Advances In Management

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Advances In Management






Vol. 6(8) August 2013

Knowledge Management for the Oil and Gas Industry – Opportunities and Challenges

Ramanigopal C.

In the current era of knowledge-driven society, knowledge becomes the most critical success factor in the current business environment. It needs to be handled and utilized effectively and efficiently to compete in the global market by creating a sustainable competitive advantage for the organisation. A technology-driven organisation needs to leverage knowledge management process to be effective and competitive, where professional can play an important role while managing the knowledge to handle the challenges comfortably. But the ability of handling cannot be inculcated within a day like technology; it is culture to be cultivated since a long time through experts and their experience they gained practices. The Oil and Gas industry has seen massive changes in the recent years influencing all its sectors, including searching, production, drilling and refining which in turn has great effects on their market and marketing strategies, production strategies and research and development strategies. These changes can only be achieved through effective knowledge management, covering both knowledge production or generation and knowledge sharing or transformation and distribution. That is not the issue today, where making the most of an oil field is a knowledgeintensive affair involving expertise in engineering, earth science and facilities maintenance.

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Impact of Foreign Direct Investment on Indian Economy

Rangappa E.

Investment provides the base and pre-requisite for economic growth and development. Apart from a nation’s foreign exchange reserves, exports, government’s revenue, financial position, available supply of domestic savings, magnitude and quality of foreign investment are necessary for the well being of a country. Developing nations, in particular, consider FDI as the safest type of international capital flows out of all the available sources of external finance available to them. FDI provides a win – win situation to the host and the home countries. Both countries are directly interested in inviting FDI because they benefit a lot from such type of investment. There is a considerable change in the attitude of both the developing and developed countries towards FDI. They both consider FDI as the most suitable form of external finance. FDI is a predominant and vital factor in influencing the contemporary process of global economic development. This study is entirely based on secondary data. The present study is limited to assess the determinants of Foreign Direct Investment flows and its impact on Indian economy. It is concluded that the Government should design the FDI policy in such a way where FDI inflows can be utilized as means of enhancing domestic production, savings and exports through the equitable distribution among states so that they can attract FDI inflows at their own level. FDI can help to raise the output, production and export at the sectoral level of the Indian economy. It is advisable to open up the export oriented sectors and higher growth of economy could be achieved through the growth of these sectors.

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An Empirical Analysis on Long Term and Short Term Relationship between the Spot and Future Prices of India Crude Oil Market

Purushothaman S.* and Velmurugan P.S.

The present study is to test for the existence long term and short term relationships between Spot and future of crude oil prices from India (MCX). The crude oil spot and future price is collected. 2018 observations are collected from Multi Commodity Exchange (MCX) from 29th April 2005 to 31st December 2011. In the study we used Johansen cointegration and Vector error correction model (VECM) respectively. The first step in the analysis is stationarity of spot and future prices of crude oil through unit root test ADF and PP test. Two variables are stationary at 1st difference. Based on the Johansen co-integration and Vector error correction model (VECM), the price discovery is achieved from the both the market and has long term and short term relationship between them at 1%, 5% level of significance.

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Socio-Economic and Environmental Impact Assessment: A Study of Pharmaceutical Industry in Sikkim

Mishra Manjushree* and Jha Ajeya

From the literature survey we find that Industrialization in general and pharmaceutical industry in particular have invited attention of several researchers all over the world because of their socio-economic and environ-mental impact. Also, the post 1991 economic scenario in which India embraced Globalization, Liberalization and Privatization is of critical interest for researchers due to its far-reaching impact on the socio-economic and environmental aspects. Sikkim has remained largely untouched from any such scholarly scrutiny. Further, Sikkim, being one of the youngest states (having attained statehood as recently as 1975) offers interesting and important case study in this respect. This is also because Sikkim was largely an agricultural economy till now after attaining statehood. Its tryst with industrialization is in its nascence. Arrival of over 25 large pharmaceutical plants in such a small mountainous state is a unique phenomenon that justifies a critical look into it.

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The Effect of Subsidiary-Specific Capabilities on Performance in the Korean Market

Kwon Yung-Chul

This paper examines the importance of the foreign subsidiaries’ initiatives on their survival and growth in host countries. More specifically, we have analyzed the influence of subsidiary-specific capabilities in terms of business performance. The analysis has been conducted for 127 foreign subsidiaries located in Korea. The result shows that subsidiary-specific capabilities, including innovation and networking capabilities, have positive influences on business performance. The research is expected to contribute to developing a mechanism to enable the sustained growth of foreign subsidiaries in host countries.

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Macroeconomic Variables on Stock Market Interactions: The Indian Experience

Sangmi Mohi-u-Din and Hassan Mohd. Mubasher*

To examine the effect of macroeconomic variables on the stock price movement in Indian Stock Market, six variables of macro-economy (inflation, exchange rate, Industrial production, Money Supply, Gold price, interest rate) are used as independent variables. Sensex, Nifty and BSE 100 are indicated as dependent variable. The monthly time series data are gathered from RBI handbook over the period of April 2008 to June 2012. Multiple regression analysis is applied in this paper to construct a quantitative model showing the relationship between macroeconomics and stock price. The result of this paper indicates that significant relationship occurred between macroeconomics variables and stock price in India.

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Role of Pay as Perceived Organizational Support Contributes to Employee’s Organizational Commitment

Nitesh S.1*, NandaKumar V.M.2 and Asok Kumar S.3

This study investigated the relationships among employees’ pay and perceived organizational support (POS), employees’ organizational commitment (OC) and employee turnover. The study conducted among 200 employees drawn from various five-star hotels shows that pay was positively, related to temporal change in POS, suggesting that it leads to POS. The next study establishes that POS is positively related to the OC. Similarly the third study establishes that POS facilitates a negative relationship between OC and voluntary employee turnover. These studies suggest that the pay identified with the organization contributes to POS and ultimately to OC and job retention.

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Empirical study on Impact of NIFTY Price to Earnings, NIFTY Price to Book Value, NIFTY Dividend Yield on NIFTY for the years from 1st January 2001 to 31st March 2013

Yadav Shailaja

Impact of NIFTY Price to Earnings ratio (P/E), NIFTY Price to Book Value ratio (P/B), NIFTY Dividend Yield ratio has been of considerable interest since last decade. This study tests the impact of NIFTY Price to Earnings ratio, NIFTY Price to Book Value ratio and NIFTY Dividend Yield ratio on National Stock Exchange’s index i.e. NIFTY closing prices during the period of 1st January 2001 to 31st March 2013. Data was analyzed using inferential statistics i.e. Karl Pearson’s Correlation Coefficient Regression for this study. Findings revealed that closing Price of NIFTY has positive correlation between both i.e. NIFTY Price to Earnings ratio and NIFTY Price to Book Value ratio. Whereas closing price of NIFTY shows negative correlation with NIFTY Dividend Yield ratio, NIFTY Price to Earnings ratio and NIFTY Price to Book Value ratio show positive correlation with each other, whereas NIFTY Dividend Yield ratio show negative correlation with both NIFTY Price to Earnings ratio and NIFTY Price to Book Value ratio. Regression study reveals that NIFTY Price to Earnings ratio, NIFTY Price to Book Value ratio and NIFTY Dividend Yield ratio has an impact on NIFTY returns. NIFTY Price to Earnings ratio and NIFTY Price to Book Value ratio have positive impact on NIFTY returns whereas NIFTY Dividend Yield ratio has negative impact on NIFTY closing prices.

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