Key Concepts for Business Growth & Innovation in India
Small Industries Development Bank of India (SIDBI) Scope
The Small Industries Development Bank of India (SIDBI) has a broad scope that encompasses promoting, financing, and developing the Micro, Small, and Medium Enterprises (MSME) sector in India. Key aspects of SIDBI’s scope include:
- Financial Assistance: Providing loans, equity, and other financial instruments to MSMEs for various purposes, such as working capital, expansion, modernization, and technology upgradation.
- Direct and Indirect Financing:
Neoclassical Economics Principles and Walrasian Equilibrium
Neoclassical Economics
Neoclassical Economics is a school of economic thought that emerged in the late 19th century, emphasizing the role of individual preferences, markets, and prices in determining economic outcomes.
Main Features
- Methodological Individualism: Neoclassical Economics focuses on individual behavior and decision-making, assuming that individuals act rationally to maximize their utility or profits.
- Market Equilibrium: Neoclassical Economics emphasizes the concept of market equilibrium,
Effective Management Control Systems & Delegation Strategies
Delegation of authority is a matter of degree. A subunit manager may take decisions:
- Completely autonomously.
- Following general instructions from upper management.
- Informing upper management afterwards.
- Consulting upper management prior.
- After obtaining explicit authorization from upper management.
- Never, only executing orders from upper management.
Causes of Management Control Problems
Lack of Direction
Some employees perform inadequately simply because they do not know what the organization wants from
Read MoreStrategic Workforce Management: Recruitment, Planning, and Decision Making
Recruitment Strategies
Employers should search to locate candidates with the necessary requirements to perform the job offered.
Internal Recruitment
Searches within their own company for the best people to fill the position.
Benefits
- Saves time and money
- Boosts employee motivation
- Fast process
Disadvantages
- If a mistake is made, it can decrease confidence and motivation.
- Greatly reduces the number of candidates.
External Recruitment
Employers look outward in search of a larger number of candidates. Various
Read MoreBond Price Dynamics & Investment Risks
Accretion (Pull to Par)
If the YTM does not change between the time the bond is purchased and the maturity date, what will happen to the price of the bond? For a bond selling at par value, where the coupon rate is equal to the required yield, as the bond moves closer to maturity, the bond will continue to sell at par value. Its price will remain constant as the bond moves toward the maturity date.
But the price of a bond will not remain constant for bonds selling at a premium or a discount. A discount
Read MoreKey Parameters of Organizational Structure Design
Fundamental Parameters of Organizational Design
The fundamental parameters of organizational design are:
Horizontal Differentiation
Refers to the degree to which work is divided into specialized tasks and how these tasks are grouped into roles within the organization.
Vertical Differentiation
Indicates the number of hierarchical levels in the organization and how authority and supervision relationships are established between them.
Decentralization
Involves the distribution of decision-making power across