We study bidding by anchor investors in a two-stage initial public offering (IPO) process and document a negative, causal relation between allocation to anchor investors and underpricing. We find that anchor investors are likely to invest in hard-to-place offerings characterized by valuation uncertainty. We also document a positive relation between allocation to reputed anchor investors and returns up to lock-up expiration. Our evidence provides support for information revelation and targeting specific investors’ theories of book building. Anchor-backed IPOs earn superior returns mainly due to monitoring. Who bids in an IPO seems to matter just as particular types of bids do. © 2018 Financial Management Association International

Industrial Product-Service Systems (IPS2) can provide insights to enhance the environmental sustainability and lower environmental impact. However, its successful realisation for preventing the production of waste, while increasing efficiencies in the uses of energy and human capital remains a highly convoluted problem. This research article aims to address this issue by presenting an innovative uncertainty-based framework that can be used to assist in achieving increased sustainability within the context of IPS2. The developed framework explains the drivers for decision-making and cost to enable sustainability improvements in transforming to industrial services. This is based on academic literature, and multiple case studies of seven industrial companies with over 30 h of semi-structured interviews. The validation of the framework through two case studies demonstrates that uncertainty management can enable resource efficiency and offer sustainable transformation to service provision. © 2018 The Authors

In this paper, we explore a popular flexible work arrangement (FWA), home-based telework, in the Indian IT industry. We show how IT managers used the dominant meanings of telework to portray telework as an employee benefit that outweighed the attendant cost—intensified work. While using their discretion to grant telework, the managers drew on this portrayal to orchestrate a negotiated exchange with their subordinates. Consequently, the employees consented to accomplish the intensified work at home in exchange of telework despite their opposition to the intensified work in the office. Thus, whereas the extant studies consider work intensification as an unanticipated outcome of using FWAs, we show how firms may use FWAs strategically to get office-based intensified work accomplished at home. While the dominant argument is that employees reciprocate the opportunity to telework with intensified work, we show a discursively orchestrated negotiation that favors management. A corrective policy measure is to frame telework as an employee right. © 2017, Springer Science+Business Media Dordrecht.

Although the behavioral theory of the firm posits that performance shortfalls trigger problemistic search, the actual performance consequences of problemistic search remain an open question. We argue that certain cognitive, affective, and behavioral mechanisms triggered by performance shortfalls make managers more aware, attentive, motivated, and disciplined, resulting in adaptation, learning, and enhanced firm value. Furthermore, differences in the extent to which managers feel pressured to adapt, and have the ability to adapt, can shape managerial awareness, motivation, and capability, and hence firm value. Our empirical analysis, using data for a sample of US manufacturing firms (1994–2013), confirms that problemistic search enhances firm value, and this association is strengthened when firms face greater pressure to adapt or have a greater ability to adapt. © 2019 Elsevier Inc.

Natural disasters like cyclones are a common phenomenon in India, especially in coastal regions. During disaster, victims of a village/ locality normally take shelters in groups in some nearby safe areas (for example, Multi Purpose Cyclone Shelters). Despite of having access to physical infrastructure with basic facilities, disaster victims at cyclone shelters often find it difficult to communicate their exact situational information (like, resource needs and damage information) directly to the local/central authorities. Due to lack of coordination among relief workers and the remote central office, conflicting demands are often generated, causing mismanagement and delay in relief operation. This paper proposes innovative usage of social technology to build resilient community, a mandatory prerequisite to enhance disaster preparedness and coping up mechanisms among collectives inhabited in vulnerable areas. This paper presents an architecture of a Knowledge Informatics Hubs using social technologies at local multipurpose cyclone shelters (MPCS) in coastal areas that will empower the local community members to interact and collaborate with each other, establish communication with various supporting agencies during disaster, establish links with experts and participate in local governance. The aim of creating such a hub would be to create digitally empowered resilient communities who are not only prepared to prevent or minimize the risk of damage to life, property, and the environment due to disaster, but also have the ability to quickly reinstate their normal life and livelihood after a crisis, reopen businesses, and restore other essential services needed for the full economic recovery. © 2019 Association for Computing Machinery.

A randomization-based theory of causal inference from strip-plot designs is developed. For any treatment contrast, we propose an unbiased estimator, work out its sampling variance, and obtain a conservative variance estimator which is shown to enjoy a minimaxity property. © 2019 Elsevier B.V.

In this paper we demonstrate that options contract coordinates single supplier - multiple buyer supply chain network and can eliminate channel conflict stemming from simultaneous price and inventory competition. We show that a pure strategy unique Nash equilibrium exists for buyers’ game and the supplier is able to coordinate the entire supply chain. Our analysis further indicates that options contract provides the supplier with better flexibility in terms of profit allocation compared to buyback contract. We identify a key limitation of this contract: it can coordinate a supply chain only with a limited number of buyers. © 2019 Elsevier Ltd

This article studies the competitive dynamics between an incumbent and a late entrant in a market governed by network effects. Classifying markets based on decision criterion used by majority of consumers in a market, an analytical model for the likelihood of incumbent displacement in these markets is developed and corroborated using simulations. Using product quality offered and product price charged by the entrant as managerial levers, the impact of managerial decision-making on the expected market share of the entrant is discussed. Efficacy of seeding and delayed entry by the entrant in an attempt to perfect its product is also examined. © The Author(s) 2019.

Social media platforms, owing to its great wealth of information, facilitates one’s opportunities to explore hidden patterns or unknown correlations. It also finds its credibility in understanding people’s expressions from what they are discussing on online platforms. As one showcase, in this paper, we summarize the dataset of Twitter messages related to recent demonetization of all Rs. 500 and Rs. 1000 notes in India and explore insights from Twitter’s data. Our proposed system automatically extracts the popular latent topics in conversations regarding demonetization discussed in Twitter via the Latent Dirichlet Allocation (LDA)-based topic model and also identifies the correlated topics across different categories. Additionally, it also discovers people’s opinions expressed through their tweets related to the event under consideration via the emotion analyzer. The system also employs an intuitive and informative visualization to show the uncovered insight. Furthermore, we use an evaluation measure, Normalized Mutual Information (NMI), to select the best LDA models. The obtained LDA results show that the tool can be effectively used to extract discussion topics and summarize them for further manual analysis. © Springer Nature Singapore Pte Ltd. 2019.

Social media platforms, owing to its great wealth of information, facilitates one's opportunities to explore hidden patterns or unknown correlations. It also finds its credibility in understanding people's expressions from what they are discussing on online platforms. As one showcase, in this paper, we summarize the dataset of Twitter messages related to recent demonetization of all Rs. 500 and Rs. 1000 notes in India and explore insights from Twitter's data. Our proposed system automatically extracts the popular latent topics in conversations regarding demonetization discussed in Twitter via the Latent Dirichlet Allocation (LDA)-based topic model and also identifies the correlated topics across different categories. Additionally, it also discovers people's opinions expressed through their tweets related to the event under consideration via the emotion analyzer. The system also employs an intuitive and informative visualization to show the uncovered insight. Furthermore, we use an evaluation measure, Normalized Mutual Information (NMI), to select the best LDA models. The obtained LDA results show that the tool can be effectively used to extract discussion topics and summarize them for further manual analysis.

Using IPO and SEO data from the Indian capital market, we examine whether group-affiliated firms are able to time their equity issuance relative to stand-alone firms. Group-affiliated firms have access to internal capital markets, which, we argue should allow these firms to raise external capital at an opportune time. Using both direct and indirect measures of market timing, the main finding of our paper is that there are significant difference in how group-affiliated and stand-alone firms raise capital through IPOs and SEOs. We find that stand-alone firms raise more capital and time their IPO offerings whereas group-affiliated firms raise more capital and time their SEO offerings. Consistent with the notion of market timing, we find that the long run underperformance is pronounced for stand-alone IPO and group-affiliated SEO offerings. © 2019 Elsevier B.V.

In this research we enquire if adoption of Twitter by manufacturing firms creates any value for the firm. We conduct two studies to examine the relationship between Twitter related activities of manufacturing firms and the market reaction towards these firms. We collect a novel multi-period dataset and analyse the overall impact of adoption of Twitter on Tobin's Q by employing a propensity score matching and difference-in-difference research design. Our findings suggest that adoption of Twitter increases the value of the firm post adoption. We also conduct additional robustness check such as use of Industry Week data as a proxy of firm value and find our results to be consistent. We adopt a text mining-based approach and examine the communication environment of the manufacturing firms. We use the Latent Dirichlet Allocation (LDA) algorithm for short texts and identify six broad topics among tweets posted by firms. Our panel regression based analysis suggests that there is positive association between divulging product related information and Tobin's Q. Our research showcases the strong impact of use of Twitter and contributes to the nascent literature on firm generated content. It is likely to encourage managers of manufacturing firms to start actively using Twitter for sharing product related information on social media. © 2019 Elsevier B.V.

This article explores the emergence of small-scale iron foundries in the Howrah district of India. Based on the empirical findings the article contributes to the debate on indigenous entrepreneurship in colonial India. It shows that indigenous entrepreneurs were critical in the emergence of small-scale iron foundries in Howrah. Thus, it refutes the cultural constraint argument that Indians did not participate significantly in the industrial development during the colonial period. The slow growth of the foundry industry during the early half of the period of this study shows that it was colonial constraints that hindered the industrial development of colonial India. The article further shows that small-scale industries in colonial India emerged in relationship to the large-scale industries. At a more general level, the article points to important dynamics of industry emergence such as backward linkages, spin-off, and inter-firm linkages. The article further supports the classical argument regarding protection to emerging industries. © 2019, © 2019 Informa UK Limited, trading as Taylor & Francis Group.

Purpose: The purpose of this paper is to develop a nuanced framework for evaluating a channel partner’s performance in distribution channel relationships. Given a channel partner’s task environment characteristics (high/low munificence, dynamism and complexity), the study examines which performance metrics (output, activity or capability) are most relevant for evaluating its performance levels effectively. Design/methodology/approach: The study adopts self-administered cross-sectional survey-based research design. Matched data were collected from 252 channel partners – manager relationship dyads. The latent change score (LCS) model within SEM framework provides mean paired-differences of the relevance ratings for each metrics. This was used to assess the empirical validity of the hypothesized relationships. Findings: The study demonstrates the importance of calibrating performance evaluation metrics to a channel partner’s task environment state, made possible by its holistic approach to performance evaluation. Based on an extensive analysis, it shows that no single metric is relevant within all environmental states; rather, it could be dysfunctional, a result that differs from vast majority of the literature. Research limitations/implications: Investigates individual linkages between task environment dimensions and performance metrics to provide a fuller understanding of these relationships. Also provides a theoretical framework to support further research on the topic. Practical implications: The study provides managerial guidelines (and extensive graphical analysis) for nuanced and dynamic evaluation of channel partners’ performance that can enable firms to identify and promote their most valuable channel partners and prevent the deterioration of others. Originality/value: First one to develop and empirically validate a nuanced framework for evaluating performance of exchange partners that operate under diverse task environment states. © 2019, Emerald Publishing Limited.

[No abstract available]

In the dominant policy discourses, the informal sector is often treated as composed of millions of entrepreneurs who are stuck at small scales of business with low levels of productivity and incomes because of market imperfections, institutional rigidities, or regulatory bias. Technological inclusion is often considered a solution to the problem of institutional exclusion that the informal business owners face. Such policies are often based on the assumption that informal business owners behave like entrepreneurs. However, there is also an alternative view that informal business owners are forced to run businesses on their own account because they cannot find decent jobs in the formal or organized modern sector. Their skills and attitudes towards risk are very different from what we associate with entrepreneurs. Technology solutions in general—and information and communication technology (ICT) solutions in particular—are more likely to be effective in their developmental objectives, if a more nuanced and disaggregated view of the informal economy is adopted. © 2019 John Wiley & Sons Ltd

During the first decade of India’s TRIPS compliance (2005–2015), the country witnessed numerous patent-related disputes, mostly from the pharmaceutical sector on various issues pertaining to patent protection, enforcement of patent rights and compulsory licensing of granted patents. Even the non-pharmaceutical sector saw an increase in the number of various patent disputes. India, while enacting its three amendments, had tried to leverage the flexibility provided by the TRIPS Agreement to its member states, and to a great extent these amendments have resulted in an increase in patent-related disputes. This paper focuses on the patent disputes which have come up in the last ten years in order to analyse the approach of the Indian Patent Office and other quasi-judicial bodies such as the Intellectual Property Appellate Board and the higher judiciary. © 2019, Max Planck Institute for Innovation and Competition, Munich.

External commercial borrowing (ECB) has assumed growing prominence in the Indian economy. This paper analyzes the trends and determinants of ECB flows to India using monthly data for the period 2004M1 to 2015M12. Employing the Johansen cointegration and error correction techniques, our analysis suggests that both domestic factors and global economic conditions have influenced India's ECB inflows. Regulatory changes in the capital account were found to have the greatest effect on ECB flows among variables considered. While the long-term trend has been toward greater openness, the regulatory authorities have also intervened with an eye to macroeconomic and exchange rate stabilization resulting in sometimes unwitting changes in the composition of capital flows. Other factors found to be significant are the rupee to US dollar exchange rate, the economic growth differential between India and the OECD, the interest rate differential between the domestic lending rate and LIBOR, international credit conditions, and India's sovereign credit risk rating. Structural break analysis suggests that the global financial crisis of 2008 reduced ECB inflows significantly. Given the impact of changing capital account regulation on the volatility of ECB flows, we recommend simplifying and consolidating India's regulatory framework without compromising the macro-prudential principles of capital account management. © 2019 Elsevier Inc.

In this paper, we examine a supply chain consisting of a manufacturer and retailer where the manufacturer undertakes greening efforts in terms of pack-size reduction and transportation cost reduction. The retailer decides on shelf-space allocation for the product. Both the players benefit from the greening efforts of the manufacturer. In such a setting, we examine strategic decisions of the players and compare and contrast the performance of the decentralised supply chain with the centralised supply chain. We also examine the effect of collaborative mechanisms by modelling two contracts in which the retailer offers a transportation cost reduction effort based contract and a two-part tariff contract. We find that the decentralised supply chain leads to lower greening efforts and shelf-space allocation decisions. We also find that the contracts improve pack-size reduction effort, transportation cost reduction effort and shelf-space allocation, while also improving the profitability of individual players. The findings demonstrate a scope for supply chain collaboration between manufacturer–retailer pairs in this setting. The paper uniquely combines three critical elements in supply chains, namely, product design, transportation and retailing decisions, and aims to provide insights into the decision making of players considering environmental waste and pollution. The paper also reflects consumer behavior and trade-offs that the supply chain players face. © 2019, © 2019 Informa UK Limited, trading as Taylor & Francis Group.

The study forecast intraday portfolio VaR and CVaR using high frequency data of three pairs of stock price indices taken from three different markets. For each pair we specify both the marginal models for the individual return series and a joint model for the dependence between the paired series. We have used CGARCH-EVT-Copula model, and compared its forecasting performance with three other competing models. Backtesting evidence shows that the CGARCH-EVT-Copula type model performs relatively better than other models. Once the best performing model is identified for each pair, we develop an optimal portfolio selection model for each market, separately. © 2018 International Institute of Forecasters