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The linear economy model is being transformed into a circular model to positively impact the environment, society, business, and sustainable development goals. However, emerging economies such as India face many significant roadblocks adapting to a circular model. Therefore, this study attempts first to assess and visualize the roadblocks in circular economy adoption in Indian micro, small, and medium enterprises (MSME) and then identify and evaluate the solutions to overcome these roadblocks. This paper explores 31 critical roadblocks and proposes 14 solutions in the pathway of circular economy through extant literature and expert inputs. Graph theory matrix approach (GTMA) is applied to calculate the comprehensive circular economy roadblock index. This value signifies the intensity of roadblocks taken altogether in an industry under consideration. Furthermore, fuzzy stepwise weight assessment ratio analysis (fuzzy‐SWARA) is used to compute the weights of individual roadblocks. After that, fuzzy‐weighted aggregated sum product assessment (fuzzy‐WASPAS) is used to rank the identified solutions and efficiently implement a circular economy. Finally, the research presents sensitivity analysis and the theoretical and managerial implications of the findings. [ABSTRACT FROM AUTHOR]

This paper is an attempt to document the impact of fractionalization on the demand of informal finance in India. Using the data provided by the World Bank's Enterprise Survey, we show that firms headquartered in states/provinces with higher degree of fractionalization are more likely to use informal finance (such as the financing from trade creditors, moneylenders, and friends) than firms headquartered in states/provinces with lower degree of fractionalization. Our results are robust across various proxies of informal finance and various sub-samples. We also report that the effect of fractionalization on the use of informal finance is weaker where state-level or firm-level governance environment is strong. We also show that (when it comes to the use of formal finance) fractionalization is associated with higher use of retained earnings and lower use of funds provided by the banks. [ABSTRACT FROM AUTHOR]

Purpose – The aim of this paper is to examine how corporations in India interpret corporate social responsibility (CSR). Focusing on four commonly known approaches: the ethical, the statist, the liberal, and the stakeholder approach, the paper seeks to investigate the reported drivers and barriers to implementing CSR practices.Design/methodology/approach – The paper surveyed top-level managers of a sample of companies currently engaging in a CSR initiative, representing a variety of industry sectors.Findings – The study finds that the CSR approach that is most favored by Indian firms is the stakeholder approach and that the caring or the moral motive, followed by the strategic or profit motive, are important drivers for Indian firms to pursue CSR. Further, the results indicate that the most significant obstacles to CSR implementation are those related to lack of resources, followed by those related to the complexity and difficulty of implementing CSR.Research limitations/implications – The study focuses on the activities of leading Indian firms participating in the UN Global Compact (GC), thereby restricting one's knowledge of CSR practices of non-participants. Future research should expand on this effort either by conducting comparative studies of non-participants to the GC, or by investigating CSR practices of firms engaging in other voluntary initiatives.Originality/value – The majority of studies on CSR are still embedded in the economic and organizational contexts of Europe and the USA. This research aims to address this gap by focusing on the CSR framework of developing nations, particularly the emerging market of India. [ABSTRACT FROM AUTHOR]

India is increasingly becoming a destination for organizations seeking to remain profitable in an intensely competitive international environment. This paper intermeshes the ancient Eastern Guru–Shishya or revered teacher-pupil process with communities of practice to radiate knowledge in organizations. This Eastern process, based on evidence from three labour intensive organizations in India, is described and analysed, along with the results. The paper contributes to knowledge and process management in organizations by tapping into ancient values as the source for embedding both knowledge sharing and knowledge production. In addition, this paper adds to the managerial discourse on developing countries, and is particularly useful for organizations wishing to engage with, or already doing business in India. Copyright © 2005 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

Purpose The purpose of this paper is to examine human resource management (HRM) practices of the top 25 companies identified as “best” in India in 2011. This paper provides insights into HRM practices of a leading country in Asia that is playing a very important role in the global economy.Design/methodology/approach This conceptual paper will use for its research analysis the business reports of the Outlook Business Magazine and AON Hewitt. AON Hewitt is a global human resource consulting company and is an established authority in identifying “best” companies in India since 2004. A qualitative content analysis was done of the business report to identify predominant themes.Findings The analysis identified how the “best” 25 Indian companies offer progressive HRM practices that required careful investment and collaboration. This research showcases seven specific HRM themes that include elaborate staffing, investment in learning, work–life balance, egalitarian practices, developmental performance culture, generous benefits and engagement initiatives.Practical implications This paper provides preliminary guidelines for global practitioners who may be interested in doing business in India. It also provides a model of “best” HRM practices adopted by 25 companies that could help other organizations identify successful HRM practices in India. Among the 25 companies, 16 are Indian companies and 9 are subsidiaries of multinationals.Originality/value This paper outlines HRM “best” practices of organizations in an emerging Asian economy that has not been addressed before. This paper hopes to bridge this paucity in the extant literature by showcasing the “best” HRM practices from 25 “best” companies in India. It also provides an Indian model of “best” HRM practices that can be tested by other scholars for future studies. [ABSTRACT FROM AUTHOR]

Family firms and business groups play an important role in many emerging economies. In this paper we study how different aspects of family involvement influence technological innovation in a firm. Arguments drawn from agency theory and particularly the principal-principal agency hypothesize a negative influence of family involvement with respect to technological innovation. In contrast, stewardship theory predicts a positive influence of family involvement on technological innovation. Drawing on these theoretical lenses with contrasting directionalities with regard to the impact of family involvement on technological innovation, we study how family involvement in ownership, management and board of directors, and business group affiliation influence R&D investments and patents obtained by the firm. The hypotheses are empirically tested on a seven-year panel of 172 firms from the pharmaceutical industry in India. Our results indicate that family shareholding and family control over both CEO and chairperson positions have a positive and significant influence on the firm's R&D investments, broadly lending support to stewardship theory. We also find a positive influence of business group affiliation on R&D investments and patents applied by the firm. Our conjecture is that the high technology opportunity environment in the Indian pharmaceutical industry facilitates stewardship behavior which in turn promotes innovation in these firms. [ABSTRACT FROM AUTHOR]

Purpose – The purpose of this paper is to understand and map the global competitiveness of firms in emerging markets. The authors refine a framework (called the “strategic control map”, or SCM) that looks at market capitalization – using two parameters of book equity (size) and price to book ratio (performance) – as a key driver of the competitiveness of firms. However, the SCM has limited value in the context of smaller and largely domestic firms, as is the case in emerging markets. To develop a more comprehensive understanding, additional vital metrics such as the degree of internationalization need to be considered.Design/methodology/approach – The authors compare top 100 Indian firms against global firms on four dimensions – i.e. market price to book ratio, book equity, scope and scale of international operations. The authors consider data for the year 2009-2010 to make comparisons.Findings – The SCM, formulated with a developed market focus, is not suitable in the context of emerging markets as it fails to consider internationalization as essential to compete at the global level. Accordingly, the authors propose a new conceptual framework, referred to as the “strategic positioning map” (SPM).Originality/value – In this paper, the authors argue that “international intensity” and “market capitalization” can be two important dimensions to map the relative paths of growth for firms from emerging markets. [ABSTRACT FROM AUTHOR]

Purpose – This paper aims to explore the impact of competitive intelligence (CI) practices on the firm's performance in the emerging market context of India. The paper seeks to answer the following questions: do CI activities have an impact on the market performance of Indian firms? If so, what are the macro and micro environmental drivers of CI for Indian firms? How are CI activities organized within Indian firms? How is the usage and dissemination of CI taking place within Indian firms? Design/methodology/approach – The study used a stratified sample developed from a variety of mailing lists focusing on Indian firms. The study employed a cross-sectional, survey-based methodology. Findings – The study identifies two key aspects: Indian firms that exhibit higher levels of CI activities indeed achieve better financial performance results; and the current level of CI activities in Indian firms is at a moderate level, thereby suggesting an opportunity for using and implementing more sophisticated CI techniques. Practical implications – The findings of this study should assist local and foreign managers in having a more informed understanding of CI activities in the Indian marketplace. Additionally, these findings provide directives to managers regarding the untapped opportunities and potential that CI can offer in a highly volatile and rapidly changing market scenario. Originality/value – This is the first study that empirically investigates the relationship between the level of CI activities and firm performance in an emerging market context. It is also the first study of its kind that explores the current state of CI practices in the Indian market. [ABSTRACT FROM AUTHOR]

In this paper we use new venture creation in Indian family firms to explore the family firm as an inter-institutional system. We argue that in societies where the traditional family dominates social and economic life, the relationship between the two institutions, the firm and the family, is managed via inter-institutional logics. These inter-institutional logics help reconcile the tensions that often arise in the family firms during strategic decision making. We use archival and interview data on 36 new ventures in eight Indian family firms to identify these logics. Our analysis shows that the interaction between firm and family institutional logics in Indian family firms generates four sub-logics: economic, expertise, reputation and attachment. These four logics are used to frame and screen new venture opportunities and justify resource allocation. [ABSTRACT FROM AUTHOR]

Purpose – Few research studies have been conducted to investigate the issue of new service development (NSD) across nations and geographical regions. To address this critique of the literature, the purpose of this paper is to conduct a comparative study of NSD process and strategy in a developed country, Australia and a developing country, India. Design/methodology/approach – The paper conducted surveys of 102 Australian firms and 97 Indian firms operating in the business-to-business financial services industry. Findings – The findings suggest that significant differences exist between the Australian and Indian firms. Service firms in both countries use different strategies to compete in the industry and emphasize different sets of development stages in developing new services. Research limitations/implications – The analysis has been restricted to two countries: India and Australia. This suggests the need for further comparative studies of NSD in other cultures/countries. Practical implications – The findings of this research validate the initial contention that NSD varies from country to country and thus there cannot be a "one-size-fits-all" approach to NSD. The insights from this study can help service managers from India, Australia and other countries to better understand and manage their NSD programs in a cross-national context. Originality/value – To the best of the author's knowledge, this research represents the first attempt to empirically test the similarities and differences in NSD practices of Australian and Indian firms. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to construct and validate a tool that measures the knowledge strategies in software organizations in India. The knowledge strategies discussed in this paper are based on the characteristics of organizational learning typology, which are classified as consolidators, transformers and co-inventors. This tool measures the extent to which the software organizations practice the consolidator strategy, transformer strategy, and co-inventor strategy. Data were collected from 39 software companies in India. The tool was tested for psychometric properties such as unidimensionality, validity, and reliability. These properties of the tool are at a very acceptable level in view of the confirmatory fit index (CFI), Bentler Bonett Coefficient, and Cronbach's alpha, which are above the recommended minimum values. Descriptive statistics were tested to quantify the extent to which knowledge strategies were being practiced across the software companies in India. ANOVA was performed to see the role of organization size and age in view of knowledge strategies. Significant differences were observed in knowledge strategies based on the organization's size and age. [ABSTRACT FROM AUTHOR]

The article discusses a new construct known as marketing innovation in the paradigm of the market orientation-performance link in India. The study depicts a substantial connection between market orientation and firm performance with partial support for marketing innovation. The significance for business firms in the emerging markets is that they will do better generally, if they would become more market-oriented.

M&A performance is a multifaceted, compound construct with no overarching factor that captures all different dimensions. This paper examines the concept of acquisition performance and proposes a model that links firm-level factors and transaction parameters with firms' short-term and long-term performance, extending to financial-, market- and innovation measures. Building on past empirical studies on the influence of various factors on M&A performance, a multi-dimensional structural equation model has been developed and it has been tested with a dataset on acquisitions in the Indian technology sector over a period of ten years. The results suggest that: (a) smaller acquirers with higher book value and leveraged firms demonstrate better long-term performance; (b) contrary to established understanding, short-term market returns are not influenced by deal parameters; (c) majority stake purchases show relatively lesser gains—suggesting the possible presence of post-acquisition integration issues and, (d) acquirers with high intangible assets continue to do well on innovation performance post-acquisition. By indicating situations and conditions under which an acquisition would potentially lead to a performance gain for the acquirer, these results provide significant insight to practitioners pursuing M&As for growth opportunities. [ABSTRACT FROM AUTHOR]

Since the seminal work of Archibugi and Michie (1995) on the globalization of innovation, several authors have attempted to understand the complex relationship between innovation and internationalization. However, most tend to focus on industrialized countries, just one mode of globalization of innovation and often one traditional indicator of innovation, such as patents or R&D investment, thus ignoring the complexity and multiple aspects of the phenomenon. This paper explores empirically the linkages between different modes of globalization of innovation and firms' micro-characteristics in two of the fastest growing emerging economies. We analyze three distinct modes of globalization of innovation: the global exploitation of innovation, the global sourcing of technology and global research collaboration. We then use primary data from Chinese and Indian firms belonging to three sectors (automotive components, software and green biotech) to explore the differences in the ways in which the firms located in these two economies globalize their innovatiton activities. [ABSTRACT FROM PUBLISHER]

Purpose: This study aims to examine how foreign and domestic firms react to policy uncertainty in an emerging economy. In addition, the study investigates if older foreign firms better adapt to policy uncertainty than newer entrants. Design/methodology/approach: The study uses pharmaceutical sales data on India's cardiovascular segment for January 2011–May 2016. The authors use fixed fixed-effects panel data regression to measure the market reactions of foreign and domestic firms faced with policy uncertainty. Findings: While domestic and foreign firms react similarly to anticipated policy changes, foreign firms react more adversely to policy uncertainty. Among foreign firms, early entrants respond less adversely than new entrants. Research limitations/implications: Foreign firms are able to cope with anticipated policy changes in similar vein as the domestic firms by way of a priori reading of the host country's regulatory landscape. The foreign firms' response to policy uncertainty is significantly different from domestic firms. The difference between the market response of foreign and domestic firms decreases over time. Practical implications: The authors' findings demonstrate that adaptability is the key for new foreign firms to face policy uncertainty. Foreign firms can respond to policy changes, especially the unanticipated ones by imbibing local practices. Social implications: The authors' findings suggest that enhanced policy uncertainty hurts foreign firms more adversely than domestic firms, and newer foreign firms are more hurt with policy uncertainty than the existing ones. Such uncertainty could also have unintended consequences for consumer welfare. Originality/value: The authors' study uses two natural experiments in the same industry within short periods of time. The comparison offers key insights on the differences in domestic and foreign firm responses to the two types of policy uncertainty. [ABSTRACT FROM AUTHOR]

The financial inclusion mission has gained tremendous relevance in an emerging economy like India. Financial exclusion seems to be more severe in rural and backward locations. In this respect, the current analysis is an attempt to explore the behavior of inclusion/ exclusion across varied population groups. The pooled dataset spanning over the period from 1990 to 2008 for rural and urban regions separately has been employed. A set of control variables have been included to disentangle the role of various demographic and institutional factors. Bank group size, as captured by assets, has a direct influence on the number of operating branches. Ownership effect also plays a key role in determining the number of branches operating. Test of convergence has been carried out to examine if lesser branched regions are catching up with their counterparts with higher branch network. Evidence of conditional convergence has been found. Finally, structural change has also been observed in terms of the number of functioning branches. The result is a testimony to the fact that inclusion policies are actually translating into significant improvement of branch density in India. [ABSTRACT FROM AUTHOR]

Swiss manufacturing companies have learned to their chagrin that customers in emerging markets such as China, India or Eastern Europe do not require or want the same technological level as those in Western Europe or North America. But, compared to the overall exponential growth of markets in China, India or Eastern Europe, the high-end market segment has been growing slowly over the last couple of years. The authors of this paper have worked over the past several years with more than 30 Swiss manufacturing companies to understand why they often do not succeed in low-end markets. [ABSTRACT FROM AUTHOR]

This article examines the empirical determinants of dividend payout policy for 947 sample firms listed on the Bombay Stock Exchange (BSE) in India from 1995 to 2013. The author identifies three distinct trends in the propensity to pay dividends between 1995 and 2013. The regression analysis suggests that most of the decline is due to the dividend payout policies of smaller, less profitable, younger firms and firms with comparatively more investment opportunities, high financial leverage, high business risk, and high dividend distribution tax. The author finds significant positive impact of catering incentives on the propensity to pay dividends, thus supporting catering theory of dividends. [ABSTRACT FROM PUBLISHER]

Drawing on resource-dependence theory, we hypothesized that in an emerging economy characterized by weak underdeveloped institutions, director interlocks would be a conduit of resources external to the firm. Using data from 651 large Indian firms for the years 2006-2012, we found that directors', especially independent directors', social capital and industry-level expertise enhanced firm performance. Our findings contribute by providing evidence of the beneficial role of directors in providing resources through their interlocks, contrary to the basic tenet of corporate governance that independent directors are chosen for their monitoring role to reduce agency costs. [ABSTRACT FROM AUTHOR]

This study examines the relationships among business group affiliation, board quality and audit fees in an emerging market setting. Using data from Indian firms listed on the Bombay Stock Exchange (BSE) over a nine-year period (2004-2012), our results indicate that firms affiliated with a business group pay higher audit fees than those without such affiliations. We also find that group-affiliated firms with higher-quality boards pay relatively higher audit fees compared to other counterparts. Further, our findings suggest that group-affiliated firms pay lower fee premiums when an audit is undertaken by a Big 4 firm or its affiliates, which implies that economies of scale may be a potential competitive advantage held by larger auditors. The results of the study have implications for the management of audit fees by group-affiliated firms through board structure and processes. [ABSTRACT FROM AUTHOR]

We extend the 'institutional voids' perspective on business groups by examining the value-adding potential of two of the characteristic features of business groups: their diverse portfolio and multi-entity organizational form. We maintain that portfolio diversity affords affiliates privileged access to opportunities hidden by incomplete strategic factor markets. We hypothesize that the multi-entity organizational form enables superior sensing and seizing of these growth opportunities by affiliate firms. We further suggest that, in the context of institutional reforms, these characteristics strengthen business group affiliates' ability to capitalize on the expanded set of opportunities made available by the reform program. Empirical analyses on a sample of Indian firms over the period 1994-2010 support our hypotheses. Implications for theory and future directions are discussed. Copyright © 2013 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

Emerging markets of today are represented by companies with international growth ambitions and new opportunities to be exploited. This study explores the characteristics of the Italian Foreign Direct Investment (FDI) in India and aims to fill the gap identified in literature by providing a comprehensive empirical analysis of this issue. The study specifically focuses on the localization drivers of Italian MNCs that internationalized in India. In order to investigate the research questions, a unique database of Italian firms that invested in India was created. The number of Italian companies with subsidiaries in India was found to be low. In terms of geographical distribution, the sample showed prevalence in New Delhi, followed by Mumbai and Bangalore. The main driver for localization choice was found to be the general economic importance of the city, and a majority of the sampled companies chose the place of establishment of their Indian subsidiary mainly based on the location of their clients (prospect and actual). This data was consistent with the idea that 'market seeking' is the primary strategic goal for the companies analyzed. A typical 'multidomestic' approach was adopted by customizing products and services to the local needs and demands. This supports the progressive embeddedness of the subsidiary into the local market. Under this perspective, FDIs could also represent a way to access local knowledge to be combined at a global scale to contribute to the overall performance of the MNC. [ABSTRACT FROM AUTHOR]

We demonstrate a negative relationship between pro-market reforms and the sustainability of superior profits in an emerging economy. The decline in sustainability of superior profits shows that pro-market reforms bring significant threats in addition to the various opportunities such as greater availability of production factors and greater freedom to enter and operate businesses highlighted in the extant literature. Our study thus contributes to a more complete conceptual understanding of the performance consequences of pro-market reforms in emerging economies. We also show that investment in research and development and greater investments in marketing and advertising are firm-level resources that provide a measure of protection against the erosion in sustainability of superior profits associated with pro-market reforms. Copyright © 2011 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

China and India are touted as new entrepreneurship powerhouses. The two countries' different institutional history and characteristics have led to differences in environments related to entrepreneurship. There are some well-founded rationales as well as a number of misinformed and ill-guided viewpoints about the friendliness of the environment to support entrepreneurship in each country as well as the China-India differences concerning entrepreneurial environment. This article contributes to this debate by offering theoretical and empirical evidence regarding the differences in regulative institutions in the two economies. Specifically, we compare the state's regulative, participative, and supportive roles from the standpoint of entrepreneurship in the two countries. [ABSTRACT FROM AUTHOR]

In global business scenario India is emerging as a booming market. On the other hand the traditional Indian manpower is much more attached with family values, ethics and family culture. If no proper care is taken for family then an individual can't work efficiently. For the same the concept of "Family Impact Assessment" is proposed to care for the needs of family of the employee/personnel. [ABSTRACT FROM AUTHOR]