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I.B.M.R. WAKAD’S JOURNAL OF MANAGEMENT RESEARCH ISSN 2349 – 8722
ISSUE-6 (OCTOBER 2018 - MARCH 2019)
From Editorial Board
It gives me immense pleasure in presenting this 6th issue of our Research Journal.
The Present issue covers the theme of “Emerging Trends in Corporate Finance &
Financial Services”. Corporate Finance is the study of a business's money-related
decisions, which are essentially all of a business's decisions. Despite its name,
corporate finance applies to all businesses, not just corporations. The primary goal
of corporate finance is to figure out how to maximize a company's value by
making good decisions about investment, financing and dividends. Financial
services are the economic services provided by the finance industry, which
encompasses a broad range of businesses that manage money, including credit
unions, banks, creditcard companies, insurance companies, accountancy companies
, consumer-finance companies, stock brokerages, investment funds, individual
managers and some government-sponsored enterprises. Financial services
companies are present in all economically developed geographic locations and tend
to cluster in local, national, regional and international centers. This issue is an
attempt to address emerging trends in Corporate Finance & Financial Services.
My heartfelt Thanks to all the authors who have contributed in framing this issue
by their innovative ideas and deep study.
Prof. Dr. RoopaliKudare

Editor-in-chief
Table Of Contents
Sr. Title Of The Paper Author/S Page
No. No.
1. Provisions of Merger and Dr. DattatrayMarutiKhune 1-6
Amalgamations Under Companies
Act 2013
2. A Research Study on Performance RaghavendraRaoRentala 7-15

and Prospects of Flipkart in Indian
E-Commerce Industry
3. Empowering Women Through Dr. B. Saranya 16-21

Micro Finance
4. An Overview of Financial Dr.Prakash.K.Vadavadagi 22-27

Inclusion
5. A Study of Perceptions of Prof Vijaya Hake 28-42

Investors with Special Reference DrYashwantVaisampayana
to Select Commodities During
Time Period
(2011-2013)
6. A Study on Carbon Credit Market AnishaMahindrakar 43-50

in India
7. Study On Impact of GST on Prof. Sagar S. Borate 51-55

Textile Industry Dr. NitinGhorpade
8. Women Entrepreneurship in India Dr. 56-62

AshwiniManikVatharkar
9. A Study of Indian Stock Market Prof. Mahendra Kailas 634-71

its Growth Sonawane
Dr. SampadaGupchup
10. Factors Affecting Perception of DrMaddhuJasola 72-79
Customers in Organized Retail
11. A Study on Availability of Prof. Amrita Karnawat 80-89

Opportunities for Investment and
Investment Avenues Followed by
People in India
12. A Study of Principal Component Prof. PrakashTukaramRaut 90-94

Analysis Technique in Face Dr. Girish S. Katkar
Recognition
13. A Study on Customer Satisfaction Sanjana Sanjay Pawaskar 95-98

of Jio Cell Phone Service Network
14. Financial Statement Analysis with Prof. SmitaWagh 99-106

the Help of Ratios NitinZadode
15. Emerging Trends of Rural Dr,MeenakshiDuggal 107-113

Marketing in India
16. The Task of Digital and Social ChaitraliChavan 114-120

Media Promotion in Customer
Behavior
17. The Impact of Artificial Tabrej J. Mulla 121-124

Intelligence in Financial Services
18. Green Marketing In India: An Mr.S.Praveen 125-132

Overview
PROVISIONS OF MERGER AND AMALGAMATIONS UNDER

COMPANIES ACT 2013
Dr. Dattatray Maruti Khune
Head Department of Commerce
Camp Education Society’s, Dr. Arvind B Telang Sr. College
Nigdi Pune
ABSTRACT:
Companies Act 2013 playing the vital role in the corporate sector. The act itself is
providing the various guidelines regarding procedural part for merger and
amalgamations of companies under section 232 of the act. This section is related to
the equity shareholders, preference shareholder, debenture holder and creditors, the
applications for amalgamation to be made to the tribunal under section 230 for the
sanctioning of a compromise or an arrangement proposed between a company and
such person mentioned in the section of the companies act. The proper guideline
given in the act that, the tribunal issues an order for merger and amalgamation of the
company.
Keywords: Compromises, arrangements, merger, amalgamation, companies act,
INTRODUCTION:
Compromise, arrangements and merger or amalgamations of companies is important

concept as per the Companies Act 2013. Under section 230 to 240 of Companies Act
content provisions on Compromises, arrangements and merger or amalgamations.
This section covers Compromise or arrangements, mergers or amalgamations of
companies in public interest. Under these sections the complete code contents
provisions regarding all forms of compromises with creditors and arrangements with
members given in details for the consideration the procedural aspects regarding these
terms mention properly under the rule made under chapter XV of the Companies
Act 2013
Objective of the study

The company’s act 2013 provides the details procedural part for the merger or
amalgamation of a company .The basic object of this study is to
1) Understand the meaning of merger as per company’s act 2013
2) To understand the meaning of amalgamation as per the companies act 2013
3) To under the procedure for merger or amalgamation
4) To know the power of tribunal regarding merger or amalgamation as per
companies act 2013.
5) To know the effects of merger or amalgamation with transferee company.
6) To analyses the actual number of cases of amalgamation or merger in India of
last Three years
Page 1
Meaning: - Companies Act 2013 under section 230 states the vital concept that
compromise and arrangements under this section the proposal for arrangements and
compromise given between a company and its creditors or the arrangements or
compromise between company and its members. As per section 232 it is clearly
specify that regarding merger or amalgamation of any two or more company and also
the scheme of amalgamation for whole or any part of the undertaking, property or
liabilities of any company is required to be transferred to another company or is
proposed to be divided among and transferred to two or more companies.
Compromise- as per Companies Act 2013 the compromise is not defined but
compromise isnothing but agreement between two or more parties to a controversy to
settle their differences bymaking mutual understanding, concessions and
rearrangement as distinguished from adjudicationon the basis of an exact
ascertainment of the opposing rights, therefore the compromise is narrowterm as
compared to the arrangement.
Arrangement: - arrangement is a widen term applied in the company law it includes

Reorganization of share capital of a company or by the division of shares into shares
of different classes or by both these methods. It also includes the arrangement of
debenture holders for extension of payment, releasing their security in a whole or in a
part. In case of preference share holder the arrangement includes the change of
preference dividend rate or reorganization of share capital or waiver of their arrears of
dividend.
Merger: -under this scheme the property and liabilities of one or more companies are
to be transferred to another existing company. In case of property and liabilities of
two or more companies are to be transferred to a new company whether or not a
public company it is a merger by formation of a new company.
Amalgamation:-Under the scheme of amalgamation the whole or part of the

undertaking, property or liabilities of any company i.e. transferor company is required
to be transferred to another company i.e. transferee company or is proposed to be
divided among and transferred to two or more companies. The tribunal may an order
to the creditors or class of creditors or members or class of members as the case may
be under the provision of sub section (3) to (6) of section 230 of the act
The Act:- means Companies Act 2013
Proposed draft of terms of the amalgamation scheme
As per section 232 (2) the legal procedural part for amalgamation is properly stated
regarding the proposed terms and condition with draft in these section, after the
proper application the tribunal may order to the merging company or the companies in
Page 2
respect of which division is proposed for the regular draft of merger and
amalgamation.
1) Proposed draft:- the draft of proposed terms of the amalgamation scheme
drawn up and adopted by the merging company.
2) Confirmation of the draft scheme has been filled with the Registrar of
company.
3) Report adopted by the directors of the merging company explaining effect of
compromisein each class of shareholder, key managerial personnel, promoters
and non-promoters shareholders laying out in particular the share exchange
ration specifying any special valuation difficulties.
4) The report of expert with regards to the valuation of properties if any.
5) Supplementary accounting statements:- the last annual accounts of any of the
mergingcompany relate to financial year ending more than six ,month before
the first meeting of the company summoned for the purpose of approving the
scheme.
Order of National Company Law Tribunal on agreement of compromise or

arrangement under section 230 (3) of the companies act 2013
The National Company Law Tribunal after satisfying itself that they may order,
sanctioned the compromises or arrangements or by a subsequent order make provision
for the following matters namely
1) Tribunal order regarding date of transfer
2) Tribunal order in respect of transfer of instrument
3) Tribunal order of legal proceeding
4) Tribunal order regarding dissolution of companies
5) Tribunal order in respect of provision for dissent person
6) Tribunal order in respect of NRI holder
7) Tribunal order regarding employees transfer
8) Tribunal order with respect to listed company to unlisted company
9) Tribunal order for fees in authorize share capital
10) Tribunal order in respect of certificate by company auditor
The Tribunal issue an order for the transfer to the transferee company of the whole or
any part of undertaking, property or liabilities of Transferor Company from the date to
be determined by the various parties. The tribunal also order in respect of the
allotment or appropriation by the transferee company of any shares, debentures,
policy or any other instrument under these scheme are to be allotted to or for any
person.
Effect of an order of National Company Law Tribunal
As per Companies Act 2013 under section 232 (4) state that where an order under
Page 3
this section provides for the transfer of any property or liabilities then by virtue of
order that property shall be transferred to the transferee company and the liabilities
shall be transferred to and become the liabilities of the transferee company.
Once the order received from tribunal the said certified copy of order to be filled with
theregistrar of company for registration within 30 days from the receipt of the order.
Under this section it indicate that appointed date from which it shall be effective and
the scheme shall be deemed to be effective from such date and not at a date
subsequent to the appointed date.
As per the order of the Tribunal, every company in relation to which order is made
shall, until the completion of scheme it is binding to file a proper duly certified
statement by a Chartered Accountant or a Cost Accountant or a Company Secretary to
the registrar of company every year.
In case of Contravention of scheme:-
If a transferor company or a transferee company contravenes in that case they shall be

punishable with a fine which shall not be less than Rs.100000/- but which may
extended to Rs.2500000/- to the company and every officer of such company who is
default shall be punishable with imprisonment for a term which may be extended to 1
year or with a fine shall not be less than Rs.100000/- but which may be extended to
Rs.300000/- or with both.
Special Provisions of Section 233 of Companies Act 2013 Regarding Merger or

Amalgamation of Certain Companies:-
As per section 233(1) a scheme of merger or amalgamation may be entered into

between two or more small companies or between holding company and its wholly
owned subsidiary company as prescribed under
1) Notice for the proposed scheme inviting objections or suggestions if any from
registrar ofcompany of Regional office and from official Liquidator where
Registered office of respective companies situated in region.
2) Notice for the proposal shall be issued within 30 days from the date of
proposed scheme.
3) Objections and suggestions received shall be considered by companies in their
respectivegeneral meeting and the approval for the scheme must be given in
the general meeting at least 90% of the total number of shares
4) Each of the company involved in the merger must file a declaration of
solvency in prescribedform to the registrar of company at their Region where
the company is situated.
5) In case of creditors the scheme the 90% majority representing creditors in
value or class ofcreditors should sanction the scheme. For the meeting of
creditors minimum 21days notice to be given to the respective creditors.
Page 4
As per section 233(2) the transferee company shall file a copy of scheme approved to
the Central Government, Registrar and official Liquidator where the company is
Registered. When the proper scheme of merger or amalgamation received from
companies and ifthe registrar or official liquidator has no objections or suggestion to
the scheme then the Central Government confirmed the scheme of amalgamation or
merger of the company. However if there is any suggestions or objections regarding
merger or amalgamations to the Registrar of Companies or Official Liquidator of the
Companies then he should communicate to the Central Government within 30 days
from the date of receipt of the scheme. The Registrar of the Companies and official
Liquidator of companies analyses the scheme and quote the objections to the company
within specified period however if he do not raise the objections within a period and
not communicated to the Central Government then it shall be presumed that there is
no objections to the scheme of merger or amalgamations.
If the Central Government after receiving the objections and suggestions for such a
scheme is not in public interest or in the interest of the creditors it may file an
application before the Tribunal within a period of 60 days from the date of receipt of
such scheme that the Tribunal may consider the scheme under section 232.
Effects of merger or amalgamation scheme:-
Once the merger or amalgamation scheme approved or order finalized by the

Tribunal the following are the main effects to the companies.
1) Transfer of Properties or Liabilities of the transferor company to the transferee
company sothat the properties and liabilities become the properties and
liabilities of Transferee Company.
2) The charges if any on the property of Transferor Company shall be applicable
and enforceableas it is the charges of Transferee Company.
3) Legal proceeding of Transferor Company pending before any court of law
shall be continuedby or against the transferee company.
4) Unpaid liabilities of creditors of Transferor Company become the liabilities of
TransfereeCompany.
Statistical data for closure of companies of Last Three years:
Sr. No. Particulars No of Companies
31.03.2015 31.03.2016 31.03.2017
1 Liquidated / Dissolved 10,264/- 10,360/- 10,320/-
2 Defunct / Struck-off 2,38,417/- 2,38,417/- 2,62,690/-
3 Amalgamated / Merged 15,365/- 16,989/- 18,854/-
Dissolved and Converted to
4 LLP 4,096/- 7,006/- 9,914/-
Total 2,68,142/- 2,85,845/- 3,01,778/-
Reference:- MCA site Annual Report dated on 31.03.2015, 31.03.2016, 31.03.2017
Page 5
CONCLUSIONS
1) Companies Act 2013, section 232 and 233 had given the detail procedure for
merger and amalgamation of companies.
2) The proper application for merger and amalgamation of companies shall be
filled to the National Company Law Tribunal.
3) Tribunal ordered to the transferor and transferee company with the terms and
condition for the merger or amalgamation.
4) In case of contravention of order given by Tribunal the company and officer of
such company who is in default shall be punishable with imprisonment and
fine as per section 232 (8) .
5) The regular statement and reports to be submitted by company to the Registrar
of company for completion of scheme order by the Tribunal.
6) During the last three years 51,208/- companies were merged and amalgamated
in India.
REFERENCES
1) Taxmann’s Companies Act 2013 with rules- September 2017

2) The Institute of Chartered Accountant of India- study material Final corporate
andeconomic laws chapter 5
3) www.icaiacknowledgegetway.org
4) www.taxguru.in/company-law
5) MCA Annual Reports 2015, 2016 and 2017
Page 6
A RESEARCH STUDY ON PERFORMANCE AND PROSPECTS OF

FLIPKART IN INDIAN E-COMMERCE INDUSTRY
Raghavendra Rao Rentala
Assistant Professor(Commerce), Department of GEBH
Sree Vidyanikethan Engineering College,
A.Rangampet, Tirupati-517102
Andhra Pradesh.
Email Id: raghavendra.finance108@gmail.com
ABSTRACT
E-Commerce, the invariably used coined term used by most of the business houses
vis-à-vis customers in the current trending marketing practices. According to retail
consultant Technopak Advisors, India’s online market is projected to grow to $70
billion by the year 2020. The gap between the buyer and seller has got bridged
through the use of Information Technology (IT) and the usage of Internet with the
elite forces behind this are Online Marketing websites like Flipkart, Amazon, e-Bay,
Shopclues etc. Online shopping is booming in India with more than 300 plus million
internet users only but this has not stopped the digital commerce firms in establishing
itself in the country. The facts that the latest study by the Internet and Mobile
Association of India (IAMAI) has, in fact, found that at a CAGR growth rate of about
30 percent between December 2011 and December 2015, Indian digital commerce
stands at Rs 1,25,732 crore. The penetration of e-commerce is touching the top
notches. Predicting this, with a vision of Amazon of India, Flipkart enters into the
online market in 2007 by taking jeopardy in commencing a new endeavor but took
privilege in it today. Most of the online customers usually use “Flipkart” every time
as a rhyming word for their online purchases. But, the opponents in the form of
Amazon, Shopclues are always fighting to have an edge in the market over Flipkart.
This paper has done an analytical study on Flipkart financial Performance & how far
it is in profitable position despite of heavy discounts pouring in the market and tough
e-commerce game being played. The study finds some interesting facts and
observations which are incorporated in the paper.
Keywords: Online Marketing, E- Commerce, Customer Centrism, Information
Technology
1. INTRODUCTION
“E-Commerce” is the term that needs no introduction. It refers to the transactions of
goods and services through online and e-retail is a subset of E-Commerce. E-
Commerce has taken a new virtue of Industrial revolution and many professors,
experts and economists have concluded that the world is becoming very close and the
information being quickly accessed to pump the benefits to all techy-customers.
Information and Technology are the key drivers of this change. Globalization of
marketplace and the means of accessing through the national and global
Page 7
superhighways have given a new dimension of concept of information. As Professor

Tom Cannon has rightly stated that “The new industrial revolution that surrounds us
requires profound change in the way we consider enterprise, develop our businesses
, the way we manage and the structures within which we manage”. Business houses
now found that the traditional Brick and Mortar (BMS) system is not able to reach the
customer’s convenience and expectations and everything should be available and
amicable to customers within the given time period. Using Information Technology
has brought the real essence for this and has been playing a key role in this supply
chain management system. The gap between the buyer and seller has got bridged
through the use of Internet with the elite forces behind this are Online Marketing
websites like Flipkart, Amazon, e-Bay, Shopclues etc. These players are called as “E-
tailers”. These e-tailers created a new wave in the market for the online shopping
starting from ordering food, grocery, vegetables,fruits,taxis,electronics etc and now
has been expanding to other sciences like Agriculture , Pharmacy and Engineering
also. One of the e-tailers, Flipkart.com,which is a B2C platform and the most
rhyming and fancy word for many customers who do online shopping. The company
could be able to earn large amount of consumer satisfaction and loyalty with its
services to customers. But, according to Comscore, a proxy advisory firm, the
company has lots its first position to Amazon. Are they in losses? Is Flipkart in crisis?
This paper analyzes the evolution and evaluation of e-commerce in India and also the
reasons for low profitability of Flipkart. The research has found some interesting
aspects with regard to Flipkart and expressed some opinions of discussion from the
research.
2. OBJECTIVES OF STUDY
The current study has the following objectives to discuss:
 To understand the evolution and evaluation of E-commerce growth in India
 To analyze the Financial health and the unleashed factors for the
underperformance of Flipkart in the era of tough competition being played in
E-Commerce game.
3. RESEARCH METHODOLOGY
This kind of study can be done through the secondary sources and the main gamut of
discussion has been taken from various sources like Websites, Newspapers,
periodicals, books and journals. Also, some customers were enquired as a part of
analyzing the services of Flipkart to turn them into the research findings.
4. INDIA’S E-COMMERCE: SUBSTANTIAL GROWTH WAY

The new economic era witnessed a new technology known as “Digital Economy”. By
integrating the various online information management tools through the internet ,
various innovative companies set up systems for taking customers orders , payments,
Page 8
service and collection of marketing data and online feed back. These activities
collectively known as “ E-Commerce” (Electronic Commerce) or “Internet
Commerce” (I-Commerce). Electronic commerce operates in all four of the major
market segments: business to business (B2B), business to consumer (B2C), consumer
to consumer (C2C) and consumer to business (C2B). Almost any product or service
can be offered via ecommerce, from books, music to financial services and air
tickets.
By adopting the e-commerce practices, the companies have boosted up their net
profits , sales, net worth and permanently altered the competitive dynamics. E-
Commerce has unleashed the another revolution which has changed the way
businesses buy and sell products and services over the computer net works, e-
commerce helps traditional commerce through new ways of transferring and
processing information.In the beginning, internet connection was characterized by
slow dial-up connections and after that, Web browser had opened the doors of new
categorized way of marketing which has earned billions of dollars revenue to the e-
tailers. India at present has more than 280 million internet users and the number is
expected to reach 680 millions by 2020. Even though this number is not much
penetrated compared to developing economies like United Kingdom and United
States but growing with faster rate with lot of new entrants.
India’s market size of e-commerce was worth about $3.8 billion in 2009 and went
upto $14.5 billion in 2015. About 70% of India’s E-Commerce market is travel
related. India has presently 10 million online shoppers and is growing at an estimated
CAGR of 30% which is comparatively very high with global growth rate of 8 to 10%.
Indian digital commerce stands at Rs 1,25,732 crore. The penetration of e-commerce
is touching the top notches. Evolution of Online market place models with websites
like Jabbong.com, Flipkart, Snapdeal, Shopclues etc have made the usage of internet
by consumers for buying and selling at high frequencies.
4.1 DISCOUNT FUNDING MECHANISM IN E-COMMERCE BUSINESS

HOUSES:
Any e-commerce company should require the following components in their
operations.
 Quick Service
 Good Logistics
 Deep Discounts
 Customer Satisfaction
 Redressal Mechanism
Usually, e-commerce companies get deep discounts directly from the registered
sellers which account for about 20-30%. They sell them to their customers for further
discounts. For this, they compensate them with a bill at the end of the month/ half
Page 9
year which is popularly known as“ Discounted Funding Bill”.This structure was
explained in Figure 1.
offers deep ONLINE

dsicounts RETAILER
DISCOUNTED
FUNDING
BILL
MECHANISM
SELLS TO
REGISTERED CUSTOMERS
SELLER
VIA WEB
SETTLES THE
DISCOUNTS
FUNDING
@EVERY
MONTH
Figure 1: Discounted Funding Bill Mechanism in E-Commerce
But this only can happen, as long as they are funded and discounts are there. Once the
funds are dried up, but by the time, many people might be accustomed to online
trading. Moreover, some creepy minded people are there who usually buys the
commodity and uses for some time and then return the goods on the ground that they
are not up to the usage. Only addictive buyers will buy them. That is the reason many
of the sellers do not want to register themselves with any of the e-tailers. The other
way to attract them is to offer “Reward Points” for every purchase in online just like
as BMS business houses are offering.
5.0 Interesting Facts and Figures about Flipkart.com

 In 2008 , Flipkart was found by Sachin bansal ad Binny Bansal with an initial
outlay of Rs 4,00,000 in Bangalore. Both are ex-employees of Amazon.com and
also alumni of Indian Institute of Technology, Delhi.
 The firm was registered in Singapore as owned by a Singapore based holding
company named as “ Flipkart Pvt. Ltd, Singapore.
 Flipkart initially started its business with selling of books online
 It sources goods from manufacturers, sells those goods to many of its third-party
sellers who then, in turn, offer those products to shoppers. Flipkart provides the
technology platform and logistics services and takes a commission on every sale
on its site.
 The main competitors for Flipkart are Amazon, Snapdeal and e-bay
 The total fund received by Flipkart as of January 2016 was $ 3.5 billion
Page 10
 The market valuation of Flipkart as of January 2016 was $ 15 Billion

 The Big Billion Day announced in October 2014, was a big set back for Flipkart
as many customers lodged compliant against it for delayed and cancellation of
orders though booked properly.
 There are three entities registered in Singapore as 100% subsidiaries of FPL:
Flipkart Marketplace Pvt. Ltd, Flipkart Logistics Pvt. Ltd and Flipkart Payments
Pvt. Ltd.
 According to Sources, Tiger Global has invested more than $700 million in
Flipkart so far.
 It has acquired companies like Letsbuy.com, Myntra.com etc to mark its presence
in the Indian market.
 Right now, flipkart employs more than 33,000 work force with 3000 sellers on its
platform and delivering 5 million shipments per month with 147 different type of
products and selling a product for every two minutes on an average.
5.0 The Functioning of Flipkart Business Model & Sources of

Income:
The various options for selling and buying through Flipkart are through
 Flipkart website
 The web app
 The mobile app (Flipkart Lite)
 Social websites
Functioning of Flipkart Business Model can be shown below:
List sellers who sell the desired portfolio products
Get customers browsing through the products
Create appealing discounts
Customer shops for the desired product
Seller/Flipkart ships the product to customer
Product accepted and not returned by customer
Figure 2: Business model of Flipkart.com

Now, the seller will get his final price, after deducting the commission charged by
flipkart for doing everything they do. Thus the core bread and butter of the Model is
Page 11
GMV (GROSS MERCHANDISE VALUE) = “ % of Commission on the total

Sale value given to the seller”.
An e-tailer performance can be compared with the gamut of GMV for the period.
FLIPKART’S OTHER SOURCES OF INCOME
The e-commerce portal generates revenue not just by selling products but has various
revenue channels, some of which includes:
 Web portalCommission
 Listing and convenience fee
 Logistics charges from sellers and customers
 Digital Media advertising and branding
 Cash and carry
6.0 Financial performance of Flipkart:

Flipkart Ltd has grown its revenues nearly three times between FY2013 and FY2015
and improved its operating margins significantly in the same period. Flipkart Ltd
reports its financial results for the period April 1 to March 31. In FY2015, Flipkart
Ltd clocked Rs 10,245.8 crore in revenues, up 28.7%.Its operating margin improved
from -31.26% in FY2014 to -25.21% in FY2015. The e-commerce company, which
has seen multiple organizational changes in the last two years, seems to have held its
ground so far, although Amazon, has been gaining market share in the country. The
following informative graphic, put together from public sources and Flipkart
Ltd’s company profile lodged at the Accounting and Corporate Regulatory Authority
(ACRA), Singapore may not yet be a complete representation of the Flipkart
enterprise. But gives a fair picture of where it is heading. Flipkart’s revenues for
FY2016 is not available yet.
FLIPKART REVENUE GROWTH DURING 2013-15
Source: Factordialy.com Chart1: Revenue Position of Flipkart from 2013-15
Page 12
FLIPKART OPERATING PROFIT MARGIN GROWTH DURING 2013-15
Source: Factordialy.com Chart2: Operating Margins of Flipkart from 2013-15
6.1 Financial results of 2015 – Flipkart Crisis.
As per the latest reports of the year 2015, Flipkart has reported a loss of 2000 crore
during the year. The sales for this year have trebled to Rs 10,390 crore as compared to
last year. If the past 18 months reports were to be analyzed, it had raised over $2.6
billion where the company spent huge amounts over marketing, improving
technology, providing discounts and building warehouses. From the above results, it
was very evident that the company is facing a blizzard of its own making. An
organization which pioneered e-commerce in India, growth has hindered since the last
year and the management team till now has not figured out ways to re-energize sales.
In e-commerce lingo, the GMV (gross merchandise volume) sold during a period of
time has not increased considerably. This is a very strange for an e-commerce pioneer
which until now has raised its GMV by over 200 percent annually for the past three
years. The research found some of the interesting findings (reasons) for the low
performance of Flipkart in the recent years and also discussions are made how it is
now going to be back on track.
7.0 Findings of the Research Study:

The research had found some of interesting aspects with regard to adverse position of
Flipkart.
 Gross Market Value (GMV) and Discounting Deep discounts have been the
biggest attraction of Indian e-retailers over the last few years, with the focus solely
being on growth. In the year Flipkart posting a loss of Rs. 2000 crores and
Snapdeal reporting a loss of Rs 1,328 crores.
Page 13
 FDP in Retail:In April this year, the government allowed 100% FDI in e-
comemrce.However, the most disturbing feature in the policy was the bar on
discounting. This has forced every player to re-consider their business models.
 High Cost value of Machinery: As the initial race to up the GMV and touch a
billion dollar valuation has receded, every player is left with a high-cost
machinery, with soaring operational costs. This has led the company to operate
even at losses.
 Long Time Lackings: Too much amount of inventories stocked up for long time
also lured the focus and eats away the profit margins.
 Big Billion Burstout: The Big Billion Day that has created a huge setback for the
company as the giant is unable to cope up with the orders and consequently,
customers have fired at the Company and its undue performance.
 Low Penetration of Market:The market has to be widened where as it is not yet.
Only 2% of total market is dominated by e-commerce which has to be seriously
viewed. The Company could not reach the profitability level coz of the lure of the
market.
 Greedy of Investors: There is also a lot of pressure from investors on e-tailers, as
they have started to evaluate their return on investments. According to PWC data,
private equity deals have dropped 119 per cent in the second half of financial year
2015-16, compared to the first half.
 Bad Hiring: Hiring right is critical for any e-commerce company to
survive. Flipkart has fired people tagging them as underperformers. It is due
to the incorrect hiring practices that the companies end up hiring
underperformers in such large numbers. Recently it has removed 400
employees for under performance.
 Returns and Refund Policies: The return and refund policies of Flipkart are very
simple and giving a chance to various creepy customers to loot the company and
to take undue advantage. Its contrary, Amazon has been following a very good
systematic return policies and refund structures after making the customers
accountable for the loss. Flipkart lost the charm in this and hence sellers are not
happy with this.
8.0 Conclusion:
No doubt, Flipkart is still a main competitor in Online Marketing. Taking its
success story from selling the books online to selling almost everything now
inspires any startups and fuels the initiation process. Moreover, Indian e-market is
still expanding. There is very high scope for the companies to conquer the market
with different styles of marketing strategies. Flipkart, which figures around 60%
of its revenue from Mobiles and electronic items , should find the Offline Stores
of Brick and Mortar system as the customers want “ Touch, Trust & Feel” status
for demonstrations, returns and pickups. It has started to tie-up with various BMS
vendors to sell the products and services offline. In the entire game of E-
Commerce, who will at the end is the big question? The simple and fair answer is
Page 14
“Customer”. But among the e-retailers, the question is still tricky. It is only after
some time, the haze will clear and the winner will be visible.
9.0 REFERENCES:
1. Nidhi Vishnoi Sharma, Varsha Khattrai, (2013), Study of online shopping
behavior and its impact on online deal websites, Asian Journal of Management
Research, 3(2).
2. Farhat Fatima, (2014), Flipkart-Myntra; From a Merger to an Acquisition,
International Journal of Management and International Business Studies, 4(1),
pp 71-84.3.
3. Sonam Rawat, Rajiv Divekar, (2014), Developing a Social Media Presence
Strategy For an E-Commerce Business, Procedia Economics and Finance, 11,
pp 626–634.
4. Team YS (2010), yourstory.com: Sachin Bansal and Binny Bansal, Founders,
Flipkart, May 15, 2010, available at http://yourstory.com/2010/05/sachin-
bansal-and-binny-bansal-founders-flipkart/.
5. Ushamrita Choudhury (2012), thehindu.com: The Flipkart story, May 31,
2012Available at http://www.thehindu.com/features/magazine/the-flipkart
story/article3290735.ece.
6. Aditi Shrivastava (2014), economictimes.indiatimes.com: Fresh fund-raising
values Flipkart at $11 billion, Hong Kong-based Steadview Capital invests
$180 million, December 16, 2014 available at
http://articles.economictimes.indiatimes.com/2014-12-
16/news/57112197_1_flipkart-naspers-dst-global.
7. The Hindu – CatalystBusiness Line- Analysis of E-Commerce in India, by
Radhika Dhaw
Page 15
EMPOWERING WOMEN THROUGH MICRO FINANCE

Dr. B. Saranya
Head, Dept of Commerce,
PSG College of Arts & Science, Tamil Nadu
Email id: saranya@psgcas.ac.in
ABSTRACT:
Today’s world needs lot of financial help and support for women. Empowering
women through self-help groups and raising funds through micro finance will protect
the women employees in an organization. This paper will address the present issues
about micro finance and women empowerment.
INTRODUCTION:
Empowerment of women through banking facilities is the need of the hour. It is said
that rural women are underprivileged and they are neglected because of non-
availability of banking facilities and hence micro finance helps the poor and low
income people to increase their income and thereby improving their standard of living
of people.
EMPOWERMENT OF RURAL WOMEN
Rural women are always remaining in a disadvantaged stage as they are unaware of
all the facilities available to them, so there comes the need of rural women
empowerment which means becoming creative, self-dependent and bringing an
internal change in women. This can only be achieved through creating proper
awareness, imparting training, promoting of good health, safety, welfare and knowing
about how the economic activities happen around them, thereby the banking sector
comes forward to rescue the rural women by providing easy credit repayment
facilities such as daily, weekly, monthly systems. Even the micro finance institutions
render a helpful hand to the rural women. Globalization has presented a new
challenge for the realization of the goal of women’s equality, the gender impact of
which has not been systematically evaluated fully. All the benefits of growing global
economy are being fully utilized only by the urban counterparts, but the poor masses
of the rural area are neglected.
As India is an agrarian economy, nearly seventy percent of the population live

depending upon agriculture and its allied activities, so there comes the need to focus
on rural women population, who are the back bone of Indian economy. Rural women
always remaing underprivileged as they don’t have any opportunity to expose
themselves, except to work in the fields and in their homes. This is the main root
cause to empower women and to bring out their inner talents through banking
services. Government programs are influencing women’s work participation either
directly or indirectly either through employment generation programmes or through
reservation system. One- third of the beneficiaries of major poverty alleviation
Page 16
programs such as Integrated Rural Development Program and National Rural

Employment Program are women, hence necessary strategies can be taken to identify
the rural women and to empower them with savings and banking habit, which will in
turn help for the development of the entire economy. “As small drops of water forms
a mighty ocean”.
MICRO FINANCE
Micro Finance Institutions plays a significant role in enhancing the levels of financial
inclusion in the country by reaching out to the “last mile” and thereby sharing the
responsibilities of the government and the financial sector. It is an option for
impoverished dreamers looking to create a brand and get ahead. It focuses on
meeting the financing needs of populations who are financially underserved and it
focuses on the following aspects:
 Establishing a healthy and profitable lending business through relationships with

select Micro finance institutions and
 Investing in building deeper and concurrent monitoring and control mechanisms to
enable healthy growth of the microfinance sector.
The term "microfinance" describes the range of financial products such as microloans,
micro savings and micro-insurance products that micro finance institutions (MFIs)
offer to their clients. Microfinance began in the 1970s when social entrepreneurs
began lending money on a large scale to the working poor.
IMPORTANCE OF MICRO FINANCE

It is the key strategy in helping the poor and the needy to become financially
independent, who helps them become more resilient and able to provide for their
families in times of economic difficulty. There are six benefits of micro finance, they
are as follows:
 Access
Banks will not extend loans to little or no assets, and thereby engage in the
small size of loans associated with microfinance to help the people to
overcome poverty.
 Better loan repayment rates
Micro finance tends to target women borrowers, who are statistically less
likely to default on their loans than men. So these loans help empower women
and they are often safer investments.
 Extending education
It will extend education to the poor and thereby creates awareness to get loan
and repay it.
 Improved health and welfare
Page 17
It leads to improved access to clean water and better sanitation while

providing better access to health care.
 Sustainability
Small working capital is enough to launch a small business in a developing
country that could help the benefactor pull themselves and their family out of
poverty.
 Job creation
It can help create new employment opportunities to suit the local needs of the
society.
MICROFINANCE COMPANY
A microfinance company has changed in recent years. The importance of
microfinance was that it served a great role in alleviating poverty. The role of
microfinance in economic development was that it helped struggling individuals, and
even communities, gain access to financial services, and hopefully, rise from poverty.
Microfinance companies were generally nonprofit or governmental institutions that
sought to help the poor. Profit was never the goal for microfinance companies.
REVIEW OF LITERATURE
Jyothirmayi has examined the influence of microfinance on women empowerment
through regression analysis in Hyderabad. The results reveal that the microfinance
had significance influence on socio-economic culture. These are considered as
economic position, decision making power, knowledge and self-worthiness for
women.
Moyle et al. Women in income generating activities give support to personal and
economic empowerment. It has also improved health and harmony in the family.
The micro finance programme to be cost-effective in bringing about the
empowerment of women, it would require
1. Providing business training,

2. Investing in women’s general education and literacy,
3. Providing guidance in balancing family and work responsibilities,
4. Providing a forum for dialogue on social and political issues, such as, women’s
rights and community problems,
5. Giving women experience in decision –making
promoting women’s ownership, control and participatory governance in their micro
finance programmes. Micro finance programmes, thus, has been very successful in
reaching women. This gives micro finance institution an extra-ordinary opportunity to
act intentionally to empower poor women and to minimize the potentially negative
impacts some women experienced.
Page 18
GOVERNMENT SCHEMES FOR ECONOMIC EMPOWERMENT OF

WOMEN IN INDIA
Support to Training and Employment Programme for Women (STEP)
It is a Central Sector Scheme launched in 1986-87, seeks to upgrade skill of poor

and asset less women to provide employment on sustainable basis by mobilizing
them in viable cooperative groups, strengthening marketing linkages, support services
and access to credit. The scheme also provides for enabling support services in the
form of health check-ups, legal and health literacy, elementary education, gender
sensitization and mobile crèches.
Rajiv Gandhi Scheme for empowerment of adolescent girls (RGSEAG)
A centrally-sponsored scheme was approved by the Government on 16.8.2010. The

scheme is being implemented in 200 districts across the country on a pilot basis. In
the remaining districts, Kishori Shakti Yojana (KSY) continues to be operational as
before.
Sabla
It is being implemented through the State Governments/UTs with 100 per cent
financial assistance from the Central Government for all inputs other than nutrition
provision for which 50 % Central assistance to States is provided. Anganwadi Centre
is the focal point for the delivery of the services.
Objectives:
 Life Skill Education and accessing public services,
 Vocational training for girls aged 16 and above under National Skill
Development Program (NSDP)
 The successful implementation of SABLA requires convergence with
development activities/schemes of other Departments such as Health,
Education, Youth Affairs, Labour, PRIs etc.
Central Social Welfare Board
In order to address the socio-economic needs of the women and children of selected
eight most backward districts in the North Eastern region in the economic arena,
Central Social Welfare Board has formulated the Integrated Scheme for Women
Empowerment (ISWE). The scheme is being implemented on pilot basis since 2008
and has the objective of meeting the felt needs of the area by mobilizing community
action, converging available services and resources of the area, income generation
through feasible and sustainable activities for women and to provide services for
health awareness, career counseling vocational training, preventing child trafficking
and other social evils.
Page 19
National Mission for Empowerment of Women

The extent of empowerment of women from a holistic and macro-point of view is
largely determined by 3 factors viz. economic, social and political identity. These
factors are deeply intertwined and linked with many cross cutting linkages. It implies
that if efforts in any one dimension remains absent or week, the outcome and
momentum generated by the other components cannot be sustained.
Gender Budgeting and Economic Empowerment of Women
Budgets, which influence the overall level of National Income and employment
reflect the priorities of the government regarding public investment, also promote
gender equality within the national development framework. The Government of
India is committed to promoting gender equality and has adopted Gender Budgeting
(GB) as a tool to address the inequalities faced by women. The purpose is to ensure
the translation of Government’s policy commitments on gender equity into budgetary
allocations.
India’s microfinance sector is fragmented with more than 3000 microfinance

companies (MGIs), NGOs and NGO-MFIs. The top 10 microfinance companies in
India are estimated to account for almost 74 per cent of the total loans outstanding.
Challenges faced by the Indian Micro Finance Industry
 Over indebtedness due to multiple borrowing and inefficient risk management

system.
 Do not enjoy high rate of interest when compared to other banks
 Lack of awareness on financial services by the customers
 Regulatory issues
Methods to overcome the challenges of Micro Finance Industry
 Implementing the ICT enabled services in financial inclusion.

 Role of Government to protect and strengthen the micro finance industry.
 Creating awareness among the poor and downtrodden.
CONCLUSION
Thus the micro finance sector plays an important role in rendering of help and
support to the poor and the needy. It is a tool through which people enrich themselves
and try to overcome their poverty. The Government has taken many schemes to
promote women empowerment through micro finance. It has to overcome its
challenges and come out with success.
Page 20
REFERENCES
1. Ashraf Mohammad, A., & Ibrahim, Bt.Y. “An Investigation into the Barrier to
the Rural Poor Participation in Mfis: The Case of Bangladesh. International
Journal of Research in Social Sciences”, 2013.
Dusuki, A. W. “ Banking for the Poor: The Role of Islamic Banking in

Microfinance Initiatives, Humanomics”, 2008, 24(1)
Page 21
AN OVERVIEW OF FINANCIAL INCLUSION
Dr.Prakash.K.Vadavadagi
Associate Professor
B.V.V.Sangha’s Institute of Management Studies, Bagalkot.
Email id::vadavadagip@gmail.com
ABSTRACT:
Financial inclusion is globally considered as a critical indicator of development and
well-being of society. Financial inclusion is a fundamental keystone of socio-
economic development. It has been a policy goal of high priority in India for decades.
It is an important policy option which aims at reducing poverty and minimizing social
as well as financial exclusion, thereby enhancing the inclusive growth process. The
present paper focuses on financial inclusion, financial inclusion globally, progress of
financial inclusion in India, and measures initiated by RBI to achieve Financial
Inclusion in India.
Keywords: Financial Inclusion, Socio-economic Development, Inclusive growth
INTRODUCTION:
Financial inclusion is globally considered as a critical indicator of development and

well-being of society. In India, the basic concept of financial inclusion is having a
savings or current account with any bank. But In reality, it includes loans, insurance
services, and much more.
Financial inclusion is a fundamental keystone of socio-economic development. It has

been a policy goal of high priority in India for decades. It is an important policy
option which aims at reducing poverty and minimizing social as well as financial
exclusion, thereby enhancing the inclusive growth process. Though there has been
considerable progress in the process of inclusion over the past few years, India
remains a long way from attaining universal financial inclusion. (George Varghese,
2018)
While inclusive banking began, in spirit, with the nationalization of banks in 1969 and
1980 in India, the real thrust on financial inclusion (FI) came in 2005 when the
Reserve Bank of India (RBI) highlighted its significance in its annual policy statement
of 2005-06. It urged banks to work towards reaching out to the masses, offering
banking services down to the hinterland. The worrying fact was the mass exclusion of
people from the formal banking system that hindered economic growth at the bottom
of the pyramid. Then onwards RBI began to persuade banks to include FI as a
business objective. (Rao, 2018).
Basically it is the delivery of banking services at an affordable cost and in a fair and
transparent manner to the vast sections of disadvantaged and low income groups. As
Page 22
banking services are in the nature of public good, it is essential that banking and
payment services should be available to the entire population without discrimination.
In India it has been observed the weaker section has always been kept away from the
banking fold because of their lower income and poor banking awareness. The weaker
section is always in dearth of credit facilities at affordable cost and at the time of their
need. The Indian Financial System is considered to be one of the best in the world yet
the financial awareness and the availability of financial services is very less in the
rural parts of India and especially to the weaker section, globally referred to as
‘bottom of Pyramid’. This segment needs financial assistance in order to sail them out
of their conditions of poverty. Financial inclusion is intended to connect people to
banks with consequential benefits. Financial Inclusion includes credit facilities,
financial awareness, and knowledge about banking facilities and most importantly
makes them financially literate.
Given the size and diverse nature of the financially excluded population in India, the
responsibility of accelerating inclusive growth lies equally on each stakeholder: the
government, private and public banks and the social sector. The process of inclusive
growth is not free of issues and challenges. But it also opens new windows of
opportunities for socio-economic development.
FINANCIAL INCLUSION GLOBALLY
Financial inclusion is on the rise globally, accelerated by mobile phones and the
internet, but gains have been uneven across countries. A new World Bank report on
the use of financial services also finds that men remain more likely than women to
have an account.
Globally, 69 percent of adults – 3.8 billion people – now have an account at a bank or
mobile money provider, a crucial step in escaping poverty. This is up from 62 percent
in 2014 and just 51 percent in 2011. From 2014 to 2017, 515 million adults obtained
an account, and 1.2 billion have done so since 2011, according to the Global Findex
database. While in some economies account ownership has surged, progress has been
slower elsewhere, often held back by large disparities between men and women and
between the rich and poor. The gap between men and women in developing
economies remains unchanged since 2011, at 9 percentage points. (Mark Felsentha,
2018).
INDIA AT THE FOREFRONT OF GLOBAL GROWTH IN FINANCIAL

INCLUSION
The Global Findex Report, 2017 released by the World Bank gives India more than
one reason to cheer, as it notes the rapid increase in financial inclusion that has taken
place in the country.
Page 23
The report lists how the number of account holders in the country has risen from 35
percent of the adults in 2011 and 53 percent in 2014 to 80 percent in 2017. This was
possible because of progress being driven by the Jan Dhan Yojana policy which has
used biometric ID to expand access to financial services. According to the
government data sourced from the banks, the total number of Jan Dhan account
holders has risen from 281.7 million in March 2017 to 314.4 million in March 2018.
The total number of current and savings accounts in banks has risen from 1.22 billion
in March 2015 to 1.57 billion in March 2017.
It is heartening to see that of these 514 million accounts, the number of Jan Dhan
Accounts opened in India during the same period is about 28.17 crore, constituting
almost 55 percent of the accounts opened globally during this period. (Business
Standard, 2018)
Progress of financial inclusion at a glance in India
Parameter of financial inclusion Mar-10 Mar-16 Mar-17

Number of Bank branches in villages 33,378 51,830 50,860
Number of Business Correspondents (BCs) 34,174 5,31,229 5,43,472
Number of other forms of banking touch 142 3,248 3,761
points
Total number of banking touch points 67,694 5,86,307 5,98,093
Number of BSBDA* (in millions) 73 469 533
Deposits in BSBDA (Amount in Rs. 55 636 977
billions)
Note: *Basic Savings Bank Deposit Account is a no-frill savings account without the
need to maintain minimum balance and where no charges are levied.
Source: Annual Report of RBI, 2016-17.
Progress of PMJDY up to 9 thMay 2018
Group of banks Number of new Deposits No of debit cards

savings bank accumulated issued (in millions)
accounts opened (in Rs.millions)
(in millions)
Public sector banks 255.3 652182.5 192
Regional rural banks 50.7 137170.3 36.8
Private sector banks 9.9 22681.3 8.2
Total 316.6 812036 238
MEASURES INITIATED BY RBI TO ACHIEVE FINANCIAL INCLUSION
Page 24
In India, RBI has initiated several measures to achieve greater financial inclusion,
such as facilitating no-frills accounts and GCCs for small deposits and credit. Some of
these steps are:
Opening of no-frills accounts: Basic banking no-frills account is with nil or very low
minimum balance as well as charges that make such accounts accessible to vast
sections of the population. Banks have been advised to provide small overdrafts in
such accounts.
Relaxation on know-your-customer (KYC) norms: KYC requirements for opening

bank accounts were relaxed for small accounts in August 2005, thereby simplifying
procedures by stipulating that introduction by an account holder who has been
subjected to the full KYC drill would suffice for opening such accounts. The banks
were also permitted to take any evidence as to the identity and address of the
customer to their satisfaction. It has now been further relaxed to include the letters
issued by the Unique Identification Authority of India containing details of name,
address and Aadhaar number.
Engaging business correspondents (BCs): In January 2006, RBI permitted banks to

engage business facilitators (BFs) and BCs as intermediaries for providing financial
and banking services. The BC model allows banks to provide doorstep delivery of
services, especially cash in-cash out transactions, thus addressing the last-mile
problem. The list of eligible individuals and entities that can be engaged as BCs is
being widened from time to time. With effect from September 2010, for-profit
companies have also been allowed to be engaged as BCs. India map of Financial
Inclusion by MIX provides more insights on this. In the grass-root level, the Business
correspondents (BCs), with the help of Village Panchayat (local governing body), has
set up an ecosystem of Common Service Centres (CSC). CSC is a rural electronic hub
with a computer connected to the internet that provides e-governance or business
services to rural citizens.
Use of technology: Recognizing that technology has the potential to address the
issues of outreach and credit delivery in rural and remote areas in a viable manner,
banks have been advised to make effective use of information and communications
technology (ICT), to provide doorstep banking services through the BC model where
the accounts can be operated by even illiterate customers by using biometrics, thus
ensuring the security of transactions and enhancing confidence in the banking system.
Adoption of EBT: Banks have been advised to implement EBT by leveraging ICT-
based banking through BCs to transfer social benefits electronically to the bank
account of the beneficiary and deliver government benefits to the doorstep of the
beneficiary, thus reducing dependence on cash and lowering transaction costs.
GCC: With a view to helping the poor and the disadvantaged with access to easy
credit, banks have been asked to consider introduction of a general purpose credit card
Page 25
facility up to `25,000 at their rural and semi-urban branches. The objective of the
scheme is to provide hassle-free credit to banks’ customers based on the assessment
of cash flow without insistence on security, purpose or end use of the credit. This is in
the nature of revolving credit entitling the holder to withdraw up to the limit
sanctioned.
Simplified branch authorization: To address the issue of uneven spread of bank

branches, in December 2009, domestic scheduled commercial banks were permitted
to freely open branches in tier III to tier VI centres with a population of less than
50,000 under general permission, subject to reporting. In the north-eastern states and
Sikkim, domestic scheduled commercial banks can now open branches in rural, semi-
urban and urban centres without the need to take permission from RBI in each case,
subject to reporting.
Opening of branches in unbanked rural centres: To further step up the opening of

branches in rural areas so as to improve banking penetration and financial inclusion
rapidly, the need for the opening of more bricks and mortar branches, besides the use
of BCs, was felt. Accordingly, banks have been mandated in the April monetary
policy statement to allocate at least 25% of the total number of branches to be opened
during a year to unbanked rural centres. (Wekipedia)
CONCLUSION
Financial Inclusion is the need of the hour. Government and RBI have initiated
number of steps for greater financial inclusion. As the 66.46 % of the India’s
population was in rural area it was a challenging task for RBI and Government to
reach this population and provide financial services. Government policies should not
be on the paper it should be implemented effectively. For this Government has to
make more liquidity should be available to banks to extend credits, No frill accounts
should be more operative, Collection centers should be increased, more emphasis
should be given for microcredit and micro insurance, etc. the days are not far away to
see that every citizen of our country is accessible to all types of financial services.
BIBLIOGRAPHY
1. B, V. A. (2015). Financial Inclusion and Social Change. Arabian Journal of

Business and Management Review , 4.
2. Business Standard. (2018, April 20). Retrieved March 02, 2019, from
/www.business-standard.com: https://www.business-
standard.com/article/economy-policy/india-at-the-forefront-of-global-growth-
in-financial-inclusion-world-bank-118042000116_1.html
3. George Varghese, L. V. (2018). Financial Inclusion: Opportunities, Issues and.
Theoretical Economics Letters, , 1935-1942.
Page 26
4. Mark Felsentha, R. H. (2018, April 19). www.worldbank.org/. Retrieved

March 02/03/2019, 2019, from www.worldbank.org/:
https://www.worldbank.org/en/news/press-release/2018/04/19/financial-
inclusion-on-the-rise-but-gaps-remain-global-findex-database-shows
5. Rao, K. S. (2018, July 11). Financial inclusion in India: Progress and
prospects. India.
6. Wekipedia. (n.d.). Retrieved March 02/03/2019, 2019, from
https://en.wikipedia.org: https://en.wikipedia.org/wiki/Financial_inclusion
Page 27
A STUDY OF PERCEPTIONS OF INVESTORS WITH SPECIAL

REFERENCE TO SELECT COMMODITIES DURING TIME PERIOD
(2011-2013)
Prof Vijaya Hake

Dr Yashwant Vaisampayana
ABSTRACT
The research carried out as a part of this project concerns commodity market,
customer perception and risk factor in the market. The main objective of the research
is to understand investors’ perceptions as well as risk factor. The main focus of the
study is to understand the mechanism of commodity market.
Keywords: Commodity Market, Investment, trade, Return,
INTRODUCTION
The Commodity market in India showed phenomenal growth since liberalization of

commodity market in the year 2000. A Commodity Exchange is a market where buyer
& Seller trade commodity linked contracts based on term and conditions laid down by
commodity exchange. At present there are 23 exchanges operating in India and
carrying out future trading activities in as many as 146 commodities. As per the
recommendation of the Forward Market Commission (FMC), Multi Commodity
Exchange (MCX)(2003), The Government of India recognized the National Multi
Commodity Exchange (NMCE) Ahmedabad (2002) and National Commodity and
Derivative Exchange (NCDEX)(2003) Mumbai, as nationwide multi commodity
exchange.
Over the past decade Indian Commodity future market have grown at a rapid pace.
Reopening of Indian commodity market provide an opportunity for investor to
achieve diversification benefits. At the same time during periods of high Inflation.
Trading in several commodity futures was stopped owing to the belief that investment
in commodity future markets contributes significantly to the increase in commodity
prices. Studies have shown that growth in commodity future markets has no direct
role in increasing commodities prices. The present study looks at developments in
Indian Commodity future markets in the past decade. The first part of the present
study examines the potential diversification benefit available to Indian Investor where
they allocate a part of their investable income to commodity future.
The study part of the study examines the national practices and growth & evaluation
of selected developed economies to recognize the perception of Investor. Chi Square
Technique were analyzed from 2011-2013 on a yearly basis. Risk strategies are
mentioned. Result shows that inclusion of Commodity market investor get
diversification benefits.
Page 28
The present study also reveals that trend showed that commodity market performance
is increasing day by day & year by year. Growth of commodity market would depend
on effectiveness of managing risk. It is also depending on the perception of Investor.
Review of Commodity market indicates that there has been research on technical
questions, the research has had inefficient data related to investors perception and risk
factor. Thus, our thesis focuses the studying chi square test between perception & risk
of commodity market.
The objectives formulated for the research are as follows:
I. To study the mechanism & process followed by Indian Commodity Market.

II. To study the perception of investors with respect to strategies for risk
management in commodity market.
III. To study evolution & growth of commodity market in India & selected
developed economics in other part of the
RESEARCH DESIGN
1. A comprehensive literature review is carried out to understand various facets

of the research theme.
2. Data related to commodity market
3. A questionnaire study was carried out to obtain information about the
perception of customer and risk of commodity market related to price, demand
and knowledge. This was done as a collection of questionnaires. 159
respondents out of 200 respondents during the period.
Research Gap
1. There is Scope for checking stability level or price volatility.

2. There is gap that research can find Risk in different level.
3. There are no of commodity which are traded in market where as researcher
has focused Agri commodity and Precious commodity so there is scope to
study Commodities like oil and gas.
4. Researcher has scope to find different model of investment.
LITERATURE REVIEW
Jorg Mayer (2009), Financial Investment has become increasingly important on

Commodity exchange. This paper distinguishes two type of Financial Investors and
emphasizes differences in their position taking motivation and price impacts. Index
trade follows a passive strategy holding virtually only long position, Money
manager’s trade on both sides of the market & attempt to maximize short term
returns. Regression analysis indicates that (i) index trader positions are particularly
influenced by roll returns, while money manager emphasize spot return &than ii)
money manager moved from emphasizing diversification to a more speculative
strategy by taking commodity positions that are positively, rather than negatively
related to developments in equity markets Granger Causality tests indicates that these
Page 29
differences translate into different price impacts (i) index trader positions have a
caused price impact particularly for agricultural commodities & (ii) money manager
had a causal impact during the sharp increases in the price for some nonagricultural
commodities.
Nilanjan Ghosh (2009), The issue of expanding the scope of commodity derivative
trading is apparentlynormative and value judgmental. This is primarily because of a
large group of peoplewho feel that commodity derivative trading should not be
allowed at all and hence thequestion of expanding its scope does not arise? However,
there are enough strongarguments in favour of strengthening commodity derivatives
markets and developingsupportive market institutions and awareness. The role of
commodity futures marketsbecomes even more compelling with India moving toward
greater trade liberalization.
Impact of futures trading on physical market prices is, probably, the mostcontentious
issue among policymakers and researchers. For futures markets to beeffective, the
futures forum should not only have a close relation with the physicalmarkets and
thereby help hedging through a process of arbitrage between both themarkets, but it
should also serve as a forum whose prices should be taken as a “referenceprice” by
physical market functionaries. This service of “reference pricing” is popularlyknown
as “price discovery”.However, the fact of the matter is much deeper than what meets
the eye. The advocates of derivative markets have traditionally argued that
speculation in the futuresmarkets primarily helps the twin economic functions of
hedging and price discovery. Yet,traditionally, futures markets have been vilified as
the speculators’ haven with theallegation that excessive speculation in the futures
forum has led to price volatilities andinflation in the economy. It is again axiomatic
that greater the price volatility, higher thespeculation.Hence, while advocates of
commodity markets feel that speculators take up thehedgers’ risk and provide
liquidity to the markets, and thereby help futures markets toperform the dual functions
of price risk management and price discovery, the anti-marketsentiments argue that
speculators in the futures markets can create havoc in the physicalmarket segment in
two ways: first, by increasing price volatilities (contrary to the futuresmarkets’
axiomatic role of price stabilization), and second, by creating inflationary
pressures on the economy.
Rutten (2009),On the other hand, there is also a widespread misconception of the
notion of“price discovery.” The methodological issues involved in testing the
relationship betweenthe futures and physical markets have been discussed in details
by Rutten (2009).
Sangeeta Chakraborty, Nilanjana Ghosh (2012), There is another aspect to price

discovery function of the futures markets, as alsothe econometric models used to test
them. The anti-market faction has often interpretedresults as per its convenience. If
futures prices act as reference prices for the physicalmarkets during the time of a price
Page 30
rise, this faction assumes that the rise in futures price isresponsible for the commodity
price rise in the economy. Eventually, the entire blame forthe inflationary trend is
placed on the speculative elements in the futures markets, withoutconsidering the fact
that price, fundamentally, is a function of demand and supply. Anefficient futures
market will be able to access this information, process it and pass this onto the
physical markets. The question of efficiency of the futures markets in acquiringand
processing this information was discussed in a paper by Sangeeta Chakrabarty
andNilanjana Ghosh13 at the TAER-ISID seminar.
Robert H litzenberger, Thomas B. Haxula,(2012), pg 647-655.
This paper examines the relationship between commodity Consumption betas and
realized Commodity future contract. Risk premiums A linear relationship between
risk premium and consumption betas is developed based on a consumption oriented
CAPM. The parameters of this linear model are estimated using fourteen
Commodities.
DATA ANALYSIS
The exchange-traded markets are essentially only derivative markets and are similar
to equity derivatives in their working. I.e. everything is standardized, and a person can
purchase a contract by paying only a percentage of the contract value. A person can
also go short on these exchanges. Also, even though there is a provision for delivery
most of the contracts are squared-off before expiry and are settled in cash. As a result,
one can see an active participation by people who are not associated with the
commodity.
In addition to the spot transactions, forward deals also take place in these markets.
However, they too happen on a delivery basis and hence are restricted to the
participants in the spot markets.
The commodity exchanges do facilitate delivery, although it has been observed world-
over that only 2% of all the trades result in actual delivery.
Commodity futures markets offer certain economic benefits. First, futures trading are
a very efficientmeans of determining the future price level for a commodity. The price
discovery is the best and theconsensus market forecast of future prices of
commodities traded in the market as there are manypotential buyers and sellers
competing freely. There are innumerable small and large numbers ofproducers of
commodities across the world competing in world or in national markets. These
widelydispersed producers find it difficult to know what prices are available.
Moreover, the opportunity forfarmer, processor, trader and consumer to ascertain their
likely cost and develop long range plansis limited. Therefore, the price discovery is of
crucial importance to farmers as it helps them predict
Page 31
Their earnings and plan their future investments accordingly. It also enables
consumers, traders andprocessors to get very highly reliable future price information
which help them in quoting a realisticprice and execute their buy and sell contracts.
Thus the price discovery essentially providesall segments in the society with a guide
to what various commodities are worth now as well astoday‘s best estimate for the
future. Therefore, the price discovery has the potential to minimizeuncertainties about
future prices in commodity markets.
Secondly, futures contracts are used for price risk management. Commodity futures
markets offerfarmers, commodity dealers, processors, and consumers a means of
passing the price risks inherentin their businesses to traders who are willing to assume
these risks. In other words, commercialusers of the markets can hedge, which is to
enter an equal and opposite transaction in orderto reduce the risk of monetary loss due
to a change in price and, by doing so, lower their costs ofdoing business. This results
in a more efficient marketing system and, ultimately, lower costs forconsumers.
Graph :1
User, Farmer,
Trader,
Wareh
Companies
ousing MCX
System
Testing &
certifying
companies
Support System Spot

Lending
Market
System Government
Logistic
Corporation
Pvt
warehousing
Source: MCX
Above figure shows that MCX relates to farmer, Agents, traders and Government. It
has supporting system like lending system, spot market and Government logistic
corporation.
Value of Trading
Value in Rs and percent share of the Commodity Exchange to the total value of
trade during the year 2012-13
Page 32
Table :1
Sr. Name of the Value of

%
No. Exchange Trade
NCDEX
1 1598425.87 10%
(Mumbai)
NMCE
2 176570.86 1%
(Ahmedabad)
3 ACE (Mumbai) 172010.18 1%
4 ICEX (Mumbai) 169897.14 1%
5 MCX (Mumbai) 14881057.12 87%
6 Others 48878.92 0.01%
Source: MCX Graph : 2
Source: Forward Market Commission, Ministry of Consumer Affairs, Forward

PublicDistribution, Department of Consumer Affairs, Annual Report 2012-13.
Value of Trade in Commodities in India (2010-2013) (Rupees Lakh Crores)
Table : 2
Commodity
2010-11 2011-12 2012-13
Groups
Bullion &
81.82 630.79 111.2273
Other Metals
Agriculture 14.56 21.96 21.557
Energy 23.11 28.51 37.68409

Other 0 0 70.4684
Total 119.49 181.26 70.4684
Page 33
Source: Forward Market Commission Annual Report.
Table 3 : To get Profit :
Total of
Sr. No Level %
scale
1 Very likely 510 64%
2 Likely 120 19%
Neither
3 likely nor 21 5%
unlikely
4 Unlikely 24 8%
Very
5 7 4%
Unlikely
Not
6 0 0%
Applicable
682
Own Source: Own Sources
Figure
INTERPRETATION:
From the above graph it is revealed that 64% Investors says that very likely they
invest in commodity market to get Profit. 19% Investors says that they likely invest in
commodity market to get profit. 5% Investors say that they neither likely nor unlikely
invest in commodity market to get profit. 8% Investor says that they unlikely invest in
commodity market to get profit. 4% Investor says that they very unlikely invest in
commodity market to get profit.
Page 34
Table 4: To Invest to get extra benefit
Invest to get
Row Labels Level %
extra benefit
1 Very likely 2 1.257862
2 Likely 20 12.57862
Neither likely
3 17 10.69182
nor unlikely
4 Unlikely 78 49.0566
5 Very Unlikely 42 26.41509
(blank) 100
Grand Total 159
Figure
From the above table we found that Investor says that in commodity market 26% very
unlikely invest in market. 13% Unlikely invest in commodity market. 11% Investor
neither likely nor unlikely invest in commodity market. 49% Investor says that likely
they invest in commodity market. 1% Investors says that they very likely invest in
commodity market
Table 5: To Invest in Commodity Market because of advertisement in

print media.
Row Sum of Because Levels %

1 8 Very unlikely 2%
2 78 Unlikely 11%
3 150 Neither likely 37%
4 188 likely 34%
5 75 Very likely 16%
(blank)
Grand 499 100%
Page 35
Interpretation:
16% Investor says that very likely they invest in commodity market because of
advertisement in print media. 34% likely says that they invest in commodity market
because of Advertisement. 37% investors says that they neither likely nor unlikely
invest in commodity market because of Advertisement in Print media. 11% unlikely
invest in commodity market. 2% says that very unlikely invest in commodity market
due to advertisement in print media.
Table 6: To Invest because get detail analysis:
Sum of Because
Row Labels you get detail Levels %
analysis
0 0 Not Applicable 0%
1 27 Very unlikely 6%
2 64 Unlikely 14%
Neither likely
3 108 27%
nor unlikely
4 156 likely 34%
5 95 Very likely 21%
(blank)
Grand Total 450

Page 36
Figure
Interpretation:
From the above charts and table, it is interpreted by Investor 21% says that they very
likely invest in commodity market by checking detail analysis. 34% investors say that
they likely invest in commodity market by checking detail analysis. 27% investor say
they neither likely nor unlikely invest in commodity market by checking detail
analysis. 14% investors say that they unlikely invest in commodity market by
checking detail analysis. 6% investors say they very unlikely invest in commodity
market by checking detail analysis.
Table 7: Income invested in Commodity Market
Sum of Commodity
Row Labels % Level
market
0 0 0% Not Applicable
1 8 2% Very unlikely
2 46 10% unlikely
Neither likely
3 159 34%
Nor Unlikely
4 148 31% Likely
5 110 23% Very likely
(blank)
Grand
471 100%
Total
Own Source: Own Source
Page 37
Figure
Interpretation:
From the above figure investor says 23% of their income they very likely invest in
commodity market. 31% likely invest in commodity market. 34% of their income
Neither unlikely nor likely invest in commodity market .10% unlikely invest in
commodity market and 2% very unlikely invest in commodity market.
Table 8: Preference for Investment:
Commodities %
Non-Ferrouss 20%
Bullion 21%
Energy 12%
Oil 16%
Spices 15%
Agro Product 16%
Own Source
Preference for the investment
16% Non Ferrous

20%
Bullion
Energy
15%
Oil
21%
Spices
16%
12% Agro Product
Figure
Interpretation:
Page 38
From the above figure we can says that Overall 21% investor invest in Bullion which
is highest investment’s 20% investor invest in Non-Ferrous. 12% investor invest in
Energy.16% investor invest in Oil. 15% investor invest in Spices and 16% in Agro
Commodities.
Table 9: Market which you prefer to Trade:
Market Yes No
NCDEX 115(73%) 41(26%)
MCX 59(38%) 98(62%)
NMCE 21(13%) 135(87%)
Other 18(11%) 140(87%)
Market which you prefer to Trade:
160
140
120
100
80 Yes
60 No
40
20
0
NCDEX MCX NMCE Other
Figure :
Null Hypothesis is:
H0: Trade preferences are equal
H1: Trade preferences are not equal
Interpretation
From the above figure we can says that 73% Investor invest in NCDEX where as 43%
says that they are not interested to invest in NCDEX. 59% Investor says that they
invest in MCX whereas 98% says that they are not investing in MCX. 21% investor
invest in NMCE whereas 87% investor says that they are not investing in NMCE.
11% investor says that they invest in other market where as 87% investor says that
they are not investing in other market.
Page 39
Table 10: Chi-Square Test for Association: C3, Worksheet columns

Market Yes No All
NCDEX 112 44 156
52.25 103.75
MCX 59 97 156
52.25 103.75
NMCE 23 133 156
52.25 103.75
Other 15 141 156
52.25 103.75
All 209 415 624
Cell Contents: Count expected counts
Own Source
Null Hypothesis is :
H0: Trade preferences are equal
H1: Trade preferences are not equal
Pearson Chi-Square = 168.599, DF = 3, P-Value = 0.000

Likelihood Ratio Chi-Square = 173.982, DF = 3, P-Value = 0.000
Decision: Reject H0 at 5% level of significance because p-value=0.00.
Hence majority of people wants to trade with NCDEX.
FINDINGS& CONCLUSION
Volume of MCX market is highest as compared to other market. But still we can say
that market is growing in huge number.
Investors are investing in Bullions and Precious metals. Bullions Market trade is
111.2273 values is in lakh crores. We also found that Very likely 64% of investors
invest because they Profit. These are the investor who are backbone of Indian
economy.78% unlikely invest due to advertisement. It means we can say the people
who have knowledge about market. So we can say that SEBI should organize more
awareness programs.21% investor very likely invest in commodity market. 23% of
Investor income they very likely invest in commodity market. 31% likely invest in
commodity market. Investor gave Ist preference to Bullion IInd preference to Non
Furious and III rd preference to Oil and Agri commodity. 73% investor prefers
NCDEX to trade the commodity. Chi Square Test found that it Reject H0 at 5% level
of significance because p-value=0.00.Hence majority of people wants to trade with
NCDEX. Hence perception of investor is they wanted to invest in commodity.
Investors are investing in Bullion, Energy commodities, Precious commodities and
Agri commodities.
Page 40
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Page 42
A STUDY ON CABON CREDIT MARKET IN INDIA

Anisha Mahindrakar
Assistant Professor
College of Computer Sciences, Wakad, Pune
Email id: nandodeanisha@gmail.com
ABSTRACT:
The world at presently is facing the threat of slow extinction due to havoc attributed
to climate change, of which rising natural temperature of the world is main concern.
Nations all over the world are expressing their concern and solidarity to curb this
gigantic menace. The U.N.F.C.C.C. developed a protocol at Kyoto that associates
financial implications for carbon emissions by nations. The outcome of the protocol
was germination of trading in carbon market by introduction of Carbon emission
reduction (C.E.R) units. The carbon trade began in our country in year 2008 with
carbon being listed as a commodity on Multi Commodity Exchange of India. Many
other developing countries followed same, with Chicago Climate Exchange and
European Union trade as the benchmark indices of carbon trade. Carbon trade in
India contributed to financial gains in tern of revenue generation by use of carbon
reduction technologies as well as capital gains attributed to the trade. The paper shall
try to study the impact of other similar indices such as the greenex, I.I.P. powered and
the population of our country on carbon market and vice versa.
Keywords: Global Warming, Carbon Credits, Economic commodity.
INTRODUCTION:
The companies in the developed world are required to meet certain carbon emission
target set by their respective government. However if these companies are not able to
meet their emission targets, they have an alternative of purchasing these carbon
credits from the market i.e. from someone who is successful in meeting these targets
and who has a surplus of these credits. This process is known as carbon trading.
Carbon trading is also very advantageous for the companies of the developing world
as it provides monetary gains in exchange of carbon credits which help these
companies to purchase or change their technology. This change in technology
eventually helps the companies to reduce carbon emission.
As per the treaty, the signatories are bound to reduce emissions of greenhouse gases
in their countries throughadoption of mechanisms like the Emissions Trading System
(E.T.S.), Joint Implementation (J.I.) and CleanDevelopment Mechanism (C.D.M.).
These systems allow the industrialized nations to meet their G.H.G.emissions
obligations by purchase of credits generated from G.H.G. reduction from other
countries, therebyimposing financial implications on carbon generation. It implies that
if a nation is not able to meet its greenhouse gas reduction target, it can buy credits
from other countries which may have excess credits saved. Thishas made carbon a
Page 43
financial commodity, which like other commodities, is being traded in open

marketpopularly known as the carbon market.
A carbon credit (C.E.R.) is issued when a ton of G.H.G. is saved from being released
by the industry during aperiod of one year. On the other hand, it gives the buyer a
right to emit one ton of G.H.G. into the atmosphereover a period of one year. Carbon
offset certificates issued tocountries that have successfully reduced emissions of
G.H.G. and are capable of being traded like stocks on thecommodity exchange.
Carbon credits create market for reducing greenhouse emissions by assigning a
monetaryvalue to the cost of polluting the air and can be earned by following either of
the two ways: i.e. either by carbonsequestration through activities such as
afforestation, or by implementation of carbon saving projects such as theuse of non-
conventional renewable energy sources like wind power, solar energy, biomass
power, hydel power etc.Trade of carbon as a commodity began in European
Exchange, got actively traded on stock exchanges of manycountries, and at present
the main market leader apart from European Union is the Chicago Climate Exchange.
Objectives of the Study can be enumerated as under:

1. To study the theory of evolution of carbon credit market in India and across the
global.
2. To study the impact of movement in power index on carbon market in India.
3. To study the impact of performance of greenex on carbon market in India.
4. To study the impact of performance of I.I.P. on carbon market in India.
5. To study the impact of population growth on carbon market in India.
Limitations:
1. Indian carbon credits have been taken from the year 2010.
2. Internal carbon credits have been taken from the year 2003.
3. Factors values are converted to averages.
4. Impact have been measured in longer run (yearly)
LITERATURE REVIEW
Benjamin J. Richardson:
Climate finance is becoming an important feature of the emerging legal and policy
regimes to addressglobal warming. However, the current approach largely confines
the financial sector to a transactional agent to mobilize capital for clean energy and to
broker emission allowance trading. The sector's potential to leverage more sweeping
positive changes in the economy as sought historically through the movement for
socially responsible investment (SRI) has been insufficiently acknowledge. Indirectly,
by regulating greenhouse gases the legal system is helping to create a business case
for investors to respond to climate change threats. However, the potential contribution
of SRI to address climate changeproblems more comprehensively is presently limited
owing toinadequate governance frameworks, as well the sector's increasing
abandonment of its traditionalethical agenda.
Page 44
ManishSachdev:
In 1997, Kyoto Protocol, a voluntary treaty was signed by 141 countries to reduce the
emissionso of Global House Gases by 5.2% below 1990 levels by 2012. Certified
Emissions Reductions (CER) or Carbon credits are certificates issued certifying
reduction in emissions. The developing countries havebeen exempted from any such
restrictions. These certificates can be traded in the market and purchasedby firms
which find purchasing emission credits to offset its emissions lower incost. Thus an
opportunityhas emerged for firms in developing countries like India, Brazil and China
to boost their earnings by complying with norms. These additional cash flows from
sales of credits result in an incremental internalrate of Return by 27%. This has
opened up a new source ofcash flow in project financing makingunviable projects
viable by exceeding the hurdle rate for Investment returns. It will be pragmatic on
partof firms to consider this mode of cash flows in project financing.
Deepanshi Chaudhary:
For several decades widespread concern has surfaced over the increase
indisruptiveanthropogenicprocesses and their role in radically altering the
environment and ecosystems. With the advent of the Kyoto Protocol the world
witnessed a dramatic intensification of interest in Climate Change Mitigation.
Although this momentum was initially brought about to meet compliance targets, it
soon gave way to private businesses, NGOs, investors and eventually individuals who
took the initiative to change their prodigal ways. Parallel to the CDM projects market,
runs another smaller yet burgeoning Voluntary Carbon market. Not bound by the
rigorous procedures and high transaction costs, the Voluntary Carbon Market
empowers a wider variety of organizations and individuals to take part in the
mitigation process and sustainable future.Currently the Voluntary Carbon Market is
estimated at $330 million, trading volumes of 65 million tonnes of CO2 with a growth
rate of 240% in just one year. Experts predict this to grow exponentially tovolumes of
up to 1400 million tonnes of CO2 being traded by 2020. (Hamilton May 2008)This
report deals with issues pertaining to the Voluntary Carbon Market and its potential in
the comingyears. It discusses topics of additional, validation and verification
standards and registries.
Allwardt, Jennifer:
The potential of using carbon offset credits from agro forestry projects for farmers in
developing areas has become more prevalent in both Clean Development Mechanism
and voluntary carbon markets. Since the implementation of the Kyoto Protocol, many
international development organizations have been interested in using the Clean
Development Mechanism (CDM) to help both mitigate CO2 emissions through agro
forestry projects offsets and as a poverty reduction tool. Few organizations that have
begun talking with farmers about planting trees for carbon offset credits have been
Page 45
able to tell the farmers how much money theywould receive from their new tree
growth or the costs they will incur in doing so.
Mr. Dhaval Sharma:

In 1996 the Kyoto Protocol established a global policy aimed at reducinggreenhouse
gas (GHG) emissions. In response, slow steady steps are being taken to
implementcarbon emission limits. Markets are being established so that companies
can exchange carbonallowances. Turning the environment, a public good, into private
property presents manyeconomic challenges. India comes under the third category of
signatories to UNFCCC. Indiasigned and ratified the Protocol in August, 2002 and
has emerged as a world leader in reductionof greenhouse gases by adopting Clean
Development Mechanisms (CDMs) in the past few years.
METHODOLOGY:
The study shall find the skewness as an indicator of sign of symmetry in the
distribution. It implies a deviation from a normal distribution in case of positive
skewness which also implies it is a rightward skewed distribution series. This means
that distribution is majorly concentrated on left of the mean with extreme values to the
right. Contrary a negative skewness implies leftward skewed distribution concentrated
on right of mean with extreme values to the left. In case of skewness being zero, the
distribution is considered to be symmetric. Kurtosis as a statistical tool is used an
indicator of flatness or peakedness of a series. The distribution becomes leptokurtic
for a kurtosis value greater than 3, and for a value less than 3, it becomes platykurtic
i.e. flatter than normal distribution. Kurtosis value equal to 3 implies a normal
distribution, and is called mesokurtic. The study shall try to investigate existence of
correlation between the variables i.e whether the variables are positively related to
each, negatively related and unrelated. A co relational study is a research writing that
attempts to relate an event to another events or sets of causality which precipitate the
event. The correlation coefficient from 0 – 0.3 implies slight degree of correlation;
0.3-0.7 implies existence of moderate correlation and 0.7-1 means presence of strong
correlation between the variables. The study shall further run a regression on the
distribution to gauge the degree of dependence of a variable on the other. A standard
regression equation is represented as Y=a+bx,
where,
a= the intercept
b= the slope x= the variable that are using to predict y (the independent variable)
y= the variable that are trying to predict (the dependent variable)
In the study we shall deal with descriptive analysis, skewness, kurtosis, correlation
and regression of the following:
Between carbonex and greenex in India
Between IIP and carbonex in India
Page 46
Between carbonex and powerex in India
Table showing Averages

Carbon
Year Carbonex Greenex IIP Population
Credit
2008 746.543 1139.965
2009 999.5869 1129.78 168.292 24.65 1155.38
2010 999.5869 1546.5 190.05 3.473 1210.2
2011 970.24 1463.26 198.508 1.635 1241.49
Table 1.1: Table of Skewness
Carbon
Greenex Powerex Carbonex I.I.P. Population
Credit
Carbon
0
Credit
Greenex 0.07623 0
Powerex 0.96459 1.35397 0
Carbonex 0.48431 -1.5651 1.09695 0
I.I.P. 0.02299 0.27618 1.01799 0.409868 0
Population 0.00852 0.57744 1.01107 -2.49868 0.01149 0
Table (1) describes that relationship between carbon credit and greenex, carbonex and
carbon credit, powered and carbon credit, I.I.P. and carbon credits and population and
carbon credits is skewed towards the right for its value being a positive one.
Relationship between carbonex and greenex, carbonex and population being less than
zero, is the skewed towards the left.
Page 47
Carbon
Credit
Carbon 3
Credit
Greenex -2E+06 3
Powerex -0.4812 0.68333 3
Carbonex -2.2734 3.40094 0.10152 3
I.I.P. -2.4695 -2.0201 -0.35 -2.18718 3
Population -2.7784 -1.7502 -0.5813 6.500508 -2.769 3
Table (2) states that value of carbon credit and greenex being less than 3 is less than
normal distribution i.e a platykurtic distribution. Similarly, powerex and carbon
credits; I.I.P. and carbon credits; population and carbon credits exhibit platykurtic
tendencies. Similar is the pattern exhibited by I.I.P and greenex; I.I.P. and powered;
I.I.P. and carbonex. Carbonex and greenex; population and carbonex are the only
indices exhibiting a leptokurtic tendency, their vaue being more than 3.
Carbon
Credit
Carbon 1
Credit
Greenex -0.2286 1
Powerex -0.988 0.96203 1
Carbonex -0.562 0.58507 0.65944 1
I.I.P. -0.9157 0.93455 0.8696 0.204769 1
Population -0.7438 0.47976 0.64257 0.270421 0.81342 1
Page 48
CONCLUSION:
In order to achieve the main goal of reduction of G.H.G. emissions that are a root
cause of global warming, we need to create awareness among citizens about ways and
means of carbon reduction. For example, India is a major contributor to global
warming of the world, but most of the countrymen are not aware of the trade of
carbon credit as a commodity tradable on stock exchange. In our country, carbon
credit market was at a nascent stage before its decline in year 2011, as price of carbon
credits crashed to a zero. However, while active it showed great response both
positive and negative to other similar indices like the greenex, powerex, and industrial
production and population of our country. Though, the carbon is being actively traded
in other emerging markets like Pakistan, Australia etc. its early demise in India, can
be a great financial and ecological loss for our nation, since G.H.G. reduction projects
undertaken under C.D.M. in our country would have not only provided us carbon
reduction/sequestration technology and finance, but also, earned us revenue in the
form of C.E.R. trade. Thus, revival of the carbon market in India would enable us to
contribute our bit towards ecological sustainability. The paper describes existence of
great movement in carbonex due to other economic factors such as greenex, powerex,
I.I.P., and population of our country, so it becomes imperative for an investor to take
informed decision regards the trade and mitigate the risk involved.
Even though India is the largest beneficiary of carbon trading and carbon credits are
traded on the MCX, it still does not have a proper policy for trading of carbons in the
market. As a result the Centre has been asked by The National Commodity and
Derivatives Exchange Limited (NCDEX) to put in place a proper policy framework
for allowing trading of certified emission reductions (CERs), carbon credit, in the
market. Also, India has huge number of carbon credits sellers but under the present
Indian law, the buyers based in European market are not permitted to enter the
market. To increase the market for carbon trading Forward Contracts (Regulation)
Amendment Bill has been introduced in the Parliament. This amendment would also
help the traders and farmers to utilize NCDEX as a platform for trading of carbon
credits. However, to unleash the true potential of carbon trading in India, it is
important that a special statue be created for this purpose as the Indian Contracts Act
is not enough to govern the contractual issues relating to carbon credits.
REFERENCES:
1. Bataller M., Tornero A.P.& Micó (2006). CO2 prices, energy and weather,
Available at https://papers.ssrn.com/ sol3/Papers.cfm?abstract_id=913964
2. Bharadwaj B. (2013). Future of carbon trading: A business that works for
global environment, International Journal of Science, Environment and
Technology, 2(1)
3. Carraro C. & Favero A. (2009). The Economic and Financial determinants of
carbon prices, Czech Journal of Economics and Finance, 59(5), 396-409.
Page 49
4. Chaklader, Barnali (2010). Spot and Future Prices of Carbon Emission

Reduction Trading of NCDEX India: An Econometric Study. Available at
SSRN: http://ssrn.com/abstract=1541636.
5. Chevallier, J. (2011). Carbon price drivers: An updated literature review,
Available at SSRN: http://ssrn.com/ abstract=1811963.
6. Kumari, Divya, Revanth, Shwetha (2013). Analysis of Carbon Credit Market
in India, Asia Pacific Journal of Marketing & Management Review, 2(8), 62-
67
7. Shyamal and Bhattacharya R. (2003). Energy intensity and carbon factor in
CO2 emission intensity, Journal of Environmental Systems, 29(4), 269-275.
Page 50
STUDY ON IMPACT OF GST ON TEXTILE INDUSTRY
Prof. Sagar S. Borate Dr. Nitin Ghorpade

(Research Student) (Principal)
Prof. Ramkrishna More Arts, Com & Science Waghire College of Arts, Com and Science,
Akurdi Pune-44 Saswad, Pune
Email Id- ssborate123@gmail.com
ABSTRACT:
This paper is an analysis of what the effect of GST (Goods and Services Tax) will be
on textile sector. GST (Goods and service tax) is effective from 1 st July, 2017 as per
the government. The rates of GST are 0%, 5%, 12%, 18% and 28%. GST has been
given approval by all state assemblies and consented by all. It is an accepted fact that
GST is not simply a tax change but a business change as it will impact all purposes of
an organization such as finance, product pricing, supply chain, information
technology, contracts, commercials etc. Thus, it is imperious that all these efficient
teams should be conscious about the GST. The objective of this research is to bring
out the impact of GST on various sectors and how these sectors would manage their
way out to tackle their increased cost. The execution of the integrated tax structure in
India would bring tax insurrection in the country. GST is a widespread, indirect,
multi-stage, destination- based tax that will be imposed on every value addition. The
goods and services tax (GST) is considered at creating a single integrated market that
will directly affects all sectors and sections of our economy. Thereafter, I have
discussed the old indirect tax regime system and then an effort has been made to
examine the impact on textile sector under GST regime and finally, the paper draws
out a conclusion.
Keywords: Goods and service tax (GST), Indirect tax and Textile sector.
INTRODUCTION
The introduction of Goods and Services Tax (GST) is a very significant step in the
field of indirect tax reforms in India. By amalgamating a large number of Central and
State taxes into a single tax, it would mitigate cascading or double taxation in a major
way and surface the way for a common national market. From the consumer point of
view, the biggest advantage would be in terms of a reduction in the overall tax burden
on goods, which is currently estimated to be around 25%- 30%. Introduction of GST
would also make Indian products competitive in the domestic and international
markets. The One Hundred and Twenty Second Amendment Bill of the Constitution
of India, formally referred to as The Constitution Act, 2016, introduced a national
Goods and Services Tax in India from 1stJuly, 2017. The GST law is likely to change
the whole situation of current indirect tax system. It is considered as biggest tax
reform since 1947.
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GST stands for a coherent tax system which will colligate most of current indirect
taxes and in long term it will lead to higher output, more employment opportunities
and flourish GDP by 1-1.5%.It can also be used as an effective tool for fiscal policy
management if implemented successfully due to nation-wide same tax rate.In the year
2000, for the first time the indication of introducing the GST was made by the then
BJP Government under the leadership of Atal Bihari Vajpayee. An authorized
committee was also formed for that, controlled by AsimDasgupta (the then Finance
Minister of the West Bengal Government). The committee was formed to design the
model of the GST and at the same time examine the preparation of the IT department
for its rollout. In 2011, the previous United Progressive Alliance (UPA) Government
also introduced a Constitution Amendment Bill to facilitate the introduction of the
GST in the LokSabha but it was rejected by many States. Now in year 2016 this bill
got green indicator under the umbrella of Prime Minister Modi government. The GST
is a consolidated tax based on a uniform rate of tax fixed for both goods and services
and it is payable at the final point of consumption. At each stage of sale or purchase in
the supply chain, this tax is collected on value-added goods and services, through a
tax credit mechanism.
OBJECTIVE OF STUDY
The study has following objectives:

1) To cognise the concept of GST.
2) To study the key role of textile industry in the Indian economy.
3) To study the pertinent issues in current taxation and GST under textile
industry.
4) To examine the impact on textile sector under GST regime.
RESEARCH METHODOLOGY
The researcher used an explorative analysis technique supported past literature from
various journals, annual, reports, newspapers and magazines covering wide
assortment of educational literature on goods and service Tax. In keeping with the
objectives of the study, the analysis style is of descriptive in nature. Available
secondary data was extensively used for the study.
ROLE OF TEXTILE SECTOR IN THE INDIAN ECONOMY
India’s textile sector is one of the oldest industries in Indian economy dating back
several centuries. It is one of key sector in Indian economy with a direct linkage to the
overall growth of Indian and global economy. Textile plays a major role in the Indian
economy India's textile market size (USD billion). It contributes 11 per cent to overall
index of industrial production (IIP) and 5 per cent to GDP. The industry is the second
Page 52
largest employer after agriculture, providing employment to over 45 million people

directly and 60 million people indirectly. The industry accounts for nearly 15 per cent
of total exports. The industry accounts for nearly 11 per cent of total exports. The
textile industry has two broad segments. First, the unorganized sector consists of
handloom, handicrafts and sericulture, which are operated on a small scale and
through traditional tools and methods. The second is the organized sector consisting
of spinning, apparel and garments segment which apply modern machinery and
techniques such as economies of scale. The Indian Textile industry is amongst very
few industries that is vertically integrated from raw material to finished Products.
With potential growth opportunities in both the global and the domestic market it has
leveraged its strong manufacturing position to achieve considerable expansion.
IMPACT OF GST ON TEXTILE SECTOR
As per the recommendation by the Dr. Arvind Subramanian Committee if we consider

12% rate, the textile sector is likely to be negatively impacted. The cotton value chain
is likely to be the worst affected as it is currently attracting zero central excise duty
and tax in inputs may not be more than 2-4%.
 Some Positive Impact on Textile Industry:
1) Improved compliances: A remarkable effect of GST would be to improve
compliance. The value chain under the GST will be fully traceable and
will automatically lead to higher revenues.
2) Revenue Neutral rate (RNR) proposed to be higher under GST:CGST
and SGST rates are likely to be higher than the existing textile sector rate.
This will lead to higher revenue to the Central and State Governments
leading to increase in Textile Prices.
3) Duty Drawback to lose relevance:With Input tax credit chain becoming
much more integrated and transparent and hence, the tax credit for
exporters will become simpler and easier. Also, full credit of indirect taxes
can be claimed but the duty drawback scheme could lose relevance under
GST.
4) Transparent Taxation: Textile players which are oriented towards
domestic markets will be able to set-off the GST paid on domestic capital
goods. This is basically due to the reason that their sales will be subject to
GST.
 Some Negative Impact on Textile Industry

1) Goods Transfers as Stock: Transfer of Goods from one place to another
place will be liable for GST if it’s inter-state trade. If separate dealerships
are obtained with separate GST registration number, then any transfer of
supply between such dealerships will also be liable for Goods and Sales
Tax.
Page 53
2) Advance Booking: As this sector requires advance booking of Goods so

that market demands are met, which is done on payment of certain amount
considering as token money with no VAT is not being paid on such
advances, in GST System Tax one has to pay on advance received for
booking
3) Road Tax/ Environment Tax: In the GST System, GST must also
include Road Tax, while presently, Service tax or VAT is not paid on the
Road Tax element.
4) Post Supply Discounts: Various discounts received by dealers from its
manufacturers based on targets, goods lifted etc. will not be allowed as
deduction from the value if the same is not linked to any invoice in the
GST return.
FINDINGS
Major changes in tax rates specific to textile inputs/outputs: 1. Excise duty on

fabrics made from cotton alone increased from 5% to 6% 2. Excise duty on
synthetic textile inputs such as polyester and viscose also increased to 12% 3.
Abatement applicable to branded ready-made garments increased from 55% to
70% of the Retail Sale Price. The overall impact of GST on the textile industry
and consumers will depend on how the available policy options are exercised in
implementing GST in relation to textiles.
SUGGESTIONS
Some of the possible suggestions are mentioned below:-

1) Raw material bank: Yarn constitutes more than 60% of the overall cost of
handloom products. Typically major yarn spinners are not located within or
near the handloom clusters and they do not sell yarn directly to the
weaver/master weaver/cooperatives. There are a number of agents involved in
the process of delivering the yarn from mill to weaver, which increases the
price of yarn and sometimes creates artificial shortage of raw material
availability, which in turn increases the price of yarn.
2) Supply of handloom parts at subsidized rate: Many times handloom
weavers can’t change the defective handloom parts due to its high price. This
reduces the efficiency level of the handloom weavers and also deteriorates the
quality of the products. Supply of handloom parts at subsidized rate will help
handloom weavers to improve their efficiency, which will help in reduction of
cost of production.
3) Improved Dyeing facility: Color fastness is the most common quality
problem with handloom products. Many consumers hesitate to purchase
handloom products due to this problem. Usage of age old dyeing facility is the
reason behind such quality problem.
Page 54
4) Product & design development: Supporting handloom weavers in product

and design development will help them in reducing the cost of manufacturing
and developing higher value added products, which can be sold with higher
premium. This facility can be provided to handloom weavers through training
or opening facility Centre at the cluster level.
REFERENCES
1) SatyaP.Dasz and AnuradhaSaha. (August 2011). Trade in Goods and Services

and Economic Growth.
2) Kumar, Nitin. Goods and Services Tax in India: A Way Forward. Global
Journal of Multidisciplinary Studies. 2014.
3) Sehrawat, Monika Dhanda, Upasana. Gst In India: A Key Tax Reform:
International Journal of Research Granthaalayah. 2015.
4) MrDebnath. (April 2016). Implementation of Goods and Service Tax (GST) in
India and its Control over the Tax Collection.
5) Poonam M. Goods and Services Tax in India: An Introductory Study,
International Journal of Science Technology and Managemnt. 2017.
6) Mahender P. GST Effect on Manufacturing Industry – India. International
Journal of Managerial Studies and Research. 2017.
Page 55
WOMEN ENTREPRENEURSHIP IN INDIA

Dr. Ashwini Manik Vatharkar
Department of Humanities (Economics)
Assistant Professor
INTRODUCTION
Entrepreneurship refers to the act of setting up a new business or reviving an

existing business so as to take advantages from new opportunities. An
entrepreneur is a person who starts an enterprise. He searches for change and
responds to it. A number of definitions have been given of an entrepreneur- The
economists view him as a fourth factor of production along with land labour and
capital. The sociologists feel that certain communities and cultures promote
entrepreneurship like for example in India we say that Gujarat is and Sindhis are
very enterprising. Still others feel that entrepreneurs are innovators who come up
with new ideas for products, markets or techniques. Thus, entrepreneurs shape the
economy by creating new wealth and new jobs and by inventing new products and
services. However, an insight study reveals that it is not about making money,
having the greatest ideas, knowing the best sales pitch, applying the best
marketing strategy. It is in reality an attitude to create something new and an
activity which creates value in the entire social eco-system. It isthe psyche makeup
of a person. It is a state of mind, which develops naturally, based on his/ her
surrounding and experiences, which makes him/ her think about life and career in
a given way. Entrepreneurship has been a male-dominated phenomenon from the
very early age, but time has changed the situation and brought women as today's
most memorable and inspirational entrepreneurs. It is estimated that women
entrepreneurs presently comprise about 10% of the total number of entrepreneurs
in India, with the percentage growing every year. If the prevailing trends continue,
it is likely that in another five years, women will comprise 20% of the
entrepreneurial force (Saidapur et.al, 2012). The Tenth Five-Year Plan (2002-07)
aims at empowering women through translating the recently adopted National
Policy for Empowerment of Women (2001) into action and ensuring Survival,
Protection and Development of women and children through rights based
approach.
STATUS OF WOMEN ENTREPRENEURS IN INDIA
Entrepreneurship is considered as one of the most important factors contributing to

the development of society. India has been ranked among the worst performing
countries in the area of women entrepreneurship in gender-focused global
entrepreneurship survey, released in July 2013 by PC maker Dell and Washington
based consulting firm Global Entrepreneurship and Development Institute (GEDI).
Page 56
Of the 17 countries surveyed India ranks 16th, just above Uganda. Countries like
Turkey, Morocco and Egypt have outperformed India. Status of higher education
in women in India came out to be lower than most countries in the world. At
present, women’s entrepreneurial role is limited in the large scale industries and
technology based businesses. But even in small scale industries, the women’s
participation is very low. As per the third all-India census of Small Scale
Industries, only 10.11% of the micro and small enterprises were owned by women,
and only 9.46% of them were managed by women. While the number of women
operating their own business is increasing globally, women continue to face huge
obstacles that stunt the growth of their businesses, such as lack of capital, strict
social constraints, and limited time and skill.
CHALLENGES FACED BY WOMEN ENTREPRENEURS
Conflicts between Work and Domestic Commitments- Women's

familyobligations also bar them from becoming successful entrepreneurs in both
developed and developing nations. "Having primary responsibility for children,
home and older dependent family members, few women can devote all their time
and energies to their business" (Starcher, 1996)
Gender gaps in education- While women are making major strides ineducational
attainment at primary and secondary levels, they often lack the combination of
education, vocational and technical skills, and work experience needed to support
the development of highly productive businesses.
Lack of finance - Access to finance is one of the most common challengesthat

entrepreneurs face and this is especially true for women who are furtherimpeded
by lack of personal identification, lack of property in their own name and the need
for their husband's countersignature on many documents.
Legal constraints in family law- The institutional and legal environment

iscritical to the growth of female-owned enterprises. Laws regulating the private
sphere specifically those regarding marriage, inheritance and land can hinder
women's access to assets that can be used as collateral when securing a loan.
Heavy household responsibilities leave a demand on women especially thosein

rural areas who have more children. They are required to perform their traditional
role as housewives and therefore, they have fewer hours of free time than men,
both during the weekend and on weekdays. An ILO report on women
entrepreneurship identifies the following problems by women entrepreneurs.
Lack of family support- Sometimes the family may make the women feelguilty
of neglecting household duties in her pursuit of business obligations. Cultural
traditions may hold back a woman from venturing into her own business.
Page 57
Lack of capital-traditional sources of finance like banks are reluctant to lend

towomen entrepreneurs especially if they do not have any male or family backing.
This is especially true of lower income females. Women do not have adequate
finance or legal knowledge to start an enterprise.
Lack of confidence and faith-lack of role models undermines the self-confidence

of women entrepreneurs. The activity of selling is considered abhorrent to the
female gender.
Lack of right public/ private institutions- Most public and private incentivesare
misused and do not reach the woman unless she is backed by a man. Also many
trade associations like ministries, chambers of commerce do not cater to women
expecting women’s organizations to do the necessary thing.
LIFE OF AN ENTREPRENEUR - HINA SHAH BHUPTANI

Hina Shah is a home maker, a classical dancer, an entrepreneur, a painter, an
academician and the director of ICECD. In a man’s world, she has created a niche
for herself with path breaking innovative ideas. She began her career in 1976 in
the plastic packaging industry and with a belief that economic empowerment is the
tool for overall empowerment of women, she piloted a development strategy in
1980 that viewed women as an active participant in economic development. In
1986, she transformed her vision into an initiative “International Centre for
Entrepreneurship and Career Development (ICECD)” which today is recognized
as “Centre for excellence” by United Nations. She has thus facilitated thousands of
deprived women to become entrepreneurs all over India and the developing world.
Hina Shah started her first programme, termed Entrepreneurship Development
Programme for women with 25 women from Gujarat, out of which 16 women
established non-traditional businesses. Shah became instrumental in initiating and
institutionalizing Women Economic Empowerment strategy in countries such as
Zambia, Bangladesh, Lesotho, Botswana, Cameroon, Malaysia, Philippines,
Jordan, Sri Lanka, Guyana, Ivory Coast and St. Kitts. Her efforts have created a
consolidated wealth of Rs. 195 crores in India and Rs. 620 crores in other
countries till date. Her mission has always been to create successful and persistent
women entrepreneurs, who will emerge as job creators and not job seekers. Mrs.
Hina Shah Bhuptani’s vision is to turn women from job seekers to job provider.
Page 58
The core idea of “she can you can” initiative by Hina shah was Tupperware’s
basic ideology of empowering women and giving them wings to fly. She Can
YouCan, in essence, is an initiative to capture stories of women going beyond the
ordinary.Focusing on empowering the women of today, the campaign endeavors
to bring out the hidden achievers while helping the womenfolk lead a self-reliant
lifestyle. The campaign seeks to inspire many more women, to come forward to
start dreaming and start achieving. Hina Shah’s relentless efforts to change the
face of the deprived, dependent women of rural Development.
India created a noteworthy impact. These are the women who hardly involved
themselves in income generation and always despaired. Their status improved as
they began their little businesses, earned, started spending profits on improving
their lives; family diet; health and other essentials, and started sending their
children to school. Their self-esteem and confidence blossomed. They have
savings in place, and are confident, healthier, better fed and housed, better
informed and respected in the community. There has been an irrevocable change
in the role of women in the deeply backward areas. Ms. Hina Shah has been
chosen as a social entrepreneur, who in the past 3 years has led over 13,000
widows of Gujarat to become successful entrepreneurs, and is currently reaching
out to over 2500 Primitive Tribal Youth of the State to become self-sufficient. Her
contribution to the development of Gujarat over the last 22 years has been
significant, for which she has received various national laurels. Having spread her
wings to over 52 Asian, African and Pacific countries world over, she is a huge
source of inspiration to many who have changed the course of their lives to follow
her leadership.
Page 59
RECOMMENDATIONS
The elimination of obstacles for women entrepreneurship requires a major change

in traditional attitudes and mindsets of people in society rather than being limited
to only creation of opportunities for women. Hence, it is imperative to design
programmes that will address to attitudinal changes, training, supportive services.
The basic requirement in development of women entrepreneurship is to make
aware the women regarding her existence, her unique identity and her contribution
towards the economic growth and development of country. The basic instinct of
entrepreneurship should be tried to be reaped into the minds of the women from
their childhood. This could be achieved by carefully designing the curriculum that
will impart the basic knowledge along with its practical implication regarding
management (financial, legal etc.) of an enterprise.
Here are some suggestions to increase the role of women entrepreneurs:-
Infrastructure – Infrastructure set up plays a vital role for any

enterprise.Government can set some priorities for women entrepreneurs for
allocation of industrial plots, sheds and other amenities. However, precautionary
measures should be undertaken to avoid the misuse of such facility by the men in
the name of the women.
Personality Development-Attempts should be there to enhance the standardsof

education of women in general as well making effective provisions for their
training, practical experience and personality development programmes, to
improvise their over-all personality standards.
Self-help groups of women entrepreneurs- Self-help groups of

womenentrepreneurs can mobilize resources and pool capital funds to help the
women in the field of industry, trade and commerce.
Page 60
Business Development Training Programs – It includes basic day-to-

daymanagement training like how to keep track of accounts, handle taxes and
understand compliance rules and regulations. They can also focus on strategy and
the long-range success of a business from writing a business plan to targeting
specific markets, along with product innovation within business clusters and
incubators.
Access to Finance Programs- Efforts to facilitate access to finance for

womenentrepreneurs typically encompasses initiatives that reform restrictive bank
and regulatory policies. Such reforms accept less traditional forms of collateral,
look at a lender’s willingness to repay and simplify business registry. They also
help financial institutions develop innovative loan and savings products for female
entrepreneurs.
To establish all India forums to discuss the problems, grievances, issues, and
filing complaints against constraints or shortcomings towards the economic
progress path of women entrepreneurs and giving suitable decisions .
REFERENCES
1. BhardwajG.N. et al, (2012), “Women Entrepreneurship in India:

Opportunities and Challenges” CH Institute of management and
communication,
vol2http://www.chimc.in/Volume2.1/Volume2Issue1/GurendraNathBhard
waj. pdf
2. Global Entrepreneurship Monitor (2012) GEM 2011 Global Report.
Published online, http://www.gemconsortium.org
3. Rao, K., (2004), Women Entrepreneur in Lower Middle Class Families
and their Problems, Research Paper Presented at National seminar on
Women Entrepreneurship – A Need for Training and Curriculum
Development held by Development of Home Science Extension and
Communication, Faculty of Home Science , M. S. University, Vadodara
4. Saidapur, S et.al, ‘Women candle entrepreneurs in Gulbarga district – A
micro analysis’, Spectrum: A Journal of Multidisciplinary Research’,
vol.4, 2012, pp. 7-17.
5. Starcher, D. C, ‘Women entrepreneurs: Catalysts for transformation’,1996,
Retrieved July 6, 2001: http:// www.ebbf.org/woman.html
6. http://web.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTGENDER/con
tent MDK:23392727~pagePK:210058~piPK:210062~theSitePK:336868,00.
Vishwanathan, R, ‘Opportunities and challenges for women in businesses,
2001
7. Retrieved July15, 2009 from
www.indiatogether.org/women/business/renuka.htmlhttp://en.wikipedia.org/w
iki/Hina_Shah
8. http://lighthouseinsights.in/tupperware-india-features-hina-shah-
director-of-icecd-in-the-new-she-can-you-
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can.htmlhttp://www.indiainfoline.com/Research/LeaderSpeak/Hina-
ShahFounder ICECD/26947305
Page 62
A STUDY OF INDIAN STOCK MARKET ITS GROWTH

Prof. Mahendra Kailas Sonawane Dr.Sampada Gupchup
Assistant Professor Assistant Professor
College of Computer Sciences, Pune IBMR, Wakad, Pune
Email Id- mksona56@gmail.com Email Id- sampadagupchup@gmail.com
ABSTRACT:
Stock Market is one of the most rousing sectors in the financial system, making an
important contribution to the economic development. Stock Market is a place where
buyer and seller of securities can enter into transaction to purchase and sell shares,
bonds, debenture etc. In other words, Stock Market is a place form for trading various
securities and derivatives. Stock markets acts as a barometer which is used to
measure the performance of the Indian economy with its development. A number of
developing countries in association with the International Finance Corporation and
the World Bank took steps to establish and revitalize their stock markets as an
effective way of mobilizing and allocation of funds. In line with the global trend,
reform of the Indian stock market also started with the establishment of Securities and
Exchange Board of India (SEBI), although it became more effective after the stock
market scam in 1991. With the establishment of SEBI and technological advancement
Indian stock market has now reached the global standard.Indian stock market has
gained new milestones and its fluctuating has surprised our economy with the
expansion in the equity, debentures, bonds and real estate. According to the Survey,
India will become the world third largest economy after 2035. After getting the
freedom from the bruisers, Indian economy has survived with rebuilding their stand
through monetary policies, fiscal policies, five years plan etc. Effective and efficient
stock market is a place where prices of the securities are showing all related
information about its true worth. Already appreciable studies have been conducted in
this area. The main aim to this paper is to find out the information that what are the
various technology comes in the stock markets that can attracted more and more
investors to spend their money in the stock market to get valuable return from the
investment.
Keywords- Derivatives, Revitalize, Mobilizing, Allocation of Funds, Monetary
Policies, Fiscal Policies.
INTRODUCTION
After the process of economic liberalization, Privatization and Globalization, the

Indian capital market has been assigned very dominating place in financing and
loaning industry. The leading role of stock market is financing corporate industry,
encourage entrepreneurship, mobilizing resources, allocation of resources with respect
of economic growth. Instead of showing high growth, high public savings and a high
degree of self-reliance, India was actually showing one of the lowest rates of growth
in the developing world with a rising public deficit and a periodic balance of payment
crises. Between 1950 and 1990, India’s growth rate averaged less than 4 per cent per
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annum. The strategy of industrialization, which protected domestic industries from

foreign competition, was also responsible for high cost and low growth in the
economy.
Development phase has taken place after 1991 the capital market with innovative
strategies and policies. In this period the establishment was made up of Securities
Exchange Board of India (SEBI), to cover both the development and regulation of the
market and independent powers has been set-up as a fully autonomous body which is
held responsible to look after the work of Indian Stock Markets. In 1875 Bombay
stock exchange was established with the view to expand and regenerate finance
industry. At that time International standards were confronting with the Indian
economy. Stock market has been assigned an important place in financing the Indian
corporate sector. It is one of the liveliest sectors in the financial system, marking an
important contribution to economic development. It is a place where buyers and
sellers of securities can enter into transactions to purchase and sell shares, debentures,
bonds etc. The main attraction of the stock markets is that they provide for
entrepreneurs and governments a means of mobilizing resources directly from the
investors, and to the investors they offer liquidity. They are also expected to play a
major role in disciplining company managements.
BRIEF OVERVIEW OF STOCK MARKET
The Bombay Stock Exchange is the oldest exchange in India. It traces its history to
1855, when four Gujarati and one Parsi stockbroker would gather under banyan trees
in front of Mumbai's Town Hall. The location of these meetings changed many times,
as the number of brokers constantly increased. The group eventually moved to Dalal
Street in 1874 and in 1875 became an official organization known as 'The Native
Share & Stock Brokers Association'. In 1958, the BSE became the first stock
exchange to be recognized by the Indian Government under the Securities Contracts
Regulation Act. In 1980 the exchange moved to the Phiroze Jeejeebhoy Towers at
Dalal Street, Fort area. In 1986 it developed the BSE SENSEX index, giving the BSE
a means to measure overall performance of the stock markets. The Stock Exchange,
Mumbai. Ahmedabad stock exchange in 1894 and 22 others followed this in the 20th
century. The process of reforms has led to a pace of growth almost unparalleled in the
history of any country. Securities market in India has grown exponentially as
measured in terms of amount raised from the market, number of stock exchanges and
other intermediaries, the number of listed stocks, market capitalization, trading
volumes and turnover on stock exchanges, investor population and price indices.
Along with this, the profiles of the investors, issuers and intermediaries have changed
significantly. The market has witnessed fundamental institutional changes resulting in
drastic reduction in transaction costs and significant improvements in efficiency,
transparency and safety, thanks to the National Stock Exchange. Indian market is now
comparable to many developed markets in terms of a number of parameters.
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Stock Market is a place where stocks are bought and sold. The stock market
determines the day's price for a stock through a process of bid and offer. You bid to
buy a stock and offer to sell the stock at a price. Buyers compete with each other for
the best bid, i.e. the highest price quoted to purchase a particular stock. Similarly,
sellers compete with each other for the lowest price quoted to sell the stock. When a
match is made between the best bid and the best offer a trade is executed. In
automated exchanges high-speed computers do this entire job. Over the past 137
years, BSE has facilitated the growth of the Indian corporate sector by providing it an
efficient capital-raising platform. More than 5000 companies are listed on BSE
making it world's No. 1 exchange in terms of listed members.
MEANING OF STOCK EXCHANGE
Stock Exchange means organized markets where securities issued by companies,

government organization and semi-government organizations are sold and purchased.
Securities include shares, debenture, bonds, etc. According to The Securities
Contracts (Regulation) Act, 1956, “Stock Exchange means anybody of individuals
whether incorporated or not, constituted for the purpose of assisting, regulating or
controlling the business of buying, selling or dealing in securities”.
According to Pyle, “Stock Exchange is the markets places where securities that have
been listed thereon, may be bought or sold for either investment or speculation”.
SECURITIES EXCHANGE BOARD OF INDIA
Share market is the foundation of the economic country of a country. Through its
medium, the people wishing to invest in securities get good chances. It is very
important to control the share market in order to strengthen the economic condition of
the country protect the rights of the investors. Keeping this thing in view, the Capital
Issue (Control) Act, 1947 was enforced. But the Act was failed to control fully the
Share Market. In order to remove its drawbacks, Securities and Exchange Board of
India (SEBI) was established in 1992.
Functions of SEBI:
The functions of the SEBI can be divided into three parts:
• Protective Functions:-
 To check unfair trade practices in connection with security market.
 To check insiders trading in securities.
 To provide education relating to dealing in securities to the investors.
 To provide code of conduct relating to security market.
• Regulatory Functions:-
 To regulate the business doing done in the share market.
 To registers and regulate the venture capital funds.
 To carry out audit of the share markets.
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 To register and regulate the credit rating agency.

• Developmental Functions:-
 To impart training to the Intermediaries.
 To encourage self – regulating organizations.
 To carry on research work.
 To publish different kinds of information for the convenience of all the parties
operating in the capital markets.
DEPOSITIORY PARTICIPANT
In India, a Depository Participant (DP) is described as the Agent (law) of the

depository. They are the intermediaries between the depository and the investors. The
relationship between the DP’s and the depository is governed by an agreement made
between is governed by an agreement made between the two under the Depositories
Act. In a strictly legal sense, a DP is an entity who is registered as such with SEBI
under the Sub section 1A of section 12 of the SEBI Act.
As per the provisions of this act, a DP can offer depository-related services only after
obtaining a certificate of registration from SEBI. As of 2012, there were 288 DPs of
NSDL and 563 DPs of CDSL registered with SEBI.
SEBI (D&P) Regulation, 1996 prescribe a minimum net worth of Rs 50 lakh for
stockbrokers, R&T agents and non-banking finance companies (NBFC), for granting
them a certificate to act as DPs.
Depository is an institution or a kind of organization which holds securities with it, in

which trading is done among shares, debentures, mutual funds, derivatives, F&O and
commodities. The intermediaries perform their actions in variety of securities at
Depository on behalf of their clients. These intermediaries are known as Depositories
Participants. Fundamentally, there are two sorts of depositories in India.
 National Securities Depository Limited (NSDL)
 Central Depository Securities Limited (CDSL)
Number of Depository in the Country:-

 National Securities Depository Ltd. –NSDL – Having 1.39 Crores Demat A/C
as on 30-06-2015
 Central Depository Service Ltd. – CDSL – Having 98,00,000 Demat A/C as
on 30-06-2015
Services provided by Depository:-
 Dematerialization is converting physical certificates of Securities to electronic

form
 Dematerialization, known as remat, is reverse of Demat, i.e. getting physical
certificate from the electronic securities
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 Transfer of securities, change of beneficial ownership

 Settlement of trades done on exchange connected to the Depository
 Pledging and unpledging of securities for loan against shares
 Corporate action benefits directly transfer to the Demat and Bank account of
Customer.
FORWARD MARKET COMMISSION
The Forward Markets Commission (FMC) is the chief regulator of commodity futures
markets in India. As of July 2014, it regulated Rs. 17 trillion worth of commodity
trades in India. It is headquartered in Mumbai and this financial regulatory agency is
overseen by the Ministry of Finance. The Commission allows commodity trading in
22 exchanges in India, of which 6 are national. On 28 September 2015 the FMC was
merged with Securities Exchange Board of India (SEBI). About FMC: Established in
1953 under the provisions of the Forward Contracts (Regulation) Act, 1952, it
consists of not less than two but not exceeding four members appointed by the central
government, out of them being nominated by the Central Government to be the
chairman of the Commission. Since futures traded in India is traditionally on food
commodities, the agency was overseen by Ministry of Consumer Affairs, Food and
Public Distribution (India).
Financial Market:
The financial markets have two major components:
 Money market
 Capital market.
The Money market refers to the market where borrowers and lenders exchange short-
term funds to solve their liquidity needs. Money market instruments are generally
financial claims that have low default risk, maturities under one year and high
marketability. Since their maturity period is very short, they are also called Near
Money. These securities include chiefly Call Money, Treasury Bills, Commercial
Bills, Certificate of Deposits, Commercial Paper, etc.
The Capital market is a market for financial investments that are direct or indirect
claims to capital. It is wider than the Securities Market and embraces all forms of
lending and borrowing, whether or not evidenced by the creation of a negotiable
financial instrument. The Capital Market comprises the complex of institutions and
mechanisms through which intermediate term funds and long-term funds are pooled
and made available to business, government and individuals. The Capital Market also
encompasses the process by which securities already outstanding are transferred.
The process of economic reforms and liberalization was set in motion in the mid-
eighties and its pace was accelerated in 1991 when the economy suffered severely
from a precariously low foreign exchange reserve, burgeoning imbalance on the
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external account, declining industrial production, galloping inflation and a rising

fiscal deficit. The economic reforms, being an integrated process, included
deregulation of industry, liberalization in foreign investment, regime, restructuring
and liberalization of trade, exchange rate, and tax policies, partial disinvestments of
government holding in public sector companies and financial sector reforms. The
reforms in the real sectors such as trade, industry and fiscal policy were initiated first
in order to create the necessary macroeconomic stability for launching financial sector
reforms, which sought to improve the functioning of banking and financial institutions
(FIs) and strengthen money and capital markets including securities market. The
securities market reforms specifically included:
 Repeal of the Capital Issues (Control) Act, 1947 through which

Government used to expropriate and allocate resources from capital
market for favored uses;
 Enactment of the Securities and Exchange Board of India Act, 1992 to
provide for the establishment of the Securities and Exchange Board of
India (SEBI) to regulate and promote development of securities market;
 Setting up of NSE in 1993, passing of the Depositories Act, 1996 to
provide for the maintenance and transfer of ownership of securities in
book entry form;
 Amendments to the Securities Contracts (Regulation) Act, 1956 (SCRA)
in 1999 to provide for the introduction of futures and option.
 Other measures included free pricing of securities, investor protection
measures, use of information technology, dematerialization of securities,
improvement in trading practices, evolution of an efficient and transparent
regulatory framework, emergence of several innovative financial products
and services and specialized FIs etc.
These reforms are aimed at creating efficient and competitive securities market
subject to effective regulation by SEBI, which would ensure investor protection.
LITERATURE REVIEW:
 Banerjee and Sarkar (2006) have attempted to forecast stock return volatility
using intra – day data of NSE from June 2000 through January 2004 by
employing the GARCH model. The findings revealed that participation of
FII’s in the Indian Stock market does not result in significant increases in
market volatility.
 Sinha and Pan (2006) have studied on The Power (Law) of Indian Markets:
Analyzing NSE and BSE trading statistics. They analyzed the nature of
fluctuations in the Indian financial market. They have looked at the price
returns of individual stocks, with tick-by tick data from the National Stock
Exchange (NSE) and daily closing price data from both NSE and the Bombay
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Stock Exchange (BSE), the two largest exchanges in India. They found that
the price returns in Indian markets follow a fat tailed cumulative distribution,
consistent with a power law having exponent 3, similar to that observed in
developed markets.
 Ramaniah, M.Venkata (2008) traces out year wise trends of FII’s into capital
markets from 1993 to 2007. FII’s have contributed significantly to the growth
of Indian Stock Markets. It also indicated that FII brings about high degree of
Volatility in Indian Stock Markets.
 Aboudou (2009) examines the causal relationship between stock market

development and economic growth for the West African Monetary Union
economy. Economic growth is proxies by GDP and stock market
capitalization is proxies by market capitalization and total value traded ratio.
By applying the techniques of unit– root tests and the long–run Granger non
causality test proposed by Toda and Yamamoto (1995), the causal
relationships between the real GDP growth rate and two stock market
development proxies are tested. The results are in line with the supply leading
hypothesis in the sense that there is strong causal flow from the stock market
development to economic growth. A unidirectional causal relationship is also
observed between real market capitalization ratio and economic growth.
 Naresh Chandra Sahu (2011) has studied that stock market is not that much
strong that it can affectthe real GDP growth of the country?Because only 2%
of population in India involved with the stock market investment.
 Jatinder Loombe (2012) explores that FII brings foreign capital and reserve
in the country with the aim of getting return. India is lacking in foreign capital
and surplus which needed to be raised and FII is doing favourable job for the
same.
 Anju Bala (2013) has studied that listing of corporate on various stock
exchanges impact the liquidity in the market. Risk in the stock market cannot
be eliminated but that can be measured with help of volatility and variability
of previous trends. Stock market is always related with the demand and supply
forces, fiscal deficit and political stability.
OBJECTIVES OF THE STUDY
The main motive for this research is to analyse the conditions of stock market with
relation to its financial factors impacting it. Under these study effects of globalization,
risk and return conditions and risk management techniques has been studied.
1) To find out the trend of Indian stock market.
2) To find out reason for such a trend in stock market.
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Data Collection: Data is collected from secondary sources like newspaper, internet,
research paper, articles, website etc. Research Design: For completing this research
paper we adopt Descriptive research design.
STOCK MARKET DEVELOPMENT INDICATORS
Well-functioning stock markets can play an important role in economic development

processes by performing the following functions: aggregate and mobilize capital,
enhance liquidity, provide risk pooling and sharing services, monitor managers and
exert corporate control. It is difficult, however, to construct accurate measures of
these functions. These indicators are associated with the size, and liquidity of the
stock market. While these indicators may be still imperfect measures of how well a
stock market performs the above functions, these measures or indicators together may
provide a more accurate picture than if we use only a single indicator. It is useful to
provide a brief and schematic description of such indicators:
• Stock Market Size: The study uses Market Capitalization Ratio (MCR) as indicator
to measure the stock market size. The assumption behind this measure is that overall
market size is positively correlated with the ability to mobilize capital and diversify
risk on an economy-wide basis. The market capitalization refers to the total value of
listed shares on the stock exchange. Capitalization of a company is calculated by
multiplying the number of shares outstanding of that company by its share price. To
calculate the market capitalization, this information is aggregated for all the
companies listed in the stock market. A large market size (market capitalization
relative to economic activity) suggests that the country is more likely to be integrated
into world capital markets. It is seen that the market capitalization has increased over
the period of years indicating that the size of the stock market has been growing over
the period of time.
• Stock Market Liquidity: Liquidity is an important attribute of stock market

development because theoretically more liquid stock markets improve the allocation
of capital to their optimal use, influence investment in the long term and facilitate
technological innovation, thereby enhancing long term growth. Greater liquidity also
has a direct impact on the effectiveness of the governance function of the stock
market. First, increased market activity encourages information acquisition, which in
turn increases the information content of share prices. Second, the effective use of the
stock market for corporate control activities requires that the market be liquid.
Takeovers require a liquid capital market where bidders access a vast amount of
capital at short notice. Thus, measures of market liquidity may reflect the function of
the market for corporate control as well. Therefore, a measure of market liquidity may
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be a good proxy for information production as well as the monitoring control function
of capital markets.
CONCLUSION
The main objective of stock market in India was to contribute to raising capital and
assisting its allocation process in order to strength the Indian economy. Instead of
showing high growth, high public savings and a high degree of self-reliance, India
was actually showing one of the lowest rates of growth in the developing world with a
rising public deficit and a periodic balance of payment crises. Between 1950 and
1990, India’s growth rate averaged less than 4 per cent per annum. The strategy of
industrialization, which protected domestic industries from foreign competition, was
also responsible for high cost and low growth in the economy. There have been
several reason put forward for the failure of the development path which necessitated
the reforms in 1991. Which an outcome comes in the form of established of the
autonomous body known as the SEBI. This monitors the growth of the stock markets
and can protect the interest of the investor. As a result the people faith is start building
in the stock markets and steadily the formation of NSE and Depository Participant
was stand truly on people trust. But still a lot of people are there who are fearing to
invest in the stock markets. It’s is the responsibility of the government is to build the
trust and provide proper information to the investors against their rights and tells the
important of the stock market in the economy. If we compare the earnings of the
developed countries like U.S.A and Japan the Indian economy is not able to stand in
against of them.
REFRENCES
1. Madhvi, (2014) An evaluating study of Indian Stock Markets scenario with

references to its growth and inception trend attempted by Indian Investors:
Relation with LPG Galaxy International Interdisciplinary Research Journal .
2. Sinha, S. and Pan, R. K. (2006). The Power (Law) of Indian Markets:
Analyzing NSE and BSE trading statistics. The Institute of Mathematical
Sciences, C.I.T. Campus, Taramani, Chennai.
3. Mukherjee, D. (2007). Comparative Analysis of Indian Stock Market with
International Markets. Chennai: Great Lakes Herald.
4. Juhi Ahuja (2012), “Indian Capital Market: An Overview with Its Growth”
VSRD International Journal of Business & Management Research.
Page 71
FACTORS AFFECTING PERCEPTION OF CUSTOMERS IN ORGANIZED

RETAIL
Dr MaddhuJasola
Associate Professor,
New Delhi Institute of Management, New Delhi
ABSTRACT
The organized retail sector’s growth potential is expected to increase due to

globalization, high economic growth and improved lifestyle.Organized retail is a new
phenomenon in India and despite the downturns, the market is growing exponentially.
Economic growth brings more of India’s people into the consuming classes. With
tremendous potential and huge population, India is set for high growth in consumer
expenditure. The study tries to find the factors affecting perception of customers in
organized retail. It also tries to find out the attitude of employees towards customers
and preference of customers for online purchase. The data has been collected from
both primary sources and secondary sources. A five point likert scale is used for this
purpose. A sample of 100 respondents is taken from Delhi and NCR. Statistical tool
was applied to data. Factor Analysis was carried out, four factors were derived
namely store outlook, store efficiency, employee behavior and customer preference.
The results show positive attitude of customers towards organized retail.
Keywords: Organized Retail, Customers, Perception, Preference
INTRODUCTION
The Indian retail industry has emerged as one of the most dynamic and fast-paced
industries due to the entry of several new players. The Indian Retail sector has come
off age and has gone through major transformation over the last decade with a
noticeable shift towards organized retailing.According to A.T.Kearney Report 2016,
GDP growth, improved ease of doing business, and better clarity regarding foreign
direct investment regulations puts India in 2nd place. India is now the world's fastest
growing economy, overtaking China. Retail demand is increasingly driven by
urbanization, an expanding middle class, and more women entering the workforce.
India remains a challenging and complex market for foreign retailers. India’s strong
ranking reflects foreign retailers' increased optimism in the $1 trillion retail market
and its vast potential.The e-commerce market in India is expected to nearly double to
Rs 2,11,005 crore by December 2016.
Companies like Tata, Reliance, Adani Enterprise and Bharti have been investing
considerably in the booming Indian Retail market. Along with these giant retailers, a
number of transnational brands have also entered into the market to set up retail
chains in close association with bigger Indian companies. Cities and towns in India
are witnessing a major shift in consumer preferences and lifestyles, the result of
which, they have emerged as attractive markets for retailers to expand their
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presence.The Indian retail sector is highly fragmented and the unorganized sector has
around 13 million retail outlets that account for around 96% of the total Indian retail
industry. The growing middle class is an important factor contributing to the growth
of retail in India. By 2030, it is estimated that 91 million households will be ‘middle
class’. Also by 2030, 570 million people are expected to live in cities. Thus, with
tremendous potential and huge population, India is set for high growth in consumer
expenditure. With India's large ‘young’ population and high domestic consumption,
the macro trends for the sector look favorable.
According to SubhashiniKaul (2005) consumers satisfied with the store’s service

quality are most likely to remain loyal. Service quality is being increasingly perceived
as a tool to increase value for the consumer, as a means of positioning in a
competitive environment to ensure consumer satisfaction, retention and
patronage.Tamilarasan, R. (2007) studied in depth the variety of store dimensions and
service quality dimensions and revealed that all these dimensions have to be of the
changing and emerging retail scenario in India. Thirumoorthi, P. (2006) concluded
that the company must concentrate more on high margin to create a better
performance. Importance must be given to sales promotion. The retailers must also be
asked to give more displays and discounts.
An estimation of the market area in which the store is located is a crucial strategic tool
in order to enable retailers to attract customers’ attention and them to the store (Cheng
et al. 2007; Grewal et al. 2009) since convenience stores have the most direct contact
with customers (Kuo et al. 2002).Ease of access that refers to the people’s ability to
find the store easily and quickly (Dune &Lusch 2008:205), is one of the most
discussed factors in literature for store location-selection decisions.Store image is
considered one of the most important determinants of success (Amirani and Gates,
1993) in the retailing industry. In fact, a unique store image is one of the retailer’s
most valuable marketing assets, creating a competitive advantage that is not easily
duplicated by other retailers (Rosenbloom, 1983). Store image is a critical component
of store choice and loyalty (Malhotra, 1983; Nevin and Houston, 1980; Osman, 1993;
Stanley and Sewell, 1976).Store image has frequently been defined as an attitude, or
set of attitudes, based upon an evaluation of salient store attributes (Doyle and
Fenwick, 1974; Engel and Blackwell, 1982; James et al., 1976). According to Doyle
and Fenwick (1974) different socioeconomic groups perceive stores differently and
store image perception may be related to age and other demographic factors.
Several studies have found a positive relationship between store image and store
loyalty (Lassk, 2000; Mazursky and Jacoby, 1986; Osman, 1993).Store personnel who
are not helpful to the shopper are considered negative stimulus (Rose et al, 2005).
Jones (1999) found that salespeople could make the consumers’ shopping experience
enjoyable by providing good customer service and by simply being helpful to the
shopper. By identifying the attributes of their store image, retailers can create
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positioning strategies to differentiate their store in terms of products, price, or services

(Wortzel, 1987). Many consumers may think Internet retailing is lack of touching
products, so they prefer offline shopping to online shopping. This will discourage a
firm to adopt Internet retailing. Internet communication is more preferred as more and
more people are living with Internet (Doherty et al. 1993).
The objective of the study is to find the factors affecting perception of customers in
organized retail. It also tries to find out the attitude of employees towards customers
and preference of customers for online purchase. The data has been collected from
both primary sources and secondary sources. The primary data is collected with the
help of a questionnaire. For this purpose, the questionnaire was circulated among the
customers to collect information. The secondary data is collected from journals,
books, magazines and websites. A pilot study was conducted and final questionnaire
was prepared. A five point likert scale ‘strongly agree to strongly disagree’ is used for
this purpose. A sample of 100 respondents is taken from Delhi and NCR. The
reliability was tested and Cronbach's alpha value was calculated α = .783.
PROFILE OF RESPONDENTS
47% respondents are male and 53% respondents are females. 3% respondents are in
the age group of 18-23, 28% respondents are in the age group of 24-29, 23%
respondents are in the age group of 30-35, 18% respondents are in the age group of
36-40, 14% respondents are in the age group of 41-45 and remaining 14% are above
46 years of age. 36% respondents are educated up to class 12, 35% respondents are
graduate and 29% respondents are post graduate.51% respondents are married and
49% respondents are unmarried.
DATA ANALYSIS AND RESULTS
FACTOR 1 STORE OUTLOOK
1) 58% people agree that store has a modern outlook, whereas 20% disagree with
this statement with mean 3.53.
2) 57% people agree that store has an attractive arrangement of goods, whereas 22%
disagree with this statement with mean 3.48.
3) 58% people agree that store layout makes it easy to move around, whereas 15%
4) 96% people agree that store offers a great variety of products, whereas 1%
disagree with this statement with mean 4.14
5) 99% people agree that store has sufficient stock available, whereas 1% disagree
with this statement with mean 4.23.
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6) 96% people agree that products available in store are good in quality with mean
4.19.
7) 48% people agree that store gives individual attention to customers, whereas 6%
FACTOR 2 STORE EFFICIENCY
1) 92% people agree that store gives discounts with mean 4.87.
2) 7% people agree that store has fast billing system, whereas 73% disagree with the
statement with mean 2.13.
3) 50% people agree that store offers loyalty card, whereas 17% disagree with the
statement with mean 3.47.
4) 3% people agree that they are happy with redemption of loyalty cards, whereas
52% disagree with the statement with mean 2.23.
5) 44% people agree that store willingly handles returns and exchanges, whereas
46% disagree with the statement with mean 2.95.
6) 8% people agree that store has adequate parking facility, whereas 70% disagree
with the statement with mean 2.25.
FACTOR 3 EMPLOYEE BEHAVIOUR
1) 91% people agree that staff is wearing neat and tidy uniform, whereas 7%
disagree with the statement with mean 4.22.
2) 30% people agree that employees are courteous and helpful, whereas 65%
3) 43% people agree that employees show sincere interest in solving customer
complaints, whereas 32% disagree with the statement with mean 3.09.
4) 81% people agree that employees give prompt service to customers, whereas 7%
5) 85% of people agree that employees are updated about product information,
whereas 1% disagree with the statement with mean 4.13.
FACTOR 4 CUSTOMER PREFERENCES
1) 91% of people agree that they prefer online purchase of electronic products,
2) 30% of people agree that they prefer to buy from local market as compared to this
store, whereas 65% disagree with the statement with mean 2.52.
3) 43% of people agree that they go to local market because they get variety,
4) 81% of people agree that they go to local market because they get product at low
cost, whereas 7% disagree with the statement with mean 4.10.
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CONCLUSION
Customers are happy with the quality and variety of products they get at organized
retail outlets. They prefer to buy from these stores as they get discounts and offers.
Customers are not happy with the billing system at organized retail outlets. Every day
more and more loyalty cards are prepared for the customer stating the benefits which
customer will get but redemption of these loyalty cards is very poor. Employees need
to be given training on being helpful and courteous to the customers. Both organized
and unorganized retail companies will have to work together to ensure better
prospects for the overall retail industry while generating new benefits for their
customers. The growing middle class is an important factor contributing to the growth
of organized retail in India. Consumer markets in emerging market economies like
India are growing rapidly owing to robust economic growth. With India's large young
population and high domestic consumption, online retail business is another format
which has high potential for growth in the near future.
REFERENCES
1. Amirani, S & Gates, R (1993), “An attribute-anchored conjoint approach to

measuring store image”, International Journal of Retail and Distribution
Management, vol. 21(5), pp. 30-39.
2. Cheng, E. W. L., Li, H., Yu, L. (2007). A GIS approach to shopping mall
location selection.Building and Environment, 42, 884 892.
3. Doyle, P & Fenwick, I (1974), “How store image affects shopping habits in
grocery chains”, Journal of Retailing, vol. 50(4), pp. 39-52.
4. Dune, P. M. &Lusch, R. F. (2008).Retailing. (6th ed.). Thomson
Coorporation: China.
5. Engel, J.F & Blackwell, R.D (1982), Consumer Behavior, Dryden Press, New
York, NY.
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Table 1 (Profile of Respondents)
Gender Male 47%

Female 53%
Age 18-23 3%
24-29 28% 28%
30-35 23%
36-40 18%
41-45 14% 14%
46 and above 14 14%
Education Up to 12 36%
Graduation 35%
Post Graduation 29%
Marital Status Married 51% 51%
Unmarried 49%
Page 77
Table 2(Factor 1- Store Outlook)
Strongly Strongly
S.No. Statements Agree NAND Disagree Mean
Agree Disagree
Store has modern
1 15 43 22 20 0 3.53
outlook.
Arrangement of goods is
2 13 44 21 22 0 3.48
attractive in store.
Store layout makes it
3 8 50 27 15 0 3.51
easy to move around.
Store offers a great
4 19 77 3 1 0 4.14
variety of products.
There is sufficient stock
5 25 74 0 1 0 4.23
available in this store.
Products are good in
6 23 73 4 0 0 4.19
quality.
Store gives individual
7 1 47 46 6 0 3.43
attention to customers.
Table 3(Factor 2- Store Efficiency)

Strongly Strongly
S.No. Statements Agree NAND Disagree Mean
Agree Disagree
1 Store gives discounts. 35 57 28 0 0 4.87
Store has fast billing
2 0 7 20 52 21 2.13
system.
Store offers loyalty
3 15 35 33 16 1 3.47
card.
I am happy with
4 redemption of loyalty 0 3 45 24 28 2.23
cards.
Store willingly handles
5 10 34 10 33 13 2.95
returns and exchanges.
Store has adequate
6 0 8 22 57 13 2.25
parking facility.
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Table 4(Factor 3- Employee Behaviour)
Strongly Strongly
S.No. Statements Agree NAND Disagree
Agree Disagree
Staff is wearing neat and
1 42 49 2 3 4
tidy uniform.
Employees are courteous
2 12 18 5 40 25
and helpful.
Employees show sincere
3 interest in solving 18 25 25 12 20
customer complaints.
Employees give prompt
4 36 45 12 7 0
service to customers.
Table 5(Factor 4- Customer Preference)
Strongly Strongly
S.No. Statements Agree NAND Mean
Agree Disagree
I prefer online purchase

1 42 49 2 4 4.22
of electronic products.
I prefer to buy from local

2 market as compared to 12 18 5 25 2.52
this store.
I go to local market
3 18 25 25 20 3.09
because I get variety.
I go to local market
4 because I get product at 36 45 12 0 4.1
low cost.
Page 79
A STUDY ON AVAILABILITY OF OPPORTUNITIES FOR INVESTMENT

AND INVESTMENT AVENUES FOLLOWED BY PEOPLE IN INDIA
Prof. Amrita Karnawat
Assistant Professor
Indira School of Business Studies, Pune
ABSTRACT
In simple terms the action or process of investing money for profit is termed as an
investment. Investment is the application of money for earning more money. Investing
decision is utmost importance as it affects out wealth and any wrong decision can
make us to lose our hard earned money at the same time right investment can help us
to achieve desired goal in terms of wealth. People are earning, but they do not know
where, when and how to invest their funds or money earned by them. A proper
understanding of money, its value, the available investment avenues , various
financial institutions providing the facility of investments, the rate of return/risk, etc.,
are very important to successfully manage one’s finance for achieving future goal
.The study basically focuses on the various investment avenues available to the
investor, factors considered for investment. The study is based on using a structured
questionnaire. Many people are not willing to take risk for their funds, so many prefer
to invest in bank deposits, insurance, post office saving etc. Many of the people are
not aware about how to make an investment in share market, equity etc.“No pain no
gain” it is the golden principle of investment management.Investors cannot avoid risk
but they can minimize the risk by investing their money in various types of investments
so that they can get a moderate profit which can be said as “DIVERSE
PORTFOLIO”.This study basically provides awareness among people about various
investment avenues available to them and what factors they should consider before
making an investment.
INTRODUCTION:
Investment is putting money in certain thing like real estate, gold, securities to
acquire it and expecting returns on it in future to accomplish certain goals and
objectives for example capital appreciations, profits, interest or say dividend.
Most or all forms of investment involve some form of risk, such as investment in
equities, property, and even fixed interest securities which are subject, among other
things, to inflation risk. There are numerous factors which can affect profitability of
investments.
It is necessary to have a good planning of diversified portfolio to according to
specified need at a particular instance of life.We all know good investment can lead
us be a wealthier person for example Warren Buffet and Rakesh Jhunjhunwala in
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Indian Market especially in Capital markets.Both have similar views in investment

stating,Make the right investment and hold it for as long as you can.
It is necessary for an investor to know about various options available for investment
and returns from the same so that he can allocate his money to various investments as
per his requirements.
On the other side, It is helpful to different investment companies to know investors
rather requirements of people and give them suitable option.
This research is intended to know the awareness of people of different avenues in
market and what are the various guiding factors to make them invest their money.
People usually prefer investment with low risk as a rational investor and they tend to
take advice from family members, peers and agents and also on their own. The current
trend in market also affects the investment decision of investors. In this modern era,
money plays an important role in one’s life. In order to overcome the problems in
future they have to invest their money. Investment of hard earned money is a crucial
activity of every human being. Investment is the commitment of funds which have
been saved from current consumption with the hope that some benefits will be
received in future. Thus, it is a reward for waiting for money. Savings of the people
are invested in assets depending on their risk and return demands, Safety of money,
Liquidity, the available avenues for investment, various financial institutions, etc.
Investment is a purchase of a financial product or other item of value with an

expectation of favorable future returns. Investing is a serious subject that can have a
major impact on investor’s future well-being. Investors have a lot of investment
avenues to park their savings. The risk and returns available from each of these
investment avenues differ from one avenue to another. Even if the individual does not
select specific assets such as stock, investments are still made through participation in
pension plan, and employee saving program or through purchase of life insurance or a
home. In India, many investment avenues are available where some are marketable
and liquid while others are non-marketable and some of them are highly risky while
others are almost riskless. The investor has to choose Proper Avenue depending upon
his specific need, risk preference, and returns expected. The Different investment
avenues are:
 Safe/Low Risk Avenues: Savings Account, Bank Fixed Deposits, Public
Provident fund, Government Securities, etc.
 Moderate Risk Avenues: Mutual Funds, Life Insurance, Debentures, Bonds.
 High Risk Avenues: Equity Share Market, Commodity Market, FOREX
Market.
 Traditional Avenues: Real Estate, Gold/Silver, Chit Funds.
The individual investor should not always follow the majority. They should try to
search about his investments before investing. The investors should focus on safe
investment avenues. The people should develop the habit of making investment at any
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stage of life. Saving money is an old method so the people should invest their money
in order to get maximum returns. The investors should have full knowledge of the
investment options in order to avoid any loss in future. The investor should be alert
what, where, why, when and how to make investment in different investment options.
Investment has been classified as traditional investments and alternative investments.
The phrase traditional investment refers to bonds, cash, real estate, and stocks and
shares and the phrase alternative investment refers to investment in precious metals,
art, wine, antiques, coins, or stamps and some financial assets such as commodities,
private equity, distressed securities, hedge funds, carbon credits, venture capital, film
production and financial derivatives.
Different types of investment avenues available in India.
1. Fixed Deposits: Fixed Deposits with Banks are also referred to as term deposits.
Minimum investment period for bank FDs is 30 days. Deposits in banks are very safe
because of the regulations of RBI and the guarantee provided by the deposit insurance
corporation. The interest rate on fixed deposits varies with term of the deposits Bank
deposits enjoy exceptionally high liquidity. Loans can rise against bank deposits
2. Post office savings: Post Office Monthly Income Scheme is a low risk saving
instrument, which can be availed through any Post Office. The interest rate on
deposits is slightly higher than banks. The interest is calculated half yearly and paid
yearly.
3. Life Insurance Policies: Insurance companies offer many investment schemes to
investors. These schemes promote saving and additionally provide insurance cover.
L1C is the largest life insurance company in India. Insurance policies, while catering
to the risk compensation to be faced in the future by investor, also have returns.
4. Public Provident Fund: A PPF account can be opened through a nationalized
bank at any time during the year and is open all through the year for depositing
money. Tax benefits can be availed for the amount invested and interest accrued is
tax-free. A withdrawal is permissible every year from the seventh financial year of the
date of opening of the account.
5. Bonds: Bonds are fixed income instruments which are issued for the purpose of
raising capital. Both private entities, such as companies, financial institutions, and the
central or state government and other government institutions use this instrument as a
means of garnering funds. Bonds issued by the Government carry the lowest level of
risk but could deliver fair returns.
6. Real estate: With the ever-increasing cost of land, real estate has come up as a
profitable investment proposition.
7. Gold: The 'yellow metal' is a preferred investment option, particularly when
markets are volatile. Today, beyond physical gold, a number of products which derive
their value from the price of gold are available for investment. These include gold
futures and gold exchange traded funds.
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8. Equity: Equity is an investment avenue which is able to offer the highest possible
returns but is very risky as there are huge probabilities of investors even losing some
part of the invested capital too. This can offer returns in range of 15- 50 percentage
annually in good times and negative returns of 5-15 percentages also.
9. Mutual Funds: Mutual funds offer moderate returns but are less risky compared to
equity investments. They can offer a return between 12-30 percentages annually in
good times. May be even higher in good times and negative returns of 5-10 &
annually.
10. Commodities: These investments are made in commodities such as rice, wheat,
metals. This is very tricky investment. Return from these investments varies between
10-35 percentages. One should be able to understand the weather, crop cycle and
market dynamics.
11. Futures & Option: These investments can offer 5-10 percentage return even in a
day. This market is also very tricky.
12 Govt. and RBI Bonds: These offers fixed rate of return over period of time.
REVIEW OF LITERATURE:
1. “A Study On Preferred Investment Avenues Among The People And Factors

Considered For Investment” Ashly Lynn Joseph, Dr. M. Prakash Research
Scholar, Jain University, Bangalore, India Director of Studies, Seshadripuram
Educational Trust, Bangalore, India. The study on preferred investment
choices has been undertaken with the objective, to analyze the investment
choice of people in few cities in Bangalore. Analysis of the study was
undertaken with the help of survey conducted. After analysis and
interpretation of data it is concluded that some respondents are not much
aware about various investment choices and also not much aware about the
investing pattern in stock market, equity etc. The study is conducted by taking
a limited number of sample sizes. There might be a chance that the preference
of the respondents may be different because of difference in their awareness
level, income level etc. All the age groups among my respondents give more
importance to invest in bank deposit and Insurance. Income level of a
respondent is an important factor which affects investment portfolio of the
respondent. Respondents are more aware about various investment avenues
like insurance, bank deposits,small savings like post office savings etc. Every
individual should be made aware about various investment avenues, its
importance, advantages etc for a secured future and also many more reasons.
2. “Investors Attitude towards Investment Avenues“ Dr. (Mrs) T.Tamil Selvi

M.Com, M.Phil, PhD, Associate Professor of Commerce, A.P.A. College for
Women, Chinnakalayam Puthur, Palani. The results of this study indicate that
the investors prefer to invest only in safer avenues. Further analysis of the data
indicates that the family culture plays a dominant role in investments
Page 83
decisions. Among the conventional investment avenues, bank deposits and

gold are the most preferred avenues, while insurance schemes and post office
instruments are getting increased attention. Majority of the respondents have
not preferred to invest their savings in UTI and Mutual funds which are the
latest investment schemes and hence the government should take appropriate
steps to persuade the investors to invest in the above schemes.
3. Smita Srivastava; Gunjan Saxena (2012); “Investment Trend Now & Then: A
Survey Based Study of Moradabad (U.P.)”. The paper attempts to know the
awareness level of the investment alternatives available amongst the investors
& compares the investment trend now from 20 years back. The area of the
study is Moradabad, a city in Uttar Pradesh and the sample size is 150. The
data used in the study comprises of both Primary & Secondary data. Most of
the investors are risk averse & thus ignore risky investments like derivatives,
equities & prefer safe heaven like bank deposits, post office deposits, gold,
etc. There is very little enhancement in the awareness level for newer financial
instruments amongst investors over the years.
4. “Investors’ Preference towards Investment Avenues with Special Reference to

Salaried Personnel in North Gujarat Region” Neha S Shukla Manish Institute
of Management, Visnagar. The main objective of the research is to study
salaried personnel’s preference toward different investment avenue. Sub
Objective: With that research is also focused on the main reasons of
investment & the source of information from which the salaried people get
information of different investment avenue. When it comes to investment and
patterns of investment various demographic factors have different effect on
behavior of respondents. For age and income, for obvious reasons investment
has significant relationship, while gender and Education does not have
significant relationship with investment. It clearly states that both males and
females have tendency to invest and respondents with any education
background invest, though the amount may be different and proportionate to
their income. Though different respondents invest in different avenues, it was
evident that they tend to invest much in Fixed Deposits, Post office scheme
and Gold and Silver. Majority of respondents invest for purchasing home and
long term growth. It is also observed that friends/relatives and financial
advisor have greater impact over advices sought before investment. With the
help for factor reduction test, all the purpose of investment was reduces to
only two factors i.e. Wealth accumulation and Financial Responsibilities. With
the help of chi-square between factors and various investment avenues it was
very much clear that respondents invest for specific purpose in specific
investment avenues. Though there are customers who are investing in various
avenues for almost both the purposes (Factors), i.e. insurance policy.
Page 84
5. “A STUDY ON INVESTORS’ PREFERENCE TOWARDS VARIOUS

INVESTMENT AVENUES IN MUTUAL FUNDS AT SALEM CITY,
TAMIL NAD” M. Gurusamy Assistant Professor Department of Management
Studies Paavai College of Engineering Pachal, Namakkal – 637 018 Tamil
Nadu, India, This study is helpful to understand the level of awareness about
various investment methods and awareness towards mutual fund. It may also
applicable to other investment methods. The main objective of the study is to
find out the investors preference towards various investment avenues like
fixed deposits, post-office schemes, bonds / debentures, share market, mutual
funds and insurance. The study revealed that mutual fund ranks as the most
popular avenue for investment followed by life insurance and fixed deposits
with regard to the risk appetite of the investors; it is found that the investors
perceive that investments in mutual funds carry moderate risk. The study also
reveals that a better and steady return is the main reason for investment in
mutual funds. The study in dictated that the majorities of the investors are
satisfied with their investments in mutual fund. Investments in insurance and
housing are found to be the popular avenues for saving tax in addition to
mutual funds suggestions have been made to improve investments in mutual
funds particular low risk schemes such as debt funds & get funds and also by
highlighting the tax advantages in investors in mutual funds.
6. A Study of Customers’ Preference towards Investment in Equity Shares and

Mutual Funds Manoj Kumar, Sr. Assistant Professor International Institute for
Special Education Lucknow (Research Scholar with CMJ University,
Shillong). This study revealed that real estate and gold are most preferred
investment alternatives among various investment alternatives. Respondents
are not much inclined towards post office investments; NSC, KVP etc. Lock in
period works negatively for investors because premature withdrawal is not
allowed. The investors cannot get the money during emergency situations.
Investors prefer liquidity and return as an important criteria for investment
consideration. Hence mutual fund and equity share are also considered as good
investment alternatives.
7. “A study on Investors Preferences towards various investment avenues in

Capital Market with special reference to Derivatives “ Dr. K.
RAVICHANDRAN. In the current scenario, investing in stock markets is a
major challenge ever for professionals. Derivatives acts as a major tool for
reducing the risk involved in investing in stock markets for getting the best
results out of it. The investors should be aware of the various hedging and
speculation strategies, which can be used for reducing their risk. Awareness
about the various uses of derivatives can help investors to reduce risk and
increase profits. Though the stock market is subjected to high risk, by using
derivatives the loss can be minimized to an extent.
Page 85
8. A Study on Investors Perception towards Investment Avenues Dr. K.

Sowmya, Assistant professor, Department of SMS, CBIT, Hyderabad. J.
Mounika Reddy Assistant professor, Department of SMS, CBIT, Hyderabad.
The study found that majority of respondents aware of all the savings schemes
like national mutual funds, insurance schemes, bank fixed deposits, shares,
bonds and debentures, government securities etc. As per the respondents
opinion many of them are showing interest in the fixed deposits savings and it
was followed by stock markets, mutual funds, gold/silver and
bonds/debentures respectively. Regarding savings avenues the majority of
respondents were opined that fixed deposits in bank was a preferred savings
avenue. Whereas the least preferred option was meant to bonds and
debentures. The study distinctly comes out with the regular income was prime
objective for investment and it was followed by more income/ profit, capital
appreciation and safety return of capital and interest respectively.
OBJECTIVES:
1. To know about various investment avenues available in Indian market.

2. To know the level of awareness of people about various avenues.
3. To understand and analyze the preferred investment avenues among the
people.
4. To study investment pattern followed by people regarding expected returns
and growth rate.
RESEARCH METHODOLOGY:
Data Collection:
The study is based on Primary Data.
Tools for analysis:

Online Questionnaire is used for study.
Further the relation between different variables of the study is studies with the help of
CHI square test.
Sample size: The study has taken around 200 respondents who are the part of
working population, students, businessman, and professionals. The investors are
selected by convenient sampling method.
Scope of the Study:

This study was mainly planned to understand the various investment opportunities
available for people and also to understand the preferred investment avenues. This
research study surely will provide a parameter particularly for a better understanding
of the investment avenues available to an investor from various financial institutions.
Page 86
The findings of study present a comparison between selected investment avenues. The
level of awareness about the investment avenues is also considered under the study.
DATA ANALYSIS:
Out of the total 156 respondents 44 males and 6 females wanted to grow their
investments at steady rate and 58 males and 10 females wanted their investment to
grow at average rate and 26 male and 12 females expecting to grow their investment
at fast rate.
Among 43 respondents who invest their money for more than 5 years, 28 can take a
risk of losing their money value only upto 25%, 8 upto 50% and 4 upto 75%.Among
95 respondents who invest their money for 1 to 5 years, 49 can take a risk of losing
their money value only upto 25%, 34 upto 50% and 9 upto 75% and 3 among them
are ready to take the losing all their money. Among 18 respondents who invest their
money for less than one year, 10 can take a risk of losing their money value only upto
25% , 6 upto 50% and 2 upto 75%.
Only 75 persons among 156 respondents actually having Demat account.
CHI SQUARE TEST 1
Null hypothesis =There is no significant effect of gender and growth rate .

Alternate hypothesis= There is a significant effect of gender on growth rate.
AVERAGE FAST STEADILY TOTAL

MALE 58 26 44 128
FEMALE 10 12 6 28
TOTAL 68 38 50 156
Fo Fe fo-fe (fo-fe)sq (f0-fe)sq/fe
58 55.79487 2.20513 4.86259832 0.087151351
10 12.20513 -2.20513 4.86259832 0.398406106
26 31.2 -5.2 27.04 0.866666667
12 6.82 5.18 26.8324 3.934369501
44 41.02564 2.97436 8.84681741 0.21564118
6 8.974359 -2.97436 8.84681146 0.98578756
Expected value 55.79487 31.2 41.02564 128

12.20513 6.82 8.974359 28
68 38 50 156
Page 87
chi square
6.488022365
The Degree Of Freedom is calculated using the formula

(r-1)(c-1)=2 is the degree of freedom
The critical value of Chi Square for degree of freedom 2 at 95% accuracy is 5.99.
Since the calculated value is observed to be more than the table value we reject null
hypothesis.
CHI SQUARE TEST 2
Null hypothesis =There is no significant effect of gender on term for investment.

Alternate hypothesis= There is a significant effect of gender on term for investment.
LONG MEDIUM SHORT

MALE 37 77 14 128
FEMALE 6 19 3 28
43 96 17 156
(fo-
Fo Fe fo-fe (fo-fe)^2 fe)^2/fe
37 35.28205 1.71795 2.9513522 0.08365
6 7.717949 -1.71795 2.9513488 0.382401
77 78.76923 -1.76923 3.1301748 0.039739
19 17.23077 1.76923 3.1301748 0.181662
14 13.94872 0.05128 0.0026296 0.000189
3 3.051282 -0.05128 0.0026298 0.000862
chi
square 0.6885
expected value 35.28205 78.76923 13.94872 128

7.717949 17.23077 3.051282 28
43 96 17 156
CHI
TEST 0.708751
The Degree Of Freedom is calculated using the formula

(r-1)(c-1)=2 is the degree of freedom
The critical value of Chi Square for degree of freedom 2 at 95% accuracy is 5.99.
Since the calculated value is observed to be less than the table value we accept null
hypothesis.
Page 88
FINDINGS AND CONCLUSION:
During the study we found out that there are many factors that affect investment
decision of individual for example income, future requirement and along with these
his expected returns from investment.
 We found out numerous investment avenues available like which are not
known to many investors like Crypto currency (eg. Bitcoin) and Hedge funds.
 We found out that investors gradually shifting from traditional options like
real estate and gold to other like share market and mutual funds.
 Also we tried to examine whether there is any impact of demographic factors
such as age, gender etc on investment decision particularly regarding the
expected growth rate and term of investment.And we found out that there is
significant effect of gender on expected growth rate and also on term for
which investment is to be hold.
 People are just having basic knowledge about different investment avenues.
Though their needs differentiated they are not making their investments
accordingly, there is good opportunity for marketers.
BIBLIOGRAPHY:
1. Antecedents of Households Investment Decision-Making Process: A Study of

the Indian Households.
2. A Study Of Various Investment Avenues in India, Priyanka Vijay, Siddharth
Shastri,
3. Identifying Perceptions and Perceptual Gaps: A Study on Individual Investors
in Selected Investment Avenues M R Shollapur and A B Kuchanur
4. Risk tolerance, personal financial knowledge and demographic characteristics-
evidence from India.
Websites:
 JCRM (http://www.psgim.ac.in)
 https://economictimes.indiatimes.com
Page 89
A STUDY OF PRINCIPAL COMPONENT ANALYSIS TECHNIQUE IN

FACE RECOGNITION
Prof. Prakash Tukaram Raut Dr. Girish S. Katkar

Assistant Professor Arts, Commerce and Science College,
College of Computer Sciences, Pune Koradi, Nagpur
Email:prakashraut65@gmail.com
ABSTRACT:
A Face recognition technology is a mainly significant approach in our day to day life.
Face recognition system must be capable to automatically identify a face in images. It
is mainly used to recognize a human being and make available a protection in various
aspects of life. It becomes extremely complicated task for researcher to obtain a most
excellent face recognition rate in a variety of circumstances and criteria. The human
face is a difficult multidimensional representation and it needs a powerful recognition
method to identify a human face. The face recognition accurateness is depends on two
method which are human face detection and a feature extraction method. Many of
face recognition feature extraction techniques are used to identify the face but it
requirements more enhancements acquire to get optimum outcome. Principal
component analysis and linear discriminant analysis are tested and compared for the
face acknowledgment of facial images database. This paper is mostly centre of
attention on a comparative study of two feature extraction method of face recognition
PCA on different criteria similar to facial expression, illumination variant and
regardless of lighting glass – nonglass for frontal face images.
Keywords: Face recognition, PCA, Eigen value, Covariance, Euclidean distance,
INTRODUCTION:
The face of the human is an extremely difficult structure and very useful in a lots of
public aspect in purpose of protection. Face recognition scheme is a computer
application for automatically recognize or verifying a human being from a digital
image or video frame from a video source. Facial recognition systemsare typically
used in security system. It needs a tough work to identify a face accurately. Now a
day Face Recognition becomes extremely popular research area for the researcher.
Human have a very powerful organ brain that can identify lots of faces in a whole life.
The researchers are trying to create a system that can identify the face in all the
conditions. A human faces can modify because of many conditions like increasing
age, wearing a glass, have a beard, and change in hair style that generate complexity
in recognition process of face. Face recognition is used for automatically identifying
and verifying a person from an image. Identification of any human being from an
image can only possible by using face description. Face feature values are further
stored in the database for biometric applications. Face recognition is very challenging
task in real applications because “face images are highly variable so developing an
Page 90
automatic system to mimic the ability of person being has confirmed to be a very
complicated job. Artificial neural networks were effectively applied for solving signal
processing problems in 20 years. Researchers proposed lots of different models of
artificial neural networks. A challenge is to recognize the most suitable neural
network model which can work reliably for solving realistic difficulty.
PRINCIPAL COMPONENT ANALYSIS
The PCA technique was developed in 1991 [Turk and Pentland, 1991]. In
[Belhumeur, Hespanha and Kriegman,1997], the PCA method is used for dimension
reduction for linear discriminate analysis (LDA), generating a new paradigm, called
fisher face. The fisher face approach is extra not sensitive to variations of lighting,
illumination and facial expressions. However, this approach is extra computationally
costly than the PCA approach. One of the simplest and mainly useful PCA approaches
used in face acknowledgment systems is the so-called eigenface approach. Eigen Face
approach transforms faces into a small set of necessary features, Eigen faces, which
are the most important components of the initial set of learning images (training set).
Acknowledgment is completed by projecting a fresh image in the Eigen face
subspace, after which the human being is classified by comparing its location in Eigen
face space with the location of known individuals. The advantage of this approach
over other face recognition systems is in its simplicity, speed and insensitivity to
small or gradual changes on the face. In statistics, principal components analysis
(PCA) is a method that can be used to simplify a dataset. It is a linear transformation
that chooses a fresh coordinate system for the data set such that the best difference by
several projection of the data set comes to lie on the first axis (called the primary
principal component), the second most difference on the second axis, and so on. PCA
can be used for reducing dimensionality in a dataset while retaining those features of
the dataset that contribute largely to its variance, by keeping lower-order principal
components and ignoring higher-order ones. The scheme is that such low-order
components regularly contain the "mainly important" aspects of the data. The job of
facial acknowledgment is discriminating input signals (image data) into several
classes (persons). The input signals are extremely noisy (e.g. the sound is caused by
differing lighting situation, pose etc.), yet the input images are not totally random and
in spite of their differences there are patterns which take place in several input signal.
Such patterns, which can be experiential in all signals, could be - in the domain of
facial acknowledgment - the presence of some items (eyes, nose, mouth) in any face
as well as comparative distances connecting these objects. These characteristic
features are called eigenfaces in the facial acknowledgment domain (or principal
components generally). They can be extracted out of unique image data by means of
the mathematical device called Principal Component Analysis (PCA).
Principal Components Analysis (PCA) is a method to identifying patterns in data, and

expressing the data in such a technique as to show up their similarities and
differences. As it is extremely tough to find the data pattern in high dimension, so this
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methodology reduces the information without much losing its original information. It
is a powerful device for analyzing records. The other main advantage of PCA is that
as we get the patterns in data, and compress the data, i.e. by reducing the amount of
dimensions, without much loss of information. This technique used in
imagecompression.PCA works on prediction, redundancy removal, feature extraction,
data compression, etc. PCA is a classical technique works in linear domain,
applications having linear model are suitable such as image processing, system and
control theory, communications, signal processing, etc.
Stored
Database
Test Image Pre- PCA Feature Matching

Processing Extraction Box
Matched
Image
Block Diagram of Face Recognition with PCA
The major advantage of PCA is using it in Eigen face approach which helps in
reducing the size of the database for recognition of a test images. The images are
stored as their characteristic vectors in the database which are found out projecting
each and every qualified image to the set of Eigen faces obtained. PCA is applied on
Eigen face approach to reduce the dimensionality of a large data set.
EIGEN FACE APPROACH
Eigen faces are a set of Eigen vectors used in the Computer Vision problem of human
face recognition. They refer to an appearance based approach to face acknowledgment
that seeks to detain the variation in a collection of face images and use this
information to encode and compare images of individual faces in a holistic method.
The Eigen faces are Principal Components of a distribution of faces, or equivalently,

the Eigen vectors of the covariance matrix of the set of the face images, where an
image with N by N pixels is considered a point in N 2 dimensional space. Previous
work on face recognition ignored the issue of face stimulus, assuming that predefined
measurements were relevant and sufficient. This suggests that coding and decoding of
face images may provide information of face images emphasizing the importance of
features. These features may or may not be connected to facial features such as eyes,
nose, lips and hairs. We want to extract the appropriate information in a face image,
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encode it professionally and compare one face encoding with a database of faces
encoded equally. A simple approach to extracting the information content in an image
of a face is to somehow capture the variation in a collection of face images.
EIGEN VALUES AND EIGEN VECTORS
In linear algebra, the eigenvectors of a linear operator are non-zero vectors which,
once operated by the operator, result in a scalar multiple of them. Scalar is then called
Eigen value (λ) related with the eigenvector (X). Eigen vector is a vector that is scaled
by linear transformation. It is a belonging of matrix. When a matrix acts on it, just the
vector magnitude is changed not the direction.
AX = λX, i.e A is a vector function.
(A - λI)X = 0, i.e I is the identity matrix.
It is a homogeneous system of equations and form fundamental linear algebra. We

recognize a non-trivial result exists if and only if-
Det(A -λI) = 0, where det denotes determinant.
When evaluated becomes a polynomial of degree n. This is called characteristic

polynomial of A. If A is N by N after that there are n solutions or n roots of the
characteristic polynomial. Thus there are n Eigen values of A satisfying the equation.
AXi = λiXi , where i = 1,2,3,.....n
If the Eigen values are all distinct, there are n related linearly independent
eigenvectors, whose directions are matchless, which span an n dimensional Euclidean
space.
CONCLUSION
In this paper we have done with the Face Recognition using PCA technique. It is a
challenging and important technique. Compare to other biometric techniques, face
recognition is more efficient, fast and accurate. It is user friendliness. In this paper, we
have given an introductory part for the face recognition technology. Its advantage is to
provide real time security. In many devices face recognition application is
implemented for security reasons. In future security of data is major concern and it is
very useful for that. As this is very vast technology we covered few issues.
REFERENCES
1. M. A. Turk and A. P. Pentland. Face recognition using eigenfaces. In IEEE

Computer Society Conference on Computer Vision and Pattern Recognition,
CVPR 91, pages 586 - 591, 1991.
Page 93
2. M. A. Turk and A. P. Pentland. Eigen faces for Recognition. Journal of

Cognitive Neuroscience, 3(1):71 { 86, 1991.
3. Anil K. Jain, Robert P.W. Duin, and Jianchang Mao. Statistical Pattern
Recognition: A Review. IEEE Transactions on Pattern Analysis and Machine
Intelligence, 22(1):4 - 37, January 2000.
4. Zhujie and Y.L. Yu, Face Recognition with Eigen faces, Unknown source,
The Hong Kong University of science &Technology, Clear Water Bay,
Kowloon, HK, pp. 434-438
5. http://www.face-rec.org
6. Prof. Y. VijayaLata , Chandra Kiran Bharadwaj Tungathurthi , H. Ram Mohan
Rao , Dr. A. Govardhan , Dr. L. P. Reddy, “Facial Recognition using Eigen
faces by PCA, Department of Computer Science and Engineering, Gokaraju
Rangaraju Institute of Engg. &Tech, Jawaharlal Nehru Tech. University.”
7. L.I. Smith, “A tutorial on Principal Components Analysis”.
8. Martinez A.M. and Kak A.C., “PCA versus LDA”, IEEE Transactions on
Pattern Analysis and Machine Intelligence, Vol. 23, No.2, pp. 228-233, 2001.
9. Satonkar S.S., Kurhe A.B., Khanale P.B ,“Face Recognition Methods & Its
Applications”, Journal of Emerging Technology and Applications in
Engineering, Technology and Sciences(IJ-ETA-ETS), ISSN: 0974-3588 ,July
11 Dec 11, Volume 4: Issue 2, Page294-297.
10. P.B. Khanale, “Recognition of Marathi Numerals Using Artificial Neural
Network”, Journal of Artificial Intelligence 3(3): 135-140, 2010.
Page 94
A STUDY ON CUSTOMER SATISFACTION OF JIO CELL PHONE

SERVICE NETWORK
Sanjana Sanjay Pawaskar
Assistant Professor
Email id: pawaskarsanjana44@gmail.com
ABSTRACT:
Indian mobile industry is one of the fastest growing industries in the world. Indians
are habituated to touch mobiles within a short span of a time. In the world India is
second largest market for mobile service providers and it is a good avenue for
network providers from indigenous and exogenous entrepreneurs. Not only Indian
network providers but also global providers occupied and earn significant market
share in the Indian mobile industry. Reliance Jio’s free tsunami creates lot of radical
and unexpected changes in consumer’s behaviors and competitor’s strategies. The
impact of this new entrant affects equilibrium in the mobile industry and makes rivals
vulnerable that they resort to mergers and acquisitions in Indian mobile network
providers. The major giants in the industry viz,Airtel and Idea are strategically
responding in a similar way. To strengthen themselves in the industry, Airtel and Idea
are acquiring Telenor and Vodafone respectively. The present research paper makes
an attempt to examine the impact of new entrant R-Jio on competitive strategies of
rivals in the industry.
Keywords: Mergers and Acquisitions, Indigenous &Exogenous and Price sensitive
INTRODUCTION:
Reliance Jio Infocomm Limited, doing business as Jio, is a LTE mobile network
operator in India. It is a wholly owned subsidiary of Reliance Industries
headquartered in Mumbai, that provides wireless 4GLTE service network (without
2G/3G based services) and is the only 'VoLTE-only' (Voice over LTE) operator in the
country which lacks legacy network support of 2G and 3G, with coverage across all
22 telecom circles in India. The services were first beta-launched to Jio's partners and
employees on 27 December 2015 on the eve of 83rd birth anniversary of late
Dhirubhai Ambani, founder of Reliance Industries, and later services were
commercially launched on 5 September 2016. The company commercially launched
its services on 5 September 2016. Within the first month of commercial operations,
Jio announced that it had acquired 16 million subscribers. This is the fastest ramp-up
by any mobile network operator anywhere in the world. Jio crossed 50 million
subscriber marks in 83 days since its launch. Jio crossed 100 million subscribers on
22 February 2017.
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CUSTOMER SATISFACTION
Customer satisfaction is the study of when, why and how people are satisfied or not
with the product that they buy. It blends elements from psychology, sociology, social
anthropology and economics. It attempts to understand the buyer decision making
process, both individually and in groups. It studies characteristics of individual
consumers such as demographics and behavioral variables in an attempt to understand
people's wants Marketing experts maintain that satisfied customers are critical to
profitability because they,
1. Stay with a company longer as repeat customers

2. Deepen their relationship with the co.
3. Demonstrate less price sensitivity and
4. Recommend the company's products or services to others
According to some, customer satisfaction is more important in the current market

place than ever before .in the past business relied on technology and product
innovation for competitive advantage. “big business attitude must give way to small
business mentality were frontline associates treat customers with dignity” Complete
customer satisfaction is the key to secure customer loyalty and to create long term
business performance. Most entrepreneurs realize that the more competitive the
market, the more important the level of customer satisfaction. This is a case of buyers’
market. On the other hand if it is sellers’ market, degree of affection to customer goes
down. Here marketers command the market. What most do not realize, however, is
just how important the level of customer satisfaction is in markets where competition
is intense, such as hard and soft durables, business equipment, financial services, and
retailing. In markets like these, there is a tremendous difference between the loyalty
of merely satisfied and completely satisfied customer.
PRODUCTS AND SERVICES 4G BROADBAND
The company launched its 4G broadband services throughout India on September

2016. It was slated to release in December 2015 after some reports said that the
company was waiting to receive final permits from the government. June 2015 at
RIL's 41st annual general meeting. It offers data and voice services with peripheral
services like instant messaging, live TV, movies on demand, news, streaming music,
and a digital payments platform. The company has a network of more than 250,000
km of fiber optic cables in the country, over which it will be partnering with local
cable operators to get broader connectivity for its broadband services.With its multi-
service operator (MSO) licence, Jio will also serve as a TV channel distributor and
will offer television-on demand on its network.
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LYF Smartphones
Jio tied up with domestic handset maker Intex to supply 4G handsets enabled with
voice over LTE (VoLTE) feature. Jio launched its own smart phone series with Earth,
Water 1&2, Wind and Flame through its chain of electronic Reliance retail outlets.
INDUCTION OF MULTIMEDIA APPS
R-Jio launched a bundle of multimedia apps on Google Play as part of its 4G services.
While the apps are available to download for everyone, a user will require a Jio SIM
card to use them. Additionally, most of the apps are in beta phase. Following is a list
of the apps
 MyJio - Manage Jio Account and Digital Services associated with it.
 JioTV - A live TV channel service.
 JioCinema - An online HD video library.
 JioChat Messenger - An instant messaging app.
 JioMusic - A music player.
 Jio4GVoice (earlier JioJoin) - A VoLTE phone simulator
 JioMags - E-reader for magazines
 JioXpressNews - A news and magazine aggregator
 JioSecurity - Security app
 JioDrive - Cloud-based backup tool
 JioMoney Wallet - An online payments/wallet app
 JioSwitch - Transfer content
 Jiofi -Wireless router
CUSTOMER SATISFACTION OF JIO NETWORK
The studies show that the customers are using jio sim with another sim that they are
already using. They would not like to remove their old sim because that sim's contact
number is known to everyone. For using jio sim, the customers require a cellular with
4G technology. Most of the 4G technology enabled cellular have the facility of dual
sim slot. So the customers can keep their old sim in one slot and jio sim in second
slot. This can enable them to use both sim in single phone without any interruption.
Studies reveal that one of the main reasons for buying jio sim is its high speed
internet. More than 60% of the customers are purchased jio sim for that reason.
Another important aspect regarding customer satisfaction of jio sim is its activation
process. No other telecommunication companies in India never used these type of
activation process. Studies show that 75% of the customers are taken less than 24
hours to activate their jio sim. This is one of the most prominent factors that provide
great satisfaction to jio customers. Another important thing is that more than 80% of
the customers are using jio sim only for internet purpose. They buy jio sim only for
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availing free internet facility. They rarely use other services of jio sim because the
buy it only for using internet. The customers are also highly satisfies with the 4G
speed provided by the jio. More than 90% of the customers argued that jio provides
high speed 4G internet rather than any other companies in India.
They are also highly satisfied with the various offers provided by the jio company.
The customers are also dissatisfied in certain areas. They face high interruption while
using calling services. More than 75% of customers opined that they are facing
problem while making call through jio sim. Regarding the availability of jio networks,
more than 95% of the customers are satisfied. They argued that no other company in
India provides this type of vast network. Another thing is that most of the customers
not even contacted jio customer care because they provide uninterrupted internet
facilities in 24 hours in a day. Many of the customers also opined that if they have any
complaint, it will be rectified by them within 24 hours.
This is another important area of customer satisfaction. We know that jio provides
various applications called as jio apps. These apps are also greatly influenced by
customers. More than 50% of the customers are regularly use jio apps for availing
various services. They are also made some suggestions to jio such as
1 Expand date of maturity of free service
2. Make JIO services available in 3G phones
3. Provide better range in rural areas because rural customers are not able to use
JIO at home
4. Try to remove interruptions causing while calling
CONCLUSION
Customer satisfaction is a measure of how products and services supplied by a
company meet or surpass customer expectation. Jio entered in the telecommunication
industry in a time where already a no. of companies are captured the market and make
their place. But the creative and innovative strategy of jio makes a huge impulse in the
market. Jio crossed 100 million customers within a limited time. The study indicates
that the customers are highly satisfied with the jio sim. The strategies of jio attract
many new customers. They provide high preference to customer satisfaction.
REFERENCES
1. An academic project report on the customer satisfaction of Jio- Iqlas.P.k
2. A training project report on customer satisfaction towards Reliance Jio- Rajan
darlami
3. WWW.JIO.Com
4. Telecom industry in India by “India Brand Equity Foundation”
Page 98
FINANCIAL STATEMENT ANALYSIS WITH THE HELP OF RATIOS
Prof. Smita Wagh

Nitin Zadode
ABSTRACT:
This technical note explains in detail the analysis of financial statements of the
company. It provides insights into two widely used financial tools, ratio analysis and
common size statement analysis. The objective of this note is to help the reader
understand how these tools should be used to analyze the financial position of a firm.
To demonstrate the process of financial analysis, SKF India Ltd. Balance sheet and
income statements are analyzed in this note.
Keywords: - statement analysis, ratio analysis, insights.
INTRODUCTION:
The financial statements are prepared at the end of every financial year in terms of
trading A/c, Profit and Loss A/c and Balance sheet. They do not convey the real
significance of operating results of business. In order to understand the relationship
between one item with another, which is expressed in simple mathematical form is
known as ratio analysis. For example, the relationship of gross profit with sales. The
calculation of such ratios at different stage is very important for managerial decisions
and controls. Ratio analysis is an important tool into the hand of management.
Ratio analysis can interpreter the financial health of the enterprise. Management can
measure the financial condition of a firm and can indicate, whether it is financially
strong average or poor. The use of ratio is not restricted to financial managers only
but it is helpful to suppliers, banks, financial institution, shareholders and managers of
other departments also.
Ratio Analysis is a technique of analyzing the financial statement of industrial

concerns. Now a day this technique is sophisticated and is commonly used in business
concerns. Ratio Analysis is not an end but it is only meaning of better understanding
of financial strength and weakness of a firm.
Ratio Analysis is one of the most powerful tools of financial analysis which helps in
analyzing and interpreting the health of the firm. Ratios are proved as the basic
instrument in the control process and act as back bone in schemes of the business
forecast.
With the help of Ratio, we can determine
 The ability of the firm to meet its current obligations.

 The limit or extent to which the firm has used its borrowed funds.
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 The efficiency with which the firm is utilizing in generating sales revenue.
 The operating efficiency and performance of the company.
Research Methodology
1. The study is conducted at SKF India Limited, Chinchwad, Pune
Sources of Data Collection:
The data is collected in two types
1. Primary Data:
The primary data was collected with the help of interaction with the employee
of SKF India Ltd., and the internal guide.
2. Secondary Data:
Source like company annual report 2017-2018
Research:
Research is nothing but systematic investigation and study of sources & materials. it
establishes facts and it reach conclusions.
Methodology: Methodology is nothing but a body of methods used in a particular

activity.
 The methodology includes the personal interaction with the finance
manager.
 Selection of data: From the Financial Statements of the firm for last
five Financial Statements for the year 2017-2018,2016-2017,2015-
2016,2014,2013.
Period: The Study covers a period of five-year data from 2017-2018, 2016-2017,
2015-2016,2014,and 2013.
Measurement Technique / Statistical Tools

 Accounting Ratios.
 Financial Statements of the Company.
Limitations
I. Ratios become reliable only when they are based on correct data.
II. Since ratios based only on data of two years cannot reveal much, they are not
found to be much useful.
Page 100
III. They cannot help much in decision making as they are based on the past.
Sometimes standard ratios are used for budgeting.
IV. Accounting data should be compiled on uniform basis, otherwise meaningful
inter-firm and inter-period comparison will not be available.
V. It may appear from the ratios that, as if, a particular factor is responsible for
the ups and downs in a business. But financial results are the outcome of
various factors, like general economic condition, Changes in price level, local
factors, specific competition, and management policy.
Objectives
1. To evaluate financial position and growth of the company.

2. To study the profitability of the company.
3. To study the balance sheet of the company.
4. To compare the previous five years and present year performance of the
company.
Data Analysis and Interpretation of Ratio
1. Current Ratio:
This ratio indicates the rupees of current assets available for each rupee of
current Liability. By this ratio we can see the stability of the firm or short-term
financial position of the firm. This ratio is calculated as follows.
Current Ratio= Current Assets/Current Liabilities
Amount
(in Cr.)
Particulars
2018 2017 2016 2014 2013
Current Assets:
Inventories 402.88 416.64 335.04 292.95 255.17
Sundry Debtors 490.76 514.32 482.86 373.02 329.75
Cash and Bank Balance 742.64 591.45 697.33 534.75 375.79
Total Current Assets: 1636.28 1522.41 1515.23 1200.72 960.71
Current Liabilities: 499.44 437.74 394.82 422.55 331.15
Table no. 5.1 Calculation of current assets and liabilities
Page 101
Sr. No. Years Current Assets Current Ratio (In

Liabilities Times)
1 2017-2018 1636.28 499.44 3.28
2 2016-2017 1522.41 437.74 3.47
3 2015-2016 1515.23 394.82 3.84
4 2014 1200.72 422.55 2.84

5 2013 960.71 331.15 2.90
Table no. 5.2 Current Ratio
Interpretation:
According to the standards the Current Ratio of the company should be 2:1, but the
actual ratios of all the five years are more than standards ratio. Therefore, the financial
position of the company is very much satisfactory.
2: DEBT-EQUITY RATIO:
It measures the relation between debt and equity in the capital structure of the firm. In
other words, the relationship between owner’s fund with total liabilities. Debt means
long-term loan i.e. debenture, loans (long term) etc. Shareholders Fund means equity
share capital, preference share capital, reserve. This ratio is calculated as follows.
Debt Equity Ratio= Long Term Debts/Shareholder’s Fund
Amount
(in Cr.)
Particulars 2018 2017 2016 2014 2013
Shareholder’s Fund:
Equity Share Capital 51.34 52.73 52.73 52.73 52.73
Reserves 1785.97 1758.48 1611.86 1363.45 1222.77
Total Shareholder’s Fund: 1837.31 1811.21 1664.59 1416.18 1275.50
Table no. 5.5 Calculation of total shareholders fund
Sr. No. Years Long Term Shareholder’s Ratio (In Times)

Debt Fund
1 2017-2018 85.00 1837.31 0.05
2 2016-2017 34.03 1811.21 0.02
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3 2015-2016 65.00 1664.59 0.04
4 2014 0 1416.18 0
5 2013 0 1275.50 0
Table no. 5.6 debt equity ratio
Interpretation:
General Standard of Debt Equity ratio is 2:1. In general, lower the debt equity ratio
higher the degree of the protection enjoyed by the lenders, so in this ratio we can say
that SKF India ltd. Debt equity ratios of all the five years give good protection to its
lenders.
3: Net Profit Ratio:

It is the ratio between net profit and sales. This ratio indicates company’s
capacity to withstand adverse economic conditions. This ratio is also known as
net profit margin. Depending on the concept of net profit employed. This ratio
is calculated as follows.
Net Profit Ratio= Net Profit / Net Sales * 100
Amount
(in Cr.)
Particulars 2018 2017 2016 2014 2013
Net Sales:
Sales Turnover 2804.82 2835.13 3226.49 2415.60 2274.96
(Less) Excise Duty 54.41 203.72 229.21 0 0
Total Net Sales: 2750.41 2631.41 2997.28 2415.60 2274.96
Table no. 5.14 Calculation of total net sales
Sr. No. Years Net Profit Net Sales Ratio

(In%)
1 2017-2018 295.89 2750.41 10.75
2 2016-2017 243.89 2631.41 9.27
3 2015-2016 255.89 2997.28 8.54
4 2014 202.77 2415.60 8.39
5 2013 166.72 2274.96 7.32
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Table no. 5.15 Net Profit Ratio

Interpretation:
Ideal percentage of Net profit ratio should be 7%. Higher net profit ratio indicates the
standard performance of the company concern. Actual net profit ratios of all the five
years are more than standard ratio, so we can say that net profit ratios are profitable
for the company.
4: Gross Profit Ratio:
In this ratio percentage of gross profit is calculated on net sales turnover. Net sales
mean total sales – sales return. The method of gross profit calculation on net sales
should remain unchanged for years together because it facilitates comparison of gross
profit ratio.
Gross Profit Ratio= Gross Profit / Net Sales * 100

Amount
(in Cr.)
Particulars 2018 2017 2016 2014 2013
Net Sales:
Sales Turnover 2804.82 2835.13 3226.49 2415.60 2274.96
(Less) Excise Duty 54.41 203.72 229.21 0 0
Total Net Sales: 2750.41 2631.41 2997.28 2415.60 2274.96
Table no. 5.24 Calculation of total net sales
Sr. No. Years Gross Profit Net Sales Ratio

(In%)
1 2017-2018 388.91 2750.41 14.14
2 2016-2017 288.14 2631.41 10.95
3 2015-2016 292.83 2997.28 9.77
4 2014 0 0 0
5 2013 0 0 0
Table no. 5.25Gross Profit Ratio
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Interpretation:
Ideal proportion of Gross profit ratio should be 11%. The actual gross profit ratio is
14.14% in year 2017-2018. It is indicating to be satisfactory since it maintains the
accepted standard ratio, but in the years 2016-2017 and 2015-2016 actual ratios are
not nearby ideal ratio so that is not profitable for the company. The ratio shows the
general profitability of the company.
FINDINGS
1. The Current ratio is above the standard ratio and it is good from company’s
point of view. It shows that itsfinancial position of the company is satisfactory.
2. The Debt Equity ratio is according to standard ratio (2:1) and it is good from
lenders point of view. It shows give good protection to the lenders.
3. In the year 2013 the actual percentage of Net Profit Ratio is nearest to the
ideal percentage but need to increase net Profit Ratio in the year 2013.
Remaining all the four years Net Profit Ratio percentage are profitable for the
company.
4. Gross profit Ratio in the 2017-2018is14.14% but in the 2016-2017decreased
10.95% it shows not favourable of the company.
SUGGESTIONS
1. The gross profit ratio of the company in 2016-2017 doesn’t reach standard
ratio so company need to concentrate on increasing the gross profit ratio by
increasing net sales.
2. Debt equity ratio of the company has been decreased inboth the years. Very
low debt equity ratio is unfavourable of the company.
CONCLUSION
Study of the ratio analysis of SKF India Limited reveals the performance of the
company in terms of financial aspects. It is found that there is an increase in sales, net
profit, during 2017-2018 the cash balance is also increased for the comparatively year
of 2016-2017. It is also observed that the operating profit ratio is not satisfactory.
Gross profit ratio is also increasing in 2017-2018 for the comparatively year of 2016-
2017.
Further the company performance and efficiency can be improved by above

mentioned points in the suggestion.
Page 105
BIBLIOGRAPHY
1. COMPANY ANNUAL REPORT & ACCOUNTS 2013

2. COMPANY ANNUAL REPORT & ACCOUNTS 2014
3. COMPANY ANNUAL REPORT & ACCOUNTS 2015-2016
Books:
1. P. Periasamy (2009),’Financial Management’, 2nd Edition, Tata McGraw Hill

2. P.V.Kulkarni, B.G.Satyaprasad (2008),’Financial Management’, Himalaya
Publishing House
3. Prasanna Chandra (2011),’Financial Management’, Eighth Edition Tata
McGraw Hill
4. Rajiv Srivastava, Anil Misra (2010),’Financial Management’, Oxford
University Press
5. Prof. A. P. Rao (2012), ’Fundamentals of Financial Management’, Everest
Publishing House
Websites:
1. http://www.skf.com
2. https://www.moneycontrol.com
3. https://www.indiatimes.com
Page 106
EMERGING TRENDS OF RURAL MARKETING IN INDIA

Dr Meenakshi Duggal
Associate Professor, JSPM’s Rajarshi Shahu College of Engineering, Pune
Email Id: meenakshi_duggal@rediffmail.com
ABSTRACT:
The paper describes the emerging trends of rural marketing in India. The rural
market in Indian economy can be classified under two broad categories. These are
the market for consumer goods that comprise of both durable and non-durable
goods and the market for agricultural inputs. In recent years, rural markets have
acquired importance, as the overall growth of the economy has resulted into
considerable increase in the purchasing power of the rural people and preferences
of rural people are also getting changed. So, every marketing player is keen to
invest in rural markets. Though there is huge potential and substantial growth
opportunities in the rural markets, yet there are some challenges too, which caused
hurdles in tapping rural markets. This study is a step forward in exploring various
strategies to be adopted in the rural market along with the current scenario of rural
marketing, importance key challenges related to rural marketing.
KEYWORDS: rural marketing, marketing, challenges in rural marketing,
rural marketing strategies.
INTRODUCTION:
Marketing of products has taken precedence over the process of production itself.
This can be attributed to the fact that the new-age consumer equipped with the
potent tool of information seeks more knowledge about the product, its features and
its uses.
Customer today indeed is the "King". He can make or break the company. And
when this information is presented in a creative and effective manner, it creates an
everlasting impression on the consumer's mind and may even alter his perception of
what he needs.
Marketers are forever seeking fresh challenges and scouting for more and more
clientele to be drawn into their sphere of influence. The urban consumer has always
been pampered with the most dazzling array of goods and services from every
industry. But the urban market is fast shrinking due to saturation caused by the
competition, and the growth rate over the past few years has consistently shown a
declining trend. In the hunt for fresh pastures, the vast and hitherto vastly unexplored
terrains of rural India consistently beckon the moolah-seeking marketer.
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Defining the Indian ‘rural’ market
The definition of the word “rural” in a market like India is very vague. There are
multiple versions of the same idea, which are followed by different entities. Even in
the rural marketing
space, there is not one concrete definition. Different brands define rural according to
their product and service offerings. In a diverse market like India, which has a
population of more than 1.17 billion people (estimate till July 2009), the urban-rural
divide is quite significant. According to various studies, around 12.2 per cent of the
world’s population lives in rural
India,thisalsoindicatesthat29percentoftheworld’sruralpopulationliveshere.
Why Rural India?
There are various reasons why every industry is taking a very serious look at rural
markets: - About 285 million live in urban India whereas 742 million reside in rural
areas, constituting 72% of India's population resides in its 6, 00,000 villages.
Size of rural market is estimated to be 42 million households and rural market has
been growing at five times the pace of the urban market.
Opportunities in Indian Rural market
1. More than 750 million people * Estimated annual size of the ruralmarket.
2. In financial year 2011-12, LIC sold more than 50% of its policies in ruralmarket.
3. 42 million rural households (HHs) are availing banking services in
comparison to 27 million urbanHHs.
4. Investment in formal savings instruments is 6.6 million HHs in rural and 6.7
million HHs
in urban.
5. In last 50 years, 45% villages have been connected by road.
6. More than 90% villages are electrified, though only 44% rural homes
have
electric connections.
7. Government is providing subsidiaries to the villagers to use other source of
energy like
Solar System and is now being used in largeamount.
8. Number of "pucca" houses increasing day byday.
9. Rural literacy level improved from 36% to59%.
10. Percentage of BPL families declined from 46% to25%.
11. Out of two million BSNL mobile connections, 50% are in small towns /villages.
12. 41 million Kisan Credit Cards have been issued (against 22 million credit-
plus-debit cards
in urban), with cumulative credit of Rs. 977 billion resulting in
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tremendousliquidity.
More rural development initiatives by the government.
 Increasing agricultural productivity leading to growth of rural

disposableincome.
 Lowering of difference between taste of urban and ruralcustomers.
 Good Monsoons in the last couple ofyears.
 Growing rural infrastructure - thanks to Governmentinitiatives.
 Setting up of channels like e-choupals by companies likeITC.
Many companies like Colgate-Palmolive, HLL, Godrej, etc., have already made
forays into rural households but still capturing the markets is a distant dream. Most
marketers still lack in-depth knowledge to analyze the complex rural market.
In the Indian context, rural marketing is a complex subject. For a business
organization, rural marketing is beset with a number of problems. The prices of rural
marketing pose many problems due to the vastness of the country and a high
potentiality for providing an effective marketingsystem.
Besides, a few other problems stem from the under-developed markets, and illiterate
and gullible people constitute the major segment of the markets. More purchasing
power is not enough. It is not enough to have some consumption pioneers. The
activation of buying on a wide scale is an essential pre-condition for the exploitation
of the rural market.
It is now unanimously accepted that the rural salesmanship in India has been
insufficient and inadequate and out of proportion to the agriculture revolution. This
calls for strong bias in favour of raising the rural demand as against the urban
demand.
The traditional marketing activities of promotion, distribution, sales and servicing,
undertaken so far in the urban and semi-urban contexts, are to be extended to cover a
much wider area in a rural environment by introducing appropriate innovation,
selection and adoption.
CHALLENGES IN INDIAN RURAL MARKET
Rural markets, as part of any economy, have untouched potential. There are several
difficulties confronting the effort to fully explore rural markets. The concept of rural
markets in India is still in evolving shape, and the sector poses a variety of
challenges. Distribution costs and non- availability of retail outlets are major
problems faced by the marketers. The success of a brand in the Indian rural market is
as unpredictable as rain. Many brands, which should have been successful, have
failed miserably. This is because most firms try to extend marketing plans that they
use in urban areas to the rural markets. The unique consumption patterns, tastes, and
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needs of the rural consumers should be analyzed at the product planning stage so
that they match the needs of the rural people.
Therefore, marketers need to understand the social dynamics and attitude variations
within each village though nationally it follows a consistent pattern. The main
problems in rural marketing are:
 Understanding the RuralConsumer
 Poor Infrastructure
 PhysicalDistribution
 ChannelManagement
 Promotion and MarketingCommunication
The major hurdles in tapping the rural markets can be summarized as: -
 High distributioncosts
 High initial market developmentexpenditure
 Inability of the small retailer to carry stock without adequate creditfacility
 Generating effective demand for manufacturedfoods
 Wholesale and dealer networkproblems
 Mass communication and promotionproblems
 Banking and creditproblems
 Management and sales managingproblems
 Market researchproblems
 Inadequate infrastructure facilities (lack of physical distribution, roads
warehousesand mediaavailability)
 Highly dispersed and thinly populatedmarkets
 Low per capita and poor standards of living, social, economic and
culturalbackwardness of the ruralmasses
 Low level of exposure to different product categories and productbrands
 Cultural gap between urban-based marketers and ruralconsumers
The development of the rural market will involve additional cost both in terms
of promotion and distribution. In rural marketing, often it is not promotion of
a brand that is crucial, but creating an awareness concerning a particular
product field, for instance, fertilizers and pesticides.
Urban and semi-urban based salesmen are not able to tap the full potential in
the villages. Here, it may be suggested that the marketers may select and
employ the educated unemployed from villages.
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METHODS FOLLOWED TRADITIONALLY
Traditional methods of rural marketing make an interesting study and they

ought to be analyzed carefully to draw relevant conclusions. Conventionally,
marketers have used the following tools to make rural inroads: -
 Use of few select rural distributors and retailers to stock their
goods but nodirect interaction with prospectiveconsumer.
 Use of print media or radio but no alternate form of advertising for
promotingtheir brands.
 More focus on price of product but less attention devoted to quality
ordurability.
 Same product features for urban and rural setting with no
customization forrural areas despite differences in the
marketenvironment.
 Low frequency of marketingcampaigns.
 Little uses of village congregations like haats and melas to sell
theproducts.
 More focus on men as decision makers andbuyers.
STRATEGIES FOR RURAL MARKETING
The past practices of treating rural markets as appendages of the urban market
is not correct, since rural markets have their own independent existence, and if
cultivated well could turn into a generator of profit for the marketers. But the
rural markets can be exploited by realizing them, rather than treating them as
convenient extensions of the urban market.
a) MarketingStrategy
Marketers need to understand the psychology of the rural consumers and then
act consequently. Rural marketing involves more exhaustive personal selling
efforts compared to urban marketing. Firms should abstain from designing
goods for the urban markets and subsequently pushing them in the rural
areas. To effectively tap the rural market, a brand must associate it with the
same things the rural folks do. This can be done by utilizing the various rural
folk media to reach them in their own language and in large numbers so that
the brand can be associated with the myriad rituals, celebrations, festivals,
"melas", and other activities where they assemble.
b) DistributionStrategy
One of the ways could be using company delivery van which can serve two
purposes - it can take the products to the customers in every nook and corner
of the market, and it also enables the firm to establish direct contact with
them, and thereby facilitate sales promotion. Annual "melas" organized are
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quite popular and provide a very good platform for distribution because
people visit them to make several purchases.
According to the Indian Market Research Bureau, around 8000 such melas are
held in rural India every year. Rural markets have the practice of fixing
specific days in a week asMarket Days called "Haats' when exchange of goods
and services are carried out. This is another potential low cost distribution
channel available to the marketers. Also, every region consisting of several
villages is generally served by one satellite town termed as "Mandis" where
people prefer to go to buy their durable commodities. If marketing managers
use these feeder towns, they will easily be able to cover a large section of the
ruralpopulation.
c) PromotionalStrategy
Marketers must be very careful while choosing the mediums to be used for
communication. Only 16% of the rural population has access to a vernacular
newspaper. So, the audiovisuals must be planned to convey a right message to
the rural folk. The rich, traditional media forms like folk dances, puppet
shows, etc., with which the rural consumers are familiar and comfortable, can
be used for high impact product campaigns. Radio is also very popular source
of information and Entertainment, Adds on radio can also be a helpful tool for
marketers
Some other Strategies to be followed in Indian Rural Market-
 Decentralizing rural markets by detaching them from the urban bases. A
give-and-take two-way approach should replace the present one-
wayexploitation.
 The salesman in rural markets should be selected from the
educatedunemployed villagers, trained well and appointed as
salesmen. The town-to-villages shuttling salesmen are to be
replaced by stationary salesman invillages.
 Companies should also adequately concentrate on educating the
villagers to savethem from spurious goods andservices.
 Rural markets are laggards in picking up new products. This will help the
companies to phase their marketing efforts. This will also help to sell
inventories of products outdated in urbanmarkets.
 In rural India, consumers are not brand-loyal, but their purchase patterns can
be termedas
brandstickiness.So,morebrandawarenessandpresenceinthemarketswillinflu
ence thepurchasers.
 It is important for any brand to test the campaign before as well as after it
is executedto understand and measure the audience consumptionpatterns
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CONCLUSION
Thus, looking at the challenges and the opportunities, which rural markets offer to
the marketers and the manufacturers, it can be said that the future is very promising
for those who can understand the dynamics of rural markets and make use of them
to their best advantage. A radical change in attitudes of marketers towards the
cheerful and budding rural markets is called for, so they can successfully impress
on the 750 million rural consumers spread over approximately six hundred
thousand villages in rural India.
REFERENCES
1. Richika, R., (2005). “Rural Marketing in India: Strategies and

Challenges”, New Century Publication, pp. 78-90.
2. Shrama, R., (2009). “Unique Issue in Rural Marketing and their Implication”,
Gyanpratha Accaman Journal of Management Science, Volume: 1 :( 2), pp.
75-79.
3. Vaswai, L. K.; Aithal, R.; Pradhan, D., and Sridhar, G., (2005). “Rural
Marketing in
4. Development Paradigm”, International Journal of Rural Management,
Volume: 1: (2), pp. 245- 262.
5. Sudhanshu, S., and Sarat, S. K., (2010). “Non-Conventional MARCOM
Strategy for Rural India”, Indian Journal of Marketing, Volume: 40: (2), pp.
56-61.
6. Singh, Awadhesh Kumar, Satyaprakash Pandey, "Rural Marketing Indian
Perspective", New Age International Pvt Ltd.
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THE TASK OF DIGITAL AND SOCIAL MEDIA PROMOTION IN

CUSTOMER BEHAVIOR
Chaitrali Chavan
Assistant Professor
Email id: chaitralichavan@ccspune.in
ABSTRACT:
This article reviews newly published research about customers in digital and social
media promotion settings. Five themes are identified viz; customer digital culture,
responses to digital promotion, effects of digital surroundings on customer behavior,
mobile environments, and online word of mouth (WOM). Cooperatively these articles
discard glow from many dissimilar angles on how customers understanding,
manipulate, and are influenced by the digital surroundings in which they are located
as part of their everyday life. Much is still to be unstated, and accessible knowledge
tends to be excessively focused on WOM, which is only part of the digital customer
knowledge. Quite a lot of guidelines for future research are advanced to encourage
researchers to think a broader array of phenomena.
Keywords: Social Media, Digital Media, Mobile Environments, Customer Behavior
INTRODUCTION:
Using the internet, social media, mobile apps, and other digital communication
technologies has become part of billions of people’s everyday life. For example, the
present rate of internet utilize among American adults is about 87% and is closer to
100% for demographic groups such as college-educated and higher-income adults.
Younger citizens—the next generation of mass customers—have similarly high
levels. People also expend increasing time online. For example, in the UK, over the
last decade the number of hours spent online by adults has more than doubled, and
now averages 20.5 hours per week. Social media has fueled part of this growth:
worldwide there are now more than 2 billion people using social media and
Facebook alone now have approximately 1 billion active users per day.
Obviously, citizens are revealing themselves to more and more digital and social media.
This is for numerous purposes, including in their roles as customers as they investigate
for information regarding goods, purchase and use them, and converse with others about
their practices.
Marketers have responded to this essential shift by growing their use of digital
promotion channels. In fact, by 2017 approximately one-third of global advertising
spending is forecast to be in digital channels. Thus, future customer promotion will
largely be accepted out in digital settings, particularly social media and mobile. It is
therefore necessary for customer research to examine and comprehend customer
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performance in digital environments. This has been happening over the last decade,
with growing amounts of research focusing on digital customer behavior issues. The
literature is still relatively promising, however, and more research is of course
required— mainly known the ever-changing environment of the digital/social
media/mobile environments in which customers are located and interrelate with
brands and each other. This article attempts to get stock of very current expansions on
these issues in the customer behavior/psychology journalism, and in doing so hopes to
urge new, applicable study.
RESEARCH THEMES AND FINDINGS

Five different research ideas come out in current customer research on digital
promotion and social media. The five ideas are (i) customer digital background, (ii)
promotion, (iii) impacts of digital surroundings, (iv) mobile, and (v) online WOM and
assessment. The most accepted ideas are online WOM, which is covered by almost
half of the articles, and advertising, represented by slightly over one-quarter of the
articles. I now discuss each theme.
Customer Digital Culture

Customer digital culture research considers, quite deeply, the digital
environments in which customers are situated. A key aspect of this work has been
understanding how customers’ identities and self-concepts extend into digital
worlds, such as work by Belk . Belk [ extended his prior work on the “extended
self” to incorporate the digital environments in which customers now situate
themselves, which is an important piece of theory development because it
considers concepts such as the ability for customers to have multiple selves due to
possessing multiple online “personas.” Belk also suggests many areas for future
research. Other research under this theme looked at more specific phenomena.
McQuarrie etc focused on fashion blogging as a means of documenting the
“megaphone effect,” which is the ability for regular customers to access large
audiences through digital/social media. This is an important effect and they
discussed how bloggers go about building audiences and accumulating social (or
cultural) capital through demonstrations of “good taste.” In a social media setting
this essentially means that a blogger (or “influencer”) makes recommendations
that signal her expertise to others. This is in a specific setting, but has
implications for understanding customers’ content-generation behaviors on social
media more generally, since signaling positive personal attributes is likely a
common motivation for posting certain things on sites like Facebook. Together,
these articles make an important conceptual contribution around how we see
customers in a digital world, particularly by implying an expanded conception of
what it is to be a customer in today’s digital world.
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Advertising
Digital advertising is a major topic in the promotion literature and, with respect to
customer behavior, considers how customers respond to various aspects of digital
ads. A number of recent articles considered behavioral aspects of digital advertising
from various perspectives. One interesting perspective taken in a few articles was
based around how
to overcome (assumed) psychological reactance due to personalization of digital ad

targeting. Schumann etc. considered how negative reactions to personalization could be
overcome with normative reciprocity appeals (instead of utility appeals). Lambrecht and
Tucker studied ad retargeting, which is when personalized recommendations based on
prior web-browsing history are made when a customer returns to a website. Negative
responses to retargeting are found, but this is mitigated when customers’ preferences
have become more precise. Tucker] found that personalized website ads are more
favorably received when customers have a higher perception of being in control of the
personal/private information used for personalization, which directly corresponds to
literature on psychological reactance and suggests a theoretical way forward for
research into customer digital privacy, which is lacking.
Other articles have considered a variety of digital ad response aspects. Luo etc. looked
at drivers of popularity for group-buying, finding social influence to be a major
driver of deal popularity. Jerath etc.studied responses to search engine advertising,
finding that when customers search for less-popular keywords their searches are more
effortful. Puccinelli etc examined digital video ads, focusing on how TV show
emotion interacted with ads’ energy levels to affect customers’ responses. They find
that affective matching between show and ad matters such that when customers
experience
“Deactivating” feeling it is harder to vision vigorous ads. Banquet etc measured

how digital display and investigate ads impel online plus offline purchasing for a
seller, finding that digital ads are more efficient than offline ads in driving online
behavior. in conclusion, Goldstein etc studied “annoying” website ads and showed
how they create economic costs for advertisers and cognitive costs for customers.
Impacts of Digital Environments
A still-emerging theme in current years is how digital/social media environments

impact customer performance. The consequences can be thinking of as environment-
integral or environment-incidental. It is attractive to see how the a variety of
informational and social uniqueness of digital/social environments, such as being
uncovered to other customers’ opinions or choices , or even just to friends’ lives
during social media, can impact succeeding behaviors. For instance, with respect to
environment-integral consequences, Lamberton etc.and Norton etc considered
learning from strangers in digital environments. They discover that customers in
spirited online settings infer interpersonal variation and act forcefully alongside
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confusing others, and find that seeing online that others made the same choices as
oneself can decrease, not increase, assurance in one’s choices if others’ justifications
are different. Adopting a different viewpoint, Wilcox and Stephen examined an
environment-incidental reaction with deference to how using Facebook affected self-
control. They originate that when uncovered to closer friends on Facebook,
customers consequently exhibited lower self-control in choices connected to, for
example, vigorous behaviors.
Mobile
Customer performance in mobile settings is also increasingly important, as
customers use mobile devices more frequently. This is particularly interesting in
shopping contexts. In an in-store shopping setting studied how customers respond
to mobile coupons in physical stores, finding in a field experiment that mobile
offers requiring customers to deviate from their planned shopping paths can
increase unplanned spending. In an online shopping setting, Brasel and Gips
focused on shopping on mobile devices and specifically on how touching products
can increase feelings of psychological ownership and endowment. This is an
interesting contribution because work on how customers physically interface with
mobile devices and how that influences decision making is scant but, as this article
showed, important. Unrelated to shopping is work by Bart that considered how
mobile display ads—which are very small and carry very little information—
influence customers’ brand attitudes and purchase intentions. They found that in
many product categories mobile display ads have no effect, but that they do lift
attitudes and intentions for high-involvement, utilitarian products.
Online WOM and Reviews
WOM is the most-represented topic in digital and social promotion research, which is
unsurprising given the reliance customers seem to have on socially sourced online
information. A number of sub-themes were covered recently. First, an interesting set of
articles considered linguistic properties of online WOM and/or reviews, generally
showing how perceptions of reviews and how influential they are can depend on subtle
language-based properties. For instance, Kronrod and Danziger showed that figurative
language in online reviews positively affected customer attitudes and choice for hedonic
goods. Moore considered explanatory language in online reviews, finding that whether
customers explained actions or reactions affected perceived review helpfulness.
Hamilton considered negative WOM, finding that using softening language when
conveying negative opinions increases perceived reviewer credibility and likability. Tang
considered two kinds of neutral language, mixed versus indifferent. They show that
mixed neutral WOM amplifies effects of WOM on purchasing. Ludwig studied affective
language in reviews and examined how a review with linguistic style that is consistent
with the typical linguistic style used for that product assembly prejudiced sales, result
that positive affect enlarge conversions , negative influence reduces conversions, and
matching linguistic styles are helpful. Chen and Lurie inspected temporal contiguity
Page 117
language in online evaluations result that customers reduce positive reviewer opinions
fewer if the experience was apparently new.
One more imperative topic newly observed is differences between online and offline
WOM. Lovett etc found that online WOM is determined by social in addition to
functional brand uniqueness while offline WOM is determined by emotional brand
distinctiveness. Eisingerich studied differences between transmitting WOM in social
media versus offline. Viewing that customers are less tending to transmit WOM in
social media because of a superior apparent social hazard.
Lastly, additional new articles measured extra online WOM-related matters. For
instance, He and Bond measured when online reviews offer good against bad forecasts of
customer brand satisfaction, finding that the predict error/inconsistency depends on the
degree to which a reviewer’s and customer’s predilections are like. Cascio recognized
neural correlates of vulnerability to others’ opinions in online WOM settings, with
vulnerability to social pressure being related to brain regions concerned with uneven
personal predilection and allowing for others. He and Bond focused on sets of online
reviews and considered how customers interpret opinion dispersion and whether it is
recognized to the product or to reviewers’ tastes being heterogeneous. Anderson and
Simester recognized the occurrence of misleading reviews posted by citizens who
have not purchased a product, suggestive of that the follow is not limited to
competitors but includes existing customers with no financial inducement to bias
online ratings. Finally, Barasch and Berger examined social broadcast behavior when
customers broadcast against narrowcast, result that people share information that
makes themselves not seem bad when distribution but share information that will be
supportive to receivers when narrowcasting.
RECOMMENDATIONS FOR FUTURE RESEARCH
The digital/social media customer performance literature is fast-growing and typically

focuses on phenomena that are practically linked and hypothetically thrilling.
Researchers have mostly measured how customers use information available to them
in digital/social media environments. Future research should bear on this approach,
though in a extra expanded fashion. Customers’ behaviors other than those connected
to online WOM/evaluations should be measured, and additional types of information
originate in online environments should be measured. For example, it would be
attractive to consider the compound interaction between transmitter, receiver,
linguistic/content, and context factors when it comes to background and consequences
of online WOM.
An additional high-potential way for future research is to think how different kinds of
digital environments impact a broad range of customer outcomes, counting
psychological and economic constructs. Few articles have done this, though it is likely
that a multitude of customer outcomes are inclined by the digital environments in
which they are ever more situated. It is also achievable that some unfavorable
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consequences may be detected, similar to Wilcox and Stephen’s finding linking

Facebook use to inferior self-control. In addition to this, the ways that customers
physically interrelate with digital environments wants deeper examination, given
what Brasel and Gips found in terms of feelings of endowment when using touch-
based interfaces to shop. In studying the impacts of digital environments on
customers, it will also be necessary to consider longer-term responses because these
effects may be subtle but cumulatively significant. Thus, one-shot investigational
studies should be complemented by longitudinal experiments and archival data
capturing customers’ digital exposures, online social interactions, and behaviors over
time.
Lastly, researchers should think about rising vital topics, mainly client privacy issues
in the background of digital promotion as well as social media. Tucker considered
this to the level, although a inclusive accepting of how customers reflect about their
privacy, what they want to do to defend it, and how they value digital media services
that defend privacy is still required.
In conclusion, there has been much new activity in the customer

performance/psychology literature interrelated to digital along with social media
marketing, and many significant offerings to information have been made. To shift
this literature onward, mainly given the fast-moving nature of digital settings,
research that endeavors to widen our accepting of key phenomena, examines brand-
new phenomena, and develops theories in an region that lacks an established
theoretical base will be most valuable.
REFERENCES
1. Pew Research Center (2015), Internet Use Over Time: American Adults,
http://www.pewinternet.org/data-trend/internet-use/internet-use-over-time/
(accessed 09/15/15).
2. Pew Research Center (2015), Internet Use Over Time: American Teens (12-
17), http://www.pewinternet.org/data-trend/teens/internet-use/ (accessed
09/15/15).
3. Ofcom (2015), Adults’ Media Use and Attitudes Report,
http://stakeholders.ofcom.org.uk/market-data-research/other/research-
publications/adults/media-lit-10years/ (accessed 09/15/15).
4. We Are Social (2014), Global Social Media Users Pass 2 Billion,
http://wearesocial.net/blog/2014/08/global-social-media-users-pass-2-billion/
(accessed 09/15/15).
5. Facebook (2015), Facebook Company Info: Stats,
http://newsroom.fb.com/company-info/ (accessed 09/15/15).
6. eMarketer (2015), Advertisers Will Spend Nearly $600 Billion Worldwide in
2015, http://www.emarketer.com/Article/Advertisers-Will-Spend-Nearly-600-
Billion-Worldwide-2015/1011691 (accessed 09/15/15).
7. Berger, Jonah (2014), “Word of Mouth and Interpersonal Communication: A
Review and
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8. Directions for Future Research,” Journal of Customer Psychology, 24 (4),

586-607.You, Ya, Vadakkepatt, Gautham G., and Joshi, Amit M. (2015), “A
Meta-Analysis of Electronic Word-of-Mouth Elasticity,” Journal of
Marketing, 79 (2), 19-39.
9. Yadav, Manjit, and Pavlou, Paul A. (2014), “Pramotionin Computer-Mediated
Environments: Research Synthesis and New Directions,” Journal of
Marketing, 78 (1), 20-40.
10. Belk, Russell W., “Extended Self in a Digital World,” Journal of Customer
Research, 40
11. (3), 477-500.
12. Belk, Russell W., “The Extended Self in a Digital World,” this issue.
13. McQuarrie, Edward F., Miller, Jessica, and Phillips, Barbara J. (2013), “The
Megaphone Effect: Taste and Audience in Fashion Blogging,” Journal of
Customer Research, 40 (1), 136-158.
14. Schumann, Jan H., von Wangenheim, Florian, and Groene, Nicole (2014),
“Targeted Online Advertising: Using Reciprocity Appeals to Increase
Acceptance Among Users of Free Web Services,” Journal of Marketing, 78
(1), 59-75.
15. Lambrecht, Anja and Tucker, Catherine (2013), “When Does Retargeting
Work? Information Specificity in Online Advertising,” Journal of
PramotionResearch, 50 (5), 561-576.
16. Tucker, Catherine E. (2014), “Social Networks, Personalized Advertising,
and Privacy Controls,” Journal of PramotionResearch, 51 (5), 546-562.
17. Luo, Xueming, Andrews, Michelle, Song, Yiping, and Aspara, Jaakko
(2014), “Group-Buying Deal Popularity,” Journal of Marketing, 78 (2),
20-33
18. Jerath, Kinshuk, Ma, Liye, and Park, Young-Hoon (2014), “Customer
Click Behavior at a Search Engine: The Role of Keyword Popularity,”
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19. Puccinelli, Nancy M. Wilcox, Keith, and Grewal, Dhruv (2015), “Customers'
Response to Commercials: When the Energy Level in the Commercial
Conflicts with the Media Context,” Journal of Marketing, 79 (2), 1-18.
20. Dinner, Isaac M., Van Heerde, Harald J., and Neslin, Scott A. (2014),
“Driving Online and Offline Sales: The Cross-Channel Effects of
Traditional, Online Display, and Paid Search Advertising,” Journal of
PramotionResearch, 51 (5), 527-545.
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Matthew, and Diaz, Fernando (2014), “The Economic and Cognitive Costs of
Annoying Display Advertisements,” Journal of PramotionResearch, 51 (6),
742-752.
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THE IMPACT OF ARTIFICIAL INTELLIGENCE IN FINANCIAL

SERVICES
Tabrej J. Mulla
Assistant Professor
Email id: tabs_shams@yahoo.com
ABSTRACT:
In the last couple of years, the finance and banking sectors in India have increasingly
deployed and implemented AI technologies. Such technologies are being implemented
for front-end and back end processes – offering solutions for both financial and
business management operations. At the moment, the AI landscape appears to be
overwhelmingly populated by natural language processing and natural language
generation technologies culminating in numerous chatbot initiatives by various
banking and financial actors. Arguably more significant – but less documented – is
the usage of said technologies for financial decision making on a variety of issues
including, credit-scoring, transactions, wealth and risk management, and fraud
detection. These trends are largely facilitated by technology service companies – both
large-scale firms and startups – that either work with established banking and
financial institutions to deploy AI technologies or develop and offer their own
financial services directly to consumers.
Keywords: AI technologies, banking and financial actors, decision making
INTRODUCTION:
ARTIFICIAL INTELLIGENCE (AI) IN THE FINANCE SECTOR

Evolving technologies have always had a great impact on businesses because of how
they can improve the existing process. Certain technologies offer great scope to take
your business to the next level because they have the capacity to change the way you
do your business. Artificial Intelligence is currently the most trending topic due to the
opportunity it offers to benefit from its use. There is no other industry except the
financial industry who is trying their best to adopt Artificial Intelligence for speed,
accuracy, and efficiency in business. Artificial Intelligence and Machine Learning
offer a great deal in the finance industry through algorithms in the financial services.
At the heart of the Artificial Intelligence are some of the algorithms, which are self-
learning and can help the finance industry if fed the right data. There are multiple
fields in finance that can eventually benefit from the implementation of Artificial
Intelligence and could prove to be of great value to the customer and the financial
organization, too.
Let’s have a look at the areas in finance, which will benefit from the introduction of
Artificial Intelligence.
Page 121
CUSTOMIZED FINANCIAL SERVICES

Artificial Intelligence has expanded the range of offerings under the finance segment
based on the customer preferences for financial spending. Data accumulated by AI
suggests that there should be various customizations in finance based products and
services because the spending pattern of customers differs in many ways. There are
some customers who look for specific offerings from a bank and he/she should
receive the optimum package based on the need and want.
REDUCTION OF COST IN FINANCE THROUGH ARTIFICIAL

INTELLIGENCE
We can all agree on this because AI has definitely brought the costs down in finance
by providing multiple services at an affordable price. Nowadays, the services offered
by banks are comparatively low on price, which is good for a customer because there
are various preferences when it comes to availing a certain service. AI has made it
extremely convenient for the public to make use of the financial services.
FRAUD DETECTION
Artificial Intelligence can proactively detect if a fraud is going to take place in a
financial system or not. AI makes it a point to keep all things secure and take steps
towards safety before any chances of fraud. Fraud detection through AI can help
bankers follow the policies and regulations while providing a financial service to an
individual. AI is expanding the financial products portfolio by continuously
understanding the human psychology.
LESS HUMAN INTERVENTION IN MANAGEMENT

There is no longer a need for specific personnel to answer questions about financial
services that are being offered and how it can help the customer. Now, AI processes
data to solve queries and suggest the best service or solution for an individual. Human
opinions are no longer needed to forecast the demand of financial services.
AUTOMATION
Important decisions in finance cannot be inaccurate and thus, AI learns and studies
huge amounts of data before automating certain features to provide a customer with
accurate information. AI safeguards all the areas of automation to deliver the best
results to the customer by keeping their trust.
VOICE ASSISTANCE
This feature allows the user to use banking services based on voice commands rather
than touching your mobile phone or any other device. Through voice-based banking
features, many queries of a customer can be answered by AI with maximum ease
along with transactions and other information.
Page 122
GREATER INSIGHTS
AI can dig deeper to get better insights into the existing data and newer data to look
for trends and patterns leading to delivery of a service to a customer. With ever
increasing data, AI can efficiently look into the raw data to excavate important
information.
THE FUTURE
Artificial Intelligence in finance is able to continuously learn and re-learn the existing
data and patterns, which affect the finance industry. AI provides a great scope in
developing the current products and services and also provides an opportunity to
develop these existing products in the portfolio. Artificial Intelligence can regularly
study the market to know what the consumers are looking for and can provide them
with those services before anyone in the market.
REFERENCES:
1. http://www.ukfintech.com/future-of-fintech/fintech-catalysing-change-in-the-
financial-services-sector
2. http://www.ukfintech.com/cryptocurrencies/are-cryptocurrencies-the-future-
of-money?utm_source=propeller
3. World Economic Forum, The Future of Financial Services: How disruptive
innovations are reshaping the way financial services are structured,
provisioned and consumed, June 2015,
http://www3.weforum.org/docs/WEF_The_future__of_financial_services.pdf
4. The Economist, Blockchains: The great chain of being sure about things,
October 31, 2015.
5. Nag, A., & Mitra, A. (1999). Neural networks and early warning indicators of
currency crisis.
6. Reserve Bank of India Occasional Papers, 20(2), 183-222.
7. Institute for Development and Research in Banking Technology. (2018, April

12). Retrieved fromhttp://www.idrbt.ac.in/
8. SEBI constitutes ‘Committee on Financial and Regulatory Technologies

(CFRT)’. (2017, August 3).
9. Chopra, A. (2017, February 15). ZestMoney raises $6.5 million. Mint.

Retrieved from
https://www.livemint.com/Companies/L3TTxcgDCALg1XbQwr5XLP/ZestM
oney-raises-65-million.html
10. Pitchiah, V. (2017, October 10). Fraud prevention startup ThirdWatch raises
seed funding from
11. IAN, others. VCCircle. Retrieved from https://www.vccircle.com/fraud-
prevention-startup-thirdwatchraises-seed-funding-from-ian-others/
Page 123
12. Bhalla, T. (2017, August 21). Capital Float raises $45M in Series C, takes total
funds raised in the past year to $112M. Your Story. Retrieved from
https://yourstory.com/2017/08/capital-float-raises-45mseries-c/
13. Pitchiah, V. (2017, October 10). Fraud prevention startup ThirdWatch raises
seed funding from
14. IAN, others. VCCircle. Retrieved from https://www.vccircle.com/fraud-
prevention-startup-thirdwatchraises-seed-funding-from-ian-others/
15. Paymatrix - Funding. (2018, April 12). Retrieved from

https://www.cbinsights.com/company/
16. paymatrix-funding
17. Urs, A. (2017, August 13), Banks exploring use of artificial intelligence in
operations. Business
18. Line. Retrieved from https://www.thehindubusinessline.com/money-and-
banking/banks-exploringuse-of-artificial-intelligence-in-
operations/article9816427.ece
Page 124
Page 125
GREEN MARKETING IN INDIA: AN OVERVIEW
Mr.S.Praveen
Assistant Professor,
Department of Business Administration
Potti Sriramulu Chalavadi Mallikarjuna RaoCollege of Engineering & Technology
Email id: praveensama86@gmail.com
ABSTRACT:
Increasing awareness on the various environmental problems has led a shift in the
way consumers go about their life. There has been a change in consumer attitudes
towards a green lifestyle. People are actively trying to reduce their impact on the
environment. However, this is not widespread and is still evolving. Organizations and
business however have seen this change in consumer attitudes and are trying to gain
an edge in the competitive market by exploiting the potential in the green market
industry. In the modern era of globalization, it has become a challenge to keep the
consumers in fold and even keep our natural environment safe and that is the biggest
need of the time. Green marketing is a phenomenon which has developed particular
importance in the modern market and has emerged as an important concept in India as
in other parts of the developing and developed world, and is seen as an important
strategy of facilitating sustainable development. In this research paper, main emphasis
has been made of concept, need and importance of green marketing. Data has
collected from multiple sources of evidence, in addition to books, journals, websites
and newspapers. It explores the main issues in adoption of green marketing practices.
The paper describes the current Scenario of Indian market and explores the challenges
have with green marketing.
Keywords: Green Marketing, Environment, Traditional Marketing, Consumer,

Marketer
INTRODUCTION
First of all, environment and environmental problems, one of the reason why the
green marketing emerged. According to the American Marketing Association, green
marketing is the marketing of products that are presumed to be environmentally safe.
Thus green marketing incorporates a broad range of activities, including product
modification, changes to the production process, packaging changes, as well as
modifying advertising. Green marketing refers to holistic marketing concept wherein
the product, marketing consumption on disposal of products and services happen in a
manner that is less detrimental to the environment with growing awareness about the
implications of global warming, non-biodegradable solid waste, harmful impact of
pollutants etc., both marketers and consumers are becoming increasingly sensitive to
the need for switch into green products and services. Many people believe that green
marketing refers solely to the promotion and advertising of products with
Page 126
environmental characteristics. Generally terms like phosphate free, recyclable,

refillable, ozone friendly and environment friendly are most of the things consumers
often associated with green marketing. Yes, green marketing is a golden goose. As per
Mr. J. Polonsky, green marketing can be defined as, "All activities designed to
generate and facilitate any exchange intended to satisfy human needs or wants such
that satisfying of their needs and wants occur with minimal detrimental input on the
national environment." Green marketing is also called environmental
marketing/ecological marketing. As resources are limited and human wants are
unlimited, it is important for the marketers to utilize the resources efficiently without
waste as well as to achieve the organization's objective. So green marketing is
inevitable. There is growing interest among the consumers all over the world
regarding the protection of the environment. Worldwide evidence indicates people are
concerned about the environment and are changing their behavior. As a result of this,
green marketing has emerged which speaks for the growing market for sustainable
and socially responsible products and services. Now this has become new mantra for
marketers to satisfy the needs of consumers and earn better profits.
EVOLUTION OF GREEN MARKETING
Green marketing term was first discussed in a seminar on ―Ecological Marketingǁ

organized by American Marketing Association (AMA) in 1975 and took its place in
the literature. The term green marketing came into prominence in the late 1980s and
early 1990s. The first wave of green marketing occurred in the 1980s. The tangible
milestone for the first wave of green marketing came in the form of published books,
both of which were called Green Marketing. They were by Ken Pattie (1992) in the
United Kingdom and by Jacquelyn Ottman (1993) in the United States of America.
According to Peattie (2001), the evolution of green marketing has three phases.
First phase was termed as "Ecological" green marketing, and during this period all
marketing activities were concerned to help environmental problems and provide
remedies for environmental problems.
Second phase was "Environmental" green marketing and the focus shifted on clean
technology that involved designing of innovative new products, which take care of
pollution and waste issues.
Third phase was "Sustainable" green marketing. It came into prominence in the late
1990s and early 2000concerned with developing good quality products which can
meet consumers need by focusing on the quality, performance, pricing and
convenience in an environment friendly way.
Objectives of the Study
The paper titled ―Green marketing in India: An overview is aimed to cover the
following objectives:
Page 127
1. To know the concept of green marketing.
2. To identify the importance and need of green marketing.
3. To study the challenges and prospects of green marketing.
Research Methodology
The research is exploratory in nature; it focuses on Literature review, News Papers,

Journals, websites and the other reliable sources.
Karna, J., Hansen, E. & Juslin, H. (2003) interpreted that proactive marketers are the
most genuine group in implementing environmental marketing voluntarily and
seeking competitive advantage through environmental friendliness. The results also
give evidence that green values, environmental marketing strategies, structures and
functions are logically connected to each other as hypothesized according to the
model of environmental marketing used to guide this study.
Sanjay K. Jain & Gurmeet Kaur (2004) in their study of environmentalism which had
fast emerged as a worldwide phenomenon discussed business firms too have risen to
the occasion and have started responding to environmental challenges by practicing
green marketing strategies. Green consumerism has played a catalytic role in ushering
corporate environmentalism and making business firms green marketing oriented.
Based on the data collected through a field survey, the paper made an assessment of
the extent of environmental awareness, attitudes and behaviour prevalent among
consumers in India.
Donaldson (2005) in his study realized in the Great Britain that in general the
ecological attitude of consumers changed positively. This study reported the strong
faith of consumers in the known commercial brands and in the feeble behaviour
referring to the "green" claims, which was the main cause behind the consuming
failure to interpret their concerns beyond the environment in their behavior.
Alsmadi (2007) while investigating the environmental behaviour of Jordanian

consumers reveals a high level of environmental conscience. Unfortunately however
this positive tendency and preference in the "green" products did not appear to have
any effect on the final decision, obviously because these consumers had a stronger
faith in the traditional products and a small confidence in the green statements. The
above obstacles were further strengthened by the lack of environmental conscience by
a lot of enterprises and the existence of a large scale of prices for the same product,
many of which included an impetuous estimate of environmental responsibility. The
same phenomenon has been presented in other researches too (Ottman, 2004;
Donaldson, 2005; Cleveland et al, 2005).
Page 128
Brahma, M. & Dande, R. (2008), The Economic Times, Mumbai, had an article
which stated that, Green Ventures India is a subsidiary of New York based asset
management firm Green Ventures International. The latter recently announced a $300
million India focused fund aimed at renewable energy products and supporting
trading in carbon credits.
Golden Rules of Green Marketing
1. Know your Customer: Make sure that the consumer is aware of and concerned
about the issues that your product attempts to address.
2. Educating your customers: It is not just a matter of letting people know, whatever
you're doing is to protect the environment, but also a matter of letting them know why
it matters.
3. Being Genuine & Transparent: means that
a) You are actually doing what you claim to be doing in your green marketing
campaign and
b) The rest of your business policies are consistent with whatever you are doing that's
environment friendly.
4. Reassure the Buyer: Consumers must be made to believe that the product performs
the job in this firm should not forget product quality in the name of the environment.
5. Consider Your Pricing: If you are charging a premium for your product and many
environmentally preferable products cost more due to economies of scale and use of
higher-quality ingredients make sure those consumers can afford the premium and
feel it's worth it.
The Four Ps of Green Marketing
1. Product
Entrepreneurs wanting to exploit emerging green market either by identifing
customer‘s environmental needs or by developing environmentally responsible
products to have less impact than competitors. The increasingly development of :
1. Products that can be recycled or reused. Efficient products, which save water,
energy or gasoline, save money and reduce environmental impact.
2. Products with environmentally responsible packaging. McDonalds, for
example, changed their packaging from polystyrene clamshells to paper.
3. Products with green labels, as long as they offer substantiation.
4. Organic products — many consumers are prepared to pay a premium for
organic products, which offer promise of quality. Organic butchers, for example,
promote the added qualities such as taste and tenderness.
5. A service that rents or loans products –such as toy libraries.
6. Certified products, which meet or exceed environmentally responsible criteria.
Page 129
Whatever the product or service, it is vital to ensure that products meet or exceed
the quality expectations of customers and is thoroughly tested.
2. Price
Pricing is a critical element of the marketing mix. Most customers are prepared to
pay a premium if there is a perception of additional product value. This value may
be improved performance, function, design, visual appeal or taste. Environmental
benefits are usually an added bonus but will often be the deciding factor between
products of equal value and quality. Environmentally responsible products,
however, are often less expensive when product life cycle costs are taken into
consideration, for example fuel-efficient vehicles, water-efficient printing and
non-hazardous products.
3. Place
The choice of where and when to make a product available has a significant
impact on the customers being attracted. Very few customers go out of their way
to buy green products merely for the sake of it. Marketers looking to successfully
introduce new green products should, in most cases, position them broadly in the
market place so they are not just appealing to a small green niche market. The
location must also be consistent with the image which a company wants to
project. The location must differentiate a company from its competitors. This can
be achieved by in-store promotions and visually appealing displays or using
recycled materials to emphasize the environmental and other benefits.
4. PROMOTION
Promoting products and services to target markets includes paid advertising,
public relations, sales promotions, direct marketing and on-site promotions. Smart
green marketers will be able to reinforce environmental credibility by using
sustainable marketing and communications tools and practices. For example,
many companies in the financial industry are providing electronic statements by
email, e-marketing is rapidly replacing more traditional marketing methods, and
printed materials can be produced using recycled materials and efficient
processes, such as waterless printing. Retailers, for example, are recognizing the
value of alliances with other companies, environmental groups and research
organizations when promoting their environmental commitment.
Green Marketing- Challenges

Although a large number of firms are practicing green marketing, it is not an easy
job as there are a number of problems which need to be addressed while
implementing Green marketing. The major challenges which Green marketing
have to be faced are:
1. New Concept-Indian literate and urban consumer is getting more aware about
the merits of Green products. But it is still a new concept for the masses. The
consumer needs to be educated and made aware of the environmental threats. The
new green movements need to reach the masses and that will take a lot of time
and effort.
Page 130
2. Cost Factor- Green marketing involves marketing of green products/services,

green technology, green power/energy for which a lot of money has to be spent on
R&D programmes for their development and subsequent promotional programs
which ultimately may lead to increased costs.
3. Convincing customers-The customers may not believe in the firm‘s strategy of
Green marketing, the firm therefore should ensure that they undertake all possible
measures to convince the customer about their green product, the best possible
option is by implementing Eco-labeling schemes. Sometimes the customers may
also not be willing to pay the extra price for the products.
4. Sustainability- Initially the profits are very low since renewable and recyclable
products and green technologies are more expensive. Green marketing will be
successful only in long run. Hence the business needs to plan for long term rather
than short term strategy and prepare for the same, at the same time it should avoid
falling into lure of unethical practices to make profits in short term.
5. Non Cooperation- The firms practicing Green marketing have to strive hard in
convincing the stakeholders and many a times it may fail to convince them about
the long term benefits of Green marketing as compared to short term expenses.
6. Avoiding Green Myopia- Green marketing must satisfy two objectives:
improved environmental quality and customer satisfaction. Misjudging either or
overemphasizing the former at the expense of the latter can be termed green
marketing myopia.
CONCLUSION
Green marketing is a tool for protecting the environment for future generation. It
is not going to be an easy concept. The firm has to plan and then carry out
research to find out how feasible it is going to be. Green marketing has to evolve
since it is still at its infancy stage. Adoption of Green marketing may not be easy
in the short run, but in the long run it will definitely have a positive impact on the
firm. Green Marketing is still in the stage of childhood in the Indian companies.
Lots of opportunities are available. Now this is the right time to select Green
Marketing globally. It will come with drastic change in the world of business if all
nations will make strict rules because green marketing is essential to save world
from pollution. From the business point of view because a clever marketer is one
who not only convinces the consumer, but also involves the consumer in
marketing his product. Green marketing should not be considered as just one
more approach to marketing, but has to be pursued with much greater vigor, as it
has an environmental and social dimension to it. With the threat of global
warming looming large, it is extremely important that green marketing becomes
the norm rather than an exception or just a fad. Recycling of paper, metals,
plastics, etc., in a safe and environmentally harmless manner should become
much more systematized and universal. It has to become the general norm to use
energy efficient lamps and other electrical goods.
Page 131
Indian market Customers too are ready to pay premium price for green
products. One thing that is being reiterated is that the current consumption levels
are too high and are unsustainable. Therefore there is a need for green marketing
and a need for a shift in the consumer‘s behaviour and attitude towards more
environment friendly life styles. Ultimately green marketing requires that
consumers want a cleaner environment and are willing to pay for it, possibly
through higher priced goods, modified individual lifestyles, or even governmental
intervention. Until this occurs it will be difficult for firms alone to lead the green
marketing revolution. An environmental committed organization may not only
produce goods that have reduced their detrimental impact on the environment,
they may also be able to pressure their suppliers to behave in a more
environmentally responsible fashion. Final consumers and industrial buyers also
have the ability to pressure organizations to integrate the environment into their
corporate culture and thus ensure all organizations minimize the detrimental
environmental impact of their activities.
REFERENCES
[1]. Sharma D.D. (2008), ―Marketing Research: Principle Application & Cases
N. Delhi, Sultan Chand & Sons
[2]. R. Shrikanth Et al, Contemporary green marketing-brief reference to Indian
scenario, International journal of social science and interdisciplinary research, vol.
I, Jan.2012.26-38.
[3]. Dr. Sarawade W.K. Conceptual development of green marketing in India,
Excel journal of engineering technology and management science, vol. I, June
2012.1-6.
[5]. Rahul Singal Et al, Green marketing: challenges and opportunity,International
journal of innovation Engineering and technology,vol II,Feb.2013.470-474.
[6]. http://www.managementparadise.com
[7]. http://www.businessworld.in
[8]. http://www.outlookindia.com
[10]. http://www.business-standard.com
Page 132
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Conference Paper · January 2018

Mahendra Kailas Sonawane

The user has requested enhancement of the downloaded file.

From Editorial Board

Prof. Dr. RoopaliKudare

2. A Research Study on Performance RaghavendraRaoRentala 7-15

3. Empowering Women Through Dr. B. Saranya 16-21

4. An Overview of Financial Dr.Prakash.K.Vadavadagi 22-27

5. A Study of Perceptions of Prof Vijaya Hake 28-42

6. A Study on Carbon Credit Market AnishaMahindrakar 43-50

7. Study On Impact of GST on Prof. Sagar S. Borate 51-55

8. Women Entrepreneurship in India Dr. 56-62

9. A Study of Indian Stock Market Prof. Mahendra Kailas 634-71

11. A Study on Availability of Prof. Amrita Karnawat 80-89

12. A Study of Principal Component Prof. PrakashTukaramRaut 90-94

13. A Study on Customer Satisfaction Sanjana Sanjay Pawaskar 95-98

14. Financial Statement Analysis with Prof. SmitaWagh 99-106

15. Emerging Trends of Rural Dr,MeenakshiDuggal 107-113

16. The Task of Digital and Social ChaitraliChavan 114-120

17. The Impact of Artificial Tabrej J. Mulla 121-124

18. Green Marketing In India: An Mr.S.Praveen 125-132

PROVISIONS OF MERGER AND AMALGAMATIONS UNDER

Compromise, arrangements and merger or amalgamations of companies is important

Objective of the study

Arrangement: - arrangement is a widen term applied in the company law it includes

Amalgamation:-Under the scheme of amalgamation the whole or part of the

The Act:- means Companies Act 2013

Proposed draft of terms of the amalgamation scheme

Order of National Company Law Tribunal on agreement of compromise or

Effect of an order of National Company Law Tribunal

In case of Contravention of scheme:-

If a transferor company or a transferee company contravenes in that case they shall be

Special Provisions of Section 233 of Companies Act 2013 Regarding Merger or

As per section 233(1) a scheme of merger or amalgamation may be entered into

Effects of merger or amalgamation scheme:-

Once the merger or amalgamation scheme approved or order finalized by the

1) Taxmann’s Companies Act 2013 with rules- September 2017

A RESEARCH STUDY ON PERFORMANCE AND PROSPECTS OF

superhighways have given a new dimension of concept of information. As Professor

4. INDIA’S E-COMMERCE: SUBSTANTIAL GROWTH WAY

4.1 DISCOUNT FUNDING MECHANISM IN E-COMMERCE BUSINESS

offers deep ONLINE

Figure 1: Discounted Funding Bill Mechanism in E-Commerce

5.0 Interesting Facts and Figures about Flipkart.com

 The market valuation of Flipkart as of January 2016 was $ 15 Billion

5.0 The Functioning of Flipkart Business Model & Sources of

List sellers who sell the desired portfolio products

Get customers browsing through the products

Create appealing discounts

Customer shops for the desired product

Seller/Flipkart ships the product to customer

Product accepted and not returned by customer

Figure 2: Business model of Flipkart.com

GMV (GROSS MERCHANDISE VALUE) = “ % of Commission on the total

FLIPKART’S OTHER SOURCES OF INCOME

6.0 Financial performance of Flipkart:

Source: Factordialy.com Chart1: Revenue Position of Flipkart from 2013-15

FLIPKART OPERATING PROFIT MARGIN GROWTH DURING 2013-15

Source: Factordialy.com Chart2: Operating Margins of Flipkart from 2013-15

6.1 Financial results of 2015 – Flipkart Crisis.

7.0 Findings of the Research Study:

EMPOWERING WOMEN THROUGH MICRO FINANCE

EMPOWERMENT OF RURAL WOMEN