Q2: The management of a medium-sized manufacturing firm has invited you the HR Manager of the firm to act as an Internal Organization Theory (OT) Specialist to initiate a study of the problems and issues faced by the firm. For this purpose a preliminary meeting is scheduled and you have planned to deliver a presentation on a framework of OT. Elaborate the subject matter will you cover in the presentation? – 2.5 marks (Word limit 150 to 200 words).

Answers 2

Answer:

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Answer:

MACROECONOMIC FOUNDATION AND STRATEGIC MANAGEMENT

1. On the basis of the following information relating to the Indian economy given below, estimate

(a) GNP at market price, (b) Private income, (c) Personal Disposable income.

In crores

i. Net domestic product at factor cost 181429

ii. Income from domestic product accuring to Govt. 12333

iii. Net factor income from abroad (-)1201

iv. Indirect taxes 112876

v. Subsidies 12300

vi. Interest on National debt 1964

vii. Transfers from Govt. Admn. Departments 11981

viii. Other current transfers from rest of the world 11271

ix. Corporation Tax 11251

x. Undistributed corporate profit 1464

xi. Direct tax paid by households 12100

xii. Consumption of fixed capital 15699

2. Everything was going on well until recently, when a Public Interest Litigation from NGO accused the

80,000 outlets throughout India. The business of the company is good with annual turnover exceeding

three billon of rupees. Profits are good and shareholders are often rewarded with lucrative dividends and

bonuses. Four years back the company has diversified into the alcoholic drinks industry and has taken-

over two small breweries located in western India. The company has also diversified into hotels with

purchase of twenty-five hotels of three/four star category across the country. To its advantage the

company has been able to obtain a monopoly for the sale of its soft drinks in its hotels and is beginning to

establish itself as a brand name in the brewery industry. Part of the strategy of the company is to continue

to purchase hotels, particular by targeting National Capital Region of Delhi where tourism is likely to

pick up with the forthcoming Commonwealth Games. The company also intends to construct a five star

hotel in Gurgoan to take tax advantage announced recently by the finance ministers. Everything was

going on well until recently, when a Public Interest Litigation from NGO accused the company of

indulging in surrogate advertising of its brewery products. In fact the company has similar brand names

for its soft drinks and brewery products. This triggered a lot of protests and demonstrations against the

company. Newspapers were flooded with the articles against the company. There were also some

demonstrations and some small incidents of stone pelting in a few of its hotels.

Answer the following questions:

a. Discuss the factors related to SWOT analyses for the company?

b. Explain how Sweet Drinks Ltd is achieving synergy?

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