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Working Papers | 2004

Analysis of Public Expenditure on Health Using State Level Data

Bhat Ramesh and Jain Nishant

Increasingly the governments are facing pressures to increase budgetary allocations to social sectors. Recently there has been suggestion to increase the government budget allocations to health sector and increase it to 3 per cent of GDP. Is this feasible goal and in what time-frame? Health being State subject in India and much depends on the ability of the State governments to allocate higher budgetary support to health sector. This inter alia depends on what are current levels of spending, what target spending as per cent of income the States assume to spend on health and given fundamental relationship between income levels and public expenditures, how fast expenditures can respond to rising income levels. We present analysis of public expenditures on health using state level public health expenditure data to provide preliminary analysis on these issues. The findings suggest that at state level governments have target of allocating only about 0.43 per cent of SGDP to health and medical care. This does not include the allocations received under central sponsored programmes such as family welfare. Given this level of spending at current levels and fiscal position of state governments the goal of spending 2 to 3 per cent of GDP on health looks very ambitious task. The analysis also suggests that elasticity of health expenditure when SGDP changes in only 0.68 which suggest that for every one percent increase in state per capita income the per capita public healthcare expenditure has increased by around 0.68 per cent.

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Working Papers | 2004

Classification of Empirical Work on Sales Promotion: A Synthesis for Managerial Decision Making

Vyas Preeta H and Mehta Bijal

Sales Promotion activities have gained strategic focus as markets are getting complex and competitive. Key managerial concerns in this area are budget allocation across elements of promotions as well as trade vis. consumer promotion, how to design individual sales promotion techniques and a calendar in face of competitive promotions, how to manage them and evaluate the short-term and long-term impact of the same. The objective of this paper is to present, through Meta-analysis, an overview of recent contributions appearing in scholastic journals relevant to the field of Sales Promotion, to classify them into different classificatory framework, report key findings, highlight the managerial implications and raise issues. The database used is the EBSCO host available on VSLLAN (Library)- Indian Institute of Management Ahmedabad). The selection procedure consisted of peer-reviewed scholarly contributions for recent five year period. Out of more than 700 articles 64 article were selected which were analyzed for classifying them into • Perspective addressed: Manufacturer, retailer or consumer. • Market [country where the research was undertaken] • Type of promotion activity addressed - coupon, contest, price cut etc. • Management function addressed: planning, implementation, control [evaluation] • It was found that majority of the articles addressed manufacturers perspectives ; almost all studies were done in developed countries ; coupon as a consumer promotion tool was widely researched; and more than half of the articles were addressing planning related issues. Finally attempt has been made to synthesize managerial implications of the studies under broad topic areas for guidelines for managers.

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Working Papers | 2004

Labour Market Deepening in the Indian Information Technology Industry: An Exploratory Analysis

Rakesh Basant and Rani Uma

The Indian Information Technology (IT) sector has seen significant growth in terms of employment and revenue and is expected to provide quality employment to a large number of workers in the coming years. A more widespread participation of workers with different skill/education profiles, gender, regions etc. would facilitate deepening of the labour market and eventually reduce costs. The only data on the IT industry that has been analyzed so far is based on surveys conducted by the National Association of Software and Services Companies (NASSCOM). NASSCOM estimates are essentially based on data collected from its members. While the estimates are considered to be reasonably reliable, one is not sure of the coverage of IT firms by NASSCOM, particularly of small IT firms and hardware firms. Besides, the estimates may not adequately capture employment of IT workers in IT using sectors. It is, therefore, desirable to explore other data sets to analyze issues relating to the IT labour market in India. This paper is an attempt in this direction and hopes to provide a tentative understanding of the processes that have been important for the evolution of the IT labour market in India. It analyses NASSCOM and National Sample Survey (NSS) data to explore the processes that deepen the IT labour market in India. The analysis suggests that deepening is actually taking place but the pace can probably be enhanced. Transition to the off-shore model, growth of the ITES sector, competition and infrastructure led movement of IT activity to smaller cities and hiring of workers with diverse education backgrounds and of women workers has facilitated the deepening processes. These processes will need to be intensified in order to further deepen the market and enhance employment opportunities.

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Working Papers | 2004

Intellectual Property and Innovation: Changing Perspectives in the Indian IT Industry

Rakesh Basant

Indian government has undertaken significant modifications in the IP regime of the country. This will lead to a realignment of business strategies by firms in several sectors. Similarly, with liberalization and globalization, new opportunities for IP creation may emerge for Indian firms. In this context, the paper attempts to document the emerging perspectives vis-à-vis IPRs in the Indian IT industry and explore factors that are driving the change in perspectives. Large IT firms and firms in high-end niche areas are proactively seeking IP based growth strategies. While they typically seek IP protection in Western nations and not so much in India, this has led them to perceive restrictive IP regimes more positively. IP regimes in the West are more relevant for IP creating Indian IT firms today but this may change in the near future as Indian market expands. Significant IP creation by MNC subsidiaries in India is also contributing to this change in perception. Survey data show that an average IT firm in India also perceives IP protection as an important appropriability mechanism, but access to markets and relevant complementary assets continue to be more important for appropriating profits from their economic activity. A positive view of the restrictive IP regimes also gets reflected in the demands of Indian industry associations for changes in the Indian law. Broadly, these changes in perceptions seem to be linked to the evolving global production networks, changing activity profile of Indian IT firms, emerging business opportunities and changes in the competitive scenario. The understanding of Indian IT firms of the complexities of IP regimes remains rudimentary and they will need significant preparation to deal with these IP related challenges.

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Working Papers | 2004

Strategic Human Resource Management: Three-Stage Process and Influencing Organisational Factors

Krishnan Sandeep K and Manjari Singh

A three-stage model for the process of strategic human resource management is developed in this paper. The three stages cover strategy formulation, implementation and evaluation. The inter-linkages in this dynamic model have been explored. The organisational factors that have enabling or deterring influence on the success of each of these three stages have been discussed. The paper highlights the key role played by HR professionals in these three stages.

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Working Papers | 2004

Treating HIV/AIDS patients in India with antiretroviral therapy: a management challenge

Bhat Ramesh, Sunil Kumar Maheshwari, and Saha Somen

India stands at a critical junction of HIV pandemic. Controlling spread of HIV is critical. Ignoring this will lead millions of Indians in grip of this pandemic. Ever since HIV/AIDS was acknowledged as a problem, the strategies to address the issue have focused on prevention, treatment and research. This paper discusses the treatment aspect. With currently available antiretroviral agents, eradication of HIV infection is not likely. The aim of treatment is thus to prolong and improve the quality of life by maintaining maximal suppression of virus replication for as long as possible. Brazil has shown how to implement antiretroviral therapy programme. India has embarked upon an ambitious programme to introduce antiretroviral therapy in six high prevalent states and the national capital. The paper discusses the technical, management and financing challenge in implementing this intervention.

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Working Papers | 2004

SolCafe : A Solar Cooking Facility for Schools and Small Catering Business in Hot Arid Areas

Girja Sharan

A solar cafeteria, termed, SolCafe was designed and commissioned at a residential school of hundred children in Kothara-Kutch. In this paper we present the experience of its first year of operation. Cooking modules of the café consists of two large box type solar cookers. One cooker has an aperture of 0.5 m2 and the other 1m2. Cookers are of front-loading type. Installation permits the cook to operate from indoors without having to go in the sun. One year of experience has shown that the cookers are easy to use. The only maintenance needed was regular cleaning of glass covers. Such facilities can also be useful to small catering business in hot arid areas.

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Working Papers | 2004

Tuberculosis Control in developing countries: A Generalized Community Health Worker Based Model

N. Ravichandran

Tuberculosis is a major health care burden in developing countries. World Health Organization (WHO) has been assisting developing countries through their respective Governments to control this curable disease. The Amsterdam declaration aims to control tuberculosis globally by the year 2005. The TBC project implementation experiences are varied across countries both on cure and detection rates. The government initiatives are complemented by the non government organizations involvement at the operational level. The BRAC model in Bangladesh involves the NGOs in an extensive and cohesive way. This paper documents the BRAC model for TBC in Bangladesh. We introduce the concept of value chain, in the context of TBC. Based on the value chain concept, the logic for the effectiveness of the BRAC model is discussed. An improved version of the Bangladesh delivery model is proposed. We hope the model proposed in this work would draw the attention of policy planners, and help them to control TB in their respective countries.

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Working Papers | 2004

Making Way for Foreign Trade Marks: The New Trade Mark Law in India

Akhileshwar Pathak

Following the requirements of the General Agreement on Trade and Tariff (GATT), India enacted the Trade Marks Act, 1999, replacing the Trade and Merchandise Marks Act of 1958. The new law has come into effect only from September 2003. The Act of 1958, in the context of India's thrust to create an isolated economy to protect and promote Indian industries, discouraged foreign trade marks. The new Act has reversed this and given special protection to foreign trade marks. The paper reviews the changes which have been brought about towards strengthening rights of foreign trade marks. A trade mark could not be registered unless it had goods bearing the mark in the Indian market. Due to import restrictions, the goods of foreign firms could not be in the Indian market and, thus, the marks could not be registered. The new Act has taken away this constraint for 'well known trade mark'. Trade marks which are well known in any part of the world, can be registered even if there are no goods in the Indian market. Further, no Indian mark can be registered if it detracts in any manner from the value of a 'well known trade mark'. A registered trade mark, not used for five years, could be removed from the register. This provision has been diluted in favour of foreign trade marks. Only the Central government, considering interests of domestic industries and prevention of trafficking in trade marks, could permit licensing of foreign trade marks. The new Act has removed these constraints.

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Working Papers | 2004

Time series analysis of private healthcare expenditures GDP: cointegration results with structural breaks

Bhat Ramesh and Jain Nishant

This paper analyses the time-series behaviour of private health expenditure and GDP to understand whether there is long-term equilibrium relationship between these two variables and estimate income elasticity of private health expenditure. The study uses cointegration analysis with structural breaks and estimates these relationships using FM OLS (fully modified ordinary least squares) method. The findings suggest that income elasticity of private health expenditures is 1.95 indicating that for every one per cent increase in per capita income the private health expenditure has gone up by 1.95 per cent. The private health expenditure was 2.4 per cent of GDP in 1960 and this has risen to 5.8 per cent in 2003. In nominal terms it has grown at the rate of 11.3 per cent since 1960 and during 1990's the growth rate is 18 per cent per annum. The study discusses four reasons for this high growth experience. These are: (i) financing mechanisms including provider payment system, (ii) demographic trends and epidemiological transition, (iii) production function of private health services delivery system, and (iv) dwindling financing support to public health system. In developing countries where per se the need for spending on health is high, high levels of private health expenditures pose serious challenge to policy makers. The sheer size of these expenditures once it has risen to high levels can impede control of health expenditures itself. The high private health expenditures are also cause of concern because most of these expenditures are out-of-pocket, insurance mechanisms cover small segment of population, provider payment systems are primarily based on fee-for-services and the professional regulation and accountability systems are weak and non-functioning in many ways. It is not clear whether these expenditures are sustainable as it can have number of undesirable consequences making the health system high cost, unaffordable, and vulnerable to provider payment system.

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