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Consumer Behavior
1. 1. GSK Horlicks is an iconic health drink for kids. Over the years, the brand has introduced several variants of Horlicks. What is segmentation and targeting? Identify the type of segmentation done for each of the following: (10 Marks)
• Horlicks Chocolate for fussy children who like fun flavors
• Mother’s Horlicks for pregnant women and lactating mothers • Junior Horlicks for newborns and infants • Horlicks Lite for calorie-conscious adults
2. What are the steps in the consumer decision-making journey? Describe your decision-making journey for the following products: (10 Marks)
a. Sugar
b. Men’s aftershave lotion
c. Smartphone
3. a. Explain the different adopter categories in the Innovation adoption process, taking the
example of any innovative product of your choice. (5 Marks)
3. b. What are membership groups and symbolic groups? Discuss 1 membership group and 1 symbolic group from your life. (5 Marks)

International Business
1. In the US-China Trade war, what are the trade control measures taken by both the countries. How are the US & Chinese companies getting affected? (10 Marks)
2. Discuss the effects of regional integration in terms of trade creation and trade diversion. Prepare a list of Regional Trade Agreements of India (10 Marks)
3. Read the passage and answer the questions mentioned below the passage.
Coronavirus has put a spotlight on the economic decoupling of China and some developed countries. With factories shuttered and consumption stalled, multinational companies have been forced to shift production elsewhere. Apple has warned investors that its revenues will take a hit as a result of the outbreak. A gradual decoupling of global economies has been under way for a few years. The South Korean electronics group Samsung, for example, has been closing Chinese plants and opening others in Vietnam. Mexico has benefited from some US corporations moving their supply chains closer to home. But decoupling will undoubtedly speed up as Beijing’s opacity in handling the coronavirus epidemic highlights the risks of doing business in China. There are marked similarities between the virus and decoupling itself. There is what you see on the surface (masks and panic or supply chain shifts and profit warnings) and then there is what you can’t know: how many victims the outbreak will claim or what the world will look like economically and politically in five to 10 years, as globalization dissolves and divides deepen. Still, it is the job of a columnist to go out on a limb, so let me make a few predictions about what may lurk around the corner if the decoupling continues. An increased risk of violence in Taiwan, the inability of Europe to defend its own liberal democratic values, and a world in which smart devices can no longer speak to each other across borders are distinct possibilities. And all of these things could fundamentally reshape the global economy and geopolitics. The most pressing issue in the short term is Taiwan, whose firms make most of the world’s semiconductors. The majority are produced by Taiwan Semiconductor Manufacturing Company, a contract chipmaker that supplies US companies, including Apple, and a number of Chinese firms. Semiconductors are a key
area in which the Chinese are not yet technologically self-sufficient. In hardware (from
routers to switches to handsets), areas of software and high-tech services, the Chinese
have already largely decoupled from the US. Consider the success of homegrown firms
such as the smartphone maker Xiaomi. Or the telecoms group Huawei’s efforts to build
bespoke Chinese operating systems. Or the fact that many of the most innovative new
mobile apps are developed in China.
But semiconductors require huge amounts of capital investment and research effort. It
could be a decade before China can fully develop its own industry. In the meantime, it
will be dependent on Taiwan, which not only supplies US companies, but where support
for democracy is growing. This begs the question of whether, or perhaps when, Taiwan’s
semiconductor industry might become a political hot potato, as both China and the US
try to build their own independent high-tech sectors.
It is hard to imagine that Taiwan will be able to operate in both orbits indefinitely. As
one telecoms analyst put it to me recently, “What’s happened in Hong Kong is fascinating
and disturbing in part because it raises the question, what happens if the same thing occurs
in Taiwan?” Imagine a world in which cross-border banking, online shopping and data
sharing becomes bifurcated between two systems. That is a reality we may be heading
towards. Apple and other tech companies would certainly take a valuation hit in such a
future. But so would many others in industries beyond technology. As with coronavirus,
the effects of decoupling will be both unpredictable and exponential.
(accessed from https://www.ft.com/ on 27th February,2020)
a. Do you think that globalization is under threat? Are transnational firms going to become
extinct? Give your comments with reference to the passage. (5 Marks)
b. With your knowledge of International Business, explain how different political systems
across nations may create risks for the conduct of business. (5 Marks)

Organisational Theory, Structure and Design
1. Surya Enterprises is in the business of setting up Solar Power plants, which converts energy from the sun into electricity using Solar Panels. This is a young company that has been in existence for 4 years and has a seen rapid growth from being a 25 people start-up to a 1000 people strong company. The company’s founders have laid a special emphasis on sustainable and ethical business practices, (including abiding by labour laws) and due to this, as well as being in green energy space, the company is well regarded by everyone in the industry. However, this sector is highly cost sensitive and the company faces stiff competition from other local vendors who operate on lesser margins by adopting less ethical practices. Another factor affecting margins, is that 70% of the cost of the project is the cost of the Solar Panel itself. These panels are imported from China and thus the profitability is closely linked to the cost at which the panels are procured. With the Indian government coming down heavily against dumping by Chinese companies, as well as a surge in demand for panels in China, the cost of solar panels has increased. The government is encouraging the spread of solar energy based plants through special schemes to encourage the generation of clean energy. However, new plants that are coming up, the system of allocation is through open bidding and goes to the lowest tariff offered, and the tariff has been going down steeply. This has further impacted the profitability of these ventures. On the positive side, technology is changing rapidly and discovery of cheaper and better materials is making the panels smaller and cheaper. Given the above scenario, the company is now planning to evaluate whether the business is sustainable or not. Surya enterprises has hired you to do an organisational analysis using the PESTLE method
Q. Define the elements of PESTLE and using the information given in the case above, wherever possible list out the various aspects of the PESTLE relevant to the case. (10 Marks)
2. Pradeep Foods was started by Pradeep Panigrahi, to provide wholesome and reasonably
priced food options to young professionals working in business parks. The primary goal
of Pradeep Foods was to deliver piping hot food, prepared with minimal quantities of
oil and spices, using only fresh seasonal produce. The company started its operations in
Mumbai and very quickly moved to all the major cities in India. Initially, when each
branch was being set up, Pradeep would stay there for 2-3 months to start the office and
train the teams. He would personally supervise the menu, and based on customer
feedback tweak the menu to satisfy his customers. The food services were well
appreciated and their customer base grew at an exponential rate. Pradeep bumped into
you in a conference and shared his concern that his organisation is becoming too big to
manage. He is has heard of a functional structure and a divisional style structure and
asks you to recommend which structure is better in his case.
Q. Detail out what a divisional structure and functional structure are, listing out benefits
and disadvantages of each as per the case given above. (10 Marks)
3. Kapoor & Co is a family run business, which has been in existence for many years. The
MD, Mr. Kapoor, knew each and every employee in his company and ran the company
like his extended family. He was personally involved in every performance and
increment discussion and would take the final decision for each employee. The
employees were quite happy in this set-up. After a few decades, Mr. Kapoor decided to
retire from the company and put in place a professional management team to run the
company. The new management team has been hired from other companies and has
been given a free hand to run the company. The first step they took was to put in place a
structured performance appraisal process, to assess and evaluate the employees. The
employees became very agitated at the intr

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