance is “the harmonious and holistic integration of work
when society is moving away from the joint family system. and non-work, so that men and women can achieve their
Single parent family, parents placed at different locations potential across the domains in which they play out their
and increasing demands of household work further add to life roles”.
the problems. Yet another change being witnessed is the According to Kalliath and Brough (2008) “Work–life
attitude of the youth towards the life. Along with work, the balance is the individual perception that work and non-
youth wants to enjoy life, travel, pursue hobbies, party and work activities are compatible and promote growth in
have fun. But this competitive, highly demanding jobs act accordance with an individual’s current life priorities”.
as hurdles and young generation feels frustrated and
disappointed. Work life balance is a state of harmony, where wok and life
activities other than work, coexist and do not have a
It is in this context that the notion of work life balance has negative effect / disturbance over each other. That means
come up. Guest (2001) identified “a set of factors that have that a persons is able to work without being bothered by
brought the issue of work life balance to the forefront. family’s unmet/pending demands and is also able to attend
 Work related factors that might lead to an imbalance to family issues without having undue pressures of work in
the back of mind. It is a state where one is able to meet the
 Other life related factors beyond work which may demands of both work and life. Work life balance does not
be considered as consequences of the imbalance mean giving equal time to all spheres rather it refers to
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ability of managing different aspects of work and life by Guest (2002) laid out a model depicting the causes and
allocating each sphere an adequate attention. consequences of work life balance. Demands of work and
home; culture of work and home, age, gender, personality,
THEORETICAL BACKGROUND
work orientation, personal control were considered to be
Several theories have been put forward to understand the the causal factors. Performance and well-being at work and
linkage between work and family spheres. home, and personal satisfaction were included as
consequences.
Segmentation theory proposed that the two spheres of work
and family are independent and separate. These spheres do CONSEQUENCES OF WORK LIFE BALANCE
not effect each other. But this theory was challenged by
Das and Baruah (2016) reviewed the literature on work life
researchers.
balance and summed up the consequences of lack of work
Compensation theory suggested that if a person is life balance and advantages of work life balance, as were
dissatisfied in one sphere, then he tries to compensate by reported by different research studies. Consequences were
getting satisfaction from the other sphere. For example if a categorized as work related (stress, dissatisfaction with
person is not allowed to take independent decisions at work, lack of job commitment, reduced productivity, high
work, he may try to be a decision maker in the family. turnover), non- work related (dissatisfaction with life,
Sometimes a negative experience at the work may be feeling of sadness) and behavioral related (insomnia,
compensated by a positive experience outside, like a hectic depression, loss of appetite, pains and aches). Advantages
day at work may be followed by engaging in a leisure reported by researchers included lower employee turnover,
activity at home/ or with friends. reduced absenteeism, higher productivity and higher job
satisfaction.
Spillover theory put forth that experiences and emotions
from one sphere are carried on by the person to the other CONCLUSION
spheres, i.e. there is spilling of experiences from one sphere
From these above discussion, it can be concluded that there
to another. Satisfaction at home front may lead to
are number of factors which have an impact on the work
satisfaction in work sphere as well. Similarly a frustrating
life balance of a person. Some of these factors are
event at work may make a person carry the same emotion
individual specific like, his personality, emotional coping,
home.
stress handling age, and gender. Some factors are work
Various researchers like, Greenhaus and Beutell (1985), related like, flexibility in work schedule, numbers of
Frone et al. (1992), Guest, D.E.(2002) have proposed working hours, autonomy at work place and variety in the
different models for work family interactions. job performed. Some family related factors also play an
important role like, family/spouse support, extent of
The Greenhaus and Beutell (1985) put forth different
parental responsibilities and responsibility for old family
sources of work family conflict. These were classified as
members. Organizations need to understand these factors
time based, strain based and behavior based conflicts. Time
and accept that work sphere and life sphere do not operate
based conflict occurs when too much time spent on one role
independently and actually the boundaries are permeable.
does not let the person to spare time to meet the To achieve the objectives of well performing productive
expectations of the other role. Strain based conflict arises organization, the employers need to develop and initiate
when strass from one sphere /role is carried on and
certain work life programmes which enhance the work life
spillovers into the other sphere. Behavioural conflict occurs
balance of its employees and lead to a mutual win- win
when behavior expected in one role contradicts/contrasts
situation.
the behavior expectation in another role. Some of the
stressors laid down in the model include hours of work, REFERENCES
inflexibility in schedule of work, role conflict, role 1. Bailyn, L., Drago, R., & Kochan, T.A. (2001). Integrating work
ambiguity, number of children, and support from spouse. and family life: A holistic approach . A Report of the Sloan Work
Salience of work /family role is another factor included in –Family Policy Network. MIT Sloan School of Management,
the model. Boston M.A.
2. Das, B.L.& Baruah, M. (2016) Work Life Balance: A Review of
Frone et al. (1992) developed and tested a model of work Literature . Journal of Open Learning and Research
family conflict which included its antecedents and Communication (JOLRC),2, 65-77.
consequences. Role ambiguity, pressure at work and non-
3. Frone, M.R., Russell, M., & Cooper, M.L. (1992). Antecedents
presence of autonomy at work were considered as job and outcomes of work-family conflict: Testing a model of the
stressors. Absence of spouse support, strained relations, work-family interface. Journal of Applied Psychology, 77(1), 65-
extent of parental responsibilities were considered as 78.
family stressors. The extent of involvement in the family 4. Greenhaus, J.H., & Beutell, N.J. (1985). Sources of conflict
and work were also included as predictors. Job distress/ between work and family roles. Academy of Management Review,
Family distress and depression were tested as 10, 76-88.
consequences. 5. Guest, D. E. (2002). Perspectives on the study of work-life
balance. Social Science Information, 41(2), 255-279.
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6. Kalliath T.& Brough P. (2008). Work-life balance: A review of
the meaning of the balance construct. J. Manag. Organ. 14, 323–
327.
7. Thane, P. (2002). History and policy: The work life balance in an
ageing society. Retrieved March 30, 2007, from
http://www.historyandpolicy.org
8. Work-life balance. (2002). The Word Spy. Retrieved from
http://www.worc1spy.com/words/work-lifebalance.asp
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IMPACT OF PERFORMANCE MANAGEMENT SYSTEMS (PMS)
ON EMPLOYEE ENGAGEMENT
*
Deepika Singla **Ramneek Kaur
*
Assistant Professor, P.G.Dept. of Commerce, M.M.Modi College, Patiala
**
Research Scholar, Department of Commerce, Punjabi University, Patiala
ABSTRACT
Organizations have started believing that they can bring competitive advantage with the help of
employee engagement therefore; organizations have started harnessing the ability of engagement to
solve obdurate organizational challenges such as high turnover rates and decreasing productivity.
Performance management systems have proven to be crucial for improving employee engagement. The
purpose of this study is to examine the performance management system characteristics that strongly
predict employee engagement. The characteristics are divided into four categories namely purpose,
measures, activities and structure of performance management systems. 100 employees were given
structured questionnaires in the city of Chandigarh. The results of the analysis showed that the
performance measures and activities category were found to be most influential in predicting employee
engagement. These performance management system characteristics include development focused,
contextual performance, feedback, recognition and link between performance management and reward
systems. The organisations should incorporate these characteristics in their performance management
systems to keep their employees engaged.
Keywords: Employee Engagement, Performance management system, Contextual performance,
Participative decision making.
INTRODUCTION Employees who are not engaged do not commit the
attention and effort required to perform at their best (A. F.
The concept of employee engagement has naturally
Marrelli, 2011) Two employees, one engaged and one
evolved from past research on high involvement,
disengaged, with similar competencies and experience will
empowerment, job inspiration, organisational
typically contribute to their organization at very different
commitment and trust. Supervisors have been coping with
levels: the engaged employee will invest discretionary
numerous difficulties to succeed and put their organisation
effort in the work to do the best job possible, while the
ahead of the competitors (Macey & Schneider, 2008). As
disengaged employee will do the minimum (Harter JK,
technologies continue to evolve, it poses a threat for
Schmidt FL, 2002).
managers because organizations require increasing number
of workers with increased technical and professional EMPLOYEE ENGAGEMENT AND PERFORMANCE
abilities. These knowledge workers cannot be managed MANAGEMENT SYSTEM
with old styles of management. They expect work
When done right, performance management system yields
fulfilment, operational autonomy and status from the
higher levels of engagement, retention and organizational
management. It is a result of these factors that the
performance. Performance management system is the
supervisors are shifting their attention towards employee
process through which managers ensure that the employee's
side of the organisation. Engagement at work was
activities outputs contribute to the organization's goal. This
conceptualized by (Kahn, 1990) as the ‘harnessing of
process requires knowing what work needs to be done,
organizational members’ selves to their work roles.
observing how this work is done, and providing feedback,
Barclays suggests a formal definition of employee
managers and employees meet expectations. Performance
engagement might be, ‘the extent to which an employee
Appraisal is an important part of performance management.
feels a sense of attachment to the organisation he or she
Carroll & Schneir (1982) assert appraisal is "the process of
works for, believes in its goals and supports its values.’
identifying, observing, measuring and developing human
Thus, engagement can be described as the extent to which performance in organizations" ((cited in (Cardy, 2007).
employees are involved in their work such that they lose Performance appraisal is a process of ensuring mutual
track of time. understanding among the employee and the supervisor by
the process of reviewing directly with the employee their
THE POSITIVE IMPACT OF ENGAGEMENT
job specific performance expectations and priorities,
High organizational performance is greatly facilitated when assigned responsibilities and communication. Performance
employees at all levels, including managers, are engaged. management systems are crucial to enhance organizational
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performance (Buchner, 2007) and effectiveness (Cardy, influence employees to participate and engage. A study
2004; as cited by (Gruman & Saks, 2011). conducted in the federal sector demonstrated that employee
engagement is significantly correlated with positive
There are multiple sources of motivation and engagement,
organizational outcomes such as productivity, customer
some intrinsic to the individual such as conscientiousness,
satisfaction, and reduced absenteeism. (A. F. Marrelli,
interest in the work, the centrality of work in his or her life,
2011) showed that the comparison between the perceptions
and the personal satisfaction derived from it. Other drivers
of high and low percentages of engaged employees in the
of engagement include the support supplied by the
federal agencies clearly demonstrate a strong connection
organization, such as a compelling mission, trusted
between effective performance management system and
leadership, efficient work processes, and effective
employee engagement. (Medlin & Green, 2009) in their
performance management.
paper investigates the relationships among goal setting,
A study by the U.S. Merit Systems Protection Board employee engagement, workplace optimism, and individual
focused on the performance management practices that performance constructs. The results of this study indicate
facilitate federal employee engagement (A. Marrelli & that formal and well-structured goal setting processes lead
Tsugawa, 2009). The authors compared perceptions of to higher levels of employee engagement and further these
employees from four different federal agencies and found higher levels of engagement lead to improved workplace
that every one of the 37 performance management practices optimism and that improved optimism in turn leads to
reviewed was employed in high engagement agencies. higher levels of individual performance. (Ricci, 2016) in
Some of the practices were open two - way communication her thesis comprehensively examines performance
with employees, including employees in decisions related management system to determine the characteristics that
to their jobs, giving recognition for job well done, using are most influential in predicting employee engagement.
objective and appropriate methods to evaluate performance The results of the study found that systems that focused on
and providing feedback for the same. the results employees achieved, evaluated employees on
their contextual performance, facilitated the construction of
However, despite the touted benefits of utilizing
individual development plans for employees, and allowed
performance management systems, 70% of
for participative decision making between managers and
implementations of these systems fail (McCunn, 1998). In subordinates were perceived by employees as most
order to put successful performance management systems effective and significant in predicting employee
in place, organizations must know what characteristics of
engagement among them.
these systems are most instrumental in producing beneficial
organizational outcomes. NEED FOR STUDY
In this paper, we will examine how performance Engagement influences employee’s attitudes and turnover
management system characteristics have an impact on level, thereby higher degree of employee engagement is
employee engagement. For this purpose, characteristics of directly related to increased productivity and organizational
performance management system have been divided into effectiveness. Performance management systems are an
four categories namely Purpose, Measures, Activities and indispensable part of an organization that helps in keeping
Structure. Further, each category has a set of elements that employee engaged leading to organizational effectiveness
are analysed to understand whether performance and success. However, very little research has been done
management system have an impact on employee on the actual impact of a Performance Management System
engagement. on Employee’s Therefore, this study is conducted to fill the
gap by examining performance management system
LITERATURE REVIEW characteristics thoroughly to assess their impact on
(Malhotra, 2014) highlights that performance feedback is employee engagement, and this study will help
the most important element that helps in building an organizations in determining those performance
engaged workforce. Further, (Pather, 2014) examines that management characteristics that are most predictive of
leaders must give clear expectations to drive performance employee engagement.
management and employee engagement to actively
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Source: Researcher framed

OBJECTIVE OF THE STUDY RESEARCH METHODOLOGY
The main aim of research is to predict employee As per the objective of paper primary data was collected
engagement through performance management system from 100 employees around the city of Chandigarh through
characteristics therefore following objective are framed structured questionnaire. The collected data were compiled
in tables and analyzed using the statistic tools i.e. a Step-
I. To study the impact of purpose of performance wise Regression Analysis
management systems on employee engagement.
II. To examine the impact of Performance Measures DATA ANALYSIS & INTERPRETATION
on employee engagement To predict the Employee Engagement in the organization
III. To study the impact of Performance Management through Performance Management System (PMS) four sub
System Activities on employee engagement variables i.e. Purpose of Performance Management System,
IV. To analyses the impact of structure of performance Performance Measures, Performance Management System
management systems on employee engagement Activities and Structure of Performance Management
Systems a Step-wise Regression Analysis applied. For
every sub variables separate Step-wise Regression
Analysis is applied and four Regression equations are
determined
1. PURPOSE OF PERFORMANCE MANAGEMENT SYSTEM

Table No. 1
Degree to which Purpose of PMS Factors Impact Employee Engagement
Model R R Square Adjusted R Square Std. Error of the Estimate

a
1 0.278 .077 .068 .43197
2 0.345b .119 .101 .42423
a. Predictors: (Constant), Development Oriented Source: Primary Data

b. Predictors: (Constant), Development Oriented, Table No. 1 This indicates that two factors namely,
Administrative Purposes Development Oriented, Administrative Purposes can
predict the employee engagement up to 10.1 %.
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Table 1.1
ANOVA of Purpose of PMS Factors that predict Employee Engagement
Model Sum of Squares df Mean Square F-value p-value
Regression 1.529 1 1.529 8.194 .005**
1 Residual 18.286 98 .187
Total 19.815 99
Regression 2.358 2 1.179 6.550 .002**
2 Residual 17.458 97 .180
Total 19.815 99
Table no. 1.1 provides an ANOVA for the factors as they PMS ability to explain the variance in dependent variable,
are entered into the regression equation to explain even in its last iteration.
employee engagement. There is significant in Purpose of
Table 1.2
Coefficients that provide Extent of Impact of Purpose of PMS Factor on Employee Engagement
Unstandardised Coefficients Standardised Coefficients
t-value p-value
Model B Std. Error Beta
(Constant) 3.259 .227 14.327 .0001**
1
Development Oriented .186 .065 .278 2.862 .005**
(Constant) 2.795 .311 8.987 .0001**
2 Development Oriented .176 .064 .263 2.756 .007**
Administrative Purposes .145 .067 .205 2.146 .034*
From the above table the following Regression equation can be determine
Employee Engagement = Constant + 0.263 (Development Oriented) + 0. 205 (Administrative Purposes)
2. PERFORMANCE MEASURES
Table No. 2
Degree to which Performance Measures Factors Impact Employee Engagement
1 0.649a .421 .415 .34224

2 0.716b .512 .502 .31571
a. Predictors: (Constant), Contextual Performance Source: Primary Data

b. Predictors: (Constant), Contextual Performance, The above table depicts that two factors namely,
Achieving Goals or Objectives Contextual Performance, Achieving Goals or Objectives
can predict the employee engagement up to 50.2 %.
Table 2.1: Coefficients that provide Extent of Impact of Performance Measures Factor on Employee Engagement
Unstandardized Coefficients Standardized Coefficients
t-value p-value
(Constant) 1.898 .240 7.923 .0001**
1
Contextual Performance .533 .063 .649 8.436 .0001**
(Constant) 1.443 .245 5.882 .0001**
2 Contextual Performance .384 .068 .468 5.659 .0001**
Achieving Goals or Objectives .280 .066 .352 4.262 .0001**
Table No. 2.1: provides the standardized coefficients (β) for two factors with highest impact. The following equation can
provide the details of how employee engagement can be calculated:
Employee Engagement = Constant + 0.468 (Contextual Performance) + 0. 352 (Achieving Goals or Objectives)
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3. PERFORMANCE MANAGEMENT SYSTEM ACTIVITIES
Table No. 3
Degree to which PSM Activities Factors Impact Employee Engagement
1 0.593a .351 .345 .36221

2 0.704b .496 .486 .32086
3 0.724c .524 .509 .31345
4 0.74d .548 .529 .30707
a. Predictors: (Constant), Feedback Source: Primary Data

b Predictors: (Constant), Feedback, Recognition
Table 3 indicates that four factors namely, Feedback,
c. Predictors: (Constant), Feedback, Recognition,
Recognition, Identification of training needs, Career
Identification of training needs
Planning can predict the employee engagement up to 52.9
d. Predictors: (Constant), Feedback, Recognition,
%.
Identification of training needs, Career Planning
Table 3.1 ANOVA of PSM Activities Factors that predict Employee Engagement
Model Sum of Squares df Mean Square F-value p-value
Regression 6.958 1 6.958 53.032 .0001**
1 Residual 12.857 98 .131
Total 19.815 99
Regression 9.829 2 4.914 47.734 .0001**
2 Residual 9.986 97 .103
Total 19.815 99
Regression 10.383 3 3.461 35.225 .0001**
3 Residual 9.432 96 .098
Total 19.815 99
Regression 10.858 4 2.714 28.787 .0001**
4 Residual 8.958 95 .094
Total 19.815 99
engagement and shows the significant in its ability to
Table 3.1 provides an ANOVA for the factors as they are
explain the variance in dependent variable, even in its last
entered into the regression equation to explain employee
iteration.
Table 3.2 Coefficients that provide Extent of Impact of Factor on Employee Engagement
t-value p-value
(Constant) 2.155 .242 8.902 .0001**
1
Feedback .490 .067 .593 7.282 .0001**
(Constant) 1.076 .296 3.633 .0001**
2 Feedback .376 .063 .454 5.926 .0001**
Recognition .387 .073 .405 5.281 .0001**
(Constant) .922 .297 3.110 .002**
Feedback .305 .069 .369 4.439 .0001**
3
Recognition .348 .074 .364 4.730 .0001**
Identification of training needs .148 .062 .198 2.375 .020*
(Constant) 1.020 .294 3.471 .001**
Feedback .289 .068 .349 4.266 .0001**
4 Recognition .412 .078 .431 5.315 .0001**
Identification of training needs .195 .065 .261 3.019 .003**
Career Planning -.131 .059 -.183 -2.244 .027*
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From the above table the following Regression equation Employee Engagement = Constant + 0.349 (Feedback) + 0.
can be determine 431 (Recognition) + 0.261 (Identification of training needs)
-0.183 (Career Planning)
4. STRUCTURE OF PERFORMANCE MANAGEMENT SYSTEM

Table 4: Degree to which Structure of PMS Factors Impact Employee Engagement
1 0.528a .279 .272 .38181

2 0.658b .434 .422 .34017
a. Predictors: (Constant), Link between performance Source: Primary Data

management and reward system
Table no.4 indicates that two factors namely, Link between
b. Predictors: (Constant), Link between performance performance management and reward system and Goal
management and reward system, Goal Alignment Alignment can predict the employee engagement up to 42.2
%.
Table 4.1 ANOVA of Structure of PMS Factors that predict Employee Engagement
Model Sum of Squares Df Mean Square F-value p-value
Regression 5.529 1 5.529 37.923 .0001**
1 Residual 14.287 98 .146
Total 19.815 99
Regression 8.591 2 4.295 37.122 .0001**
2 Residual 11.224 97 .116
Total 19.815 99
Table 4.1 shows the significant in its ability to explain the variance in dependent variable, even in its last iteration.
Table 4.2
Coefficients that provide Extent of Impact of Structure of PMS Factor on Employee Engagement
t-value p-value
(Constant) 2.467 .236 10.475 .0001**
1 Link between performance management and
.354 .057 .528 6.158 .0001**
reward system
(Constant) 1.696 .258 6.579 .0001**
Link between performance management and
2 .297 .052 .444 5.674 .0001**
reward system
Goal Alignment .278 .054 .402 5.144 .0001**
From the above table the following Regression equation engagement up to 10.1 %. Development – Oriented
can be determine and Administrative Purposes are only two variable
which helps in determine the employee engagement.
Employee Engagement = Constant + 0.444 (Link between
Result – Oriented is excluded from the prediction
performance management and reward system) + 0. 402
model.
(Goal Alignment)
 Contextual Performance and Achieving Goals or
FINDINGS Objectives variable of Performance Measures can
predict the employee engagement up to 50.2 %.
 The result shows that Purpose of Performance
 In case of Performance Management System Activities
Management System can predict the employee
Feedback, Recognition, Identification of training needs
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and Career Planning variables can predict the linked with the rewards system, such that level of
employee engagement up to 52.9%. performance determined by the performance management
 In the case of Structure of Performance Management system should dictate the amount of rewards employees
Systems, Link between performance management and receive. Lastly, the employees must recognize the efforts of
reward system and Goal Alignment determine the their employees by giving them non-financial rewards such
employee engagement up to 42.2 %. as a special mention in an email or financial rewards like
gift cards.
CONCLUSIONS
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EFFECTS OF GREEN ADVERTISING ON CONSUMER BEHAVIOR
TOWARDS GREEN PRODUCTS: A SPECIAL REFERENCE TO GHAZIABAD
DISTRICT
*
Farah Tazeen **N.H. Mullick
*
Research Scholar,Centre for Management Studies, Jamia Millia Islamia, New Delhi
**
Professor. Centre for Management Studies, Jamia Millia Islamia, New Delhi
ABSTRACT
Environmental degradation has changed the business practices as done in the past. Thereby in order to
conserve the environment, eco- friendly products are manufactured also called green marketing. Hence
the companies are undertaking various strategies to spread awareness among consumers so that they
may start demanding more eco-friendly products and they may start contributing in protecting nature.
Through these green marketing campaigns, the customers have started demanding as the perception of
the customer is the important factor for the brand. Not only this, the consumers have started giving more
attention to the environment through these green advertising campaigns adopted by the businesses. This
paper will examine the awareness level brought through green advertising that consumers have for
green marketing products for a sample of 120 consumers which has been measured using Likert scale
tools. The present study will also focus on the factors that influence the decisions of consumers for
purchasing green products and the green advertising strategies that companies have adopted for getting
success.
Keywords: Green Advertising, Green Marketing, Consumer, Green Products, Consumer Behavior.
INTRODUCTION isn’t at all important for the product to do anything with the
environment but when environment is being addressed by
These Days green marketing is growing rapidly as large
the product then it puts a green mark in the mind of
numbers of consumers are willing to get back to their
consumers. In 1960 the public was not at all aware about
environment and want to conserve it. Green marketing is a
their health and safety. In fact, the consumers were not
process in which keeping in mind the environmental
even aware of the environmental threats nearby their
benefits goods and services are sold. Such products and
surroundings. There were various books published to aware
services are manufactured by keeping in mind the
the consumers such as Silent Spring, in which the effect of
environmental effects. It is not just limited to the
pesticides was explained. Hence it was the beginning of the
manufacturing of eco-friendly products but also companies
environmental concern movement. Then another book
need to be conscious of such reduced water usage i.e.,
came which focused on pollution done by automobiles. In
adoption of sustainable business practices. So, in time of
context of this various legislations such as motor vehicle
green marketing the companies had started doing green
act was established. In today’s time many of the safety
advertising. The term green covers organic i.e., the
features to control auto pollution including reduction in
environment friendly products. Basically, it is a company’s
emission, seat belts, catalytic converters, and air bags are a
efforts to make a good or service more ecologically
direct result of these laws. It was in the 1970s when the
friendly, along with the advertisement used for promoting
consumers were getting alarmed about the environmental
it. It arose in the 1980s with the Corporate Social
issues which made the government step into and to provide
Responsibility (CSR) reports that revealed a company’s
legal protection to consumers and the environment. At that
social, environmental, and financial impacts. This green
the products were not marketed as green and if any brand
advertising campaign is the best tool used by the companies
tried to do so then it did not achieve success. The 1960s
for awarding the masses about the green products as well as
and 1970s were decades when sweeping changes in society,
it can be used to remove the worries of the consumer that
politics, and culture. These were the times when the
the product purchase will not negatively affect the
consumer interest in sustainable environment was first
environment. In response to such an attitude of the
seen. With the passage of time this interest continued to
consumers the companies had started making green
grow. This study is focused on green advertising. It aims at
strategies one of that is green advertising for pricing,
how green i.e., organic form of advertising will put an
distribution, and promotion and production activities.
effect on minds of the consumers and put an impact on the
Green Advertising is one such type of advertisement that
consumer behavior. This study will also focus on the green
put focus on the promotion of those services and goods on
advertising strategies undertaken by the companies to
the basis of environment situations, which reflects that the
goods and services are in the favor of the environment It
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attract more customers and they may start demanding for study focuses on the effect of green marketing on
more green products. consumer purchase decisions and how the firms are
able to achieve competitive edge over the rival firms.
OBJECTIVES
The results concluded that companies need to raise
The major objectives of the study: their communication with the consumers to become
green.
1. To know the level of awareness among consumers
through Green Advertising towards Green ● Neha Dhruv Agarwal, V.V. Ravi Kumar (2020)
Marketing. The purpose of this study was to present the studies
overview which had been conducted on green
2. To find out the effect of Green Advertising on
advertising during the past three decades and
consumer behavior.
identified the gaps for future research. The
3. To study Green Advertising Strategies adopted by methodology which was being adopted for analysis
various Companies. is two-pronged – the first was the literature review
with data tabulation using bar graphs and excel
LITERATURE REVIEW sheets and the second was the bibliometric review
● Ansar (2013) This study focused on the way the which was done using the software VOS viewer.
buying intention of the consumer is affected by Both approaches analyze the number of keywords,
green marketing. In his study he determined all the citations, journals, authors, and countries. In this
factors that influence the consumer buying behavior. study a database of 113 articles of the year 1990 to
He found that the green purchase behavior is not 2020 which was generated from Science web. The
related to socio demographic factors. A positive study has also identified the research which has
relation was also seen between the eco- literacy and majorly contributed in the field of green advertising.
age & education. Green marketing plays an And for understanding the subtopics thematic
important role for both the society and the company. classification is created. Further this classification
It is a form of traditional marketing but the was divided into nine subtopics. In the study the
difference is that it consists of all those marketing research gaps identified were six which can be used
activities such as green advertising which are for future research in Green advertising. In this paper
environmentally safe. a comprehensive overview of the current status of
green advertising is highlighted.
● Jeevarathnam P. Govender, Tushya L. Govender
(2016) In this paper the author examined at an ● Tsai-FengKa, Yi- ZhanDu (2020) In this study the
exploratory level, how green marketing put an discussion was made on the effect of the
influence on the buying behavior of the consumers advertisement, the effect of self-reference and
of South Africa. The results of the study indicated quality of argument are regarded as the factors
that citizens of South Africa have high levels of which affect the consumer behavior. In this research
knowledge on the issues related to the environment. the effect of advertisement design on the
It was found that the elements like green promotion advertisement had been discussed and the emotion of
and green marketing mix have brought a positive protecting the environment of self-reference, graphic
change in buying behavior. In fact, there arises no configuration and argument quality, and how they
difference between low or high income. affect the advertisement. The research has been
conducted using the quasi-experimental research
● Aysel Boztepe (2012) This study focuses on the method. The results found that the advertising design
information based upon the green marketing effect with strong argument and self-reference has the best
on buying behavior. According to the research the advertising effect; social emotion and positive moral
environmental issues are responsible for the emotion have better advertising effect; and under the
emergence of green marketing, the result of this change of emotion, the preference of the subject for
study was that the green promotion, environmental advertising design will automatically change. This
awareness, green price, green product features, and research is helpful in establishing and optimizing the
green purchasing behaviors of the consumers put a green advertising design for understanding the
positive impact whereas the demographic factors relationship between factors which affect the
affect moderately. advertising effect and how they benefit green
● Babita Saini (2013) Green marketing is a proactive marketing.
topic where the consumers are not only aware about RESEARCH METHODOLOGY
the products and their quality but also of their
environmental impacts and thereby, they are Source of data used
becoming more eco-friendly in nature. Therefore, ● Primary data
these days the companies are adopting methods to
retain customers through green management. The ● Secondary data
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Area of study Sample Size
The area taken for the study was Ghaziabad district. A Random sampling strategy would be carried out. A
survey of about 120 consumers belonging to Ghaziabad
Sample Method
district would be taken. These consumers are familiar with
The Data has been collected on randomly selected buyers the product they have chosen and for their buying decision
from markets of the green products. Primary data would be they themselves are responsible.
collected through questionnaires. The questionnaire
DATA ANALYSIS
contained questions like whether the customer purchase
decision is affected by the company's green advertising, Likert 5-point scales were used for all measurements. The
whether green advertising put any effect on the repurchase statistical tools have been used to achieve the objective of
decision, are they ready to pay an extra amount or not etc. study for analyzing the data.
This Table shows the Awareness of Consumers Through Green Advertising Towards Green Products
Particulars No. of respondents Likert scale value Total Score
Highly Satisfied 60 5 300
Satisfied 35 4 140
Neutral 20 3 60
Dissatisfied 3 2 6
Highly Dissatisfied 2 1 2
Total 120 508
(Primary source data)

Likert scale= ∑ (fx)/ number of respondents
=508/ 120
= 4.23
So, it can be interpreted that the value on the Likert scale is In short Green marketing encourages manufacturers to
exceeding its mid value 4 as per which it can be said that produce more eco-friendly products. The more awareness
the purchasers are highly satisfied with green marketing needs to be brought through green advertising so that
which states that they are aware about the products. individual purchasing behavior can be changed that will put
an impact on the environment.
FINDINGS
LIMITATIONS
The findings of the study are:
● This study is limited to the area of Ghaziabad
1) 75% of consumers are aware of green products.
district. So, it cannot be applied to any other
2) 35% are ready to pay more for green products region.
3) 60% says that they have information about green ● It was herculean to get adequate response due to
products while 40% do not have any information. inherent problems.
4) 55% of the population strongly agrees that business EFFECT OF GREEN ADVERTISING ON
firms should adopt green management. CONSUMER BEHAVIOR
5) 45% are neutral regarding the green practices. A green advertisement with a logo of an environmentally
friendly product put a positive impact on the consumer.
6) 60% of customers do not get affected by green practices
These advertisements put a positive influence on the
while making buying decisions whereas 40% get affected.
consumer such that the demand of eco-friendly products
7) 52% buyers prefer to repurchase green products and increased in the market. Hence there is green consumption.
48% do not prefer. If the companies will provide more attention to the
RESULTS psychological benefit that the consumer will gain along
with the environmental issues so they will get raised
Survey Questionnaires reflected a social consciousness of demand for green goods. For bringing awareness and
saving and advancing the Earth’s natural around
respondents:
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protection of the environment the companies need to create Advertising may have both negative and positive influence
green product marketing. on the buyers. Green advertising is motivating the
consumers in the form of humanity to get positive influence
Green advertising will put a positive influence on the
towards environmental behaviors, which is a major factor
consumer which will motivate him to fulfil his social
in green consumption.
responsibility of protecting the environment by purchasing
green products. Green advertising provides different The companies need to provide the research data related to
approaches for communicating how various services and the environment and when they will present this
products will satisfy the needs of the consumers in information as an appeal will put a pressure on the
ecologically friendly ways. consumer purchase decision which will assist them in
having better understanding of the environmental situation
The attitude that the consumer exhibits towards the
and they will behave accordingly.
advertisement permits him to understand inferences
generated in the mind of the consumer and the effect of Green advertising can be used as a tool for spreading
those inferences on the buying intention of the consumer. awareness among the consumers about products, for
For this the companies can target the market segment communicating the price of the product and the features of
which is interested in purchasing environment friendly the product. The ecologically themed advertising is being
goods by using green features or initiating green marketing influenced by the messaging and some consumers.
activities like promotion of goods through green Ecologically themed advertising has evolved from profiling
advertising such as an advertisement designed with the logo target consumers and categorizing claims with an approach
of environment friendly goods and green packaging. that integrates organizational goals with individual
consumer traits.
Source by (google.com)
GREEN ADVERTISING STRATEGIES THAT ● Logo: the green advertisement must have the logo of
COMPANIES CAN ADOPT eco- friendly or environment friendly which will
make the consumer aware that the product is
The Green Advertising Strategies that Companies can
environment friendly and he will start demanding it
adopt:
more.
● Digital Marketing: The companies can do green
● Creative: The green advertisement must be
advertising through digital marketing. As this will
creatively designed. It must be designed in such a
assist the business firms in protection of the
manner that it clearly states that the product is eco-
environment by saving the paper.
friendly and will not pose any threat to nature.
● Social Media: The social media platforms are the
● Motivational campaigns- The companies need to
best mode of awareness. The companies can post
adopt several motivational campaigns for making the
their campaigns on social media to attract consumers
buyer aware about green products so that they may
towards green products and for spreading awareness
start contributing in the protection of the
among them.
environment.
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CONCLUSION 11. Boztepe, Aysel. "Green marketing and its impact on consumer
buying behavior." European Journal of Economic & Political
The study concludes that the marketer must always come Studies 5.1 (2012).
up with new and innovative ideas such as green advertising 12. Saini, Babita. "Green marketing and its impact on consumer
for promoting green products so that the consumer's buying behavior." International Journal of Engineering Science
perception towards a particular product gets changed. For Invention 2.12 (2013): 61-64.
attracting the customers, the lower price must be charged so 13. Agarwal, Neha Dhruv, and VV Ravi Kumar. "Three decades of
that a large customer base can be developed. The marketers green advertising–a review of literature and bibliometric
need to adopt various green advertising campaigns so that analysis." Benchmarking: An International Journal (2020).
the customer gets motivated for purchasing a particular 14. Kao, Tsai-Feng, and Yi-Zhan Du. "A study on the influence of
product and he needs to be aware about the product's green advertising design and environmental emotion on
ecological benefit. In this manner the customers will get a advertising effect." Journal of cleaner production 242 (2020):
118294.
chance of saving their planet and making it green.
Marketers use many terms like biodegradable, eco- friendly 15. Bukhari, Syeda Shazia. "Green Marketing and its impact on
consumer behavior." European Journal of Business and
as a tool for green marketing. As we’re all connected with Management 3.4 (2011): 375-383.
the environment so it is our moral duty to preserve it,
instead of just pretending that using green advertising we
are going green by saying Go real...Go Green! Green
advertising can be performed in two ways; one is by
showcasing that the product has been manufactured from
natural resources like ‘Patanjali’. Another way is the
technique through which the consumers get influenced that
the companies have high concern over the environment and
are spreading awareness through green advertisements
which would put green marks in mind of consumers.
REFERENCES
1. Ansar, Novera. "Impact of green marketing on consumer purchase
intention." Mediterranean Journal of Social Sciences 4.11 (2013):
650-650.
2. Govender, Jeevarathnam P., and L. Govender Tushya. "The
influence of green marketing on consumer purchase behavior.
Environmental Economics, 7 (2), 77-85." (2016).
3. Boztepe, Aysel. "Green marketing and its impact on consumer
buying behavior." European Journal of Economic & Political
Studies 5.1 (2012).
4. Saini, Babita. "Green marketing and its impact on consumer
buying behavior." International Journal of Engineering Science
Invention 2.12 (2013): 61-64
5. Agarwal, Neha Dhruv, and VV Ravi Kumar. "Three decades of
green advertising–a review of literature and bibliometric
analysis." Benchmarking: An International Journal (2020).
6. Kao, Tsai-Feng, and Yi-Zhan Du. "A study on the influence of
green advertising design and environmental emotion on
advertising effect." Journal of cleaner production 242 (2020):
118294.
7. Bukhari, Syeda Shazia. "Green Marketing and its impact on
consumer behavior." European Journal of Business and
Management 3.4 (2011): 375-383.
8. https://www.mdgadvertising.com/marketing-insights/wise-ways-
to-use-green-advertising-
2/#:~:text=Basically%2C%20green%20advertising%20is%20com
monly,advertising%20used%20to%20promote%20it.
9. Ansar, Novera. "Impact of green marketing on consumer purchase
intention." Mediterranean Journal of Social Sciences 4.11 (2013):
650-650.
10. Govender, Jeevarathnam P., and L. Govender Tushya. "The
influence of green marketing on consumer purchase behavior.
Environmental Economics, 7 (2), 77-85." (2016).
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`THE PESTER POWER LEVEL IN AUTOMOBILE ADVERTISEMENTS-AN
EMPIRICAL PERSPECTIVE
*
Gargi Sarma **C.K. Nath
*
Research Scholar, Dibrugarh University and Assistant Professor, K.C.Das Commerce College,
Guwahati
**
Associate Professor, Dibrugarh University, Assam
ABSTRACT
Now-a-days the advertisers are considering the consumerism potentials among the children.Accordingly
the advertisers are redesigning their advertising campaigns to attract the children across the world.
These modifications can be witnessed in the television advertisements of the present era. If an advertiser
can successfully attract a child towards a particular product category, the child can use his/her pester
power to convince their parents for a purchase intention. This is phenomenon is common for the
children aged 8years-12 years. Therefore the researchers intended to make a study on the pester power
level of the children within the said age group.The researchers also intended to investigate the
differences (if any) between pester power level and children’s age. One important product category
which has started considering children consumerism is the Automobiles. Hence for the study, this
product category has been identified. The study area was Kamrup Metro, Assam. The study revealed the
different levels of pester power as per the individual ages and it was concluded stating about the existing
difference between the age and level of pester power for automobiles advertisements.
Keywords: Pester Power, Children, Advertisers, Automobile advertisements
INTRODUCTION descriptive statistics as well as correlation,
regression and ANOVA. The study revealed that
Across the world, the marketers have stated considering the
there is a positive impact of such advertisements on
growth of consumerism among the children. Children
the children.
consumers being considered seriously have been designed
tactfully by the marketers to attract the children. Children  Kumar Sunita (2013) studied the impact (knowledge
pester power has become a powerful tool for the marketers. of brands and products and food habits) of television
The marketers have comprehended this tool. The pester advertisement on children and to what extent
power has both positive and negative connotations. television advertisement impacts children in
Automobiles have grown as a very attractive product influencing family purchase decisions. The data was
category for the children. They can act as potential analysed using ANOVA. The study revealed that TV
prospects. Therefore, the marketers’ now try to lure them advertisements improve children’s brand
with their advertisements with children as the backdrop. consciousness, knowledge about various products in
Considering this new trend, it has now become important any category and therefore they influenced in their
for the marketers to comprehend the level of pester power. family purchase decision and parent’s also
On the basis of this level and the existing differences considered such influence.
between the age and pester power level, tactics and
strategies can be framed or reframed by the marketers.  Johansen J. Elise (2012) studied how children
However these pester power has negative connotations on perceive family in advertising and its effect on their
the parents. They may also nag for irrelevant products and concept of family. The study was carried out using
that may affect the family decisions or bonds. The content analysis of children’s television
researchers have not covered the negative connotations in advertisements. The study revealed that age has been
the present study. Rather, the prime focus is on observed to be a significant predictor of identifying
determination of the level of pester power and the non traditional groups as families.However it also
identifying the differences. suggests that gender too has influenced the affect to
a greater extent.
 Rajadhyakshal Radha (2003), in the article
 Hameed Abdul (2014) studied the impact of highlighted the fact how the pester power marketing
television advertisements on children buying hampers the mind of the children. He talks about the
behaviour by selecting a random sample of 250 fact how it is wrong to target the vulnerable class of
respondents from different schools in Punjab and the population. The focus is on the different kinds of
Pakistan. Data collected were analyzed through advertisements which the marketers use to target the
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children as well as their mothers. These techniques Sample Size- Cochran’s formula for calculation of sample
of marketers are seen hampering the innocent minds size under finite population was employed by the
of the children. He further speaks about the negative researcher. The sample size calculated at 5% confidence
side of pester power on the basis of the different level was 184 for the select study area. However, the
views presented by the previous researchers. researchers have considered this as 200 for the study.
RESEARCH GAP Sampling Technique- The researchers have used Simple
Random Sampling for the selection of the schools from
Previous studies conducted on Children Advertising were
Kamrup District, with the help of Random Number Table
concluded considering different media and most of the
with replacement. Lottery Method without replacement was
researchers didn’t identify a single age group of kids. In a
used by the researchers for the selection of children from
general statement the responses were provided. The
the schools.
literature within the reach of the present researcher
communicates the absence of a study conducted on the Data Collection-The Researcher uses a Structured
level of pesters power in context of children advertising for Schedule for collecting the responses from children.
specific age groups. The existing literature has not focused
ANALYSIS TECHNIQUE
on any particular product category in detail for studying the
impact of pesters power. Therefore the researchers intended 1) Descriptive Statistics: The technique of calculating
to concentrate on product category Automobiles. Z scores was utilised by the researchers for the
determination of the Pester Power Level.
OBJECTIVES
2) ANOVA One Way: For finding the variances (if
The objectives of the study are: any) between the Age of children and Pester Power
Level in case of the select category of
1. To observe the Pester Power Level for children
advertisements, the researchers have used the
aged 8years to 12 years of Kamrup District by
statistical technique of ANOVA One Way.
considering the Automobile advertisements.
3) Turkey HSD: The multiple comparisons between
2. To find and analyse the existence of Differences the responses of specific groups of data for the select
(if any) between Age of children and Pester category of advertisements was analysed by the
Power Level considering the Automobile researchers using this test.
advertisements.
ANALYSIS 1- PESTER POWER LEVEL OF
RESEARCH METHODOLOGY CHILDREN
Population of the study-All the children from Kamrup The researchers have used Z scores to mark the Pester
District were considered as the population by the Power Level. The employed Score Range for the marking
researchers for the study. was a modified Range which was referred from the
‘Manual for Achievement Motivation Scale’ and ‘Manual
Sampling frame- The Children within the age group of
for Professional Commitment Scale for Teacher
8years to 12 years of Kamrup district form the dataset
Education.’ Assessing the individual scores of the
sampling frame for the study. statements placed in the schedule designed for the children,
the pester power level was formulated.
FROM CHILDREN RESPONSES
1.1 Table showing Age wise Pester Power Level of Children
AGE
8 9 10 11 12 Total
Level of Pester Power Count % Count % Count % Count % Count % Count %
Very high 8 20.0 2 5.0 0 .0 0 .0 0 .0 10 5.0
High 1 2.5 1 2.5 0 .0 3 7.5 0 .0 5 2.5
Above average 1 2.5 10 25.0 0 .0 32 80.0 2 5.0 45 22.5
Average/Moderate 5 12.5 2 5.0 7 17.5 5 12.5 38 95.0 57 28.5
Below average 24 60.0 22 55.0 31 77.5 0 .0 0 .0 77 38.5
Low 0 .0 1 2.5 2 5.0 0 .0 0 .0 3 1.5
Very low 1 2.5 2 5.0 0 .0 0 .0 0 .0 3 1.5
Total 40 100.0 40 100.0 40 100.0 40 100.0 40 100.0 200 100.0
Table 1.1 revealed the Level of Pester Power for the individual Age Groups of the select Advertisement Category as
follows.
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Age of children Level of Pester Power
8 years Below Average
11 years Above Average’
12 years Average
ANALYSIS 2 –ANALYSIS OF DIFFERENCES (IF Pester Power Level and Age of children.
ANY) BETWEEN AGE OF CHILDREN & PESTER
H0 : There exists no difference between Age of
POWER LEVEL
children & Level of Pester Power in Automobile
The researcher has utilised the statistical technique of
Advertisements
ANOVA One Way to identify differences (if any) between
.
1.2 Table showing the values of ANOVA One-Way
Advertisement Category Sum of Squares df Mean Square F Sig.
Automobiles Between Groups 1244.230 4 311.057 121.641 .000
Within Groups 498.650 195 2.557
Total 1742.880 199
children and Pester Power Level in case of Automobile
The calculated p value .000 was less than 0.05 and
Advertisements. The researchers have intended the Turkey
therefore the alternative hypothesis was accepted. This can
HSD calculations to identify the differences existing
be interpreted as the existence of a difference between the
between individual age groups. The inferences can be
Age of children and Pester Power Level in case of
drawn from the calculated P value. A p value more than
Automobile Advertisements. The responses thus indicated
0.05 depicts the non-existence of difference between the
that Pester Power Level changes with the age of children in
said age groups and vice-versa. Table 1.3 shows the
case of Automobile Advertisements.
Multiple Correlation using Turkey HSD for Automobile
ANALYSIS 3- MULTIPLE CORRELATIONS advertisements.
The interpretations from the ANOVA One -Way
highlighted the existence of a difference between Age of
1.3 Table showing the Turkey HSD Calculations for Multiple Comparisons between 8,9,10, 11 and 12-years in case
of Automobile Advertisements.
Dependent Age(I) Age(J) Mean Difference Std. Error Sig.
Variable (I-J)
Automobile 8 9 -.025 .358 1.000
10 2.525 .358 .000
11 3.275 .358 .000
12 4.400 .358 .000
9 10 2.550 .358 .000
11 -3.250 .358 .000
12 -4.375 .358 .000
10 11 -5.800 .358 .000
12 -6.925 .358 .000
11 12 -1.125 .358 .016
Table 1. 3 highlights the Multiple Correlations between the pester power. The responses indicate a difference between
select age groups for Automobile Advertisements. The the age of children and level of pester power. Considering
comparison chart depicts the existence of differences the category of advertisements, the reason of such
between the Age of children and Pester Power level. The difference can be interpreted as perception and knowledge.
difference is significant between the age group 8years and Existence of pester power also indicates the growth of
9 years(p value-1.000). However, the comparisons drawn children consumerism in the select category of
between the remaining age groups don’t identify any advertisement. Marketers can consider this to be a powerful
difference. Hence it can be concluded as mostly the level of tactic to increase the consumption of this category of
pester power for the select age groups is same. products. One negative connotation of the existence of the
pester power is ‘recognition of an unwanted need’ and
DISCUSSION
conflicts over purchase choices with parents.
For the Automobile advertisements category, pester power
reveals its existence. For the select age groups, the level of CONCLUSION
pester power is different. The age groups viz. 8years to 10 Automobile Advertisements have grown to be a very
years shows a similar level of pester power. However, the attractive segment for the children. The appeals used by the
age groups 11 years and 12 years reflect a different level of advertisers are remarkable, hence children are reciprocating
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to such appeals. Automobiles doesn’t stand as a necessity
product for the children but still children act as prospects.
The advertisers have succeeded with their tactics in
convincing children to recognize such products as a need
for their family. The emotional and playful attractive
appeals have helped the children to act like the way
desired. The responses generated indicate about the level of
pester power s per individual age. Further, the findings also
highlighted the existing difference between level of pester
power and age of child. Considering the product category,
the children mostly depict a similar level of pester power.
The level of pester power as per the generated analysis
reflects only an average and below average level. This level
cannot assure a purchase intention. Hence the marketers
need to re-develop their advertising campaigns to lure
them.
REFERENCES
1. Anitha P , Bijuna C Mohan(2015), ‘Influence of Family
Structures on Pester Power and Purchase Outcomes-A
Conceptual Framework’, Fifth International Conference On
Marketing And Retailing,
https://ac.elscdn.com/S2212567116301241/1-s2.0-
S2212567116301241-main.pdf?_tid=51ee0dae-b7ae-11e7-8532-
00000aab0f26&acdnat=1508734678_16582b9a74705ecb399a998
8eb28e9c0,visited on 21/10/2017
2. Atkin .K.Charles (1976),‘Children's Social Learning From
Television Advertising: Research Evidence on Observational
Modeling of Product Consumption’, Advances in Consumer
Research Volume 3, 1976,Pages 513-519,
http://www.acrwebsite.org/ volumes/9313/volumes/v03/NA-03
3. Awde Nadine, ‘The Influence Of Cultural Values On The Parent-
Child Interaction Patterns Of Families From An Asian
Backgroun’, ARECLS, 2009, Vol.6, 01-17,
http://research.ncl.ac.uk/ARECLS/volume_6/awde_vol6.pdf
4. Hameed Abdul (2014) ‘Impact of TV Advertisement on Children
Buying Behavior’, International Journal of Humanities and Social
Science Vol. 4 No. 2 [Special Issue – January 2014],
http://www.ijhssnet.com/journals/Vol_4_No_2_Special_Issue_Ja
nuary_2014/25.pdf
5. Johansen J. Elise(2012) The Portrayals of Family in Advertising:
Children's
Perspectives,http://digitalcommons.unl.edu/cgi/viewcontent.cgi?a
rticle=1038&context=businessdiss
6. Kumar Sunita(2013), ‘The Impact of Television Advertisements
on Children in the Process of family purchase decision’, ISSN:
2249-1058, Volume 3, Issue 7,
https://www.academia.edu/9929013/The_Impact_of_Television_
Advertisements_on_Children_in_the_Process_of_family_purchas
e_decision ,visited on 21/11/17
7. Kumar Sunita(2013), ‘The Impact of Television Advertisements
on Children in the Process of family purchase decision’, ISSN:
2249-1058, Volume 3, Issue 7,
https://www.academia.edu/9929013/The_Impact_of_Television_
Advertisements_on_Children_in_the_Process_of_family_purchas
e_decision ,visited on 21/11/17
8. Johansen J. Elise(2012) The Portrayals of Family in Advertising:
Children's
Perspectives,http://digitalcommons.unl.edu/cgi/viewcontent.cgi?a
rticle=1038&context=businessdiss
9. Rajadhyaksha Radha,TNN JUL 23,2003,01:33AM,IST,

https://timesofindia.indiatimes.com/city/mumbai/Pester-power-
marketing-harms-kids/articleshow/90521.cms,visited on
23/10/2017
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GROWING IMPORTANCE OF AFTER SALE SERVICE IN INDIAN
AUTOMOBILE SECTOR: A REVIEW OF STUDY
*
Bhushan Kumar Chawla **Balbir Singh
*
Research Scholar, Department of Commerce, Punjabi University Patiala
**
Associate Prof and Head, Department of Economics and Commerce, Desh Bhagat College-
Bardwal, Dhuri
ABSTRACT
After sales service play an important role in customer satisfaction and retention in automobile industry.
It is considered as one of the key success factor of the automobile industry. A large portion of the
business association of durable assembling don't know about the significance of after sales services and
its impact on the satisfaction level of customer. Neglecting to understand the nearness of these services
can obliterate the business relationship and lead disappoint to clients. Organizations can lose potential
for new customer because of negative verbal. That is the reason, each business association should think
about the objective and significance of after sales services and execute it in the each association to
satisfy customers and make them faithful. This review paper is an attempt to understand the growing
importance of after sales services which highly affect the satisfaction level of customers and make them
faithful in automobile industry.
Key words: After sales service, Customer satisfaction, Automobile Industry.
INTRODUCTION OBJECTIVE OF THE STUDY
The automobile business in india has experienced This research paper is an attempt to review the literature
exceptional changes throughout the years. It assumes a related to the study of customer satisfaction towards after
significant role to support the economic development of the sales services of passenger car vehicles in automobile
nation. As of now, it contributes over 7% to India's GDP industry. This study is conducted to understand the growing
and a large number of individuals are working right now. importance of after sales services which highly effect the
The key to success of automobile industry right now isn't satisfaction level of customers.
just founded on the giving mere products to customers yet
REVIEW OF LITRATURE
in addition in giving good quality of after sales services.
After sales service is a significant factor in the marketing Shuqin and gang (2012) directed an empirical
exchanges. It is given by the organizations to their investigation of after sales service relationship in china's
customers after of selling their products. This significant vehicle industry. Data was gathered from 327 respondent
service is given to the customers to guarantee that they are based on service quality model survey in china. The
happy/satisfied with the products and services of the investigation found that elements of service quality model
organization. In developed countries, much importance is had significant positive relationship with the exception of
given on after sales service to satisfy the customers because responsiveness on the satisfaction of customers. It further
this service not only proves their competitive advantage but found that satisfaction and commitment both had
also helps the companies in profit generation and customer- significant positive effect on relationship value however
retention. Almost all the customers of automobile need the trust couldn't impact relationship value straightforwardly.
services for their expensive wheelers. So after sales service
Amonkar (2013) examined customer satisfaction towards
play the significant role to keep their wheelers secure and
to ward off dissatisfaction and frustration among the after sales services offered by Alcon Hyundai
customers for the products and their manufacturers. After administration center in Goa. In this study, satisfaction was
estimated towards various aspects of after sales services.
sales services incorporates: maintenance, spare parts
Information was gathered from 50 clients from Bicholim
supply, warranty, inspection, on line administration
and Bardeztaluka with the assistance of organized survey.
(phone), training, documentation and so forth. Customer
satisfaction towards after sales services is studied due to the The investigation found that customer satisfaction was not
developing significance of after sales services which only affected by nature of products and services but also by
quality of after sales services. It was concluded that after
exceptionally influence the satisfaction level of the
sales services is a vital and significant part of promoting of
customers in the vehicle area.
durable products.
Saeed et al. (2013) analysed the effect of after sales
services on buyer purchasing behaviour in Sahiwal
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Pakistan. This examination was led to realize which noteworthy connection between the cost of services and
variables impact the purchasing behaviour of buyers in customer satisfaction and a positive connection between the
Automobile industry. Information was gathered for this after sales service quality and customer satisfaction.
examination from 150 respondents with the assistance of
Rana and Lokhande (2015) investigated preferences and
survey. It was observed that clients favoured just those
opinions of Maruti and Hyundai customers in Marathwada
autos having minimal cost spare parts. It was seen that
Region of Maharashtra with regards to after sales services,
other variable like easy accessibility of spare parts and
resale value and fuel efficiency. Convenience sampling was
mechanics had low impact on customer purchasing
utilized for gathering information from 500 customers with
behaviour. It was recommended that manufacture should
the assistance of questionnaire survey. The examination
design systems to bring down the expense of spare parts.
found that customer opted maruti vehicles as a result of
Mishra (2014) inspected the connection between viable good quality of after sales services and resale value
after sales services and customer satisfaction at Tata whereas hyundai autos were selected as a result of good
Motor's in Jharkhand. With the end goal of this exterior quality, comfort and insider space. The
investigation, 100 customers were chosen by basic arbitrary investigation concluded that customer care services plays
examining technique with the assistance of sent survey. significant job to fulfilling and satisfying the customers.
The investigation found that customers were mostly happy
Giri and Thapa (2016) studied customer satisfaction on
with Safety, Price, Mileage, plan, inside space, status brand
after sales services of two wheelers in Kathmandu Valley.
name, comfort level, spare part and after sales services
The goal of study was to analyse the connection between
however the most affecting variable for consumer
recognized after sales services and customer’s satisfaction
satisfaction were price, after sales services and insider
in auto industry. 280 respondents were chosen based on
space.
quota and convenience sampling. Each Brand of the two
Chatterjee (2015) considered the components influencing wheelers business was chosen for the investigation. It was
consumer satisfaction towards after sales services in car discovered that behaviour of technicians had the most
industry (Passenger vehicle section) and distinguished five grounded positive relationship with customer satisfaction.
free factors(service cost, quality of repair, expeditiousness It was concluded that supporting after sales services had the
in the services, area of the service stations and conduct of ground-breaking positive relationship with consumer
the administration) to Judge customer satisfaction. The data satisfaction than major after sales services.
for the investigation was gathered from 200 vehicle owner
Nordin et al. (2016) inspected service assessment on
with the assistance of organized survey in West Bengal. It
Automotive after sales services in Malaysia. The
was discovered that all these five variable had solid
investigation was conducted to look at the variables and
connection with customer satisfaction and every one of
dimensions which show their impact on the after sales
them were the most affecting elements to predicting the
services. A portion of the factors were utilized to measure
customer satisfaction regarding after sales services in the
the after sales services in car organization like warranty,
car business.
staff administration, loyalty, security and comfort level. It
Confente and Russo (2015) researched the impact of after was concluded that all the chosed factors play a huge
sales service quality on overall satisfaction of customers relationship with after sales services.
and word-of-mouth in the vehicle business. Information
Velimirovic et al. (2016) led an investigation dealt with
was gathered from 210 customers utilizing convenience
after sales services in vehicle industry. The reason for the
method with the assistance questionnaire in Italy. Straight
investigation was to characterize quality components of
regression model and R programming were utilized as a
after sales services and decide the significance of each
measurable instrument to examination the data. The
factor. Descriptive survey method was utilized in this
examination discovered all the elements in after sales
examination and information was gathered by survey from
services experience were seen positively and customers
the customers on their social and andragogy highlights at
were amazingly satisfied. The elements of after sales
the car service stations in Serbia. The investigation
service experience that got the most noteworthy satisfaction
discovered nine quality factors, for example, reliability,
was personal courtesy, welcoming procedure and quality of
uncommon features, responsiveness and empathy,
services.
straightforwardness, visual impression, comfort, confidence
Fard and Hosseini (2015) led an experimental and affirmation, communication and extra service had
examination to decide significant variables affecting been characterized and all these recognized elements was
customer satisfaction in after sales service system of car not of a similar significance.
industry. Data was gathered randomly from 265
Kesh (2017) led an investigation on after sales service
respondents who got the services from car firm in Iran.
quality and its effect on consumer satisfaction in selected
With the assistance of two questionnaire, one for estimating
companies of vehicle industry. The investigation was
the quality of after sales services and other for customer
endeavoured to compare the satisfaction of customers on
satisfaction. Data was examined by spearman correlation
after sales service quality and to recognize the relationship
method. The investigation found that there was positive and
with the different demographic components of selected car
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companies. Data was gathered from 85 respondents customer service was the most significant component of
utilizing quota sampling with the assistance of SERVQAL service quality that added to the positive relationship with
model from Ludhiana in Punjab. Data was analysed by customer faithfulness. It was additionally discovered that
ANOVA test and Scheffe according to goals of the study. It after sales service quality had a huge positive relationship
was discovered that there was a huge distinction in the with customer loyalty and indicated that the opposition
customer's perceptions about quality of after sales services variable of elective attractiveness was not significant
and there was not significant difference in customer contributor to impact the degree of customer loyalty.
satisfaction about quality of after sales services. Different
Ulle et al. (2018) considered the customers' perception of
types of relationship was found between customer
after sales service with special reference to running repairs
satisfaction and different demographic factors.
and paid services. With the end goal of study, stratified
Meera and Muthupandi (2017) contemplated customer sampling was utilized for gathering information from 200
satisfaction and expectations towards after sales services of customers who visited for services of their vehicles at
TVS Motors ltd at Sivakasi in Tamil Nadu by considering Dyuthi Motor Pvt. Ltd. Mysore. It was discovered that
various parts of after sales services. With the end goal of dominant part of running repairs had good perception,
study, convenience sampling method was utilized. The satisfaction and relationship with customers and brand
information was gathered from 80 respondents with the picture of the organization than paid services. The
assistance of organized survey. The investigation found that examination concluded that customer's perception of after
dominant part of respondents expected better services from sales services was significant for the achievement or failure
TVS Motor vehicles and were profoundly happy with their of the organization.
after sales services given by the vendors. The examination
Adusei and Koduah (2019) led an examination on after
recommended that the clients should research and analyse
sales service and customer satisfaction in the auto business
on different services given by the showroom before buying
in a rising economy. The examination was analysed
bike vehicles.
utilizing CFAO Motors as a contextual analysis. With the
Tsegaya (2017) inspected the impact of after sales service end goal of this examination, data was gathered through
quality on customer satisfaction in the ethiopian vehicle survey and meeting from owners of vehicles (68),
industry. SERVPERF model was utilized for the administration experts (13) and workshop producer (1). It
investigation and 166 candidates were chosen from was discovered that inspection and maintenance were
MEENCO, NYALA Motors and Yang fan motors services exceptionally scoring component of after sales service in
outlets at the Addis Ababa by utilizing convenience customer satisfaction. The investigation inferred that
sampling with the assistance of questionnaire. The CFAO Motor must be customer driven association through
investigation found that there was a positive connection the deployment of powerful marketing strategies to better
between SERVPERF measurements and customer the growth of business.
satisfaction. The examination suggested that out of
CONCLUSION
different dimensions, empathy was the main factor that was
the dominant service performer having enormously After sales services is considered as one of the key
influencing customer satisfaction. achievement factor of vehicle industry. The investigation
has demonstrated that how much after sales services is
Gupta (2017) contemplated the Customer satisfaction and
significant for business ventures to meet the satisfaction
loyalty towards after sales services in Indian car industry
level of customers and make them loyal. The organisations
regarding workshop experience. With the end goal of this
which focus on after sales services archives familiarity,
investigation, self-planned organized survey was utilized
popularity and goodwill in this competitive environment.
for gathering information from 525 respondents in Delhi
The study recommends that each business organisations
and NCR. The finding uncovered that after sales service
should know about the importance of after sales services to
was one of the significant factor in buying vehicle and
satisfy their customers and make positive word of mouth.
various components of after sales services had direct
relationship with customer loyalty and satisfaction. The REFERENCES
examination further uncovered that there was no critical 1. Adusei, C., & Tweneboah-Koduah, I. (2019). After-Sales Service
distinction in customer loyalty with kinds of service and Customer Satisfaction in the Automobile Industry in an
stations. Emerging Economy. Open Access Library Journal, 6(1), 1-21.
Saidin et al. (2018) analysed the impact of car after sales 2. Amonkar, R. (2016). Customer Satisfaction towards After Sales
Service: A Case Study Analysis. International Journal of Science
service quality and elective attractiveness on customer and Research, 5(10), 1520-1524.
loyalty towards Malaysian national carmakers. With the
end goal of this investigation, the data was collected from 3. Chatterjee, S. (2015). Factors affecting customer saisfaction in
after sales service in automobile industry (passenger car segment).
312 customers of after sales service outlets of Malaysian International Journal of Marketing & Financial Management,
national carmakers with the assistance of survey. The 3(10), 1-8.
respondents were chosen through the method of intercept
4. Confente, I., & Russo, I. (2015). After-sales service as a driver for
survey in systematic sampling. It was discovered that word-of-mouth and customer satisfaction: Insights from the
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After Sales Service in automobile industry with special reference New Delhi.
to workshop experience: A study of passanger car vehicles, Ph.D
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8. Kesh, R. (2017). A Study on After Sales Service Quality and its
Influence on Customer Satisfaction in selected Automobile
Companies. South-Asian Journal of Multidisciplinary
Studies, 4(6), 196-210.
9. Meera, M. R., & Muthupandi, S. (2017). Customer Satisfaction
and Expectation towards After Sales Service of TVS Motors Ltd
in Sivakasi. International Journal of Humanities & Social Science
studies, 3(4), 118-144.
10. Mishra, A. K. (2014). A study on relation between effective after
sales service and customer overall satisfaction at TATA motor’s
with special reference to Ramgarhia automobiles Ramgarh Cantt,
Jharkhand. International Journal of Research in Business
Management, 2(3), 79-88.
11. Nordin, N., Yaacob, A. A., Razak, R. C., Radzi, W. N. W., &
Saraih, U. N. (2016). Service Evaluation on Automotive After-
Sale Service. Journal of Advanced Research in Bussiness and
Management Studies, 4(1), 43-50.
12. Rana, V. S., & Lokhande, M. A. (2015). A Study of Consumer
Preferences & Attitude towards passenger cars of Maruti Suzuki
& Hyundai Motors in Marathwada Region of
Maharashtra. International Journal of Science, Spirituality,
Business and Technology, 3(2), 37-42.
13. Saeed, R., Lodhi, R. N., Majid, M. B., Rana, M. I., Mahmood, Z.,
& Ahmad, M. (2013). Impact of After Sales Service on Consumer
Buying Behaviour in Sahiwal Pakistan. Management and
Administrative Sciences Review, 2(5), 555-562.
14. Saidin, Z. H., Mohd Mokhtar, S. S., Saad, R., & Zien Yusoff, R.
(2018). The Impact of Automotive After-Sales Service Quality
and Alternative Attractiveness on Customer
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R. (2018). Customers perception of after sales service at Dyuthi
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AN EMPIRICAL STUDY OF CONSUMERS’ PERCEPTION AND
ACCEPTANCE TOWARDS GREEN CONSUMER DURABLE PRODUCTS IN
DELHI/NCR
*
Shweta **Md. Shahnawaz Abdin
*
Research Scholar, Department of Management, SMBS, Jamia Hamdard, Delhi & Assistant
Professor, College of Vocational Studies, University of Delhi, Delhi, India.
**
Assistant Professor, Department of Management, SMBS, Jamia Hamdard, Delhi, India.
ABSTRACT
In the present times, environmental issues have taken serious consideration everywhere. The field of
marketing has also not been un-touched by the same; marketers try to make their marketing strategies
accordingly. Businesses try to adopt the sustainable development approach to tackle environment related
issues and they work for society and the environment together along with profit making. With the
growing awareness about environmental issues like global warming, the adverse impact of pollution and
depletion of the ozone layer, etc., both marketers and consumers see green products as a sustainable
solution to the said problem. Consumers’ growing concerned about environmental issues pushing them
to opt for green products as a part of sustainable consumption. This study will try to analyze the
changing behavior of consumers, their perception and acceptance towards green products specifically
Green Consumer Durable Products. To achieve the objective of the study questionnaire will be designed
and collected the data from at least 200 respondents. A simple random sampling method will be used to
select the data. To prove the hypotheses of the study descriptive and inferential statistics will be used with
the help of Statistical Package for Social Sciences Software (version 26).
Keywords: Green Consumers, Green Consumer Durable Products, Consumer Perception and
Acceptance towards Green Consumer Durable Products.
INTRODUCTION consumers towards Green Consumer Durable products.
After studying the perception of consumers towards green
Green Marketing is the marketing of products and services
durable products next step is to know whether these
that are considered to be environmentally safe. It may also
products are to be accepted or not, this point also will be
be considered as a strategy for the future in a sustainable
discussed in this study.
way i.e., production and disposing of goods and services in
the safest manner so that less detrimental impact on the There are many varieties of green products available in the
environment.1 The term of Green Marketing came into market and expansion of durable marketing has been seen
existence in the late 1980s and early 1990s. Around the from the last many years for example automobile, furniture,
1990s it was observed people had much more aware about kitchen appliances, mobile phone etc. 4 This study will be
the environmental issues like pollution, depletion of ozone focused on the consumers’ durables in terms of green
layers, global warming, etc.2 meanwhile Green Marketing products especially in Delhi/NCR through the empirical
started proving its relevancy in the marketing field and as study.
well as in the consumption behavior of the consumers. It
OBJECTIVES OF THE STUDY
was noticed that from the 1990s’ people changed in their
consumption pattern and inclined towards green The main objectives of the study are:
consumerism. Green consumerism has moved consumers’
1. To know the Consumers’ Perception towards
attention towards green products and increasing their
awareness level towards the same. But adoption of green Green Consumer Durable Products.
consumerism by the consumers was not a much easier 2. To know the Consumers’ Acceptance towards
process; they faced many difficulties while behaving as Green Consumer Durable Products.
green consumers.
To understand the behavior of consumers, perception is
played a very important role. Perception is the way in REVIEW OF LITERATURE AND HYPOTHESES
which something is regarded, understood, and interpreted. FORMULATION
Consumer perception is a process of organizing and Perception of consumers basically belongs to three things
interpreting marketing stimuli in a meaningful way.3 The Attention, Understanding, and Action. Attention is the
current study will access the changing perception of visual experience related to the products and services
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including color, shape, design and packaging of the object.5 II. Consumers’ Awareness towards Green
Understanding refers to what has been perceived by the Consumer Durable Products and Perception
consumers regarding the products and services. Action
Kumar, Garg & et al., (2012)10 discussed through their
means consumer reaction towards the green consumer
study that consumers were environmentally concerned and
durable products. There are some of the literatures will be
interested to pay a high price for green products. Another
discussed that throws light on the changing consumer
fact also found by the authors that consumers were not well
perception for green consumer durable products in the
aware of the green products.
present scenario.
Hundal & Kumar (2015)11 in this study, authors wanted to
I. Demographic profile of consumers and
address the consumer perception towards green products.
Perception
To study the consumer perception seven factors were
Rehman & Kirmani (2013)6 analyzed that demographic analyzed in the study like Desire, Trustworthiness,
characteristics of consumers significantly influence Preference, Ethical, Awareness, Initiative, and Social
consumer attitude and perception towards green products. welfare.
Omer, Nazri & et al., (2016)7 discussed the effect of Yang (2017)12 explored the brand knowledge influence
demographic factors on purchase intention of consumers. consumers’ perceptions and brand evaluation also
Five demographic factors were studied like age, gender, discussed the various green products features used by
level of income, educational level and number of children consumers to choose green products.
in the family to get the outcome of the objectives.
Lavanya & Kumar (2019)13 identified in their research
8
Che In & Ahmad (2018) investigated demographic paper the consumer perception towards green products and
profile of consumers like age, gender, income, education also discussed the green marketing strategies adopted by
qualification has significant impact on consumer intention marketers’ impact on the consumer perception for green
to buy green products. products. The study also found that majority of the
consumers aware of the green products and believed that
Thapa (2019)9 observed that educated consumers believed
green products are safe for the environment.
green products are of high quality than the conventional
products. Consumers were not bothered about the excessive Sharma & Foropon (2019)14 the aim of the study is to
price of green products. examine the effect of green product attributes on the
purchase behavior of consumers and on the degree of
environmental concern. The attributes of green products
performed an important role in the decision - making
process of green purchasers.
HYPOTHESES OF THE STUDY Qualification, Occupation and Income of consumers and

consumer perception towards Green Consumer Durable
On the basis of the literature review and according to the
Products.
proposed model the following hypotheses formed:
H01: There is no significant relationship between
Demographic factors like Age, Gender, Educational
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H02: Consumer Awareness does not significantly influence DESIGNING THE QUESTIONNAIRE
consumer perception towards Green Consumer Durable
The questionnaire was designed in such a way so that it the
Products.
hypotheses of the study may be tested. The questionnaire
RESEARCH METHODOLOGY included the closed ended questions and five point Likert
scale that is based on the following responses: Strongly
The study is empirical and descriptive in nature and its
Agree, Agree, Neutral, Disagree, and Strongly Disagree
main purpose is to find out the consumer perception and
and also followed by Yes or No responses.
acceptance towards green consumer durable products. The
result of the study is based on the survey that was collected THE SAMPLING DESIGN
through closed ended questionnaire.
A simple random sampling method was used to select the
DATA COLLECTION TECHNIQUE data. A simple random sampling method is the unbiased
sampling method in which each member of the population
Both primary and secondary data was collected to attain the
has an equal opportunity of being chosen in the sample.
objectives of the study. The primary data was collected
The sample size is 200 respondents collected for the study
through closed ended questionnaire. Secondary data
from Delhi/NCR only.
collected through published previous research paper,
journals, newspapers, websites and e-libraries. RESULT AND FINDINGS
It is obvious to know the demographic profile of
respondents for analyzing consumers’ perception towards
Green Consumer Durable Products.
DEMOGRAPHIC PROFILE
Table 1
Frequency Percent
Gender Female 92 46.0
Male 108 54.0
Age 18-24 Years 70 35.0
25- 30 Years 54 27.0
31-45 Years 76 38.0
Education Under-Graduate 73 36.5
Qualification Graduate 52 26.0
Post Graduation 41 20.5
M Phil 27 13.5
Ph. D 7 3.5
Monthly Income Less than 10000 62 31.0
11000-30000 24 12.0
31000-50000 55 27.5
More than 50000 59 29.5
State Delhi 165 82.5
Outside Delhi 35 17.5
Total 200 100.0
It is observed that, 46% were female and the rest 54% were RELIABILITY TESTING
male. Data has been categorized into three age groups. In
To determine the reliability of items that would be used to
this study most of the respondents participated were in the
test the hypotheses of the study with regards to know the
age group from 31-45 years. The majority of respondents
perception of consumers towards green consumer durable
were ‘under-graduate’ under the educational qualification.
products the value of Cronbach’s alpha was measured.
The respondents’ income has been categorized into four
Cronbach’s alpha provides the easy way to measure the
categories and the highest income groups from 31000-
data whether it is reliable or not. See Table 2 of data
50000. Data showed that most of the respondents from the
reliability test.
Delhi that was 82.5% and respondents from outside Delhi
was 17.5%.
Table 2
Cronbach’s Alpha Cronbach’s Alpha Based on Standardized N of Items
Items
.792 .810 10
The value of Cronbach’s alpha is measured .792 of 10 good and reliable. To test the hypotheses of the study we
items. The value of alpha showed that data is reliable could apply parametric test as data was normal.
because value of Cronbach’s alpha of 0.70 and above is
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HYPOTHESES TESTING
Table 3
Result of chi-square test
Variables tested Pearson Chi-Square Value df Asymptotic Significance (2-sided) Result
Gender 2.373 3 .499 Accepted
Age 8.583 6 .198 Accepted
Educational qualification 8.146 12 .774 Accepted
Occupation 16.813 9 .052 Accepted
Monthly Income 9.834 9 .364 Accepted
H01: There is no significant relationship between Monthly Income the significance chi-square values are
Demographic factors like Age, Gender, Educational .198, .774, .052 and .364 respectively. The p—value of all
Qualification, Occupation and Income of consumers and these variables are greater than 0.05 (5%). Hence it is
consumer perception towards Green Consumer Durable accepted the null hypothesis (H01).
Products.
H02: Consumer Awareness does not significantly influence
Table 3 showed that in case of Gender the significance chi- consumer perception towards Green Consumer Durable
square value is .499, which is greater than 0.05 (5%). In Products.
case of Age, Educational qualification, Occupation and
Table 4: Linear Regression Analysis
Model R R Square Square Estimate
1 .277a .077 .053 .654
Note: a. Predictors: (Constant), Human need to consume green products because they are environmentally friendly, I prefer to buy green products than
conventional products (non- green products)?, Purchasing green products today will help to save the environment for future generation, I know about
Green (Eco-friendly) products?, Green products are better option for future sustainability.
Table 5: ANOVAa
Model Sum of Squares Df Mean Square F Sig.
Regression 6.929 5 1.386 3.237 .008b
Residual 83.071 194 .428
Total 90.000 199
Note: a. Dependent Variable: Green consumer durable products are safe to use
b. Predictors: (Constant), Human need to consume green products because they are environmentally friendly, I prefer to buy green products than
conventional products (non- green products)?, Purchasing green products today will help to save the environment for future generation, I know about
Green (Eco-friendly) products?, Green products are better option for future sustainability.
Table 6: Standardized Coefficientsa
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) .540 .293 1.846 .066
I know about Green (Eco-friendly) products? .105 .157 .048 .664 .507
I prefer to buy green products than conventional products .076 .060 .090 1.263 .208
(non- green products)?
Purchasing green products today will help to save the .103 .097 .074 1.059 .291
environment for future generation
Green products are better option for future sustainability. .384 .155 .189 2.484 .014
Human need to consume green products because they are .148 .129 .087 1.150 .252
environmentally friendly
a. Dependent Variable: Green consumer durable products are safe to use

Table 6 showed that p—value is greater than 0.05, hence accepted the null hypothesis.
DISCUSSION with the perception of consumers towards consumer
durable products. Since the p-value of all demographic
With the help of statistical result, it can be concluded that
variables was greater than 0.05, hence it indicated strong
consumer perception towards green consumer durable
evidence for the null hypotheses means there is no
products can be measured with demographic profile of
significant relationship between demographic profile and
consumers like gender, age, educational qualification,
the perception of consumers. On the other side for testing
occupation and monthly income. The chi-square test was
the consumer awareness with perception of consumers in
used to test the demographic profile of consumers related
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terms of green consumer durable products, the linear As far as consumer acceptance matters, it is associated with
regression model was applied. The result showed that the intention to buy.15 The intention of consumers
consumer awareness’ does not significantly influence positively related to the acceptance of products and services
consumer perception towards green consumer durable that mean willing to buy particular goods and services.16
products. Consumer perception and awareness are
negatively associated with each other.
In this study, it was revealed that consumers did not aware REFERENCES
of the green consumer durable products so they did not 1. Tukker, A., Cohen, M. J., Hubacek, K., & Mont, O. (2010).
make their intention to buy them. Consumer acceptance Sustainable consumption and production.
towards green consumer durable products was negative due
2. Roth, C. E. (1992). Environmental literacy: its roots, evolution
to lack of awareness. Awareness played a major role to and directions in the 1990s.
change consumer perception and acceptance towards green
3. Hansen, T. (2005). Understanding consumer perception of food
consumer durable products. Generally, purchase intention quality: the cases of shrimps and cheese. British Food Journal.
is related to consumer behavior and perception.17 Intention
moves towards the acceptance of particular goods and 4. Zhang, X., & Dong, F. (2020). Why Do Consumers Make
Green Purchase Decisions? Insights from a Systematic
services. Perception of consumers’ motivates them to Review. International Journal of Environmental Research and
intend for purchasing and finally acceptance of goods and Public Health, 17(18), 6607.
services. Present research indicated that since consumers’
5. Parasuraman, A., Zeithaml, V. A., & Berry, L. (1988).
awareness and perception are not directly associated with SERVQUAL: A multiple-item scale for measuring consumer
each other so that they were not accepted the green perceptions of service quality. 1988, 64(1), 12-40.
consumer durable products. A one of the studies also found 6. Rehman, A., & Kirmani, M. D. Demographic Differences In
that consumers who wanted to be informed about green Indian Consumers’ Green Purchase Attitude.
products really did not understand to what green products
7. Omar, N. A., Nazri, M. A., Osman, L. H., & Ahmad, M. S.
exactly constituted.18 (2017). The effect of demographic factors on consumer
intention to purchase organic products in the Klang Valley: An
CONCLUSION empirical study. Geografia-Malaysian Journal of Society and
We may conclude that study has dealt with consumers’ Space, 12(2).
perception and acceptance of green consumer durable 8. In, C. F., & Ahmad, A. (2018). The effect of demographic
products. It can be summarized from the above study that factors on consumer intention to purchase green personal care
products. In Proceeding of INSIGHT 2018 1st International
consumers’ demographic attributes negatively associated Conference Religion. Social Sciences and Technological
with the perception of consumers towards green consumer Education. Consulted at: https://researchgate.
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products is high but it is negatively or does not influence HIC_
FACTORS_ON_CONSUMER_INTENTION_TO_PURCHASE_
the perception of consumers towards green consumer GREEN_PERSONAL_CARE_PR ODUCTS.
durable products. From the analysis, it is found that even
consumer education does not explicit about the various 9. Thapa, G. (2019). Consumers’ Perception Towards Green
Products in Nepal. NCC Journal, 4(1), 47-57.
characteristics of green products. Important differences
have been found between age, income, occupation, and 10. Kumar, S., Garg, R., & Makkar, A. (2012). Consumer
awareness and perception towards green products: A study of
perception of consumer towards green consumer durable youngsters in India. International Journal of Marketing &
products. As consumer demographic profile and awareness Business Communication, 1(4), 35.
did not favor the consumer perception hence they no more
11. Hundal, B. S., & Kumar, V. (2015). Consumer perception
supported and accepted the green consumer durable towards green products: A factor analytic approach. Pacific
products. Business Review International, 7(10), 1-7.
The limitation of the study is that it has taken only few 12. Yang, Y. C. (2017). Consumer behavior towards green
perspectives of consumers’ behavior. It is a data-based products. Journal of Economics, Business and
Management, 5(4), 160-167.
study and has done with the survey from the Delhi/NCR
only and there is more scope to explore more area. The 13. K. Lavanya., & Kumar, P. (2019). Consumer Perception
overall research suggests that more initiatives must take to towards Green Products and Strategies that Impact the
Consumer Perception. International Journal of Scientific &
aware and educate the consumers about green products so Technology Research, 8(11), 3543-3548.
that consumers may approach the green consumer durable
14. Sharma, A., & Foropon, C. (2019). Green product attributes
products and keen to buy the products. and green purchase behavior. Management Decision.
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15. Thapa, G. (2019). Consumers’ Perception Towards Green
Products in Nepal. NCC Journal, 4(1), 47-57.
16. Nguyen, T. H., & Gizaw, A. (2014). Factors that influence
consumer purchasing decision of Private Label Food Product:
A case study of ICA Basic.
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INTELLECTUAL CAPITAL AND FIRM PERFORMANCE: A SYSTEMATIC

LITERATURE REVIEW
*
Shashi Kapoor
*
Assistant Professor, UBS, PU Regional Centre, Ludhiana
ABSTRACT
Present study is an attempt to highlight the importance of intellectual capital (IC) in the present age of
economy. Systematic Literature Review (SLR) approach has been used to identify the publication trends
in the area of IC and firm performance. Descriptive analysis has been conducted to identify the yearly
publication trends, most important journal outlets for this domain of research and highly cited
publications over the period of studies. Further the content analysis of all the publications shortlisted
from “SCOPUS” has been performed. Majority of the publications are found to have established a
positive and significant impact of intellectual (IC) over firm performance.
Keywords: Firm Performance; Human Capital: Intellectual Capital; Value Creation
INTRODUCTION customers, partners and local community and other
stakeholders (Dzinkowski, 2000). Since it is difficult to
In the recent few decades, a fundamental change in the
measure the intellectual capital (IC), therefore it cannot be
resource structure of organization is very much visible.
accurately disclosed in the financial statements of the firms.
Resource based view of firms emphasizes that value
Lev (2001) highlighted that market to book value ratio of
creation capability belonging to an organization has largely
US Standard and Poors (S&P) 500 companies have
shifted to intangible resources. Tangible and human capital
increased from 1 to 5 over the period of 1977-2001. IC has
were used to be considered as key elements traditionally,
been credited for this huge difference between market value
but in the present age, knowledge-based assets, intellectual
of an organization in comparison to book value represented
capital (IC) and human assets are imperative engines for
by financial statements of the firms. As IC is the major
the value creation for a firm (Kweh et al., 2019). Under
source of value creation in the present time, affects the
these circumstances, intellectual capital (IC) and
performance of any organization but is not represented in
intellectual or knowledge-based assets have become very
the books of accounts and financial statements as it difficult
much critical for the success of a business entity.
to be measured.
Researches revealed that fifty to ninety percent of the value
generated by business entities in the present age belongs to This paper attempts to systematically review the literature
IC but not to capacity to produce or sell, therefore it is investigating the linkages amongst IC and performance of
considered as most relevant driver for the performance of an organization. The study focuses to determine whether IC
an organization (Alipour, 2012). influences the performance of an organization or not. An
attempt has been made to investigate the following research
IC was conceptualised as the combination of all the
questions:
knowledge and competence which can provide a
sustainable competitive advantage to the organization RQ1: What are the publication trends in the area of IC
(Stewart, 1997). But with the passage of time, there has and firm performance?
been an agreement to a three-dimensional categorization of
RQ2: What is the impact of IC on firm performance?
IC – “human capital”, “organizational or structural capital”
and “relational or customer capital” (Dzinkowski, 2000). METHODOLOGY
Human capital is embodied in man power working with the
To accomplish the research questions mentioned in the
organization and competitive edge generated through their
competitive knowledge, skills, education, capabilities etc. It previous section, author adopted Systematic Literature
is a knowledge embedded with employees and they take it Review (SLR) approach proposed by Tranfield et al.
(2003). SLR approach has been used in the study to expose
away while leaving the company. Whereas, structural
what is already recognized and what is not about the
capital consists of knowledge embedded in the system
connection between IC and firm performance. This
through databases, plans, process descriptions, patents,
property rights etc. (Stewart, 1997) it is a kind of approach helps in reviewing the literature in an efficient
knowledge that always remains with the company. Finally, manner. Results are obtained after careful review of
literature in a predefined step, therefore the research
the customer capital, also known as relational capital
conducted adopting this technique is scientific, transparent
consists of the value embedded in relationships of firm with
and well replicable (Murata et al., 2014). The first step in
outside parties such as connections with suppliers,
this direction is to define the research subject and area, as
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well as the keywords that will be used to extrapolate data the other types of documents and checking the duplicate
from databases and decide the analysis procedure. In items, the data was further reduced to 78.
addition, criterias for inclusion and exclusion of the papers
At the end, last stage for quality check was carried out.
are also to be defined. Then the other phases and principles
Papers were eliminated if all the necessary information for
of SLR are carried out as proposed by Tranfield et al.
analysis was not available. Then titles and abstracts of
(2003).
remaining 71 papers were screened manually to determine
In order to find the literature in the sphere of IC and firm relevance, scope and suitability of the papers for the study.
performance, author finalized the keywords “Intellectual This reduced the data further to 43 items only. Attempt was
Capital” and “Firm Performance” as per the protocol of made to download the full-length articles for all the
SLR. Later study used the “SCOPUS” database for the shortlisted items, out of which only 39 full-length papers
purpose of extracting the necessary data related to studies could be downloaded by author applying all reasonable
in the selected field. It is a widely used database as it is the efforts and resources. Final number of full-length papers to
largest, multidisciplinary scientific literature database. It be analysed for the study was 39 only.
provides detailed information related to various
A two-step SLR methodology was adopted for analysing
components related to research documents along with
the articles selected for the study. In the first part,
information about authors, their respective affiliations and
descriptive analysis was conducted using certain
the number of citations secured by any document. Data was
bibliometric techniques to accomplish the RQ1 and to
extracted from “SCOPUS” by limiting the search to “Title,
assess the publication trends identifying linkages amongst
Abstract, Keywords”. It implies that, only those research
IC and firm performance. Articles, journals and citations
documents were selected for the analysis where the selected
represented the primary unit of analysis in this part. In the
keywords appeared in title, abstract or keyword of the
second part, content analysis of each article selected in the
documents. All the data extraction on conducted on
data set was conducted to answer the RQ2. Articles were
“SCOPUS” database on January 30, 2021. Since the
manually reviewed to identify the main findings and
objective of study was to identify the literature related to
insights emergent from the literature.
field studying linkages amongst IC and firm performance,
therefore enquiry into the database was run using the DESCRIPTIVE ANALYSIS
Boolean operators with the keywords. The overall string
used for search was (TITLE-ABS-KEY (Intellectual This section presents the results of descriptive analysis for
identifying the publication trends in the area of IC and firm
Capital) AND (Firm Performance)). The first enquiry
performance answering RQ1. To do so, different indicators
produced 207 items as results. Considering, just the
like time period, journals and, citations are considered to
beginning of the year 2021, it was decided to restrict the
portray a preliminary map of existing literature.
search to year 2020 only and this restricted search produced
199 items. It was observed that search included some EVOLUTIONS OF PUBLICATIONS OVER TIME
documents from the other subject areas and languages also.
Search was conducted again using the filters of English Yearly number of publications help in identifying the
language and considering the subject area as “Business interest of researchers in the area. It is clearly evident from
Management & Accounting”. This reduced the search Figure-I first article exploring the linkages between IC and
result to 128 items only. These papers belong to different firm performance was published in the year 2005 and since
types of documents including articles, books, books then total number of publications per year is significantly
chapters, conference papers etc. It was decided to include increasing.
only research articles related to the field. After removing
Figure-I
Article Frequency per year
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The maximum publications are observed in the year 2018. higher number of citations may be considered as most
Majority of the publications can in the recent years only. 30 influential piece of research. At the same time, articles
out of the total 39 studies (around 77%) are published in published earlier might have got cited a greater number of
the last five years only. There has been growing number of times in comparison to a recent publication. Therefore, in
studies investigating the relationship between IC and firm comparison to total number of citations, average number of
performance. Which implies that this domain of research is citations per year have been calculated and presented in
attracting more researchers and academicians in these Table – 1. It is clear that most of the papers with higher
years. number of average citations were written in the early years
when this area of research started gaining attraction.
CITATION WISE PUBLICATIONS
To identify the most influential articles, study have used
numbers of citations as a unit of measure. Article with
Table – 1
Top 10 Highly Cited Articles
Total Citations per
Sr. Study Title
Citations year
1 (Wang et al., 2014) Knowledge sharing, intellectual capital and firm performance 181 25.85
2 (Clarke et al., 2011) Intellectual capital and firm performance in Australia 182 18.2
3 (Henri et al., 2017) Intellectual capital, knowledge management practices and firm performance 65 16.25
4 (Bayraktaroglu et al., Intellectual capital and firm performance: an extended VAIC 31 15.5
2019)
5 (McDowell Building small firm performance through intellectual capital development: 45 15
et al., 2018) Exploring innovation as the “black box”
6 (Smriti & Das, 2018) The impact of intellectual capital on firm performance: a study of Indian firms 44 14.67
listed in COSPI
7 (Xu & Li, 2020) The impact of intellectual capital on SMEs’ performance in China: Empirical 26 26
evidence from non-high-tech vs. high-tech SMEs
8 (Mehralian The effects of knowledge creation process on organizational performance using 33 11
et al., 2018) the BSC approach: the mediating role of intellectual capital
9 (Phusavat Interrelationships between intellectual capital and performance: Empirical 109 10.9
et al., 2011) examination
10 (Alipour, 2012) The effect of intellectual capital on firm performance: An investigation of Iran 90 10
insurance companies
The most influential paper in this regard is found to be found to be publishing the paper in the selected data set.
“Knowledge sharing, intellectual capital and firm “Journal of Intellectual Capital” and “International Journal
performance” written by Wang et al. (2014) and the article of Learning and Intellectual Capital” are found to be the
lowest citations among top ten is “The effect of intellectual journals publishing largest number of articles as around
capital on firm performance: An investigation of Iran 31% of total publications under analysis belongs to these
insurance companies” by Alipour (2012). two journals only. Rest of all 24 journals are found to be
JOURNAL OUTLETS having published only one paper each during the period of
study.
Table – 2 represent the Journals publishing the largest
publications in this area of research. Total 26 journals are
Table – 2
Journals with largest Publications
Sr. Journal Articles Published
1 Journal of Intellectual Capital 8
2 International Journal of Learning and Intellectual Capital 4
3 Investment Management and Financial Innovations 2
4 Management Decision 2
5 Measuring Business Excellence 2
CONTENT ANALYSIS
operational performance. Majority of the studies used
Most of the studies (as highlighted in Table – 3) established financial performance indicators like return on equity
that IC has positive significant impact various indicators of (ROE) and return on assets (ROA) to assess the impact of
performance used by different researchers from time to IC (Desoky & Mousa, 2020; Maji & Goswami, 2016;
time. These indicators can be classified as financial Nadeem et al., 2017; Rahman et al., 2020; Ramírez et al.,
performance, sales growth, productivity, efficiency and 2020). In addition to these measures, few studies are found
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to be using assets turnover ratio (ATO); and sales growth Extensive review of all the studies revealed that except a
also as indicators of performance (Scafarto et al., 2016; few cases, IC is found to be having a positive and
Smriti & Das, 2018; Xu & Liu, 2020). Operational significant impact on the firm performance. Kulkarni &
performance, employee productivity and Tobin’s Q is also Bharathi (2020) found that all components of IC have
used by some studies for assessing the impact of IC and positive impact on financial performance but failed to
found a significant impact of IC on these measure (Clarke establish significant impact on brand reputation. Similarly,
et al., 2011; Hamdan, 2018; Salvi et al., 2020; Smriti & Iazzolino et al. (2019) also failed to establish impact of SC
Das, 2018; Wang et al., 2014). on firm value. Another study condcuted by (Iazzolino et al.,
2018) found that HC has no impact on EBIT of the firms.
Table – 3
Studies on association between IC and Firm Performance
Author(s) and Year Country Sample Size, Firm Type and Studied the impact of Significant Impact found for IC
Period Covered IC on
(Desoky & Mousa, Bahrain 100 Companies ROE, ROA Yes
2020) (2013-2017)
(Salvi et al., 2020) Multiple 110 International Companies Tobin’s Q No
Countries having adopted integrated
reporting (2016)
(Kulkarni & India 112 Senior executives of from Brand Reputation and All components of IC impacted
Vijayakumar Bharathi, Top 20 IT companies as per Financial Performance financial performance but RC did not
2020) NASSCOM impact brand reputation
(2015 to 2017)
(Ramírez et al., 2020) Spain Panel data sample of 6,132 paired ROA Yes
firm-year observations from
Spanish manufacturing SMEs
(2000-13)
(Rahman et al., 2020) Bangladesh 21 listed Pharmaceutical ROA and ROE Yes
companies (2016-17)
(Ge & Xu, 2020) China 204 pharmaceutical companies Profitability, Sales Positive impact on Profitability and
(2013-18) Growth, Productivity Productivity. Negative impact on
and Market Value Market Value and no significant impact
on Sales Growth
(Thanh Nhon et al., Vietnam 350 companies in the field of IT Learning, Integration Yes
2020) and Communication technologies and Reconfiguration
capabilities
(Xu & Li, 2020) China 953 Manufacturing companies ROE, ROA and ATO Yes
(2012-16)
(Kengatharan, 2019) Sri Lanka 232 Firm managers Subjective measures of Yes
Productivity and firm's
Efficiency
(Iazzolino et al., 2019) Europe 45 companies listed at Euronext Financial Performance SC and RC have significant impact on
Stock Exchange (2003-2012) and Firm Value financial performance. But only SC
impacted firm value
(Bayraktaroglu et al., Turkey 400 Manufacturing Firms (2003- ROA, ROE, ATO and Yes
2019) 13) market Value to Book
Value ratio
(Kweh et al., 2019) Malaysia 200 Companies listed at ROA and ratio of Yes
Malaysian Stock exchange (2010 operating cash flow to
to 2015) total assets
(Smriti & Das, 2018) India 710 listed public companies (2001 ROA, ATO, Sales Yes
to 2016) Growth and Tobin's Q
(Nadeem et al., 2018) Australia 571 listed firms (2005 to 2014) ROA and ROE
(McDowell et al., 2018) US 460 owners of SMEs (2015) Innovation and Yes, Innovation has mediating effect
Financial Performance also
(Amin et al., 2018) Australia Annual reports of 1600 listed ROA, ROE, EPS, Yes
firms (2014) Sales Growth
(Maltseva et al., 2018) Russia 224 Russian Universities Financial performance Yes
(Iazzolino et al., 2018) Italy 100 large scale firms (2006 to EBIT, EBITDA/Sales Yes; but only in case of overall IC, RC
2013) and SC
(Hamdan, 2018) Saudi Arabia 198 firms ROA, Tobin's Q Yes, but no significant on Tobin's Q
(2014 to 2016)
(Mehralian et al., 2018) Iran 470 managers from BSC Yes
pharmaceutical companies
(Tsakalerou, 2018) Multi 144 companies Financial Performance Yes; but not in case of manufacturing
Countries companies
(Scafarto et al., 2016) Multi 18 International Agribusiness ROE, ROA, ROI and RC and SC have significant impact but
Countries Companies (2010 to 2014) ATO not in case of HC
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(Maji & Goswami, India 100 engineering firms (1999-2000 ROA Overall IC, RC and HC have significant
2016) to 2012-13) positive impact but no significant
impact is found in case of SC
(Pucci et al., 2015) Italy 45 Firms from Children clothing ROI, ROS, ROE and Yes
industry (2008) ROA
(Özer et al., 2015) Turkey 1050 listed firms financial performance Yes
(Wang et al., 2014) China Primary data of 228 respondents Financial and Yes
from high-tech firms Operational
Performance
(Alipour, 2012) Iran 39 Insurance companies (2005 to ROA Yes
2007)
(Clarke et al., 2011) Australia 1676 Firms ROA, ROE, Revenue Yes
(2004 to 2008) Growth, Employee
productivity
(Phusavat et al., 2011) Thailand 100 listed companies (2006 to ROE, ROA, Employee Yes
2009) Productivity and Sales
growth
(Guo et al., 2011) China 274 firms Firm Size, Market to Yes
(1994 to 2007) book value ratio, ROE
(F-Jardón & Martos, Argentina 113 Wood manufacturing SMES Financial Performance Yes
2009)
(Bollen et al., 2005) Germany 300 respondents from Financial Performance Yes
Pharmaceutical companies
(Chen et al., 2005) Taiwan 4254 observations from listed Financial Performance Yes
companies
(1992 to 2002)
CONCLUSION
6. Desoky, A. M., & Mousa, G. A. H. (2020). The impact of
Overall significance of IC and knowledge assets base is intellectual capital on firm’s financial performance: Empirical
increasing for the organizations in the present age. The evidence from Bahrain. Investment Management and Financial
Innovations, 17(4), 189–201.
substantial role is being played by IC for the firms in value
creation and gaining competitive advantage. There is a 7. Dzinkowski, R. (2000). The measurement and management of
intellectual capital: an introduction. Management Accounting,
consensus amongst the researchers and academicians across
72(2), 32–60.
the globe with regard to impact of IC in overall
performance of the firms. Present study used the SLR 8. F-Jardón, C. M., & Martos, M. S. (2009). Intellectual capital and
performance in wood industries of Argentina. Journal of
approach to review the literature assessing the impact of IC Intellectual Capital, 10(4), 600–616.
over the performance of organizations. Publication trends
highlighted that most of the research in this domain has 9. Ge, F., & Xu, J. (2020). Does intellectual capital investment
enhance firm performance? Evidence from pharmaceutical sector
taken place since 2018. “Journal of Intellectual Capital” in China. Technology Analysis and Strategic Management, 0(0),
and “International Journal of Learning and Intellectual 1–16.
Capital” are found to be top journals publishing research in 10. Guo, W. C., Shiah-Hou, S. R., & Pan, S. H. (2011). Does
this field. Content analysis of the studies has highlighted intellectual capital matter for firms’ performance? Some evidence
that majority of the research publication in this domain from accounting data. Investment Management and Financial
have established the positive and significant impact of IC Innovations, 8(4), 83–95.
on firm performance. 11. Hamdan, A. (2018). Intellectual capital and firm performance:
Differentiating between accounting-based and market-based
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1. Alipour, M. (2012). The effect of intellectual capital on firm
performance: An investigation of Iran insurance companies. 12. Iazzolino, G., Chiappetta, F., & Chiappetta, S. (2018). Relational
Measuring Business Excellence, 16(1), 53–66. capital and financial performance: An empirical analysis on a
sample of Italian firms. Problems and Perspectives in
2. Amin, S., Usman, M., Sohail, N., & Aslam, S. (2018).
Management, 16(1), 245–258.
Relationship between intellectual capital and financial
performance: The moderating role of knowledge assets. Pakistan 13. Kengatharan, N. (2019). A knowledge-based theory of the firm:
Journal of Commerce and Social Sciences, 12(2), 521–547. Nexus of intellectual capital, productivity and firms’ performance.
International Journal of Manpower, 40(6), 1056–1074.
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Intellectual capital and firm performance: an extended VAIC 14. Lev, B., & Feng, G. (2001). Intangible Assets: Measurement,
model. Journal of Intellectual Capital, 20(3), 406–425. Drivers, usefulness. New York University.
4. Bollen, L., Vergauwen, P., & Schnieders, S. (2005). Linking 15. Maji, S. G., & Goswami, M. (2016). Intellectual capital and firm
intellectual capital and intellectual property to company performance in emerging economies: the case of India. Review of
performance. Management Decision, 43(9), 1161–1185. International Business and Strategy, 26(3), 410–430.
5. Clarke, M., Seng, D., & Whiting, R. H. (2011). Intellectual capital 16. Smriti, N., & Das, N. (2018). The impact of intellectual capital on
and firm performance in Australia. Journal of Intellectual Capital, firm performance: a study of Indian firms listed in COSPI.
12(4), 505–530. Journal of Intellectual Capital, 19(5), 935–964.
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17. Stewart, T. A. (1997). Itellectual Capital: The New Wealth of
Organizations. Knowledge Management, September, 3–10.
18. Wang, Z., Wang, N., & Liang, H. (2014). Knowledge sharing,
intellectual capital and firm performance. Management Decision,
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manufacturing sector. Journal of Intellectual Capital.
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RETENTION OF EMPLOYEE USING TAGUCHI LOSS FUNCTION
*
Pratya Mishra **Rajesh Singh ***Gaurav Yadav
*
MBA Second Year Student, Department of Humanities and Management Science, Madan Mohan
Malaviya University of Technology, Gorakhpur, Uttar Pradesh
**
Assistant Professor (Contract), Department of Humanities and Management Science, Madan
Mohan Malaviya University of Technology, Gorakhpur, Uttar Pradesh
***
Professor, Department of Mechanical Engineering, J S University, Shikohabad, Ferozabad, UP
ABSTRACT
Purpose: The main aim of this paper is to define a impact that quality management have to retain a
employees in any organization and its impact on performance and enhance productivity. This paper aims
to examine quality control and its connection with employee retention levels using taguchi loss function.
Design/ methodology/ approach: In this paper methods is applied: Taguchi loss function (for service
process performance improvement) to define the impact of factor (quality control) reduce voluntary
turnover rates in organization. In research work it is defined that control and uncontrollable factor that
impact a retention of employee within an organization, as it is define by Taguchi loss function. The
method uses an orthogonal array system for examination of loss function and define as according to
controllable factor.
Finding: We propose a series of research topics that personal stress& dissatisfaction from salary are few
variables for employee turnover hence our new approach is by improving working condition of
employees as per requirement of current scenario. By applying the techniques taguchi loss function it
finds an optimum condition at which organization can retain its employees & engage them for the
quality of life. Quality management is act which define all task and activities to maintain a level of
excellence. It consists of the finding of quality policy, creation, and implementation the quality planning
and quality control with improvement.
Research Limitation/ Implication: It mainly define that changes in certain factor leads to enhancement
of quality at workplace. this method used by practitioners for effective quality management
implementation.
Practical Implication: The paper will provide a deep insight to practitioners that there is need of changes
required in certain factor that can improvement & enhancement on the productivity and fulfillment as
well as retention of the workforce.
Originality/ Value: – This study indicate that a quality management may lead to high retention, as define
by taguchi loss function. Although taguchi loss function has been successfully implemented to define the
optimizing condition for retention and improve quality of life.
Keywords: retention, employees, turnover, quality, organization, work.
INTRODUCTION the job turnover , the employee major cause of job turnover
is that current generation want the quality in their work&
Retain an Employee play a vital role for any organization
likewise it is discovered that driving organizations have had
because it is to pertain the employee for an organization.
the option to profit by new advancements that track
Retain is term related to retention. Retention of employee
profitability, deals, consumer loyalty, work processes,
refers to technique employed by the management to help
quality, and working environment communications on an
the employee to attach with the organization for long
incessant, some of the time ongoing basis.(Burnett and
duration. In order to retain employees & To hold
Lisk, 2019).
representatives, it significant that the association utilizes
legitimate human resource rehearses, i.e. pay, preparing As according to revolution business is divide into different
and advancement, execution and performance appraisal phases like Industrial, Informative & Digital or Quality
support. (Bansal, 2014) Management. The current scenario is finding quality in
everything like quality of workplace, quality of life, quality
As according to changes in time retention of employee is
of job, role, environment it define quality (Das,
necessary in organization because there is major cause of
2013)(Papa et al., 2018) of everything they did not care of
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standard of living or basic need as in earlier phase. The RESEARCH GAP
main cause of the inability of a company to retain high-
The commitments of this paper are both practical &
performing workers, i.e., their resignations (George, 2015).
theoretical The paper provides a methodological as well as
As resignation raises short-term costs, such as hiring
practical contribution where quality improvement of
capital, staff reshuffling, other employees'
taguchi loss is combine to retention of employees & having
education/training, and reduced production.
been a possible explicatory this method will be very
REVIEW OF RELATED LITERATURE practical approach in several other useful implication .In
theory, this paper mainly contribute to strategies as to
In research, both attrition and retention methods are widely
retaining employees, the important impact of retention
studied. during this section, an outline of the retention
strategies is examined with taguchi loss function, as well as
techniques most generally used is given. In different studies
different aspect of workforce/employees is observed who
techniques are often defined as a key to motivation or
have treatments through minimizing the working hours or
dedication, which, in turn, has been shown to possess a off
the liabilities from the worker & reduce risk in job we get
putting turnover effect. (Rombaut & Guerry, 2020a).
the optimum value.
RETENTION STRATEGY
THEORETICAL OVERVIEW
As in research it is defined that to retain employee a
The quality management is a factor for retention of
motivation plays a significant role that the employees are
employee because in earlier revolution changes of the
motivate as by internal value rather than external like
business the employee satisfied the fulfilling the basic
internal value as to provide achievement and recognition
need and they retain with the organization to fulfill
the growth and advancement make the employee motivated
physiological need but current change need the effective
towards their work and by this they generally attached with
and efficiency in the work , technology and the they want
company and not prefer to switch the company. The best
the change in everything . Hence the change can only
retention plans simple: be an excellent company. this
depend on youth of any country. So for the changes is
suggests being a rat performer, a good contributor to your
needed according to changing technology.
world (as broadly or a narrowly as you define that being
great to your employees (good pay, good leadership, good As it is found there that the taughi loss function define that
communication etc. quality is more important than cost .When it show deviated
from the target value this show to loss to society, like if
Employers’ commitment today is yet characterized from
there is deviation from target value then it is define as loss
numerous points of view. Some definitions target the
for organization . Taguchi define that quality should be
inner, spirit of the worker and employees’ feelings like the
design in product and that is best achieve by minimizing
subsequent ones:
the deviation from the target. Taguchi has defined the
 Dedication factor for his loss function:
 Satisfaction Control Factor: Factor that represent quality
 Engagement improvement at optimal level and reduce sensitiveness.
 Passion & Fulfillment (Burnett & Lisk, 2019)
Noise/Uncontrollable Factor: factor that represent the
As it found that employee retain with organization by the noise that is mainly defined in production or in use
work environment as it increase the sense of (uncontrollable factor).
belongingness .if the organization involve the employee
indecision making then it increase the performance and Retention of employee about the administration,
enhance the quality of work. The organization must be conveyance, cost and nonattendance. Earlier it defines the
there as to review frequently performance, as it enhance Taguchi misfortunate work. His method used an orthogonal
and motivate them towards work the review must be 360 array system for examination of the loss function and
degree feedback. (Rutishauser & Sender, 2019) specifies the area of work. It is characterized by the two
factor as controllable and uncontrollable factor.
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L(x) = C (x-n)2 FOR THE RETENTION OF EMPLOYEE THE

CONTROL AND NOISE FACTOR ARE AS
L(x) =LOSS FUNC () from the target
FOLLOW:
X = TARGET regard,
CONTROL FACTOR
n = NOMINAL value of specific.
1. Good payment
C = deviation coefficient. 2. Working hours
3. Liability of works
STEPS FOR TAUGHI METHOD 4. Compensation &reward
The main steps for valuation of performance through the 5. Job fit
T.L.F: 6. Job risk
7. Training and development
1. Identify the main function. 8. Autonomy
2. Recognition of the noise and control factor for 9. Raise in salary
retention of employee. 10. Long term Engagement
3. Select close factor and their level. 11. Company culture
4. Conduct& Examine the experiment. 12. Work life balance
5. Finding& Analysis of data.
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NOISE FACTOR THERE WILL BE 3 CONTROL FACTORS WITH 3
LEVELS:
1) Quality in work performance
2) Create knowledge sharing system The objective function for this will be smaller- the-better
3) Communication
These factors are selected after various consideration and
4) Good leadership
brainstorming & which will help of team and their
5) Motivation
guidelines.
C.F Levels
I II III
Liabilities towards work (in percent) 7 8 9
Working hours (days) 5 6 7
Job risk (in percent) 5 4 6
ORTHOGONAL ARRAY SELECTION method for studying the retention and quality function and
We have taken (OAL) array n this Taguchi loss function its impact on retention of employee.
Table :2 Orthogonal array
Experiment Control factor
1 2 3
1 1 1 1
2 1 2 2
3 1 3 3
4 2 3 1
5 2 1 2
6 2 2 3
7 3 2 1
8 3 3 2
9 3 1 3
Table: 3 Measure value of Working hours (days)

Experiment no. days
1 2 3 4 5 Mean
1 6 9 10 8 7 8
2 9 8 5 7 8 7.4
3 8 8 9 6 7 7.6
4 7 9 7 9 10 8.4
5 7 6 6 8 9 7.2
6 9 7 8 10 7 8.2
7 7 7 9 8 8 7.8
8 8 10 7 9 5 7.8
9 10 5 7 9 6 7.4
Experiment Details and Data Assessment: S/N ratio of the experiment were calculated and tabulated as shown in table.
It is calculated by
= -10 ∑
1 -18.19
2 - 17.52
3 -17.69
4 -18.57
5 - 17.25
6 - 18.36
7 -17.88
8 -18.04
9 -17.64
FULL FACTORIAL ANALYSIS

Full factorial analysis in Taguchi loss function method to show the optimum value to retain any employee in
organization & define the quality management in organization.
Table: 4 Factorial analysis
Experiment No. Liabilities towards work (in percent) Working hours ( days) Job risk (in percent Mean
1 8 7 5 6.6
2 7 6 4 6
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3 9 8 6 7.6
4 7 5 7 6.3
5 6 5 4 5
6 9 8 7 7.3
7 8 8 5 7
8 7 6 4 5.6
9 9 8 7 8
FULL FACTORIAL ANALYSIS WITH TAGUCHI condition for decreasing turnover rate. By this approach it
LOSS FUNCTION: is found that least percentage job risk& minimum liabilities
of work improve the turnover rate of employees
It is found from the result that the least working hours and
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A CRITICAL ANALYSIS OF PERFORMANCE OF AGRO BASED
INDUSTRIES IN INDIA
* ** ***
Veena Vimal Parkash Sita Dagar
*
Assistant Professor, Govt. College, Faridabad, Haryana
**
Assistant Professor, Govt. College, Bherian, Pehowa, Haryana
***
Assistant Professor, Govt. College, Faridabad, Haryana
ABSTRACT
India is an agriculture based economy and Agriculture has key role to provide raw material to Indian
Industries. Agriculture industries like food processing industry, paper, textile, etc. contributed to
increase in employment in India. Agro-based industries included food processing industries and non-
food processing industries. Approximately half of the total output of agro-based industries in India has
come from the food processing industry and beverages accounts whereas Food processing industries are
still under development. Government should take appropriate step to facilitate the agro based industries.
Keywords: Agro industry, Agriculture, Industrial development.
INTRODUCTION REVIEW OF LITERATURE
Indian economy overtakes U.K and France in 2019 and has Mathur, Das, and Sircar (2006) identified agricultural
become 5th largest economy in the world with GDP of production and elements that affect trends of agricultural
$2.94 trillion. Industrial development has key role in the growth in India over the last one and half decade. Study
growth of economy and the availability of raw material is concluded that growth rate in the agriculture sector after
the basic need for Industrial development of any country. 1990 was declined. On this basis, future growth of
Agriculture is one of the major raw material providing agriculture sector was projected. Role of Government
sectors for major industries like food processing industry, expenditure on agricultural sector to increase the rate of
textile, paper, edible oil, etc. Growth and expansion of growth of agricultural production was highlighted through
agricultural production leads to increase in both national level and state-wise analyses. Other factors i.e.
employment and production in Agro-Industry which will fertiliser usages and crops prices are also important for a
further generate many opportunities for industrial growth. higher agricultural growth. There are massive inter-state
Agro-based industries may be broadly categorise into two differences in agricultural production, types of food grains
parts i.e. food processing industries and non-food and growth rate of agriculture.
processing industries. Food processing industries are those
Fatah, L. (2007), despite the key role roles in accumulating
industries which transform agriculture products in to food
and sustaining growth, the contribution of Agro industry is
products. For example, the processing of wheat, rice,
decreasing in GDP and employment as the economy grows.
maize, barley, pulses, fruits, vegetables, etc. In India,
The study reveals that agro-industry must be developed for
contribution of agriculture is 15.84% in total GDP and
achieving the goals of economic growth and income
approximately 10% of total export. “Growth of agriculture
equality
sector has been fluctuating: it increased from -0.2% in
2014-15 to 6.3% in 2016-17, and then declined to 2.9% in Kaur, G., & Dhami, J. K. (2013), concluded that the food-
2018-19”1. Objective of this paper is to analyses the processing industry is one of the largest sectors in terms of
performance of agro based industries in India on the basis production, export, consumption and cover an extensive
of factors like numbers of agro based industries, capital, range of products. Although the Indian Government has
employment, net value added etc. from the year 2014 to launched many schemes to improve agro based industry,
2018. The food processing industry and beverages accounts still it is not showing considerable progress towards
for approximately half of the total output of agro-based establishment of agro-based food processing industries. At
industries in India. Food processing industries are still present, these industries are using old technology for the
emerging as thrust area for development. Essential steps processing of raw materials like aatta chakkies, cotton
should be taken on the part of Government as well as other ginning, oil mills, and rice shelling, etc. which causes low
private organization for the improvement of agro based production. Therefore, there is wide scope for developing a
industries. processing industry in Punjab using indigenous
technologies along with the latest technologies from
abroad.
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Olaoye, O. A. (2014), analysed the potentials of Agro Dionco-Adetayo, E. A. (2018, April), suggested that
Industry in Africa, and Nigeria and concluded that there are entrepreneurial development programmes should be
certain factors that could promote agricultural performance; conducted to improve performance of Agro Industries. Role
some of these factors include access to inputs, market of women should be recognised and more extension
availability, availability of raw materials and availability of services should be provided for the improvement of agro
transport facilities etc. It is also suggested that there should based industries and it should also include dissemination of
be collaborations between Industry and research institutions Technology for food processing industries.
for upgrading research facilities especially on Agro based
Shivagami, G., & Prasad, T. R. (2020), reveals that sugar
industries in research institutions through adequate funding
industries in India play an important role in the growth of
by state or central government.
agro based industry. The major contribution of production
Ambidattu, P. (2015), concluded that the production of comes from only few states i.e. Uttar Pradesh, Haryana,
cashew nuts in Kerala was decreasing every year. The main Maharashtra, Gujarat, Andhra Pradesh, Karnataka and
cause for reduction in production of cashew is shifting of Tamil Nadu but the crop is almost missing in the state like
cropping pattern from cashew nuts to some other profitable Punjab, Orissa, West Bengal, Assam, Rajasthan and
crops like rubber which would probably generate more Pondicherry. India is one of the biggest sugar-producing
profit comparatively. Government and other private countries.
organization should take important steps for its
RESEARCH METHODOLOGY
improvement.
Research is based on Agro Industries in India. Seven types
Ginting, G. (2015), discussed that the Agro Industry is one
of Agro Industries were selected and six variables were
of the biggest sectors which provides a key role to boost the
taken to collect and analyse the data. Data was taken for the
national economy. However, the added value generated by
year 2013-14 to 2017-18. The research is based on
this sector is very low as most of the products which are
secondary data which was collected from various sources
exported by this sector are in the form raw materials. Small
like economic review, Annual Survey of Industries, Central
and Medium industries are facing many challenges to
Statistical Organisation and Journals. The Compound
manufacture value added products. It was also concluded
Annual Growth Rate (CAGR) and percentage methods
that although tendency of globalization has provided many
were used for the interpretation of data.
business opportunities for the agro industry sector but it
requires willing to face risks to seek new opportunities. PERFORMANCE OF AGRO INDUSTRIES
Paramasivan, C., & Pasupathi, R. (2016), concluded that To find out the performance of Agro Industries in India,
there is a massive scope in the export of agriculture based seven types of Agro Industries were selected like Food
products in future with huge volume of foreign exchange. products, Beverages, Textiles, Wearing Apparel, Paper and
The Government should take some effective steps for Paper products, Tobacco products, Leather and Related
promoting the exports of the agro based products in future. products and six variables were taken i.e. No. of Factories,
Productive Capital, Total Person working, Wages paid to
Stephen, I. A., Ayodele, O. M., & Oluremi, O. A. (2017),
worker, Total Emoluments paid, and Net Value Added
examined the role of entrepreneurial competencies in
during the year 2013-14 to 2017-18. Performance of
enhancing the performance of agro-based SMEs in Nigeria
different factors were analysed and same has been shown in
and it is found that there is weak relationship between
under mentioned six tables and six figures:
entrepreneurial competencies and performance except
with organisational effectiveness.
Table-1: No. of Factories during the year 2013-14 to 2017-18
Description No. of Factories during the year
2013-14 2014-15 2015-16 2016-17 2017-18 CAGR
FOOD PRODUCTS 35346 36389 37098 37468 37833 1%
(44.21) (44.58) (45.01) (45.34) (45.07)
BEVERAGES 2103 2218 2220 2272 2329 2%
(2.63) (2.72) (2.69) (2.75) (2.77)
TEXTILES 18645 18744 17669 17714 17958 (21.4) -1%
(23.32) (22.96) (21.44) (21.44)
WEARING APPAREL 9525 (11.91) 9856 (12.07) 10197 (12.37) 10048 (12.16) 10498 (12.51) 2%
PAPER AND PAPER PRODUCTS 6810 (8.52) 6765 (8.29) 6911 (8.38) 6900 (8.35) 7109 (8.47) 1%
TOBACCO PRODUCTS 3294 (4.12) 3315 (4.6) 3825 (4.64) 3692 (4.47) 3591 (4.28) 2%
LEATHER AND RELATED 4225 (5.28) 4341 (5.32) 4509 (5.47) 4544 (5.5) 4617 (5.5) 2%
PRODUCTS
Figure-1: No. of Factories during the year 2013-14 to 2017-18
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manufacturing of food and beverage has more than 45%

Table-1 and Figure-1shows that the Compound Annual
share among all categories. Food products factories have
Growth Rate (CAGR) of all seven categories are 2 or less
increased to 37833 in 2017-18 from 35346 in 2013-14.
than 2% among which CAGR of textile industry is -1%.The
Table-2: Productive Capital during the year 2013-14 to 2017-18
Description Productive Capital during the year (in Lakhs)
2013-14 2014-15 2015-16 2016-17 2017-18 CAGR
FOOD PRODUCTS 21979802 22690912 26009068 28133849 30189073 7%
(35.26) (39.94) (42.8) (43.38) (45.2)
BEVERAGES 3881305 4520447 3401024 4029311 3936514 0%
(6.23) (7.96) (5.6) (6.21) (5.89)
TEXTILES 24860635 16399255 17395407 18829677 18120852 -6%
(39.88) (28.87) (28.62) (29.03) (27.13)
WEARING APPAREL 3538737 3376731 5039603 4223640 4808017 6%
(5.68) (5.94) (8.29) (6.51) (7.2)
PAPER AND PAPER 5415903 6092409 5961626 6351804 6675100 4%
PRODUCTS (8.69) (10.72) (9.81) (9.79) (9.99)
TOBACCO PRODUCTS 1310788 1323422 1204365 1445162 1064126 -4%
(2.1) (2.33) (1.98) (2.23) (1.59)
LEATHER AND RELATED 1349570 2408878 1760538 (2.9) 1846796 1992471 8%
PRODUCTS (2.16) (4.24) (2.85) (2.98)
Figure-2: Productive Capital during the Year 2013-14 to 2017-18
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is 8% whereas textile has lowest CAGR among all six

Table-2 and Figure-2 reveals that leather products have
categories which is -6%.The tobacco products have also
highest the CAGR in context of Productive Capital which
negative CAGR whereas CAGR of beverage is almost nil.
Table-3: Total Person working during the year 2013-14 to 2017-18
Description Total Person working during the year CAGR
2013-14 2014-15 2015-16 2016-17 2017-18
FOOD PRODUCTS 1582527 (30.31) 1613316 (30.4) 1599818 (28.82) 1693736 (29.9) 1772399 (29.87) 2%
BEVERAGES 158507 (3.04) 160623 (3.03) 165321 (2.98) 160115 (2.83) 161065 (2.71) 0%
TEXTILES 1496194 (28.66) 1537959 (28.98) 1565090 (28.19) 1560102 ( 27.54) 1678671 (28.29) 2%
WEARING APPAREL 978709 (18.75) 988651 (18.63) 1083148 (19.51) 1137021 (20.07) 1189520 (20.05) 4%
PAPER AND PAPER 248529 (4.76) 241493 (4.55) 248486 (4.48) 253423 (4.47) 284057 (4.79) 3%
PRODUCTS
LEATHER AND RELATED 311594 (5.97) 327143 (6.16) 379766 (6.84) 392808 (6.93) 387134 (6.52) 4%
PRODUCTS
Figure-3: Total Person working during the year 2013-14 to 2017-18
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Table-3 and Figure-3 shows that the CAGR of all seven Food Products has increased to 1772399 in 2017-18 from
categories in context of number of workers are 4 or less 1582527 in 2013-14. Food industry has been generating
than 4% among which CAGR of beverages industry is nil. highest employment (30.31%) followed by textile industry
The manufacturing of food and beverage has more than (28.66%) in 2013-14.
45% share among all categories. Number of workers in
Table-4: Wages paid to worker during the year 2013-14 to 2017-18
Description Wages paid to worker during the year (in Lakhs) CAGR
2013-14 2014-15 2015-16 2016-17 2017-18
FOOD PRODUCTS 1200305 1250949 1357493 1536589 1720053 7%
(30.3) (28.63) (27.38) (28.17) (28.42)
BEVERAGES 141360 157930 174412 185199 195835 7%
(3.57) (3.62) (3.52) (3.4) (3.24)
TEXTILES 1278966 1442953 1586919 1689376 1909848 8%
(32.29) (33.03) (32.01) (30.98) (31.55)
WEARING APPAREL 729582 819938 1007452 1150980 1284021 12%
(18.42) (18.77) (20.32) (21.1) (21.21)
PAPER AND PAPER 226677 248602 272149 301148 338892 8%
PRODUCTS (5.72) (5.69) (5.49) (5.52) (5.6)
TOBACCO PRODUCTS 148505 176513 216283 202258 208382 7%
(3.75) (4.04) (4.36) (3.71) (3.44)
LEATHER AND RELATED 236017 271771 343558 388369 396018 11%
PRODUCTS (5.96) (6.22) (6.93) (7.12) (6.54)
Figure-4: Wages paid to worker during the year 2013-14 to 2017-18
Table-4 and Figure-4 depicts that the CAGR of all seven to workers in wearing apparel industries has increased as
categories in context of wages paid to workers are 7 to 12% 1284021 in 2017-18 from 729582 in 2013-14. Leather and
which shows increase in the cost of investment. Wages paid related products industry is paying more to workers.
Table-5: Total Emoluments paid during the year 2013-14 to 2017-18

Description Total Emoluments paid during the year(in Lakhs) CAGR
2013-14 2014-15 2015-16 2016-17 2017-18
FOOD PRODUCTS 2302189 (33.13) 2508321 (32.75) 2704264 (31.03) 3070539 (31.96) 3421585 (32.26) 8%
BEVERAGES 331227 (4.77) 348124 (4.55) 388628 (4.46) 401982 (4.18) 294121 (2.77) -2%
TEXTILES 2021515 (29.09) 2279580 (29.77) 2551678 (29.28) 2742107 (28.55) 3131894 (29.53) 9%
WEARING APPAREL 1252999 (18.03) 1355841 (17.7) 1661487 (19.07) 1885621 (19.63) 2099762 (19.8) 11%
PAPER AND PAPER 434668 (6.25) 465505 (6.08) 531641 (6.1) 571435 (5.95) 681274 (6.42) 9%
PRODUCTS
LEATHER AND 395635 (5.69) 449815 (5.87) 579705 (6.65) 643827 (6.7) 684473 (6.45) 12%
RELATED
PRODUCTS
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Figure-5: Total Emoluments paid during the year 2013-14 to 2017-18
Table-5 and Figure-5 shows that the CAGR of all seven negative as -2% in Beverages industries whereas Leather
categories in context of total emoluments paid vary from -2 and related products industries going high as 12%.
to 12%. Total emoluments paid to people are going Beverages industry is invited special attention.
Table-6: Net Value Added during the year 2013-14 to 2017-18

Description Net Value Added during the year (in Lakhs) CAGR
2013-14 2014-15 2015-16 2016-17 2017-18
FOOD PRODUCTS 6000326 (35.11) 6224779 (35.78) 7105080 (35.03) 8797727 (39.5) 9387541 (38.62) 9%
BEVERAGES 1183276 (6.92) 1237989 (7.12) 1468991 (7.24) 1445402 (6.49) 1627401 (6.7) 7%
TEXTILES 4578582 (26.79) 4497222 (25.85) 4811398 (23.72) 5237865 (23.52) 5594451 (23.02) 4%
WEARING APPAREL 2263732 (13.25) 2214838 (12.73) 2862569 (14.11) 2876159 (12.91) 3238377 (13.32) 7%
PAPER AND PAPER 1097447 (6.42) 1090733 (6.27) 1243335 (6.13) 1261676 (5.67) 1728626 (7.11) 10%
PRODUCTS
LEATHER AND 763742 (4.47) 646519 (3.72) 952886 (4.7) 1021001 (4.58) 1091491 (4.49) 7%
RELATED
PRODUCTS
Figure-6: Net Value Added during the year 2013-14 to 2017-18
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Table-6 and Figure-6 reveals that the CAGR of all seven 15. Olaoye, O. A. (2014). Potentials of the agro industry towards
achieving food security in Nigeria and Other Sub-Saharan African
categories in context of net value added has increased
Countries. Journal of Food Security, 2(1), 33-41.
during the year 2013-14 to 2017-18. In Textiles industries
net value increased 4% whereas in Paper and paper 16. Dionco-Adetayo, E. A. (2018, April). Developing entrepreneurial
characteristics of women in agro-industry: A remedial measure
products industries it increased 10%. for poverty alleviation in rural Nigeria. In Sixth Annual
Conference of the Agricultural Extension Society of Nigeria.
CONCLUSION
17. Chadha, G. K., & Sahu, P. P. (2003). Small Scale Agro-Industry
After the critical Analysis of Performance of Agro Based in India: Low Productivity is Its Achilles' Heel. Indian Journal of
Industries in India, it is concluded that share of Food Agricultural Economics, 58(3), 518-543.
products industries is highest in context of number of 18. Fatah, L. (2007). The potentials of agro-industry for growth
factories whereas CAGR of the same is very low which is promotion and equality improvement in Indonesia. Asian Journal
only 1%. Increase in Net Value added 4% to 10% shows of Agriculture and Development, 4(1362-2016-107661), 57-74.
that there is a wide scope to invest in Agro based industries. 19. Stephen, I. A., Ayodele, O. M., & Oluremi, O. A. (2017).
Total employment has decreased in Beverages industries. Enhancing the performance of agro-based SMES: The role of
Cost of product has increased due to increase in rate of entrepreneurship competencies. Covenant Journal of
wages. There is need to give special attention to textile Entrepreneurship, 1(1).
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continuously decreasing from 2013-14 to 2017-18. and development impacts. Agro industries for Development,
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Specialized and effective steps should be taken to promote
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A STUDY ON WORK LIFE BALANCE AMONG FEMALE TEACHERS IN
HIGHER EDUCATION (WITH SPECIAL REFERENCE TO SELECTED
INSTITUTES & COLLEGES IN PUNJAB)
*
Richa Sharma **BS Bhatia
*
Research Scholar, RIMT University, Mandi Gobindgarh
**
Pro Vice Chancellor, RIMT University, Mandi Gobindgarh
ABSTRACT
Work life balance (WLB) has become a vital subject especially for women, as the times have changed in
defining the gender roles of men and women in Indian Society over the years. Previously the
responsibilities of men and women were defined, and they were primarily focused on men being the
bread-earner of the family, and women were subjected to management of the house and children. Since
the roles have changed now and women have stepped out of their nominal role of a home maker to an
all-rounder, it is indeed very important to understand how women maintain balance between their
professional and domestic life. In Indian scenario, women had to struggle a lot initially to break the
stereotypes and establish their identity in a competitive world both professionally and personally.
Therefore, the investigator tried to analyse the work life balance of female faculties of higher education
Descriptive and Comparative research approach was used. For the study N-52 faculties were selected
which may be married or unmarried and are appointed on a regular basis or adhoc basis with simple
random sampling technique. Statistical independent sample t-test was implemented to analyse the data.
Therefore, the study showed insignificant difference as (P>0.05) level of significance.
Keywords- Domestic life, professional life, working women, work life balance
INTRODUCTION respective interaction and role of their spouses impact their
work-life balance a lot. When a working woman can
Work-life balance is a broad concept, and it focuses on
achieve and enjoy her professional as well as personal
categorizing the importance of both work and personal life
life, it means she has a positive work -life balance. It is
such that a balance is maintained. Work is described as job,
only then, when an employer has a positive WLB, she can
employment, career path, professional upliftment,
be productive.
occupation and means of earnings, whereas Life is often
described as pleasure, leisure, family, health, and spiritual OBJECTIVES
development. Hence, it is easier to say that the work-life
1) To identify the factors in influencing work life balance.
balance means the achievement of meaningful enjoyment
2) To analyse work life balance among working women
within the four quadrants of life – work, family, friend
faculties.
circle and self. Santiago (2008) focussed on reducing
3) To figure out the problems faced by women faculties
occupational stress that arise out of students‟ disruptions
related work life balance.
and their behaviour for the teachers to improve work
4) To find out the coping mechanism adopted by women
environment for the teachers. Mehraj (2015) classified the
to balance their work life.
role of the teachers into varied activities and these multiple
roles of teaching professionals constantly exert pressure RESEARCH METHODOLOGY
and thus cause imbalance between work and personal
The current study was done to analyse “Work life balance
space. Roberts Emma (2008) stressed upon effective time
management out of busy schedules. He advised that work of female faculties of higher education in Malwa region
life balance and time management analysis have two of Punjab”
important factors viz. a) Customised way of work To proceed the study total(N=52) samples were selected
scheduling b) Dividing the time during the day for self. from female faculties from Multidisciplinary colleges of
Zhang and liu (2017) suggested that demographic profile higher education. To examine the raw data independent
of the employee, their distinct personality traits, level of sample t-test was conducted using SPSS software. The
patience related to work related stress, the demands which level of significance was set up at 0.05
could be financial or otherwise from the family and their
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RESULTS
Table-1
Descriptive statistics of work life balance based on nature of appointment
Group N MEAN Std. Mean T Df Sig

Deviation Difference (2-tailed)
REGULAR 18 3.50 .39 .201 1.97 50 .054
ADHOC 34 3.29 .33
/CONTRACT
*significance level at 0.05
t (50=.054)
It has been observed from the table -1 that mean values and positively skewed. The „t‟ value was found 1.97. The
standard deviation of Regular Faculties is 3.5 and .33 and results reveal that insignificant difference was found
adhoc/contract is 3.3 and .33 respectively with concern to between work life balance of female faculties. As the p
the variable ‘work life balance on the basis of nature of value was found greater (p>0.05) (t50=.054, P>0.05)
appointment’. It can be therefore stated that the data is
Figure 1 graphical representation showing mean and standard deviation of regular and adhoc/contract employees
work life balance

3.50 3.29
3.50
3.00
2.50
2.00
1.50
0.39 0.33
1.00
0.50
0.00
REGULAR ADHOC/CONTRACT
Mean Std Deviation
Table-2
Descriptive statistics of work life balance based on marital status
Group N MEAN Std. Mean T Df Sig
Deviation Difference (2-tailed)
MARRIED 35 3.41 .36 .156 1.49 50 .141
UNMARRIED 17 3.26 .34
*significance level at 0.05 t (50=.141)
Table -2 reveals that mean values and standard deviation of found 1.49. The results reveal that insignificant difference
married Faculties is 3.41 and .36 and adhoc/contract is 3.26 was found between work life balance of female faculties.
and .34 respectively with concern to the variable ‘work life As the p value was found greater (p>0.05) (t50=.141,
balance based on marital status’. It can be therefore P>0.05)
stated that the data is positively skewed. The „t‟ value was
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Figure 2 graphical representation showing mean and standard deviation of married and unmarried female
employees
Work Life Balance

3.41
3.26
3.50
3.00
2.50
2.00
1.50
0.36 0.34
1.00
0.50
0.00
MARRIED UNMARRIED
Mean Std Deviation
DISCUSSION & FINDINGS same work schedule and same working hours in both
the cases.
1) The descriptive statistics revealed that more than the
average females believe that financial stability is 6) The test of the second hypothesis reveals that
needed to achieve a good work life balance (mean insignificant difference was found between married
4.03> average mean) providing them financial and unmarried teachers. The mean scores and
stability would be helpful in increasing their standard deviation of married was found 3.41& 0.36
efficiency and also boost up their morale at work and unmarried was 3.26 & 0.34, respectively. The
place and outside workplace therefore ensuring at Levene‟s Test for equality of variances in which the
good work life balance. significance level is (p=.141>0.05) which indicates
variance is insignificant. Thus, we accept null
2) The above statistics shows that females generally
hypothesis and conclude that there is no significant
have a better mood because of job (mean
difference in work life balance of Married and
4.0>average mean) Females in Malwa region of
unmarried females. Although statistically, the results
Punjab wishes to go out for a job. Education
of the proposed hypothesis indicates no difference in
empowers to become economically independent.
work life balance but mean and standard deviation
They no longer want to confine their potential to
also indicates slight difference in their work life
daily chores instead they wish to excel in every
balance since married females need to discharge
sphere of life.
more number of obligations at home. They need to
3) It was found that more than 50% of females are manage their daily chores with their work life.
disappointed with the organisation in terms of flexi
7) It is further found that more 90% with a (mean
hours with and out of the total disagreed females
=4.03) and least (standard deviation =.73) of women
65.3% are married which indicates that they need to
faculties agreed to the point that financial stability is
discharge more obligations at home due to which
needed for a good work life balance. The emergence
their work life balance gets disturbed and they feel
of more nuclear families and to become
stressed.
economically independent and therefore keeping in
4) The Shapiro Wilk test for normality reveals mind the inflator factors women work outside home.
that(P=.200>.05) which indicates that population is Providing them financial stability in the form of
normally distributed and therefore we fail to reject good wage/salary incentives or 43promotion
null hypothesis. schemes would increase their efficiency at
workplace.
5) The test of the first hypothesis reveals that the
variance is not significant ( .054< 0.05) and 8) The histogram gives a picture of overall work life
therefore we accept null hypothesis and conclude balance of women faculties of higher education with
that there is no significant difference between work an overall mean =3.36 and standard deviation =.359
life balance of females appointed on regular basis or which indicates that women have been trying hard to
appointed on adhoc/ or other basis. The reason being
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give their best efforts in maintaining a good work support of family it would lead to stress and thus
life balance. disturb work life balance.
9) The study shows that more than half of the females 16) The study also reveals that approximate majority
agreed on the point that they need extra working (48%) of respondents (mean=2.82 and standard
hours to meet the work requirements and deviation=1.06) disagreed that their personal life
approximate half of the female disagreed on the suffers because of work. The reason being limited
work from home facility provided by the working hours in teaching profession as compared to
organisation. Work from home facility would help in other sectors.
maintaining balance between work and outside
17) It is found that more than 50% of females agree that
work.
the organisation provides them just and fair
10) It can be rightly depicted that around 90% of distribution of workload. No one is either under
women (mean=3.96 and standard deviation=.86) burdened or overburdened with work. There is
agree that they are imparted with the freedom to proper allocation of both theory as well as practical
carry extracurricular activities.it could be both subjects among teachers and timetable is fixed
including organising different events and accordingly.
programmes for cognitive development of students
18) The study shows that more than half of the
as well as intellectual development of the staff .
respondents (62%, mean=3.53 and standard
11) It is further interpreted that approximate 71% ( of deviation=.82) agreed that conflicts at workplace
total agreed) regular female staff agrees that they are negatively effects their performance. it may be due
provided medical assistance by organisation in terms to role ambiguity, poor flow of information and
of higher or longer number of leaves whereas 79% communication. these factors can cause stress at
(total disagreed) adhoc staff is facing the intense workplace.
problem on the medical leaves ailment rules. They
CONCLUSION
are highly disappointed with the management for the
discrimination. The organizational consequences of work-life balance
satisfaction have become an important issue for every
12) The descriptive statistics indicates that women
organization. The employees feel happy to work in the
generally have better mood because of job with a
working environment that helps them to balance between
mean=4.0 and standard deviation = .79 which
the needs of their own life and the needs at the workplace.
throws light that education empowers women and
The literature indicates that work-life balance is correlated
motivates them to work. The wish to become
positively with job satisfaction, performance, good health,
economically independent, using their calibre rather
and organizational commitment. Therefore, it shows that
than always stuck to household work would lead to
work-life balance has important impact on employee
overall development in personality and thus
attitudes.
enhancing their knowledge.
A sustainable and efficient work life balance has shown
13) The study also reveals that majority (78%) of the
positive effects on competence of an organisation. Both
respondents (mean=3.69 and standard deviation
personal and professional domain factors affect the work
=.96) said that they fulfil their roles in the
life balance of the faculties in higher education sector. In
community without disturbing work and life balance.
fact, these two domains affect each other and are
Opportunities are provided to them by management
interlinked. Therefore, maintaining the work life balance of
to fulfil social obligations in the form of extension
the faculties is the responsibility of the faculty and the
activities of the college such as adoption of villages
organization as well.
under Unnat Bharat Abhiyan.
REFERENCES
14) It has been found that majority of the teachers
always think about work when they are not at work , 1. Ahmad, J. (2017). Dynamics of employment relations &
this creates uneasiness and stress, it is observed that employee unionization in banking industry.Indian Journal of
Industrial Relations, 48(2), 368–372
46% of the respondents always think about work
when they are not at work,( 27%) of respondents 2. Chaitra R, Ashok Kumar (2016), A study on work life balance of
employees at Bosch Limited, Bangalore, BIMS International
often think about work and ( 27%) sometimes think Journal of Social Science Research
of work when they are actually not at work.
3. Chaudhary, R., Rangnekar, S., &Barua, M. (2016). Human
15) The study shows that (62%) of respondents believe resource development climate in India: Examining the
that their family plays a supporting role in work life psychometric properties of HRD climate survey instrument.
Vision, 17(1), 41–52
balance or helps in discharging obligations outside
work. supporting role can be played by anyone 4. Mohammad Abdul Nayeem & Tripathy Manas Ranjan (2012),
husband , mother / mother -in -law, support in the Work-Life Balance among Teachers of Technical Institutions,
The Indian Journal of Industrial Relations, Vol. 47, No. 4, April
form of maid appointed and in case if there is no 2012
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5. Mridula N Murthy and Shailaja Shastri (2015), "A Qualitative
Study on Work Life Balance of Employees working in private
sector", International Journal of Recent Scientific Research Vol.
6, Issue, 7, pp.5160-5167, July 2015
6. Murthy (2016), „Impact of Interpersonal Relations and Perceived
Stress on Work-Life-Balance: A Qualitative Study‟, Review of
HRM ISSN: 2249-4650, 3: 93-104.
7. Ms. A. Meharaj (2015), Work- Life Balance of Faculty Members
in Autonomous Colleges, International Journal of Recent
Research Aspects ISSN: 2349-7688, Vol. 2, Issue 3, September
2015, pp. 48-49
8. Reddy, Vranda, Ahmed, B.P. Nirmala & Siddaraju (2010),
“Work-Life- balance among married women employees.” Indian J
Psychol Med. 32:2:112–8.
9. Roberts Emma (2008), “Time and Work-Life-Balance: The roles
of Temporal Customizations and life temporalities” Gender work
and Organisation 15(5): 430-53
10. Santiago, Maria J., Otero-Lopez, Jose M., Castro, Cristina and
Villardefrancos, Estibaliz (2008), “Occupational Stress in
Secondary School Teachers: Examining the Role of Students‟
Disruptive Behaviour and/or Attitudes and the Perceived
Difficulty in Conflict Management,” European Journal of
Education and Psychology,1(1):39-50
1
11. Singh, Amita (2010) , “A Study on the Perception of Work-Life
Balance Policies among Software Professionals,” IUP Journal of
Management Research, IX (2):51 – 79.
12. Singh Indoo & Jha Ajeya (2019), Emotional Intelligence and
Occupational Stress among the Faculty Members of Private
Medical and Engineering Colleges of Uttar Pradesh: A
Comparative Study.
13. Tapomoy Deb (2016) - Strategic Approach to Human Resource
Management: Concept, Tools and Application
14. Tugsal, Turker & Beliz (2017). Work-Life Balance and Social
Support as Predictors of Burnout: An Exploratory Analysis.
International Journal of Academic Research in Business and
Social Sciences. 7. 117-138
15. Zhang, Jianwei & Liu, Yuxin (2017), “Antecedents of Work-
Family Conflict: Review and Prospect,” International Journal of
Business and Management. 6(1):89-103.
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FILTER BUBBLE AND SOCIAL MEDIA. AN EMPIRICAL STUDY
*
Soumyashree N Hegde **Supriya R
*
Research Scholar, Dept of Studies in Commerce Davanagere University
**
Associate Professor and Research Supervisor, Dept of Studies in Commerce, Davanagere
University
ABSTRACT
During the Internet age, when large media providers no longer serve a gateway role, the diversity of
individual exposures can shape individual choices using what sites we visit, who we friend and follow
and algorithm choices. Internet companies such as Amazon, Facebook and Google are actively
gathering knowledge about clicking and purchasing habits from their customers. This (big) data
routinely analyzes light on consumer customer needs and helps businesses to deliver unique goods and
services creating a filter bubble to personalized the service to its users. The paper implicated the
conceptual background and resent changes seen in the concept in social media platform. The study
further bring out the remedial measures that could be brought in social media by stepping out of the
bubble .
Key words: Social media, Filter bubble, Fake news, rectification
INTRODUCTION contact activities. Regarding the wide range the value and
depth of the social media as an intelligence source the user
In recent years major changes has been seen in the
viewpoint must be taken into account in filter bubble
consumer behavior in relation to online purchase. Year by
effects. In specific, what to do? A social media consumer
year changes has been seen in behavior model of online
view extant filter bubbles and how much they are tailored
purchaser but in the later year’s inclusion of data mining
User trust in social media as a contact medium influences
technique by the companies have changed purchase
knowledge.
preference by the consumer. The influence of social media
has widened the scope for consumer to evaluate their THEORETICAL FRAMEWORK
choice and creating significant change in behavior. The
During the Internet age, when large media providers no
influence of mass media in culture makes it possible to
longer serve a gateway role, the diversity of individual
understand the behavioral processes that influence
exposures can shape individual choices using what sites we
symbolic communication. Thinking, influencing, and acting
visit, who we friend and follow and algorithm choices
is essential to humans. Social cognitive theory offers a
(search engines; top story).A filter bubble is an Internet
conceptual agency context in which determinants and
activist phrase coined Eli Pariser for an intellectual
causes of such effects can be explored. Human behavior is
isolation that could be derived from personalized searches
sometimes characterized as a unidirectional trigger, in
if a website algorithm selectively guesses what information
which behavior is influenced by the environment or
that the user wants to see based on users' information, such
through internal arrangements. The enormous magnitude
as location, past clipping behavior, and search
and psycho-social influence of symbolic modeling is of
history(Pariser, n.d.). It is important to understand how
great importance. In contrast to learning, that requires
filter bubbles are formed, since algorithms play a key role
changes to in observational training, a single model can
even though they are not the sole cause. Big, complex
simultaneously convey new ways of thinking and acting to
computer codes are algorithms that determine how
countless individuals in widespread circumstances via
important each person is to knowledge. Each website uses a
repeated trial-and-error practice. There's another factor that
different method, but the ultimate purpose is to filter
enhances the psychological and social influence of
information based on your thoughts. Websites wish you to
symbolic modelling. In their everyday lives, only a small
use and remain on their pages for as long as possible, so
part of the physical and social world is in direct contact
that they can learn what user beliefs are and customize
with people. During the modern era, an algorithm gradually
users’ content.(Bruns, 2019)
decides what we see. Internet companies such as Amazon,
Facebook and Google are actively gathering knowledge This can happen with the ads that appear on our feeds,
about clicking and purchasing habits from their customers. search results and the order in which the content is shown.
This (big) data routinely analyzes light on consumer Algorithms play a part in filter bubble formation, but they
customer needs and helps businesses to deliver unique are not at the heart of the problem. Internet users can even
goods and services. The effect of these analyzes results in get into a filter bubble because they are feeding our human
the target marketing of highly individualized marketing vulnerabilities. The material that we all agree with tends to
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read. We don't want to question our beliefs and we don't Many websites provide customized content based on our
want people who disagree with us. Rather, we want simple browsing history, age, gender, location, and other
life and people who are easy to deal with in our immediate information. As a consequence, there's a deluge of articles
circle and posts that back up our current viewpoints and
experiences, ensuring that we appreciate what we see. Even
The concept of filtering bubbles can lead to a disconnect
if a website does not have explicitly tailored content, we all
situation because people cannot understand how different
prefer to follow people who share our beliefs. When those
views can be seen. It would create long-term issues to
people post content, we know it will be something we are
adjust the details to what we want to see, instead of what
interested in as well.
we need to see. In a world where personalized knowledge
is increasingly used and it is important to be conscious that Filter bubbles build echo chambers, which may not sound
filter bubbles have a negative effect. so bad. We believe that everybody thinks the same way we
do, and we forget that there are other points of view. Search
If people are embedded in their individual filter bubbles, it
engines and social media sites collect information every
can produce negative results. Filter bubbles create a
time we press, watch, post, or comment. This knowledge is
knowledge challenge for people who prevent themselves
used to create targeted advertising in particular. Most of us
from seeing opposite views, which gives them the idea that
have had the strange feeling of deja vu when a product we
'our narrow self-interest is all that exists. If people on both
looked at online appears wherever we go online, including
sides of a matter are divided and only see their side of a
in our email inboxes. This advertising always persists until
debate and their viewpoint is constantly strengthened, a
we give in and buy the product.Targeted ads will assist us
way of addressing this dilemma never takes place, because
in quickly locating what we need.
both sides fail to consider the opposing point.(Bozdag &
van den Hoven, 2015) In most countries today, a single organisation controls the
search rankings. If the algorithm that ranked election-
IMPACT OF FILTER BUBBLE IN SOCIAL MEDIA
related details favoured one candidate over the other, with
PLATFORM
or without the involvement of company workers,
The concept of filter bubble algorithm has changed the way competing candidates had no way of adjusting for the bias.
of accessing information in social media. The customers It'd be as if Fox News were the only television network
seen change in feed generated on the information displayed broadcasting in the United States. Biased search rankings
in the feed section of Facebook creating a bubble effect, will, in essence, be a completely new form of social power,
disconnecting the user from outside world.Eli Periser said taking place on an unparalleled scale. Massive studies
in ted talk about same scenario he faced while browsing undertaken recently by social media behemoth Facebook
through the contents and the feed being disappear after a have already revealed new forms of leverage made possible
day or two . The Facebook used the information of the user by the Internet that were previously unimaginable.
of what kind of information the user accessed and filter of
MISHAP OF MISINFORMATION IN SOCIAL
information were done without the information of the user.
MEDIA DUE TO FILTER BUBBLE
The Facebook has also undergone changes in its filter
option in late 2018 were in the personalized filter option Filter bubbles have such a particularly damaging effect in
was removed from the Facebook feed creating an effect to the context of fake news, since fake news reports frequently
break the information bubble created through algorithm. contain sensational, falsified statements that algorithms
Even google also found itself in the web of filter bubble seeking unique keywords or tags are likely to be drawn to.
where in users were being surrounded by fake and In addition, more likes and comments might be created by
unrelated information. Study shows that google would look fringe or extreme viewpoints, giving a further algorithmic
for 57 signals while a user accesses the information. Right boost.
from what type of information he is searching. which
With false views or automated comments, algorithms can
device he is using, previous web history, personal filters
also be manipulated. When it comes to accuracy or
attached etc. so when the question of filter bubble was
veracity, the algorithms that Facebook or Google use to
asked to the company, later on search operation in google
suggest knowledge are fairly agnostic. This provides the
also changed its preference to relevancy of information
optimal atmosphere for inflammatory and viral content.
being searched in the google search engine. The first study
of the concept according to Eli Periser was seen in Netflix The marketplace is not reliable anymore. The way ideas are
analytics found the gap between people who are the spread and consumed has changed technology dramatically,
aspirational future and impulsive present viewers whose and many of the old theories underlying the marketplace of
way of seeing information is different than that of ideas no longer apply.
aspirational future once. The gap created is through
personalized filters the tug of war between what is intention Efficiency in every industry, on the demand side, allows
consumers to be exposed to and able to distinguish between
to be seen and what has changed in search process has wide
goods of high and low quality. Internet news aggregators
gap due to bubble existence
often tailor news content to individual users, which means
that each reader can see only a single, biased point of view
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inside his or her customized "filter bubble." According to information in other authentic media. Government is under
Napoli, customers do not engage in a genuinely the work of creating a by law regulating unethical
competitive market without wider exposure to news outlets information bubble.
and sources. In addition, it can be difficult to ascertain the
REFERENCE
truthfulness of each point of view when customers
encounter knowledge sources that contradict each 1. Bozdag, E., & van den Hoven, J. (2015). Breaking the filter
other.(Napoli, n.d.) bubble: democracy and design. Ethics and Information
Technology, 17(4), 249–265. https://doi.org/10.1007/s10676-015-
In US election 2016 major if the US citizen were found in 9380-y
loophole of people contacting them to vote for trump as 2. Bruns, A. (2019). Filter bubble. Internet Policy Review, 8(4).
well as in India alleged political party also used this tactic https://doi.org/10.14763/2019.4.1426
to win over the population. The fake information are seen 3. How Filter Bubbles Distort Reality: Everything You Need to
on social media creating a distortion in reality(How Filter Know. (n.d.). Retrieved February 21, 2021, from
Bubbles Distort Reality: Everything You Need to Know, https://fs.blog/2017/07/filter-bubbles/
n.d.) 4. Napoli, P. M. (n.d.). What If More Speech Is No Longer the
Solution? First Amendment Theory Meets Fake News and the
POPPING THE FILTER BUBBLE Filter Bubble –. Retrieved February 21, 2021, from
https://mediawell.ssrc.org/citation/what-if-more-speech-is-no-
After seeing various harm done in the social media the longer-the-solution-first-amendment-theory-meets-fake-news-
rectification of such filter bubble effect could be done and-the-filter-bubble/
through various ways.The concept of personalization does 5. Pariser, E. (n.d.). The Filter Bubble, What The Internet Is Hiding
not always mean it is safe to use or better for of internet From You. 2011. https://doi.org/9780141969923, 014196992X
usage but such bubble trap is waiting for the users by the
marketing team to navigate them in the internet and lead
them to their (marketer’s )place.
Following are the ways that could help in avoiding the filter
bubble in social media:
1. First and foremost, in clearing the browser history,
as many of social media platform take into account
of cookie access of the user and personalize the
information as the previous searches.
2. Using incognito mode while using the browser
where it helps the user to remain isolated and geo
location detection could be prevented.
3. Go for information rather then entertainment as
social media is filled with entertainment segment the
users should divert themselves towards information
rather than entertainment post. The user can be
recommended not to click on recommended post as
they are in relation to bubble .
4. Having contact in social media outside the circle
already created.
5. Creating a wider range of filter where perspective of
filter can change and niche isolation can be reduced.
CONCLUSION
As the empirical study provided a brief view of
personalized social media bubble created by the algorithms
which could be avoided with moral choice being made
while browsing social media. Eli periser says its difficult to
pop the bubble at once but cultivating an habit to says yes
to new relevant information rather than revolving around
already seen information is difficult situation to come
outside the bubble. Many web services are provided to
block cookie information transferability but somehow the
users are dragged into the loop. The reality distorted
through fake news can be curtailed by cross verifying the
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AUDIT COMMITTEE SIZE AND ITS IMPACT ON SHAREHOLDER VALUE
*
Ritesh Kumar Jain ** Rishi Chaudhary
*
Research Scholar, IMSAR, MDU, Rohtak, Haryana
**
Professor, IMSAR, MDU, Rohtak, Haryana
ABSTRACT
The present study aims at examining the connection between audit committee size and shareholder value
of mid-cap companies listed in NSE, India. Six years data of the sample companies were collected from
their Financial statements and annual reports for the years 2014-15 to 2019-2020. In a sample of 60
mid cap companies (Total 357 observations excluding three companies’ data of 2014-2015) the study
specified that, the audit committee size has important connection with the performance in terms of
Return on Net Worth and Tobin’s Q of the companies. This study further conceded that, the audit
committee size has no correlation with the performance in terms of the Price Earning ratio of the
companies. Some of the conclusion and future scope and managerial implication are also presented in
the study.
Key words: Audit committee, Return on Net Worth, Corporate Governance, Audit committee
composition, National Stock Exchange (NSE)
1. INTRODUCTION 2. REVIEW OF RELATED LITERATURE
The importance of audit committee and its independence Audit committee quality has been the subject of research
has gained significant importance in the present financial among the academic and industrial research organization
reporting system. Government of India has brought several aiming how to keep audit committee size to optimum and
changes in the corporate governance practices through The independent. In this context, the role of several external
Company Act 2013 and introduced controlling mechanism and internal corporate governance system cannot be
to make the audit committee independent. The main duty of forgotten, because it solves, the controversial interest of the
the audit committee includes to check the mechanism of all the related parties (Aimran et al., 2016; Farnicka, 2017;
financial reporting and to monitor the function of Swenson, 2016; Khan et al., 2017; Bhavan, 2017; Manaf
management as management tries to change the data for the and Ibrahim, 2017; Widhiastuti, et al., 2018; Basheer,
interest of their own. Thus, an independent auditor plays 2014).
the character of presenting independent opinions on annual
Nidhi Bansal & Anil K. Sharma, 2016 analyzed the
reports of the companies and avoids material biasness.
connection between Corporate Governance, Audit
Several studies in the past indicated that audit committee
Committee & Firm Performance in Indian firms and found
enhances the unnecessary cost to the firm and thus affect
the important favorable connection between the board size
financial performance. However, several studies indicated
and CEO-Chairman double role with respect to results of
that audit committee ensures the proper financial reporting
the company. But, outcomes have not shown any extra
and discovering the acceptability, rationality and
impact of audit committee independence and its number of
credibility of financial statements and thus influence
meetings on the shareholder value of Indian firms. Policy
performance. The premiums of shareholders and other
makers & Regulators can re-examine the importance of
parties are protected by the Audit Committee by their
notable independence of board of directors and audit
independent oversight of the continuous annual corporate
committee in light of outcome of the firm. Aldamen, Kelly,
reporting mechanism, integrating the organization's
McNamara, Duncan & Nagel (2012) checked the effect of
interrelationship with the external auditor. Studies which
characteristics of audit committee on outcomes of three
were done in the past, for example, Bananuka et al. (2019);
hundred companies in the course of financial disaster. It
Bradbury et al. (2006); Hamdan et al. (2013); Oussii and
was anticipated that the characteristics of the audit
Taktak (2018) investigated the effect of audit committee on
committee correlate favorably with firms’ outcome.
the performance of the management and companies in
Exceptionally, study revealed that the characteristics of
terms of value appreciation and profit by which interests of
audit committee correlate unfavorably with performance of
the stakeholders can be protected. That is why, the
the firms in the course of financial disaster. Audit
objective of this research is to check the effect of the audit
committee size of lesser number which involves fully
committee size on shareholder value for different listed
qualified representatives and experts of economy and
companies in National Stock Exchange (NSE).
finance matter favorably with the performance of the
companies (Aldamen et al., 2012).
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Detthamrong et al. (2017) analyzed the effect of corporate Corporate Governance
governance on the performance of four hundred ninety
In order to explore a proxy for audit committee of the
three firms of Thailand which were related with non-
companies, we took audit committee size as independent
financial sectors. It was investigated that there is an impact
variable. It was taken from annual report of section of
on firms’ performance in lieu of audit committee size.
corporate governance of different firms.
Beasley (1996) stated, “The quality of financial reporting is
ensured by audit committee”. Aldamen et al. (2012) have Firm Performance Variables
justified unfavorable correlation in audit committee and
In this study, we used only three proxies of shareholder
performance of the firms. As per above review, study
value. These are Return on Net Worth (RONW), P/E Ratio
establishes a negative correlation between the outcomes of
and Tobin’s Q. These accounting ratios are considered
the firms and size of audit committee.
important indicators of shareholder value.
3. RESEARCH QUESTIONS
7. DATA ANALYSIS AND INTERPRETATION
The effect of size of audit committee on outcomes of listed
companies has been reviewed above which is important for Independent Sample U-Test of Corporate Governance
both shareholders and other stakeholders. As primary goal & Shareholders Value :
of corporates is to maximize the shareholder value keeping A comparison of the mean score of dichotomous
in view the interest of the other stakeholders. The review of demographic variables was desired for this study but due to
literature raises some questions that need to be resolved; the not-normality of the variables, Mann Whitney U test
1. Do firms with bigger audit committee size perform has been carried out. Mean rank scores of the dependent
variables i.e. RONW, P/E Ration and Tobin’s Q, taken as
well financially?
proxy of shareholders value have been compared across the
4. OBJECTIVE independent variable. Alpha level has been taken at 5
percent. Results and discussion the test are outline below:
1. To study the impact of size of audit committee on
shareholder value of listed mid-cap companies in Audit Committee Size and Return on Net Worth
NSE.
This study has made an attempt to examine whether the
5. HYPOTHESES value of shareholders in terms of RONW is significantly
associated with the Size of Audit Committee. It was
H01- “There is no significant relationship between Audit
hypothesis :
Committee Size and Return on Net Worth.”
“There is no significant relationship between Audit
Committee Size and Return on Net Worth.”
Committee Size and P/E Ratio.”
Outcomes of Mann Whitney U-test are presented in figure-
1 which reveals that for the companies with Audit
Committee Size and Tobin’s Q.”
Committee Size more than 4, we have total 164
6. DATA AND METHODOLOGY observations with mean rank of 162.22. Companies with
Audit Committee Size up to 4, we have total 193
Present study is descriptive in nature. For this study, data
observations with mean rank of 193.26. From the statistics
of companies was collected from annual reports, website of
given in figure-1, we can conclude that the mean rank of
NSE & Yahoo Finance for six years from 2014-15 to 2019-
companies with Audit Committee Size up to 4 is higher
2020. Total 357 observations were gathered from the
than the mean rank of Companies with Audit Committee
sample companies because of the unavailability of data for
Size more than 4 is statistically significantly higher (U =
2014-15 of three selected companies, otherwise it would
13073.50, p = 0.005). Hence the results rejected to our null
have been 360 (60 companies * 6 years data for each).
hypothesis. It is concluded that, the audit committee size
Annual reports of the firms listed in stock exchange were
has a significant negative relation with the performance in
chosen because it is relatively more authentic as well as
terms of Return on Net Worth of the companies.
easier to obtain. Statistical software SPSS 22 was used to
analyze the data. Mann-Whitney U test has been used to
test the set hypotheses.
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Figure 1: Independent Sample U-Test Audit Committee Size and RONW

Audit Committee Size and P/E Ratio to 4, we have total 193 observations with mean rank of
188.28. From the statistics given in figure-2, we observed
To test the correlation in Audit Committee Size and P/E
that though the mean rank of companies with Audit
ratio, it was hypothesis that
Committee Size up to 4 is higher than the mean rank of
“There is no significant relationship between Audit Companies with Audit Committee Size more than 4 but it is
Committee Size and P/E Ratio.” not statistically significantly higher (U = 14034, p = 0.065).
Hence the results could reject to our null hypothesis and
Results of Mann Whitney U-test are presented in figure-2
retains the alternatives. Summary of hypothesis test is
reveals that for the companies with Audit Committee Size given in figure-4 conceded that, the size of audit committee
more than 4, we have total 164 observations with the mean has no correlation with the performance in terms of P/E
rank of 168.07. Companies with Audit Committee Size up
ratio of the companies.
Figure-2: Independent Sample U-Test Audit Committee Size and P/E Ratio
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Audit Committee Size and Tobin’s Q companies with Audit Committee Size frequency more
than 4 and total 154 observations with mean rank of 204.01
To examine the relation between size of Audit Committee
of the companies with Audit Committee Size up to 4. From
and Tobin’s Q, this study has formulated and tested the
the statistics given in figure-3 this study inferred that mean
following null hypothesis using Mann Whitney U-test at 5
rank of companies with Audit Committee size up to 4 is
percent level of significance:
higher than the mean rank of Companies with Audit
“There is no significant relationship between frequency of Committee meetings more than 4 is statistically
Audit Committee size and Tobin’s Q.” significantly higher (U = 11000, p = 0.000). Hence the
results rejected to our null hypothesis. From figure-4, the
Results of Mann Whitney U-test are presented in figure-3.
outcomes of the statistics, this study concludes that the size
Figure reveals that out of total 357 companies we have total
of audit committee has correlation with outcomes in terms
164 observations with mean rank of 149.57 for the of Tobin’s Q of the companies.
Figure-3: Independent Sample U-Test Audit Committee Size & Tobin’s Q
Figure- 4: Hypothesis Test Summary of Audit Committee Size and Shareholder Value
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8. DISCUSSION AND CONCLUSION structure. Journal of Financial and Quantitative Analysis.
Retrieved from http://papers.ssrn.com/abstract=94043
The present study explained the connection between size of
8. Khan, H., Hassan, R., & Marimuthu, M. (2017). Diversity on
audit committee and shareholder value of the selected corporate boards and firm performance: An empirical evidence
companies. In view of the outcomes of the statistics, this from malaysia. American Journal of Social Sciences and
study concluded that the size of audit committee is having Humanities, 2(1), 1-8.
important negative correlation with the performance in 9. Md. Musfiqur Rahman1 , Mohammad Rajon Meah2 , Nasir Uddin
terms of Return on Net Worth & Tobin’s Q of the Chaudhory3(2018) The Impact of Audit Characteristics on Firm
companies. This study Support the finding of previous Performance: An Empirical Study from an Emerging Economy,
Journal of Asian Finance, Economics and Business Vol 6 No1
research work of Mohammad Rajon Meah, Md. Musfiqur (2019) 59-69
Rahman, Nasir Uddin Chaudhory 2018, Pucheta-Martinez
& Fuentes, 2007; Afza & Nazir, 2014 . These authors also 10. Nidhi Bansal & Anil K. Sharma, 2016. "Audit Committee,
Corporate Governance and Firm Performance: Empirical
found similar relationship. This study further conceded that Evidence from India," International Journal of Economics and
the size of audit committee has no connection with the Finance, Canadian Center of Science and Education, vol. 8(3),
performance in terms of P/E ratio of the companies. Hence pages 103-116, March.
it is recomended that size of audit committee must be 11. Pucheta-Martinez, M. C., & Fuentes, C. D. (2007). The impact of
finalized on studying the tradeoff between committee size audit committee characteristics on the enhancement of quality of
and shareholder value in order to get better performance. financial reporting: An empirical study in the Spanish context.
Corporate Governance: An International Review, 15(6), 1394-
9. SCOPE FOR FURTHER RESEARCH 1412.
This study has been done by with total sample of sixty 12. Swenson, C. (2016). Empirical evidence on municipal tax policy
and firm growth. International Journal of Public Policy and
companies which were selected from the nifty midcap-150 Administration Research, 3(1), 1-13.
index. The impact of Audit committee size has been
analyzed using Mann Whitney U-test. Further the
correlation in size of audit committee & shareholder value
in performance of return on net worth, P/E ratio and
Tobin’s Q. Sample and variables taken in this study leaves
the scope for further research by the way of including more
variables in the study as well as more sample size either
from the same index or from the other indices. A study can
also be carried out by comparing the effect of variables of
corporate governance on shareholder value from two
different indices.
REFERENCES
1. Afza, T., & Nazir, M. S. (2014). Audit quality and firm value: A
case of Pakistan. Research Jorunal of Applied Sciences,
Engineering and Technology, 7(9), 1803-1810.
2. Aldamen, H., Duncan, K., Kelly, S., McNamara, R., & Nagel, S.
(2012). Audit committee characteristics and firm performance
during the global financial crisis. Account. Finance, (52), 971–
1000.
3. Bananuka J& Sadress, Night & Ngoma, Muhammed & Muganga,
Grace. (2019). Internet financial reporting adoption: Exploring the
influence of board role performance and isomorphic forces.
Journal of Economics, Finance and Administrative Science. 24.
10.1108/JEFAS-11-2018-0120.
4. Beasley, M. (1996). An Empirical Analysis of the Relation between the
Board of Director Composition and Financial Statement Fraud. The
Accounting Review, 71(4), 443-465. Retrieved April 4, 2021, from
http://www.jstor.org/stable/248566
5. Bhavan, T. (2017). Human capital as a pushing factor of export:
The case of four south asian economies. Asian Development
Policy Review, 5(4), 299-306.
6. Detthamrong, U., Chancharat, N., & Vithessonthi, C. (2017).
Corporate governance, capital structure and firm performance:
Evidence from Thailand. Research in International Business and
Finance, 42(July), 689–709.
https://doi.org/10.1016/j.ribaf.2017.07.011
7. Jensen, M., & Mackling, W.H. (1976). Theory of the firm:
Managerial behavior, agency cost and ownership
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MEASURE THE RELATIONSHIP BETWEEN PROCESSING AND WORKING
MARKETING CHALLENGES BEING FACED BY TRADITIONAL TEXTILE
MANUFACTURERS OF GARHWAL REGION OF UTTARAKHAND
* ** ***
Sunayana Manoj Rawat Surendra Kumar
*
Assistant Professor, Centre for Management Studies, Jamia Millia Islamia, New Delhi.
**
Research Scholar, Department of Business Management Hemvati Nandan Bahuguna Garhwal University (A Central
University), Srinagar (Garhwal) Uttarakhand
***
Assistant Professor, Department of Business Management Hemvati Nandan Bahuguna Garhwal University (A
Central University), Srinagar (Garhwal) Uttarakhand
ABSTRACT
The handicraft industry in India plays a very vibrant part in the economic progress of rural people.
Moradabad, Jaipur, Garhwal, Jodhpur, Saharanpur, and Narsapur are the major handicraft places in
India. Overall, this industry employed more than 1 million people in India. Exporters of Handicrafts
from the India have a superiority over competitors’ countries like Malaysia, Philippines, China, etc. who
mostly occupied by machine, whereas handmade products/items of India are widespread all over the
world, courtesy, their unique designs with the talented workmanship. When it comes to the Garhwal
region, it has a legendary history in wool. Wool is considered as sacred and people’s life revolves around
wool. Every year in winter, on the day of closing the “Badrinath shrine kapat” Mana village maidens
weave a shawl of woolen called "Beena" and "Kamal" on the same day. The shawl is absorbed in ghee
and after wrapping around the Sri Badrinath, the idol. When Kapat has to be re-open after six months
two maidens of the village will offer a carpet to Sri Badrinath. Bhotia tribe people practice woollen craft
in the entire Chamoli district. Bhotiya people are traditionally a trading community. Present research
paper aims to measure relationship between processing and marketing challenges which are faced by the
textile manufacturers of Uttarakhand.
Keyword: Textile Industry, working challenges, processing challenges, marketing challenges
INTRODUCTION merchant. Hard geographical conditions and limited
transportation facilities helped them to maintain a
The people of this region are dependent on woollen
monopoly in this trade, there was no competition in this
clothing to cope up with very cold climate. Bhotiya tribes
trade. So they could bring gold, borax, salt, animal skin,
started woollen trade with Tibet since ancient period and
wool, mules, sheep and goats from Tibet and India. They
accepted the industry as an essential part of their livelihood
carried food grain, rice, cloth oil, jaggery, tobacco, iron,
in their villages. For many centuries women of the tribes
saffron, coarse shawls, pankhis (large woollen shawl),
have been moving the small “pithachan”. The Ptdu, thulma,
ponies, gudma and different types of jari-buties (medicinal
carpets, blanket, chutka, lava, shawl, asan, gudma, and
plants) etc. Their trade was traditionally involved bartering
pankhi etc. are crafted very artistically. The bond between
system between sellers and buyers. They sold their goods
the Bhotia and Tibetans were very close for centuries
through agents and their trade relation continued from
across the mountains. Every Bhotia of the community went
generation to generation. In 1962 China attacked India and
through few ceremonies with their Tibetan counterpart
after that, the best quality wool has stopped coming from
enjoining exclusive and permanent trade on both ends, a
the region. That was a great setback to wool industry of
pledge that they would be mittars (eternal friends) forever.
Bhotiya.
(Chatopadhya-1953) “Gamya" is referred to as the trade
agreement between two and was formalized at their REVIEW OF LITERATURE
ceremony called “search-mulchhu” (gold and silver). The
The Indian fabric producing industry, subsequently, has a
Ceremony was directed by taking water from the
substantial occurrence in the Indian economy just like the
Mansarower Lake with powdered gold and silver. Both of
external global whole fabric producing industry. Its
the parties drank this water and after taking an oath to be
commitment to the Indian economy is showed in rapports
faithful to each other (Chawala, 1996). Bhotias had to
of its involvement to the level of manufacturing fabrication,
travel through distant hills and valleys during trade with
create occupation and increase foreign exchanges for the
Tibet. After many months of travel on these paths, Bhotiyas
country (Mohan & Chatterjee 1993). Uchikawa said that
would reach wholesale markets in Tibet. Probably, this
India is currently a fast-developing business economy
difficult and long journey may be the reason behind
creeping to reach at a large portion of a billion of middle-
Bhotiyas are courageous, hardworking and mountaineer
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income salaried population by the year 2030. These factors DATA ANALYSIS AND INTERPRETATION
are very useful specifically for the Indian Fabric producing
In order to measure the relationship between processing
Manufacturing from the long run perspective. Despite the
and working marketing challenges being faced by the
fact that the worldwide financial emergencies are
traditional textile manufactures of Uttarakhand, following
intensifying day by day, but in spite of, the economies are
research objective and hypothesis have been formulated;
rising and developing particularly in South and South East
Asia. Fabric producing Industry is here to develop given it 1. To measure the relationship between processing and
pays attention to coopetition and technology advancement. working marketing challenge faced by tribal woollen
In fifth initiation workshop on Strategies and readiness on textile manufactures of Uttarakhand.
exchange and globalization in India for Fabric producing  H01 There is no significant relationship between
and garment‟s part, held on 27 December 2005 (conducted processing and working marketing challenge faced
by Fabric producing Committee as a team with United by tribal woollen textile manufactures of
Nations Conference on Trade and Development), Shri. Uttarakhand.
Nayanbhai C. Parikh, Chairman, Fabric producing
For testing the proposed null hypothesis “H01 There is no
Committee, Mumbai remarked that in the post quota
significant relationship between processing and working
system, the performance of Indian Fabric producing
marketing challenge faced by tribal woollen textile
industries was satisfactory and in international market the
Indian fabric producing and clothing industries were manufactures of Uttarakhand” and for achieving its
holding a good position, (Tiwari 2008). The focus made on corresponding objective “To measure the relationship
between processing and working marketing challenge faced
the barriers which were charged at the time of movement of
by tribal woollen textile manufactures of Uttarakhand”,
the products from one country to another has been freed up,
Researcher has conducted Pearson correlation coefficient,
(Confederation of Indian Fabric producing Industry). In the
primeval period humans first took in the bending of grass Coefficient of determination R2 and Share of independent
parts and tried to create ropes, copying the winding of were calculated to see the significant relation between
marketing challenge faced by tribal woollen textile
plants around the parts of trees, shrubberies. From that
manufactures of Uttarakhand while processes and working
start, human refined to contort, or divert the strands got
with traditional textile industry and results are computed in
from inside the stalks of flax and fiber layers of sheep and
table 1.1.
goats, (Amsden and Alice 2001).
Table 1.1 Summary Statistics of Co-efficient of Correlation between marketing challenges faced by tribal woollen
textile manufactures of Uttarakhand while processes and working with traditional textile industry
Independent Dependent Coefficient of
Share of I.V
Group Variable Variable Correlation Determination R2
Manufacturers Processing Working 0.106** 0.011 1.1%

challenges Challenges
**Significant at 0.01 level
PRIMARY DATA Therefore, the proposed null hypothesis “H01 There is no

The Pearson correlation coefficient “r” between marketing significant relationship between processing and working
challenge being faced by tribal woollen textile marketing challenge faced by tribal woollen textile
manufactures of Uttarakhand while processes and working manufactures of Uttarakhand” has been rejected and its
with traditional textile industry has been calculated corresponding objective “To measure the relationship
(N=1000) in the study area and presented in Table 1.1 as it between processing and working marketing challenge faced
depicts that value of Co-efficient of correlation, r=0.106, by tribal woollen textile manufactures of Uttarakhand” was
between perception and satisfaction of manufacturers also achieved.
towards marketing challenge faced by them while India has been notable for her fabric producing products
processes and working with traditional textile industry in meanwhile exceptionally from primeval times. The
Uttarakhand which is significant at 0.01 level of outmoded fabric producing industry of India was
significance. The table 1.1 also shows the coefficient of essentially rotted throughout the British colonial system,
determination, R2 =0.011 (Square of correlation (Rao & Das 1993). In any case, the contemporary fabric
coefficient, r) tells the amount of variability in the producing industry appropriated birth in India in the mid
marketing challenges being faced by textile manufactures nineteenth century when the main fabric producing plant in
while processing and working with traditional textile the nation was set up at post gloster area which was close to
industry in Uttarakhand and after converting this value into Calcutta in 1818. Both processing and marketing
percentage we can say that marketing challenges related to challenges are important to understand the overall
process of manufacturing cause only 1.1% variance in challenges being faced by the industry.
marketing challenges related to working in traditional
textile industry in Uttarakhand.
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either processing or working marketing challenges.

Figure 1.1 Scatter plot of manufacturer’s perception
As if one gets minimize, another would get also
and satisfaction towards marketing challenges related
automatically.
to processing and working with tribal textile industry
4. In order to protect and promote the local textile
From the figure 1.1 it is clear that there is very low positive
products, there is need of proper marketing channels
correlation between processing and working marketing
and structure in the study area, so that local
challenges are being faced by the traditional tribal
manufacturers can sell their products easily and
manufacturers of Uttarakhand. As both the challenges are
conveniently.
related to different areas of the industry.
5. The State Government need to provide financial and
FINDINGS, CONCLUSION AND
technological assistance to all the local
RECOMMENDATIONS manufacturers of textile, as while conducting the
study researcher has come to know that due to
1. It was observed that correlation of coefficient financial problems and unavailability of resources,
between working and processing marketing
local manufacturers are changing their jobs and
challenges being faced by traditional tribal textile
migrating towards plain areas.
manufacturers of Uttarakhand was 0.106 and share
of processing marketing challenges in working 6. Teaching, training and workshop would also be
marketing challenges was 1.1 percentage which is organized at the regular intervals for the traditional
significant at 0.001 level of significance. Therefore, manufacturers in view of enhancing their knowledge
it is concluded that there is very low positive and integrating traditional skills with modern
correlation exit between processing and working manufacturing skills.
marketing challenges being faced by the textile
7. This is also necessary to ensure active participation
manufacturers of Uttarakhand. This further, shows
of local residents in traditional textile industry of
that if working marketing challenges increases then
Garhwal Uttarakhand through employment,
processing marketing challenges would also get
entrepreneurships and economic motivation.
increase by 1.1 percentage and vise-versa.
8. There is enormous scope for Research and
2. Although there is very low positive correlation
Development about traditional textile industry of
between processing and working marketing
Uttarakhand. Therefore, researchers would
challenges, but both are very important and impact
encourage towards the same.
significantly on each other all along processing and
working of textile manufacturers. REFERENCES
3. On the basis of findings, it is recommended to State 1. Amsden, Alice (2001). The Rise of „The Rest‟: Challenges to the
West from Late Industrializing Economies. Oxford: Oxford
Government, Non-Government Organizations
University Press.
(NGOs) and other associated stakeholders with
traditional textile manufacturing industry of Garhwal 2. Chattopadhyay, K. (1953). India‟s Craft Tradition. Publication
Division, Ministry of Information and Broadcasting, Government
Uttarakhand, that they must focus on minimize of India.
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3. Chawla (1996). The Glory of Indian Handicrafts. Clarion Books,
New Delhi.
4. Mohan, R. & S Chatterjee (1993), India‟s Garment Exports,
Economic and Political Weekly, Vol. XXVIII, issue 35.
5. Rao, V. L. and R. L. Das (1993), Fabric producing and clothing
sector in the Asian Region, Paper presented in the
RIS/ESCAP/UNDP National Seminar on “Promotion of Intra-
regional Trade in Asia-Pacific Region”, New Delhi, May.
6. Tiwari, M. (2008). Varieties of global integration: navigating
institutional legacies and global networks in India's garment
industry. Competition & Change, 12(1), 49-67.
7. Uchikawa (1998), Indian fabric producing industry- State Policy,
Liberalisation and Growth, Manohar Publishers and Distributors,
New Delhi.
8. Verma, S. (2000) “Restructuring the Indian Fabric producing
Industry”, in Sinha, A. K., S. K. Sasikumar ed., Restructuring of
the Fabric producing Sector in India, Vikas Publishing House Pvt.
Ltd., New Delhi.
9. Verma, S. (2000), “Steps Needed to Strengthen the Supply
Chain”, in Mote. V. L. ed. Fabric producing and Fashion,
Challenges and Strategies for the Industry, Tata McGraw-Hill
Publishing Company Limited, New Delhi.
10. Vinayakan (1959). report on Indian handicraft sector, New Delhi,
All India Handicraft Board.
11. Vyas (1980). Clay industry (Mitti-udyog) of Gujarat state: A
proposed case study of appropriate technology, paper presented at
the all India Seminar on Rural Technology or village artisans,
Rural Technology Institute, Gandhinagar, Gujarat, 12-15
February, 1980.
12. Wang (2013), “The determinants of fabric producing and apparel
export performance in Asian countries”, A dissertation presented
in part consideration for the degree of Master of Science, Iowa
state University.
13. Whalley, J. (1997) “The Impact of Multifiber Arrangement
Phaseout on the Asian Economies”, in Arvind Panagariya, M. G.
Quibria, Narhari Rao ed. The Global Trading System and
Developing Asia, published for Asian Development Bank by
Oxford University Press, China.
14. Yoganandan.G and Jaganathan A.T(2013), “Factors Affecting the
Export Performance of Fabric producing Industry in Developing
Countries – A Review of Literature”, International Journal of
Commerce, Business and Management, Vol 2, No 4, pp 173-176.
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STRESS AMONG STUDENTS DUE TO ONLINE LEARNING DURING
COVID -19 AND COPING STRATEGIES
* ** ***
Manisha Verma Kirti Gupta Pallavi Chopade
*
Research Scholar Bharati Vidyapeeth (Deemed to Be University) Institute of Management and
Entrepreneurship Development (IMED), Pune
**
Professor, Bharati Vidyapeeth (Deemed to Be University), Pune Institute of Management and
***
Asst. Professor, Bharati Vidyapeeth (Deemed to Be University) Institute of Management and
ABSTRACT
This paper is intended to discuss the relationship of stress perceived by the students during their online
learning through virtual platform in the pandemic era. Prolonged lockdown due to outbreak of COVID-
19 restricted the access of physical classes in schools and colleges in almost every country in the world
which have pushed millions of students to shift on online mode of learning. This overnight shifting from
offline mode of learning to online learning has caused a great stress among students. This paper has
found empirically that how the perceived stress among students is caused due to online learning. It
further explores that how the stress among students has been intervened by coping strategies due to
which students have perceived less stress. A total sample for this study comprises of 844 students and the
data collection tool was structured questionnaire which was sent through online mode. SPSS 20.0
software has been used to test the hypothesis. This research has concluded that with the help of some
effective preventive measures and coping strategies, educational institutes and their administration could
succeed in lowering down the stress level among students which has perceived due to online learning
platform.
KEYWORDS: Stress, Students, Online learning, Covid-19, Spirituality, Coping Strategy
INTRODUCTION education institutions to switch from the traditional method
of teaching and learning into online mode and distance
At the end of the 2019, there was an outbreak of highly
learning across the world (Dhawan, 2020). The Covid-19
contagious disease called COVID-19 caused by
pandemic has made nearly all learning experiences
coronavirus (SARS-CoV-2) which shook the whole world.
accessible online. The Covid-19 pandemic is changing
The World Health Organisation later declared it pandemic.
face-to-face learning into online learning due to which it
Since then, lockdown has become a buzzword across the
has become an important stressor nowadays for the students
globe. As a result of COVID-19, many national
College students are always at higher risk of experiencing
governments have forced their population to stay safe
psychosocial problems. Changes in learning methods
through partial or complete lockdown globally (Cooper,
during pandemic has brought a lot of stress in the form of
Mondal, & Antonopoulos, 2020) due to which the whole
anxiety, depression and other mental and social problems
education system from lower to higher level has been
among students at different levels.
collapsed. Prolonged lockdown has restricted the access of
physical classes in schools, colleges and universities(Hasan LITERATURE REVIEW
& Bao, 2020). The outbreak of the Covid-19 pandemic and
The global pandemic has made e learning platform as an
the imposed lockdown forced many educational institutions
unavoidable protocol for millions of students around the
to remain temporarily closed. As social distancing has
globe which has created huge opportunities as well as
become an important norm during this pandemic, it has
challenges. The difficulties faced during learning through
badly affected the learning opportunities.
online platform has been perceived by the students which
As a result of COVID-19 outbreak, throughout globe, made it as nightmare for millions of students during
approx. 1.5 billion school going as well as university pandemic. The literature review is focusing on the
students have suffered (IAU, 2020). There has been an weaknesses of the online mode of learning perceived by the
increasing shift from offline mode to online learning due to students during pandemic which has pushed them in the
shutting down of educational institutions for an indefinite prolonged state of predicament. The outbreak of COVID-
period(Mishra et al., 2020)The educational institutions and 19 has made Online learning or e-learning a buzzword
universities have been struggling to provide the best option nowadays across the globe. Online learning through
of learning to their students. The situation has forced all the Distance education has made easy due to technological
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developments (Mc Brien et al., 2009). The term Online responses and options. (Greenberg, 2006) define stress as
learning was used in 1995 during the development of first the combination of a stressor, stress reactivity, and strain.
Learning Management systems (Singh & Thurman, 2019). That is, a stimulus is presented that has the potential to
All forms of online learning, open have used a computer trigger a fight-or-flight response (the stressor) that elicits
which is connected to a network and facilitates the learning physiological changes such as increased muscle tension and
in self-paced mode with any means from anywhere and blood pressure (stress reactivity) that, in turn, results in
anytime (Cojocariu et al., 2014). physical, psychological, or behavioral consequences such
as headache or agoraphobia (strain).
According to (Singh & Thurman, 2019) Online learning is
an experience taken through the internet mode in a Many researchers have done a survey which has claimed
synchronous classroom which facilitates interaction that online learning has become as a source of stress for
between students and instructors and does not dependent on students. (Cao et al., 2020) surveyed 7143 college students
their physical location. In synchronous learning and have found that approx. 25% of students have been
environment, students can learn anything from anywhere suffering from high level of anxiety due to challenges and
with live lecturers and there is a real time interaction difficulties faced by them during online learning. Similarly
between a student and an instructor. In such cases, instant another study conducted by (Lee, 2020) have found that
feedback can be available(Dhawan, 2020). On the other 83% of surveyed students experienced worst situation due
hand, in asynchronous learning environment, learning to psychological distress and 26% of students are unable to
content in form of live classes or lecturers are not available get proper mental health support. Research has pointed out
and instant feedback is not possible (Littlefield, 2018). that although online learning has provided the best option
During this tough time, there has been an overnight shift in the time of pandemic for continuation of academic year
from traditional classrooms to online virtual classes. Three for millions of students but it has negative impact on the
biggest challenges for online learning are considered as psychological health of students which has become the
distance, scale, and personalized teaching and learning reason of stress, anxiety and depression for students
(Dhawan, 2020). The only way to deal with this pandemic (Rohman et al., 2020). A literature has revealed many
is innovative solutions provided by institutions (Liguori & empirical studies which have already conducted to show
Winkler, 2020). the impact of online learning in the form of psychological
distress among students. This state of psychological distress
Due to covid-19 outbreak, the digital transformation of
has been pushing the youth generation in the unseen
higher education has been taken place which would have
difficult situation.
paced up in bringing that novelties that would have taken
many years to implement(Strielkowski, 2020). The sudden Such deteriorated conditions have demanded to measure
transformation of traditional learning into digital learning the impact of online learning on psychological condition
is not free from hurdles and obstacles (Crawford et al., and stress among college students due to negative
2020) Due to improper learning approach, students and perception of online learning (Hasan & Bao, 2020).
instructors both are facing challenges and difficulties in the
OBJECTIVES
form of psychological problems((Bao, 2020). Students and
instructor’s way to perform the program decides about the 1. To identify the causes of stress during online classes
successful implementation of e-learning systems(Thongsri
2. To suggest suitable coping strategies for reducing
et al., 2019).
stress during online learning
No doubt online learning has become an effective
alternative solution to the physical classes for the students RESEARCH METHODOLOGY
in this pandemic but somehow students have shown a Online survey was conducted from April to October, 2020
negative perception towards online learning (Rohman et al., from graduate and post graduate students. This period
2020) which could be a reason of their psychological corresponded to the pandemic lockdown due to Covid-19.
distress. Previous studies have revealed that students felt Students were experiencing the consequence of university
anxious due to lack of enjoyment in the online classes closure with social distancing norms. Respondents were
(DEWAELE et al., 2019). Some other difficulties contacted by using google form of online learning related
associated with online learning are quality of content, ease questions. Pilot testing was conducted for checking validity
with technology usage, technical support and interaction and reliability of questionnaire. 24 students were contacted
with peer students. Students feel that technical difficulties for pilot study and questions were checked. Students facing
including improper hardware as well as software support confusion in understanding questions were removed.
causes distress (Al-araibi et al., 2019). Sometimes students
feel problems in getting instructional goals which is also a Total 844 students were responded to the survey including
hurdle in online learning (Dhawan, 2020). 491 male and 353 female students. The questionnaire
consists of demographic profile of students, age,
(Lazarus & Folkman, 1984) defines, “Stress refers to geographic location, platform used, proficiency in
physiological, behavioral and cognitive responses to events technology usage, technology constraints, etc. These
appraised as threatening or exceeding one’s coping variables were constructed by using 5-point Likert scale
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which ranges from strongly disagree (1) to strongly agree DEMOGRAPHIC ANALYSIS
(5).
66% of respondents are from age group 18-21 years
followed by 27% from 21-24 years. [Table 1]
Table 1: Age group of students

Age (Years) Frequency Percentage
15-18 33 4
18-21 548 66
21-24 236 27
24 and above 27 3
Total 844 100
Table 2: Proficiency of Learners (proficiency matrix)

Proficiency in Average Good Very Good Excellent
English 79 335 321 109
Technology Usage 70 282 335 157
MS-Office 84 299 298 163
Proficiency of Learners
163
Excellent 157
109
298
Very Good 335
321
299
Good 282
335
84
Average 70
79
0 50 100 150 200 250 300 350 400
MS-Office Technology Usage English
Graph 1: Proficiency of Learners

platform. Very few students reported using zoom (63),
More than 50% students reported good and very
google meet (42) and univinks (7). Data was analyzed by
proficiency in English, Technology and Microsoft office
using SPSS 20.0 Descriptive statistics of 844 respondents
usage. Few responded as excellent in technology usage.
have average mean 2.164 (SD= 0.71). KMO test value is
Tech-savvy respondents have ease of handling online
greater than 0.7 so that factor analysis was conducted.
learning tool effectively.
Exploratory Factor analysis results into following factors
During pandemic classroom teaching-learning has shifted for comfort level. On the basis of factor loadings and
from classroom to virtual platform. More than 80% (732) rotation matrix, variables are categorized under various
students are using Microsoft Teams as online learning factors. Variables having factor loading below 0.5 were
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deleted from the analysis. Variables are categorized under of creative content, technical support and poor knowledge
four factors such as students’ engagement, benefits of of hardware and software.
online learning, stress and coping strategies as shown in
Factor III: Stress causing variables consists of extended
figure 1.
screen-time and eyesight discomfort, headache, anxiety and
Factor I: Benefits of online learning consists of two depression, psychological distress and fear of losing
variables such as continuation of academic year and academic year.
flexible timings.
Factor IV: Stress coping strategies involves physical
Factor II: Students’ engagement involves variables such as exercise, spiritual wellness programs, meditation, yoga,
lack of personal interaction with friends and teachers, lack training for online learning, self-study approach and live
projects.
Figure 1: Variable mapping of Online Learning
Learning Effectiveness
Benefits of Online
Learning Stress during Online
Coping Strategies
Learning
Engagement during
Online Learning Learners’ Proficiency
During online learning physical comfort of students

HYPOTHESIS
were considered. In the survey, questions related to
H0: There is no correlation between e-learning benefits physical, mental, eyesight discomfort and extended
and its effectiveness. screen times were asked. Effective learning is defined on
the basis of variables such as understanding of numerical
H1: There is positive correlation between e-learning and theory subjects, doubt handling. There is positive
benefits and its effectiveness. correlation between physical discomfort and learning
effectiveness.
More than 84% respondents reported online learning has
several benefits such as convenience, saves travel time, (Correlation coefficient between physical discomfort
money, etc. At the same time keeping students engaged and effective learning) = 0.24
is tough task for teachers. 76% respondents responded
numerical subjects are difficult to understand whereas There are various factors responsible for students’
theory subjects are boring. Doubt handling is learning effectiveness along with physical discomfort.
burdensome for teachers. Online learning causes Hence, there is low degree positive correlation
psychological stress. Benefits and e-learning has positive coefficient in between these two factors. This supports
correlation (r= 0.82) whereas engagement and e-learning alternative hypothesis i.e., physical discomfort has low
has low degree positive correlation (0.11). This supports level impact on effective learning.
the alternative hypothesis i.e., e-learning benefits are
Due to increased screen time, connectivity issues,
positively related to its effectiveness.
physical and mental discomfort, etc. stress level is
H0: Physical discomfort is negatively related to effective increased among students. Students opted for yoga,
learning. meditation, spiritual wellness program, live project
approach, etc. reported effective e-learning. There is
H1: Physical discomfort has low level impact on positive correlation (r= 0.71) between online learning
effective learning. and coping mechanisms.
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CONCLUSION 5. Cojocariu, V. M., Lazar, I., Nedeff, V., & Lazar, G. (2014),”
SWOT analysis of e-learning educational services from the
This study has revealed the relationship of online perspective of their beneficiaries”, Procedia-Social and
Behavioral Sciences, Vol116, pp.1999-2003.
learning and psychological stress among college
students which is an alarming situation. This research 6. Crawford, J., Butler-Henderson, K., Rudolph, J., Malkawi, B.,
Glowatz, M., Burton, R., ... & Lam, S.(2020), “COVID-19: 20
has concluded that with the help of some effective countries' higher education intra-period digital pedagogy
preventive measures and coping strategies, educational responses”, Journal of Applied Learning & Teaching, Vol 3 No.1,
institutes and their administration could succeed in pp. 1-20.
lowering down the stress level among students which 7. DEWAELE, J. M., Magdalena, A. F., & Saito, K. (2019),” The
has perceived due to ineffective online learning effect of perception of teacher characteristics on Spanish EFL
platform. Institutes and instructors should provide the learners’ anxiety and enjoyment”, The Modern Language
Journal, Vol103 No.2, pp.412-427.
spirituality based pre-recorded videos as an important
part of their course module in which students learn 8. Dhawan, S. (2020),” Online learning: A panacea in the time of
effective techniques of meditation which will help COVID-19 crisis”, Journal of Educational Technology
Systems, Vol49 No.1, pp.5-22.
students in managing their stress in an effective way.
Online learning should be available with strong technical 9. Hasan, N., & Bao, Y. (2020),” Impact of e-Learning crack-up
support which includes secure internet access. Efficient, perception on psychological distress among college students
during COVID-19 pandemic: A mediating role of fear of
attractive and effective e-content should be made academic year loss”, Children and Youth Services Review, Vol
available to students along with facilities of peer 118, pp.105355.
interaction which helps them in cultivating positive
10. Lee, J. (2020),” Mental health effects of school closures during
perception towards online learning during the pandemic COVID-19”, The Lancet Child & Adolescent Health, Vol4 No.6,
which will ultimately improve their physical and mental pp.421.
health. Online learning should be based on creative, 11. Liguori, E., & Winkler, C. (2020),” From offline to online:
interactive, relevant ,student centred and group based Challenges and opportunities for entrepreneurship education
programs (Partlow & Gibbs, 2003) following the COVID-19 pandemic”, Entrepreneurship Education
and Pedagogy, vol 0 No.0, pp. 1–6.
ACKNOWLEDGEMENT
12. McBrien, J. L., Cheng, R., & Jones, P. (2009),” Virtual spaces:
Employing a synchronous online classroom to facilitate student
This study is a part of the project funded under the engagement in online learning”, International review of research
ICSSR – IMPRESS Scheme. The authors acknowledge in open and distributed learning, Vol10 No.3.
the support of the Indian Council of Social science
13. Mishra, L., Gupta, T., & Shree, A. (2020),” Online teaching-
Research (ICSSR), New Delhi and MHRD (IMPRESS learning in higher education during lockdown period of COVID-
Scheme) for funding this study. 19 pandemic”, International Journal of Educational Research
Open, Vol1, pp.100012.
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BOOKS constructivist principles in Internet-based courses”, Journal of
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McGraw-Hill Humanities/Social Sciences/Languages. 15. Rohman, M., Marji, D. A. S., Sugandi, R. M., & Nurhadi, D.
(2020),” Online learning in higher education during covid-19
2. Lazarus, R. S., & Folkman, S. (1984). Stress, appraisal, and pandemic: students’ perceptions”, Journal of Talent Development
coping. Springer publishing company. and Excellence, Vol12 No.2s, pp.3644-3651.
16. Singh, V., & Thurman, A. (2019),” How many ways can we
JOURNALS define online learning? A systematic literature review of
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(2019), “Technological aspect factors of E-learning readiness in Distance Education, Vol 33 No. 4, pp.289-306.
higher education institutions: Delphi technique”, Education and
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Information Technologies, Vol 24 No.1, pp.567-590.
(2020),” Procrastination and Delayed Assignment Submissions:
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education: A case study of Peking University”, Human Behavior within an Online Learning Environment”, Online Learning, Vol
and Emerging Technologies, Vol 2 No.2, pp. 113-115. 24 No.3.
3. Cao, W., Fang, Z., Hou, G., Han, M., Xu, X., Dong, J., & Zheng, 18. Strielkowski, W. (2020),” COVID-19 pandemic and the digital
J. (2020),” The psychological impact of the COVID-19 epidemic revolution in academia and higher education”, Preprints,
on college students in China”, Psychiatry research, Vol 287, 2020040290.
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19. Thongsri, N., Shen, L., & Bao, Y. (2019),” Investigating factors
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WEBSITES
1. IAU. (2020). Covid-19: Higher Education challenges and
responses. Retrieved July 06, 2020, from https://www.iau-
aiu.net/Covid-19-Higher-Education-challenges-and-responses.
2. Littlefield, J. (2018). The difference between synchronous and

asynchronous distance learning.
3. https://www.thoughtco.com/synchronous-distance-learning-
asynchronousdistance-learning-1097959
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A STUDY OF INFORMATION TECHNOLOGY INFRASTRUCTURE IN
CO-OPERATIVE, NATIONALIZED AND PRIVATE BANKS
*
Rupal Choudhary **P. N. Razdan
*
Dr. D. Y. Patil Institute of Management & Research, Pune, Maharashtra, India.
**
Principal Advisor, Quality Assurance & Excellence Cell, GEF , Bengaluru, India
ABSTRACT
There are various facets of IT in banking Industry. IT helps banking industry to take global
opportunities. Banks are providing numerous IT based products and services 24/7/365 for customer
convenience. They are prone to different disruptions due to high dependency on Information technology
infrastructure. To provide continuous services banks need to prepare Business Continuity Planning
(BCP) for information technology environments. This study focuses on the need, awareness and
preparedness of the Business continuity in the Scheduled Urban Cooperative, Nationalised and Private
Sector Banks located in Pune city. For this study 230 branches of three types of banks were selected. The
findings of the study concludes that there is a need of Business Continuity planning (BCP) for IT based
services and branches of selected are well aware and prepared for the same.
Keywords: Information Technology, Business Continuity Plan, Testing, Auditing, Training.
INTRODUCTION should be registered under Multi State Co-operative
Societies Act, 2002. These banks are further structured into
Bank is a financial institution, which provides services like
Urban Co-operative Banks and Rural Co-operative Credit
safe deposits, advances and other allied services to
Institutions. There are 54 Scheduled Urban Co-operative
customers. The Indian banking system is the base of the
Banks in India.
Indian economy. It also aids in the economic development
of the country. Interestingly, Indian banks have a long Business Continuity Planning (BCP), Vulnerability
history starting from the late 18th century. Assessment and Penetration Tests (VAPT) and
Information Security (June 26, 2013)1
For successful banking operations, Information and
Communication Technology support is very important. In In this circular, RBI has emphasized on Information
today’s era, technology is a key differentiator in the security, continuity and robustness of the banking IT
performance of banks. For the smooth operation of a systems. It has suggested the periodic testing and updates
financial industry, IT systems have become an important of BCP, vulnerability assessment, and penetration testing.
and integrated component of it. Due to the increased contribution of 24x7 electronic
channels formulation of consolidated BCP document
Public Sector Banks (PSBs) are banks where the
should cover critical aspects like people, process, and
Government has major stake. The shares of these banks are
technology. Periodically conducting the VAPT is important
listed on stock exchanges. In 1969, all the major banks
for the banks to prevent cyber-attacks that could threaten
were nationalised. There are a 27 PSBs in India. PSBs are
the integrity, confidentiality and availability of the system
arranged in two parts; Nationalised banks (19), State Bank
and data.
of India and its associates (6) and IDBI Bank Limited.
Business Continuity Plan awareness and implementation
Private sector banks are banks in which equity is held by
for Information Technology based services is critical for
private shareholders and not by the government. In 1990s,
banks as a whole and also for branches because bank
the Government started liberalisation in banking policy
branches are the main retailers for the bank product and
because of which old and new private sector banks have
services.
emerged. There are 40 Private Sector Banks; 21 Private
Banks, 3 Local Areas Banks (LABs), 10 Small Finance However, very few studies have been conducted in
Banks (SFBs) and 6 Payment Banks (PBs). Business Continuity for information technology in Indian
banks and its branches.
Co-operative Banks are those banks that are registered
under the provision of State Co-operative Societies Act of
the state where the bank is located. If the areas of operation
of such Co-operative Bank spans multiple states, they
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LITERATURE REVIEW from many other risks and therefore needs to be revisited
2 very often.
Cyber Security Framework in Banks (June 2, 2016)
Business continuity and cyber security: two sides of the
The frequency, impact of cyber incidents and the number
same coin (2015)5
increased considerably with the increasing use of
technology. Therefore the need was felt to ensure that the The author has mentioned in the article that highest use of
banks are prepared continuously with adequate cyber- communication technology through network magnifies the
security and to put in place a robust cyber security impact of every outage or event in the world. The costs
framework. This circular mandated the banks to put in associated with cyber-attacks and data breaches are rising.
place a policy of cyber-security detailing the strategy Business disruptions can occur due to the data breaches and
containing an appropriate approach to combat cyber threats. cyber-attacks. There can be catastrophic impact of
This policy should be duly approved by their Board unplanned downtime or lost data which may result in lost
considering the level of complexity of business and reputation, competitive position and revenue in the market.
acceptable levels of risk. Guidelines for preparing such The author defined that Business Continuity is an essential
policy were presented in this circular. element in the fight against cybercrime. Security and
Business Continuity work together to help minimize the
RBI Circular on Internet Banking Facility for
costs and impact of data breaches. Security is required by
Customers of Co-operative Banks (2015-16)3
the organisations to protect, prevent, detect and for crisis
This circular is for Urban Co-operative Banks which has management and emergency response. To help in these,
implemented the Core Banking Solution (CBS) and Business Continuity is critical for dealing with the impact,
migrated to Internet Protocol Version 6 (IPv6). The and recovery part. Finally in the article, the author
schedule for data backup and proper infrastructure is concludes that Security and Business Continuity work
suggested by RBI to banks. There should be periodical together to mitigate the impact and cost of data breaches.
testing of backups to ensure full recovery without any loss Resiliency of the organisation is needed both literally and
as spelt out by the bank’s security policy. Disaster figuratively. This will make sure that resiliency for IT
Recovery sites should be present to ensure Business operations, client processes and continuous availability is
Continuity and should also be tested periodically. provided.
Basic Cyber Security Framework for Primary Urban OBJECTIVES
Co-operative Banks (UCBs) (19th Oct 2018)4
 To study the need and level of awareness of
In this document RBI has mentioned that, use of Business Continuity Plan for Information
Information Technology by banks has grown rapidly. The Technology in Scheduled Urban Co-operative
need to put a robust cyber security framework in place is an Banks, Nationalized, and Private Sector Bank
urgent need to ensure adequate security of assets on branches in Pune city and its neighboring areas.
continuous basis. The current defences in addressing the  To study the Preparedness of Business Continuity in
cyber risks also need to be improved. The traditional BSP/ selected bank branches.
DR may not be sufficient because the cyber risk is different
Primary and Secondary data is used for the study. Frequency Figure 1: Distribution of Respondents by Bank Type
analysis is presented in which the results obtained from the
information gathered from branch managers is presented.
Researcher used SPSS as a statistical tool for data
analysis.Table 1: Distribution of Respondents by Bank Type
41% 25%
Bank Type Frequency Percent
Scheduled Urban Co- 34%

58 25.2
operative
Nationalized 77 33.5
Private 95 41.3
Total 230 100.0 Scheduled Cooperative Nationalised Private
Figure 1 is presented to explain the distribution of Twenty five percent of the respondents are from Scheduled
respondents by their bank type. It is observed that highest Urban Co-operative Banks.
proportion of the respondents are from Private Banks (41 To reflect the awareness level of business continuity
percent) followed by Nationalised Banks (34 percent). planning for Information Technology services The
indicators are; importance of the role of IT in banking
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operations, existence of BCP at branch level, Branch wide and opinion on whether there should be designated BCP
BCP in place, having enough budget provision for BCP, committee or designated officer/ employee at every branch.
Table 2: BCP Awareness

Frequency Percent
Information technology plays an important role in banking operations
Yes 219 95.2
Bank has a Business Continuity Plan in place
Yes 208 90.4
Branch wide Business Continuity Plan in place
Yes 182 79.1
Have enough budget provision for Business Continuity
Yes 199 86.5
Opinion on there should be designated BCP committee or designated officer/ employee at every branch
Yes 177 77.0
Total 230 100.0
Figure 2: Respondents Responses to Assess their Awareness of BCP
100 95.2 90.4 86.5

90 79.1 77
80
70
60
50
40
30
20
10
0
Information Bank has a Branch wide Have enough Opinion on there
technology plays Business Business budget provision should be
an important role Continuity Plan Continuity Plan for Business designated BCP
in banking in place in place Continuity committee or
operations designated
officer/ employee
at every branch
From all the above observations, it can be concluded that implementation in the banks. During study it is observed
the level of awareness regarding the role of IT, BCP at that almost 93 percent banks have Disaster Recovery site
branch level, Budget and other related information ranges for their IT based services. Hence it can be said that at the
between 77 to 95 percent. This clearly shows that more banks are well prepared as far as the planning and policies
than 3/4th of the respondents from the banks included in the are concerned. The only area of concern is the branches
study are well aware of the BCP indicators. which are lagging behind in having BCP in place.
Disaster Recovery Site (DR) for Information Technology is

also very important indicator of having BCP
PREPAREDNESS OF THE BANKS REGARDING TRAINING AT BRANCH LEVEL
able 3: BCP Preparedness of Training at Branch level Figure 3: Preparedness of the Banks regarding Training at
Branch level
How frequently are you attending the training &
awareness programmes
Frequency Percent
Not attended yet 10 4.3
Yearly 68 29.6
Half Yearly 35 15.2
Quarterly 68 29.6
Monthly 49 21.3
Total 230 100.0
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Under the Training parameter, the frequency of attending the proportion of respondents attending it quarterly is 29
training and awareness programs is asked to the percent. Hence it can be said that almost 50 percent of the
respondents. From the table 3 and figure 3, it is observed respondents are attending the BCP training quite
that in 21 percent of the banks the respondents are frequently.
attending the BCP training programs on monthly basis and
PREPAREDNESS OF THE BANKS REGARDING INFRASTRUCTURE AT BRANCH LEVEL
Table 4: Preparedness of Infrastructure at Branch level
Frequency Percent
Availability of In-house telecommunications systems & wireless transmitters on buildings with backup power
Not Ensured 39 17.0
Partially Ensured 29 12.6
Fully Ensured 162 70.4
Availability of network (Bandwidth & Speed)
Sufficiency of basic infrastructure (Electrical Installations, networking, Back-up supply, Workstations, Peripherals etc.)
Fire proofing & water proofing of areas for critical documents storage
Total 230 100.0
Fire preventions alarms, fire extinguishers
Not Ensured 2 .9
Alternative means of power source for extended periods of power cuts
Not Ensured 25 10.9
Total 230 100.0
Figure 4: Preparedness of the Banks regarding Infrastructure at Branch level

120.0
100.0
80.0
60.0
40.0
20.0
0.0
In-house Electrical Fire proofing
Alternative
telecommunic Installations, & water
Fire means of
ations systems Network networking, proofing of
preventions power source
& wireless (Bandwidth & Back-up areas for
alarms, fire for extended
transmitters Speed) supply, critical
extinguishers periods of
on buildings Workstations, documents
power cuts
with… Peripherals… storage
Fully Ensured 70.4 82.2 78.7 87.4 85.7 58.3
Partially Ensured 12.6 17.8 21.3 12.6 13.5 30.9
Not Ensured 17.0 0 0 0 0.9 10.9
Looking at the table 4 and figure 4Figure , availability of observations that infrastructure- wise also the banks are
various infrastructure systems in the selected banks can be well prepared for BCP.
assessed. It can be inferred from the above tables and
PREPAREDNESS OF THE BANKS REGARDING BCP TESTING AND MAINTENANCE AT BRANCH LEVEL
Table Error! No text of specified style in document.: Preparedness of Testing and Maintenance
Frequency Percent
Bank plans drill tests to evaluate the preparedness of Business Continuity Plan
No 30 13.0
Yes 200 87.0
Bank has a Maintenance policy in place
No 80 34.7
Yes 150 65.3
Total 230 100.0
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Figure Error! No text of specified style in document.: Preparedness for BCP Testing and Maintenance
100 87
65.3
50 34.7
13
0
Bank plans drill tests to evaluate the Bank has a Maintenance policy in place
preparedness of Business Continuity Plan
No Yes
In case of BCP testing and maintenance in 87 percent of the percent of the banks have maintenance policy in place as it
banks drill test is conducted however, only around 65 is evident from table 5 and figure 5.
PREPAREDNESS OF THE BANKS REGARDING BCP AUDIT AT BRANCH LEVEL

Table 6: Preparedness of BCP Audit
Branch conducts regular BCP/ IT Audits
Frequency Percent
No 130 56.5
Yes 100 43.5
Total 230 100.0
Bank plans and conducts Fire System Audit
Frequency Percent
No 96 42.7
Yes 134 58.3
Total 230 100.0
Figure 6: Preparedness of BCP Audit
80
56.5 58.3
60 43.5 42.7
40
20
0
Branch conducts regular BCP/ IT Audits Bank plans and conducts Fire System
Audit
No Yes
report to Assistant General Manager(AGM) of the BCP

From the table 6 and figure 6, it can be observed that the
committee.
proportion of banks conducting fire system audit is high,
however it can also be observed from the same analysis that CONCLUSIONS
only 43 percent of the banks conduct BCP audit regularly.
Business Continuity approach has three fundamental
From the above observations it can be inferred that the aspects; Technology, People and Process. BCP recognizes
banks are well prepared for BCP implementation in their that some services or products must be continuously
branches. delivered to the customers without interruption.
Comprehensive Business Continuity plan is require by
SUGGESTIONS AND RECOMMENDATIONS
banks to reduce the impact of significant business
An effective training on Information Security and cyber- disruption (i.e. loss of personnel, processes, facilities, and
attacks to prepare all employees to act responsibly in such Information Technology Infrastructure).
events and run BCP effectively at the branch level.
Business Continuity plan is precondition to minimize the
Significant increase in BCP audit and testing exercises at
adverse effects of business disruptions and system failures.
branch level and reviewing information technology
The current study deals with the need, awareness and
readiness. Appoint or give additional charge of BCP-
preparedness of BCP for Information Technology aspect of
branch head to the branch manager and Co-ordinator to
Banks and its branches.
assistant Manager for such events and that they should
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The study found that the level of BCP awareness across all
types of the banks was same. The study also inferred that
the BCP practices across all types of banks are not
uniformly followed in case of BCP training, testing and
audit.
SCOPE FOR FURTHER STUDIES
Similar study can be carried out for Foreign, Public sector
and Non-scheduled Co-operative Indian banks. The study
only focused on Information Technology aspect of BCP,
further study can consider People and Process as well.
Further study can consider international standards and
frameworks for BCP implementation in banks.
REFERENCES
1. Business Continuity Planning (BCP), Vulnerability Assessment
and Penetration Tests (VAPT) and Information Security. (Rep.
No. 2636/09.63.025/2012-13). (2013, June 26). Retrieved from
https://rbi.org.in/Scripts/NotificationUser.aspx?Id=8061&Mode=
0
2. Cyber Security Framework in Banks (Rep. No.
DBS.CO/CSITE/BC.11/33.01.001/2015-16). (2016, June 02).
Retrieved from
https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NT41893F697B
C1D57443BB76AFC7AB56272EB.PDF
3. Internet Banking Facility for Customers of Cooperative Banks
(Rep. No. 6 /19.51.026/2015-16). (2015, November 05).
Retrieved August 15, 2018, from
https://www.rbi.org.in/scripts/BS_CircularIndexDisplay.aspx?Id=
10111
4. Basic Cyber Security Framework for Primary (Urban)
Cooperative Banks (UCBs) (Rep. No. 1/18.01.000/2018-19).
(2018, October 19). Retrieved November 15, 2018, from
https://www.rbi.org.in/SCRIPTs/NotificationUser.aspx?Id=11397
&Mode=0
5. Poore, P. (2015). Business continuity and cyber security: two
sides of the same coin. Retrieved August 10, 2018 from
http://www.mynewsdesk.com
6. Choudhary, Rupal J, Study of business continuity planning in
banks with respect to information technology environment, Dr. D
Y Patil Vidyapeeth, Pune, 2019,
http://hdl.handle.net/10603/250845
7. https://www.rbi.org.in/commonman/English/Scripts/BanksInIndia
.aspx, 2019
8. Rupal J. Choudhary, Business Continuity Planning for
Information Technology: Need and Awareness at Bank Branches,
International Journal of Research and Analytical Reviews
(IJRAR), Volume:5, Issue 4, UGC & ISSN Approved E-
ISSN:2348-1269
P-ISSN:2349-5138
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AN EMPIRICAL INVESTIGATION ON THE UNDERPRICING OF INITIAL
PUBLIC OFFERINGS – EVIDENCE FROM INDIAN CAPITAL MARKETS
*
Srilakshmi D **Archana HN
*
Research Scholar Dept of Studies in Business Administration Vijayanagar Sri Krishnadevaraya
University Ballari, Karnataka, India
**
Associate Professor Dept of Studies in Business Administration Vijayanagar Sri Krishnadevaraya
University Ballari, Karnataka India
ABSTRACT
This paper demonstrates the presence of underpricing in both Book Built and Fixed Price Initial Public
Offerings (IPO) and also to examine the influence of factors on the listing performance of IPOs. This
study is conducted for a period of five years starting from 1st January 2015 to 31st December 2019 with
a sample of 347 IPOs. The existence of underpricing is determined by comparing the raw return (RR) of
IPOs with the Market adjusted excess return (MAER). Regression analysis is used to analyze the factors
influencing towards the listing performance of IPOs. The work confirms the presence of IPO
underpricing during the study. It is also evident from the work that the underpricing of Book built IPOs
is substantially greater than the Fixed price IPOs. It also shows that Offer price and Index return
contribute significantly in influencing the listing performance of IPOs.
Key Words: Initial Public Offering, Underpricing, Book Built, Fixed Price, Market Adjusted Returns
and Raw Returns.
INTRODUCTION Shah (1995) analyzed 2056 IPOs and witnessed the
underpricing of IPO in Indian capital market during 1991 to
The growth of any economy depends on the vibrant and
1995. Similarly, Kakati (1999) examined 500 IPOs which
strong financial system. Financial system is an integral part
reported 36.6% underpricing of IPOs in the short run
of the economic system in contributing and accelerating the
during 1993-1996. Sudesh kumar sharma et al (2013)
growth of the economy. Financial system through its
evaluates the pricing and performance of 319 IPOs across
components transfers financial resources from savers to
different sectors during 1999-2011. The study witnessed
borrowers. They are all intricately intertwined in the fabrics
that the existence of underpricing in Indian context. On the
of financial system (Archana H N, 2018). Financial markets
similar lines, were the works of Sanjay Dhamija and
are classified as primary and secondary markets. It is in the
Ravinder kumar (2017) which explored the long run
primary market, an unlisted issuer offers specified number
performance of IPOs in Indian capital market. Iqbal Thonse
of shares to the public through prospectus and is popularly
Hawaldar et al.(2018) analysed 464 IPOs and highlighted
referred to as IPO. A company goes public for various
that the existence of underpricing and underperformance on
reasons (Manas Mayur and Manoj Kumar, 2013). On the
the listing day also made a point that the market sentiment
other hand, it also helps investors to invest their investible
is high. Sasmita Giri et al. (2018) analysed the underpricing
resources in the financial instruments of the capital market.
of IPOs in Indian capital market by considering 219 IPOs
However, an investor before investing would like to
during 2008 to 2017. This study documented that the
understand the method and pricing of an IPO. This paper
existence of underpricing in Indian capital market and also
attempts to examine and confirm the existence of
pointed out that the market is never efficient during the
Underpricing in Indian capital market by analyzing the
period of study. The study showed that the underpricing of
initial listing performance of IPOs and also examines the
IPO in the short run of Indian capital market is high.
influence of certain factors on the performance of IPOs.
A few other studies started to examine the performance of
IPOs on the day of listing, short and long run. Some of the
There are a sizeable number of studies showing the notable works in this direction are discussed below:
existence of underpricing and underperformance of IPOs
Seshadev Sahoo & Prabina Rajib (2010) analyzed the
both in the national and international context. Some of the
initial listing, short and long run performance of 92 IPOs
notable works in the international milieu are works of
and also analyzed the factors such as underpricing, offer
Emeli Alm et al., (2009), Lee p et al.(1996), Gongmeng
size, post issue promoter holding leverage ratio, ex-ante
Chen et al.(2000).
uncertainty, subscription rate age of the firm, price to book
Some of the works in the Indian context on underpricing value ratio to study their influence on the long run
are as below: performance of IPOs during the period from 2002-2006.
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The study revealed that an average of 46.55% IPOs are influence of factors on the listing performance of IPOs. In
underpriced on the listing day compared to market index. order to carry out the analysis, the study proposes to
Whereas, Sajal Das (2013) documented research with an
1. Examine the existence of underpricing of both book
objective of to examine the existence of underpricing on
built and fixed price IPOs in Indian capital markets.
listing day and also to measure the short and long run
performance of mega (issue size is more than 100 crores) 2. Analyze the listing day performance of both book
and minor issues (issue size is less than 100 crores) in built and fixed price IPOs
Boom and recession period by considering IPOs during the
3. Analyze the factors influencing the listing
period 2000-2009. Researcher concluded that out of 40
performance of IPOs.
IPOs around 92.5% of IPOs are underpriced. On the similar
lines was the work conducted by Ravichandran (2014). He THE NULL HYPOTHESES OF THE PAPER ARE:
has highlighted that out of 322 IPOs, around 68% of IPOs
are underpriced and are able to post positive returns and 1. H01 – There is no difference in underpricing levels of
remaining 38% of IPOs are overpriced. both book built and fixed price IPOs
A number of other researchers examined the influence of 2. H02: There is no significant relationship between the
factors on the underpricing of IPOs, some of the notable issue size and the listing performance of IPOs
works here are, the works of Neeta Jain & C Padmavathi 3. H03: There is no significant relationship between
(2012), Asim Kumar Mishra (2012), Madhuri Malhotra & varying offer prices and initial listing performance of
Manjusha Nair (2015) IPO.
PROBLEM STATEMENT, OBJECTIVES AND 4. H04: There is no significant relationship between the
HYPOTHESIS OF THE STUDY listing delay and the listing performance of IPOs
Literature shows a good number of studies related to the 5. H05: There is no significance relationship between
pricing and performance of IPOs across the globe. The the Index return and listing performance of IPOs
works of Lee p et al.,(1996), Gongmeng Chen et al..(2000)
witnessed the existence of underpricing. Underpricing DATA SAMPLE AND RESEARCH METHODOLOGY
results have been varying temporally and spatially. 1. Data Sources: Secondary data used for the study
Underpricing has shown varying results across different includes publications, journals, thesis, magazines,
nations and across different time periods. The researchers text books, website of Bombay stock exchange.
have also employed different methodology to prove the 2. Scope and Period of study: An initial sample of
existence of underpricing. Therefore, in this backdrop of 347 IPOs is considered during the period 1 st
varying results and to also confirm the presence of January 2015 to 31st December 2019.
underpricing of IPOs in Indian context, a humble attempt is 3. Sample Size : 347 IPOs are considered for the
made in this direction. This paper examines the existence of study
overall underpricing of IPOs by measuring the initial listing 4. Methodology
performance of both Book built and Fixed price IPOs
during the period 2015 to 2019 and also analyses the
(a) Calculation of Raw Return:

RR = (P1/ P0) – 1 …………………………………(1)
Where,
RR = Raw Return, P1 = Closing Price on the first day of trading
P0 = Offer price
(b) Calculation of Market Return:

MR = (Rm1/Rm0) -1………………………………….. (2)
Where,
MR = Market Return or Index Return
Rm1 = Closing value on the first day of market return (Sensex)
Rm0 = Closing value of the market index on the offer day
(c) Calculation of Market Adjusted Excess Return :

Market Adjusted Excess Return = Equ(1) - Equ(2)
(d) Correlation analysis: Correlation measures the relationship between two variables. The coefficient values
can range between -1 to +1.
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DATA ANALYSIS AND INTERPRETATION

I. Initial listing performance of IPOs
Table 1: Number of IPOs issued and Amount mobilized
Year No. of IPOs Percent (%) Amount (Cr) Percent (%)

2015 57 10.82 13585.01 3.66
2016 67 12.71 26859.29 7.24
2017 86 16.32 63912.54 17.23
2018 85 16.13 204404.89 55.10
2019 52 9.87 13157.59 3.55
Total 347 100 321919.32 100
Source: Compiled by authors from BSE Website
ANALYSIS witnessed maximum number of IPOs floating in the
market. Maximum amount was mobilized in the 2018
Table 1 highlights the number of IPOs issued and Amount
which is Rs.2,04,404 cr and least amount was mobilized in
mobilized. It is evident from the table that, 2017 and 2018
2019 which is Rs.13,157.59 cr.
Table 2: Year Wise listing performance of IPOs
RAW RETURN
Year Mean SD Min MAX PR NR ZR
2015 8.8** 16.31 -28 54 75.44 24.56 0
2016 8.09** 14.39 -21.58 58.68 79.1 19.4 1.49
2017 16** 37.01 -19 181.67 73.26 23.26 4
2018 4.41* 15.77 -28.75 65.13 62.35 34.12 3.53
2019 7.55* 21.16 -14.5 127.69 73.08 21.15 5.77
MAER
Year Mean SD Min MAX PR NR ZR
2015 8.77** 16.17 -26.3 51.69 70.18 29.82 0
2016 7.87** 14.53 -23.13 58.18 68.66 31.34 0
2017 15.24** 36.98 -20.93 180.68 61.63 37.21 1.16
2018 5.02** 15.29 -26.2 62.59 65.88 34.12 0
2019 7.74* 21.4 -16.09 127.41 61.54 38.46 0
* 5% level of significance **1% level of significance
ANALYSIS that the mean raw return and MAER values are significant
at 1% and 5% level of significance. The standard deviation
Table 2 portrays the listing performance of IPOs. It is
of raw return is approximately same as standard deviation
observed that the mean raw return of IPOs for 2015, 2016
of MAER.
and 2017 is slightly greater than the MAER. It is also found
Table 3: Overall listing performance of IPOs
Performance Measures RR MAER
Mean 9.18** 9.13**
SD 23.73 23.60
Min -28.75 -26.30
Max 181.67 180.68
PR 72.33 65.71
NR 25.07 34.29
ZR 2.59 0
Total 100 100
ANALYSIS analysis that IPOs are underpriced significantly at 1% level

of significance, bearing mean raw return of 9.18% and
Table 3 represents the overall initial listing performance of
mean market adjusted excess return of 9.13%. Therefore,
IPOs. The table shows that the mean raw return and
the results of our work are in line with the works of
MAER have positive values indicating underpricing of
Ravichandran (2014), Neeta Jain & C Padmavathi (2012),
IPOs. It is also pertinent to note that 72.33% of IPOs
Kampalli Sasi kumar (2015), Seema Verma and Satish
yielded positive return (underpriced), 25.07% IPOs have
kumar (2016), Seshadev Sahoo & Prabina Rajib (2010),
shown negative return (overpriced) and 2.59% IPOs are
Arwah Arjun Madan(2003).
fairly priced. Hence, it can be confirmed from the above
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II. Listing performance of IPOs Based on Method of Pricing
Table 4: Classification of IPOs through Method of Pricing
MOP No. of IPOs Percentage Amount (Cr) Percentage
BB 136 39.19 319816.67 99.35
FP 211 60.81 2102.65 0.65
Total 347 100 321919.32 100
ANALYSIS (99.35%). Whereas, 211 IPOs (60.81%) are fixed priced

with an amount of Rs. 2102.65 cr (0.65%). It is worthy to
Table 4 shows that out of 347 IPOs, 136 (39.19%) are book note that though the number of book built IPOs are less but
built and mobilized an amount of Rs. 319816.67 cr the sum mobilized is high compared to fixed price IPOs.
Table 5: Listing day performance of IPOs based on Method of Pricing

RAW RETURN
MOD Mean SD Min MAX PR NR ZR
BB 12.94** 25.57 -21.58 139.40 68.38 30.88 0.74
FP 6.76** 22.20 -28.75 181.67 74.88 21.33 3.79
MAER
MOD Mean SD Min MAX PR NR ZR
BB 13.08** 25.18 -23.13 138.57 66.91 33.09 0
FP 6.58** 22.21 -26.30 180.68 64.93 35.07 0
* 5% level of significance **1% level of significance
ANALYSIS significance. The underpricing is high in Book build
method of pricing compared to fixed method of pricing for
Table 5 highlights the initial listing performance. The
the study period. Thus, we reject Ho1 and accept Ha1
number of book built IPO are less in number and greater in
amount mobilized compared to Fixed price IPOs. The mean III. Factors influencing the performance of IPOs
RR of Book built IPO is slightly less than the mean MAER
Regression analysis is used to analyze the influence of
of Book built IPO. Whereas, in case of fixed price IPO the
factors such as Issue size, offer price, listing delay and
mean return is slightly greater than the Mean MAER. It is
Index return on the listing performance of IPOs in Indian
observed from the table that, the mean RR of Book built
Capital Markets. The results of regression analysis are
IPO is (12.94%) is greater than Raw return of Fixed price
presented below.
IPO is 6.76% and significant at 1% and 5% level of
Table 6: Factors influencing the listing performance of IPOs
Regression Statistics
Multiple R 0.155256346
R Square 0.024104533
Adjusted R Square 0.012690551
Standard Error 23.58219367
Observations 347
ANOVA
df SS MS F Significance F
Regression 4 4697.750287 1174.437572 2.111842535 0.078958
Residual 342 190192.9916 556.1198585
Total 346 194890.7419
Coefficients Standard Error t Stat P-value Lower 95% Upper 95%
Intercept 9.844803078 5.328040176 1.847734393 0.065504111 -0.63505 20.32466
Issue Size (Cr) -9.7374E-05 0.00013856 -0.7027513 0.482688813 -0.00037 0.000175
Offer Price 0.009091012 0.004538541 2.003069479 0.045958573 0.000164 0.018018
Listing Delay -0.23419134 0.509530709 -0.45962164 0.646079853 -1.2364 0.768017
Index Return 1.074820188 0.527502721 2.037563307 0.04236294 0.037262 2.112378
ANALYSIS
listing performance of IPOs but the values are insignificant.
Table 6 clearly indicates that the Offer price and Index Thus, we accept the 2nd and 4th null hypothesis. We
return are positively influencing the listing performance of conclude that the offer price and index returns influence the
IPOs and also the values are significant at 5% level of performance of IPOs on the listing day.
significance. Thus, we reject the 3rd and 5th null hypotheses
CONCLUSION
and accept the alternate hypothesis. Whereas, the issue size
and listing delay have shown positive impact towards the This paper confirms the existence of underpricing in both
Book built and Fixed price IPOs during the period 2015 to
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2019. A sample of 347 IPOs were considered for the study. 17. Ravichandran, V. (2014). Listing day and after market
performance of IPOs in India. Published thesis, PG and Research
It is evident from the study that the underpricing is
Department of Commerce, Chennai.
predominant in the Indian Capital Market with mean raw
return of 9.18 % and mean market adjusted excess return of 18. Sajal Das. (2013).Analysing the trend of market prices of IPOs: A
study based on some selected Indian companies, Published thesis,
9.13%. It is also observed from the analysis that the The University of Burdwan, Golapbag, Burdwan.
existence of underpricing in Book built IPO is greater than
the Fixed price IPOs. The Offer price and Index returns are 19. Sanjay Dhamija & Ravinder kumar (2017), Determinants of
Long-run Performance of Initial Public Offerings: Evidence from
significant in influencing the listing performance of IPOs in India, Vision, 21(1), 35 – 45.
Indian Capital markets.
20. Seema Verma, & Satish Kumar. (2016). The Scenario of Initial
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Advances in Economics and Business Management, 3(9), 922-
1. Archana, H, N and Srilakshmi D (2019). An Empirical Study on 926.
Initial Listing Performance of IPOs in India, Indian Journal of
Research in Capital Markets, Vol 6, No.3, 23-36. 21. Seshadev Sahoo & Prabina Rajib. (2010).After Market Pricing
Performance of Initial Public Offerings (IPOs) : Indian IPO
2. Arwah Arjun Madan. (2003). Investments In IPOs in The Indian market 2002-2006.Vikalpa, 35(4), 27-43.
Capital Market, Bimaquest, Vol 3, No. 1, 24-34.
22. Sasmita Giri, Bitihatra das, Sourav Kumar Hui, and Kamini
3. Asim Kumar Mishra. (2012). Underpricing of initial public Kaushal.(2018). IPO Underpricing in India. Pacific Business
offerings in India. Investment Management and Financial Review International, 11(1),51-59.
Innovations, Volume 9, Issue 2, 2012.
23. Shah, A. (1995). The Indian IPO Market: Empirical Facts,
4. Bedanta Bora, Anindita Adhikary & Ajeya Jha (2012) , Book Technical Report. Mumbai: Centre For Monitoring Indian
Building Process: A Mechanism for Efficient Pricing in India. Economy.
International Journal of Trade, Economics and Finance, 3(2). 109-
113. 24. Sudesh Kumar sharma, Sanjiv Mittal & Gupta, N, K. (2013).
Post-issue Performance of IPOs in India. International Journal of
5. Emelie Alm, Elin Berglund, & Andreas Falk. (2009). Initial Financial Management, 3(1), 19-30.
Public Offerings - An investigation of IPO’s on the Swedish
market. Jonkoping International Business School, Jonkoping
University.
6. Garima Baluja. (2013). Comparative Analysis of Listing Price
Performance Between Different Graded IPOs in India. Pacific
Business Review International, 6(5), 1-7.
7. Gongmeng Chen, Michael Firth & Jeong-Bon Kim. (2000). The
Post-Issue Market Performance of Initial Public Offerings in
China's New Stock Markets. Review of Quantitative Finance and
Accounting, 319-339.
8. Iqbal Thonse Hawaldar, Naveen Kumar, K.R., &
Mallikarjunappa, T.(2018). Pricing and performance of IPOs:
Evidence from Indian stock market. Cogent Economics &
Finance, 6: 1420350.
9. Kakati, M. (1999). Price Performance of Initial Public Offerings.
International Journal of Development Banking, 17(2),59-75.
10. Kumar, S, S, S. (2007). Short and Long Run Performance of Book
Built IPOs in India. International Journal of Management
Practices & Contemporary Thoughts,2(2), 20-29.
11. Lee, P., Taylor, S., & T. Walter (1996), Australian IPO
underpricing in the short and long run, Journal of Banking and
Finance, 20(4), 1189-1210.
12. Madhusoodanan & Thiripalraju. (1997). Underpricing in Initial
Public Offerings : The Indian Evidence. Vikalpa, 22(4), 17-30.
13. Madhuri,Malhotra, & Manjusha, Nair. (2015).Initial Public
Offerings Underpricing: A Study on the Short Run Price
Performance of Book built IPOs In India. Paripex - Indian Journal
of Research,Volume, 4(2).
14. Manas Mayur & Manoj Kumar. (2013). Determinants of Going-
Public Decision in an Emerging Market : Evidence from India.
Vikalpa, 38(1), 17-38.
15. Neeta Jain, & C,Padmavathi. (2012).Underpricing of Initial
Public offerings in Indian Capital market. Vikalpa ,37(1), 67-79.
16. Nibu Raj Abraham. (2015). Underpricing in the Malaysian
Market during 2009-2014. Journal of Applied Management and
Investments, 4(4), 194-200.
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CONSUMER PERCEPTION TOWARDS E-PHARMACY IN GUJARAT
*
Khyati Lakhani **Nadiminti Rajesh Kumar
*
Student-Department of Pharmaceutical Management, NIPER Ahmedabad
**
Assistant Professor, NIPER Ahmedabad
ABSTRACT
This study aims to explore the buying behavior of out-patients, perception towards E-prescription, the
impact of on-time delivery, and consultancy service provided on sales share among a representative
sample of Gujarat. A single cross-sectional exploratory study was designed. A semi-structured close-
ended survey questionnaire was distributed among outpatients from January-2021 to February-2021.
Spearman’s rank correlation and chi test were used as an analytical tool with Excel and SPSS 22 for
data analysis. Respondents have accepted retail pharmacy stores over online stores for buying
medication. Furthermore, demographic factors were evaluated to understand the impact of education
and qualification on purchase, and tableau was used to illustrate the same. In conclusion, youth is more
inclined and enthusiastic to use an online pharmacy in the future. Factors such as legal authenticity,
on-time delivery, improved user-friendliness of E-prescription and consultancy services will help E-
pharmacies to generate greater revenue.
KEY WORDS: E-pharmacy, sales revenue, online medicine purchase, E-prescription, on-time delivery.
INTRODUCTION intelligence global online pharmaceutical market is
estimated as 131 billion USD till 2025 which is a huge
In the last twenty years, the web has evolved into an
market.[11]On the other hand, the Indian e-pharmacy
excellent option to buy commodities and services.
market is poised to touch 2.7 billion USD by 2023.[12] Due
Purchasing medicines online are no special case. online
to perceived benefits like quality medicines at
stores are more time-saving, convenient, and cost-effective
approximately 40% cheaper cost, more convenient
as compared to conventional stores.[1] Approximately
purchase as alternative brands are available on portal, wider
32500 pharmacies are active online and the number is
verity, not limited by traditional pharmacy supplies,
rising day by day.[2] Hence it contributes only 3% in total
consumers are attracted towards this electronic
sales of the Indian pharmaceutical industry.[3]
alternative.[13] During the covid-19 pandemic situation,
Our lives, connectivity, and procurement process have all this alternative was acted as a boon for people as medicines
been transformed by the internet.[1] Consumers, on the were delivered at their doorstep.[14] E-pharmacy can be
other hand, use the internet not only to access health advice seen as an emerging alternative to a conventional drug store
and medical information but also to check symptoms for in this Morden era.[15]
self-diagnosis and obtain a variety of health resources and
On the contrary, as far as sales share is concern it
goods including medication.[1], [4] According to the
contributes only 3%.[3] Risk of getting fortified or
General Pharmaceutical Council, Internet pharmacy is "An
substandard medicine misused drugs for abuse, the wrong
authorized drugstore that gives liberty to trade meds (or
diagnosis based on simple questionnaire base on symptoms,
other pharmaceutical items) and/or provides other
fail in providing promised services are some of the
professional services online, or makes an appropriate
reasons.[15], [16] In the success of any business consumer
channel for the selling or distribution of meds over the
perception is a very important aspect. A plethora of studies
internet".[5] As per Fung et al.’s early definition an online
regarding consumer perception, knowledge, and awareness
pharmacy, virtual pharmacy, or internet pharmacy is a legal
regarding E-pharmacy have been conducted in a different
or illegal internet-based vendor that sells drugs. It can be
region of the world including India.[17]–[22] Some study
1.a self-sufficient, 2. an online branch of retail pharmacy,
found that there is good awareness regarding perceived
or 3.a site that represents a pharmacy collaboration between
benefits but people were not enthusiastic to buy medicine
retail and e-pharmacies. In a nutshell, an E- pharmacy is a
online because there is a lack of clear regulation legal
website that offers to trade, deliver and/or dispense
authenticity is a major concern in consumer’s view, this
medicine to customers online.[6]– [8]
perception is further explored to study the buying behavior
The rapid proliferation of digital healthcare is governed by consumer with a different set of samples.[1], [2],[19] [24]
the transition from direct doctor-patient relation to the self-
diagnosing population and easy distance sales have aided
the growth of the online pharmacy industry.[9], [10] In a There are two different ways of purchasing healthcare
forecast report published by Arizton advisory and needs online in both acute and chronic conditions. One is
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with prescription another is without prescription. In the practice. Again, in this case, buying power remains in the
second case, most of the virtual sites are providing facilities consumer's hand but a choice of drug is depending on the
such as a basic questionnaire, after filling that consumer doctor’s diagnosis. This service is also preferred and
can order drugs based on responses given and symptoms recommended by doctors and pharmacists because it
predicted. So, the buying decision is based on self- minimizes error and also build trust among online
diagnosis which can be a wrong prediction. Many of them customers. Perception regarding this service is explored.
provide E-prescription service which is more ethical
PMO
(Purchase medicine
online)
With Without
prescription precription
Getting
Physical prescription
examination by Associated risk for
online by free consumer.(getting
doctor and consultation of substandard or
getting doctor. cortifeid medicine.)
prescription.
(E-prescription) [13]
Supply chain management is an art as far as the pharma 1. To study the buying behavior of the consumer.
sector is concerned. Some threats in terms of e-pharmacy
2. To check the perception towards E-prescription.
are poor inventory management and poor service quality
including frequent delay in delivering medicine at the 3. To study the impact of on-time delivery on sales.
doorstep. On-time delivery contributes to buying decisions
4. To study the impact of service provided by
of consumers which directly contributes to the sales
revenue. This factor is again explored.[26][27] Electronic pharmacy on sales.
AIM / OBJECTIVE METHODOLOGY

A single cross-sectional explorative study with semi-
This study aims to understand consumer’s perception of
structured closed ended questionnaire in English language
people in Gujarat towards E-pharmacy which is an
was developed, and distributed, inspired by previous
important factor and contributes to online pharmacies’
researches.[1], [24] In this current paper, a 5-point Likert
revenue. The major focus of the study is on the following
objective. scale with multiple choice is followed to frame questions.
(Table1.)
No. Categories Related information
1 Type of data Preliminary data/ primary data
2 Sample Population. Outpatients
3 The technique used for Sampling convenience sampling method.
4 Size of Sample 356 [28]
5 Research aid Semi structured Questionnaire
6 Research type Exploratory and Descriptive Research.
7 Tool for Data collection Electronic distribution of survey questionnaire
8 Test used from inferential statistics Chi test, spearmen’s rank correlation.[29]
9 Survey Region Four districts of Gujarat (Ahmedabad, Rajkot, Kachchh, Gandhinagar)
10. Data analysis software SPSS 22., Excel
11. Data visualization tableau
12 Time duration January 2021- February 2021
13. Respondent Eligibility criteria Age (>18- <55), Outpatient.
14. Questionnaire design Part 1: Demographic, Part 2: Questions to study buying behaviour and perception towards E-
prescription Part 3: Question to study impact of delivery time and service provided on sales
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RESULT represents outpatient instead general population. In the
sample, it was found that student (198/356, 55.5%) which
In the current study, respondents 356 were selected by
are graduated if the medical or paramedical field (116/356,
randomly by convenient sampling method. In the response,
32.5%) was well aware of the services and various facilities
distribution of female is(147/356, 41.3%) and male is
provided by the E-pharmacy. Graph 1 denotes age-wise
(209/356, 59.7%). There were major respondents were
occupation and qualification groups of respondents. From
from the young age group (18-25, 220/356, 61.6%).
Graph 1 it can be seen that the major portion is from the
Respondents were asked about the history of doctors’
young age group who were students graduated in medical
consultation for any acute or chronic condition; thus, it
or paramedical fields
(Graph 1.)
Graph 2
Respondents have chosen retail pharmacy as a more regulation, and quality of medicine received. spearman’s
convenient way over E-pharmacy. Most of them prefer to rank correlation was used to justify the hypothesis. With
visit the offline store personally to procure medicine (75%). 99% of confidence, we can reject the null hypothesis.
This finding is shown in graph 2 region-wise respondent’s Above mention, two factors were positively correlated. [r
preference. (354) = 0.141, P-value = .008, (p < .01)].
To study the buying behavior of consumers, the
authenticity of an online site with regards to legal
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(Table 2.)
Chi-Square Tests
Value df Asymp. Sig. (2-sided)
Pearson Chi-Square 17.973a 8 .021
N of Valid Cases 356
a -0 cells (.0%) have expected count less than 5. The minimum expected count is 5.66.
Spearman’s Correlations
What do you What do you think about
think regarding the quality of medicine
the authenticity received online?
of online sites for
buying medicine?
Spearman's rho What do you think regarding Correlation 1.000 .141**
the authenticity of online sites Coefficient
for buying medicine?
Sig. (2-tailed) . .008
N 356 356
**
What do you think about the Correlation .141 1.000
quality of medicine received Coefficient
online?
Sig. (2-tailed) .008 .
N 356 356
**. Correlation is significant at the 0.01 level (2-tailed)
For any acute or chronic disease, medicines are essential frequency will decrease which ultimately affects the sales.
for cure. The correlation between monthly income and Herewith 95% confidence, we can reject the null
monthly expenditure of an individual treated as hypothesis according to sample response. [χ2 = (8, N =
independent and evaluated with spearmen’s rank 356) = 17.9, P = <.05] we can say there is an association
correlation. According to responses, the null hypothesis is between on-time delivery and sales. (Table 3)
accepted. And there is a negative correlation between
The knowledge was checked by asking respondents
monthly income and monthly expenditure of an individual
regarding their awareness about consultancy service
on medicine. (r (354) = -0.0102, P > .01)
provided by E-pharmacy. finding shown that there was a
To check perception towards E-prescription respondents good awareness among the consumer regarding this
were asked about whether their preference of using E- service. Apart from that, they were asked if this service is
prescription in absence of their family doctor was provided, will they use this alternative in future or not.
dependent on the user-friendliness of the service or not. There is a direct association between service provided and
The Chi test was used to justify the hypothesis. With 95% future preference regarding the use of e-pharmacy.
of confidence, we can reject the null hypothesis. [χ2 (8, With 95% confidence, we can reject the null hypothesis
N=356) = 86.9, P = < .05]. The finding shows that, there is according to sample responses. [ χ2 = (4, N = 356) =19.0, P
an association between user-friendliness of the e- < .05).
prescription service and preference among consumers to
DISCUSSION
take it in absence of their family doctor.
Results have shown that respondents are aware of this
To check the association between on-time delivery and
alternative. Legal regulation has a significant impact on the
sales respondents were asked whether they get annoyed if
purchase frequency of the respondent the reason could be it
any delay happens in the delivery and this delay affects
is directly correlated with the quality of medicine received.
their purchase frequency or not. The simple logic behind
Currently, E-pharmacies are regulated under the drug and
this was if a consumer gets irritated by late delivery in the
cosmetic act 1940, and a license is granted by CDSCO in
case of essentials such as medicines their purchase
India for the same. The government is looking forward to
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framing a clear separate regulation for electronic 6. “H.R. 6353, Ryan Haight Online Pharmacy Consumer
Protection Act of 2008”
pharmacies, The Consumer Protection (E-commerce) rules
https://www.govtrack.us/congress/bills/110/hr6353/text
2020 can be taken as an initiative for that.[30] Currently, in
India, only 1mg has all legal certificates.[31] 7. C. H. Fung, (2004) “Controversies and Legal Issues of
Prescribing and Dispensing Medications Using the Internet,”
Health is a priority nowadays. In any disease conditions MCP, vol. 79, no. 2, pp. 188–194,
chronic as well as acute, medicines are essential for 8. G. Orizio, (2011) “Quality of online pharmacies and websites
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do with how much a person is earning per month because 13, no. 3.
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study, this can be proved. In general, E-prescription can be review of the global public health, patient safety and
used to reduce prescription errors and preferred by doctors cybersecurity threats posed by illicit online pharmacies,”
British Medical Bulletin, vol. 118, no. 1., pp. 110–126.
and pharmacists in developed countries.[25] Due to the
increasing practice of self-medication in a busy schedule of 10. M. Gabay, (2015) “Regulation of Internet pharmacies: A
continuing challenge,” HP, vol. 50, no. 8. Facts and
a working individual e-pharmacy is a great source to Comparisons, pp. 681–682.
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this service is not much preferred by out-patients, user- 11. “Global Online Pharmacy Market Size, Share _ Growth and
Industry Analysis Report 2025.”
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of taking prescription online according to a current study. market-size-analysis
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17. George C. (2006) Online Healthcare: Internet Pharmacies
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http://briefindia.com/e-pharmacy-perception-of-consumers/
This study is limited to four districts of Gujarat further (accessed Dec. 17, 2020).
studies with a different sample can be conducted. E-
19. E. Darj, (2019) “Pharmacists’ perception of their challenges at
pharmacy is a broad term-limited aspect of this term is work, focusing on antimicrobial resistance: a qualitative study
included in this study, other factors such as attitude towards from Bangladesh,” GHA, vol. 12, no. sup1, p. 1735126.
discount received can be evaluated further.
20. F. Khurshid, (2015) “Perception and Knowledge to Online
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AN EMPIRICAL APPROACH ON THE EFFECTIVENESS OF THE

EMPLOYEE ENGAGEMENT UNDER THE PROFESSIONAL ISOLATION
SETUP
*
Shikha Singh **Seema Sant
*
Research Scholar, VESIM Mumbai, SNDT Women’s University Mumbai
**
Associate Dean - Human Resource Management at Vivekanand Education Society Institute
of Management Studies & Research (VESIM) Mumbai
ABSTRACT
Professional isolation has made employee and employer to face several challenges in performing
employee engagement activities. There has been little evidence on the decision making construct of
Professional isolation, which the employee deals with, during work from home .The driving force for
this study was to progress the understanding of selecting suitable and strategic valid measurements for
employee engagement according to the new norm of COVID-19.The Empirical study was conducted to
describe the relation of employee engagement with professional isolation .This study is conducted with a
quantitative research approach by a cross-sectional study on Indian employees. The validity, reliability
and hypothesis testing was conducted on 203 self-administered questionnaires.
Keywords: Employee engagement, Professional isolation, Remote work
1. INTRODUCTION performance, and increasingly, enhancing which is acting
as a primary priority for companies at present(Gustomo et
Covid-19 mandated and brought new official workstation
al., 2019).According to (Engagement Survey,2020) only 19
as our home. It has forced various sectors right from IT to
per cent leaders were daily engaged with their remote
Education to perform at their best and adapt to the dynamic
workforce. (Jim Harter, 2020) in the report measure the
scenario. Workforce is at the frontline and heart of the
historic dip in the employee engagement at organization in
humanitarian crisis. HR professional needs to recognize
U.S.A in 2020 was 36 per cent, which is also responsible
quickly how are the workforce changing in terms of social
for the increasing the employee turnover intention and
distancing and work from home will become a standard in
ultimately leaving the organization. Several recent studies
future (Mitra, 2020).It is essential for an organization to
(Chebet et al., 2019; Gupta & Shaheen, 2017; Khai Loon &
develop the strategy for better employee performance. To
Cean Peing, 2019; Miao et al., 2020; Tricahyadinata et al.,
develop such strategy organization look at evidence based
2020) have founded positive correlation between employee
study, so that they can reduce the cost incur in the failure of
engagement and employee turnover intention. Employee
the strategy. Employee engagement is an essential construct
engagement is a constructive, determined and enveloping
in framing the organization policy.(Schaufeli & Bakker,
job-related intellectual condition characterized by vigour,
2004) defined employee engagement or work engagement
enthusiasm and significance towards job and
as “an optimistic, satisfying job-related state of mind that is
organization(Schaufeli & Bakker, 2004). Employee
characterized by energy, commitment, and absorption. The
engagement has been related to organizational
objective of our empirical study is to describe the construct
performance, and increasingly, enhancing employee
of employee engagement during remote working under the
engagement has been a primary priority for companies at
professional isolation situation.
present(Gustomo et al., 2019).Meyer & Allen, 1991)model
Further we have considered following questions - of commitment , suggested that based on the exchange
principle employee tend to develop Affective Commitment
1) How employees keep a track on information and
toward the organisation, secondly continuance commitment
opportunities?
is anything that is associate in increasing the employee
2) Does the employee interact to build up social esteem and expense to leave the organisation, lastly Normative
belongings? commitment which develop employee reasons not to quit
the organisation through socialization process in the
3) Does employee share and discuss idea with their peers? organization.
4) How employees handle their lack of visibility? Under the new norm of remote work, it has become
2. LITERATURE REVIEW difficult for employer to engage their employee, employer
have started finding the solution to engage their employee
2.1Employee engagement to combat their potential employee loss. Many employees
Employee engagement has been related to organizational had experience remote working for the first time (figure1),
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which has created a challenge for the organizations to build operate at a disadvantage and instead are required to
engagement environment for their employee. Professional undertake work activities with limited information and
isolation refers to a sense of isolation from your feedback which in turn could impact performance.
professional peers (Professional isolation, 2020).
H3: In professional isolation during covid-19 employee
Professional isolation have made employee and the
faces lack of visibility.
employer, faced several difficulty to perform professional
functions. (van der Lippe & Lippényi, 2020) It is one of the 2.2.4 Share and discuss idea
issues which have arises during covid-19 crisis, which
In order to help prevent professional isolation employers
needs to be address by the human resource professional.
must adjust how they not only support but also value
2.2 Professional Isolation employees. Manager and employee interaction during
professional isolation plays a vital role in combating
We have built 4 Parameters to understand and describe
isolation. Manager should make sure that employee are not
engagement during professional isolation. The parameters
left out .Manager should build sense of support to
are a) Information and opportunity 2) social esteem and
employee. Employee when left alone, it is very easy to
belongings 3) lack of visibility 4) share and discuss idea.
become immersed in their work, which can worsen the
2.2.1 Information and Opportunity feeling of isolation ("Tips for teleworking during the
coronavirus", 2020), this could be understood with the
Oral transmission is vital to help people feel in the loop,
analysis of daily goal set for work.
share ideas and learn about business opportunities. To
combat the information and opportunity remoteness H4: Employee Share and discuss idea during covid-19
employee should take initiative to find about company work from home environment.
events and attend the one which is possible to attend.
3. METHOD
Employee should share and idea with peers. Building the
own small network and building same professional group The cross sectional study was conducted to examine the
of same interest. phenomenon for professional isolation during the April
2020 to August 2020. Design of study is descriptive
H1: Employee keep track on information and opportunities
approach which will describe the characteristic of the
during professional isolation.
construct framed in the study. The deductive reasoning
2.2.2 Social esteem and Belonging employee assumes a theoretical position that has been test against the
data. We have created hypothesis which will be tested
The social interactions among employees, in the office
against the cross sectional data collected in the study and
strengthened inter team relationship creating a happy,
hence will get more clarity of the variables to be used to
engaged and productive work culture. Workforce at the
find out professional isolation among the workforce.
centre can drive productivity by being connected and
engaged with a positive sense of comfort and purpose. But The survey targeted the employee who are working from
to support this remotely there must be a strong environment home during Covid-19. The study employed the
of trust between employee and employer. convenience sampling method. A total 369 questionnaire
were distributed via self-administered and e-mails, however
To combat social esteem and belonging employee should
only 203 were returned (response rate =55.01%), out of
applaud each other which can build trust and facilitate
which only 187 were valid.
communication flow beyond that celebration.
Remembrance can aid employee to improve social esteem 3.1 Survey design and pilot test procedure
and bring sense of belongingness. Employee should
The questionnaire consisted of five major sections. The
conduct happy hour /social hour where they can discuss
first part involved the questions on the responded profile
and share creative ways to minimise isolation, thus in this
such as name (which was optional) as is doesn’t affect our
study social esteem is considered as a significant factor that
study, age, gender, location, industry and sector. Next 4
is being effected by professional isolation.
sections were developed to assess the respondent level of
H2: Social esteem is affected by employee professional track of information and opportunities, employee lack of
isolation. visibility, build social esteem and belongings and share and
discussion of idea in context with the professional isolation.
2.2.3 Lack of visibility
To evaluated reliability and validity of the questionnaire a
Lack of visibility means employee can easily slip from top pilot test was conducted, responded were asked to provide
of mind status, especially important when promotion or suggestions and comments on the questions as well as
review is awaited. To combat lack of visibility during understanding on the wording of the questions asked in the
professional isolation employee need to build peer learning survey.
buddy system. Better performance of employee will make
3.2 Measurement of the constructs
employee sustain lack of visibility. As suggested by
Bandura’s social learning theory (Bandura, 1977) The five –points likerts scale (Page-Bucci, n.d.) was used in
employees who lack sufficient in-depth interactions, 9 of the 4 constructs of the study. SPSS -23 is use in the
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analysis where 0.05 is the level of significance. Tableau is age category as 29 to 39 (Figure1 and Figure 2).The total
use to visualise the spread of population. 203 sample distribution have been visualised in the (Figure
3: Map Generated from Tableau) which have been spread
4. ANALYSIS AND INTERPRETATION:
to the whole of the country of India. The data was collected
In this study we describe our sample as the workforce who from the education, government organisation, IT
have experienced work from home for the first time during organisation, BSFI.
Covid-19 which was 72.1 per cent, with 49.9 per cent of the
Figure 1: Work from home
Figure 2: Age of the employee
Figure 3: Sample distribution map
Jammu kashmir 1
Punjab 1
Haryana 5
Assam,India 1
West bengal 2
Madhya Pradesh 1
Rajasthan india
Gujarat 5
Maharashtra
2 Uttar Pradesh 7
124 Odisha 1
Andhra pradesh 1
karnataka
30
Tamilnadu 2
© 2020 Mapbox © OpenStreetMap
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Table 1: Reliability Statistics
Table 2: Descriptive Statistics
Table 2 is the descriptive study of the data collected. Test isolation, as the employee are least interested to keep as
of validity of questionnaire was done by Pearson track on Information and opportunities ,leading to poor
Correlation using SPSS 23 by correlating each item engagement during remote work. The p<0.001, we accept
questionnaire score with the total score. Item- Item the alternate hypothesis of Social esteem is not affected by
questionnaire that significantly correlated with total score employee professional isolation. The p<0.001, we accept
indicate that the items are valid. Based on the significance the alternate hypothesis employee faces do not face lack of
value obtained by the Sig-(2tailed) of 0.000<0.05, so it can visibility during professional isolation during covid-
be concluded that items 1to 10 are valid. 19.Social esteem is not effected during remote working and
employee don’t face lack of visibility , as it is easy to
Cronbach’s alpha, α (or coefficient alpha), developed by
combat through online remote work mode, Thus it shows
Lee Cronbach in 1951, measures reliability, or internal
positive relation to professional isolation . Employees feel
consistency. In this study we interpret the greater
remote but not forgotten, remote working tool play a
cronbach’s alpa value (.754) which is make our metrics
positive role in combating lack of visibility for the
reliable for study. Z-test is suitable for this study ,as the
employee. The p<0.001, we accept the alternate hypothesis,
data set is large and standard deviation is known of the data
employee during professional isolation don’t share and
.The p<0.001, we accept the alternate hypothesis of
discuss idea. Professional isolation has a negative effect on
employee do not keep track on information and
sharing and discussing ideas with their peers which shows
opportunities during professional isolation. Information and
their disengagement towards learning and development for
opportunities have negative relation to professional
their as well as organisation benefits.
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CONCLUSION and the HR practitioner to combat professional isolation of

the employee working from home.
Professional isolation plays a vital role in forming the
balance between the employee engagements. During This study is of cross sectional approach, which makes
professional isolation employee don’t feel the lack of difference in the result when consider for longitudinal
visibility due to continues touch point of remote working approach .The sample was collected from one country. It is
tool as well as the interaction of the superior for performing suggested for future research to conduct the study on
the task. Employer need follow disengaged employee, diversified continent with longitudinal approach to
reviewing the employee professional isolation would lead understand the changes occurring over the period of time.
to understand the tendency of the employee toward job
Note –Author have not received any fund to conduct the
engagement. This study resulted into the understanding that
study.
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IMPACT OF INDUSTRIAL ACCIDENTS ON EMPLOYEES BEHAVIOUR
AND PRODUCTIVITY
*
Dilip Nana Aher ** Vijay Dhole
*
Associate Professor, ASM’S Institute of Business Management & Research
Chinchwad, Pune
**
Dean, Sinhgad Institute of Business Administration & Research,
Kondhwa, Pune
ABSTRACT
Industrial accidents lead to injury, disablement and fatal cases. The paper reviews evidences on the
actual enforcement and efforts related to elimination of industrial accidents. It is known that industrial
accidents serve as a negative catalyst and directly results into change in employee’s behaviour and loss
of productivity. Therefore, to avoid the behavioural change among employees and loss of productivity
industrial accidents must be prevented as it simultaneously and negatively effects on both employees and
the industrial output. The researcher adopted the primary source of data collected from an industry. The
secondary source of data involves the reference of journals, periodicals, magazines and data available
with government authorised organizations like, National Safety Council (NSC).
The growing complexity of industries in India with increasing use of machinery and technology till
cannot prove elimination of accidents. The focus of this paper is to examine the academic research on
industrial accidents and its effect on employee’s behaviour and industrial productivity. Also it is
depending upon the nature of the accidents whether it is major or minor accident.
This paper offers a critique of recent scenario of industrial accidents in an industry in India.
Key words: Industrial accidents, employee’s behaviour, loss of productivity, awareness about accidents
and accidental prevention
INTRODUCTION practices can be summarised as (1) adoption and
implementation of policy (2) compulsory use of
In the industry resources human resource is the most valued
necessary equipment’s to protect from harm (3) regular
asset. It is therefore, prime responsibility of every industry
monitoring of technical aspects and faults if any (4)
to keep an aim of “No Accidents” as a primary focus or an
proper disposal of every kind of wastages, (5) regular
objective of an organisation and accordingly initiates
examination of machineries through experts, (6) internal
measures to eliminate or avoid the accidents ensuring safe
and external audits at regular intervals (7) excellent
working environment for employees to work and to gain
display of objectives of an industry (8) regular inspection
their confidence. Accidents rate in our country though have
of work places and critical places (9) display of posters
been decreasing but still significant attention needs to pay
indicating right way of work (10) Innovation and (11)
to eliminate and avoid the accidents. Industrial accidents
continuous improvements .
do not cause just due to machines only but there involve
other factors which needs to examine carefully with a These measures indicate importance of involvement of
solution of precautionary measures to avoid them. To employees in making every work place and critical places
eliminate and avoid the accidents every industry has to accident free within the entire premises of an industry. This
adopt the theory of continuous improvement and to is possible and effective only by forming a joint venture of
educate, educate and trained their employees both in management and employees, such engagements and
behavioural and work quality aspects. commitments would help to create accident free work place
and to avoid loss of productivity on the part of employees.
It is related to tangible measures especially employees
behaviour and detailed study on determination of risk INDUSTRIAL ACCIDENTS
assessment. This is what needs to be done for keeping
Industrial accidents mean unfortunate happening to human
employees motivated and to avoid production loss.
being causing injury. The sources of occurrence of
Accidents are often resolute at the organisational level and
accidents are many but human behaviour plays an
may be largely outside the control of the individual
important role both in occurrence and in eliminating or
managers. This reinforces the informal atmosphere and
avoiding an accident. To eliminate and avoid accidents
breeds a feeling of danger to life. Every organisation is
industries needs to make every possible efforts as it has
guided in their operations by following standard practices
direct connectivity with the employee’s behaviour and
to achieve the goal of zero accident. Some of the standard
industrial productivity. Accidents incapacitates employees
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earning capacity and simultaneously loss of productivity to counterproductive industrial behaviour especially when
an industry. Therefore, elimination of accidents is very the workers are not satisfactorily rewarded.
much important to keep employees active and motivated.
Accidents are of different types depending upon the
This will also help to avoid the loss of productivity. To do
severity, durability and degree of the injury. An accident
this it is very much necessary to develop affirmative
causing death or permanent or prolonged disability to the
attitude among employees.
injured employee is termed as major accident whereas an
Whenever accident occurs that particular machine has to injury that does not render the employee disabled is termed
stop. Naturally, other employees working in that area also as minor accident.
stops their work, as a result of sudden change in their
According to world health organisation (WHO, 2002)
behaviour this activity of employees subsequently leads to
industrial accidents means any source of potential damage
loss of productivity. The possibility of industrial conflict
or harm or adverse behavioural effects on something or
also cannot be ruled out, which again adversely effects on
someone under certain condition or situation. However, it is
employees behaviour and productivity. Undoubtedly, it is
accepted fact that immediately after occurrence of an
accepted fact that employees and profitability are the key
accident it creates emergency situation at the place of its
aspects for any industry. Therefore, considering impact
occurrence.
of accidents on employee’s change in behaviour and
productivity it is essential for an industry to extend, According to World Health Organisation (2002) accident is
enforce and implement an appropriate measure to avoid nothing but any cause of probable damage, harm or adverse
accidents. health effects on someone under certain conditions.
However, once an accident becomes active it creates
An industry who achieves the goal of “NO Accident” only
emergency situations at the place of its occurrence. Study
can enjoy the benefits of expected employees behaviour
on accident occurrences reveals that natural and
and productivity. Industry authorities (managers),
exploitative working conditions are the main sources of
government, bodies recognised by the government and
occurrence of accidents.
experts have for several years been concerned for
structuring and bringing in best work practices to develop RESEARH OBJECTIVE
employee’s behaviour towards meeting of industry goal of
1. To examine the facts of developing negative impact
“Zero Accident” and to avoid production loss.
on change in employee’s behaviour
RISK ASSESSMENT due to occurrence of Industrial accidents.
To eliminate or to avoid accidents, it is essential for every 2. To examine the facts of developing negative impact
industry to timely conduct the survey to determine more on productivity due to occurrence of Industrial
and more risk involved at every work place as well as accidents
within entire premises of an industry including all past
3. To examine the way to eliminate the occurrences of
accidents and incidences.
industrial accidents.
LITERATURE REVIEW
The author’s focus is on the factors like, why behaviour of
employee’s changes resulting into production loss in case The researcher has used the random sampling method by
following personal interviews and the questionnaire.
of an accident and to stop this what steps industry shall
initiate to eliminate the accidents. Population Size:
To eliminate the cases of industrial accidents National The overall population 200 (25 employees from 8
Safety Council (NSC,1953) has been consistently and companies)
successfully suggesting and launching advance and
modified technology, organising trainings and seminars for Sampling Size:
reducing rate of industrial accidents in India. Experiments By applying formula = Z2X p (1-P) /e2
revealed that adoption of practices of training and
development especially on organisational behaviour and Sample size 120 will be taken
employee motivation helped industries tremendously in Data Collection:
reducing rate of accidents, employees changing behaviour
and productivity loss. Data collection is carried out with the help of questionnaire
method. The questionnaire contained open ended and
International Labour Organisation (ILO, 2009) revealed multiple choices question
that 2 million workers die each year due to work related
accidents if the trend continues employees may develop Chi-square test is used for Hypothesis testing.
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DATA ANALYSIS
1. Employees changing behavior is the cause of Industrial accident.
Table no -1. Employees changing behavior
Agree Neutral Disagree
Behavioral change 106 02 12
% wise 88 02 10
Chart No-1 Employees changing behavior is the cause Industrial accident.
Chart Title
106
88
12
10
2
AGREE NEUTRAL DISAGREE
Behavioral change % wise
INTERPRETATION ,12% employees are disagreeing while 2% employees are

neutral that Employees changing behavior is the cause of
From the above data analysis 88% employees are agrees
Industrial accident.
2.loss of productivity occurs due to occurrence of Industrial accidents.
Table no -2 loss of productivity
Agree Neutral Disagree
Productivity affection 92 08 20
% wise 77 06 17
Chart No .2 loss of productivity occurs due to occurrence of Industrial accidents.
Chart Title
77
92
17
6
8 20
AGREE NEUTRAL DISAGREE
Productivity affection % wise
INTERPRETATION neutral that loss of productivity due to occurrence of

Industrial accidents.
From the above data analysis 77% employees are agrees,
17% employees are disagreeing and 6% employees are
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HYPOTHESIS TESTING: SUGGESTIONS TO THE MANUFCTURER:
Hypothesis 1 1. Work system and work place shall be developed
perfectly to avoid occurrences of industrial accidents
H0: Employees changing behaviour not a cause of
especially in a manufacturing sectors.
2. Management should always be aware that money,
H1: Employees changing behaviour is the cause of
financial allowances and other perks could motivate their
employees to some extent.
Level of significance: 5 %
3.Satisfactory business productivity can be achieved by
The test statistics used for testing this hypothesis is cross enforcement of motivational approaches and factors.
tabulation (Chi-square test).
4. At the beginning only industry shall choose the most
Decision: suitable “Zero Accident” provisions at work places and
then can move to the production steps.
For Chi-square test -Table value of 6 is (12.59) should be
less than Calculated value (62.957). 5. Accident concern has a higher coefficient among other
factors resulting on negative impact on employee’s
If p- value of test is more than the level of significance
behaviour and productivity.
0.05(α = 5%)
6. Manager responsible for employee well-being should
The result of the test statistics indicates to reject null
seek to explain to the employees his role and responsibility
hypothesis and accept alternative. as a defined schedule duty.
It proves that Employees changing behaviour is the 7. For development of working style management shall
cause of the Industrial accident. monitor regular employee trainings and development
Hypothesis 2: programmes.
H0: Industrial accident does not bring negative impact on One significant aspect of the findings of this study is the
productivity. fact that employee behaviour made the greatest
contribution to the significant relationship between the
H1: Industrial accident brings significant negative impact industrial accident and productivity.
on productivity.
CONCLUSION
Level of significance: 5 %
Industrial experts have for several years been concerned
The test statistics used for testing this hypothesis is cross with the human related problems, industrial accidents are
tabulation (Chi-square test). one of it and they are consistently in search of a solution to
Decision – eliminate industrial accidents and make it possible for
industries to achieve their goal of “Zero Accident”.
For Chi-square test -Table value of 3 is (7.8147) should be Industrial experts and socialists are also been searching a
greater than calculated value 16 (26.2962). If p- value of solution for developing a positive behavioural change
test is more than the level of significance 0.05 (α = 5%) among employees, so that industries can adopt and follow
The result of the test statistics indicates to reject null the best work practices for elimination of accidents and to
hypothesis and accept alternative. avoid the production loss, but there appears to be no
agreement among employees to consistently follow the
It proves that Industrial accident bring negative impact standard work norms as may be set by the respective
on productivity. industries for well-being of their employees , instead of
FINDINGS: this they become overconfident and works with usual and
casual way.
1. Employees changing behaviour is the main cause of the
Industrial accidents The conclusions are drawn on the basis of the data analysis,
available data on industrial accidents and on the basis of
2. loss of productivity occurs due to occurrence of results:
Industrial accidents.
1. Management must have a serious concern for any kind of
3.Demotivation are the basic reasons for sudden change in accident.
employees behaviour.
3. Even a minor accident shall be taken seriously by
4. Employees shall aware with a sense of long term effects everyone.
of accidents on organization as well as individual.
4. Industry shall keep an objective of “No accident work
5.Accident results into loss to both employees and place” as key target.
employer.
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5. Employees witnessed to the accident shall be motivated
properly.
6. Motivated employees makes the difference at work
place.
7. Employees shall be made aware with the possible harm
at particular work place, so that they can perform their job
with all sense of “No Injury”
8.The needs and wants of employees should be looked into
to avoid occurrence of accidents and loss of productivity.
9. Management people are much unstable, hardly few can
remain with the same management for a longer period, but
the employees working in production mostly remains
stable and in fact always remains in link and force and
hence can give goo suggestions for overall improvement
to eliminate accidents.
10. Successful achievement of the industry objective “NO
Accident” can carry more weightage towards employee’s
motivation at work and to attain the desired productivity by
avoiding loss of man-days and loss of available productive
time.
REFERENCES:
1. 1.Bamiduro J.A (2006).Management and Society, Features,
Theory and Concept. New Edition, Tim-Sai Nigeria Enterprise,
Ilorin
2. 2.Federal Ministry of Labour and Productivity (1999) workshop
notes on Occupational Health and Organisational Safety.
3. 3.Fowler A (1995). How to make the work place safer? People
Management Magazine. Pp. 38-39. January, 1995
4. Mayer J. (1983). Workers well Being and productivity. R. volume
122 No 3 May/June.
5. Mintz and Blum (1949). A Re-Examination of the Hazards
Proneness concept. Journal of Applied Psychology. Vol 33 No 3.
6. 5.Occupational safety and Health (2012), the free encyclopaedia.
7. Reason J. (2016). Managing the risks of organizational accidents.
1st ed Routledge, England, p: 9–11.
8. Harrell WA. (1990). Perceived risk of occupational injury:
Control over pace of work and blue-collar versus white-collar
work. Percept Mot Skills, 70(3 Pt 2): 1351–9.
9. Hughes P, Ferrett E. (2016). International Health and Safety at
Work: For the NEBOSH International General Certificate in
Occupational Health and Safety. 3rd ed Routledge, England, p:
152.
10. 9.World health organisation (WHO, 2002)
11. 10.International Labour Organisation (ILO, 2009)
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AN EMPIRICAL ANALYSIS OF USAGE OF SOCIAL NETWORKING SITES
(SNS) BY JOB SEEKERS IN RAJASTHAN
*
Umang Raj **Mahima Rai
*
Research Scholar, (IIS Deemed-to-be University, Jaipur)
**
Associate Professor & Additional Head Department of Management, (IIS Deemed-to-be
University, Jaipur)
ABSTRACT
Online SNS like Facebook, Twitter and LinkedIn offer a broad variety of options for interaction,
including friendships, common interests or shared workplace relationships. One of the things that make
social networking successful is the fact that users can develop a public presence and join other members
in a network of their own. The main objectives of this paper are to find out the role of SNS in job search
and to find out the preference of SNS used for job search. This paper highlights the ways that job
seekers are using to hunt for jobs on the social networking platforms. A huge number of questionnaires,
about 400, were distributed to the graduates, postgraduates and post-pg students who are searching for
jobs via SNS. To arrive at a conclusion, researcher will apply an ANOVA and T test.
Key Words: Social networking sites, Job seekers, Job search, Facebook, LinkedIn.
1. INTRODUCTION linked by a collection of social relationships such as
friends, colleagues, religious. SNS allows members to build
Internet, a new information technology is emerging; its
a public profile, add links and profiles of other members.
reputation and pace consists of an almost ideal combination
Social networking is web based and an interface to places
of immediacy and still instantaneous global
like Facebook, Orkut and Twitter to set up a discussion
communication. Via the internet, many people can talk
with private threads. SNS lets people share their thoughts
about just what they want, instead of trying to do so by
and exchange ideas with other users, join chat groups, share
speech, for instance. It also comes with inter-active
groups and even communicate in private groups. Libraries
strategies; Jothi, Neelamalar & Prasad, (2011). SNS
now have in the field of permission to connect to their users
includes finding relatives, friends, acquaintances and
via social networking and share user's requirements. SNS
connecting with them to share photos, find friends and
service is important part of the modern world, it helps bind
share status updates. Although job seekers and recruiters
the people. Our culture today, like any society, relies on
have used social networks extensively over the years,
information, ideas and social interaction migrating via the
policymakers are continuously growing their interest in
internet. The users are sharing thoughts, emotions and
emerging technologies of communication. SNS like
views to one another using the worldwide.
Facebook, Twitter and LinkedIn offer an opportunity to
meet people based on a wide range of factors such as 3. INTRODUCTION TO JOB SEARCH
friendships, mutual interests or jobs.
The concept that of searching for a new job can seem
People also found ways of promoting contact and exchange exciting but it is also apart to be a stressful time. One could
of thoughts and observations by using SNS. Governments be looking for a job with big dreams in his/her heart and
have also recognised the potential for these platforms to nightmares in their mind and this may make finding a job
facilitate the exchange and communication of governmental more challenging. This would be a very important skill-set
information. Simultaneously, a variety of problems related for students pursuing an internship, professionals in a mid-
to such SNS need to be discussed, including anonymity, career transition and senior level professionals searching
knowledge leakage, fluid frontiers and internet addiction for a new opportunity in a new industry.
when debating social networking sites. It touches on issues
To find a job, applicants usually do a number of activities,
of sharing information, personal information and also
such as searching for new job openings. This study
privacy concerns as it relates to using SNS in the workplace
provides some advice, on searching a job through SNS for
as well as sharing information with peers, union advocacy,
job seekers might include the following: Clarifying one's
tracking, social networking tools, social networking
expectations (e.g., what sort of career do I want?), seeking
material, social media policy, learning more about.
out companies and job search engines, networking, finding
2. SOCIAL NETWORK USERS IN INDIA and applying to open roles and planning for interviews with
interested employers. Most people have jobs that include
In this age of the digital era, people are completely
highly autonomous work searches, self-regulated work
dependent on SNS. Social network is a system of people
goals and an innovative work environment. When looking
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for a job, people may encounter considerable discomfort. 7. REVIEW OF LITERATURE
Certain people may have trouble finding a suitable role
The world of today's technology makes social media an
because they have special needs or values. There may be
integral part of the job search process. But the only thing an
other frustrations, including the pain of being rejected or
employer can tell you about a job opening is if they are
the frustration of not knowing anything about a certain job.
interested in you within the confines of your résumé, cover
When a job seeker is trying to find a job, he have to
letter, or a one-time-only notification—what company
consider the different steps and decision making process,
you're working with now, which is who you've already
which can profoundly influence his career. In order to find
worked for, and whether you have an interview or haven't
out information on the web, individuals need to create a
Jacquelyn (2021).
routine that they can execute regularly on the site. They
also need to be inspired to perform such routine. At the According to Forbes (2021), a big winner for managing job
same time, they also need to adjust their expectations when seeker, skilled social media profile was Facebook, with
they input information from the world; Wanberg, Ali & 56%. The other competition in social networking sites
Csillag, (2020). consisted of other platforms like LinkedIn and Instagram,
which got equal percentages that is (56 percent). The
4. SOCIAL NETWORKING SITES FOR JOB
number of job seekers who are on LinkedIn will increase to
SEARCHING
up to 68 percent by 2021.
Social Networking is one of the utmost importance for the
RH (2020); Social Networking for job seekers is relevant
jobseeker. Many job openings would be through personal
for several reasons. However, the main reason is that it
reviews and contacts. The social network goes through
encourages job seekers to be involved in the job market,
many borders, oceans and links millions of people from all
which enables them to find new opportunities. The
over the world. Regular changes occur within this structure
economy is very competitive and many businesses are
and opportunities are constantly emerging. When job
searching for the best of the best to work for them.
seekers are able to take advantage of these opportunities,
they will need to turn yourself into a better persona on J. Clement(2019);Web job portals and social networks have
SNS. significantly changed the way job seekers search the
internet and the way employers offer jobs, as well as the
It is very prudent to use these social networking platforms
way job seekers go through job searches.
to jobseeker’s advantage in making connections. Although
most SNS will display a single profile at a time, linking 52% of job seekers used social networking sites in
with Twitter, LinkedIn, Facebook and Google+ profiles variously by uploading a resume on a widely accessible
will allow users to see the entire network in one location. profile, making personal connections, communicating
friends and acquaintances and family members, and asking
5. USE OF SOCIAL NETWORKING SITES IN JOB
for referrals, or using social networks. The convenience of
SEARCH
LinkedIn was ranked the highest, while Facebook is the
Using websites such as LinkedIn and Facebook that have a least useful feature; NACE Staff (2017).
professional and non-professional focus in the field of
The attractiveness of a job search is just one of several
social networking have spanned the world; Nikolaou
factors why people enter and use these platforms, among
(2014). Organizations are becoming more efficient and
these is the professional-oriented network sites such as
efficient and every credit goes to the technology which has
LinkedIn. The main aim of these sites is searching for a
provided the most effective direction to execute the work.
new job along with networking purposes of finding other
6. SIGNIFICANCE OF THE STUDY people who have similar employment; Nieves, Bezares and
Castro (2016).
Today, websites that are social networked (SNW) are
considered the most popular internet websites. They 8. RESEARCH METHODOLOGY
provide robust contact and personal networking
Research Question
opportunities for job-seekers to the network; Nikolaou
(2014). It should not be shocking that the Internet and 1. What is the significance of SNS for job seekers?
SNWs are commonly used in job hunting. There are a 2. What are the preferences of SNS used by job
variety of social networking platforms available for seekers for job search?
communication today but we are basically focused on the
most popular SNS like Facebook, LinkedIn, Twitter, Objective
Instagram etc. Today, work seekers in India spend 1. “To find out the role of SNS in job search by job
maximum time seeking their job instead of journals on seekers”
Facebook and LinkedIn. 2. “To find out the preference of SNS used by job
seekers for job search”
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Table 1: Statistical tools applied
Hypothesis Statistical Analysis Tools
H (01): There is no significant difference in the factors influencing use of SNS for job search by job seekers based ANOVA
on educational qualification.
H (02):There is no significant difference in the preference of SNS used among job seekers for job search on the T-Test
basis of gender.
9. DATA COLLECTION Data was collected and then entered into SPSS software to
The questionnaire was designed for the main purpose of the get the results.
primary research data collection. A number of secondary 10. DATA ANALYSIS
research journals, such as academic journals and
magazines, were reviewed. The analysis of 400 job seekers During the process of data collection, statistical methods
who are involved in the SNS and job search was conducted were used. The responses from the questionnaire is
in Rajasthan. Each scale used item was marked with a processed using Descriptive analysis with the following
rating from one to five for reaability on the Likert scale. techniques: tables. Inferential research is conducted in
collaboration with methods of hypothesis testing:
Graph 1: Frequency graph of finding a suitable job with the help of SNS
16%
Yes
No
84%

Above graph 1 displays a clear picture of finding a suitable  H (01): There is no significant difference in the
job with the help of SNS, it is found that 84% of factors influencing use of SNS for job search by job
respondents were saying that SNS is helpful in finding out seekers on the basis of educational qualification.
of suitable job.
Table 2: Table of Test of Homogeneity of Variances
Parameters Levene Statistic df1 df2 Sig.
Reasons for using SNS in job search process (Avg.) 5.249 2 397 .006
Challenges faced while using SNS in job search process (Avg.) 6.894 2 397 .001
According to the above table 2 for Test of Homogeneity of significant value for the first it is, .006, for second it is
Variances, which consists of two parameters in which the .001.
Table 3: Table of ANOVA
Parameters Sum of Squares Df Mean Square F Sig.
Reasons for using SNS in Between Groups .503 2 .251 1.026 .359
jobsearch process (Avg.) Within Groups 97.295 397 .245
Total 97.798 399
Challenges faced while Between Groups 1.655 2 .828 3.198 .042
using SNS in job search Within Groups 102.735 397 .259
process (Avg.) Total 104.390 399
is accepted i.e. there is no significant difference in the
INTERPRETATION
factors influencing the use of SNS for job search by job
Based on educational qualification, two parameters were seekers on the basis of educational qualification”.
chosen to represent factors influencing job seekers' use of
For the second parameter, the significant value is.042,
SNS for job search. As per the given table 3, the significant
which is less than the P value (.042.05), implying that the
value for the first parameter is .359, which is greater than P
“Alternate hypothesis is accepted, i.e. there is a significant
value (.359 > .05), which implies that the “Null hypothesis
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difference in the factors influencing job seekers' use of SNS the use of SNS for job search by job seekers on the basis of
for job search based on educational qualification”. educational qualification and some were not influenced.
From the above all, it can be inferred that all the two  H (02): There is no significant difference in the
parameters had different values of significant level, so preference of SNS used among job seekers on the
some of the respondents were influenced by the factors in basis of gender.
Table 4: Table of Group Statistics

Parameters Gender N Mean Std. Deviation Std. Error Mean
Facebook Male 183 3.80 1.944 .144
Female 217 3.96 1.987 .135
Linkedln Male 183 3.00 1.930 .143
Female 217 2.70 1.945 .132
Twitter Male 183 3.84 1.730 .128
Female 217 4.30 1.672 .114
Whatsapp Male 183 4.05 1.675 .124
Female 217 4.23 1.711 .116
Job-Portals Male 183 3.73 2.051 .152
Female 217 3.55 2.020 .137
Youtube Male 183 4.92 1.848 .137
Female 217 4.56 2.013 .137
Google Male 183 4.67 2.192 .162
Female 217 4.69 1.930 .131
The table 4 showcases the group statistics of the seven SNS based on gender category were 183 male respondents and
platforms which represent the preference of SNS used 217 female respondents. It also presents the mean and
among job seekers on the basis of gender. The respondents standard deviation values of all the seven SNS platforms.
Table 5: Table of Independent Samples Test

Parameters Levene's Test t-test for Equality of Means
for Equality of
Variances
F Sig. T Df Sig. Mean Std. 95% Confidence
(2- Difference Error Interval of the
tailed) Differ Difference
ence Lower Upper
Facebook Equal variances .005 .945 -.814 398 .416 -.161 .197 -.549 .227
assumed
Equal variances -.816 389.343 .415 -.161 .197 -.548 .227
not assumed
Linkedln Equal variances .068 .794 1.540 398 .124 .300 .195 -.083 .682
assumed
Equal variances 1.541 387.682 .124 .300 .194 -.083 .682
not assumed
Twitter Equal variances .162 .687 - 398 .007 -.463 .170 -.798 -.127
assumed 2.714
Equal variances - 382.012 .007 -.463 .171 -.799 -.126
not assumes 2.706
Whatsapp Equal variances 1.718 .191 - 398 .287 -.181 .170 -.516 .153
assumed 1.066
Equal variances - 389.281 .286 -.181 .170 -.515 .153
not assumed 1.068
Job- Equal variances .093 .761 .900 398 .368 .184 .204 -.218 .585
Portals assumed
Equal variances .899 384.667 .369 .184 .204 -.218 .586
not assumed
Youtube Equal variances 4.709 .031 1.828 398 .068 .356 .195 -.027 .739
assumed
Equal variances 1.841 395.110 .066 .356 .193 -.024 .736
not assumes
Google Equal variances 7.335 .007 -.119 398 .905 -.025 .206 -.430 .381
assumed
Equal variances -.118 365.913 .906 -.025 .208 -.434 .385
not assumed
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The given table 5 represents the Independent Samples Test 9. Wanberg C. R., Ali A. A., & Csillag B. (2020). Job seeking: The
process and experience of looking for a job.
for the preference of SNS used among job seekers based on
gender. It is clearly shown that all the SNS platforms have
greater value significance except Twitter, which has less
value (.007) than P value (.05). It indicates that the majority
of the significant values were greater than P value.
Therefore, the “Null hypothesis is accepted i.e. there is no
significant difference in the preference of SNS used among
job seekers based on gender”.
As a result, many respondents agreed that they prefer using
SNS to their advantage when looking for new employment;
respondents agreed that SNS can help them with their
current search.
11. CONCLUSION
This research demonstrates that seeking job through SNS in
the modern era is not difficult and SNS also helps in
identifying the best candidate for an organisation. All job
seekers are involved in using SNS on a regular basis and
the majority of global corporation makes use of these sites
to recruit employees.The job seeker submits their resume
and searches for appropriate job openings. According to
this study, the majority of people find jobs through major
SNS such as LinkedIn, Facebook and Twitter. Among
SNS, LinkedIn is the most popular platform. Many recent
graduates and postgraduates find jobs via LinkedIn. SNS
role is very significant as the analysis presents that 84% job
seekers are able to find a suitable job with the help of SNS.
REFERENCES
1. Brie weiler Reynolds (2020) using social media for your job
search: tips and tricks flexjobs
2. Caroline Castrillon (2021) how to use social media to job search,
Forbes
https://www.forbes.com/sites/carolinecastrillon/2021/03/24/how-
to-use-social-media-to-job-search/?sh=8773dff3cfda
3. J. Clement (2019). Online and social media recruiting - Statistics
&facts, retrived on 25 June 2020 from
https://www.statista.com/topics/2727/online-recruiting/
4. Jothi, P. S., Neelamalar M., & Prasad, R. S. (2011). Analysis of
social networking sites: A study on effective communication
strategy in developing brand communication. Journal of media
and communication studies, 3(7), 234-242.
5. Mr. Emanuel Rivera Nieves, Mrs. Janice A. Martinez Bezares &
Dr. Angel M. Ojeda Castro [2016] Online Human Resource
Management retrived on 18th Jan 2018 from International Journal
of Information Research and Review Vol. 03, Issue 12, pp. 3398-
3402, December 2016
6. NACE Staff (2017) The Role of Social Media in the Job Search,
National Association of Colleges and Employersretrived on 25
June 2020 fromhttps://www.naceweb.org/talent-
acquisition/student-attitudes/the-role-of-social-media-in-the-job-
search/
7. Nikolaou, I. (2014). Social networking web sites in job search and
employee recruitment. International Journal of Selection and
Assessment, Vol 22(2), pp 179-189.
8. RH (2020) Why Social Media for Job Seekers Is More Important
ThanEverretrived on 20 April 2020
fromhttps://www.resumehelp.com/resources/articles/technology/
why-social-media-is-more-important-than-ever-for-job-seekers
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IMPACT OF CELEBRITY ENDORSEMENT ON BRAND PROMOTION
* **
Neha Goyal Gurcharan Singh Ghotra
*
Research Scholar – School of Management, RIMT University Mandi Gobindgarh
**
Professor - School of Management, RIMT University Mandi Gobindgarh
ABSTRACT
Celebrity endorsements can be seen as a powerful and effective advertisement tool to cut through today’s
media clutter and grab the attention of consumers by sustaining a brand’s image. Advertising
professionals rely on the assumption that using a celebrity to endorse a brand will result in increase of
consumer recall. Advertisers believe that using a celebrity endorser will not only create awareness but
also has an impact on sales. The use of celebrities to promote the products and brands on different
media has been steadily increasing over the past few decades.
The study has been done to evaluate the role of social media in today’s world for the newly launched
brands endorsed by the celebrities. As almost everyone is hooked to social media for daily updates so it
has become more important for the marketers to push their content on this media as social media will
not help in creating awareness for the products but also induce the trials. Respondents in this study has
agreed to the fact that social media is educating them on all the new products and services and also tend
to believe the products are of good quality which are endorsed by the celebrities.
Key words – Brand endorsements, celebrity, consumer, products, social media
INTRODUCTION also allow putting down the task properly, for which the
study needs to be done
“Nobody counts the number of ads you run; they just
remember the impression you make.”– Bill Bernbach. Friedman (1979) conducted a research and has taken three
Advertisement plays an important role in consumers life by different products for the study purposes -biscuits, a
creating an awareness and providing information for the vacuum cleaner, and imitation jewelry. These products
new products and services. Information can be spread via were promoted by different brand ambassadors -a
newspaper, magazines, television and internet which is the housewife, an expert, and a celebrity. For each group, all
most effective medium in today’s world. Advertising is a products were kept the same name – “Majestik”. The
useful tool which aims to sentient, enlighten and sway the sample size taken for these studies were 30 housewives
audience. Advertising in one of the efficient forms of living in Brooklyn which were interviewed. The total study
communication projected to audience (prospects and sample consisted of 360 people. It stated that different
potential) and hit their minds so they show willingness to products should be advertised by different types of
purchase that product by the reaction of information endorsers for the message to reach out to the recipients
available to them. The meaning of marketing and keeping objective in mind. Imitation jewelry of doubtful
advertisement has been changed drastically in the last one quality was rated more attractive and accepted product
decade. Today’s consumer has also not the same as it was when advertised by a celebrity and less highly evaluated
five years back as they have a good exposure and when presented by other endorsers – a housewife and an
understands the market well, thanks to social media. expert.
Consumers are becoming more knowledgeable and
A study carried out by Kamins in 1990, has considered two
selective towards the new products and services and gets
products for advertisements: a computer and a luxury car.
attracted towards the product which are of high utility
Two well-known actors endorsed these two products – one
value. Companies are trying their best to attain the attention
being the most “attractive and famous” and the other one
of the customers by adopting all possible means of
was “not at par” in terms of fan following among people.
promoting their products by introducing various
The study was conducted considering 89 respondents and
promotional policies. Celebrity endorsement is among one
the main focus was on the students. The study indicated
of them and has become a common phenomenon in today’s
that the audience for the luxury car advertisement has
world.
preferred the “famous and attractive” actor. Respondents
REVIEW OF RELATED LITERATURE considered the actor trustworthy and the perceived the same
It’s been observed that lots of research has been done on advertisement of better quality than the advertisement of
celebrity management in past. Review of literature is the luxury car advertisement featuring the “less attractive”
abstract or the work done very briefly in past by previous actor.
research, which provides evidence on the findings which
The studies conducted by O’Mahony and Meenaghan
has known and what is still needs to be explored. This will
(1998) affirmed that the consumer holds positive attitude
help to understand the scope of the work very clearly and
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towards celebrity endorsements. The results of both the According to a study conducted by media agency Media
studies concluded the celebrity endorsement have an edge (2009): consumers age 18-34 are more likely to
impact on the consumers recall evaluations and attention. purchase a product or service based on a celebrity
They also concluded that celebrities are known to induce endorsement than older consumers. They have interacted
more positive feelings toward ads than non-celebrity with 24,000 plus consumers in 25 countries for the purpose
endorsers. of the study. 30% of respondents of the age group 18-34
stated that they would try a product promoted by an
The research conducted by Stafford in (2003) has
admired celebrity. 14% of the respondents within age group
concluded that the presence of celebrity endorsements
of 35-54 said, they would try a product promoted by an
always makes a difference in purchase decision. Consumer
esteemed celebrity but only 11% of the respondents
gets attracted towards the celebrities and in return purchase
between age group of 55 and older was in agreement and
the product endorsed by their favorite celebrity. Marketers
mentioned that they would try the product at least once,
and retailers will always have their preference to use
which has been endorsed by their favorite celebrity. Based
celebrity as endorsing their product in order increase the
on these figures, the study concludes that interest in
sales and hence results in increase in market share and
celebrity’s declines significantly as consumers get older.
equity. Another thing captured in the study that an endorser
who has a major fan following has an ability to attract Wo niczka has conducted a research in . Her study
consumers and push their purchase intentions for the was also done keeping students as a primary TG. She has
particular product they endorsed. considered 145 respondents as a sample size for the
research purposes. The research involved the presentation
King in his study (2005) stated that most of marketers and of single shots of 10 TV commercials to respondents. Each
consumers are of the opinion that the celebrities appear in commercial referred to a different consumer product. Five
advertisements are only for money. Study also specified commercials were shown as the “ordinary people” and
that the celebrity endorsement is more compensation other five were shown which “celebrities” have endorsed.
inclined rather than product inclined. The study also For each commercial, respondents were to answer
figured it out the perception of the college students questions relating to commercial recognition, brand
regarding the celebrities. They are of the opinion that recognition, attitude towards the commercial, attitude
celebrities other than cricketers and film stars do not use towards the spokesperson, and the impact of the
the product they endorse but the perception for film stars commercial on their future purchase intentions. The results
and cricketers are different. of this research indicated that celebrity used in the
advertisements has not the prime factor to make the
Research conducted by Mr. Liu in (2007) suggested that difference, but it also depends on the attitude and content of
brand promotion is one of the most effective advertising the advertisement.
strategies currently available. It is approximated that as
Raj Bhambani from “Vivekananda Education Society of
much as 25% of predominant media celebrities endorse
Institute of Management Study and Research” has
commercials and advertisement. Furthermore, it is
conducted research on Lux Beauty Bars of Film stars. His
estimated that 10% of some commodity organizations
study was based on the impact and the claims made by Lux
budgets are spent on celebrity endorsement. Celebrity
advertisements. The claim states that person will start
endorsement is in fact, not a new phenomenon, and is very
feeling like the stars by using Lux brand. Lux is the oldest
old concept but it is one of the very effective mediums,
brand of very reputed company Hindustan Unilever that has
which generates fast and appropriate results.
involved more than 50 celebrities in the past who has
endorsed this brand. The objective of his study was to
According to Gupta and Dang (2009), the 1.25 billion
examine the relationship between the celebrity
population of India is different in terms of beliefs,
endorsements and the brands and their impact on consumer
ethnicity, status, culture, language, dialects, norms, and
buying behavior pattern.
values. The whole of the population is classified
economically into lower, upper, and middle classes. This NEED OF THE STUDY
classification defines the buying behavior of the people. Celebrity management has evolved as a major topic of
The main target of the brands is often the middle class, as interest for the marketers especially post Maggi disaster
majority of the population falls under this category. where FSAAI (Food Standards and Safety Authority of
Research also defined 'intimacy at a distance,' which forms India) has cancelled its license post finding MSG
an unseen relation between the celebrities and the (Monosodium glutamate) in it. Not only masses have
consumers. This relationship has a very strong potential of become vigilant by not buying such products, but
enhancing a brand's market value and improving brand government also has understood the urgency and proposed
equity highlights. Celebrity endorsements also influence to revise the existing advertising laws to make celebrities
consumers’ attitude and behavior, which is the most critical and marketers more cautious when signing and endorsing
strategy in marketing communications. the product. The main idea behind this study is to find out
whether celebrities have actually become more cautious
now when signing/ endorsing and promoting the product
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and do they really create impact on the sales of the product SOURCES OF DATA
they promote.
As per the requirement of the study, there is a need to
OBJECTIVES collect primary and secondary data.
“To examine the role of social media in educating and Primary Data - Primary data would be collected from
creating awareness about the brands endorsed by the consumers. Primary research involves gathering new data
celebrities” that has not been collected before. Questionnaire was filled
by the respected target audience on the study objective
which was developed with the multiple choices and 5-
Research Methodology is the critical part of any study. This pointer likert scale.
would be explanatory and descriptive. Explanatory study
Secondary Data – This would be collected from the various
leads to descriptive study. Because explanatory research
establishments like journals, news paper, magazine, report
helps to explore the topic and descriptive research would be
done on similar projects in past, research papers, details
helping to analyze the topic towards the descriptive
available online, books, periodicals and the study done by
advertisements and its impact on consumer behaviour.
different scholars in the similar subject.
This comprises of the data, its sources, the methods
STATISTICAL TOOL
embraced, sampling tools & techniques, analysis and its
interpretation. The study is based on the primary and The data collected will be studied in detail and will be
secondary data. The conceptual framework was tested analyzed with the help of appropriate statistical tools.
using literatures. Frequency Count & Percentage Method has been
deployed to gauge the results of the study.
SAMPLING DESIGN
ANALYSIS
The study has been done in Bangalore falls in Karnataka
State. Bangalore was split into different regions -east/ 1. On product recall and usage
west/ south/ north where the respondents will be targeted Study was conducted on certain brands to understand if the
for the research. Bangalore is highly populated district has content pushed on social media has actually helped the
different segments of people, properly educated and mix of brand to get recognized and induce sales. Findings are
business and service class community. Bangalore being a below-
metropolitan, it will have people from different states,
Vedantu – The brand was struggling to attain their market
which is actually helpful to gauge the response of these
position post Byju’s have signed Shahrukh Khan to endorse
people for the research purposes.
their brand. They have come up with the strategy to enroll
SAMPLE SIZE Aamir khan to push their concept among masses. This
strategy has worked very well and shown great results.
For the study, a sample size of 300 respondents chosen.
They have a tremendous growth of 220% in that particular
These 300 respondents comprised of masses that are end
year. Though Aamir khan is one of the main reasons for the
user of the products. Responses were also gauged from
success of the brand, but another reason could be that the
some of the known marketers who own maximum market
advertisement came at the very appropriate time when the
share in different field. This seems to be an appropriate for
schools were closed due to pandemic and kids were already
the research purposes to understand people perception and
have an experience of virtual sessions for the school
the impact of celebrity on the brands. A specific instrument
classes. So parents were worried about their kids future and
will be developed for data collection and testing.
enrolled them for the online classes.
Byjus- This is one of the classic case studies where brand his with his witty style. Shahrukh khan has been seen
has seen a tremendous success post signing Shahrukh Khan mentioning about the classes with him for the lucky
who was the face of the brand and attracted audience with customers. This was more than enough for the masses to
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get enrolled for the classes due to the fan following of seen a growth in terms of revenues. The company has
Shahrukh Khan. The advertisement has not only become shown its revenue jump to Rs. 1341 cr in FY19 against Rs.
the most remembered ad during cricket season but have 490 in FY 2018.
2. WILL SOCIAL MEDIA INDUCE SALES? from social media. 80% of the respondents claimed that
they have tried the product post seen the advertisement on
Study was conducted among 300 respondents and enquired
social media when endorsed by their favorite celebrity.
if they have bought the product post getting to know them
3. WHAT IS THE USAGE OF SOCIAL MEDIA 94% people are in Instagram as well which are on facebook
AMONG THE RESPONDENT SPOKEN? and 74% people who are on fb & Insta are also on tweeter.
This given an indication of the power of the social media.
Among all 300 respondents, everyone is on social media.
Results gauged are amazing as 100% people are on Fb and
4. WHAT IS THE AWARENESS OF SOCIAL 5. All the respondents are aware of the social media
MEDIA AMONG RESPONDENTS WHEN irrespective if they are using the same or not. 100%
ENQUIRED? people given their consent to be aware of fb/ insta and
tweeter.
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6. WHICH MEDIA IS PREFERRED FOR THE were word of mouth” WOM, Print, Electronic and Social
RESPONDENTS? media. This shows that people tend to log in to social media
for the daily updates and get aware about the new
As per the analysis, 90% of the respondents have voted for innovation in the country.
social media being the preferred media. The option given
CONCLUSION 3. Ajay V. (2014). Perception of Indian Consumers regarding Indian

advertisements International journal of Humanities, Arts and
From the study conducted among 3 respondents, it’s Management, 89-114
been observed that social media plays a very important and 4. Biswas, A. Das (2006), The differential effects of celebrity and
critical role in creating awareness for the brands and their expert endorsements on consumer risk perceptions, Journal of
strategies especially when endorsed by the celebrities. So Advertising, Vol. 35, No. 2, pp. 17–31.
the hypothesis “social media also plays a vital role in 5. Baker, M. Churchill 977 “The impact of physically attractive
creating awareness for the product which also entices models on advertising evaluations. Journal of Marketing Research
consumers buying decision” stands true. 6. Carrillat, d’Astous, Lazure, J. (2013), for better, for worse? What
to do when celebrity endorsements go bad, Journal of Advertising
RECOMMENDATION Research, Vol. 53, No. 1, pp. 15–30.
Marketers should focus more on online media than offline 7. Ding, H.Molchanov, A.E., Stork, P.A. (2011), The value of
to push their content as the study proved that majority of celebrity endorsements: a stock market perspective, Marketing
the people especially youth are hooked towards social Letters, Vol. 22, No. 2, pp. 147–163.
media and follow all the tools available. India is becoming 8. Erdogan, B.Z. (1999), Celebrity endorsement: a literature review,
the market for startups which are initiated by IIT/ IIM Journal of Marketing Management, Vol. 15, No.4, pp. 291–314.
graduates and they are capable of changing the trend in the 9. Erdogan, B.Z, Baker, M. Tagg (2001), Selecting celebrity
country. endorsers: the practitioner’s perspective, Journal of Advertising
Research, Vol. 41, No. 3, pp. 39–48.
BIBLIOGRAPHY
10. Friedman (1979), Endorser effectiveness by product type, Journal
1. Abdussalam, P.K. (2014), Celebrity advertisement: key to of Advertising Research, Vol. 19, No. 5, pp. 63–71.
marketing success, Indian Journal of Commerce and Management
Studies, Vol. 5, No. 1, pp. 78–82. 11. George D. A. (2012). Study on the status of law enforcement for
misleading advertisements in India and its impact on consumers.
2. Agrawal, J. Kamakura, W.A. (1995), The economic worth of CUTS International org, 1-41.
celebrity endorsers: an event study analysis, Journal of Marketing,
Vol. 59, No. 3, pp. 56–62.
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12. International Journal of Scientific and Research Publications,
Volume 3, Issue 11, November 2013
13. Karuna Krishna Gauns 7 “ Impact of Celebrity Endorsement
on Consumer Buying Behaviour in the State”
14. M. Naresh Babu 7 Pondicherry University “ The Impact of
Celebrity Endorsement on purchase of telecom users”
15. O’Mahony, Meenaghan (1997/1998), The Impact of Celebrity
Endorsements on Consumers, Irish Marketing Review, Vol. 10,
No. 2, pp. 15–24.
16. Raj Bhambani (2012- 4 “Vivekananda Education Society of
Institute of Management Study and Research” on Lux Beauty
Bars of Film stars.
17. Reginald Esangbedo Rowan University “The impact of
celebrity endorsements on the buying behavior of Rowan
University students”
18. Sagar Kumar Priyani 5 “ Impact of celebrity on consumer
buying behaviour” Indus University Karachi
19. Shubham Kumar 7 “Accountability of celebrities for
endorsing false claims in an advertisement” –
(https://blog.ipleaders.in/accountability-celebrities-endorsing-
false-claims-advertisement/)
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DERIVATIVES FOR MANAGING EXPOSURES: A COMPREHENSIVE
REVIEW OF USAGE, PREFERENCE, REASON AND FIRM VALUE
*
Rashad. PP **EK. Satheesh
*
Research Scholar, Department of Commerce and Management Studies, University of Calicut,
Kerala, India.
**
Registrar, University of Calicut, Kerala, India.
ABSTRACT
This paper explores the different aspects of derivative usage through a systematic review of the various
articles from the old to the latest period. The paper addresses five research questions and the findings
show that most of the firms are using derivatives for managing their exposure especially large-scale
firms. The forward contract is the most favored derivative instruments and exchange traded instruments
are not preferred by firms even multinational corporations. Managing volatility of cash flows is a major
reason for involving in derivative contracts. The link between derivative usage and firm value gives a
controversial result. Exposures are not considerable and policy restrictions by board of directors are
some of reason for away from derivatives, lack of knowledge about the derivatives is also a reason.
Key words: Derivatives, preference, reasons for hedging, firm value.
JEL classification: G11 and G32
I. INTRODUCTION The following sections discuss different aspects of
derivative includes whether the firms using derivatives or
The financial instrument “Derivatives” has no independent
not, preferred derivative instrument, reasons for using
value, i.e., it is "derived" completely from the value of the
derivatives, link between derivative usage and firm value,
underlying asset. Securities, commodities, bullion,
reason for not using derivatives by some firms and finally
currency, livestock or something else may be the
summary and concluding remarks.
underlying assets. This means a forward, future or hybrid
contract with a pre-determined fixed-life period linked to II. DERIVATIVE USAGE
the value of a given real or financial asset or to an index of
Financial derivatives are a perennial subject in finance. The
securities for the purposes of contract fulfillment.
literature has revealed some fascinating findings about the
The study addressed different aspects of derivative usage. adoption of derivatives by businesses in various countries.
Weather the firms are using derivatives? If the firms are Among the four types of derivatives, i.e., forward, futures,
using derivatives, which is the favorable instrument options and swaps, the preference of firms for managing
reported by different literature, why these firms are using the exposure is different. The reason for the use of
derivatives, is the derivative usage is helpful for derivative is questioned in many surveys and a unanimous
improvement in firm value and finally why some firms are result could be identified. The effectiveness of derivatives
not using the derivatives. on firm value has reported mixed result. When analyzing
the literature, studies reported some missing figures in
Here the researcher tries to identify the usage pattern of
usage of derivatives. The reason for not using the
derivatives by firms from different parts of the world and
derivatives is identified different statements by different
analyzed is there any change in the usage from 1990s to the
studies. All these areas are discussed in detail under each
latest period by reviewing the literature. Another import
sub tittle,
issue to be addressed in this paper is the preference towards
different financial derivatives. All the reviewed studies II.A. DO THE FIRMS USE DERIVATIVES?
reported that firms are prefer to use over the counter
In the early 1990s, surveys to determine the use of
instruments especially forward contracts for hedging
derivatives began.(Bodnar et al., 1995) performed one of
(Alkebäck, 1999; Ceuster et al., 2000; Debasish, 2008;
the most critical studies, surveying the use of derivatives by
Marshall, 2000; Raghu & Shanmugam, 2014), even
non-financial companies in the United States. According to
multinational corporations are also not interested to use
the study, derivatives are not commonly used by medium
exchange traded instruments because of inconvenience and
and small businesses, but 65 percent of large businesses use
procedural difficulties(Marshall, 2000).
them. In a follow-up analysis, (Bodnar et al., 1996)
Financial theories strongly support the view that financial conducted a survey the following year, which revealed that
derivatives lead to increased firm value. Empirical studies the use of derivatives is widespread among large-scale
have reported mixed findings on increase in firm value. firms and that the use of derivatives is improving in
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medium-scale firms. However, in small-scale businesses, futures and exchange traded options playing a minor role.
usage has dropped from 35% to 13%. A research (Marshall, 2000) looked at how multinational companies in
forwarded by (Phillips, 1995) supports Bodner's findings the United States, the United Kingdom, and Asia handle
and indicates that derivative use increases with the scale of their foreign exchange exposure. Marshall used only MNCs
the organization. According to a survey conducted by as a sample in comparison to previous surveys, despite the
(Bodnar et al., 1998), large firms' use of derivatives has fact that there is no considerable shift in the preference for
risen to 83 percent, but only 45 percent of medium and 13 derivatives.
percent of small businesses use derivatives. It suggests that
There has been no shift in the preference of Indian
the use of derivatives has not increased among medium and
companies for derivatives. The majority of firms prefer
small businesses. It could be argued that derivative users
forwards. Non-banking firms are given priority for forward
benefit from economies of scale.
contracts, followed by Swaps and options, according to
Analyzing the studies in the 2000s (Ceuster et al., 2000) (Debasish, 2008) Futures were found to be the least favored
reveals that 65.8% (i.e., 48 out of 73 respondents) used derivative instrument in this study. The explanation for the
derivatives, quite interestingly 16 responding companies low use of futures has been established (Sirisha et al.,
never used derivatives, and nine stopped using them. (El- 2020), when comparing exchange traded instruments,
masry et al., 2003) indicated that large companies are more options provide more value and are less volatile than
likely to use derivatives than medium and small firms, futures.
similar to previous findings.
Just about half of the companies use forwards to manage
All of the studies mentioned above were performed in their currency risk, with Swaps and futures following (Goel
developing countries, with the exception of one. When it & Kumar, 2014). In India, the IT sector is a sector that is
came to analyzing the use of derivatives in developing heavily involved in export-import activities and is exposed
countries, especially India, little effort was made to find a to foreign exchange risk. For controlling their currency
solution. (Debasish, 2008) conducted a study about the exposure, these IT companies prefer forward contracts
foreign exchange risk management risk practices of 501 (R.H, 2018; Raghu & Shanmugam, 2014).
non-banking corporate enterprises and study found 53% of
All of the research from around the world have shown that
respondents were using the derivatives. An another study
companies tend to manage their financial risk with
by (Goel & Kumar, 2014) reported that 85% of their
forwards or other OTC instruments. From the early to the
respondents were using any of the derivative product for
latest period, there has been no improvement. According to
managing foreign exchange risk. (Raghu & Shanmugam,
the most recent literature, forward contracts are the most
2014) conducted a survey among Indian IT firms and found
favored by businesses. The key explanation for this choice
that only 21% of respondents used currency derivatives
is that handling forward contracts is more convenient and
regularly, while 54% used them moderately, and 25% of IT
requires fewer skills. As a result, policymakers should take
firms never used derivatives.
the requisite steps to popularize exchange traded
When all of the aforementioned studies are taken into instruments by making them easier to use and reducing the
account, it can be inferred that the majority of companies formalities associated with their use.
use derivatives, but not all of them. Large-scale companies
II.C. WHAT ARE THE REASONS FOR HEDGING
are the most likely to use derivatives, according to all
WITH DERIVATIVES?
studies, followed by medium- and small-scale firms.
Firms use derivatives for one of two reasons: to mitigate
II.B. WHICH IS THE FAVORABLE DERIVATIVE
risk or to speculate. Firms are using derivatives to hedge
INSTRUMENT?
various financial exposures. (Alkebäck, 1999) established
The decision to use derivatives is influenced by a variety of an exception to this view; in this analysis, the researchers
factors. Convenience, expense, experience, profitability, discovered that large firms' use of derivatives for
instrument knowledge, and so on are all factors to consider. speculation and arbitrage was so prevalent as compared to
According to a survey conducted by (Bodnar et al., 1995) ), medium and small firms; in reality, these firms are focusing
forwards are the most popular way to handle financial on profiting from derivatives rather than using them to
exposure. The same result was found in a survey (Bodnar et manage exposure.
al., 1996), in which a detailed questionnaire was used and it
Many researchers have deduced the explanation for the use
was discovered that 3/4th of the respondents prefer forward
of derivatives. In several ways, their results are universal.
contracts followed by over-the-counter (OTC) options.
The most significant justification for using derivatives to
(Phillips, 1995) also found that for hedging purposes, firms
hedge is to manage cash flow fluctuations (Bodnar et al.,
are given preference for OTC instruments.
1995, 1996; Ceuster et al., 2000; El-masry et al., 2003;
When looking at the literature from the 2000s, there was no Marshall, 2000). Theoretical literature strongly advises
discernible shift in the preference for derivatives. focusing on cash flow fluctuations when evaluating the
According to (Ceuster et al., 2000), Belgium firms use rationale for using derivatives in order to increase or
OTC instruments to manage their financial exposure, with optimize shareholder value. However, the studies revealed
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completely different results. According to a study for small scale firms (Alkebäck, 1999).The study
conducted by (Ceuster et al., 2000), 62.5 percent of conducted by (Ceuster et al., 2000) has reported an entirely
respondents said that using derivatives to increase a firm's different finding. In this study, about half of the
market value was not essential. It's a sign that theoretical respondents are not using derivatives because of the policy
explanations are a long way from what businesspeople restrictions imposed by board of directors upon the
really understand. managers or the persons in charge of using and monitoring
derivatives. The more restrictions also a barrier for
II.D. DOES THE USE OF DERIVATIVES INCREASE
derivative usage.
THE VALUE OF FIRM?
Different reasons for not involved in active derivative
The studies on derivative usage and firm value are provided
usage is identified by different researchers. One of the
a mixed finding. Most of the studies during 1990s reported
important reasons found is the lack of knowledge about
a positive influence of derivatives on firm value. Research
effective utilization of derivatives, especially for small and
reports like (Allayannis et al., 2012; Clark & Judge, 2009;
medium scale businesses. The policy makers should
Gómez-González et al., 2012; Magee, 2013) strongly find
consider it as a major concern and should try to popularize
and support the view that derivatives has a positive
the derivative instrument. Making knowledge about the
influence on creating firm value. At the same time a study
derivatives especially exchange traded derivatives will
from USA has also reported an opposing view (Guay &
helps the firms to come out of the situation and could
Kothari, 2003), which recommend the other studies to
manage their exposure well.
rethink their views of positive effect of derivatives on firm
value. III. SUMMARY AND CONCLUSION
The studies taken derivatives data later the 1990s period Derivative usage is a practice of managing the exposures.
also reported a mixed result. (Bartram et al., 2011) take No firms can stay away from risk, all businesses are
6888 non-financial firms from 47 countries as sample for surrounded by different kind of exposures. When analyzing
the study and reported that risk level is lower for derivative the preference of firms towards different derivative
users as compared to non-users and it add value the firm. instruments, most of the firms are preferred to use over the
During the year 2000, the premium for derivative users is counter instruments, especially forward contracts. The
about 5.9%. Some other studies from China (H. (Robin) studies from 1990s (Bodnar et al., 1995, 1996, 1998;
Luo & Wang, 2018) also supported the positive effect Phillips, 1995) to latest studies (Bartram, 2017; Goel &
view. The study from United States (Chang et al., 2010) Kumar, 2014; R.H, 2018; Raghu & Shanmugam, 2014;
shown 11% premium for derivative users by taking Tobin’s Sahoo & Sahoo, 2020; Sirisha et al., 2020) are reported the
Q as proxy for firm value. But studies from Europe same effect. The (Alkebäck, 1999) clearly mention that the
especially from France has shown a negative premium for lack of knowledge about the usage of derivatives is
derivative users (Clark & Mefteh, 2010), they are take a restricting the firms from using derivatives especially
sample of 320 non-financial French listed firms but only exchange traded derivatives. Here the policy makers should
2001 year data only considered. An another study from give more concern for popularization of derivative
France is shown a positive effect of derivatives on firm instruments by giving education and training about the
value, but it is not statistically significant (Belghitar et al., usage and effectiveness of derivatives. Managing the
2013). Very interestingly but entirely controversial result is volatility of cash flows is the main reason for the usage of
reported by (Khediri & Folus, 2010), the study considered derivatives. It is an indication that most of the firms could
176 non-financial French firm as their sample and reported manage their variability in cash flows by using derivatives.
that derivative use is a significant determinant of value of
The in-depth checking of literature on the effectiveness on
firm. These findings have given an insight that derivative
the value of firm with the use of derivatives gives a
usage and firm value is not affected by the country status
controversial result. Most of the studies reported a positive
instead the year of taking data has a major implication in
effect of firm value with the use of derivatives, especially
the determination of firm value.
for foreign currency derivatives (Allayannis et al., 2012;
II.E. WHY SOME FIRMS DID NOT USE Clark & Judge, 2009; Gómez-González et al., 2012;
DERIVATIVES? Magee, 2013) at the same time some of the studies reported
a negative influence of derivative usage for value creation
Derivative usage is not common in all firms, or firms in
(Aretz & Bartram, 2010; Guay & Kothari, 2003; Khediri &
different countries. The studies conducted for assessing the
Folus, 2010; Walker et al., 2014). Here we could not make
derivative usage is also asked questions regarding non-
any clear conclusion that derivative usage will helps to
usage of derivatives because all the firms are not using
improve the firm value or not, but the year in which the
derivatives. It is also important to know why some firms
data about derivative usage is collected has an important
are not involved in derivative transactions. (El-masry et al.,
bearing on this controversial result. The study with panel
2003) identified that half of the respondents are not using
data and includes more countries to sample could give
any of the derivatives, the reason behind such situation is
more reliable result. Even the usage of derivatives is
the insignificance of exposure to the responding firms.
popular and most of the firms are regularly using it, some
These issues also restrict the usage of derivatives especially
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firms are still away from the usage of derivatives. The 19. 19. Sahoo, A., & Sahoo, S. (2020). What Drives Derivatives: An Indian
Perspective. Journal of Risk and Financial Management, 13(6), 134.
usage level is increased among the large-scale firms from https://doi.org/10.3390/jrfm13060134
old to latest period, but is not in that much level in small 20. 20.Sirisha, T., Kalyan, N. B., & Road, K. (2020). A Study on the
and medium scale firms. It is an indication for policy Derivatives Market in India. Development Economics: Macroeconomic
makers to give more focus on small and medium scale Issues in Developing Economies, 9(10).
firms in the derivative usage by providing adequate
knowledge and hands on training for effective utilization of
derivatives for managing their exposures.
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DYNAMICS OF BOARD INDEPENDENCE FOR LISTED COMPANIES IN
INDIA
* **
Rajesh Kumar Shivani Inder
*
Research Scholar, Chitkara Business School, Chitkara University, Punjab
**
Associate Professor Chitkara Business School, Chitkara University, Punjab
ABSTRACT
The study attempts to verify dynamics of board independence and relationship of board independence at
listed companies of India. For this purpose, the study has used the data of NSE 200 listed companies
from financial year 2007-08 to financial year 2016-17. We find that in three year after first year each
firm of upper quartile has tried to maintain the position in the same quartile. The results show that from
fifth year to tenth year the sequence remains same. It means not much efforts by firms to step up or step
down in the board independence from 4th year onwards. The study also verifies the relationship of board
independence with other variables. We find that TM duality, board size and number of board meetings
have significant relationship with board independence.
Keywords: board independence, corporate governance, listed firms.
INTRODUCTION highlighted the minimum requirement of independent
directors. Global actions on board independence also
Investors hold centre stage in any economy. Corporate
indicate towards the same direction. Cadbury Committee in
governance comes as a shield to protect the interest of
1992 in UK, Organization for Economic Co-operation and
investors (Haldar & Rao, 2014). Considering global
Development (OECD code) 1999 and Sarbanes-Oxley Act
perspective on corporate governance, corporate scandals
2002 (SOX 2002) also place stress on the contribution of
alarm the governance practices and deviate the attention
independent directors in board of directors and their role in
towards the improvement of governance. The journey for
corporate governance.
improving the governance practices can be pinned to start
from the establishment of SEBI in 1992. After that regular Bringing the context to India, SEBI, in 2000, introduced the
efforts at regular interval can be seen in Indian economy to independent directors on the board in India to strengthen
improve the corporate governance system. SEBI formed the corporate governance (Kumar & Singh, 2012). Major
committees to review the corporate governance in India committees like Birla Committee, 2000; Chandra
(Jackling & Johl, 2009). Clause 49 is the major steps Committee, 2002 and Narayanan Murthy Committee, 2003
towards coding corporate governance in India. India formed by SEBI to improve the corporate governance has
brought in improvements in corporate governance by supported and recommended the inclusion of compulsory
bringing in changes and amendments in Companies Act, position for independent directors. In 2004, Clause 49
2013. revised the listing agreement to clearly define the minimum
required proportion of independent directors in the listed
BOARD STRUCTURE DYNAMICS
companies.
Board structure is the part of the organization which play
The literature shows a mixed response from all around the
important role in the firm profitability. Board independence
globe. Positive relationship of independent directors with
is one of the building blocks that imbibes the exercise of
firm profitability is found by Black, Jang & Kim (2006),
free will and independence in major decisions of
Kumar & Singh (2012), Duru, Lyenger & Zampelli (2016).
corporates. Accounting scandals around globe has placed
And reverse relationship found by Bhagat & Black (1999),
pressure to create the place of independent directors on the
Guest (2009). While Ness, Miesing & Kang (2010), Zabri,
board. Having minimum number of independent directors
Ahmed & Wah (2016) found no significance between
on the board is a key element for good corporate
independent directors and firm performance. It means there
governance system (Black, Jang & Kim, 2006).
is no single picture in global economy of independent
Independent directors aim to increase the firm performance
directors and firm profitability. We cannot deny the role
and bring in transparency in the corporate governance
and importance of independent directors on the board.
(Wang, Davidson & Wang, 2010). Companies Act 2013 in
Addition in support by the suggestions and implications in
sub section 6 of section 149 has defined the term
favour of independent directors all around the globe
independent directors, while sub section 4 of section 149 of
inspired us to examine the dynamics and relationship of
Companies Act 2013 has defined the mandatory
independent directors.
requirement of independent directors in listed companies in
India. In India first time Clause 49 of listing agreement has
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Presence and effectiveness of independent directors on the Bhagat & Bolton (2008), Wintoki, Linck & Netter (2012),
board is today‟s need of every economy. In India, we need we have taken the percentage of non-executive/independent
a strong role of independent directors. Ness et al., (2010) directors on the board as on the last day of the financial
suggest independent directors as strong action takers. year.
Moreover, they contribute in turnover of top management
Board Size: Board size refers to the total strength of
by most likely to replace poorly performing CEO (John &
members on the board. Board size differs in almost every
Senebt, 1998). Independent directors are preferred by
company (Zabri et.al., 2016) because of different cultures
almost all the global corporate governance principles
and different economic conditions. Board size is measured
introduced. Jackling & Johl (2009) suggest a positive
by number of directors on the board (Shen & Lin, 2009;
relationship between the proportion of outside directors on
Zabri et.al., 2016).
the board and independent monitoring of the board. The
role of outside directors is an area of concern for today‟s Gender Diversity: Following Dang, Houanti, Reddy &
corporate governance practices. Fich & Shivdasani (2006) Simioni (2020), we measure „gender diversity‟ as
found negative relationship between outside directors and percentage of Women directors on board calculated as the
firm performance in USA. In Korea, a positive relationship total number of women as board members or directors
was found between outside directors and firm performance divided by the total number of board members.
(Cho & Kim, 2007). Independent directors also have a
mixed picture of relationship in global economy. Our study Top management duality: Top management duality
also tries to investigate the relationship of board means that the top board members hold more than one chair
on board of directors (Shen & Lin, 2009; Kota & Tomar,
independence with board turnover and then with
2010).
subsequent firm profitability.
Board turnover: Following the approach of Kato & Long
METHODS
(2006), the term „Board turnover‟ focuses on change in the
Sample: This study covers listed companies of India to chairs of executives who are considered as top executives
verify the dynamics of board independence. NSE and BSE and key personals of the company.
are the two major stock exchanges in India. The study has
taken the sample from NSE 200 listed companies on 31st ANALYSIS AND DISCUSSION
March 2017. Out of total companies listed on NSE 200, our To verify the dynamics of board independence, the study
sample consists 70 listed firms. The period of data collected uses a matrix of four quartiles which represents the
is of 10 years from financial year 2007-08 to financial year percentage of firms. And when we try to find the
2016-17. The final data consists of total 700 firm-year relationship of board independence, we use OLS
observations. All data obtained from annual reports of regression. The study makes a matrix which has four
respective companies. Firms not included in sample has quartiles and has nine years. First year is the base year in
been rejected on some base like lack of data, financial which firms are divided into four quartiles according to the
sector, split in face value of share, change in financial year volume of independence. Then the results of first year
of reporting and absence of trading on NSE. compared with remaining nine years and then matrix
presents the position of firms in the different quartiles on
MEASURES
the basis of first year.
Board independence: Board independence means
independent directors on the board. Considering studies
Table 1: Summary statistics of key variables

Variables No of Obs. Mean Median Mode Standard Deviation Range
Board Size 700 10.386 10 10 3.035 3-20
Board independence 700 52.145 50 50 11.910 0-100
Gender Diversity 700 7.112 7.205 0 7.367 0-33.33
TM Duality 700 0.699 1 0 0.676 0-2
In statistical analysis the study has considered mean, time. We analyse the persistence of board independence
median, mode, standard deviation and range of all the over the period considered in the study. The companies of
variables. All these measures have presented the overall the sample are sorted in four quartiles on the basis of level
picture of all the variables taken by study for analysis. In of board independence. Then we repeat this process for
regression analysis, all the discussed variables are remaining all financial years. This provides us quartiles
independent and board turnover is dependent. Further, we for each year sorted on the basis of board independence.
try to examine the dynamics of board structure by studying Thus, we try to gain insight to the extent a company sticks
the board independence across years. Hermalin & to a quartile over the period of the study. This provides us a
Weisbach (1998) put it rightly for the board structure, big picture on the pattern of board independence for the
“strong, independent boards will beget stronger, more firms considered in the sample. The following table has
independent boards than will weak boards” (p. 107). This shown the percentage of companies in the respective
implies us to expect that board structures are stable over quartile in a year.
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Table 2: Transition matrix of board independence.
Year 2 3 4 5 6 7 8 9 10
Year 1 Quartile 1
Quartile 1 64.71 58.83 17.65 17.65 17.65 17.65 17.65 17.65 17.65
Quartile 2 23.53 23.53 41.18 41.18 35.29 41.18 41.18 41.18 41.18
Quartile 3 11.76 11.76 29.41 29.41 35.29 29.41 29.41 29.41 29.41
Quartile 4 0 5.88 11.76 11.76 11.77 11.76 11.76 11.76 11.76
Year 1 Quartile 2
Quartile 1 29.41 23.52 29.41 23.53 17.65 29.41 29.41 29.41 29.41
Quartile 2 47.06 47.06 23.53 35.29 35.29 17.65 23.53 23.53 23.53
Quartile 3 17.65 29.42 23.53 23.53 23.53 23.53 23.53 23.53 23.53
Quartile 4 5.88 0 23.53 17.65 23.53 29.41 23.53 23.53 23.53
Year 1 Quartile 3
Quartile 1 11.76 17.65 29.42 23.53 17.65 29.41 29.41 29.41 29.41
Quartile 2 17.65 17.65 11.76 11.76 17.65 11.76 11.76 11.76 11.76
Quartile 3 58.83 47.05 23.53 29.42 23.52 23.53 23.53 23.53 23.53
Quartile 4 11.76 17.65 35.29 35.29 41.18 35.3 35.3 35.3 35.3
Year 1 Quartile 4
Quartile 1 0 0 15.79 21.05 15.79 15.79 15.79 15.79 15.79
Quartile 2 10.53 10.53 0 21.05 26.31 26.31 26.31 26.31 26.31
Quartile 3 10.53 10.53 21.05 21.05 21.05 21.05 21.05 21.05 21.05
Quartile 4 78.94 78.94 63.16 36.85 36.85 36.85 36.85 36.85 36.85
(Source: Author‟s compilation)
For examining persistence, we use transition matrix for To examine further, we perform ordinary least square
board independence, as shown in table above. Persistence regression over the current data set using cross sectors. We
shows the probability of transition from one quartile of estimate the following model:
board independence to another. We find that board
(
independence is most persistence for quartile 1. The firms
)………(Equation 1)
in quartile 1 in year 1 try to stick around in quartile 1 or 2
for the following years. Whereas, the firms in quartile 4 Where is defined as the level of board independence
indicate maximum dispersion i.e., they try to move to measured with number of independent members of board.
quartile 3 or 2 in the following years. Additionally, we also TM Duality is the duality of top management chair; GD is
observe that the probability of a firm staying in some the level of gender diversity measured as the percentage of
quartile reduce after following three years. For example, women directors on the board; BS is the size of the board
64.7% of firms of quartile 1 of year 1 remain in quartile 1 as number of directors on the board; NBM is the number of
in year 2 and 58.8% of firms of quartile 1 of year 1 remain board meetings held during the year; represents a vector
in quartile 1 for year 3. Further, only 17% of firms of of firm level control variables including log book assets
quartile 1 of year 1 remain in quartile 1 after 3 years. (TA), total asset to equity (TDE), market value of firm
Additionally, 41.17% of quartile 1 of year 1 will move to (MV), age (AGE); and represents random errors
quartile 2 after 2 years. We find persistence for next 2 – 3 clustered at firm level.
years and thereafter, the boards try to stick around the
original quartile. We find that boards which are Table 3 shows results of OLS regression. Table presents the
independent during the initial years are the strongest results of model A, B and C. Model A considers the
predictor of board independence few years later. It has been complete data set consisting of the cross section of all firms
observed that boards attempt to maintain the levels of for all firm years. Model B presents the results for sub
independence over the long horizons. While board structure sample comprising of cross section of all firm years for
in terms of independence is sticky, still it has not been which the board turnover has taken place for the year.
considered fixed. Model C presents the results for the sub sample constituting
the cross-sectional observations for the firm years during
which no board turnover has taken place.
Table 3: OLS regression for board independence.
Model A Model B Model C
Dependent Variables Coefficient p-value Coefficient p-value Coefficient p-value
TM Duality 0.3425 0.0000*** 0.3078 0.0709* 0.3477 0.0000***
GD 0.0008 0.989 0.0347 0.7746 -0.0219 0.7423
BS 0.4788 0.0000*** 0.4666 0.0000*** 0.4834 0.0000***
NBM -0.0999 0.0000*** -0.0119 0.7572 -0.1044 0.0000***
TA -0.0271 0.297 -0.1070 0.0729* 0.0120 0.6781
TDE -0.0475 0.3141 -0.7355 0.0006*** -0.0106 0.827
AGE 0.0026 0.1394 0.0007 0.8168 0.0027 0.1924
MV 0.000 0.6322 0.0000 0.7284 0.0000 0.9057
Industry effect - - - - - -
Time effect
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Constant - - - - - -
1.0303 0.0008*** 1.1767 0.1306 0.7247 0.031**
R-squared
Adjusted 0.6342 0.6482 0.6484
R-squared
Number of 0.6289 0.6192 0.6421
Observation
700 132 568
* p < 0.10, ** p < 0.05, *** p < 0.01
(Source: Author‟s compilation)
The results show that in full sample TM Duality (p < 0.01), constructs the transition matrix for longitudinal variation in
BS (p < 0.01) and NBM (p < 0.01) hold significant levels of board independence for the complete sample for
relationship with board independence. Their coefficients ten years. All the companies have been ranked and sub
shows that TM duality (0.3425) and BS (0.4788) are in divided into four quartiles. This helps us to identify how
positive relation with board independence, while NBM (- much persistence is in companies‟ levels of board
0.0999) is in negative relation with board independence. It independence over the period of time and also helps us in
means that Top management duality and board size are answering the question „are the boards consistently follow
positively significant with board independence, while the approach of independence?‟. By dividing the whole
number of board meeting is negatively significant with sample into four quartiles, the study then analyses to what
board independence. The results of model B (firm years length of time the company sticks to the same quartile and
having board turnover) shows that TM Duality (p < 0.10), if it shifts to another quartile, then what‟s the direction of
BS (p < 0.01), TA (p < 0.10) and TDE (p < 0.01) hold shift? Results show that the firms in second and third year
significant relationship with board independence. try to maintain their existing position. From fourth year
Coefficient of TM Duality (0.3078) and BS (0.4666) onwards they are consistent in their position. First quartile
showing positive relationship with board independence, firms up to third year tried to be in first quartile and then
while coefficients of TA (-0.1070) and TDE (-0.7355) they shuffle. We observed similar trends for the remaining
showing inverse relationship with board independence. It quartiles. However, the firms in last quartile tend to face a
indicates that top management duality and board size are big question of improvement and attempt to secure position
positively significant, while total assets and debt to equity in the upper quartiles. We observed the reverse for firms in
are negatively significant with board independence. At last, quartile one as far as maintaining a position in quartile one
when we talk about model 3 (firm years having no board is concerned. The firms which once held a position in upper
turnover) TM Duality (p < 0.01), BS (p < 0.01) and NBM quartile tend to stick around the same. We have observed
(p < 0.01) having significant relationship with board some stickiness in these dynamics. We must encourage and
independence. Coefficient of TM Duality (0.3477) and BS secure the contribution of independent directors on the
(0.4834) are showing positive relationship with board board of directors.
independence, while NBM (-0.0106) is showing negative
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DIGITAL MARKETING EFFECTIVENESS STUDY: A SPECIAL FOCUS ON

Article · August 2021

Amol Kumar Asif Ali Syed

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EDITORIAL BOARD ISSN No: 2278-7925

EDITORIAL ADVISORY BOARD

Dr. Manisha Gupta

1. IMPACT OF DEVELOPMENT-ORIENTED HR PRACTICES ON ORGANIZATIONAL PERFORMANCE IN

2. JOB RESOURCES AND WORK ENGAGEMENT: MEDIATING ROLE OF JOB SATISFACTION

3. AN EMPIRICAL STUDY ON SUCCESSION PLANNING & PRACTICES IN FAMILY BUSINESS

4. AN ANALYTICAL CLOSED FORM SOLUTION BASED ON BLACK-SCHOLES MODEL WHICH

5. AWARENESS AND UNDERSTANDING OF XBRL IN INDIA: AN EXPLORATORY STUDY OF

6. DIGITAL MARKETING EFFECTIVENESS STUDY: A SPECIAL FOCUS ON PROMINENT FUTURISTIC

8. WORK LIFE BALANCE: AN OVERVIEW

9. IMPACT OF PERFORMANCE MANAGEMENT SYSTEMS (PMS) ON EMPLOYEE ENGAGEMENT

10. EFFECTS OF GREEN ADVERTISING ON CONSUMER BEHAVIOR TOWARDS GREEN PRODUCTS: A

11. THE PESTER POWER LEVEL IN AUTOMOBILE ADVERTISEMENTS-AN EMPIRICAL PERSPECTIVE

13. AN EMPIRICAL STUDY OF CONSUMERS’ PERCEPTION AND ACCEPTANCE TOWARDS GREEN

14. INTELLECTUAL CAPITAL AND FIRM PERFORMANCE: A SYSTEMATIC LITERATURE REVIEW

15. RETENTION OF EMPLOYEE USING TAGUCHI LOSS FUNCTION

16. A CRITICAL ANALYSIS OF PERFORMANCE OF AGRO BASED INDUSTRIES IN INDIA

19. AUDIT COMMITTEE SIZE AND ITS IMPACT ON SHAREHOLDER VALUE

20. MEASURE THE RELATIONSHIP BETWEEN PROCESSING AND WORKING MARKETING

22. A STUDY OF INFORMATION TECHNOLOGY INFRASTRUCTURE IN CO-OPERATIVE, NATIONALIZED

23. AN EMPIRICAL INVESTIGATION ON THE UNDERPRICING OF INITIAL PUBLIC OFFERINGS –

24. CONSUMER PERCEPTION TOWARDS E-PHARMACY IN GUJARAT

25. AN EMPIRICAL APPROACH ON THE EFFECTIVENESS OF THE EMPLOYEE ENGAGEMENT UNDER

26. IMPACT OF INDUSTRIAL ACCIDENTS ON EMPLOYEES BEHAVIOUR AND PRODUCTIVITY

28. IMPACT OF CELEBRITY ENDORSEMENT ON BRAND PROMOTION

29. DERIVATIVES FOR MANAGING EXPOSURES: A COMPREHENSIVE REVIEW OF USAGE,

30. DYNAMICS OF BOARD INDEPENDENCE FOR LISTED COMPANIES IN INDIA

Table 2. EFA Results

Table 3. Descriptive Statistics, Correlation, and Reliability analyses

DISCUSSION AND CONCLUSION health services research, 18(1), pp. 1–9.

Job Resources (IV)

Source: Based on the literature

DATA ANALYSIS AND RESULTS

1. Young Business Family 1. Start-up

The Family System The Business System

From Generation to Generation: Life Cycles of the Family Business

Divisional Headquarter (in alphabetical

Now, by using (2.2), we have

The dynamics of the risky price asset is given by

dS (u)  S (u)   du   dW (u )  , t  u  T (2.4)

with r  0 as the constant, continuously compounded interest rate.

dX (u)  rX (u)  (   r ) (u) du   (u) dW (u)

dX (u)  rX (u)  (  r ) (u)  c(u) du   (u) dW (u)

The dynamics of the European call are

Using the hedging assumption (see, Cvitanic and Zapatero

Now, by using equation (2.8), we get put premium as Pp  t , s   $4.67

Now, by using equation (2.8), we get put premium as Pp  t , s   $6.92

Table II: Awareness of XBRL

Table IV: Understanding of XBRL

Table V: Potential benefits of XBRL

(Statements adapted from Dunne et al. 2009: 47)

No. of Rooms 102490