We consider a periodic review model over a finite horizon for a perishable product with fixed lifetime equal to two review periods. The excess demand in a period is backlogged. The optimal replenishment and demand management (using price) decisions for such a product depend on the relative order of consumption of fresh and old units. We obtain insights on the structure of these decisions when the order of consumption is first-in, first-out and last-in, first-out. For the FIFO system, we also obtain bounds on both the optimal replenishment quantity as well as expected demand. We compare the FIFO system to two widely analyzed inventory systems that correspond to nonperishable and one-period lifetime products to understand if demand management would modify our understanding of the relationship among the three systems. In a counterintuitive result, we find that it is more likely that bigger orders are placed in the FIFO system than for a nonperishable product when demand is managed.
AWARDS AND HONORS
A research paper by Dr. Chirantan Chatterjee, Assistant Professor, Corporate Strategy & Policy area, IIMB, has been cited by the US National Science Foundation's Science of Science Policy's home page.
The paper, titled 'Starving (or Fattening) the Golden Goose: Generic Entry and the Incentives for Early-Stage Pharmaceutical Innovation', discusses the impact of generic penetration in the US pharmaceutical market and the effect it had on the rate and direction of early stage pharmaceutical innovation. Click here for the abstract (http://www.scienceofsciencepolicy.net/node/9484)
The Science of Science Policy (SoSP) is an emerging field of interdisciplinary research that seeks to provide a scientifically rigorous, quantitative basis for science policy. The website is intended to serve as a resource for the emerging community of practice engaged in developing and applying the Science of Science Policy. It offers a central location for news, information, and the communication of research findings.
The National Science Foundation's SciSIP program is one of the first global initiatives to enhance social sciences and economics/management research around innovation, science, entrepreneurship and intellectual property.
The case describes a situation faced by the Starter Motor and Generator (SMG) Division of Bosch Limited in India as a consequence of the global restructuring of the Bosch Group in 2007. The SMG division had not earned profits for 22 years since its inception, but was accommodated as part of the India operations of Bosch Limited as other divisions cross-subsidized the division. However, after the restructuring, the division became part of the global product division which had no incentives to tolerate the continuation of a loss-making division. The local management was forced to make strategic and operational changes to make the division viable to avoid the harsh decision of closing down the operations of the business. The case briefly describes the operational changes that were implemented to improve profitability, and then focuses on the strategic decision related to choice of a new business model which had consequences for the organizational structure that was adopted.
INITIATIVES AND PROJECTS
The goal of this project is to characterize in detail the nature and architecture of Algorithmic Trading (AT) in the Indian stock markets. AT involves the use of computer programs to buy and sell securities based on a pre-determined set of rules. Such algorithms have gained widespread use among institutional investors in major markets around the world; for instance, AT accounts for almost three-fourths of all trading activity on US-based exchanges. Even in an emerging market such as India, AT accounts for more than half of all trading in equity derivatives, and a fifth of all trading in the equity cash market.
*Emerging economy -examples of how the Indian context is different from a developed marketing context-in terms of demographics and lifestyles when approached from a consumer behavior viewpoint.
*Cultural orientation-India has a strong anchor with regard to cultural beliefs and practices that are important to marketing and it is important for a student to know how consumer behavior is affected by such diverse cultures in the country. (diverse examples will be given)
*Digital media and consumer behavior- the new perspective would cover some aspects of how the different dimensions of digital media will combine with consumer behavior in the Indian context.
*Women and brands-the traditional perspectives on women in India is undergoing a radical change. At the same time there are certain precautions that marketers need to take while projecting women as a part of brand proposition-how can consumer behavior and branding be useful to the communication of brands that are associated with women?
*Technology-Consumer behavior interface across chapters. A new chapter on social media.
*Category development -with brand penetration being quite low in developing economies (as compared to developed economies) how can category development and brand development be understood through consumer behavior is an area of importance.
*Historical brands : the edition would have brands that have been a part of the Indian context for decades and examples of such brands would be used across chapters . This would enhance the connect of the content with the students.
Audit committees have received considerable attention globally in recent years. We examine the effects of the Satyam failure on changes in the composition and functioning of Indian audit committees. A corporate collapse that shook India's markets and regulators, and widely noted of as "India's Enron", should have led to major improvements in the functioning of audit committees of Indian companies. Our empirical results show that the Satyam failure had a limited effect on Indian audit committees.