PAPER No. DC-II: MGB: 3.1
INTERNATIONAL TRADE: POLICIES AND STRATEGIES
Learning objective: The paper aims to provide a thorough understanding of the basis for international trade and strategies. The role of the global institutional structure and trade strategies of developing countries and trade partners of India will be studied.
Unit I Lectures: 10
Review of Economic Theory on International Trade: Basis for international trade; gains from trade; distributional issues, policy instruments and their impact, political economy.
Unit II Lectures: 8
Trends in Global Trade and Balance of Payments with special reference to India: Historical roots of today’s international trade, Composition, origin and destination of global exports and imports, Trade in invisibles, Balance of payments: current account and capital account, Capital flows and foreign exchange revenues, External Debt
Unit III Lectures: 12
The Global Institutional Structure: GATT (General Agreement on Trade and Tariffs), WTO (World Trade Organisation), Regional Trade Blocks and Trade Agreements.
Unit IV Lectures: 8
India’s Industrialization Strategy and International Trade: Review of Economic planning strategies and issues: early phase; the 1970s and 1980, Policies since 1991, Exim policy, structure of tariffs and restrictions, currency depreciation and convertibility, Export Promotion Zones
Unit V Lectures: 18
Experience of Select Developing Countries: Analysis of the trade strategy and the policy framework in two select large countries and comparison with India, Impact of trade on growth, agriculture, inequality, poverty, and other developmental indicators Case Studies on Trade Strategies of Emerging Economies- China and ASEAN (Association of South East Asian Nations).
1. Tendulkar and Srinivasan (2006). Reintegrating India with the World Economy. Pearson Education
2. Connor, David E. O’ (2006). Encyclopedia of the Global Economy: A guide for students and researchers. New Delhi: Academic Foundation
1. The Trade Game: Negotiation trends at WTO and concerns of developing countries, 2006. New Delhi : Academic Foundation
2. Krugman, Obstfeld and Melitz (2008): International Economics. (8th ed.). Pearson Education
PAPER No. DC-II: MGB: 4.1
INTERNATIONAL ACCOUNTING AND REPORTING SYSTEM
Learning Objective: – To develop skill and competencies of various practices in the International Accounting and Reporting Systems. A comparative perspective of the accounting standards and practices across the different countries shall be taught.
Unit I Lectures: 12
Global accounting standard: Meaning, needs, benefits of accounting standards, types of accounting standards, Argument for and against Global accounting standards, Concept of Harmonization and Convergence, Obstacles in Harmonization and Convergence, Suggestions for increased convergence and harmonization.
Unit II Lectures: 10
International Accounting Standard Committee (IASC): Objectives, Working, Composition of IASC, Reasons of Failure of IASC, IAS-I (Presentation of Financial Statements), Process of developing International Accounting Standards.
Unit III Lectures: 9
International Accounting Standard Board (IASB): Creation of IASB, Organizational Structure, Standard Setting Procedures, enforcement powers of IASB and Achievements of IASB.
Unit IV Lectures: 10
International Financial Reporting Standards (IFRS): Main feature, Uses and objectives of IFRS, IFRS issued by IASB, Principle based vs. Rule based standards, Fair Value Accounting (FVA), Public sector and IFRS.
Unit V Lectures: 15
A Comparative Perspective of Accounting: Accounting Standards & Practices in Europe, USA, Asia and UK, Reporting & Disclosure Practices across countries, Global Accounting Standards and International Convergence.
1. Frederick, D.S. Choi and G. Mueller (1984): International Accounting. Englewood Cliffs. Prentice Hall
2. Radebaugh, Lee H., Gray, Sidney J. & Black, Ervin L. (2005). International Accounting and Multinational Enterprises (6th ed.). Wiley Publications
1. Miller Paul B.W and Bahnson, Paul R. (2005). Quality Financial Reporting. Tata McGraw-Hill Edition
2. Evans, Thomas G., Taylor, Martin E. and Holzman. Oscar: International Accounting and Reporting. New York: Macmillan Publishing Company
3. Rathore, Shirin. International Accounting. Prentice Hall of India
TRANSNATIONAL AND CROSS CULTURAL MARKETING
Learning Objective: The purpose of this paper is to provide an understanding of the impact the cultural differences have on global marketing. The methods of price decisions in international markets shall also be taught.
Unit I Lectures: 7
Global Marketing, the scope and challenge of international marketing, the Global Manager, importance of Global Markets, development of Global Marketing.
Unit II Lectures: 7
Cultural and social forces, definition of culture, cultural values, language and communication. Cultural differences. impact of social and cultural environment on marketing industrial and consumer products.
Unit III Lectures: 12
Developing a global vision through marketing research. Scope of international marketing research. Problems: Collecting primary data, Use & non-availability of secondary data. Multicultural research-Research on internet. Estimating market demand, problems in analyzing and interpreting research information. Responsibility for conducting marketing research, communicating with decision makers.
Unit IV Lectures: 18
Outsourcing Research, developing a Global Information System, Global Product Strategies, Product Design, Packaging and Labeling, Warranty and Service Policies, New Product Development, Global Strategies for Services & Brands, Marketing Services including Social Marketing.
Unit V Lectures: 12
Pricing decisions: Global Pricing Framework, Pricing Basics, Marginal Cost Pricing and its importance, Transfer Pricing, Counter trade, Systems Pricing, Pricing and Positioning, price quotation – preparation of quotations. Promotion Decisions: Promotions – international advertising – sales promotion in international markets – international advertising – direct mailing – personal selling – exhibition – generic promotions in international marketing
1. Cateora, Philip R. & Graham, John L. International Marketing (13th ed.). Tata Mc Graw Hill.
2. Cherunillam, Francis (2004). International Marketing, (7th ed.). Himalaya Publishing House
1. JJ Shaw & Sak Onkvisit (2008). International Marketing- Analysis and Strategies. Prentice Hall India.
2. Warren J. Keega (2008), Global Marketing Management. Prentice Hall India.
INTERNATIONAL SUPPLY CHAIN MANAGEMENT
Learning Objective: To familiarize the students with the essential elements of the Supply Chain Management. Strategic issues in the International Supply Chain Management and logistics network configuration along with performance measurement and evaluation shall be studied thoroughly.
Unit I Lectures: 12
Introduction to Supply Chain Management – Concepts, Objectives and functions of Supply Chain Management, Issues in Supply Chain Management; Managing networks and relationships; Sourcing Internationally, Subcontracting within an International Dimension, International Distribution Management: Types of Intermediaries, Channel Selection and Management.
Unit II Lectures: 12
Strategic issues in Supply Chain – Strategic Partnership, Logistics Management: Concept, Objective and Scope, Transportation, Warehousing, Inventory Management, Packing & Unitization, Control & Communication, Role of Information Technology in Logistics, Logistics Service Firms and Third Party Logistics, Logistics in Maximizing profitability and cash flow, 3PL (Third Party Logistics), 4PL(Fourth Party Logistics), Reverse Logistics.
Unit III Lectures: 12
Logistics Network Design for Global Operations Global Logistics Network Configuration, Orienting International Facilities: Considerations and Framework, Trade-offs Associated with each Approach, Mapping the different Approaches, Capacity Expansion Issues; Information Management for Global Logistics: Characteristics of Logistics Information and Telecommunication Systems, Capabilities and Limitations.
Unit IV Lectures: 8
Performance Measurement and Evaluation in Global Logistics: Operations and Logistics Control: Key Activities Performance Information, Measuring Performance in Functional Integration, Measuring Performance in Sectoral Integration
Unit V Lectures: 12
Global Supply Chains and their societal, business, and cultural contexts and impacts. Perspectives for business, social science, engineering, and legal environment, Drivers for economic globalization (labor costs, resources, regulation, etc.), Influence on world and national economies, Design of Supply Chains.
1. Rushton, A., Croucher, P. and Peter Baker (2006): Handbook of Logistics and Distribution Management, (3rd Ed.). Kogan Page Pub
2. Christopher Martin (2005): Logistics and Supply Chain Management, Creating Value-adding Networks, (3rd Ed.). Pearson Education
1. Chopra Sunil and Peter Meindl (2009): Supply Chain Management, (4th Ed.). Pearson Education
2. Ballou, R. H. (2004): Business Logistic Management, (5th Ed.). New Delhi: Prentice Hall
3. Bowersox, D. J., David, J & Cooper (2002): Supply Chain Logistics Management. McGraw Hill
4. Alan Harrison, Remko Van Hook (2007): Logistics Management and Strategy-Competing Through the Supply Chain, (3rd Ed.), Pearson Education
MULTINATIONAL BUSINESS FINANCE
Learning Objective: The course has been designed to familiarize the students with International Monetary System and Financial Institutions. Functioning of the Foreign Exchange Markets and Financial Management of a multinational firm will be the essential component of this course.
UNIT I Lectures: 6
Multinational Business Finance – MNCs (Multinational Corporations) and transnational corporations, Difference between domestic and International financial management, Motivations for International finance.
UNIT II Lectures: 8
International Monetary System – The Gold standard, The Bretton Woods system, the flexible exchange, alternative exchange rate system, the European monetary system, Euro and its implications for Indian banking, International Financial Institutions – International Monetary Fund (IMF), Asian Development Bank (ADB), International Bank for Reconstruction and Development (IBRD), Bank for International Settlement (BIS) and Organization for Economic Cooperation and Development (OECD).
UNIT III Lectures: 12
The Foreign Exchange Markets – Functions of the Foreign Exchange Markets, The Foreign Exchange Rates – direct and indirect quotations, spot market and forward market – determination of forward premiums and discounts, bid-ask spread, interest arbitrage – covered interest arbitrage and interest parity theory – forecasting of foreign exchange rates.
UNIT IV Lectures: 22
Financial management of the Multinational Firm – Cost of Capital and Capital Structure of a Multinational Firm – determining capital structure components, Cost of capital for MNCs (Multinational Corporations) and Domestic Firms, Multinational capital budgeting – Problems and issues in foreign investment analysis.
UNIT V Lectures: 8
Payment Systems Payment terms and financing international trade, international flow of funds and portfolio investment in India, FDI (Foreign Direct Investment) vs. FIIs (Foreign Institutional Investors), investment strategies of FIIs in India, FIIs and volatility, impact of FIIs investment on stock markets and public policy. Netting (with numericals), pooling, leading and lagging as international payment settlement. P.S. Case study would be an integral part of the curriculum.
1. Shapiro, Allen C. (1995). Multinational Financial Management, Prentice Hall India Pvt Ltd. New Delhi.
2. Eiteman, David K. Stonehill, Arthur I., and Moffett, Michael H. (2001). Multinational Business Finance (9th ed.). Addison Wesley, New York.
1. Buckley, A. (2004). Multinational Finance (5th ed.). Pearson Education.
2. Vij, Madhu (2010). International Financial Management (3rd ed.). Excel Books, N3.
3. Levi, Maurice(1996), International Finance, McGraw Hill Inc., (4th ed.). New York, New Delhi.
4. Madura, J. (2009). International Financial Management (10th ed.). New Delhi, Cengage Learning.
JOINT VENTURES, MERGERS AND ACQUISITIONS
Learning Objective: This course is designed to provide an understanding of the essential elements of Joint Ventures, Mergers and Acquisitions with the basic methods of valuation, post-merger valuation, methods of payment and financing options.
Unit I Lectures: 5
Joint Ventures: Concept & Meaning of Joint Ventures, Need & Types of Joint Ventures, Structures & Problems faced in Joint Ventures, Joint Ventures and Strategic Alliance
Unit II Lectures: 10
Mergers and Acquisitions: Introduction to mergers, types of mergers, theories of mergers & acquisitions. Demerger, types of demerger, reverse merger, buyback of shares, leverage buy-out strategy, merger strategy – growth, synergy, operating synergy, financial synergy, diversification. Takeover and its types, takeover strategy, takeover bids, legal framework for mergers and acquisitions, leverages and buyouts.
Unit III Lectures: 15
Deal Valuation and Evaluation: Factors affecting valuation basics, methods of valuation, cash flow approaches, economic value added (EVA), sensitivity analysis, valuation under takeover regulation, valuation for slump sale, cost-benefit analysis and swap ratio determination
Unit IV Lectures: 12
Post-Merger Evaluation: Financial Evaluation of Mergers & Acquisitions, Impact on shareholders’ Wealth Case Studies on Cross-border Mergers & Acquisitions: Analysis of Post-Merger Performance.
Unit V Lectures: 14
Methods of payment and financing options in mergers & acquisitions, financing decision, Merger, Acquisition and Competition law 2002, SEBI (Securities & Exchange Board of India) Takeover Code 2011 and criteria for negotiating friendly takeover.
1. Gupta, Manju (2010): Contemporary Issues in Mergers and Acquisitions. Himalaya Publishing
2. Weston, Fred; Chung, Kwang S. & Siu, Jon A.: Takeovers, Restructuring and Corporate Governance, (2nd ed.). Pearson Education
1. Sundarsanam (2006); Creating Value from Mergers and Acquisitions, (1st ed.) Pearson Education
2. Ramanujan. S. (1999); Mergers: The New Dimensions for Corporate Restructuring, McGraw Hill
3. Narayankar, Ravi, (2013): Merger and Acquisitions Corporate Restructuring, Strategy and Practices, (2nd ed.). International Book House Pvt. Ltd.