DIGITAL TRANSFORMATION IN

EMERGING BUSINESS
ENVIRONMENT
DIGITAL TRANSFORMATION IN
EMERGING BUSINESS
ENVIRONMENT

EDITORS

Sourav Kumar Das

Dr. Soumen Chatterjee
Dr. Nilanjan Ray

INDIA
DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT
by: Sourav Kumar Das, Dr. Soumen Chatterjee, Dr. Nilanjan Ray
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ISBN: 978-81-19070-60-2
ISBN-10: 81-19070-60-7
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DOI: 10.25215/8119070607
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 Kolkata Bidhannagar
Society for Academic Advancement
A Registered Society under the West Bengal Societies Registration Act of 1961.
Registration No. S0025851, Estd. - 2022. West Bengal, INDIA. Website: kbsaa.org

June 05, 2023

Foreword

In today's fast-paced, technologically advanced world, digital

transformation has become an integral part of every forward-thinking
business strategy. Digital transformation is no longer a luxury, but an
absolute necessity. To stay competitive, businesses of all sizes must
adapt and evolve with the changing technological landscape.

The National Level Peer Reviewed Edited Book titled ‘Digital

Transformation in Emerging Business Environment’ is a wonderful
treatise which concentrates on the efficiency of improved
infrastructure and its impact on the socio-economic growth and
addresses diverse theme of great importance and relevance to the
business, economy and society. This book contains research papers
and scholarly articles of the eminent academicians, scholars and
researchers in the diverse fields of Business, Finance, Marketing,
Management etc. in a highly organised and lucid manner.

I would like to extend my heartiest congratulations to all the

Esteemed Paper Contributors, Editorial (Advisory and Associate)
Board Members and the Publication House for bringing out this
publication and I sincerely believe this National Level Peer Reviewed
Edited Book will be of immense interest and value to not only the
researchers, professionals and academicians of the business world, but
also be equally useful to policy makers, stakeholders and different
cross sections of the society.

(PEMA LAMA)
Associate Professor
Dept. of Commerce, University of Calcutta, INDIA
&
Hon’ble Secretary
Kolkata Bidhannagar Society for Academic Advancement
West Bengal, INDIA
 PREFACE

Organizations are immersed in permanent change processes, and

those that make the right decisions will achieve better results in the
long-term. Are there any methods or tools that facilitate the decision-
making process under uncertainty? Since foresight and strategy are
already defined, an attempt to anticipate the future is the development
of an ambitious long-term vision and the commitment to achieve it,
choosing particular markets as the focus of the company's resources.
Meanwhile, a source of advantage is the understanding of the market
that allows us to identify how to better compete by leveraging the
forces of the company to achieve the maximum effect on customers
better than the competition. In all this, the role of human capacity is
fundamental, and it is essential to generate the necessary conditions so
that their stay in the organizations is healthy and happy.
Digital Transformation in Emerging Business Environment,
this Edited Volume has focused on the efficiency of good
infrastructure and its impact on socio-economic growth and
development in general and contemporary aspects of emerging
business world in particular for maximization in today's challenging
and competitive economy. This book is an essential research work for
policy makers, government workers and NGO employees, as well as
academicians and researchers in the fields of business, finance,
marketing, management, accounting, MIS, public administration,
economics, and law.

Editors
 EDITORIAL BOARD

EDITORS

Mr. Sourav Kumar Das Dr. Soumen Chatterjee

Assistant Professor, Department of Principal,
Management Studies, Institute of Leadership,
Institute of Leadership, Entrepreneurship & Development
Entrepreneurship & Development (iLEAD), Kolkata
(iLEAD), Kolkata

Dr. Nilanjan Ray

Associate Professor and Head,
Department of Management Studies &
Director, IQAC
Institute of Leadership,
Entrepreneurship & Development
(iLEAD), Kolkata
 ASSOCIATE EDITORS

Dr. Mainak Chakraborty Dr. Arindam Ghosh

Associate Professor, Department of Associate Professor, Department of
Management, Adamas University Management, Adamas University

Mr. Gourab Das

Assistant Professor, Department of
Commerce, Vidyanagar College
Advisory Editorial Board
ADVISORY EDITORIAL BOARD

Professor (Dr.) Kartick Chandra Paul Prof. (Dr.) Naveen Das

Formerly of The Departments of Commerce Pro Vice-Chancellor, Training And Placement
and The Business Administration, Vidyasagar and Dean School of Business and Economics,
University Adamas University
 Dr. Dillip Kumar Das Dr. Samyabrata Das
Associate Professor and Head, Associate Professor of Commerce
Department of Tourism Management, New Alipore College, University of Calcutta
The University of Burdwan

Dr. Sumanta Dutta Dr. Sudin Bag

Assistant Professor, Postgraduate and Assistant Professor, Department of
Research, Department of Commerce Business Administration,
(M.Com.), St. Xavier’s College Vidyasagar University
(Autonomous), Kolkata
 CONTENTS

SR.NO. CHAPTER AND AUTHOR NAME PAGE NO.

1 MOBILE JOURNALISM: TRANSFORMING NEWS 1
REPORTING IN THE DIGITAL ERA
Ms. Aishwarya Chatterjee, Ms. Sinjini Ghosh

2 RISE OF NEOREALIST ADVERTISEMENTS 14

AMIDST COVID-19: A STUDY FROM INDIAN
PERSPECTIVE
Ankan Roy, Aradhana Das

3 BLOCKCHAIN MANAGEMENT BENEFITS THE 24

ECONOMY AND SUSTAINABLE DEVELOPMENT
INFRASTRUCTURE VIA SMART CONTRACTS
Dipsweta Paul, Arnapratim Sarkar

4 IMPACT OF ECOTOURISM ON 34
SUSTAINABILITY AND ECONOMIC
EMPOWERMENT: A CONCEPTUAL MODEL FOR
THE STATE OF MIZORAM
Dr. Arindam Ghosh, Dr. Mainak Chakraborty,
Lalremruata Hrahsel

5 SOCIAL IMPACT INVESTMENT AND 45

PHARMACEUTICAL INNOVATIONS: THE ROLE
OF HEALTH CARE IN BRIDGING THE ENDS
Dr. Arundhati Banerjee, CA. Bedanta
Bhattacharya

6 DIGITAL TRANSFORMATION IN INDIA'S 56

PRIMARY SECTOR: UNLEASHING GROWTH,
PRODUCTIVITY, AND EQUITABLE
DEVELOPMENT
Dr. Ishita Datta Ray
SR.NO. CHAPTER AND AUTHOR NAME PAGE NO.
7 A STUDY ON THE EXPECTATION GAP 67
BETWEEN INSTITUTIONAL COMPETENCIES
AND INDUSTRIAL REQUIREMENTS FOR
MANAGEMENT STUDENTS IN KOLKATA
Aniruddha Kundu, Dr. Priyanka Jaiswal

8 A STUDY OF DIGITAL ECOSYSTEM FOR 74

BUSINESS IN DIGITAL ERA
Dr. Priyanka Jaiswal, Urmimala Dey

9 CHALLENGES OF BEING INDEPENDENT AND 83

SUSTAINABLE GROWTH OF WOMEN: THE
ROLE OF WOMEN IN THE RISE OF ECONOMY
IN INDIA
Dr Sudin Bag, Mrs Payel Aich, Dr. Nilanjan
Ray

10 NEW AGE BANKING: A CASE STUDY OF 101

PUBLIC AND PRIVATE BANKS IN INDIA
Khushboo Jalan, Dr Ruchi Sen

11 A STUDY ON FACTORS THAT AFFECT THE 112

FINANCIAL EFFICIENCY OF LIFE INSURANCE
INDUSTRY
Iffat Jahan Qaiser

12 GOOD GOVERNANCE STRUCTURE: A STUDY 124

ON INITIATIVES UNDERTAKEN AND
CHALLENGES ADDRESSED IN INDIA
Prof. Indrila Deb, CIMA (UK), CMA (India)
Saurav Shaw

13 A COMPARATIVE STUDY ON CONSUMER 140

SHOPPING PREFERENCES- ONLINE & OFFLINE
Khushboo Shah, Shreenita Seal
SR.NO. CHAPTER AND AUTHOR NAME PAGE NO.
14 MERGERS AND ACQUISITIONS - A STUDY OF 149
HEAVY ELECTRICAL EQUIPMENT SECTOR IN
INDIAN SCENARIO
MADHUMITA DASGUPTA, PEMA LAMA

15 A STUDY ON FINANCIAL LITERACY OF A 156

WOMEN LEAD TOWARDS ECONOMIC
EMPOWERMENT
Ms. Pampa Sarkar, Dr Priyanka Jaiswal

16 IMMERSIVE INSIGHTS: HOW VR FRAMEWORK 164

IS SHAPING THE FUTURE OF INDIAN MEDIA,
ENTERTAINMENT AND GAMING INDUSTRY
Sourav Mukherjee

17 PREDICTION AND ANALYSIS ON MARKET 173

BASKET USING POSITIVE ASSOCIATION RULE
MINING
Sujit Chakraborty

18 A STUDY ON PERFORMANCE ANALYSIS OF 181

FEW SELECTED INDIAN BANKING STOCKS
Sujoy Kumar Dhar, Pema Lama

19 MEDIATING EFFECT OF OPERATING INCOME 195

ON SHAREHOLDER’S FUNDS AND ECONOMIC
VALUE ADDED: A STUDY ON NIFTY 50
COMPANIES
Suraj Sharma, Piyali Mullick

20 THE DAY OF THE WEEK EFFECT DURING THE 203

FINANCIAL CRISES PERIODS OF EARLY 21ST
CENTURY: A STUDY ON NIFTY 50 INDEX
Suraj Sharma
SR.NO. CHAPTER AND AUTHOR NAME PAGE NO.
21 CELLULOID JOURNEYS: EXPLORING THE 212
TRANSFORMATIVE POWER OF INDIAN FILMS
IN TOURISM PROMOTION
Mr. Annesh Bilas Thakur, Mr. Sandip
Chakraborty

22 A COMPARATIVE STUDY OF ONLINE 224

SHOPPING CONSUMER PERCEPTION ON
MYNTRA, FLIPKART, AND AMAZON
Ms. Niyasha Patra, Labani Mitra, Sourav
Kumar Das

23 ENVIRONMENTAL IMPACT OF CULTURAL 239

TOURISM ON HOST COMMUNITY: EVIDENCE
FROM WEST BENGAL
Mr. Suraj Sharma, Mr. Swarnendu Das, Dr.
Nilanjan Ray,
Ms. Niyasha Patra

24 A STUDY ON PILGRIM TOURISM: EVIDENCE 250

FROM KAMAKHYA, ASSAM
Ms. Tanisha Mukherjee, Dr. Mainak
Chakraborty, Dr. Nilanjan Ray

25 IMPACT OF TOURISM FINANCING IN INDIA 265

Subhadeep Das
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

MOBILE JOURNALISM: TRANSFORMING

1 NEWS REPORTING IN THE DIGITAL ERA

Ms. Aishwarya Chatterjee 1, Ms. Sinjini Ghosh 2

ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.01

Abstract
This study explores how mobile journalism has revolutionized news
reporting in the digital age. Smartphones and tablets are being used
by journalists and citizen reporters to acquire, produce, and
disseminate news information in real-time as a result of the ubiquity
of mobile devices and the emergence of social media platforms. This
study investigates the development, traits, benefits, difficulties, and
moral issues related to mobile journalism.

The first section of the research explores the development of mobile

journalism, emphasizing on its historical progression and the
technological developments that made it possible for it to emerge. It
explores the distinctive features of mobile journalism, such as its
mobility, affordability, and capacity for providing real-time reporting
and audience interaction. The benefits of mobile journalism are
explored, including its accessibility to both professional and citizen
journalists and its multimedia capabilities.

The paper also discusses the problems and moral issues that mobile
journalism raises. These include concerns with accuracy, responsible
reporting, and source verification in a dynamic digital world. To
ensure ethical mobile journalism practices, issues like privacy,
permission, and upholding professional norms are explored. In
addition, the effect of mobile journalism on news organizations is
examined, with an emphasis on how workflows and organizational
structures in newsrooms are changing. The study emphasizes the need

1
Assistant Professor & Programme In-charge (M.Sc.) Department of Media
Science, Institute of Leadership, Entrepreneurship and Development (iLEAD),
Kolkata
2
Corresponding Author & Assistant Professor- Department of Media Science,
Institute of Leadership, Entrepreneurship and Development (iLEAD), Kolkata.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

for developing viable business models for mobile journalism

enterprises as well as the adaptability of traditional news
organizations to embrace mobile reporting practices. The study also
examines how mobile journalism promotes citizen engagement and
democratizes news reporting. It explores how mobile devices
empower citizen journalists and how underreported stories and
marginalized voices are amplified by mobile platforms.

Finally, the study examines future trends and directions in mobile

journalism, including emerging technologies and their potential
impact on news reporting. The importance of integrating mobile
journalism skills into journalism education and training programs is
emphasized. By providing a comprehensive analysis of mobile
journalism, this research paper contributes to the understanding of its
transformative role in news reporting. It highlights the opportunities
and challenges presented by mobile journalism, while emphasizing
the need for responsible practices to maintain journalistic integrity in
the digital era.

Keywords: Mobile journalism, digital era, transformation, audience

engagement, challenges, ethical considerations, citizen participation,

Introduction

T he advent of mobile technology and the rise of social media

platforms have revolutionized the field of journalism,
transforming the way news is gathered, produced, and
disseminated. In the digital era, mobile journalism has become a
significant force in shaping the landscape of news reporting. The
purpose of this research paper is to explore the transformative impact
of mobile journalism on news reporting in the digital era. It delves
into the evolution of mobile journalism, its characteristics and
advantages, the challenges it presents, and the ethical considerations
that arise in this new form of journalism. The study also examines the
impact of mobile journalism on news organizations, its role in
fostering citizen participation, and the future trends and directions in
the field. The evolution of mobile journalism can be traced back to
the rapid advancements in mobile technology. The ubiquity of
smartphones and tablets, equipped with high-resolution cameras and
video recording capabilities, has turned ordinary individuals into
potential news gatherers and reporters. Mobile devices have become

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

portable newsrooms, allowing journalists to capture and share real-

time news events, breaking stories faster than ever before.
Mobile journalism offers numerous advantages, including its
affordability and accessibility. The low cost and widespread
availability of mobile devices have democratized news reporting,
allowing a broader range of individuals, including citizen journalists,
to participate in the news creation process. Furthermore, mobile
journalism facilitates multimedia storytelling, enabling journalists to
combine text, images, videos, and audio to convey rich and engaging
narratives.
Mobile journalism has an impact that extends beyond
traditional journalists. In the past, it was necessary to always have
your camera with you (or at least at that particular moment) in order
to capture anything as basic as a noteworthy moment. If you were
fortunate enough to capture a noteworthy image, chances were that by
the time you developed the image and got in touch with your local
news organization, their team of experienced photographers and
writers had already wrapped up covering that story. With today's
smartphones, anybody can take a photo or video, upload it to social
media, and have it become viral online in a matter of minutes.
Anyone with a phone may now work as a mobile journalist.
However, along with its advantages, mobile journalism also
presents challenges that need to be addressed. These challenges
include issues of source verification, accuracy, and responsible
reporting in a fast-paced and instant news environment. Ethical
considerations, such as privacy, consent, and the maintenance of
professional standards, are of paramount importance in the practice of
mobile journalism.
Furthermore, mobile journalism plays a crucial role in fostering
citizen participation in news reporting. It empowers individuals to
document and share news events from their own perspectives,
amplifying marginalized voices and bringing attention to
underreported stories. The democratization of news reporting through
mobile platforms has the potential to reshape the media landscape,
allowing for a more diverse and inclusive range of voices to be heard.
Looking to the future, emerging technologies such as
augmented reality (AR) and virtual reality (VR) are expected to
further enhance mobile journalism, offering new possibilities for
immersive and interactive storytelling. Moreover, the integration of
mobile journalism into journalism education and training programs is

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

essential to equip future journalists with the skills necessary to

navigate the evolving media landscape.

The objectives of the research on mobile journalism: Transforming

news reporting in the digital era could be:
• To explore the evolution and development of mobile
journalism and its impact on the field of news reporting.
• To examine the characteristics and advantages of mobile
journalism in terms of real-time reporting, audience
engagement, and multimedia storytelling.
• To identify and analyze the challenges and ethical
considerations associated with mobile journalism, such as
source verification, accuracy, and responsible reporting.
• To assess the impact of mobile journalism on news
organizations, including its influence on newsroom structures,
workflows, and business models.

By addressing these objectives, the research aims to provide a

comprehensive understanding of the transformative nature of mobile
journalism in the digital era and its implications for news reporting
practices and media organizations.

Literature Review: Mobile Journalism

Mobile journalism, also known as mojo, has emerged as a
significant phenomenon in the field of news reporting. With the
widespread adoption of mobile devices and the rise of social media
platforms, journalists and citizen reporters are utilizing smartphones
and tablets to capture, produce, and distribute news content. This
literature review provides an overview of existing research and
scholarly articles related to mobile journalism, examining its
evolution, characteristics, advantages, challenges, and impact on
news reporting.
Evolution of Mobile Journalism: The evolution of mobile
journalism is traced back to the rapid advancements in mobile
technology. Studies by Hermida (2010) and Domingo et al. (2008)
highlight the transformative impact of mobile devices on journalism
practices, enabling real-time reporting and breaking news updates.
The research emphasizes the transition from traditional newsroom
setups to mobile-centered workflows and highlights the growing
reliance on mobile devices for news gathering and dissemination.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Characteristics and Advantages of Mobile Journalism:

Research on the characteristics and advantages of mobile journalism
identifies its unique features and benefits. Portability and accessibility
of mobile devices are emphasized by Deuze (2013), who highlights
how reporters can capture news events on-the-go. The immediacy and
real-time nature of mobile reporting are discussed by Witschge et al.
(2016), who emphasize the ability to publish stories instantly,
engaging audiences in live reporting. Additionally, scholars such as
Löffelholz et al. (2019) emphasize the cost-effectiveness and user-
friendly nature of mobile journalism tools and applications.
Mobile Journalism and Citizen Participation: The
relationship between mobile journalism and citizen participation is a
key area of exploration. Research by Fritz and Dörr (2017)
demonstrates how mobile devices empower citizen journalists to
document and share news events, contributing to the democratization
of news reporting. Studies by Farkas and Neumayer (2019) and
Quandt et al. (2020) highlight the increasing engagement of
audiences through mobile platforms, encouraging user-generated
content and fostering a participatory news culture.
Challenges and Ethical Considerations in Mobile
Journalism: Mobile journalism presents several challenges and
ethical considerations that need to be addressed. Scholars such as
Vujnovic and Kramp (2017) discuss the need for accurate verification
and fact-checking in the fast-paced mobile reporting environment.
Ethical considerations related to privacy, consent, and responsible
reporting are explored by Franklin et al. (2018), emphasizing the need
for journalists to adhere to ethical standards and guidelines when
utilizing mobile devices for news production.
Impact of Mobile Journalism on News Organizations: The
impact of mobile journalism on news organizations is a vital aspect of
research. Studies by Westlund (2017) and Gulyas et al. (2021)
examine the transformation of newsroom structures and workflows,
highlighting how mobile journalism disrupts traditional hierarchies
and creates new opportunities for collaboration. Scholars also discuss
the challenges faced by news organizations in adapting to mobile
reporting practices and the need to develop sustainable business
models to support mobile journalism ventures.
Future Trends and Directions in Mobile Journalism:
Exploring future trends and directions in mobile journalism, scholars
such as Domingo et al. (2018) discuss emerging technologies such as

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

augmented reality (AR) and virtual reality (VR) and their potential
impact on mobile news reporting. The importance of integrating
mobile journalism into journalism education and training programs is
emphasized by authors like Hermida and Eldridge II (2020), who
argue for the inclusion of mobile journalism skills in curricula to
prepare future journalists for the evolving media landscape.
The literature study focuses on the development of mobile
journalism, including its traits, benefits, and drawbacks, as well as
how it affects news organizations and audience participation. The
study emphasizes the function of mobile devices in fostering citizen

Mobile Journalism vs. Traditional journalism: Responsibility,

Accuracy and its participation
To comprehend the understanding of ‘Mobile Journalism’ in
comparison to Traditional Journalism a survey has been conducted
among the young adults who are more inclined towards using the
mobiles to get news updates. This survey has been conducted also to
understand the shift towards digital era considering diffusion of news
as a factor. The survey questions were based on the objectives set in
this research paper and the survey was conducted among 100
respondents.

1. How familiar are you with the concept of mobile journalism?

The above results show that the term ‘Mobile Journalism’ is quite popular
among the respondents and only a negligible percentage of the respondents are
not familiar with the term till now

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

2. In your opinion, how has mobile journalism influenced news

reporting practices compared to traditional journalism?

The above results show that the term ‘Mobile Journalism’ is known as more
influencing factor for news reporting in comparison to traditional journalism.

3. Have you observed an increase in real-time reporting due to the use

of mobile journalism?

The respondents have agreed to the view that mobile journalism has contributed
to an increase in real-time reporting significantly. There has been no response in
opposition to this information.
4. How do you perceive the level of audience engagement with news
content through mobile journalism compared to traditional news
platforms?

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

The respondents have replied positively to the above question agreeing to the
information that mobile journalism achieves significantly higher level of
engagement from the audience. A smaller percentage of the population has
responded to mobile journalism having similar levels of engagement as
traditional media.

5. In your opinion, how does mobile journalism enhance multimedia

storytelling in news reporting?

The respondents have agreed to the information that mobile journalism enables a
lot more engaging and involving news experience while they have responded to
the fact that mobile journalism has minimal impact on multimedia storytelling or
rather does not contribute to the same.

6. What do you see as the main challenges in ensuring source

verification and accuracy in mobile journalism?

The respondents have agreed to the view raised in the above question that
mobile journalism does face challenges in reporting in the current era. A greater
percentage has responded to determination of the source credibility being the
most faced challenge in mobile journalism while a lesser percentage of
population opined that limited time for verification of fact checking is the most

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

faced challenge. A minor percentage though has opined other sources being the
challenge faced.

7. How important do you think responsible reporting is in the context

of mobile journalism?

To the above question a greater percentage of respondents have answered to the

view of responsible reporting being utmost important in mobile journalism while
a lesser percentage of respondents have given their opinion in favour of
responsible reporting being somewhat important in case of mobile journalism.

8. What ethical considerations do you think arise in the practice of

mobile journalism?

To the above question a greater percentage of respondents have answered to the

view of maintaining professional standards being the most risen ethical practice
in mobile journalism, while a lesser percentage of respondents have answered
privacy and consent issues being the most risen ethical standard.

9. How has the integration of mobile journalism affected the

traditional newsroom structures and workflows?

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

To the above question a greater percentage of people have responded that

mobile journalism has significantly made changes in traditional newsroom
structure and workflows, while a lesser percentage have responded to the view
that some adjustments have been made but structures remain unchanged. A
minor percentage though have responded to the view that no noticeable impact
in newsroom structure and workflows is prevalent due to mobile journalism.

10. In your opinion, how has mobile journalism influenced the

revenue models and sustainability of news organizations?

To the above question a greater percentage has responded to the view that
mobile journalism has opened up new revenue opportunities and increased
sustainability while a lesser percentage have responded that it has only made
some impact. A minimum percentage though has responded to the view that
mobile journalism has impact to a least amount.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

11. To what extent does mobile journalism empower citizen

journalists and encourage their participation in news reporting?

To the above question a greater percentage of people have responded to the view
that mobile journalism has actually empowered citizens and motivated them to
participate in news reporting to a significant extent, while a lesser percentage of
people have responded that mobile journalism has impacted citizens to some
extent. A minimum percentage though have responded that mobile journalism
has not been able to impact on citizens to feel empowered or participate to any
extent.

Conclusion
In conclusion, it is found that Mobile Journalism has emerged
as a transformative force. The way news is acquired, produced, and
distributed in the digital age has been revolutionized by mobile
journalism, which has emerged as a revolutionary force in the area of
news reporting. This study has examined mobile journalism's history,
traits, benefits, drawbacks, and ethical issues. An effort to provide
readers a thorough knowledge of how technology has changed the
way news is reported. The fast development of mobile technology,
notably the widespread use of smartphones and tablets with high-
resolution cameras and video recording capabilities, can be credited
with the development of mobile journalism. With the ability to record
and share real-time news events, these gadgets have transformed
common people into potential news gatherers and reporters,
accelerating the pace and accessibility of news reporting.
Additionally, mobile journalism is essential for encouraging
public engagement in news reporting. It gives people the ability to
record and broadcast news events from their own points of view,
boosting underrepresented voices and drawing attention to them. A
more inclusive and varied spectrum of perspectives might be heard
thanks to the democratisation of news reporting made possible by

11
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

mobile platforms, which has the potential to change the media

landscape.
The paper finds that Mobile journalism is changing the way
stories are being told. Some part of the traditional journalists is
resisting the change, but many more are embracing it. Mobile
journalism is here, and it’s here to stay.
The fact that mobile journalism isn’t going away doesn’t mean
that it replaces traditional journalism. They are still different, and
each have their benefits, and thus can co-exist. Many media outlets
have integrated mobile journalism into their framework, as a
complement to its traditional reporting. For example, many news
corporations use mobile journalism for much of their social media
coverage, while sticking with their big news cameras in more
traditional settings. We’re not at the point where we’re interviewing
the president with a tricked out smartphone.
All of these advancements and changes do not come without a
more serious message of caution. In a world dominated by fake news,
mobile journalism can pose a threat to the integrity of reporting.
People do not always realize the immense power they wield with a
phone in their hands, and this can have serious consequences.
Journalism is built upon a foundation of ethics, integrity, accuracy,
and truth. Without the proper training or care, these foundations can
be shaken by failing to meet basic journalistic standards. With the
breakneck speed that news moves at today, even the most well-
meaning reporter may feel rushed, and publish a story with critical
errors. At worst, people may take advantage of this newly accessible
system to spread misinformation.
Future mobile journalism is anticipated to be further enhanced
by developing technologies like augmented reality (AR) and virtual
reality (VR), which will open up new opportunities for immersive and
interactive storytelling. To provide aspiring journalists the knowledge
and skills they need to navigate the changing media landscape,
mobile journalism must be included into journalism education and
training programmes.

Bibliography
1. Hermida, A. (2010). Mobile journalism: A snapshot of current
research and practice. Journalism Practice, 4(3), 289-302.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

2. Domingo, D., Quandt, T., Heinonen, A., Paulussen, S., Singer,

J. B., &Vujnovic, M. (Eds.). (2008). Participatory journalism:
Guarding open gates at online newspapers. John Wiley & Sons.
3. Deuze, M. (2013). Journalism and the digital media revolution:
Insights, observations, and lessons. International
Communication Gazette, 75(1), 17-34.
4. Witschge, T., Anderson, C. W., Domingo, D., &Hermida, A.
(2016). The SAGE handbook of digital journalism. SAGE
Publications.
5. Löffelholz, M., Weaver, D. H., &Willnat, L. (2019). Digital
journalism: Current practices and future prospects. Oxford
Research Encyclopedia of Communication.
6. Fritz, B., &Dörr, K. N. (2017). Mobile journalism as a way of
citizen participation in news reporting. Digital Journalism, 5(5),
634-653.
7. Farkas, J., &Neumayer, C. (2019). Mobile news: A review and
model of journalism in an age of mobile media. Digital
Journalism, 7(6), 767-786.
8. Quandt, T., Singer, J. B., Heinonen, A., &Hermida, A. (2020).
Journalism and social media: Practitioners, audiences, and
gatekeeping. Routledge.
9. Vujnovic, M., &Kramp, L. (2017). Mobile journalism:
Producing news with smartphones in newsrooms. Digital
Journalism, 5(6), 693-708.
10. Franklin, B., Eldridge II, S. A., & Herzog, H. (2018). Ethics for
a digital era. Routledge.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

RISE OF NEOREALIST ADVERTISEMENTS

2 AMIDST COVID-19: A STUDY FROM INDIAN

PERSPECTIVE
Ankan Roy 1, Aradhana Das 2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.02

Abstract
In a democratic country like India; media is expected to act as the
mirror of the society. Advertisement is a form of public communication
which is used to inform and persuade people to take some action
against any product, idea, or service through various media.
Advertisements are paid and thus can be assumed that they are
purposeful. During the Covid-19 dominance in India, the advertisement
world witnessed a significant change. The extravagant advertisements
were replaced by reality where advertisements were shot at real
locations (non studio set up) with real people (non-actors). Pandemic,
isolation, work from home, social distancing, importance of wearing
mask and sanitation became the main plot of most of the
advertisements. People could relate to these advertisements
emotionally as well. Most of the ad campaigns launched in the year
2020 and 2021 were Covid-19 centric. A hint of neorealism could be
identified in most of these advertisements. However, as the world
recovered from this deadly disease, the world of advertisement went
back to normalcy and the flamboyance in advertisements returned. This
paper aims to analyze the change in the Indian advertisements during
Covid-19 and whether it sustained in the long run.
Keywords: Advertisements, Covid-19, Neorealism, Media, Communication,
Pandemic
Introduction

A
dvertisement is a type of mass communication made for
promotion of products, services or ideas and finally sells it.
Advertisements serve the purpose of grabbing attention of the

1
Faculty, Department of Media Science, Institute of Leadership,
Entrepreneurship and Development (iLEAD), Kolkata
2
Corresponding Author & Faculty, Department of Media Science, Institute of
Leadership, Entrepreneurship and Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

mass and convince them to avail the service. An advertisement is a

form of persuasive communication with the public (Gupta, 2005). In
the history of Indian advertising, it has been noticed that advertisers
have tried a lot of things to persuade people about their products or
services. Personal, social and emotional appeals are some of the most
common forms adapted by the advertisers to persuade people. Some
of the advertisers also use flowery, larger than life themes to convince
people. On the contrary, companies like Air India, Maggie have also
used real-life stories from their consumers. The scenario changed
after corona virus cases started rising in India which forced the
Government to implement lockdown in the country from March,
20201. As a consequence, change in lifestyle occurred as well. The
themes of advertisements started altering drastically. Most of the
advertisements shot after March, 2020 started showcasing the
uncertainty and consternation caused by the global pandemic. Even
the advertisements of detergent powders or beauty products, which
were based on flowery, exaggerated themes, started showcasing this
new reality. History proves that Second World War changed the
shape of Italian films. Italian neorealist movement started portraying
the tumultuous aftermath of World War which produced stylistically
and philosophically distinctive cinema that achieved an influential
popularity (Shiel, 2006). Similarly, during Covid, the Indian
advertisements also started showing the reality on screen. This study
will try to focus on the changing scenario of the Indian
advertisements after the global pandemic. This study will also try to
observe the sustainability and longevity of this neorealist
advertisements movement. Also, a new theory on ‘Global Pandemic
and the rise of Neorealist Advertisements in India’ can be discovered
through this study.
Social realism, the realistic depiction in art of contemporary
life, is a very common theme in the American advertisements
(Hoglund, 2018). But in case of Indian advertisements, this heavy
usage of neorealist theme is something uncommon. In 2020, Surf
Excel advertisement with hash tag ‘#Bachpan Zara Rukja’
highlighted that a kid was at home for a long time and got bored
because he could not meet his friends due to the lockdown. He was

1
As per the news published on ‘The Indian Express’ on 8th May, 2020:
https://indianexpress.com/article/explained/coronavirus-india-lockdown-vs-
global-lockdown-covid-19-deaths-cases-cure-6399181/

15
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

asking his father to play with him and then the father got convinced
and went to the nearby field wearing masks. In this advertisement, it
is noticed that the advertiser is focusing on the mental health of the
kid during the quarantine. Previously, Surf Excel used to produce
humorous advertisements but through this advertisement, the
company shifted its focus to the reality of the society. Even
advertisements of cooking oils were promoting how one could
strengthen his/her immunity power by consuming the particular
brand. The pandemic-time advertisement of Emami healthy and tasty
oil had showcased that a person was working from home and his wife
was cooking with Emami oil, so that her husband’s immunity power
got boosted. Previously, advertisements of Emami oil used to
promote anti-cholesterol theme. But after the pandemic, they have
focused on immunity because according to theories, strong immunity
is a prerequisite to fight Covid-19. Similar stance can be seen for a
variety of product advertisements these days. All these products are
emphasizing on how useful their products or services are during the
time of uncertainty and fear. Some advertisements have also
portrayed real-life people and their daily activities during lockdown.
Volini is an example in this regard. There have been instances where
advertising campaigns were shot in ‘work from home’ model. For
example, Dettol had launched an advertising campaign made
specifically for Covid-19 public service announcement, which was
thoroughly filmed in house with a very simple illustration (Mogaji,
2021). In this scenario, the on-screen reality makes a very convincing
approach towards the consumers and the expense becomes less as
studio and other related amenities are not used for shooting. Thus,
this ‘work from home’ method can be utilized in the future for
lessening the expense. In the past, we have seen that Italian neorealist
films were shot in real-life locations as studios were not accessible at
all point of time and thus the world started understanding how to
make low budget films.
Art is a reflection of society. As society expands or goes
through something, art changes to reflect its new development
(Alenka Barber-Kersovan, 2022). A lot of examples can be found
from the past. Cinema verite, French New Wave, Iranian New Wave
are all examples of it. Advertisement is also a form of art; it is no
wonder that Indian advertisements have changed its theme as per the
latest development of the society. It was not the Italian directors from
1940s who devised a plan to achieve some shared ambitions named

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

‘Italian Neorealism’, but it was a societal flow that took the shape of
Italian Neorealism through cinema (IV, 2020). In the same way,
whether neorealist theme did take birth intentionally or it was just a
societal reflection in Indian advertisements post pandemic is also an
area of research.
Advertising has become a significant window to study the
transformation of Indian society, its desires and needs
(Parameswaran, 2016). It is a great time to understand the social
transformation, changing behaviors and desires of the Indian mass in
this difficult time via these advertisements. Moreover, advertisements
also promote trendiness and showcase only what people want to see.
So, neorealist theme in this case can be termed as ‘trendy’ as per the
social requirements. Indian advertisements have gone through a lot of
changes; from showcasing the changing roles of Indian women to
importance of children in nation building, from the days of carefree
fun to a platform of conveying anti-corruption messages, Indian
advertisements have come a long way. Now, it has become a tool to
show realistic incidents on screen. So, the modified version of the
realism is being showcased on modern Indian advertisements post
pandemic. The term ‘Neorealist Advertisement’ has been coined just
because of this reason. An exact story from a literature cannot be used
in cinema as it is, but the story needs cinematic adaptation. The same
thing is applicable if a story is going to take drama form. So, in the
modern time, Indian advertisements have also adapted the reality as
per its requirement. Neorealism has become a great marketing
strategy for the Indian advertisers as a whole during the pandemic
time.

Aims and Objectives

This research aims at finding plausible methods to read,
comprehend and deploy the neorealism theory in analyzing the Indian
advertisements during pandemic from the platform of new media and
Indian Television through a comparative study between pre-pandemic
advertisements and pandemic-time advertisements.
In India, 1960’s witnessed the rise of ‘Parallel Cinema’ to
counter Bollywood mainstream films, also known as ‘The Indian Neo
Wave’. The directors of that time were highly influenced by Neo-
Realism, French New wave, Avant Garde Film and thus their films
were based on socio-cultural themes. The implementations of
neorealist ideas proved to be really successful in Indian films. Hence,

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

this study aims at understanding neorealist ideas’ implementation on

Indian advertisements and its success (if any) and wants to
understand the discourse as a whole.
This research also aims at understanding the sustainability of
neorealist Indian advertisements in the era of new normal1.
The neorealist idea has so far included socio-cultural, socio-
political aspects as the primary vectors of theorizing. However, this
research wants to take into consideration other important vectors like
uncertainty, challenges of shooting in a non-studio set up in
consideration.

Review of Literature
The above mentioned research aims and objectives have guided
the literature review for this research. Implementation of relevant
ideas in Indian advertisements is nothing new and a lot of literature
can be found in the academic arena. Since the focus of this research is
on exhibitionism of realism in Indian advertisements after the rise of
global pandemic, it is important to have in-depth understanding about
the broader area for the same.
Understanding consumer behavior is very important before
making an advertisement. In the book named Advertising, Brands and
Consumer Behavior, writer S. Ramesh Kumar and Anup
Krishnamurthy explains the complicated link between advertisements
and behavioral pattern. By analyzing some relevant examples from
recent times, the writer(s) explain the success stories of leading
brands and their marketing strategy formulas. How these brands have
understood their target audiences’ behavioral pattern and successfully
placed these advertisements in their brains is also a topic of
discussion. The changing pattern of Indian advertisements in the
wake of new media has also been a topic of discussion in this book
which compares the traditional form of advertisements with the new
media advertisements. This literature highlights the relevant
developments in Indian advertising market.
Dr. Parul Deshwal has published a research paper named
‘Online advertising and its impact on consumer behavior’ in 2016,

1
As per the news related to ‘New Normal’ published by Business Standard
published on June 19, 2023: https://www.business-standard.com/health/endem
ic-is-the-new-normal-say-experts-as-daily-covid-cases-top-10-000-12304130122
1_1.html

18
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

where internet broadcast model has been discussed in detail and how
companies are utilizing the platform to circulate those advertisements.
These days, people are drastically shifting from traditional platform to
new media platforms. So, the patterns of content acceptance are also
changing drastically. This paper gives us a brief idea about how the
companies are trying to make internet advertisements similar to
television advertisements, sometimes even better. How consumers’
involvement and interactions toward an advertisement is the key to
success in the recent advertisements has also been a topic of
discussion in this paper. The paper has also emphasized the
involvement of the audience which is influenced by how relatable the
theme of the advertisement is.
Ambi Parameswaran has analyzed over hundred Indian
advertisements in his book named Nawabs, Nudes, Noodles: India
Through 50 Years of Advertising in 2016. This book has documented
how a country’s socio-cultural, political and economic values are
reflected through advertisements and how the process of evolvement
of advertisements is directly linked with it. Different ad campaigns
from the past like ‘Jai jawan, jai kishan’, ‘Jo biwi se kare pyar’ has
been analyzed in the book to give the readers an understanding how
brands have tried building their image based on the trendiness and
desire of Indian consumers. The brands which were trying to capture
lower socio-economic group of people in the past, started
representing their brand image in a more sophisticated way in the late
1980’s. Thus, it exhibits the growing economy of India through
analyzing the changing types of ad making. This book has also
captured how in 2005, a Kolkata based company named Emami
launched men’s fairness cream and the ‘Berlin Wall’ between men
and women’s beauty quotient fell down. The example of ‘Berlin
Wall’ was used because of its relevance. It shows how Indian
advertisements have always been based on relevance.
Niaz Ahmed published a book named ‘Cross-Cultural Analysis
of Advertising from the United States and India’ in 2000, where it has
been discussed how analyzing advertisements has been a great
practice to understand the cultural phenomenon of a country.
Advertisements are all about expressing cultural values, norms,
stereotypes of a society. Moreover, comparative analysis between
zone-based advertisements showcases difference of socio-cultural
values between different states. This book also dictates how the
comparison between developed and developing country’s

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

advertisements can make us understand traditional differences

between people of these nations.
Mass consumerism was identified in India in 1980s and there
was a change of pattern in the advertisement filmmaking. Indian
culture started getting limelight in the advertisements. Also,
advertisements of consumer goods have a strong metropolitan
influence in it. The metropolitan excitements, anxieties, incongruities
have reflected in the advertisements. So, when there is a change of
pattern in metropolitan practices, the change has also been noticed in
Indian advertisements too. In the book named Shoveling Smoke:
Advertising and Globalization in Contemporary India (2003),
William Mazzarella has discussed these phenomenon in detail. This
book has also discussed about the people who make advertisements
and how societal influences have made them change the pattern of
advertisement style.
When a country is at war, the related industries are also at it.
Italian films were famous for producing romantic-comedy genres,
larger than life theme in pre Second World War era. Second World
War drastically changed Italy. Italians started facing the socio-
economic crisis like never before. Most of the studios were used as
military base camp. Many of the professionals from the film industry
changed their job for survival purpose during the war. All these
forced Italian directors to break stereotypes and start something new.
Thus, Italian Neorealism took birth where contemporary socio-
economic, socio-political crisis became the main theme of films.
People started getting engaged with those films as it became relatable
to them; they could literally see themselves on the screen. Mark Shiel
has discussed how the war changed Italian film industry for a while
and how realism started getting reflected on screen in detail in the
book named Italian Neorealism: Rebuilding the Cinematic City
(2006).

Research Methodology
The primary method is to refer to archival reference by going
through the selected relevant advertisements from YouTube. The
advertisements have been observed and analyzed through non-
participatory observation method. After selection of the samples, a
comparative study has been done on the same. The post-pandemic
advertisements that have been added to the samples are compared
with same product’s pre-pandemic advertisement. Thus, whether the

20
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

style of advertisement has changed with pandemic, or if it has at all

changed then what is the discourse all about can be understood
through this study. As this study is intended to investigate a
phenomenon on an already available data, this study is completely a
descriptive fundamental research. Lastly, this study is based on non-
numeric data and will try to focus on idealistic approach. This
research has solely been a qualitative one.

Analysis
While analyzing pre-pandemic and during pandemic
advertisements, a striking difference could be identified in many of
them. During the pandemic, brands started tweaking their concepts
and campaigns, keeping the Covid-19 in mind. These advertisements
started focusing on mental health, lockdown, mundane life of people
who were working from home and the role that healthcare workers
played during this crisis. Asian Paints, for example, revived their
iconic campaign of ‘Har Ghar Kuch Kehta Hai’ by focusing on the
positivity of spending more time at home during lockdown. The
advertisement featured a montage of real home videos that were taken
mostly on mobile phone cameras during the first lockdown. The
advertisement had a touch of realism and people could easily relate
with it. Pre-pandemic advertisements of Asian Paints, however, have
been nothing less than luxurious. Similar trends could be seen post
pandemics. Once things started normalizing, Asian Paints decided to
get back on track with their ‘over the top’ display of life and living,
and thus, the advertisements lost the touch of realism in it once again.
Another advertisement by Brooke Bond Red Label focused on
new social realities and mindsets amidst pandemic with their ‘Swad
Apnepan Ka’ advertisement. The advertisement focused on the
importance of being connected socially by maintaining physical
distance. It also stressed on being kind and compassionate towards
Covid-19 patients and healthcare workers. The advertisement
successfully connected emotionally with the audience, given the fact
that it reflected the real contemporary thoughts of the people at large.
However, Brooke Bond did not continue with this realistic approach
after the world recovered from the pandemic. The maximum it did
was highlighting the importance of ingredients in its product which
could boost immunity in its consumers.
Another important aspect of the society during the pandemic
was the growth of small businesses which used online platforms. The

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

success of the online businesses helped to sustain the economy of the

country to a great extent during Covid-19. Keeping this in mind,
Facebook’s campaign named ‘Nayi Shuruaat’ underlined how small
businesses moved online and could reach their potential customers
without borders. These businesses have now become a part of our life
and now we hardly see such advertisement campaigns where these
online businesses are highlighted.
Cadbury worked consistently throughout 2020 keeping in mind
the societal and emotional changes. It revived its jingle, ‘Kuch Khaas
Hai’ where it featured stories of people spending their time time at
home in an innovative way. The brand also released ‘Not Just a
Cadbury Ad’ campaign which supported local business.
A detailed analysis of the advertisements during pandemic
reveals that the year 2020 witnessed brand communications revolving
around lockdown, work from home, social distancing, etc. With the
second wave of Covid-19 in 2021, brands focused more on
combating the situation together instead of doing brand activity. But
with time, as the world recovered from this deadly situation, the
scenario changed. Advertisements are no longer concerned with
Covid-19 and communication is back to normalcy.

Conclusion
On 5th May, 2023 World Health Organization (WHO) declared
that Covid-19 is no more a public health emergency (As per the news
published by ‘Medical News Today’ on 5th May, 2023)1. As per the
medical experts, though people require Covid booster doses on
regular intervals but mask is not mandatory anymore. So, people are
leading a normal life. The latest observations point out that the recent
advertisements (broadcasted post 2022) are back to their old form.
Cadbury’s ad campaign named ‘Good Luck Girls’, CRED’s ‘Great
for the Good’, Meesho’s ‘Sahi Sahi Lagaya Hain’, Tata Tea’s ‘Kadak
Mumbai ke liye Kadak Chai’ Amazon Pay’s ‘Ab Har Din Hua Asan’
ad campaigns are few of the supporting examples of it. In these
mentioned ad campaigns, it has been noticed that the uncertainty and
fear people had two years back is non-existential. These ad
campaigns exhibit the lifestyle people had in pre-pandemic time. It
has been documented in the past that the Italian Neorealist film

1
https://www.medicalnewstoday.com/articles/who-declares-end-to-covid-
health-emergency-downgrade-pandemic

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

movement which started in 1940’s as a response to Italian societal

crisis post Second World War sustained only till 1950’s (IV, 2020).
Once the post Second World War crisis was over and Italy was
getting back to normal, Neorealism as a film movement started losing
its relevance. Despite neorealism’s sustainability in mainland Europe,
it affected the third world countries’ films forever. Observing the
recent Indian advertisements (post 2022), the neorealist theme might
not have sustained and can be considered as a response to the societal
crisis of that time, but the future effectiveness of it in the Indian
advertisement arena can be an area of study.

References
1. Alenka Barber-Kersovan, V. K. (2022). Arts and Power:
Policies in and by the Arts. Luneburg, Germany: Springer VS.
2. Gupta, O. (2005). Advertising in India: Trends and Impact.
Delhi, India: Kalpaz Publications.
3. Hoglund, J. (2018). B-Movie Gothic: International
Perspectives. Edinburgh, UK: Edinburgh University Press.
4. IV, C. L. (2020). Italian Neorealism: A Cultural History.
Toronto: University of Toronto Press.
5. Leavitt, D. (2020). Shelter in Place. New York, USA:
Bloomsbury Publishing.
6. Mogaji, E. (2021). Introduction to Advertising: Understanding
and Managing the Advertising Process. New York, USA:
Taylor & Francis.
7. Parameswaran, A. (2016). Nawabs, Nudes, Noodles: India
Through 50 Years of Advertising. Pan Macmillan.
8. Robert Sklar, S. G. (2011). Global Neorealism: The
Transnational History of a Film Style. Mississippi: University
Press of Mississippi.
9. Shiel, M. (2006). Italian Neorealism: Rebuilding the Cinematic
City. New York, USA: Columbia University Press.
10. https://www.medicalnewstoday.com/articles/who-declares-end-
to-covid-health-emergency-downgrade-pandemic
11. https://www.business-standard.com/health/endemic-is-the-new
-normal-say-experts-as-daily-covid-cases-top-10-000-1230413
01221_1.html
12. https://indianexpress.com/article/explained/coronavirus-india-
lockdown-vs-global-lockdown-covid-19-deaths-cases-cure-
6399181/

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

BLOCKCHAIN MANAGEMENT BENEFITS

3 THE ECONOMY AND SUSTAINABLE

DEVELOPMENT INFRASTRUCTURE VIA
SMART CONTRACTS
Dipsweta Paul 1, Arnapratim Sarkar 2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.03

Abstract
Smart contracts are an intriguing aspect of blockchain technology.
Blockchain is a decentralized transaction and data management
technology that was first designed for the cryptocurrency Bitcoin.
Since the concept was first proposed in 2008, there has been a surge
in interest in Blockchain technology. The core qualities of Blockchain
that provide confidentiality, anonymity, and data integrity without a
third-party organization in charge of the transactions are driving
interest in the technology, which opens up new research fields,
particularly in terms of technological hurdles and constraints. Smart
contracts are being utilized for a variety of applications as blockchain
technology advances, ranging from self-managed identities on public
blockchains to automating corporate cooperation on permissioned
blockchains. Many other aspects of blockchain scalability, such as
throughput and latency, have not been explored. In the future, smart
contracts and blockchain technology can support sustainable
development.

Keywords: Blockchain Technology, Smart Contracts, Peer-to-Peer

Network, Ethereum, Distributed Database, Sustainable Development

Introduction

F or more than a decade, the blockchain has been built as a

technology in which a distributed database stores all
transactions that have occurred in a peer-to-peer network.

1
Post Graduate Student (Formerly), Department of Commerce, University of
Calcutta
2
Corresponding Author & Post Graduate Student (Formerly), Department of
Commerce, University of Calcutta

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Blockchain is the latest in a series of digital technologies that are

expected to cause fundamental and large-scale changes in how our
current social, economic, political, and institutional relations and
institutions are organised due to their decentralised, horizontal,
distributed, and open source nature. In a blockchain, valid
transactions are digitally signed and timestamped by the sender,
providing cryptographically irrefutable proof of a record's provenance
and existence at a certain point in time.
Blockchain technology combines the terms of agreements
between two or more parties with traditional contracts, but smart
contracts outperform them by automating the implementation of
agreements in a distributed environment when conditions are
satisfied. Smart contracts are executable code written on top of the
blockchain to facilitate, manage and enforce agreements between
trusted parties without the need for a trusted third party. Digital rights
management systems are an early evolution of smart contracts. Smart
contracts for legal authorization and cryptographic financial systems
for financial contracts are examples of smart contracts. Smart
contracts can be created on many blockchain platforms, but Ethereum
is the most popular. Smart contracts can be used for many purposes
(e.g., intellectual property, e-commerce and music rights
management).

Literature Review
The main article "Bitcoin: A Peer-to-Peer Electronic Cash
System," published by Satoshi Nakamoto, gave birth to blockchain
technology (Nakamoto, 2008). The technology based on Bitcoin
technology is basically a data storage system that stores, analyzes,
transmits and transmits network data through its own nodes, not
dependent on third parties, therefore providing new solutions. After
the development of the Internet, it is also considered the most
disruptive technology (Cong & He, 2019). Nick Szabo first
introduced the concept of smart contracts in 1990 (Nick, 1997).
According to CoinMarketCap, the number of cryptocurrencies
currently exceeds 1,900 and is still expanding. Such rapid growth can
lead to problems with diversifying the use of cryptocurrencies,
according to the "Bitcoin and Beyond: A Scientific Analysis of the
Financial Markets" report (Tschorsch & Scheuermann, 2016) and
(Haferkorn & Quintana Diaz, Seasonality and Interconnectivity

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Within Cryptocurrencies - An Analysis on the Basis of Bitcoin,

Litecoin and Namecoin, 2015)

Objectives of the Study

The following goals will influence the creation of this study:–
• Understand blockchain management and the use of
cryptocurrencies in digital payments, business services and
finance.
• Understand how blockchain and smart contracts can contribute
to sustainable development.
• Understand the use and impact of blockchain and
cryptocurrencies our lives today and in the future.

Research Methodology
The study is exploratory and descriptive in nature. The study
relies on secondary data sources gleaned from a thorough analysis of
the relevant literature, which includes papers, different published
reports, journals, and websites.

Results & Discussion

The Emergence of Cryptocurrencies
Cryptocurrency is a type of digital asset that may be used to
buy and sell products and services. Because it is not a physical form
of money, it is decentralized. Bitcoin was the first cryptocurrency to
gain popularity in 2009. Since its relative success, a slew of new
cryptocurrencies have sprung up all over the world. Other popular
cryptocurrencies include Ethereum, Stellar, and Litecoin.
Cryptocurrency has grown in popularity and activity over the last few
years. Between May 2020 and May 2021, Google search volumes for
'buy cryptocurrency' surged by a massive 508 percent. Because of its
tremendous popularity, ApeCoin makes the list of the next
cryptocurrencies to burst in 2022.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 1: From 2014 until Present, The Market Capitalizations of

Crypto Coins were Charted.

(Source: CoinMarketCap, Cryptocurrencies)

The graph above depicts the individual market capitalizations

of the top ten crypto assets in relation to the overall market
capitalization of all assets. Since BTC was the first asset, it has
remained the most valuable in terms of market capitalization, which
is why its market dominance is a popular indicator. Because this chart
contains tokens and stablecoins, we refer to the assets monitored as
crypto assets.

The Most Common Motivations for using Cryptocurrency

With the rise of virtual currency, there are now 164 firms on
the stock exchange that take cryptocurrencies as payment. Expedia, a
travel firm, accepts Bitcoin online, while Lush, a cosmetics retailer,
accepts bitcoins through their ecommerce platform.
The demand for cryptocurrency ATMs has risen in tandem
with the growth of virtual monopolies in recent years. While regular
cash ATMs have become less common on our streets, Bitcoin ATMs
have become more common. Bitcoin and other cryptocurrency ATMs
operate differently than traditional ATMs. They allow users to
purchase digital currency with a credit or debit card. In terms of
Bitcoin ATMs, there are two types: basic ones that just allow
customers to purchase Bitcoins, and more advanced ones that allow
users to buy and sell the virtual currency. In the case of sophisticated
ATMs, only members of a specific ATM producer are permitted to
use the ATM.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

It's no secret that Bitcoin ATMs have been increasingly popular

in recent years. Only 500 BTMs were implemented globally in 2015.
However, by 2017, that figure had climbed to an astonishing 2,000.
There were over 15,000 units installed worldwide as of January 2021.
This figure was more than doubled to more than 38,000 in 2022.
While Bitcoin ATMs are found all over the world, the majority are in
North America, with 83% in the United States and Canada. Europe is
the second most important region for BTM penetration with 3.8% of
the market; Asia is third with 0.7%; and Latin America in fourth
place with 0.2%.

Blockchain's Role in Enabling Sustainable Development (SDGs)

Blockchain is best known as the technology that powers
cryptocurrencies such as Ethereum and Bitcoin. Blockchain-powered
processes and platforms can help manage stakeholders who serve
multiple functions. As a result, climate-related sustainable
development will be highly advantageous for private investments,
increasing efficiency and decreasing transactions.
Blockchain's distributed information technology could allow
investors, manufacturers, and buyers of renewable energy projects to
collaborate on the platform and adopt the design worldwide,
according to a report from the United Nations Environment Program
(UNEP). Sun Exchange, a South African renewable energy firm, uses
the Bitcoin blockchain to make international payments. As a result,
there are no potential intermediaries between investors and
beneficiaries.
Power Ledger, an Australian technology company, has begun
investigating the potential effects of blockchain. The group launched
a pilot project in Uttar Pradesh, India. They enabled homeowners
who installed solar panels on their rooftops to sell electricity to other
grid users. This necessitates real-time price setting and blockchain-
based transaction implementation. These technologies can help to
expand the use of renewable energy.
Foodtrax, a blockchain-based dApp, aims to eliminate food
waste caused by improper handling and storage by tracking food from
its origin to the shelf. Food Trax has linked data temperature loggers
with equipment measurement and monitoring, with the goal of
creating a customizable system that transparently covers all supply
chain-related activities.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

One aspect of environmental sustainability where blockchain

can make a significant difference is recycling. By using the reverse
service of the blockchain, organizations can provide financial support
to the people in the form of cryptographic tokens. This could be
provided in exchange for a deposit of recyclable items like plastic
bottles, cans, and other containers. This allows people to deposit used
plastic in exchange for various rewards such as cash back, phone
charging, and so on. Numerous organizations are already working on
Blockchain-based recycling initiatives. For example, a company
called The Plastic Bank uses IBM cloud computing and blockchain
technology to create a programme program that can generate revenue
from ocean plastic. The company is now working on a blockchain-
based application that will allow customers to exchange cash for
cryptographic tokens.

Transactions on the Blockchain from 2013 until 2023

Bitcoin Transactions Per Day is the number of transactions
registered on the Bitcoin network on a daily basis. Increased interest
or confidence in Bitcoin may result in more transaction occurrences
as the audience for the underlying token rises. Every valid block is
made up of a series of transactions that have been validated with the
block. In the case of bitcoin, for example, each legitimate block
contains an average of 2000 transactions. As a result, each transaction
within the valid block becomes a verified transaction. Following this,
each valid block continues the transaction confirmation process. This
ensures that every block and transaction on the network is completely
secure.
The bitcoin blockchain size is currently around 15 GB.
However, the bitcoin blockchain is growing at a rapid rate of 1 MB
per hour. In the last two years, the Bitcoin blockchain ledger has
grown from 150 GB to 250 GB. Every year, that amounts to
approximately 50 megabytes. By 2030, the size of a blockchain
ledger could approach 1 TB. While Bitcoin can process an average of
7 transactions per second, the Ethereum network can process up to 30
transactions per second.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 4 : From 2013 to 2023, A Graph Depicting the Number of

Transactions Each Day for Bitcoin, Ethereum, and Litecoin

(Source: BitinfoCharts, Bitcoin, Ethereum, Litecoin Transactions

Chart)

The number of Bitcoins processed in a single day peaked in

early 2021, as more individuals became interested in the
cryptocurrency. Bitcoin will have over 3,30,000 daily transactions in
December 2020, increasing to approximately 4,00,000 in early
January 2021. This is more than most cryptocurrencies' transaction
activity over the same time period, but substantially less than
Ethereum's: this currency would be processed more than 1.1 million
times every day. Daily transactions on the Bitcoin, Ethereum, and
Litecoin networks have surged six fold in just over five years, from
2,50,000 to over 1.5 million per day.

Smart Contracts' Place in Sustainability

There are various works that highlight smart contracts' potential
for sustainability. The characteristic that boosts smart contracts'
sustainability potential is their capacity to speed up and automate the
transfer of information regarding the value of natural resources and
environmental sustainability. Sustainable supply chain traceability
can be found in agrifood items, forests (if harvested without affecting
natural forests), and payments for ecosystem services. Another
effective option is to employ smart contracts to improve logistical
services and supply chains, such as those in the pharmaceutical or
food industries.
Blockchain technology will aid in the implementation of the
huge SDGs for sustainable development. The UN employs
blockchain technology as one of the methods for developing "smart
contracts" in order to expedite the development of public partnerships

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

(SDG 17) and accomplish SDG 16 by focusing on a variety of topics

connected to transparent government and just legal processes.
Smart contracts have numerous advantages over paper
transactions. The efforts of the transportation companies Yandex-taxi
and Uber are classic examples of how smart contracts are
implemented. Participants are protected from unauthorised changes
and third-party influence thanks to the real-time execution of smart
contracts. Because of transaction transparency, the parties can track
the execution of a smart contract in real time. The transaction's
confidentiality is maintained, as are its speed and self-fulfillment.

Conclusion
Blockchain is a multidimensional topic that is progressively
becoming popular among businesses as a safe way to conduct
transactions. Because the blocks are basic, hackers or cybercriminals
will find it incredibly difficult to manipulate or hack cryptocurrency.
Several central banks are now investigating the merits of blockchain,
blocks, and distributed ledger technologies as it is the future
technology for transaction validation. The most popular are 'Bitcoin'
and 'Ethereum.' This cash can be sent from anywhere on the planet to
anywhere else on the planet. As a result, there will be no difficulties
in exchanging currencies such as the dollar for the rupee. Because
middlemen such as banks will be eliminated with crypto money, there
would be no loss to us in financial transactions. These transactions are
auditable. Each coin is issued a unique code, and each coin's
transactions are recorded. This is a fantastic idea for preventing
money laundering in the economy. A network of thousands of
computers confirms transactions on the blockchain network. This will
eliminate human intervention in the verification process, reduce
human error, and make data recording more accurate. A modern
voting system could benefit from the use of blockchain. As seen in
the November 2018 West Virginia midterm elections, using
blockchain for voting can eliminate election fraud and increase voter
turnout. Using the blockchain in this way would make it nearly
impossible to tamper with voting.

References
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Know About Blockchain Size. Retrieved from BLOCKCHAIN
MAGAZINE: https://blockchainmagazine.net/everything-you-

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

need-to-know-about-blockchain-size/#:~:text=The%20bitco
in%20blockchain%20ledger%20has,might%20potentially%20e
xceed%201%20TB.
2. Best, R. d. (2022, November 15). Number of Bitcoin ATMs
worldwide from March 2015 to November 2022. Retrieved
from Statista: https://www.statista.com/statistics/343127/num
ber-bitcoin-atms/ Bitcoin, Ethereum, Litecoin Transactions
Chart. (n.d.). Retrieved from BitinfoCharts: https://bitinfochar
ts.com/comparison/transactions-btc-eth-ltc.html#alltime
3. Bitrefill. (2022, October 01). The Popularity of Bitcoin ATMs
Around the World. Retrieved from Bitrefill: https://www.bitre
fill.com/blog/the-popularity-of-bitcoin-atms-around-the-
world/#:~:text=It's%20no%20secret%20that%20Bitcoin,almost
%2015%2C000%20machines%20installed%20worldwide.
4. Cong, L. W., & He, Z. (2019, April 04). The Review of
Financial Studies. Retrieved from OXFORD ACADEMIC:
https://academic.oup.com/rfs/article/32/5/1754/5427778
5. Conte, N. (2021, September 22). Visualizing the Rise of
Cryptocurrency Transactions. Retrieved from VISUAL
CAPITALIST: https://www.visualcapitalist.com/visualizing-
the-rise-of-cryptocurrency-transactions/
6. CONWAY, L., & MANSA, J. (2021, November 04).
Blockchain Explained. Retrieved from Investopedia:
https://www.investopedia.com/terms/b/blockchain.asp
7. Gauri, P. (2022, June 04). How can blockchain help in the
environmental crisis ? . Retrieved from THE ECONOMIC
TIMES: https://economictimes.indiatimes.com/markets/crypto
currency/crypto-weekly-authored-article/articleshow/919
99466.cms Global Cryptocurrency Charts. (n.d.). Retrieved
from CoinMarketCap: https://coinmarketcap.com/charts/
8. Grayfell. (2021). Blockchain. Retrieved from Wikipedia:
https://en.m.wikipedia.org/wiki/Blockchain
9. Hu, Y., Liyanage, M., Manzoor, A., Thilakarathna, K., Jourjon,
G., & Seneviratne, A. (2019). Blockchain-based Smart
Contracts - Applications and Challenges.
10. Insights, D. (2021, July 15). The future of payments: Where we
are and where we’re going. Retrieved from paymentsense:
https://www.paymentsense.com/uk/blog/future-of-payments-
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11. Khan, S. N., Loukil, F., Guegan, C. G., Benkhelifa, E., & Hani,
A. B. (2021). Blockchain smart contracts: Applications,
challenges, and future trends. Peer-to-Peer Networking and
Applications.
12. Leithenmayr, R. (2017, 04 20). NGO Committee on
Sustainable Development Vienna. Retrieved from A healthy
planet For future generations: https://csr-sustainability.com
/2017/04/20/smart-contracts-blueprint-for-sustainable-develo
pment-goals/
13. Nakamoto, S. (2008). Bitcoin: A Peer-to-Peer Electronic Cash
System.
14. Nick, S. (1997). The Idea of Smart Contracts.
15. Raj, R. (2023, March 16). What is Bitcoin Blockchain?
Retrieved from IntelliPaat: https://intellipaat.com/blog/tutori
al/blockchain-tutorial/bitcoin-blockchain/#:~:text=Presently%
2C%20the%20bitcoin%20blockchain%20size,around%201%2
0MB%20per%20hour.
16. Salmerón-Manzano, E., & Agugliaro, F. M. (2019).
sustainability. The Role of Smart Contracts in Sustainability:
Worldwide Research Trends.
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and Beyond: A Technical Survey on Decentralized Digital
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ee.org/abstract/document/7423672

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

IMPACT OF ECOTOURISM ON

4 SUSTAINABILITY AND ECONOMIC

EMPOWERMENT: A CONCEPTUAL MODEL
FOR THE STATE OF MIZORAM
Dr. Arindam Ghosh 1, Dr. Mainak Chakraborty2, Lalremruata Hrahsel3
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.04

Abstract
Tourism industry in India has some collateral impacts on the
environment and society due to the irresponsible behavior of the
tourists and other stakeholders of tourism business e.g. local
inhabitants and the tour operators. This impact is detrimental in
nature and degrading the environment and the social components
gradually. At present, the conventional tourism has evolved itself to
ecotourism which demands more responsible behaviors of the
stakeholders. The State of Mizoram has multiple tourism sites which
contain a magnificent blend of pristine nature, people, ecology, and
livelihood. However, the infrastructure of ecotourism is not yet
optimally constructed. The tangible benefits of ecotourism initiatives,
nevertheless, have been questioned with respect to its contribution
towards the social and economic developments. This research has
tried to find some answers to this question by constructing a
conceptual model based on the exploratory study. The independent
and dependent variables along with their items have been identified
through a thorough exploration of the existing and contemporary
research articles. This conceptual model has also tried to identify the
principal moderators and mediators of the relations between the
variables. Finally, a possible linkage is conceptually drawn between
sustainability practices and economic empowerment in ecotourism
locations of Mizoram.

1
Corresponding Author & Assistant Professor, Department of Management,
Adamas University, Kolkata.
2
Associate Professor, Department of Management, Adamas University, Kolkata.
3
Research Scholar, Department of Management, Swami Vivekananda University,
Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Keywords: Ecotourism, sustainable business practices, economic

empowerment, State of Mizoram, conceptual model.

Introduction

T ourism today has emerged as an important economic force in

the world. Both domestic and international tourism has rapidly
won considerable recognition as an activity generating a
number of social and economic benefits. Highlighting its
significance, the World Travel and Tourism Council and World
Tourism Organization proclaim tourism as an industry growing faster
than the world economy in terms of output, value addition, capital
investment and employment. Tourism as a source of foreign
exchange and tax revenue has been attracting increasing attention
from national and regional governments.
Ecotourism, the contemporary branch of tourism, can be
instrumental in opening new growth centers, providing employment
opportunities for young men and women, yielding tax revenue to the
government, sustaining many trades like handicrafts etc. with
minimal exploitation of natural resources and optimum use of
economic and social potentials. Hence, ecotourism is going to open a
new horizon for the world economy for the days to come.

Research Problem
Besides being one of the coveted tourism sites, the domain of
ecotourism is underexplored in the Indian State of Mizoram. In
addition to that, the economic empowerment of the social classes
involved in ecotourism and the sustainability practices related to
ecotourism are also not well explored. The huge potential to develop
an ecotourism business in Mizoram can lead to the benefit of
stakeholders like tour operators, guides, car and hotel owners etc.
Similarly, development of ecotourism will ensure sustainability for
the surrounding environment as well as the entire society.

Objectives of The Study

The objectives of the study are as follows:
• To explore and understand the present status of ecotourism in
Mizoram through survey of literature.
• To study the status of economic empowerment related to
ecotourism in Mizoram through exploration of existing
literature.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

• To study the status of sustainability practices related to

ecotourism in Mizoram through in-depth study of literature.
• To study the possible impact of ecotourism on economic
empowerment and sustainability practices in Mizoram and to
construct a conceptual model of the said relationship.

Background of The Proposed Research

The Sustainable Development Goals (SDG) by United Nations
introduced in 2015 with a vision of transformation towards a
sustainable society by 2030 constitutes the framework for this
research. Among the 17 sustainability goals – Goal #1 (No Poverty)
and Goal #11 (Sustainable Cities and Communities) are the focal
points of this research. These goals lay down the foundation of social
empowerment and sustainable practices. With reference to the
aforementioned research problems, these goals will provide us the
guidelines to understand the scope of economic empowerment and
sustainability component of ecotourism in Mizoram.

Literature Review
Dr. Abdul Hannan Barbhuiya (2016) highlighted that the
tourism industry in Mizoram is still in immature stage but the
performance is admirable. In making the development strategy for
tourism in Mizoram, priority should be given to environment and
ecological conservation because the state lies in the ecologically
sensitive region of the northeast India. There is a wide range and
potential of eco-tourism and adventure tourism in Mizoram.
Bhattacharya (2004) conducted a study to evaluate the status,
progress, problems and potentialities of tourism development in
Assam. He points out that in spite of the state being economically
backward; the state is blessed with rich potential tourist destination.
Hence, there is an ample scope for a decentralized development by
using tourism as means of economic development in the state.
Aref and Gill (2009) study showed that the main objective is to
find out the status of the rural tourism in Iran. Iran has a many
potential in rural tourism but Iran is still in beginning stage. Thus
rural cooperatives are a major critical success factor in rural tourism.
RKPG Singha and Jyoti Bikash Chakma (2013) concluded that
Sikkim is blessed with natural beauty and is unique in its own way.
Sikkim has huge potential to a large number of tourists. Sikkim has a
long way to go before it can compete with tourism facilities of

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

nationally and internationally popular destination like Goa, Kerala,

Rajasthan, and Himachal Pradesh. Tour operators, local communities,
travel agencies, hoteliers, and other agencies played a crucial role in
the tourism sector.
Carter A. Hunt, William H. Durham, Laura Driscoll and
Martha Honey (2014) highlighted that ecotourism in Osa Peninsula
becomes lucrative and important sector of the local economy
comparing with existing economic activity like timber, gold mining,
plantation agriculture, cattle, etc. The study demonstrates that
ecotourism is a high-value economic activity in Osa Peninsula. It is
perceived as providing stable, better paying jobs, and more
opportunity for advancement than other economic endeavours.
David Picard (2015) demonstrated that ecotourism has a
formidable potential to generate income or alternative livelihoods in
developing countries. The lesson that comes out of this work is to
involve the entire population in the tourism sector.
P. Deb Burman, L. Cajee and D. D. Laloo (2007) formulated
that developing cultural and eco-tourism is an additional process.
North-East states of India have enormous potential for both eco and
cultural tourism and this activity is the safest means of sustaining
local and indigenous livelihoods, traditions and their cultural heritage.
Zhenhua Liu (2003) highlighted that interdisciplinary approach
should be adopted in researching sustainable tourism. An
interdisciplinary approach will ease the development in the body of
theory, techniques, beliefs and attitudes.
Himani Kaul and Shivangi Gupta (2009) demonstrated
demonstrate that the growth of domestic tourism in India is double
the rate of international tourism. This study says that India must offer
world-class tourism services and destinations. The environment, local
culture and involvement of local communities need to be preserve.
Hotel management system need to be strong in form so that it can
train the manpower needed for the industry. To achieve sustainable
tourism goal-the industry, government, students and educationalists
need to work together.
Yildirim Yilmaz, Umit S. Bititci (2006) demonstrated value
chain becomes critical to measure and manage the overall efficiency
and effectiveness of the tourism product and services. This paper
aims to offer a tourism value chain performance measurement
framework that allows various to communicate and coordinate their
processes and activities and help to measure the customer and internal

37
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

performance in a more mature manner. For practitioners and

researchers this theory is significant.
Lalhunmawii Chhakchhuak (2013) had done this study in
Champhai district about rural tourism and uses primary data and
secondary data. She examined that rural tourism is the important
instrument for alleviation of poverty, employment generation,
environmental regeneration and advancement of women and other
disadvantaged groups in the country. The study shows that absence of
standard infrastructure is the major barrier for the improvement of
rural tourism in this area.
Madhusudan Karmakar (2011) analysed Ecotourism’s positive
impact on North Bengal by helping in spatial development,
employment generation(both skilled and unskilled), generation of
income and revenue, improvement of standard of living, better
multiplier, rejuvenation of local arts and crafts, acceleration of
infrastructure, diversification of economy.
Norajlin Jaini, Ahmad Nazrin Aris Anuar, Mohd Salleh Dai
(2012) highlighted that ecotourism in Malaysia offers educational and
new experience to tourists, but conservation of environment needs to
improve. The study shows the sustainability can only be achieved if
they are truly put in an application of ecotourism practices.
Priya Bhalla, Alexandra Coghian & Prodyut Bhattacharya
(2016) conducted a study that focuses on the homestays available in
Binsar Wildlife Sanctuary (BWLS) in the Indian Himalayan Region
of Uttarakhand in Northern India. The master plan of homestay in
Binsar is to develop ecotourism opportunities within the area.
Homestay programmed in this region is successful as it generates
sustained income for local individuals where other job opportunities
are lacking.
Santosh. P. Thampi (2005) highlighted the success of the Eco-
development project in the Periyar Tiger Reserve Kerala, India is the
solidity between conservation of the sanctuary and livelihood of
people and thus decreasing the need for forest resources and
increasing their faithfulness to keeping the forests intact.
Chandra Prakash Kala (2013) conducted a study of Eco park
namely Dhanolti Eco park in Uttarakhand State of India on the topic
of ecotourism and sustainable development. His study showed that
innovations in ecotourism are also required. The main finding of the
research is to develop proper planning and policy for meeting the
sustainability of natural resources.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Rosazman Hussin (2008) in his study based on a survey

conducted among 10 homestay participants in the village of Sukau, in
Malaysia revealed that ecotourism development offers the villagers
economic benefits such as new job opportunities, improved family
income and improved standard of living. But, the majority of local
people are still not improved, because of the following factors:
ecotourism is urban oriented; some have no attentiveness in
ecotourism; and, some have sufficient amount of capital.
Geoffrey Wall (1997) highlighted that a balance between
business and environment interests is needed to achieve a sustainable
tourism. The author has further opined that if ecotourism is to
contribute to sustainable development is must be careful planning and
management, economically practicable and socio-culturally
acceptable.
Meena Kumari Devi (2012) pointed out that Assam is a center
of nature-based tourism as it is the land of large biodiversity, rolling
hills, virgin forests etc., so the responsibility of every citizen is to
preserve its rich biodiversity.
Saroj Kumar Koiri, Subhadeep Mukherjee (2018) in their study
in Haflong, Assam conducted with structured questionnaire among
the tourists and local residents. A survey shows that Assam has a lot
of opportunity in terms of natural environment, accessibility and
uniqueness but safety and security are not up to the required standard.
Government must pay attention for the improvement of sports facility
and recreational activities, medical activities and local transportation
services.

Gaps in Existing Research

From the literature review, the need for exploring environment
and ecological conservation status has been identified. It has also
been identified that the decentralized socio-economic development is
still to happen in most of the Indian communities. In view of that the
contemporary research has defined the rural cooperatives as major
critical success factors in rural tourism.
While exploring the scope of rurally oriented ecotourism, the
tour operators, local community members, travel agencies, hoteliers,
and other relevant tourism agencies have been found to be the
essential components of ecotourism in any location.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

The available research articles have established the role of

ecotourism as relatively stable and remunerative economic
opportunity than other economic endeavours.
Moreover, it has been further identified by the contemporary
research that the ecotourism has a formidable potential to generate
income or alternative livelihoods in developing countries.
However, the research has thrown lights upon preservation of
cultural heritage of the ecotourism sites and maintenance of a value
chain system of sustainability development.
Finally, the role of ecotourism has been acknowledged in
alleviation of poverty, generation of employment, environmental
regeneration, and advancement of women and other disadvantaged
groups in the country

Variables of The Study

• The identified items of variable for the study i.e. economic
empowerment, are as follows (World Bank Group, 2017):
➢ Knowledge
➢ Self-esteem
➢ Self-confidence
➢ Economic decision-making ability
➢ Power within the professional community
➢ Control over assets
➢ Organising ability
• The identified items of variable for the study i.e. sustainable
practices, are as follows (United Nations, 2015):
➢ Safe, affordable, and non-polluting transport system for tourists
➢ Monitoring and protection of cultural heritage (including
educating the tourists)
➢ Uncontaminated food and drinking water sources for tourists
➢ Monitoring and execution of waste management (including
educating the tourists)
➢ Safety for tourists, especially for women, elders, and children
➢ Cultural exchange between tourists and local inhabitants.
• The third variable which is expected to have an impact on
ecotourism is the responsible tourism behaviour. The items of
variable identified to measure the responsible tourism
behaviour are as identified by the literature review and are
listed below:

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

• Use and disposal of non-biodegradable materials by tourists as

well as local inhabitants.
• Respect towards the heritage structures by the tourists.
• Respect towards the local culture by the tourists.
• Cultural exchange between tourists and local inhabitants.
• Hospitality of local inhabitants.

Proposed Conceptual Model

After exploring the gaps in existing research and identifying the
study variables, the following theoretical model has been developed
that will be empirically tested in future research.

Fig: The Conceptual Model of Ecotourism in Mizoram

[Source: Constructed by Authors]

As described in the objectives of study, two dependent

variables for this study are proposed to be the sustainability practices
and economic empowerment. Based on the triple bottom line (TBL)
guidelines (Global Reporting Initiative, 2000) the sustainability
practices will be three dimensional i.e. economic, ecologic, and
social. The independent variable i.e. ecotourism initiatives possibly
influences these dependent variables significantly; however, the
principal moderator of these two relations is assumed to be the
responsible tourism behaviour which is a combination of responsible
behaviours of visitors (tourists) as well as local inhabitants. Finally, a
possible linkage is hypothetically drawn between sustainability

41
 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

practices and economic empowerment in ecotourism locations of

Mizoram and will be empirically tested in the future research works.

Expected Outcome of Study

• This study will elucidate the present status of economic
empowerment and sustainability practices of ecotourism
locations in Mizoram.
• Outcome of this study will help identifying the ecotourism
planning and activity gaps.
• The conceptual model will help understanding the problems
associated with economic empowerment and sustainability
practices in Mizoram’s ecotourism business and will build up a
framework to enhance its revenue-earning potential.

References
1. Chhakchhuak, L. Developing Rural Tourism in Mizoram: A
Case Study of Champhai District M.Phil Dissertation, Mizoram
University, India, 2013.
2. Liu, Z. " Sustainable Tourism Development: A Critique".
Journal of Sustainable Tourism. 2003, 459-475.
3. Saroj Kumar Koiri, S. M. "Opportunities and Challenges of
Tourism Industry: Haflong A Wonder Land of Assam".
International Journal of Trans. in Tourism & Hospitality
Management and Cultural Heritage. 2018, 2(1), 1-7.
4. Fariborz Aref, S. S. " Rural Tourism Development through
Rural Cooperatives". Nature and Science. 2009, 7(10), 68-87.
5. Himani Kaul, S. G. "Sustainable tourism in India". Worldwide
Hospitality and Tourism Themes. 2009, 1(1), 12-18.
6. Karmakar, M. "Ecotourism and its impact on the regional
economy- A study of North Bengal(INDIA)". Tourisms: An
International Multidisciplinary Journal of Tourism. 2011, 6(1),
251-270.
7. Norajlin Jaini, A. N. "The Practice of Sustainable Tourism in
Ecotourism Sites among Ecotourism Providers". Asian Social
Science. 2012, 8(4), 175-179.
8. Priya Bhalla, A. C. "Homestays' contribution to community-
based ecotourism in the Himalayan region of India". Tourism
Recreation Research. 2016, 41(2), 213-228.
9. Thampi, S. P. "Ecotourism in Kerala, India: Lessons from the
Eco-Development Project in Periyar Tiger Reserve". 2005 Jun

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(13), 1-10. Available from http://www.ecoclub.com/library/epa

pers/13.pdf
10. Kala, C. P. "Ecotourism and Sustainable Development of
Mountain Communities: A Study of Dhanolti Ecopark in
Uttarakhand State of India". Applied Ecology and
Environmental Sciences. 2013, 1(1), 98-103.
11. Hussin, R. "Ecotourism and community participation in the
homestay programme of Sukau village: Long-term or limited
benefits?" Jurnal Sarjana Jilid. 2008, 23(1), 72-86.
12. Wall, G. "Is Ecotourism Sustainable?" Environment
Management. 1997, 21(4), 483-491.
13. R Kumar, S. R. "Tourism in North-East India". Delhi: Arpan
Publications. 2013.
14. Devi, M. K. "Ecotourism in Assam: A Promising Opportunity
for Development". South Asian Journal of Tourism & Heritage.
2012, 5, 179-192.
15. Picard, D. "Making ecotourism sustainable: refocusing on
economic viability, Lessons learnt from the 'Regional strategic
action plan for coastal ecotourism development in the South
Western Indian Ocean". Journal of Sustainable Tourism. 2015,
1-17.
16. Yildirim Yilmaz, U. S. "Performance measurement in tourism:
a value chain model". International Journal of Contemporary
Hospitality. 2006, 341-349.
17. Gupta, H. K. "Sustainable tourism in India". Worldwide
Hospitality and Tourism Themes. 2009, 12-18.
18. P. Deb Burman, L. C. "Potential for cultural and eco-tourism in
North East India". Sustainable Development and Planning.
2007, 715-724.
19. Carter A. Hunt, W. H. "Can ecotourism deliver real economic,
social, and environmental benefits? A study of the Osa
Peninsula, Costa Rica". Journal of Sustainable Tourism. 2014,
1-19.
20. Chakma, R. S. "Eco-Tourism in Sikkim: a study on its
prospects and problems". Mizo Post Graduate Science Society,
Aizawl, India. 2013
21. Gill, F. A. "Rural Tourism Development Through Rural
Cooperatives". Nature and Science. 2009, 68-73.

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22. Barbhuiya, D. A. "Tourism in Mizoram: An Economic

Perspective". An Interdisciplinary and Multilingual Annual
Refereed Journal. 2016, 91-98.
23. Bhattacharya, P. "Tourism in Assam: Trend and Potentialities".
1st ed. Bani Mandir, Assam, India. 2004, 6-28.
24. Prasad, P. G. "Global Tourism Principles and Practices".
Adhyayan Publishers and Distribution, New Delhi, India. 2010.

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SOCIAL IMPACT INVESTMENT AND

5 PHARMACEUTICAL INNOVATIONS: THE

ROLE OF HEALTH CARE IN BRIDGING THE
ENDS
Dr. Arundhati Banerjee 1, CA. Bedanta Bhattacharya 2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.05

Abstract
In the modern world with the increased population, there is a surge in
demand for better health care to meet the health crisis of millions of
lives. The health segment would require both existing interference
and new innovations in various ways ranging from medicine,
technology, accessibility and so on. For meeting all the necessities, a
proper source of financing is utmost necessary and stands as an
important criterion. In the current scenario one of the buzzing areas in
finance can be well directed to social impact investments. These
investments not only promote the societal benefits but also enable to
generate an attractive return. With these investments as a source of
finance in the healthcare segment, there is an expectation in the
availability of improved health care coupled with innovative products
and services. The current chapter looks into the details of the social
impact investment, the status of impact market, the investments of the
impact fund into health care segment and the potentialities of the
innovations in the area. While processing in this mode of financing
various challenges is observed while are briefly outlined along with
suggestive solution.

Introduction

I nvestments are the vital element for steady flow of the projects
undertaken by any entity. Investments enable the entrepreneurs,
the businessmen and so on to pursue their predestined goals on
one hand and on the other enables the investors to leverage their
money by adding a percentage as return to their investments.
Traditionally, investments denote assignment or allocation of the

1
Corresponding Author & Associate Professor, Post Graduate Institute of
Hospital Administration
2
Practicing Chartered Accountant

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

resources in various forms e.g., money, time, materials and so on, in

lieu of return. Though investments can be of various forms but the
chapter concentrates on monetary investment. Various types of
financial investment have come into existence e.g., equities, bonds,
real estate, mutual funds, commodities, cryptocurrencies and so on.
But with the elapse of time, the global economy has become familiar
with another form of financing i.e., social impact investment. This
form of investment was brought into existence by Sir Ronald Cohen
and has gained importance in the finance market. The new form of
investment is characterized with peculiar features e.g., intentionality,
financial returns, range of asset class, impact measurement. The
impact market which was initiated in early 2000 stood at US$ 25.4
billion in 2013 then to US$ 35.5 billion in 2015 and thereafter
increased to US$ 715 billion in 2019 while the figure jumped to US$
1.164 trillion. This form of investment has its foothold in different
segments namely WASH (Water, Sanitation, Hygiene), healthcare,
energy, financial services, agriculture and so on. Among the various
segments mentioned herein the emphasis is laid on the social impact
investment in health care. The world’s population is growing at a
large rate so it is of utmost necessity to take due care of the health
issues of all the people of the globe. This would require due
investment along with the sweet returns on investment. In this frontier
this form of investment would be of much help. Thus, the chapter
looks into the health segment and the social impact investment and
also examines whether there is scope for any new innovations or
inventions.
The chapter is divided into 4 sections: Section 1 given an
introduction on the social impact investment and its different
participants; Section 2 provides a detailed picture of the position of
the impact investment market; Section 3 deals with the involvement
of social impact investment as a vital form of investment in
Healthcare; Section 4 examines the potentialities of innovation
backed by social impact investment in healthcare segment; Section 5
provides information on the likely challenges and suggests for
solutions.

Section 1: Social Impact Investment and its Participants

Social Impact Investment is a new form of financing brought
into existence for enabling both a positive impact in the environment
and society along with earning a rate of return on amount invested.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

The difference of this type of investment from the traditional

investment lies in their ultimate aim or objective of the investment.
The traditional investment shall address that no harm is being done
while the impact investments are done only for positive or good of
society or environmental aspect. Another difference is the rate of
returns expected by the investor. The traditional investments are for
high rate of returns while the social impact investment expect for
minimal returns. Thus, this form of financing would be available for
those projects that are initiated for environmental and social welfare.
Impact Investment has a blended element of philanthropic values and
financial returns. It can also be called as Social and Economic Fusion
financing. In the words of Global Investing Network, Impact
Investing is “investment made into companies, organizations and
funds with the intention to generate measurable social and
environmental impact alongside a financial return”. The term
“intention” distinguishes social impact investment from other forms
of investment.
The social impact investment focuses on the social and
environmental wellness, but would be included in it? This form of
financing is available for projects that emphasizes on improving the
standard of living i.e., making basic and higher education accessible
to the common man, providing new and improved health benefit to
the common man and so on. The environmental impacts will involve
new and better facility relating to water, sanitations, waste
management, using of renewal energy, reducing water pollution and
so on. Along with the social and environmental aspect on one side,
the investments seek to recover a single bottom line.
There are various players of the social impact investments.
These players are categorized into various groups by the different
market researchers. The first categorization consists of dividing the
participants in to four groups i.e., a) professional investors, b)
institutional investors, c) partnership with the corporate and d)
financial industry. The second categorization would include a) Impact
First Investors b) Investment first Investors and c) Catalyst first
Investors

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 1: Classification of Impact Investors

A brief explanation to these groups is provided below.

Professional Investors refers to investors are focused on well-
being of the society. They deal with the ethical funds which are
ultimately responsible for social welfare. The market coverage under
this form stands out to US$3.74 trillion.
The institutional investors are also turning up under this form
of financing. They focus their interest on the energy transition area.
On a survey of 770 institutional investors inclusive of pension funds
and insurers is found to manage worth US$ 27.5 trillion assets. The
survey revealed that there is a growing awareness and interest in
impact segment in the energy transitions hails from UK, Asia -Pacific
region.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Partnership with the Corporates-The startups in the societal and

environmental segments faces various problems in bringing out
products or services. The sales cycle becomes sometimes very
lengthy. To reduce such difficulties, big corporates offer
collaborations and partnerships. This would thus provide resource for
the completion of on-going work of the small enterprises in the
impact segment.
Financial Industry-The large banks and the financial
institutions have unleashed the impact segment for their meaningful
investment. These investments will be directed for a welfare purpose
and as well as for a minimal rate of return.
Impact -First Investors group focus on maximizing social or the
economic aspect as the primary criteria of their investment. The
financial returns are the secondary target.
Investment-First Investors-This group of investors emphasis on
the market-rate of return or the premium returns on the investments.
The social or environmental goals are the secondary objective.
Catalyst First Investors- The participants of this group provide
equal emphasis on both the societal aspect as well as the bottom line.

Section 2: The Impact Market- A Glimpse

The inception of the Impact Investment was initiated with the
novel idea of Sir Ronald Cohen. The new idea of investment that was
launched in early 2000 reached to a level of USD 1.164 trillion
according to the GIIN Survey report 2022. The survey indicates that
the market is growing with elegance and significance. To provide a
view of the impact market, the amount raised by investors through the
different years, various classifications of this form of investment have
been made and shown in the following figures.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 2: Capital Raised under Impact Investment

Capital Raised under Impact Investment

600

500
Euro in Billions

400

300

200

100

0
20102011201220132014201520162017201820192020202120222023
Source: https://phenixcapitalgroup.com/what-is-impact-
investing

Figure 2: An Overview of the Impact Investors in the different

Parts of the Globe
An Overview of the Impact Investors in the different
headquarters
60 55
50
50
37
40 31
30
%

20
10 2 1 1 0.1 3 1 2 0.5 2 1
0

% of the Organisations
Source: https://thegiin.org/research/publication/impact-investing-market-
size-2022/

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 3: Social Impact Investment as per types of Organisations

Classification as per Forms of Organisation

Others

Pension/Retirement Funds

Family Offices

DFI

Diversified Financial Institutions

Non-Corporate Foundations

Fund Managers

0% 10% 20% 30% 40% 50% 60% 70%

Source: https://thegiin.org/research/publication/impact-investing-market-
size-2022/

Figure 4: Classification of Social Impact Investment as per Asset

Classes and the Funds raised

Seggregation as per Asset Class and the

funds raised
1.7 0.3

5.3
7.5
29.8

25.8

29.6

Public Equity Real Assets Private Equity Private Debt

Public Debt Funds of Funds Hedge Funds

Source: https://phenixcapitalgroup.com/what-is-impact-investing

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Section 3: Social Impact Investment and the Health Care

The previous sections have provided an overview of the impact
investments and also highlighted the impact investments according to
the different organizations located in different countries in the globe,
the different asset class where the impact investment is being done
and so on. This section examines the sectorial contribution towards
the impact investment. The survey of data shows Health Care
constitutes only 7% among the various segment in impact
investments. The leading segment being the energy followed by
financial service (excluding microfinance). Though a minimal
percentage yet a growing segment for future destination of the social
impact investment.
But how and in what way this form of investment would be
beneficial for the healthcare segment? Healthcare segment, by
becoming an active participant in the impact investment, can
encourage and enable various innovations both in the medicine and
the process or the technological process, enable smooth access to the
health care service to the common man, provide for proper sanitation
in every area for habitant, make arrangement for health education and
training and so on.
This section investigates upon the participation of the health
care as an important impact investor through different case studies
and data survey. On survey of the various articles and reports, it is
found that investment in form of private equity in healthcare sector
has soared over the last 10 years. The survey also revealed that
estimated annual value of the deals have gone from $41.5 billion in
2010 to 119.9 billion in 2019, for a total of approximately $750
billion over the last decade. The total number of deals transacted for
the social cause during the period 2010 to 2020 amounts to 633. The
review of the different reports and articles have pointed out some
examples on the health impact firms that have been identified which
are highlighted here. The companies that are worth mentioning are
VIC Technology Venture Development, Merck, Sanofi Global Health
Unit, Elucid, Audax Group, Shore Capital Partners, New Mainstream
Capital, Zipline and so on. Amongst these health impact investors, the
section focussed on VIC Technology Venture Development.
VIC Technology Venture Development is well known in the
healthcare segment as a business incubator for startup that focuses on
the innovative technology as well as having potential in launching the
product in the market. The company provides all support for its

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

portfolio companies ranging from expertise skills advise to financial

investment. The firm has a portfolio of many companies in the life
science area. Each newly created company in the portfolio receives a
seed capital that ranges from $250000 to $500000. The VIC’s
investment policy is characterised with following features-a)
Investments cater to the life sciences; b) The companies in the
portfolio emphasises on the innovative technologies; c) The focus on
investment is to provide positive societal and environmental impact;
d) They emphasis on the companies that uses breakthrough medical
appliances on one hand and on the other, new and innovative
lifesaving drugs or vaccines.
There are 18 companies under VIC investment portfolio. The
companies that are included in the VIC’s portfolio are OsteoVantage,
SFC Fluidics, Solenic Medical, Inc., Zebra Analytix, Tesseract
Structural Innovations, Filtravate, Neurexis Therapeutics, Calyxo,
BlueInGreen (BIG), Ascendant Dx, BiologicsMD, Akeso
Biomedical, and so on.
Thus, VIC’s imbedded object is to create companies that focus
on improving the quality of human life significantly by introducing
innovative breakthrough technologies which enable discovery of new
drugs or fasten the process of drugs, introduction of improved
medical devices, improving the diagnostics and so on by the privately
held start-ups. This would also create an opportunity for excellent
investment by individual accredited investors having a positive social
impact as well as generating attractive returns. The average returns on
impact capital private debt ranges between 8% and 11%, while the
return on private equity lies between 16% and 18%, as per GIIN.

Section 4: Potentialities of Pharmaceutical Innovations with the

health impact investment
To investigate the opportunities of new and novel innovation
by the health impact investment, a survey on the portfolio of
companies of VIC is done and from the portfolio few companies are
examined. The scope of new inventions can be better interpreted by
the referring to the Covid situation. During the times of pandemic,
many companies have come up with new drugs, vaccines and
improved technologies. The companies for example Solaris Vaccines
focusses on arrest the likely threat to global health caused by current
and future pathogens. This is a vital need that was unmet laid bare by
the ongoing pandemic. In this area, Solaris is taking the help of the

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

technology, previously used for inactivating pathogens in the blood

supply to rapidly produce safe and effective vaccines against viruses,
bacteria and parasites under the tradename SolaVAX™.
Another company in the portfolio, CardioWise proposes a new
approach to cardiac diagnostics-through machine learning technology
to image processing in creating transparent, unbiased, clinical
evaluation. CardioWise’s SQuEEZTM software provides direction to
new diagnostic metrics that can address unprecedented insights to
cardiologists and their patients. This has the capability to save lives
and reduce healthcare costs worldwide.
Apart from the above companies, the third company selected
from the portfolio is Vixiar Medical. The company has developed a
non-invasive hand-held device and software platform for examining
congestion to detect worsening heart failure. The Company’s
Indicor™ device serves various purposes namely point-of-care use in
hospitals, physician’s offices, skilled nursing facilities, and patient
homes. The device has been tested in over 600 patients in multiple
studies. Market prospect is assessed at $1.5 billion.
Thus, from the sample cases examined, it can be inferred that
innovations for the social welfare in the form of imparting improved
medicines, health services etc., is possible and shall be encouraged.
This would improve the society and also return a percentage on the
impact amount invested.
Section 5: Challenges and Recommendations
Though the novel idea that has developed in early 2000s but it
is yet to reach its peak. The survey of extant reports reveals main
impediments that are faced in the smooth operations of the process of
impact investment in health care. The most important being a) lack of
transparency in deals, b) absence of accepted standards of monitoring
the investments, c) lack of proper measurement of the impact and so.
To address the challenges, it is suggested proper guidelines to
be framed for ensuring the transparency, a framework of policies to
be done for continuous monitoring of the investment and further
researches or study to be conducted for ensuring proper channelising
of the social impact investment.
References
1. Clarkin, J. E., & L. Cangioni, C. (2016). Impact investing: A
primer and review of the literature. Entrepreneurship Research
Journal, 6(2), 135-173.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

2. 2020 Annual impact investor survey2020 Available at https:/

/shorturl.at/bcqO1
3. Impact Investing in Healthcare, https://shorturl.at/exJR6
4. Yelnikova, J., & Kwilinski, A. (2020). Impact-Investing in The
Healthcare in Terms of the New Socially Responsible State
Investment Policy. Business Ethics and Leadership, 4(3), 57-
64.
5. Healthcare-Focused Impact Investing: Another Way To Invest
For Change available at https://shorturl.at/almo5
6. Impact Investing in the Healthcare Technology Sector
https://www.barrons.com/articles/impact-investing-in-the-
healthcare-technology-sector-01631732913
7. Safavi KC, Cohen AB, Ting DY, Chaguturu S, Rowe JS.
Health systems as venture capital investors in digital health:
2011-2019. NPJ Digit Med. 2020 Aug 4;3:103. doi:
10.1038/s41746-020-00311-5. PMID: 32802968; PMCID:
PMC7403411.
8. Education, healthcare, agriculture got bulk of $2.6 billion
impact investments in 2020 https://www.businesstoday.in/lat
est/corporate/story/education-healthcare-agriculture-got-bulk-
of-26-billion-impact-investments-in-2020-287242-2021-02-11
9. How did India’s impact investment market fare in 2021?
https://shorturl.at/bjMU2
10. https://www.statista.com/statistics/1197702/share-aum-impact-
investments-worldwide-by-sector/
11. Status of the Social Impact Investing Market: A Primer, https
://www.gov.uk/government/publications/status-of-the-social-
impact-investing-market
12. D’Souza, R. E. N. I. T. A. (2020). Impact Investments in India:
Towards Sustainable Development. ORF Occasional Paper,
(256) https://www.orfonline.org/research/impact-investments-
in-india-towards-sustainable-development-68378/
13. Meet the Top 10 Impact Investors in the Middle East and North
Africa (MENA) https://newsandviews.vilcap.com/posts/top-10-
impact-investors-mena
14. Elucid Secures $8 Million in Series A Funding Led by MedTex
Ventures and Global Health Impact Fund; https://elucid.com
/elucid-secures-8-million-in-series-a-funding-led-by-medtex-ve
ntures-and-global-health-impact-fund/

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

DIGITAL TRANSFORMATION IN INDIA'S

6 PRIMARY SECTOR: UNLEASHING GROWTH,

PRODUCTIVITY, AND EQUITABLE
DEVELOPMENT
Dr. Ishita Datta Ray 1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.06

Abstract
The study provides an overview of the concept of digitalization in the
Indian economy, its impact on the primary sector, and the potential of
digital technologies and modern management science to drive growth
and development in agriculture and allied activities.

The various schemes adopted by GOI to create a secure digital

infrastructure, provide online public services, and promote digital
literacy in the agriculture and allied sectors have also been
highlighted in the present work. The methodology employed in this
study relies on secondary data collected from government
publications, official portals, and dedicated digitalization project
websites. The analysis and discussion section explored how modern
management science and startups can help in digitalizing the primary
sector in India. The study is limited to the perspectives and
experiences captured from secondary data and did not include
external stakeholder perspectives as primary data source.

Keywords: Digitalization, Primary Sector, Sectoral Imbalance,

Modern Management, Labour-intensive Technology.

Introduction

T he process of incorporating digital technologies into various

economic activities, such as the production, distribution,
consumption, and exchange of products and services, is
referred to as “digitalization of the economy”. To optimize corporate
operations and advance economic activity this entails the adoption of

1
Associate Professor, Department of Management Studies, Institute of
Leadership Entrepreneurship & Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

digital technologies like the internet, mobile devices, artificial

intelligence, big data, and block chain among others. The modern
economy is driven to a considerable extent by digitalization, which
lowers transaction costs, boosts productivity, and enables enterprises
to be more adaptable and responsive to shifting consumer
expectations. Moreover, it is a vital instrument for governments to
boost innovation, provide better public services, and encourage
inclusive economic growth. In the Union Budget of 2023-24, Rs.
4795.24 crores was allocated as outlay for the “Digital India”
programme. The creation of a secure and reliable digital
infrastructure, the provision of public services online and widespread
digital literacy are its three major elements. Plans for connecting rural
areas of the country to high-speed internet networks are part of this
effort as well. The R&D wing of the Ministry of Electronics &
Information Technology of GOI is laying emphasis on different
technology-driven areas such as high-performance computing,
microprocessor development, blockchain technology, quantum
computing, data analytics, technology for Indian languages, e-
security, health informatics, IT applications in agriculture, etc.
(MEITY, 2023).

Theoretical Background
India is being projected as the US $ 26 trillion economy and
her per capita income is likely to exceed US $ 15,000, making India
at par with the developed economies by the year 2047-48 according
to the report published by Earnest & Young (2023). India’s invisible
export had increased by 14%, and was US $ 254.5 billion in 2021-22,
majority of it owing to the IT services and BPO services which was
US $ 157 billion in that FY. So far the secondary and tertiary sectors
of the economy are where digitalization is most prevalent. E-
commerce, digital payments, online advertising, social media
marketing, cloud computing and the Internet of Things (IoT) are a
few examples of activities that fall under the umbrella of the digital
economy. A paradigm shift is emrging in the ambit of education and
health services as well where application of digitization is the game
changer. At 2011-12 prices, the composition of the primary,
secondary and tertiary sector in the GDP of the Indian economy is
16.38%, 29.34%, and 54.27% respectively (Statistics.com). As the
tertiary sector is the highest contributor in the GDP in Indian

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

economy, hence this sector enjoys the highest attention where the
application of digitization becomes most prominent.
The economic indicators show that the Indian primary sector is
a sector of lesser priority. But as a country with a population size of
near about 142.5 crores, India must put significant emphasis to
increase the productivity of the primary sector – majorly agriculture,
aquaculture, and cattle farming. Not only this sector feeds the entire
country, but the contribution of the primary sector (in proportion to its
workforce employment) is continuously declining in the GDP and
GVA of Indian economy. According to the NITI Aayog Discussion
Paper 1/2022, 54.4 percent of the Indian workforce is employed in the
secondary and tertiary sectors together, which account for more than
80% of the country's gross value added, while 45.6% of the
workforce is employed in the agriculture and allied sector, which
contributed 18.29 percent of GVA in 2019–20 (Chand and Singh,
2022). The sectoral share of income and employment variance is a
clear indication of growing disparity in per-capita income between
the primary and non-primary sectors. Hence, it is high time to
increase the GVA of the Indian primary sector (60 percent of the
workers are women in this sector), and bring a parity among the
earnings of the workforce engaged in the three sectorsto establish
some balance in sectoral shares.

Objectives & Methodology

The three objectives of this study are as follows. The initial
goal is to explore the frontier of digitalization in the primary sector,
which includes agriculture and related operations. This entails
researching the sector's existing adoption of digital technology in
conjunction with contemporary management science, recognizing the
opportunities and obstacles, and comprehending the possible effects
of digitalization on the primary sector. The second objective is to
determine how increasing the usage of digital technology can raise
the primary sector's GVA. This entails identifying specific digital
tools, techniques, and practices that can be implemented in
agriculture and allied activities to increase productivity, efficiency,
and overall economic output. The third objective aims to find
solutions to reduce the existing sectoral imbalance in the primary
sector. This involves studying the current distribution of resources,
investments, and technologies within the agriculture and allied sector
and exploring how digitalization can help bridge the gap. The

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

objective is to identify strategies and interventions that can promote

inclusive growth, equitable access to digital resources, and balanced
development across different regions and sub-sectors of the primary
sector.
This section outlines the methodology employed in conducting
a research project that is entirely based on secondary data collected
from government publications and announcements of projects on
various digitalization schemes in government websites to address the
research objectives of examining digitalization schemes implemented
by the government. To identify suitable secondary data sources, an
extensive review of government websites including official portals
and dedicated digitalization project websites, publications,
announcements related to digitalization schemes, etc. were explored.

Literature Survey
This section is segregated into two parts. The first part focuses
on the present scenario of the primary sector of India in terms of
productivity, GVA and sectoral inequality. The second part focuses
on the potential of emerging technologies such as AI, Blockchain,
Remote sensing, GIS technology, drones, and robots in transforming
and modernizing agriculture and allied sectors.

Productivity in Primary Sector of India

The total food grain and oilseed production in India has
increased by 26 percent and 29 percent respectively for the last
decade, from 2012-13 to 2nd advance estimate of 2022-23 (MAFW,
2023). This is a favourable figure vis-a-vis the percentage growth of
Indian population (11 percent) during that period. Notwithstanding
the increase in total agricultural output, the problems of the agrarian
sector of India are manifold like low productivity per unit of land,
depleting ground water level, lack of water management, top-soil
erosion, over-usage of pesticides and chemical fertilizers to name a
few.
India is the third largest fish producer and second largest
producer in aquaculture in the world (Department of Fisheries, 2023).
In spite of this the Department of Fisheries has stated that output of
inland fisheries and aquaculture in India has expanded in absolute
terms, but there exists the problem of under-capacity utilization.
Given that just 13% of the nation's 1.42 million Ha of brackish/saline

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

area is used, brackish water aquaculture has enormous potential to

realize.
Livestock is a significant subsector of the primary sector in
India. According to National Accounts Statistics (NAS) 2020 data,
the contribution of livestock in the GVA of the primary sector
increased from 24.32 percent from the year 2014-15 to 29.35 per cent
in the year 2019-20at constant prices (Economic Survey, 2021-
22).India is ranked the numero uno in the world in milk production
having 23 percent of the global share. Producing 209.96 million
tonnes in 2020–21, milk output in the nation has increased at a
compound annual growth rate of approximately 6.2 percent. Albeit,
the annual average milk production the cattle of India is half the
global average (Singh, 2022). Recurrent occurrence of diseases, low
fertility rate in artificial inception, insufficiency of good quality
germplasm, low crossbred population, dearth of trained human
resources are the major obstacles in the field of animal husbandry in
India.

The Role of Digitization to Overcome the Impediments

Notwithstanding a number of impediments are there in the path
of increment of productivity and GVA of the Indian primary sector,
there exists immense potentiality to reap the benefit of digitalization
in this sector to take the challenges in its stride. Digital instruments
that gather, store, analyze, and distribute electronic data and/or
information in agriculture is referred to as e-agriculture, smart
farming, or digital agriculture. Currently, AI aids farmers in choosing
better crops, hybrid seeds, and resource-efficient agricultural
practices, which help them to enhance production. It is also used to
increase farming precision and productivity to help farmers build
seasonal forecasting models (Jain et al, 2022).
GOI has taken up new initiatives in the recent time to apply
digital technology to enhance the efficiency in the primary sector.
Several schemes based on digital technology have recently been
implemented to empower farmers with digital tools, enhance market
access, improve productivity, and promote sustainable agricultural
practices. In order to promote innovation and adapt these
technologies, the government, universities, research institutes, and the
corporate sector will work together as part of the Digital Agriculture
Mission 2021–2025. It focuses on capacity building, infrastructure
development, policy support, and financial assistance to facilitate the

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implementation of digital agriculture projects across the country. The

mission aims to create a digitally empowered agricultural ecosystem
that enhances the livelihoods of farmers, promotes sustainable
practices, and contributes to food security (Bordoloi, 2022).
In a report published by Cleantech Group in 2019 it was shown
that with a CAGR of 4.77% over the forecast period, the worldwide
fish farming market is anticipated to increase from $275 billion in
2017 to $376 billion in 2025. According to the World Resources
Institute, to meet the predicted demand for fish between the period
2010 and 2050, the capacity of fish farms will need to increase by
more than 100 percent. Digital solutions will be necessary to meet the
demand for increased productivity and environmental sustainability
(Sworder, 2019).The digitalization of fish farming in India aims to
enhance productivity, improve sustainability, reduce risks, and
increase profitability for fish farmers. Digitalizing fish farming in
India involves leveraging digital technologies and innovations to
enhance various aspects of fish farming operations through
Aquaculture Monitoring, Automated Feeding Systems, Water Quality
Management, Disease Detection and Management, Market Linkages
and E-commerce, etc.
Ministry for Fisheries, Animal Husbandry and Dairying had
launched the Online Market Place feature "Aqua Bazar" in the
“MatsyaSetu” mobile app in August 2022 (Press Release, 2022). The
marketplace intends to link up all the stakeholders involved in
aquaculture. The National Fisheries Development Board (NFDB),
through the Pradhan Mantri Matsya Sampada Yojana (PMMSY),
provided funds for developing the "MatsyaSetu" app. The online
market place aims to assist fish farmers and other stakeholders in
locating the inputs—such as fish seeds, feed, medicines, other
supplies and services needed for fish culture. Fish farmers can also
post their fish for sale on the market place. MatsyaSetu is a
transformative initiative that aims to bridge the digital divide and
unlock the potential of digital technologies in the fisheries and
aquaculture sector in India. It strives to empower fish farmers,
enhance their income-generating opportunities, and contribute to the
overall growth and development of the sector.
The objectives of digital technology adoption in cattle farming
include improving productivity, enhancing animal welfare, reducing
disease risks, optimizing resource utilization, and increasing
profitability. By leveraging digital innovations, cattle farmers can

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make data-driven decisions, improve operational efficiency, and

contribute to the growth and development of the livestock sector in
India through use of IoT sensors, RFID tags for identification of
cattle, AI driven breeding management system, GPS tracking of
cattle, data analytics, veterinary telemedicine, etc. to supervise and
improve various aspects of cattle farming (Groher et al., 2020).
The focus of National Dairy Development Board (NDDB) is to
develop a robust digital ecosystems like Information Network for
Animal Productivity & Health (INAPH), which is the national
database in which over 230 million animals are registered. The
National Digital Livestock Mission (NDLM) has incorporated the
mechanisms for traceability, disease surveillance, and control
programmes. NDDB has also developed e-GOPALA platform to
provide real-time information to dairy farmers for better productivity
of dairy animals, buying and selling of good-quality germplasm,
guide cattle farmers in artificial insemination, veterinary first aid,
vaccination, treatment, animal nutrition, etc. In e-GOPALA platform
and IMAP web portal there is provision to send alert on due date for
vaccination, pregnancy diagnosis, calving, etc., and inform farmers
about various government schemes (Press release, 2022).

Analysis and Discussion

This section is segregated into two sub-sections – firstly, how
the modern management science can help to digitalize primary sector
in India, and secondly, how the modern management science can help
the primary sector to grow when it fully adopts digitalization.
Digitalization often involves the adoption and integration of
various technologies. Modern management science can guide the
evaluation and selection of suitable digital tools and platforms that
align with the specific needs of the primary sector. It helps in
assessing the feasibility, cost-benefit analysis, and implementation
strategies for technologies like IoT, cloud computing, big data
analytics, and artificial intelligence. By analyzing the existing
processes, identifying pain points, and understanding the potential
benefits of digital technologies, businesses can prioritize their
digitalization efforts and allocate resources effectively. Digital
transformation requires changes in processes, workflows, and
mindsets within an organization. Modern management science
provides change management frameworks and strategies to
effectively manage the transition. It emphasizes the importance of

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employee engagement, training, and communication to ensure

organizational readiness and smooth adoption of digitalization
initiatives. In the context of digitalization, it helps establish key
performance indicators to monitor the impact of digital initiatives. By
collecting and analyzing data on productivity, cost savings, customer
satisfaction, and other relevant metrics, businesses can assess the
effectiveness of their digitalization efforts and make data-driven
decisions for continuous improvement. It can contribute to the
digitalization of agricultural and allied sectors by applying
management techniques like Data-Driven Decision-Making,
Precision Agriculture, Digital Marketing & E-Commerce, Supply
Chain Optimization and Agile Project Management by collecting and
analyzing data from various sources such as sensors, satellite
imagery, and weather forecasts to provide valuable insights into crop
yields, livestock health, quality control, enhanced sustainability,
market trend forecasting, reduced dependency on intermediaries and
resource allocation.
Modern management science, when combined with
digitalization, can unlock significant growth potential for the primary
sector. It empowers businesses with tools, strategies, and insights to
enhance productivity, improve decision-making, optimize resource
management, expand market reach, foster innovation and promote
collaboration. By fully embracing digitalization and leveraging
modern management practices, the primary sector can thrive in the
digital era. Digitalization provides access to vast amount of data from
various sources. Modern management science emphasizes data-
driven decision-making, leveraging analytics and artificial
intelligence to analyze and interpret data. By using advanced
algorithms and predictive models, businesses in the primary sector
can make more informed decisions regarding crop and aquatic
production management, inventory control, pricing strategies, market
expansion, development of niche markets and analysis of market
trends, adapt to changing market dynamics, which can drive growth
and competitiveness in the digital landscape. By connecting with
experts, researchers, and stakeholders in the digital space, primary
sector businesses can access valuable insights, exchange best
practices, and encourage innovation through collaboration, ultimately
fostering evolution and development.

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Recommendation and Conclusion

India is a labour abundant country naturally prone to adopt
labour-intensive technology predominantly in the primary sector. The
soaring supply of unskilled labour compared to demand for
agricultural labour resulted into lower wage rate and lesser value
addition in this sector. This phenomenon is not only creating
structural imbalance but gender inequality as well, because as per
data provided by NITI Aayog, 60 percent of women-workforce in
India is employed in primary sector and among them 70 percent
belongs to the household of the farmers leading to low-wage or no-
wage (Chand and Singh, 2022). Moreover, low earning opportunity,
low productivity and disguised unemployment together are
compelling the rural workforce to search for employment in the
secondary and tertiary sectors creating futile rural-urban migration
and involuntary unemployment in these two sectors. Apart from that
as literacy, education, and access to higher education, skills, and
vocational training have improved over time in the rural sector,
therefore, it is the pressing need of the hour to create opportunity for
the skilled workers in primary sector of India. With significant
investments in technology, infrastructure, equipment and training
Indian primary sector will be able to create opportunity and
accommodate its increasing skilled workforce that will lead to greater
productivity and GVA in Indian economy. Improved productivity is
important to meet the Food Security drive of the country, whereas
increased wage rate will be able to entice the skilled workforce from
the secondary and tertiary sectors towards the primary sector to ease
the pressure on those two sectors.
Startups have vast opportunities to contribute to the
digitalization of the primary sector by developing innovative
solutions, leveraging emerging technologies, and addressing the
specific challenges faced by farmers and producers. By bringing
together technology, entrepreneurship, and domain expertise, startups
can drive positive changes and play a vital role in transforming the
primary sector for the digital age. Already a number of startups are
established and operating in India like KhetiGaadi, Crofarm,
Farm2Fam, MeraKisan, FreshoKartz, Stellapps, Ninjacart, Intello
Labs, etc. providing innovation, technology, and new business
models to address various challenges, and tap into untapped potential.
There exists tremendous scope for further investment opportunities to
explore the uncharted territories of the Indian agriculture and allied

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sector to make the most of its under-utilized capacity.

Digitalization of the primary sector is likely to make it more
capital-intensive due to the need for significant investments in
advanced technologies, infrastructure, and data management systems.
However, it is important to note that the exact level of capital
intensity will depend on various factors, including the specific
technological solutions implemented and the scale of digitalization
adopted in each industry. The foremost condition of digitalizing the
agrarian and allied sectors is to impart skill to the workers, which in
turn will convert them into human capital. India, being a country with
an abundance of labor, has the potential to convert its primary sector
into a capital-intensive sector without reducing employment
opportunities for laborers. This can be achieved by employing skilled
workers who will possess qualities that are typically associated with
capital.

References
1. Bordoloi, P. (2022, August 1). India’s Digital Agriculture
Mission is about people, not projects, Analytics India Magazine
2. Chand, R. and Singh, J. (2022, March). Workforce Changes
and Employment – Some Findings from PLFS Data Series,
NITI Aayog Discussion Paper, pp. 11
3. Department of Fisheries, Ministry of Fisheries, Animal
Husbandry & Dairying, 2023, https://dof.gov.in/
4. Economic Survey, 2021-22, www.indiabudget.gov.in/econom
icsurvey/ebook_es2022/files/basic-html/page276.html, pp. 276-
277.
5. Groher, T., Heitcamper, K., & Umstaetter, C., (2020). Digital
Technology Adoption in Livestock Production with A Special
Focus on Ruminant Farming. Animal, 14 (11), pp. 1,
Cambridge University Press on behalf of The Animal
Consortium
6. Jain B., & Dhar, I. (2022), “Digitalisation of Agriculture in
India”, Strategic Investment Research Unit, https://www.inves
tindia.gov.in/
7. Ministry of Agriculture & Farmers’ Welfare (2023), agricoop
.nic.in/en/Advance_Estimates_of_APY
8. Ministry of Electronics & Information Technology, 2023,
https://www.meity.gov.in/research-development

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9. Press Release (2022, October 20), India Using Innovation &

Digitisation for Dairy Development: Chairman, NDDB at
FAO, Rome, National Dairy Development Board
10. Press Release (2022, August 19), Press Information Bureau,
Government of India, Ministry of Fisheries, Animal Husbandry
& Dairying

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

A STUDY ON THE EXPECTATION GAP

7 BETWEEN INSTITUTIONAL COMPETENCIES

AND INDUSTRIAL REQUIREMENTS FOR
MANAGEMENT STUDENTS IN KOLKATA
Aniruddha Kundu 1, Dr. Priyanka Jaiswal 2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.07

Abstract
It is generally a cause of dissatisfactions of both the employer and
fresh recruits, who are mostly millennial, from colleges as their
expectations do not match. This paper aims to study this expectations
gap. Responses from students of MAKAUT colleges which offer
Management courses in and around Kolkata, are studied. Percentage
analysis is applied to find factors causing this dissatisfaction. Major
theme emerged lack of job training as well as millennial prefers jobs
which will not cause damage to the environment.

Keywords: Expectation gaps, Green jobs, Percentage Analysis

Introduction

A
round 15 colleges under MAKAUT, from which around
1500 students graduate annually. However, the employers are
either unhappy with their recruits or the recruits leave their
jobs shortly after getting recruited. Recent literature shows that
millennials frequently switch jobs (Campione, W. A. 2015). The
industry requires plug-and-play as far as recruits are concerned,
which will reduce the onboarding cost. On the other hand, the
institute emphasizes theory. Through this study, the authors intend to
examine the expectation gap existing between employers, students,
and academics. This study further mentioned the barriers causing this
expectation gap in the Kolkata Metropolitan Area. Identification of
the obstacles will help all stakeholders reduce the gap. The authors
expect that identifying the barriers will benefit all stakeholders,

1
Corresponding Author & Adjunct Faculty, Department of Management Studies,
Institute of Leadership Entrepreneurship & Development (ILead) Kolkata
2
Associate Professor, Department of Management Studies, Institute of
Leadership Entrepreneurship & Development (ILead) Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

namely educational institutes, organizations (employers), and

students.
The authors examined the data from five well-known
management colleges in Kolkata and analyzed that data to validate
the available literature in different contexts. Though the existing
literature lacks generalizability, similar literature on similar
demographics (Büthis et al., 2017) is considered. The study uses the
data available in the public domain and semi-structured interviews to
ascertain the existing gap between the competencies of newly passed
management graduates and the competency requirements of the
industry for management graduates. Educating the youth is about
preparing the qualifying workforce for sustainable development,
which conforms with the UN Agenda 2030. Also, in the era of
Industry 4.0, a future-ready workforce must address the rapidly
changing needs. However, the curriculum of the educational institutes
takes time to change because of administrative procedures. Therefore,
it is essential to address this changing need for the benefit of all the
stakeholders. The literature survey is carried out in the next section
and followed by methodology, discussion, and conclusion.

Literature Survey
The authors surveyed through Google Scholar and Scopus
databases for the relevant literature. The logic behind searching the
literature is guided by the changing requirements of the industry
implementing Industry 4.0 requirements. Bidgar, S. V. (2018)
proposes a model that focuses on continuous information flow among
all the stakeholders. He emphasized that the apex body of the
curriculum has the responsibility of making this a success. He
identified that the new recruits lack soft skills and managerial skills.
An integrated and coordinated approach from all stakeholders is
required to create awareness in engineering and management students
to increase their employability (Rao M.S., 2014).Büth, L., 2017
examined the competencies of new graduates and the required
competencies of the Indian industry for engineering jobs.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Fig: 1 Employability among Masters of Business Administration

graduates across India from 2015 to 2023 (Source: Statista)

This paper further mentioned that although the technical and

social competencies match, the gap exists mainly because of a
mismatch of methodological competencies. Fitsilis. P., 2018
identified technical, behavioral, and contextual skills are required for
Industry 4.0 readiness. The paper proposed six more dimensions that
need to be used alongside these three skills: technology, proficiency,
industry sector, product lifecycles, job profile, and transversal skills.
This paper provides a multi-dimensional competence framework to
address different skill needs in different workforce segments in
different sectors depending on different subsets of the technologies.
All the present graduates are millennials. Arora et al. 2017 observed
that millennials, as fresh aspirants for jobs, evaluate job security,
employment prestige, reputation, job challenges, starting salary, and
employer values. They have high expectations when choosing their
employer. On the other hand, employers must identify the factors
influencing millennials to choose employment (Arora et al.,
2017).More support from the corporate and greater collaboration of

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the stakeholders can reduce this expectation gap (Malik, G. et al.,

2017).

Research Methodology
Objective- To analyze influencing factors enabling for
institution competencies and industrial requirements.
Data collection- Primary as well as secondary data
Sample size- 110
Sampling technique- Convenience sampling through Google
form
Statistical tool- Percentage Analysis

Percentage analysis
Majority of 45.5% of management graduates prefer job in IT
sector, in sync with Industry 4.0 era. Management colleges should
give training or provide specialization in IT sector that could be
supply chain, cloud computing etc.
Whereas companies must ensure that their management
graduates are properly equipped through up skilling and re-
skilling and then hire new people when necessary. Up-skilling means
that employees learn new skills to help them in their current positions
as the skills they need evolve. Re-skilling is the real challenge:
workers are retrained with new skills that will enable them to fill
different positions within their companies.
Organizations prefer graduates armed with required skill sets
while recruiting. The institutes in turn ensure that they provide
training with technologies that is required by the industries.

Job Security
Majority 62.7% respondents are looking for a secure job (fig.
3). Employers are expected to provide the job security. However, the
concept of job stability changed over last few years, and the gig
economy is growing at a considerable pace. It is beneficial for both
the employers and employees, since both of them have exploring the
benefits out of this gig economy.
Majority of the respondents prefer to join a reputed company
with lesser salary, while only 21.8% give preference to higher salary
rather company’s reputation. 36.4% respondents prefer desk job,
whereas 26.4% respondents prefer to do challenging job (Fig:4).

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Fig: 2 Response against question on job security (Source: Author)

Fig: 3 Response against question on preference of a desk job over a

challenging job in the field (Source: Author)

Preference of employer who are environmentally concern:

Fig: 4 Response against question on preference of employer who is

concerned about environment (Source: Author)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

80% of the respondents prefer an employer who has concern

for environment. Ma, Y. et al., 2022 observed that corporate green
image improve the employers attractiveness in the context of Chinese
industries. Green training due to pro-environmental behaviors of the
employers can lead to job satisfaction of the employees as observed
by Pinzone, M. 2019 while studying Italian healthcare sector.

Conclusion
The paper concludes that training programs should be provided
regularly to students to make them employable. The research was
done for students of management institutions in Kolkata, India, but
the challenges of the students remain more or less the same globally.
The results also indicate millennial are concerned about
environment and sustainability. The majority of the respondents, who
are all millennial, prefer green jobs. Organizations also ensure to
provide green training to encourage the pro-environmental behavior
among the prospective employees to make the job attractive to them.
The survey also indicated that respondents have reasonable salary
expectations contrary to common beliefs. There are some areas which
can explore in the future research. Firstly, it surveyed based on
Kolkata colleges only which are affiliated to MAKAUT, West
Bengal. Secondly, other mutual expectations can be studied in Future
studies.

References
1. Campione, W. A. (2015). Corporate offerings: Why aren't
millennials staying? Journal of Applied Business &
Economics, 17(4).
2. Büth, Lennart; Bhakar, Vikrant; Sihag, Nitesh; Posselt, Gerrit;
Böhme, Stefan; Sangwan, Kuldip Singh; Herrmann, Christoph
(2017). Bridging the Qualification Gap between Academia and
Industry in India. Procedia Manufacturing, 9(), 275–282. doi10
.1016/j.promfg.2017.04.009
3. Bidgar, S. V. (2018). University-Institute-Industry (UII)
Model: A way to meet dynamic Industry expectations.
IBMRD's Journal of Management & Research, 7(1), 53–55.
4. Rao M.S., (2014),"Enhancing employability in engineering and
management students through soft skills,” Industrial and
Commercial Training, Vol. 46 Iss 1 pp. 42 – 48

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

5. Fitsilis, P., Tsoutsa, P., & Gerogiannis, V. (2018). Industry 4.0:

Required personnel competencies. Industry 4.0, 3(3), 130-133.
6. Arora, P., & Kshatriya, K. P. (2017). Millennials: The New
Generation with High Employment Expectations. International
Journal, 5(8), 101-109
7. Tewari, R., & Sharma, E. (2016). An investigation into the
expectations of the recruiters and the preparedness of the
management graduates for effective on-job performance. IUP
Journal of Soft Skills, 10(1), 14.
8. Malik, G. and Venkatraman, A. (2017). "The great divide”:
skill gap between the employer’s expectations and skills
possessed by employees,” Industrial and Commercial Training,
Vol. 49 No. 4, pp. 175-182. https://doi.org/10.1108/ICT-11-
2016-0071
9. Ma, Y., Zhang, L., & Fang, H. (2022). Can corporate green
image improve employer attractiveness? Evidence from
recruitment market in China. Journal of Cleaner
Production, 377, 134323.
10. Pinzone, M., Guerci, M., Lettieri, E., & Huisingh, D. (2019).
Effects of ‘green’training on pro-environmental behaviors and
job satisfaction: Evidence from the Italian healthcare
sector. Journal of Cleaner Production, 226, 221-232.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

A STUDY OF DIGITAL ECOSYSTEM FOR

8 BUSINESS IN DIGITAL ERA

Dr. Priyanka Jaiswal 1, Urmimala Dey 2

ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.08

Abstract
The first significant contribution to comprehending the digital
ecosystem in the current business period was a creative "new
communication environments." Additionally, the commercial aspect
of the digital environment is being highlighted. Describe the digital
ecosystem. A digital ecosystem is described as "the complex of a
community of digital devices and their environment functioning as a
whole" by Merriam-Webster. A digital ecosystem is a self-organizing
digital infrastructure created to facilitate collaboration, knowledge
sharing, the growth of open and adaptable technologies, and the
creation of evolutionary economic models for networked
organizations. A distributed adaptive open socio-technical system
with scalability and self-organization is known as a digital ecosystem.

Keywords: Digital Ecosystem, Digital Platform, IoT, Digitization.

Introduction

D igital platforms are networked organizations that allow for

the commercial interfaces of at least two separate assemblies,
usually providers and consumers. Digital knowhow,
technology, and tools are helpful in today's opportunities for company
leaders and frontrunners to rethink their operations in order to provide
better understandings for customers, employees, and ecosystem
partners and to cut costs.
Businesses that want to take advantage of these opportunities
presented by the digital revolution must undertake two major tasks:
developing a digital platform and developing a new operating system.

1
Associate Professor, Department of Management Studies, Institute of
Leadership Entrepreneurship & Development (iLEAD) Kolkata
2
Corresponding Author & Assistant Professor, Department of Management
Studies, Institute of Leadership Entrepreneurship & Development (iLEAD) Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

We can go into more detail about the hazy digital platform ecology
below. In other words, a digital platform is a web-based content
distribution platform. A manufactured item or facility might be
supported by this, and it could connect it using both digital and
analogue platforms. Digital platforms are a new kind of internally and
externally oriented, partner and customer-focused platforms that must
measure elastically and accommodate a variety of entrance touch
points-

• Taking care of one to billions of customers.

• Strengthen globally dispersed massive and smaller establishments
• Connect billions of connected Internets of things (IoT) devices and
sensors.
• Participate in and integrate with an increasing number of partners,
suppliers, rivals, and participants' business models and procedures.

With a catalytic approach, these players interact, integrate,

inspire, and stimulate while working to improve society, businesses,
governments and engagements in a cogent and progressive manner.
They contain an infinite number of software goods, each of
which has millions of characteristics that might serve as a form of
product, and they increasingly rely on data that is liquid and readily
accessible and is used to generate quick insights on locations and
outcomes. These events must all take place at the same time, which
has a drawback: without a thriving digital platform, a business is
limited in how far it can change its operational model.
Many businesses involved in the digital platform revolution fail
as a result of incorrectly imposing this penalty. The technologies
underlying the platform execution do not necessarily have to be
successful for a digital platform. The platform's success depends on
users using it. This paper focuses on uses of various digital platforms.
For sectors that previously seemed unaffected by digitization,
the number of start-ups developing software based platforms (SBP)
has dramatically increased (Nieborg, et al. 2018). The reach of this
digital platform (DP), which extends well beyond the realms of
communication and information, is a key aspect. This is achieved
through improving the transportation and hotel sectors. For instance,
Ritesh Agarwal started the start-up OYO Rooms in 2013. It offers
customers a service like online low-cost hotel booking based on their
requirements. Since then, it has expanded throughout all of India

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

thanks to financial backing from significant investors including

Softbank Group, Light Speed Venture Partners, and numerous more.
If a company has a strong and distinctive advertisement
strategy, it can stand out from the competition even if it offers the
same or similar services as its rivals. For instance, Paytm is a
company that offers its customers a digital wallet and online payment
system, but before Paytm entered the market, companies like
Mobikwik and Freecharge were already offering digital wallets to
customers. Nevertheless, even at that time, Paytm out performed its
rivals and dominated the industry. A start-up must have a proper and
workable solution to the issue at hand in order to flourish; it does not
entirely depend on how effective an advertisement plan is. A
business's strategy for generating revenue and profits is known as its
business model. The bull's eye market categorizes the goods or
services that the company will offer. It categorizes the goods or
services that the company will offer, or the bull's eye market.

Review of Literature
Business models (BM) have gained popularity as a common
unit of analysis to explain variations in enterprises' success since the
emergence of the new economy. We must place equal attention on
both the buyer and the supplier because the digital business model
(DBM) varies from traditional business models in that it can offer a
two-way revenue model for both parties. Both the vendor and the
customer should benefit from a smart digital business model.
Business strategy, workforce, customer interaction, and business
operations are among the other areas that underwent transformation
as a result of the evolution of technology and data; these other areas
are interdependent on the business model for growth.
According to authors A. Osterwalder and Y. Pigneur , in their
book “Business Model Generation: A Handbook for Visionaries,
Game Changers, and Challengers, Hoboken, New Jersey: John Wiley
& Sons, Inc”, a business model can be described by nine building
blocks which further wraps the four main segments of business:
customers, offer, infrastructure and financial viability. To understand
how the rise of platforms is transforming competition, we need to
examine how platforms differ from the conventional “pipeline”
businesses that have dominated the industry for decades. Pipeline
businesses create value by controlling a linear series of activities—the
classic value-chain model. Inputs at one end of the chain undergo a

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series of steps that transform them into an output that is worth more:
the finished product.
Apple’s handset business is essentially a pipeline but combine
it with the App Store, the marketplace that connects app developers
and iPhone owners, it becomes a digital platform.
F. Warren McFarlan (May 1984)- A company can use this
technology, to build a barrier to entry, to build in switching costs, and
even, sometimes, to completely change the basis of competition. This
author shows how some companies have seized the advantage, while
others, more complacent, have ended up playing the difficult and
expensive game of catch-up ball. He also points out that it is
important for executives to make this competitive analysis in
assessing where IS fits in their companies, since in some cases it
appropriately plays a support role and can add only modestly to the
value of a company’s products, while in other settings it is at the core
of their competitive survival. Understanding where a company fits on
this spectrum can help the CEO determine both the proper level of
expenditures and the proper management structure for IS.
Krume Nikoloski (12th December, 2014)- The business sector
produces products and services for profit. Information technology
describes any technology used to create, process and disseminate
information that is critical to business performance. Information
technology is important to the business sector as a management tool
to optimize the processing of information to produce goods and
services for profit. No matter the size of your enterprise, technology
has both tangible and intangible benefits that will help you make
money and produce the results your customers demand.
Technological infrastructure affects the culture, efficiency and
relationships of a business. It also affects the security of confidential
information and trade advantages. The information revolution is
sweeping through economy. No company can escape its effects.
Dramatic reductions in the cost of obtaining, processing, and
transmitting information are changing the way we do business.
Anzhelika Danielkievich :- Business technology has been
rapidly changing the world for years. Market research shows that
these are not tech companies only that have found business
technology vastly improving their efficiency. 52% of companies
worldwide report an increase in worker productivity, 49% — better
performance, and 46% — better customer experience after digital
renovation. Author has compiled a list of bright stories and case

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

studies on how technology in business helped improve KPIs and

achieve better returns.

Scope of The Study

Information Technology is, “the study or use of electronic
equipment, especially computers, for storing, accessing, analyzing
and sending information” according to the Oxford Learner
Dictionary. With the initialization of “Digital India”, the demand for
Information Technology has increased tremendously. To meet the
growing demands of societal needs Information Technology has
played a crucial role and retained its supremacy in the industry. It has
transformed many aspects of business, social interaction, healthcare,
education and many more. IT professional is responsible for
selecting, installing and maintaining hardware and software products
to meet organizational needs.

Objectives of The Study

The objective of the study on IT-enabled business change is to
understand the impact of information technology on organizations
and how it can be used to drive business innovation and
transformation. The primary objectives of such a study:
1. To analyze uses of various digital advertisement platforms.
2. To assess the impact of digital advertisement on business in
digital era.

Research Methodology
This paper is based on secondary data which is collected from
Report of Nasscom. Percentage analysis technique is used for
analyzing the data. This paper focuses on the highest ROI of social
media platforms, mainly, LinkedIn, Facebook, Instagram, YouTube,
Twitter for business purpose.

Data Analysis:
Over the past few years, social media marketing has become
one of the most popular and successful forms of digital marketing.
Thanks to the massive user bases of networks like Facebook and
Instagram, advertisers can reach billions of potential customers at the
click of a mouse. Among the many benefits of using social media
platforms for business purposes, industry professionals particularly

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value the increased exposure for their brands and products, as well as
the increased traffic on their websites.

Social Media Advertising Statistics:

100
80
60
Which social media
40 platform offers the
20 highest ROI when
0 selling products
directly in the App?

Source: https://www.statista.com/statistics/report-content/statistic/259
379

Facebook Statistics:
Facebook is still a major player in online marketing. It might be
difficult to say whether or not brands should concentrate on Facebook
because it actually relies on your personal Facebook stats. You may
learn more by reading the Facebook statistics shown below.
Facebook is the platform that marketers utilise the most (90%)
globally. Instagram is ranked second (79%).
With 2.96 billion monthly active users as of Q4 2022,
Facebook is the largest online social network in the world.
Facebook is used by 70% of people, who spend 33 minutes a
day there on average. According to the gender statistics that is
currently available, 56.6% of Facebook users are men and 43.4% are
women. Between the ages of 25 and 34, there are over one-quarter of
Facebook users in the US.

Instagram Statistics:
In 2022, Instagram quietly passed 2 billion users, and marketers
are still vying for new followers. The top social media metrics for
Instagram are shown below.
The social selling king is Instagram. It provides the greatest in-
app shopping experience of any app for users. It provides the best
return on investment for product sales for marketers.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Between the ages of 18 and 34, 61.2% of all Instagram users

fall. People spend 30% of their Instagram time watching reels.
Facebook interaction rates are four times higher on Instagram
(0.60% vs. 0.15%), although they have been steadily declining.
29% of marketers anticipate spending more on Instagram than
on any other channel in 2023.

Linkedin Statistics:
The positioning of LinkedIn as the premier professional
network is excellent. The platform is a potential goldmine for B2B
businesses, and its ad platform's explosive growth speaks for itself.
The following LinkedIn data are important to know.
The United States has the highest user rate in the world on
LinkedIn with an audience reach of over 199 million users.
There are more than 900 million members across 200 countries
on LinkedIn.
LinkedIn has approximately 63 million corporate profiles.
In the US, 16.2% of LinkedIn users log in daily compared to
48.5% who do so once a month.

Twitter Statistics:
Twitter has established itself as the centre of political debates, a
great location to engage with companies, and a place for memes.
View the Twitter statistics shown below to learn more about platform
marketing.
Around 556 million people use Twitter every month
throughout the globe.
Twitter is used by 53% of users to stay up to date on news.
Considering the gender distribution of Twitter users, males
make up 63% of the total user population. In 2023, 71% of marketers
anticipate using Twitter less frequently.
US people use Twitter for 34.8 minutes every day on average.

YouTube Statistics:
The second-largest search engine in the world is undergoing
significant adjustments in order to compete with new platforms like
TikTok. The most important YouTube statistics are shown here.
YouTube had more over 2.5 billion users as of January 2023.
However, during the previous 12 months, the number of active users

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

on the network has dropped by 48 million. YouTube Shorts receive

30 billion daily views from individuals all around the world.
According to the gender statistics that is currently available,
12% of YouTube users are males between the ages of 25 and 34, and
9% are females. The average daily time spent watching videos on
YouTube is 19 minutes.
Nearly 90% of all YouTube visits originate from a mobile
device.

Findings
1. As of January 2022, Facebook was the most commonly used
social media platform among marketers worldwide. According
to a global survey, 90 percent of responding social media
marketers used the network to promote their business, while
another 79 percent did so via Instagram.
2. The social selling king is Instagram. It provides the greatest in-
app shopping experience of any app for users. It provides the
best return on investment for product sales for marketers.
3. People spend 30% of their Instagram time watching reels,
which create a emotional bonding between seller and
consumer.
4. 29% of marketers anticipate spending more on Instagram than
on any other channel in 2023.
LinkedIn has approximately 63 million corporate profiles.
5. In 2023, 71% of marketers anticipate using Twitter less
frequently.
YouTube had more over 2.5 billion users as of January 2023.
6. YouTube Shorts receive 30 billion daily views from individuals
all around the world.

Conclusion
Social media has turned into a source of inspiration,
entertainment, and news. Naturally, it has also become one of the
most effective digital marketing channels, with most companies
embracing the power of social than ever before. As the number of
social network users continues to soar and consumer shopping
behavior is increasingly impacted by the likes of Instagram and
TikTok, marketers vividly leverage these networks’ drawing power
for promotion. In 2022, social media ad spends stood at
approximately 230 billion U.S. dollars, with spending expected to

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surpass the 300-billion-dollar mark by 2024. And while the U.S.

remains the largest social media ad market globally, marketers from
other countries are not getting off the social media train.

References
1. https://www.statista.com/topics/1538/social-media-marketing/
#topicOverview
2. Osterwalder, A. and Pigneur, Y. (2010) Business Model
Generation: A Handbook for Visionaries, Game Changers, and
Challengers. Wiley, New Jersey. Zhen Ye Erasmus University
Rotterdam, The Netherland, Review essay: When we talk about
platforms and culture, what are we talking about?
3. Ron Weber (1986) The Information Systems Research
Challenge edited by F. Warren McFarlan (Harvard Business
School Press, Boston, 1984) pp. 420, ISBN 0-87584-161-
9, Prometheus, 4:2, 397-
399, DOI: 10.1080/08109028608629032
4. Nikoloski Krume (December 2014) The Role of Information
Technology in the Business Sector Volume 3 Issue 12,
http://www.ijsr.net/
5. by Anzhelika Danielkievich September 5, 2022) Technology in
Business. 5 Successful Cases When Companies Succeeded in
Digital https://forbytes.com/blog/top-most-impressive-cases-
when-technology-helped-businesses/

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CHALLENGES OF BEING INDEPENDENT AND

9 SUSTAINABLE GROWTH OF WOMEN: THE

ROLE OF WOMEN IN THE RISE OF
ECONOMY IN INDIA
Dr Sudin Bag 1, Mrs Payel Aich 2, Dr. Nilanjan Ray 3
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.09

Abstract
This chapter aims to investigate women's role in India's economic
development. Data has been collected from the annual report of
MSMEs for the period of 2008-09 to 20020-21. A trend analysis has
been performed to predict women's growth in entrepreneurship
activities in India. The result revealed that the number of women
enterprises in every state in India is increasing gradually over time,
and it has also been observed that by 2030 the number of women
enterprises will be increased by seven times compared to 2008-09.

Keywords: Women, economy, entrepreneurship, trend, India.

Introduction

G
od has gifted women with the capability of taking on different
roles and responsibilities, symbolizing women's
empowerment in this society. In this era of industrialization,
the phase women go through is entirely new to regulate all social,
political, or economic activities. The various policies and schemes
proposed by Government of India over the years have changed the
mindset of the citizens in India. Across different developing
countries, the social structures, family expectations, work norms, and
gender roles usually vary because of culture (Hisrich and Ozturk
1999). It is observed that the increase in women's positions in

1
Corresponding Author & Assistant Professor, Department of Business
Administration, Vidyasagar University, West Bengal
2
Research Scholar, Department of Business Administration, Vidyasagar
University, West Bengal
3
Associate Professor and Head of Department, Department of Management
Studies, Institute of Leadership, Entrepreneurship & Development (iLEAD),
Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

organizations has a drastic change in the upliftment of society and

economic development. Giving platforms to women for career
growth and promoting gender equality are enshrined as global
development activities, which is a mission worldwide. There are
different agencies for women who are working for the upliftment of
women. As former president Dr. APJ Abdul Kalam said, being liberal
and providing scope and opportunities to women will empower them,
which is the primary need for creating a good nation. When gender
equality and women are empowered, human futures will change.
With their views, the role played, and value systems, women can
improve their family status; they can build a good society and,
ultimately nation where life will be easy for everyone. Similarly,
Coleman (2007) found different influencers between several human
capital factors and market scenarios for women-owned ventures
compared to those owned by men.
In the last few decades, women have stepped out from their
regular activities, home-based or involved in agriculture, and tried to
achieve their career goals. Again several obstacles do not allow
women to move forward in their life. These factors hold them in the
same position as daily household work and caregiving. To find
solutions to these problems, all of us should come together and help
women in society by improving their education and helping them in
focusing on their careers, work conditions, and policies that benefit
them. Implementing various new strategies based on modern business
and culture should be the motive of any organization. When women
employees are involved more in the decision-making process, there
will be a positive relationship between women's well-being and our
country's prosperity. The challenges are more related to self-owned
ventures and gender inequalities faced in any firm. Both men and
women are independent to get self-employed for their welfare, where
they can give more employment to others. Only the observation needs
to be changed with proper guidance and learning, which will sharpen
their talent. Coaching women who are novice is vital to bring
motivation. The motivation is a source of encouragement to the
women, and the financial support given among the peer group is the
base for the business, experiences & well-developed professional
network (Sharma, 2013).
The world knows India has been eminent for her handicrafts
since ancient times. India had extensive arts and crafts in the Mughal
Period, which is cited till now when people visit India from other

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parts of the world and purchase antiques. With the hierarchy, talent is
still growing now in different forms. Specialization of skills is
required in many handicrafts, which have advanced vastly. It has
been noticed that artisans of different categories are exceptionally
skilled in their field. The production is still famous in the foreign
market, with substantial progress in various paintings, sculptors, and
craft activities. There has been a revolution with industrialization.
With the change in time, the population of urban India has changed;
where people are coming from rural areas in search of jobs, speedy
industrialization, industrial employment, increase in the number of
vehicles as a result of very high economic (Krishna, 2007). The
recruitment of skilled women and unskilled women workers
increased. The training programs are organized for rural to urban
areas in every state of India, ideally benefiting the female. There is a
practically complete need for scientific control and change.
Employees from any sector are constantly viewing changes in
production and advancement in new methods and technologies, and
they have to be learned and they have to be applied in the production
of goods and services. With the involvement of new procedures, the
outcomes also differ when implemented. An industrial worker or a
technologist has to perform his duties adequately and faster than
before to bring about necessary changes and learn to control, organize
and manage tasks (Neale, 1956).
Society has a knowledge gap about the career path of women.
But the women, with their hard work and positive intention, have
stepped up the ladder, and now the world can view how they broke
through the glass ceiling to achieve success (Moody et al., 2003) both
nationally and internationally when the gender gap is much higher.
Organizations' priority in the workplace should be the fulfilment of
the benefits which are compulsory for each woman. Besides
increasing the talent pool with men, women should be hired equally
to improve company performance. The ratio is tried to be kept the
same in some of the current companies. Even though there are
widespread objections to women going out of the home and working,
particularly married women, now the changes are seen. Though there
are limited scopes for women, and they are not allowed to work
outside the home, with the help of society again, women employment
increased in more significant numbers over the period.

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Women Empowerment in India

The fast pace of economic growth has increased the demand for
educated women labor strength almost in all fields. Women are
earning in so far as their husbands do, their employment nonetheless
adds significantly to family and gives family an economic advantage
over the family with only one breadwinner. This new happening has
also given economic power in the hands of women for which they
were earlier totally dependent on males. Women’s monetary
independence leads them to the way to empowerment. Sociologist
Robert Blood (1965) observes, ‘Employment emancipates women
from domination by their husbands and secondarily, raises their
daughters from inferiority to their brothers’ (Blood and Wolfe, 1965).
Briefly, economically independent women are changing their overall
equations, point of view and attitude. Now educated women feel that
there is more to life than marriage. They can get most of the things
they want (income, status, identity) without marriage, while they find
it harder to find a suitable accomplished mate. This is why their
marriage is delayed. With increasing literacy among women in India,
their entry into many types of work, formerly the preserve of men,
women can now look upon the bearing and raising of their children
not as a life’s work in itself but as an episode. It women have started
taking men’s work, it could be said that men have taken over
women’s.
According to National Policy for the Empowerment of Women
(NPEW) 2001, the following important issues were dealt with in
relation to women empowerment:
a) Judicial Legal Systems
b) Decision Making
c) Mainstreaming a Gender Perspective in the Development
Process
d) Poverty Eradication (Economic Empowerment of women)
e) Providing Micro Credit
f) Women and Agriculture
g) Social Empowerment of Women
• Education
• Health
• Nutrition
• Drinking Water and Sanitation
• h) Science and Technology
• i) Institutional Mechanisms

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Industrialization Changed the Attitude of Women

Greater Mobility –An industrial community requires more
professional and spatial mobility with males and females. With the
development of industrialization, women can move out of the
territories to other places and find sources to enhance their skills and
abilities. In their attitude and occupation, they have become more
social and interactive. One of the social effects of industrialization is
that they move out of their limited areas and become more mobile
and influenced.
Skill Development – Individuals, before industrialization, came
altogether to produce all their products and goods manually. The
disadvantages for Indian women are that they are not given sufficient
opportunities to access critical skill development, such as education,
technology, and financing (Bertaux and Crable 2007). With the
impact of industrialization, changes have been seen, and training for
women has been introduced under various schemes. With the
launched schemes, individuals have become more knowledgeable and
skillful in their jobs, also considered a social effect of
industrialization.
Entrepreneurship Development- Entrepreneurship is a term
given to self-employment. The persons who are not working under
anybody utilize opportunities, skills, and leadership qualities to
reform or revolutionize the pattern of production (Schumpeter, 1961).
With the impact of advancement, women have become acquainted
with machines, technology, and advanced methods and procedures
for producing goods and services. Which help the females of India to
start their own business? The government schemes allow rural
women to be self-employed. Nowadays most of the employees are
doing their own business. Working women employees also try to get
involved in any industry, like selling jewellery or garments online.
Recognition- When women started to earn, they no longer
depended on anyone. Instead, they are contributing to the family.
Women are gaining respect and honour in every sector. Their high
dedication level helps them grow in their career while challenging the
males of independent India. It is observed that the women of this
generation are involved in the boards/ committees of various
organizations. Time has changed, and women participate in their
work similarly to men and hold topmost positions with vast and
diversified responsibilities (Levitt, 2010). Though there is a shift in
women's role from home to family, comparatively, the percentage of

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women is not high in the top corporate positions. But various

processes and policies are introduced to empower women already
holding valuable positions in private and public sectors like CEOs,
IAD, IPS, and many more. The industrialization has shown a new life
to women who were fully blind in this society.

Sustainable Development Goals for Gender Diversity

According to the report of Brundtland (Sneddon et al., 2006),
which is very popular, sustainable development is the development
that fulfills or meets the needs of present generations without taking
the risk of affecting the future generations' needs or demands. To
achieve the goal of sustainable development and protect the universe
by 2030, SDG, i.e., Sustainable Development Goals, must be
established. Till today, gender inequality is noticed everywhere,
bringing no scope in providing equal opportunities. Equal
opportunities from childhood should be given to women by making
them eligible for prospects. Once educated well, these women will
become the assets of any sector wherever they will work. Utilization
of the resources and platforms provided to women can be used to
increase their potential, skills, expertise, knowledge, capabilities,
passion, and growth of their confidence. These women are now seen
as entrepreneurs running their businesses while men work under
them. Industries' role in the private or public sector has increased in
supporting women and uplifting their status in society for attaining
the mission of SDG. Technological advancement is high, and women
should occupy the advantage. More access to the internet and e-
learning tools has broadened the areas of learning with opportunities
to seek jobs. In a similar line, Mishra et al. (2020) argued that efforts
and tactics are needed to ensure that planning, budgeting, and
auditing processes contribute to women's upliftment and gender
equality. It has been found that having more women in the workplace
will increase profit-oriented results. All commonly believe women
are more dedicated and involved in high-engagement activities and
low turnover. Specifically, women are happy with meaningful
organizational culture, including enjoyable tasks and jobs that fit with
other areas of life. Thus, these can be a few reasons for their extended
stay in the organization with a friendly working environment with
higher sales and profits. To bring equality among employees,
companies are changing the policies regularly with the highest

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

representation of women on boards is the strategy of the companies to

keep the balance in gender diversity.
The Government of India has worked to remove the inequality
between boy and girl children. The government and the big business
houses focus on implementing new ideas that will benefit both gender
and bring backward women in society to the forefront. The reductions
in trade barriers in India are reducing the female employment
opportunities affecting the status of women (Gupta et al., 2014).
Legal obstacles to females, no flexibility in working styles and hours,
and low technological benefits are the reasons for underdeveloped
skill levels, influencing overall participation. The hesitation of the
women employees should be changed while participating and keeping
themselves engaged in the daily work. Training is the principal
scheme in India, with which the employment rate must be increased.
But it is observed that only one-fifth of trainees are employed after
undergoing vocational programs (McKenzie, 2017; Blattman and
Ralston., 2015; Fletcher et al., 2017).

Changes & Obstacles Hand in Hand for Women

Society has, however, changed the view toward the role of men
and women. The men are the helping hands for the women who have
increased the time allocation of household activities at home. It can
be said that the contribution of men is comparatively lower than
women (Kan MY et al., 2011). Women's roles in the workplace and
other social activities are limited because of the unequal distribution
of household activities, where women are primarily involved
(Jennifer L, 2010), which hurts the mind and health. When it was
understood that the obstacles for women in their lives were affecting
their minds and health, the government and the private firm officially
brought changes where women were prioritized. With the experience
of tasks, colleagues, managers, and organizations, they became
confident and increasingly started balancing the work at home and in
offices. The education enhanced the girl child's knowledge, and now
the women's expectations have changed from their family as they
want to work. Nowadays, it can be seen that women are more
interested in building their career and many business-minded ones.
They prefer to marry later with the support of their families, and they
work after their marriage too. But again, in the villages or rural areas
of India, people are into some customs and cultures of not letting the
girl child study, and they are forced to get married. In the

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organization's workplace, protections and committees are formed for

the safety and security of the women employees. Through the passage
of various acts, women feel safe now and are recognized in the
workplace. When women are educated and independent, they help
make society and their families understand why it is required to
control the population. They can delay marriage and plan children
according to their own time. Vocational training introduced by the
government can benefit women in rural areas. But again, there is an
obstacle for the women to attain the training program from their
families. This type of training is suitable for women who are not
educated but want to be self-dependent. This vocational training is the
initial training that is part of an ongoing training process and is
designed to ensure that a person's knowledge and skills can be
utilized in future career growth and job and can be continuously
updated. One of the primary factors contributing to the failure of the
prospective skilled women is to reach the top designations of their
professions and earn equal pay, which can be because of long work
hours and work weeks which the women employees cannot provide
to the organization while balancing with their family life. In that
scenario, the employees are seen to be penalized by the companies. It
would disproportionately affect any happy women employee ending
their work life with stressful life when the organization does not
understand their problems, and instead of supporting them, they are
punished with demonization.
Due to the long hours in the job circle, the different criterion
discourages some women from pursuing these career tracks. It is also
confirmed again that the facilitated greater work-sharing, flexibility,
and advancement in technology and management for the male
employees are the reason the women are still behind in their homes.
The recent trend in many occupations is to demand complete
scheduling or work shift flexibility, which can result in reducing work
hours and completing tasks accordingly with responsibility for those
with family life. Again in different studies, the role-related activities
of men and women in various aspects of personal and professional
life have been observed over time, indicating that gender is perceived
to be a distinct feature (Kan MY et al., 2011; Coltrane, 2000).
Business training completion and setting up new ventures increase the
assumption that women take loans for self-employment (Kapoor,
2019). These help in the development of the economy of a country,
while the government is encouraging women to take loans,

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particularly for women who are predominantly restricted by norms

and not by wealth (Raj, 2014).

Initiatives of India for the Women's

The Micro, Small, and Medium Enterprises (MSME), National
Skill Development Corporation (NSDC), and Ministry of Skill
Development and Entrepreneurship (MSDE) sectors are in a frame
because of their standard of working quality representing the up rise
of the Indian economy over the years. These sectors are vibrant and
dynamic in nature and are focused more as they contribute
significantly to the country's development by nurturing all possible
requirements for entrepreneurial activities and creating large scopes
for the jobless citizens of India. Women from any background are
benefitted from these sectors and schemes provided. The MSMEs are
helping beyond the people's imagination, for which they are
extending their sectors everywhere in India to make money,
producing various products and services for the citizens and
generating more scopes of employment. The training schemes,
entrepreneurship schemes, and policies help gather knowledge and
become self-employed or entrepreneurs. The government of India is
working towards satisfying the growing need for skilled human
resources across different industries and narrowing the skill
requirements gap between the demand and the supply of employees.
The main aim of the schemes, training or other programs undertaken
by the MSMEs is to facilitate a wide range of services or
opportunities required for accelerating the rise of the underprivileged
people or anyone interested. There are various schemes, which are
individual recipient oriented, wherein women are provided with extra
guidance. Many research works have been on women empowerment,
entrepreneurship, and gender inequality. In many developing South
Asian countries, the present situation of gender disparity is identified
crucially, addressing the unequal possessions of rights for men and
women (Agarwal, 1994). With more societal advancement, the
argument is more about the indifference between the men and the
women in the ownership or proprietorship. The efforts of the factors
are severe and can minimize the tedium in gender for economic
development, well-being, social status and empowerment of women.

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State-wise Distribution of Proprietary MSMEs by

Gender of Owners [NSS 73rd Round]
State/UTs Male Female All Share of State Share of State
among All among All
MSMEs MSMEs
with Male with Female
Owners(%) Owners (%)
West Bengal 5583138 2901324 8484462 11.52 23.42
Tamil Nadu 3441489 1285263 4726752 7.10 10.37
Telangana 1459622 972424 2432046 3.01 7.85
Karnataka 2684469 936905 3621374 5.54 7.56
Uttar Pradesh 8010932 862796 8873728 16.53 6.96
Andhra Pradesh 2160318 838033 2998351 4.46 6.76
Gujarat 2375858 826640 3202499 4.90 6.67
Maharashtra 3798339 801197 4599536 7.84 6.47
Kerala 1647853 495962 2143816 3.40 4.00
Rajasthan 2261127 380007 2641134 4.67 3.07
Madhya Pradesh 2275251 370427 2645678 4.70 2.99
Jharkhand 1250953 310388 1561341 2.58 2.51
Odisha 1567395 295460 1862856 3.24 2.38
Punjab 1183871 224185 1408056 2.44 1.81
Bihar 3239698 168347 3408044 6.69 1.36
Haryana 831645 98309 831645 1.72 0.79
Delhi 827234 86742 913977 1.71 0.70
Manipur 86383 86604 172987 0.18 0.70
Jammu & Kashmir 624056 74785 698841 1.29 0.60
Chhattisgarh 727203 71201 798403 1.50 0.57
Assam 1128411 66665 1195076 2.33 0.54
Himachal Pradesh 329595 50368 379963 0.68 0.41
Meghalaya 72191 39462 111653 0.15 0.32
Tripura 179169 28042 207212 0.37 0.23
Puducherry 65350 27072 92422 0.13 0.22
Uttarakhand 380000 20964 400964 0.78 0.17
Nagaland 65778 20865 86643 0.14 0.17
Mizoram 20439 13698 34137 0.04 0.11
Goa 57133 10815 67948 0.12 0.09
Arunachal Pradesh 16153 6274 22427 0.03 0.05
Chandigarh 44321 5560 49881 0.09 0.04
Sikkim 20880 5036 25916 0.04 0.04
A & N Islands 14302 4026 18328 0.03 0.03
Dadra & Nagar 12900 2629 15529 0.03 0.02
Haveli
Daman & Diu 5880 1560 7441 0.01 0.01
Lakshadweep 1384 488 1872 0.00 0.00
ALL 48450722 12390523 60841245 100.00 100.00
Source: MSME ANNUAL REPORT 2020-2021

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Indian rural areas are still behind the conservative norms, rules,
and value systems, mainly for women. The women who are
employed as landless agricultural labourers or engaged in unskilled
services to earn for their families but are not paid according to their
hard work are the sufferers. Now the benefits are slowly and steadily
given to women, and development has positively affected the diverse
classes of women. With the advancement in technology, primarily for
the agricultural sector, an undesirable effect resulted in the high range
of job opportunities for women in rural areas (Roy & Tisdell, 2002).
According to the NSS 73rd Round of NSSO, an estimated
1,23,90,523 women have their proprietorship, and 48450722 men
own proprietary MSMEs in the country. The table below shows the
distribution range for male and female-owned proprietary under
MSMEs in the country. The percentage share for women owners is
high compared to men, with 20 % under MSME. If we check the
history of India, the profound change in women's life is because the
family members are more supportive now. They motivate the woman
or the girl child to go through education, training, and skill
development programs and aspire to see the woman as a future
entrepreneur (Pillai and Anna, 1990).
With the plan to improve the condition of the people of India
and to achieve the target of employing women, the government of
India has introduced credit-associated financial assistance training
and a program called Prime Ministers Employment Generation
Programme (PMEGP). The employment generation program has
been amalgamated with two schemes that are the Prime Minister" s
Rojgar Yojana (PMRY) and Rural Employment Generation
Programme (REGP), for the creation of job opportunities or platforms
through the institution of micro-enterprises. The Ministry of Micro,
Small, and Medium Enterprises (MSME) administers PMEGP and is
regularized by the Khadi and Village Industries Commission (KVIC).
The KVIC is the functioning body that works as the nodal agency at
the national level. For the states, the scheme is executed through State
KVIC Directorates, State Khadi and Village Industries Boards
(KVIBs), District Industries Centres (DICs), and banks. KVIC routes
government financial support through selected banks for the ultimate
payment of money into the bank accounts of the beneficiaries or
entrepreneurs directly. Along the same line, Madaswami (2004)
pointed out that village and cottage industries provide a varying scale
of employment, offer techniques for ensuring a more suitable state-

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

wise equal distribution of government schemes, and facilitate

effective utilization of financial resources and skills. The overall
performance of the Khadi Village Industry sector in many states, such
as J&K and some backward, has been encouraging production, sales,
and employment. To inform about the schemes to the people of India,
various marketing support are developed awareness programs. The
programs are essential as they make the people understand how the
plans will help them show the path towards job opportunities and
how the produced goods by the various units of PMEGP can be
regulated through KVIC. KVIC works on reserving the right to
provide support based on features, costs, and other areas, which
KVIC can separately distribute to KVIBs/DICs. Participation in
national and international fairs and exhibitions like the India
International Trade Fair (IITF) by the units of PMEGP helps promote
the schemes, training and other programs. The fair and the exhibitions
are the benefits for developing their sales to other countries, again
marketing support to win the value nationally and internationally.
Any exhibition attended or participated in by KVIC synchronises
with KVIBs and DICs. The units participate in the exhibitions, the
fairs are set up via KVIBs, and the standard criterion enlists DICs.
The eligibility is based on the merit, variety, and quality of the goods
that skilled employees or entrepreneurs manufacture.

Discussion
The artisans who are not getting enough financial assistance or
any support from society to utilize their skills productively, the
mission of PMEGP is to provide uninterrupted and sustainable scope
for the job to them. Similar to the skill development schemes by
PMEGP, they help people start their ventures. The youth of rural and
urban India who are unemployed, the girl child, and the women who
are always on caregiving duty are receiving the benefits and are
happy with the changed policies of the country. The secondary data
collected from the Ministry of Micro, Small & Medium Enterprises,
Government of India, and the official websites are essential to
analyze and interpret the role of PMEGP on women's development
and empowerment. Under PMEGP, higher funding is provided to
hard-working and interested women beneficiaries. Since the scheme
started (i.e., 2008-09 to 31.12.2020), the women entrepreneurs have
been assisted with a total of 1,86,370 projects under PMEGP, as
shown in the table.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Women beneficiaries under PMEGP since inception (i.e., 2008-

09 – 31.12.2020)
WOMEN
ENTREPRENEURS(BENEFICIARIES)
Period UNDER PMEGP
2008-09 4930
2009-10 10845
2010-11 12072
2011-12 14299
2012-13 13612
2013-14 13448
2014-15 13394
2015-16 11356
2016-17 14768
2017-18 15669
2018-19 25434
2019-20 24720
2020-21 11823
2021-22 20817.3
2022-23 21743.2
2023-24 22669.1
2024-25 23595
2025-26 24520.8
2026-27 25446.7
2027-28 26372.6
2028-29 27298.5
2029-30 28224.4
2030-31 29150.3
Source: MSME annual report 2020-2021
Table 2: The listing of the number of women entrepreneurs for the
period 2008 to 2031.
(Note: The green-coloured period depicts the trend that can be
gained for women beneficiaries in the coming years.)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Diagram 1: The chart shows the trend line for women

beneficiaries

With the help of the trend analysis shown in Table 2, the

forecasting has been done from 2021-22 to 2030-2031 to understand
the number of women entrepreneurs under PMEGP. The chart with
the trend line focuses on the steady rise in women entrepreneurs in
the future. In the trend, it can be observed that there is no downfall or
decline in the trend line. It shows that there will be no decrease in
entrepreneurship for women In India. By the path of the analysis, it
can also be interpreted that many more policies or schemes will be
established under PMEGP with advancement globally. This will
further increase the economy of the nation with sustainable
development.

Conclusion
In the present scenario, the push and pull factors by the
organizations creating motivational drives for women (Brush, 1992)
are commendable. These are tremendously helping in a non-stop
process to contravene the age-old labelled barriers created by the
underdeveloped society. To develop their economic conditions, the
women of this generation are setting up their ventures where private
companies and the government are helping directly and indirectly.
The pull dimensions are appreciation, self-respect, autonomy in work
life, confidence in taking challenges, and money making. In
comparison, push factors are visualized as discontent with the task,
the family's financial provision, the child's education and care, and

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the spouse's sickness or death. The hindrances in starting an

entrepreneurial venture are backwardness in illiteracy, lack of
belongingness and guidance from the family, no technical education,
and no awareness of government policies (Bag and Barman, 2022).
As working in the office and working for the family are prominent
aspects of the life of each working woman in this world, it is much
more suitable for women to establish their businesses from home to
execute professional and personal lifestyles. Their involvement in the
job and ideas for entrepreneurial activities are helping them gain
respect and confidence with change. According to diagram 1, the
prospects confirm women's improvement in India with the realization
of women's power and the exposition of their business intelligence
worldwide. Gender inequality, an organizational barrier, is present in
the work environment in various forms, where all the scopes and
chances get reduced like monetary and non-monetary rewards,
appraisal for promotion, division of tasks, and authority (Kephart and
Schumacher, 2005; Mattis, 2004). In India, like men, women wish to
come to the limelight by getting a job or starting an entrepreneurial
role. The wish or the goal can be achieved without a high rate of
failure when we all help each other.

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poor and fragile states: Evidence from labor market and
entrepreneurship programs. Available at SSRN 2622220.
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Entrepreneurship Theory and Practice, Vol. 16 No. 4, 5-30.

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6. Coleman, S. 2007. "The Role of Human and Financial Capital

in the Profitability and Growth of Women‐Owned Small
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319.
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8. Das, K. D., & Ray, N. (2016). Women Empowerment for
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Pallimangal (A Unit of Ramakrishna Mission Kamarpukur). In
(Ed) Women Leaders in Chaotic Environments Examinations
of Leadership Using Complexity Theory, Şefika Ş. E. Turkey
9. Fletcher, Erin and Pande, Rohini and Moore, Charity Maria
Troyer (2017), Women and Work in India: Descriptive
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10. Gupta, V. K., Goktan, A. B., & Gunay, G. (2014). Gender
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NEW AGE BANKING: A CASE STUDY OF

10 PUBLIC AND PRIVATE BANKS IN INDIA

Khushboo Jalan 1, Dr Ruchi Sen2

ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.10

Abstract
Many inventions have changed the lives of individuals. In the world
of business or otherwise, banking is an indispensable part, the
absence of which will lead to restrictions in the economic
development of a country. The biggest invention that happened after
the banking reforms was E-banking. E-banking or electronic banking
has the potential to transform the banking business as it significantly
lowers transaction and delivery costs. E-banking also known as
online banking or virtual banking or Internet banking is a system that
enables banking transactions like the transfer of funds, payment of
loans, payment of EMIs, deposit, and withdrawal of cash virtually
with the help of the Internet. This paper discusses the challenges
thrown by E-banking and opportunities that can be rejoiced by the
banking system for the smooth functioning of banks in India.

Keywords: Electronic Banking, Private banks, Public sector banks

Introduction

T echnological developments in the Information and

Communications Technology industry have ensured that the
internet has become a significant part of man's way of life. For
instance, there is tremendous popularity in the use of social sites,
electronic commerce, and Internet banking. Such use of the internet
has created a global network in cyberspace that connects everyone
regardless of one's geographical location, economic status, religion,
or race. As a result, the trade sector, the finance sector, the media
industry, and all other sectors that enable the world to run have had to
depend on technology for normal function, and on the internet as a

1
M.Com 2nd year, Sunbeam College for Women, Bhagwanpur,
2
Corresponding Author & Associate Prof, Sunbeam College for Women,
Bhagwanpur

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

way of associating with the public. For instance, the fact that banks
have stayed at the forefront of technological advances has led to
significant value addition, and improvement of their products and
services offered. Therefore, this paper discusses the use of technology
in the banking sector, particularly Internet banking in today's world,
the services offered by the banks to their customers, and the various
factors associated with it.

Literature Review
Kumar Ravindra, Deshpande Manish, (2012), “E-banking”,
Pacific Books International
Uppal, R.K., (2020), “E-Banking: A New Gate Way for Indian
Banking Industry”, Bharti Publications, Edition 1st.
Shah Mahmood and Clarke Steve, “E-Banking solutions-
issues, solutions and strategies”, Information Science Reference.
P. Revathi, (2019), Digital Banking Challenges And
Opportunities In India, https://shorturl.at/xPY39

Objective of the Study

• The primary objective of the study is to gain more knowledge
about E-Banking.
• To know e-banking services provided by Public sector banks
and Private Banks in India.

Research Methodology
The major source of the information in this research study is
the primary data. The primary data were particularly relevant because
it was collected to for specific context that is to know the dynamism
of E-banking.

Limitations of the study

Since the study is entirely based on primary data, thus, the
responses by the respondents are considered to be true.
E-Banking also written as electronic banking refers to the usage
of computers in carrying out bank transactions. Electronic banking is
also known as Internet banking or online banking (Sulaiman, C.H,
and Wee 25). Therefore, this illustrates the complex nature of the
concept of financial services as there is no universal definition of E-
banking. However, it is significant to note that Internet or E-banking
refers to the use of various electronic services that allows a financial

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account holder with a particular bank to access all his or her

information through a computer. Therefore, in the context of this
discussion E-banking will be defined as a self-service activity that
permits bank account holders to get access to their accounts, as well
as their updated general information. In addition, these users have the
liberty of conducting financial transactions without time or
geographical limitations by accessing the bank's website (Olle 20).
Figure 1: Different ways of getting banking services online to the
customers of public sector banks

Source: Primary Data

Figure 1.1: Different ways of getting banking services online to the

customers of private sector banks

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

There are different types of E-banking services, for example,

ATM services, phone banking transactions, internet banking, mobile
banking, and so on. Figure 1 and Fig 1.1 exhibits different ways of
getting banking services online to the customers of Public and private
sector banks. It shows that 11.8 percent of each of the customers of
public sector banks take advantage of app utilization and mobile
banking whereas only 5.8 percent use internet banking services. On
the contrary, the usage of app utilization and internet banking in the
case of private banks is pretty less as compared to public sector
banks, which is 4.8 percent respectively. But the usage of mobile
banking is as high as 14.3 percent. Thus, the total number of
customers in private banks using all the online services is more (76.2
percent) than the public sector banks (70.6 percent).
It is important to promote online banking services to customers
so that they often use them to make their financial activities easy.
Thus, when asked about whether the banks (public and private)
provide a tutorial on the way to use e-banking services? Figure 2 and
Figure 2.2 states that the majority of the respondents (57.4 percent) of
public sector banks had been given tutorials on how to use e-banking
services. The customers of private banks also affirmed the answer. It
can be seen that private banks hold greater supremacy in tutoring
their customers as compared to public sector banks.

Figure 2: Public sector banks providing tutorial of the way to use the
e-banking services

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 2.2: Private banks providing tutorial of the way to use the e-
banking services

Source: Primary Data

Technology has brought a 360-degree shift in the functioning
of the banks and delivery of banking services. Technology is no
longer an enabler but a business driver. Thus, the customers of both
banks responded positively about their understanding of the
technology. Figure 3 and figure 3.3 exhibit that the technology
provided by banks for online banking services is easily understood by
the users of private sector banks whereas, in the case of the public
sector, it is understood by a maximum of them but also a few of them
go through the technical issues like in changing the limit of the card.
Figure 3: Easy understanding of technology by public sector banks
customers

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 3.3: Easy understanding of technology by private banks

customers

Source: Primary Data

Figure 4 reflects that 48.5% of respondents of the public

sector banks said they faced technological glitches like server down,
network issues, etc. and 42.6% said they didn't face any glitches.
Whereas in the private sector, 64.3% of respondents said there is no
technical glitch as shown in Figure 4.2.

Figure 4: Customers of Public sector banks facing technical glitch

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 4.2: Customers of Private banks facing technical glitch

Source: Primary Data

As stated in the beginning that e-banking services not only

save time but are also available 24*7. Thus, customers should be
given utmost importance if they face any problems while e-banking
transactions. Figure 5 and Figure 5.5 shows problems occurring in e-
banking services for users of public sector banks are solved and stated
by 76.5% of the respondents whereas for the private sector, it is
90.5%. Thus, again private banks take the lead in solving the
problems of the customers.

Figure 5: Solving the problems occurring in e-banking services by

public sector banks

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 5.5: Solving the problems occurring in e-banking services by

public sector banks

Source: Primary Data

As we all know the present era is moving towards online
facilities and the coming era would be fully dependent upon online
services. But, still, in the present era, there are people of old age, and
middle to old age who suffer problems in availing the services
through online mode and they strive hard in learning and updating
themselves with new technologies. On asking about their interest and
comfort to avail the services through online or offline mode, it was
observed that a maximum of the respondents selected online mode in
both the sectors but comparatively it is more in the private sector as
shown in Figures 6 and 6.1.
Figure 6: Type of services customers are more comfortable with the
public sector banks

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 6.1: Type of services customers are more comfortable with

the Private banks

Source: Primary Data

Changes take place in daily life whether positive or negative.

So as it is with e-banking services. It has given a positive over a
negative impact as it saves a lot of time for the user. It has been stated
by the respondents of both the public sector (fig. 7) and private sector
(fig. 7.1). Moreover, in public sector respondents also said that it
allows to do safe and secure transactions more than that in the private
sector.

Figure 7: Effect of online banking services on the daily life of public

sector bank users.

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 7.1: Effect of online banking services on the daily life of

private sector bank users..

Source: Primary Data

As we know that banking services are extended in rural,

semi-urban, and urban areas. Thus, the study exhibits that 77.9
percent of respondents are from urban areas in the case of public
sector banks (fig.8) and 81 percent respondents of private sector
belong to urban areas (fig. 8.1). Thus, a major chunk in both the
banks are associated with urban areas.

Figure 8: Type of public sector bank.

Source: Primary Data

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure 8.1: Type of private sector bank.

Source: Primary Data

Conclusion
From the above research, it has been concluded that E-
Banking services not only provide convenience but also save time. As
we can make out from the study that the transaction costs also reduce
and it saves the environment by indulging in paperless transactions.
The biggest advantage of e-banking services is the elimination of
geographical barriers. But, as every coin has two sides, the same was
with this too. It has various challenges to overcome like security
issues, internet connection etc. E-Banking is an incredible invention
that has provided several opportunities for clients to grow themselves
and their businesses in the same place.

References
1. Kumar Ravindra, Deshpande Manish, (2012), “E-banking”,
Pacific Books International
2. Uppal, R.K., (2020), “E-Banking: A New Gate Way for Indian
Banking Industry”, Bharti Publications, Edition 1st.
3. Shah Mahmood and Clarke Steve, “E-Banking solutions-
issues, solutions and strategies”, Information Science
Reference.
4. P. Revathi, (2019), Digital Banking Challenges And
Opportunities In India, Researchgate.net, https://shorturl.at/qB
ENR

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A STUDY ON FACTORS THAT AFFECT THE

11 FINANCIAL EFFICIENCY OF LIFE

INSURANCE INDUSTRY
Iffat Jahan Qaiser1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.11

Abstract
Life Insurance industry is the most important industry in India. The
liberalization of the insurance sector has been the subject of much
heated debate for some years. Before liberalization only LICI was in
the insurance sector. After that many new players entered in the
insurance sector for Insurance Regulatory Development Authority of
India established for monitoring the insurance sector. Life insurance
penetration also shows the contribution of life insurance to total GDP.
The specific objective of this research paper is to know the factor that
affect the financial efficiency of life insurance industry. To fulfill the
objective, we have conducted a primary survey with 606 respondents
and used statistical tools like factor analysis, KMO and Bartlett Test,
Total Variance Explained, Scree Plot etc.

The present study finds that factors which affects the financial
efficiency of life insurance industry are financial parameters of the
company, economic factors of the company, government factors and
household factors.

Keywords: Insurance Industry, Liberalization, Financial Efficiency,

Factor Analysis

Introduction

I ndian Insurance refers to the insurance market in India and thus

protects both public and private sector organizations. Since 1991,
the Indian economy has undergone a salty turn amidst waves of
globalization and domestic economic restructuring, taking various
steps in both the real estate and business sectors. Similarly, the Indian
insurance industry is also undergoing a period of operational change

1
State Aided College Teacher – I, Department of Commerce, Seth Soorajmull
Jalan Girls’ College, Kolkata, INDIA

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

under the collective impact of reforms in the financial sector as a

whole and in the insurance sector in particular. Before liberalization,
the struggle was confined to the dominant public insurers. In life
insurance, Life Insurance Corporation of India (LICI) played a
leading role, while in non-life insurance New India, United India,
National and Oriental General Insurance Companies dominated. After
the liberalization of the insurance sector, the Indian insurance
industry standards fundamentally changed in the previous era. State
monopolies were dissolved, private companies began to operate, and
intermediaries suddenly played an important role. After deregulation
of the insurance sector, the insurance sector embarked on progress
programs related to delivery, product innovation and insurance
penetration. The activities carried out by IRDAI increased the various
insurance activities in terms of volume, product diversity and
geographic reach, resulting in a high level of diversification of
services due to competition from the entry of new players. This study
aims to comparatively assess the financial efficiency of public and
private life insurance companies in the post-liberalization period and
to determine whether financial sector reforms have facilitated the
process of financial inclusion and social security. The insurance
sector has gone through a number of segments, allowing private
companies to apply for insurance and allowing foreign direct
investment. India has allowed private companies in the insurance
sector in 2000 and set the foreign direct investment cap at 26%,
which raised to 49% in 2014. However, Life Insurance Corporation
of India, India's largest life insurance company, remains under
government control and provides a sovereign guarantee for all
policies allocated by the government. In this changing environment,
insurers must find ways to deliver more value than ever before. The
Life Insurance Corporation of India dominates the Indian insurance
sector, providing stimulating donations for income generation and
employment.

Literature Review
Devasenathipathi, Saleendran and Shanmugasundram (2007) in
their study, "A Study of Consumer Preferences and a Comparative
Analysis of All life Insurance Companies," all life insurance
companies were analyzed and evaluated based on specific factors.
They examined the impact of privatization and measured customer
perceptions, purchasing behavior, and customer attitudes towards life

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insurance products. The study concluded that the key factors in the
purchasing process depend on the quality, convenience and speed of
service, which could allow companies to reach top positions with
huge market share. Bertola and Koeniger (2008) patterns of private
and public insurance coverage across countries discussed in their
study depend on differences in the absolute and relative efficiencies
of public and/or private administrations. The study highlights that
India's insurance sector, which was a state monopoly until 1999,
underwent major changes in the post-reform era, with the business of
private insurers growing rapidly over time. Pasricha and Arora (2009)
in their work, they examined recent life insurance industry scenarios
and various changes such as liberalization, privatization and
globalization. It was noted that LICI recorded his 0.6% growth rate
and private insurers recorded 92.4% growth rate in terms of new
office openings. Even private companies have launched more
products than LICI to attract customers. LICI showed growth rates of
10.4% and 26.7% in new business and new business premiums,
respectively, between January 2000 and July 2006. This is lower than
private insurers' 72.7% and 189.6% respectively. Ghosal et al. (2012)
found that the insurance sector proved poised for significant growth
due to increased focus on policyholders, premiums, new products and
technology. Technology plays a key role in sustaining growth.
Therefore, a well-regulated life insurance industry that moves with
the times by offering customized products to meet the financial needs
of customers is essential to move towards a secure future Markets.
Long and Li (2017) used a two-stage DEA model to assess the
operational performance of insurance companies, and the results
show that the proposed method can be analyzed with high accuracy.
Bian and Wang (2019) examined the cost efficiency and profit
efficiency of Chinese life insurance companies from 2009 to 2013.
That period was the time when China fully opened its insurance
market to foreign insurance companies, comparing the efficiency
difference between domestic and foreign life insurance companies.
Ray, Thakur and Bandyopadhyay (2020) assessed the development
and growth of the Indian insurance sector and identified the
challenges that hindered its development. Having grown and
developed on a massive scale, it emerged from a public monopoly
and was limited to being competitive and open. Even after the
implementation of reform measures, the insurance sector in India
would continue to compete with the insurance sector in other

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

developed countries. Still have a long way to go to compete. India's

share of the global insurance market is surprisingly small. In order to
expand its share globally, a fundamental challenge must be addressed.

Objectives of The Study

The objective of the study are as follows -
• To analyse the factors that affect the financial efficiency of life
insurance industry.

Research Methodology
This paper will include studies of financial efficiency of life
insurance industry, the variables which causes impact on the financial
efficiency and working style of life insurance industry through
analysis of primary data from stake holders. Total 606 respondents
involved and with the help of Factor Analysis, KMO and Bartlett
Test, Communalities, Rotated Component Matrices, Total variance
explained and Scree plot for showing the financial efficiency of life
insurance industry.

Reliability Analysis
Table: 1 Reliability Analysis
Cronbach's Alpha No. of Items
0.963 27
Source: Compiled by the Author

Factor Analysis Of The Variable That Affects The Financial

Performance Of The Life Insurance Industry

Descriptive Statistics
Table 2: Descriptive Statistics of the variable that affects the
financial efficiency
Std.
Ratios Mean Skewness Kurtosis
Deviation
1 Leverage ratio 3.73 1.106 -0.799 -0.006
2 Liquidity ratio 3.85 1.134 -0.912 0.039
3 Company size 4.03 0.903 -0.969 0.887
4 Management
4.09 1.003 -1.111 0.716
competent
5 Fixed Assets 3.76 1.092 -0.827 0.021
6 Liabilities 3.76 1.136 -0.774 -0.163

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Std.
Ratios Mean Skewness Kurtosis
Deviation
7 Volume of capital 3.81 1.072 -0.938 0.32
8 Volatility in market 3.79 1.132 -0.777 -0.208
9 Growth rate of
4.01 1.003 -1.007 0.424
savings
10 Total Debts 3.69 1.095 -0.739 -0.045
11 GDP of the country 3.82 1.043 -0.726 -0.146
12 Interest rate 4.28 0.821 -1.371 2.553
13 Household savings 4.22 0.845 2.578
14 Expenses on
4.2 0.841 -1.015 0.944
management
15 Market share 4.1 0.883 -1.045 1.055
16 Unemployment 4.07 1.054 -1.199 0.884
17 Earning of the firm 4.14 0.873 -1.155 1.537
18 FDI inflow in
4.05 0.961 -1.018 0.791
insurance sector
19 Value of domestic
3.9 0.981 -0.848 0.415
currency
20 Economic
4.16 0.929 -1.142 1.025
Slowdown
21 Trade War prevail
3.88 0.981 -0.772 0.199
in market
22 Tax policy of the
4.34 0.767 -1.215 1.647
country
23 Fiscal policy in the
4 0.952 -0.987 0.798
country
24 Poverty Level in the
4.2 0.921 -1.214 1.24
Economy
25 Education Level in
4.28 0.822 -1.274 1.806
the country
26 Per Capita Income
4.21 0.841 -1.106 1.251
in the country
27 Awareness among
the common people in 4.34 0.775 -1.297 1.943
the Country
Source: Compiled by the Author

Descriptive statics exhibits mean score of responses of

twenty seven questions asked to the respondent. Mean score of all
the 27 questions asked is over and above 3. To run the factor

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

analysis we need to know the KMO value of the test. If the KMO
value of the test is above 0.6, we should run the analysis; in the
converse case the analysis is excluded.

Table 3: KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .949
Approx. Chi-Square 6507.367
Bartlett's Test of Sphericity Df 351
Sig. 0.000
Source: Compiled by the Author

“KMO is used for assessing sampling adequacy and

evaluates the correlations and partial correlations to determine if the
data are likely to highly correlate or not. To understand the
suitability of the responses from the sample Kaiser-Meyer-Olkin
Measure of Sampling Adequacy value is used which lies between 0
to 1. KMO Value more than 0.5 is accepted for further analysis. In
our case the value comes 0.949 which is highly acceptable to
continue factor analysis. Bartlett's Test of Sphericity which is a Chi-
Square test explaining indicator of how strong a relationship is lies
between variables is also performed and F value comes to 65.7.367
(P value 0.000) which is statistically significant. After that we check
communalities, shows how much of each variable is accounted for
the underlined factor. Communality is the sum of the squared
component loadings and represents the amount of variance in that
variable accounted for by all the components. A high value of
communalities means that not much of the variable is left over after
whatever the factors represent is taken into consideration”.

Table 4: Communalities Table

Initial Extraction
1 Leverage ratio 1.000 .738
2 Liquidity ratio 1.000 .804
3 Company size 1.000 .712
4 Management competent 1.000 .656
5 Fixed Assets 1.000 .778
6 Liabilities 1.000 .820
7 Volume of capital 1.000 .806
8 Volatility in market 1.000 .784

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Initial Extraction
9 Growth rate of savings 1.000 .758
10 Total Debts 1.000 .797
11 GDP of the country 1.000 .703
12 Interest rate 1.000 .718
13 Household savings 1.000 .757
14 Expenses on management 1.000 .757
15 Market share 1.000 .649
16 Unemployment 1.000 .679
17 Earning of the firm 1.000 .742
18 FDI inflow in insurance sector 1.000 .640
19 Value of domestic currency 1.000 .735
20 Economic Slowdown 1.000 .754
21 Trade War prevail in market 1.000 .635
22 Tax policy of the country 1.000 .688
23 Fiscal policy in the country 1.000 .618
24 Poverty Level in the Economy 1.000 .671
25 Education Level in the country 1.000 .642
26 Per Capita Income in the country 1.000 .645
27 Awareness among the common people
1.000 .681
in the Country
Source: Compiled by the Author

“Extraction indicates the proportion of each variable’s

variance that can be explained by the principal components.
Variables with high values are well represented in the common
factor space, while variables with low values are not well
represented”.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Table: 5: Total Variance Explained by Factors

Source: Compiled by the Author

“The above table is intuitively named and reports the

variance explained by each component as well as the cumulative
variance explained by all components. When we speak of variance
explained with regard to this table, we are referring to the amount of
variance in the total collection of variables which is explained by
the components. The first component will always account for the
most variance and hence have the highest eigenvalue and the next
component will account for as much of the left over variance as it
can, and so on. As we seen from above the total variance explained
by the above three extracted three factors is 71.732% and it is
statistically significant”.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Fig 1: Scree Plot of Eigen value of Factors

Source: Compiled by the Author

“The scree plot graphically displays the information in the

previous table; the components eigenvalues. Components with an
eigenvalue of more than 1 account for higer variance hence it is
considered and component with eigenvalue less than 1 account for
less variance hence excluded. Four factors were extracted and
suitable names were provided. Factor one comprises variable 1,.2, 3,
4, 5, 6, 7, 10, 11, 14, 15 and 17 are named as Financial Parameters
of the Company, variable 8, 12, 16, 18, 20, 22, 24, and 26 named as
Economic Factors of the Country, variable 9,19, 21 and 23 are
jointly termed as Government Factors, variable 13, 25 and 27 are
jointly named as Household Parameters” .

Table 6: Rotated Component Matrix Table

Component
Variables
1 2 3 4
1 Leverage ratio .769
2 Liquidity ratio .851
3 Company size .552
4 Management competent .611
5 Fixed Assets .809
6 Liabilities .831

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Component
Variables
1 2 3 4
7 Volume of capital .808
8 Volatility in market .794
9 Growth rate of savings .621
10 Total Debts .782
11 GDP of the country .612
12 Interest rate .689
13 Household savings .720
14 Expenses on management .759
15 Market share .622
16 Unemployment .756
17 Earning of the firm .594
3.18 FDI inflow in insurance
.544
sector
19 Value of domestic currency .238 .749
20 Economic Slowdown .765
21 Trade War prevail in market .330 .615
2 Tax policy of the country .720
23 Fiscal policy in the country .297 .606
24 Poverty Level in the
.771
Economy
25 Education Level in the
.493
country
26 Per Capita Income in the
.696
country
3.27 Awareness among the
.558
common people in the Country
Source: Compiled by the Author
“The rotation method is used to reduce the no factor
depending upon the factor loadings. Varimax rotation with Kaiser
Normalization is applied for analysis. It is a popular scheme for
orthogonal rotation where all factors remain uncorrelated with one
another (Kaiser 1958). We have found that our factors un-
correlated with mean 0 Standard deviations 1”.
Conclusion
According to the primary survey among 606 respondents
across Kolkata it is observed that the financial efficiency of life

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

insurance companies depends on four factors. The four factors are

financial parameters of the company, Economic Factors of the
company, Government Factors and Household Factors.

Bibliography
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Application of Malmquist Productivity Index with Carry –
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2. Banker, R.D., Charnes A., and Cooper, W.W. (1984), Some
models for estimating technical and scale inefficiencies in
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pp.1078-1092.
3. Barr, R.S. (2004), DEA software tools and technology: A
State-of-the-Art Survey, In Handbook on Data Envelopment
Analysis, ed. W.W. Cooper, L.M. Seiford, and J. Zhu, Kluwer
Academic Publishers: 539–566.
4. Bian, W., and Wang, X. (2019), The openness of China’s
insurance industry and the efficiency of domestic vs. foreign
life insurers, Asia Pacific Journal of Accounting and
Economics, Vol.26, No.1, pp.12-17.
5. Bertola, G., and Koeniger, W. (2008), Public and Private
Insurance: Cross country evidence and a model working
paper, Universtia di Torino and CERP, University of London,
pp.1-30.
6. Devasenathipathi, T., Saleendram, P.T., and
Shanmugasundram, A. (2007), A Study on Consumer
Preference and Comparative Analysis of All Life Insurance
Companies, ICFAI Journal of Consumer Behavior, Vol.2,
No.4, pp.7-16.
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Performance of Selected Indian Life Insurance Companies:
An Analysis, International Journal of Research and
Analytical Reviews, Vol.8, No.1, pp.142-150.
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Development of India, ZENITH International Journal of
Business Economics & Management Research, Vol.2, No.7,
pp.81-92.
9. Long, Y., and Li, Y. (2017), Study On Insurance Company
Operating Performance Analysis Method With the DEA

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Model, International Conference On Small City and Systems

Engineering, Vol.1, No.1, pp.89-92.
10. Pessanha, J.F.M., Marinho, A., Laurencel, L.D.C.,and
Amaral, M.R.D.S.D.(2015), Implementing DEA Model in R
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Industry in India: Current Scenario, Apeejay Journal of
Management and Technology, Vol.4, No.2, pp.120-131.
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Life Insurance Companies: An Empirical Study in Mainland
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MCDM Approach for Evaluating Banking Performance
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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

GOOD GOVERNANCE STRUCTURE: A STUDY

12 ON INITIATIVES UNDERTAKEN AND

CHALLENGES ADDRESSED IN INDIA
Prof. Indrila Deb 1, CIMA (UK), CMA (India) Saurav Shaw2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.12

Abstract
For a Good Governance, every person in the country should adhere to
the norms set by the government at the top so that Government and
Common people should be in parallel, and any kind of corruption and
unethical things can be avoided or stopped. Society should act as
whistle blowers if they find any kind of unethical things happening in
and around so that the country can be saved from any economic
downturn or issues which are detrimental for the sake of the society.

The present article attempts to explore –

• To create awareness about the concept of “Governance”
• To understand Nature of “Good Governance”
• To enumerate principles that are required to be followed to
frame good governance structure
• Challenges faced at the time of implementation of governance
into the system, and
• Initiatives that can be taken to implement proper governance.

Keywords: Governance, Principles, e-Governance Initiatives,

Challenges, Good Governance Index & Probity in Governance.

“Governance”: An Overview

T he term “Governance” can be defined as framing and

executing laws, rules, regulations, policies, practices and
norms in order to ensure transparency, accountability, fairness
and responsiveness towards society or the public. Several
International Agencies defined the term “Governance” as

1
Corresponding Author, Faculty Member of Commerce and Management and
(Registered) Research Scholar, St. Xavier’s University
2
Associate Consultant, KPMG (India)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

implementation and execution of authority or power to oversee affairs

from the perspective of economic, political, environmental and
administration.

Governance Vs Good Governance:

The term Governance is the procedure through which decisions
are analyzed and taken into consideration and implemented to arrive
at the conclusion for the welfare and wellbeing of the community.
There are various formal and informal actors involved in the
procedure of taking decisions out of which Government play an
important role which forms a part of “Civil Society”.
On the other hand, the term “Good Governance” involves
framing and structuring Rules, Regulations, Laws, Norms, and
practice considering certain important parameters such as -
Participatory, Consensus, Accountability, Transparency,
Responsiveness, Efficiency and Effectiveness, Equitable and
Inclusiveness, Compliance of Rules, and Regulations.

Features Of “Good Governance” In India:

1) Quality education with greater employability,
2) Infrastructural development and innovation in the areas of
Airport, Transportation, Agriculture, Urbanization, Market
Development,
3) Safety of society and compliance of laws and orders,
4) Generating employability in the sectors such as Government
and Private sectors,
5) To check viability of Government Employees and workers,
6) Economically providing good environment to the business,
7) Reducing inequalities in the community through eradicating
poverty, hunger, and untouchability,
8) Transparency should be maintained to frame and implement
good governance structure,
9) Right to Freedom should be encouraged from the perspective
of speech, religion, work, and non-inference,
10) Concessions should be given to the community at large and
governance structure should be free from biases.

Good Governance has eight major characteristics which

involves the followings:

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

1) Participation of community towards taking decisions

2) Consensus Oriented
3) Management of Accountability towards citizens
4) Transparency
5) Responsiveness
6) Effectiveness and Efficiency
7) Equitable towards society
8) Compliance of Rules and Regulations.

In order to frame and implement good governance structure

certain factors needs to take into consideration-
● Combating of Corruption
● Minorities viewpoint and opinion
● Viewpoint of the susceptibility section of the society* to be
heard at the time of taking crucial decisions.
*Kindly note: Susceptible Groups are those persons who face
severe backlash and barriers due to their identities which involves
Women, Scheduled Caste, Scheduled Tribes, Children of the poor,
Aged, Disabled, Poor Migrants, People suffering from HIV/AIDS,
Sexual Minorities.
● Must be accountable towards present and future needs and
benefits towards community.

Principles That Are Required To Be Followed In Order To

Frame And Implement Good Governance Structure:

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Participation:
Community must possess the “right” to express their opinion,
viewpoint and judgement as well as to participate in decision making
process. Community includes Men and women, Susceptible Groups,
Backward area of the community and Minorities class. Right to
Participate involves “Right to Freedom” from the perspective of
Speech, Opinion and Thoughts.

Rule of Law:
Legal framework should be implemented without having
partiality with respect to Human Right Law. It is utmost essential to
implement rules, laws, and regulations by maintaining the concept of
“Everyone is equal in the eyes of law”.

Consensus Oriented:
It should be always be kept in mind that there will be different
viewpoints in a particular decision making so we need to come to the
conclusion that any party is not be demoralized in any manner and the
decision is being taken in a median way.

Equity and Inclusiveness:

Everybody should be given equal opportunities despite of cast,
creed, and religion. Community should be given an opportunity in
order to maintain and enhance the wellbeing of people at large.

Effectiveness and Efficiency with respect of Utilization of

Resources:
Resources of the Society should be properly utilized in order to
produce and generate maximum output. Government Institutions
must have ability and capacity to generate result which in turn will be
beneficial for the society.

Accountability:
Basic objective behind framing and implementing Good
Governance is to do something for welfare and wellbeing of the
masses and which is impossible without the Government being
accountable to the society. Several Institutions should be accountable
as well as responsible towards meeting the needs and requirements of
society.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Transparency:
Transparency means that the information is reliable and
useful for the public at large and that can be processed in a manner so
as to avoid any kind of risk, fraud, mismanagement and scams in the
society. The information should be available to all the public at large
whenever they want to look into the same as Government is for
common people, by the common people and for the welfare of the
society.

Responsiveness:
Responsiveness means to ‘act quickly’. Government should be
responsible and act quickly if there are any incidents for which
immediate actions are required. They should act diligently so that any
common issues can be resolved in a meaningful time frame so that
the society is not jeopardized by any means.

Challenges With Respect To Framing Governance Structure:

Criminalization of Politics
The criminalisation of the political process and unfair
corruptive involvement of politicians, civil servants and business
houses causing undue influence on formulation of public policy and
structure of governance.

Recommendation:
In order to main utmost from the perspective of political stance,
it is recommended to amend prescriptive section of the
Representation of People’s Act, 1951 with an aim to disqualify a
person against criminal charges can be imposed with respect to unfair
activities such as vulnerable offences which are detrimental for the
community.

Corruption
It acts as a vital hindrance behind enhancing the performance
of governance structure. While people act as an actor behind
conducting corruptive activities which involves poor enforcement
system and structural imbalance in governance which needs to be
taken care in order to make changes in the graph of governance
structure in India.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Gender Disparity
It won’t be easy to enhance the welfare of the world until and
unless the circumstances of women is improved. In order to access
the condition of nation, it is utmost essential to study and analyse
“The Status of Women” as it has been observed that although women
comprising of half of the population but they are not properly
represented and granted in the society with respect to decision
making, There it is highly recommended to enhance the concept of
“Empowerment of Women” in order to engage women in taking
decisions and providing right to express their opinion and beliefs and
to avoid the concept of Gender Inequality and Disparity.

Growing incidence of violence

Involvement of Violence is one of the backdrops behind
framing and structuring governance. But from the perspective of
“Principles of Good Governance” it is highly recommended to
develop peace and order in the society.

Delay in Justice
It is highly recommended to get timely justice. Governments
have to improvise on the structure of the system of law and justice
and maintain adequate workforce to provide speedy justice to
common people.

Centralisation of Administrative System

Governments at block levels functions properly if they are
interested to do so. This is specifically applicable to “Panchayati Raj
Institutions (PRI’s)” which currently bears the pain of inadequate
deployment of funds as well as functionaries to carry out operations
lawfully assigned to them.

Development and Upgradation of Backward People from

Economic and Societal Standpoint:
The economically backward section of the society is deprived
from development and up-liftment. Although it has been observed
that there are certain provisions framed and constituted for societal
upgradation but in reality, they are lagging behind in certain areas
such as education, job opportunities, economic wellbeing and
welfare, availing medical services etc.

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Initiatives Undertaken In Order To Frame Good Governance In

India:
RIGHT TO INFORMATION:
RTI Act, 2005 has made a paradigm shift in the Democracy
of India by providing immense access to the nation’s people with
respect to the information thereby improving transparency, fairness,
accountability, and responsibility towards society needs and
requirements.
RTI Act, 2005 promotes the concept of:
a) Accountability
b) Fairness
c) Transparency
d) Confidentiality
e) Responsiveness
f) Openness with respect to accessing information as per societal
requirement.

E-GOVERNANCE:
The National e-Governance Plan (NeGP) involves 360-
degree coverage of Initiatives undertaken by ‘The Government of
India through e-platform across the country. Integrating,
accumulating and culminating those initiatives into “Singular Vision
“in order to make e-services available to the common public thereby
enhancing efficiency, transparency, fairness and reliability at a fair
cost in order to understand basic needs of society.
The Government approved the national e-Governance plan
consisting of certain mission mode projects and some other
components launched on 18th May 2006.

Recent Initiatives taken by Indian Government to promote E-

Governance are as follows:
• MyGov. Initiative - My-Gov. a part of Digital India
established as a Citizen of India’s platform in order to engage
and collaborate with multiple government bodies or ministries
with an vision to encourage and engage citizen or public
towards formulation and implementation of policies taking into
account opinions, viewpoints judgement and interest of public
for their wellbeing and welfare. Certain initiatives undertaken
by MyGov. which includes -

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

a) Launch of COWIN portal - It is an open-source platform

framed in order to Booking of appointments for Covid 19
Vaccination and information with respect to COVID 19 status
such as daily reports on increase and decrease in trends of
Covid 19.
b) Initiatives for Environment and Public Health -Launch of
‘Net Zero by 2023’ on 2nd November 2021. PM Ayushman
Bharat Health Infrastructure Mission on 25th October 2021.
c) Development in Defence and Social Infrastructure -
Dedication of 7 new defence companies - 15th October 2021.
Launch of PM Gati Shakti National Master Plan for multi-
model connectivity on 13th October 2021.
d) Initiatives for India’s Endeavours in Space, Swach Bharat
Mission 2.0 and Amrut 2.0 -

Launch of Indian Space Association on 11th October 2021.

Launch of Swachh Bharat Mission Urban 2.0 and Amrut 2.0 on
1st October 2021.
e) Empowering the Health and Social Sectors:
Launch of Ayushman Bharat Digital Mission on 27th
September, 2021.
Launch of Ujjwala 2.0 on 10th of August, 2021.
f) Initiatives for the Digital India and the Tikka Utsav -
Launched of e-Rupee digital payment solution on 2nd
August 2021. Tikka Utsav launched on 11th April 2021.
g) India’s fight against Covid 19 and other Initiatives - Launch
of Pan India rollout of Covid 19 vaccination drive, COWIN
portal on 16th January 2021.
h) Launch of Rewari Madar Section of Western Dedicated
Freight Corridor on 7th January 2021.

• National Scholarship Portal - It is an online portal framed and

implemented by Indian Government for applying, processing,
verifying, and granting government scholarships to students.
The objective is to reduce the discrepancies and provide fair
and transparent way to grant scholarships to students of India.
The mission mode project of Nations Scholarships portal under
e-Governance plan aims at the followings:
a) Granting scholarships to students within proper time frame,
b) Creating transparent and fair database of students or scholars,

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c) Avoid duplication while processing application receipts of

students,
d) Carefully scrutinizing applications receipts from students to
avoid discrepancies for future purpose,
e) Compliance of Norms and Schemes.
• Digi Locker - It is a programme undertaken by Indian
Government with a vision to convert “India” into “Digital
India” from the perspective of Social Well-being, Economy
and Knowledge. It shall provide citizens with a shareable
private space to access on “public cloud”.

Basic objectives of Digi locker -

a) To empower citizens of the country with the concept being
‘Digital’.
b) To reduce physical excessive usage of documents thereby
making it electronically available.
c) To enhance the Transparency and Authenticity thereby
reducing risk of having fake documents.
d) Making a portal available for easy access.
e) E-Documents can be accessed anytime and anywhere.
f) Ensures privacy on confidential documents by having strong
password protection.
• DARPAN: It is an e-tool that can be used for analytical review
and monitoring of complex and high priority projects
undertaken by the Government of India. It facilitates
presentation of real time data in a graphical method so that the
decision can be taken by the user of it quickly and reliably.
• National e-Governance Plan (NeGP): It involves 360-degree
coverage of e-governance initiatives across the country
integrating and accumulating into vision thereby transforming
E-Governance with an aim to enhance the delivery of services
to community. The Concept of E-Kranti is one of the backbone
behind rendering transparent and fair services to the
community at large. The objectives of E-Kranti are mentioned
below:
a) Ensuring optimum utilization of information and
Communication Technology,
b) Integration of applications with respect to the concept of e-
Governance,
c) Reducing cost factor,

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d) Enhancing Transparency, Accountability, Fairness and

Responsiveness w.r.t well-being society,

Important areas of e-Kranti highlighted for the purpose of

Digital India are mentioned below:
a) Technology from the perspective of Education - Framing and
implementing the concept of e-Education
b) Technology from the perspective of Health - Framing and
implementing the concept of e-Health care
c) Technology from the perspective of Farmers
d) Technology from the perspective of Security
e) Technology from the perspective of Financial Inclusion
f) Technology from the perspective of Justice - Framing and
implementing the concept of “e-Court”
g) Technology from the perspective of Planning
h) Technology from the perspective of Cyber Security.

There are many mission mode projects covered under e-Kranti

which are under process.

Programs launched under e-Governance: PRAGATI

It is a programme launched in order to bring transparency and
accountability taking help of real stakeholders. This programme plays
an important role in resolving issues by reducing communication gap
and thereby minimizing time factors involved in implementing and
executing projects and other e-schemes.

LEGAL REPORMS
The Central Government has removed several rules, regulations
and laws which has been removed with a mission to enhance
transparency, fairness, accountability, and responsiveness and thereby
improving efficiency. Reforms undertaken with respect to:
Bankruptcy for Individuals, Streaming PSU Governance, Regulation
of Media, Advance Police Reforms, Streamlining Judicial
Appointments, and Corporate Insolvency, Protecting Net Neutrality,
and Safety measures to be taken during Clinical Trials, strengthening
laws related to Abortion etc.

EASE OF DOING BUSINESS

MCA has taken initiatives for rendering “Ease of Doing
Business” for the past few years which involves currently introduced

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form “SPICE+” - SPICE plus. The basic objective behind

undertaking this initiative is to enhance business environment and
provide measures to improve ease of doing business in an appropriate
manner. Certain remarkable initiatives have been highlighted to get
an in-depth understanding about the concept. Details are given below:
a) COMPACT and GePG
b) e-biz portal
c) e-Court
d) e-Procurement
e) GST
f) Land Records and Property Registrations
g) MCA 21
h) Pradhan Mantri Mudra Yojana
i) Power Sector Reforms
j) Shram Suvidha Portal
k) Taxpayer Services and TRACES by Income Tax Department
l) The Insolvency and Bankruptcy Code,(2016)
m) e-Municipality
n) EDI FOR e-Trade

Kindly note: Some of the above-mentioned initiatives are already

started while some other are in the pipeline will soon see the light of
the day.

Certain factors have been considered with a view to make “Make in

India’ campaign successful includes the following:
a) Vision to achieve PM Modi’s Aatmanirbhar Bharat,
b) Reduction in Compliance Burden,
c) Cutting Down Cost Factor,
d) Enhancing Ease of Doing Business in the country,
e) Introducing Production Linked Incentive Scheme (PLI) from
manufacturing perspective,
f) Introducing The Public Procurement Order 2017 from local
industry perspective by providing preference in public
procurement of Goods and Services.

Decentralization
Centralised Planning Commission (CPC) was abolished and
replaced with new concept of “Think Tank of Government of

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India” known as “NITI Aayog” which creates a paradigm shift in

the history of “Cooperative Federalism”.

Police Reforms
It involves formulating, modernizing and implementing
“Model Police Act of 2015” Reforms: “First Information Report”
-Introducing the concept of filing e-FIR, a mechanism in order to
undertake minor offences.
Launch of Common Nation-Wide Emergency Number - to
meet urgent security needs of the citizens or public at large.

● Aspirational District Programme

✓ Launch of Aspirational District Programme:
Launched with a view to convert lives of people from under-
developed area of the country into a broader manner considering
improvisation in the field of the followings:
a) From the perspective of Health and Nutrition
b) From the perspective of Education Facilities
c) From the perspective of Agricultural Development
d) From the perspective of Development of Water Resource
e) From the perspective of Managing Waste
f) Financial Inclusiveness
g) Conducting Vocational Skills Program in order to enhance
livelihood of the people
h) Generating employment opportunities by conducting
employment programmes and training programmes
i) Basic Infrastructures

Several Initiatives undertaken from the perspective of each

parameter.

Kindly note: As per Report: Stories of Change from India’s

Aspirational District - Latest Report Extracted for study.

Good Governance Index

Good Governance Index 2021 launched with an aim:
a) To evaluate improvement of GGI Scores from the perspective
of Indicators from 2019-2021.
b) To evaluate the position of structure of governance in States
and Union Territories.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

India’s District Good Governance Index launched in the year

2022:
The First “District Good Governance Index launched in the
year 2022 by Honourable Union Minister of Home and Cooperation
specifically for 20 districts prepared by Department of Administrative
Reforms and Public Grievances (DARG) in association with
Government of Jammu and Kashmir. It a structural framework which
involves documents related to performance of 10 government sectors
having certain numbers of indicators and data points. Sectors
Specifications are given below:
a) Sector from the perspective of Agriculture and Rural
b) Sector from the perspective of Commerce and Industry
c) Sector from the perspective of Development of Human
Resource
d) Sector from the perspective of Welfare of public health
e) Sector from the perspective of Infrastructure development
and Utilities of public
f) Sectors from the perspective of framing and structuring
Economic Governance
g) Sector from the perspective of Developing and Implementing
Social Welfare
h) Sector from the perspective of Judicial and Security of Public
i) Sector from the perspective of Environment

Conceptual Understanding Of The Term “Probity” In Framing

Good Governance:
The term “Probity” involves robust understanding of
principles, values and ethics highlighting the concept of “morality”.
There are certain factors that needs to be taken into consider for the
purpose of understanding the concept of Probity which includes:
a) Honesty
b) Integrity
c) Commitment to Constitutional principles
d) Management of Conflict of Interest
e) Confidentiality
f) Transparency
g) Accountability
h) Dedicated and selfless public service
i) Maintaining Impartiality

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

It is the moral conduct that highlights the values of human

beings from the perspective of maintaining and enhancing
transparency, fairness, accountability, responsiveness, and openness
which creates trust among citizens and encourages active
involvement in decision making process.
• Objectives of Probity in Governance:
a) Accountability should be maintained to frame and execute
governance.
b) Integrity should be maintained from the perspective of
services to be rendered towards society.
c) Compliance of legal aspect to be made to conduct process of
decision making.
d) Confidentiality should be maintained for the benefits of
public.
e) Detecting and Preventing risk, frauds, errors and misconduct
that may arise while structuring and framing Governance.
Conclusion
The efficacious operations of structured governance is one of
the important missions and prime concerns for people of the nation as
they are ready to pay price in order to avail goods or services
rendered by state but from the perspective of state, transparent,
accountable, reliable and intelligible governance system should be
framed in order to protect nation from any kind of risk,
mismanagement, frauds, misconduct, misstatement, errors, biases
which can be detrimental for the society. There is an urge to
restructure and reformulate from the perspective of policies and
strategies taking into account “Gandhian Principle of Antyodaya”
with a view to restore and preserve good governance in India. Focus
should be given on developing “Probity” in Governance and several
initiatives to be undertaken in order to make the structure or
framework of Governance more ethical and transparent. As a Citizen
of India, it is our duty and responsibility to vote for honest and
upright citizens in order to bring revolutionary change and lead our
nation with an essence of dynamic leadership skills and integrity.
References
Articles /Journals
1. Bhattacharya, M. (1998). Conceptualising good
governance. Indian Journal of Public Administration, 44(3),
289-296.

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2. Dey, B. K. (2000). E-Governance in India: Problems,

Challenges and Opportunities—A Futures Vision. Indian
Journal of Public Administration, 46(3), 300-313.
3. Jain, R.B. (2001). Towards good governance: a half century of
India's administrative development. International Journal of
Public Administration, 24(12), 1299-1334.
4. Ndou, V. (2004). E-government for developing countries:
Opportunities and challenges. Electron. J. Inf. Syst. Dev.
Ctries., 18(1), 1-24.
5. Singh, B. P. (2008). The challenge of good governance in
India. Social Change, 38(1), 84-109.
6. Kalsi, N. S., Kiran, R., & Vaidya, S. C. (2009). Changing
perspectives and pragmatics of good governance and e-
governance in India: a shared vision of citizens. International
Journal of Electronic Governance, 2(2-3), 251-271.
7. Subramanian, C. (2012). E-governance: A key to good
governance in India. International Journal of Recent Scientific
Research, 3(5), 305-308.
8. Satpathy, C. (2013). Initiatives and challenges of good
governance in India. Yojana, 51.
9. Sapru, R. K., & Sapru, Y. (2014). Good governance through e-
governance with special reference to India. Indian Journal of
Public Administration, 60(2), 313-331.
10. Nagaraja, K. (2016). E-governance in India: issues and
challenges. IOSR Journal of Economics and Finance, 7(5), 50-
54.
11. Bala, M., & Verma, D. (2018). Governance to good
governance through e-Governance: A critical review of
concept, model, initiatives & challenges in India. International
Journal of Management, IT and Engineering, 8(10), 244-269.
12. Mensah, I. K. (2019). Factors influencing the intention of
university students to adopt and use e-government services:
Empirical evidence in China. Sage Open, 9(2),
2158244019855823.
13. Yadav, R. K., Bagga, T., & Johar, S. (2020). E–
GOVERNANCE IMPACT ON EASE OF DOING BUSINESS
IN INDIA. PalArch's Journal of Archaeology of
Egypt/Egyptology, 17(7), 6188-6203.
14. Doddaballapur, B. R. Ease of Doing Business and E-
Governance in India–Initiatives and Challenges.

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15. Singh, A. Efficacy of E-Governance a socio legal study with

special reference to union territory of Chandigarh.

Websites:
1. https://www.unescap.org/sites/default/files/good-governance.
pdf
2. https://egyankosh.ac.in/bitstream/123456789/37994/1/Unit-26
.pdf
3. https://cnlsierra.org/2019/12/sector-share-the-six-essential-ing
redients-for-good-governance/
4. https://www.ohchr.org/sites/default/files/Documents/Publicatio
ns/GoodGovernance.pdf
5. https://www.rajras.in/wp-content/uploads/2017/06/Yojna.-Init
iatives-and-Challenges-of-Good.pdf
6. https://negd.gov.in/sites/default/files/GGD%20Final%20Report
%20PDF_0.pdf

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A COMPARATIVE STUDY ON CONSUMER

13 SHOPPING PREFERENCES- ONLINE &

OFFLINE
Khushboo Shah1, Shreenita Seal2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.13

Abstract
This research is conducted to understand how consumers evaluate
their purchases. The retail sector is one of the pillars of commerce
and one of the fastest-growing sectors in India. Indian consumers are
very particular about their choices when it comes to shopping. An
online platform is a place where consumers buy goods and services
over the internet directly from sellers without a mediator benefit.
While offline shopping methodologies utilize offline media channels
which makes mindfulness of the company’s items and
administrations. It has continuously been a contention as to which is
superior in comparison. The objective of this study is to provide an
impression of the components that persuade clients to choose whether
to do online shopping or go for offline shopping. It is hitherto to
recognize the factors which impact buyers' online and offline
shopping choice movement.

Keywords: Consumer buying behavior, Online buying behavior,

Offline buying behavior, Consumers, Shopping.

Introduction

T he consumer behavior studies the process of how an individual

or groups select, secure or dispose products, services
according to their need and how it affects the society.
Shopping has changed as a result of the impact of technology. With
the advent of online shopping, more choices have been given to
buyers. Early research focused on why online shopping differed
between products. A basic understanding of shopper’s conduct within

1
Assistant Professor, Department of Media Science, Institute of Leadership,
Entrepreneurship and Development, (iLEAD), Kolkata
2
Corresponding Author, Academic Coordinator, Institute of Leadership,
Entrepreneurship and Development (iLEAD), Kolkata

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the virtual environment, as within the physical world, cannot be

fulfilled if the components influencing the buyer’s choices are
overlooked or misjudged. The Internet is changing the way shoppers
shop and purchase products and services, and has quickly advanced.
Numerous companies have begun utilizing the Web to cut the
marketing cost, thereby lowering the price of their products to stay
ahead in the competitive market. Many studies have shown that
“high-contact” products that consumers feel they need to touch smell
or try should be available offline so that consumers should be able to
handle or inspect them personally. On the other hand, “low-contact”
products often attract online services because of their particular
emphasis on quick purchases.
Online shopping or e-shopping allows consumers to directly
buy products or services over internet. To simply put it, it is any form
of sale that is done over the Internet. Traditional shopping allows
consumers to physically choose and check out the products. This is
the reason some consumers still prefer the traditional type of
shopping over online shopping as it allows the consumers to
meticulously check out an item.

Literature Review
The current research on consumers' online shopping decisions
mainly focuses on identifying the factors that affect consumers'
willingness to shop online. In this study of consumer behavior, there
are models of purchasing behavior that focuses on consumers’
purchase decision. The internet and traditional shopping both have
their own advantages and disadvantages (Sarkar, R., & Das, S. 2017).
Developing and comparing purchase evaluations leads to real
decision-making. Consumer’s shop when and where they want,
where they are comfortable with the products and the choice of
shopping (Gupta, P. 2015).
Since last two years as population are more aware of the
technology the online shopping increased immensely (Gupta, P., &
Sethi, N. 2016). Post-purchase behavior is important because it
ultimately affects the customer’s satisfaction/ dissatisfaction with the
product/service.
Females were more likely than males in our samples to prefer
online shopping for clothing whereas males were more likely than
females to prefer online shopping for electronic and computer
products (Levin, A. M., Levin, I. P., & Weller, J. A. 2005)

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Many companies have started using the Internet with the aim of
cutting marketing costs, thereby reducing the price of their products
and services in order to stay ahead in highly competitive markets.
This study is expected to improve our understanding of online and
physical consumer behavior (Muntaqheem, M., & Raiker, S. D.
2019).
The classical consumer decision-making process can be
defined as a process that extends from routine to behavioral problem-
solving and then general problem-solving. A comparative study is
done to find the satisfaction level with experience of consumer
buying online and also to analyze the preferences of male and female
for online shopping (Saluja, R., Soni, R., & Vardia, S. 2018).

Objectives Of Study
The present study broadly compares online and offline
shopping, specifically, the objectives are:
(a) To analyze the significant difference between the online and
offline shopping preferences of the consumer.
(b) To examine the factors influencing the consumer to switch
from offline shopping to online shopping and online to offline
shopping.

Research Methodology
• Scope
• Need of Study

It is very difficult task to know the consumer behavior about

online shopping and offline shopping. So, we have conducted a
survey among 20 respondents to compare online and offline shopping
modes through an online questionnaire. Due to resources and time
constraints the study was limited to 20 people.

Data Collection Tool

Primary: In primary data collection method questionnaire
development is the critical part. For this we have prepared a
questionnaire in such a way that it will be able to collect all relevant
information.
Secondary: Information has been collected from different
websites, magazines, journals, reference books, etc.

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Data Analysis and Interpretation

Data analysis is to attain the solutions after investigation and
derive a hypothesis against it. This chapter focuses on the raw data
collected from the participants who are from different age group and
different backgrounds to understand their shopping preferences.

Table 1.1: Gender of Respondents

Gender No. of Respondents
Male 9
Female 11

Figure 1.1:
Gender Representation

Male
45%
Female
55%

*Sources are from Primary Data Survey

The above figure shows the gender ration of the participants

involved in the survey- 45% of male and 55% of female. Thus, it is
clear that females are more involved in shopping (either online or
offline shopping) compared to males.

Table 1.2: What method of shopping you (respondent) prefer?

Method No. of Respondents
Online Shopping 10
Physical Shopping 8
Both 1

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Figure 1.2:
Preferred mode of shopping

Online Shopping Physical Shopping Both

5%

42% 53%

*Sources are from Primary Data Survey

The above table and figure shows the specific method of
shopping preferred by the respondents. The figure analyses that 42 %
of respondents prefer physical shopping still now in this technological
generation and 53 % of the respondents prefer online shopping. And
5% of the respondents prefer both.
Table 1.3: Do you (respondents) think the products are of good
quality in online shopping?
Perception No. of Respondents
Satisfactory 7
Good 8
Excellent 4
Worst 1
Figure 1.3:
Perception about quality of product in Online Shopping

Satisfactory Good Excellent Worst

5%

20% 35%

40%

*Sources are from Primary Data Survey

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

The above figure and table shows the perception of the

respondents about the quality of the products on online shopping.
40% of respondents feel that products are of good quality and 35%
respondents are satisfied with the quality of the product. Even there
are respondents (20%) who feel the online mode of shopping
provides you the excellent quality products. But 5% of respondents
feel the products are of worst quality.

Table 1.4: Have you (respondent) ever been concerned about?

Concerned about No. of Respondents
Time of Delivery 6
Review of Product 8
Return Policy 4
Never be concerned 2

Figure 1.4:
Concern areas of Respondents while shopping online

Time of Delivery Review of Product Return Policy Never be concerned

10%
30%
20%

40%

*Sources are from Primary Data Survey

Results And Discussion

Convenience is one of the advantages of online shopping.
Unlike offline shopping, customers don't have to drive miles to any
location to buy goods. They can go online anytime at their
convenience and get the products delivered to their doorstep. So a
customer can wake up in the middle of the night and order anything
from a smart phone to clothes or even food, according to their need.
This is more of a reason for the popularity of online shopping across
consumers. But this comes with a few drawbacks as well. Unlike real-
world stores, where customers have instant access to the products

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after purchase, online shopping often takes time to ship the product,
which may sometimes extend to a week or more. When it comes to
the variety of products, no offline store has as much variety as an
online store. The reason behind this is, online stores do not have to be
bothered about running out of space and can offer more products in a
single location. This gives customers to choose from a wide range of
products. As consumers, we like to visit a few stores before making a
purchase. In the case of offline stores, this means visiting every store
in person to inspect the products. But in online shopping, we can go
to the online store from our device and compare the products
available across different online stores. As online retailers do not
have to pay maintenance costs for stores and can hire large
distributors, they can provide significant discounts than physical
stores. These days, many companies launch brand new products on a
particular online store. Even though there are many advantages of
online shopping, people still prefer going out to offline stores for the
shopping process where they can feel the colors, and textures of the
products and feel happy. In India, typically, shopping is like a
vacation, where people spend time with their loved ones. This
experience cannot be experienced through online shopping.

Conclusion
Online shopping is a new experience that affects the lives of
consumers as soon as it emerges. It is expected to grow based on
technology in the coming years. Surveys have proven that even
consumers who still prefer traditional stores have positive attitudes
and behaviors toward online shopping. The rapid growth of e-
commerce has led to the electronic transformation of the world’s
retail infrastructure. The Internet has become a profitable way of
doing business. Research shows that there are differences between
online consumer markets and offline stores based on some
parameters. This study shows that most young people are driving the
incredible growth in online shopping in India. It is seen that these two
purchasing methods have their advantages and disadvantages. Both
models need to make some changes to survive. The offline market
should increase the variety of the products available and the online
business model should have sufficient knowledge, design, and
business studies for those who still hesitate to use online for
shopping. We can conclude by saying that these two modes of

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shopping have their presence in the market as both of them are

equally demanded by the customers.

References
1. Andrews, R.L. and Currim, I.S. (2004). Behavioural
Differences Between Consumers Attracted To Shopping
Online Versus Traditional Supermarkets: Implications For
Enterprise Design And Marketing Strategy. Int. J. Internet
Marketing And Advertising, Vol. 1, No. 1, Pp.38–61
2. Bukola Olamidun Falode, A. A. (2016). Online and Offline
Shopping Motivation of Apparel Consumers in Ibadan
Metropolis, Nigeria. International Journal of Marketing
Studies, 150-160.
3. Chatterjee, P. (2010). Causes and consequences of ‘order
online pick up in-store’shopping behavior. The International
Review of Retail, Distribution and Consumer Research, 20(4),
431-448.
4. Gilly, M. C., & Wolfinbarger, M. (2000). A comparison of
consumer experiences with online and offline shopping.
Consumption, Markets and Culture, 4(2), 187-205.
5. Gupta, P. (2015). Comparative study of online and offline
shopping: A case study of Rourkela in Odisha (Doctoral
dissertation).
6. Gupta, P., & Sethi, N. (2016). Factors Affecting Customers'
Choice of Shopping-A Comparative Study of Online and
Offline Shopping in Odisha, India. Journal of Marketing
Vistas, 6(1), 63.
7. Levin, A. M., Levin, I. P., & Weller, J. A. (2005). A multi-
attribute analysis of preferences for online and offline
shopping: Differences across products, consumers, and
shopping stages. Journal of Electronic Commerce
Research, 6(4), 281.
8. Muntaqheem, M., & Raiker, S. D. (2019). A Study On
Consumer Behaviour towards Online and Offline
Shopping. IRE Journals, 3(4), 56-62.
9. Saluja, R., Soni, R., & Vardia, S. (2018). Online & Offline
Consumer Buying Behavior (With reference to Udaipur
City). Pacific Business Review International, 10(10), 74-83.

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10. Sarkar, R., & Das, S. (2017). Online shopping vs offline

shopping: A comparative study. International Journal of
Scientific Research in Science and Technology, 3(1), 424-431.
11. Sarkar, R., & Das, S. (2017). Online shopping vs offline
shopping: A comparative study. International Journal of
Scientific Research in Science and Technology, 3(1), 424-431.

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MERGERS AND ACQUISITIONS -

14 A STUDY OF HEAVY ELECTRICAL

EQUIPMENT SECTOR IN INDIAN SCENARIO
Madhumita Dasgupta1, Pema Lama2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.14

Abstract
Mergers and acquisitions have been a major contributor to world
economic growth. As technology continues to develop, and as
deregulation and globalization evolve, the old barriers to trade and
national influence become less of an obstruction to international
trade. There has been drastic transformation in the business
environment which has made the adoption of new reforms easy for
the firms as compared to the pre-1991 days. During the years of 1997
to 2001, cross-border Mergers and Acquisitions have registered about
50% of the FDI in Latin America and 70% in Asia. The present study
is an attempt to understand the actual increase in the shareholders
wealth and the wealth differential due to the mergers decisions as
promised by the management of both the target and the bidder firms.

Keywords: Acquisitions, Economic Value Added, Mergers, Operating

Profit, Structural Break.

Introduction

O
ver many decades, mergers and acquisitions has been a major
contributor to world economic growth. A glance at the
economic news of a country will indicate that mergers and
acquisitions are big business and taking place all the time. In an
increasing number of countries, mergers and taking place between the
public sector units and shows the growing trust in this activity. As
technology continues to develop, and as deregulation and
globalisation evolve, the old barriers to trade and national influence
become less of an obstruction to international trade. In this context,
mergers and acquisitions are likely to become an even more

1
Corresponding Author, Adjunct Faculty, Amity Business School, Amity
University, Kolkata. INDIA
2
Associate Professor, Department of Commerce, University of Calcutta, INDIA

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

important consideration in strategic planning and strategy

implementation in the future. The huge growth of the economic
parameters and reduction of interest rates have discounted the funding
of the external deals. During the years of 1997 to 2001, cross-border
Mergers and Acquisitions have registered about 50% of the FDI in
Latin America and 70% in Asia.
Also, there have been drastic transformation in the business
environment which has made the adoption of new reforms easy for
the firms as compared to the pre-1991 days. In this context, Basant
(2000) has opined that since there were liberalization measures and
resultant opening up of the economy, this changed the oligopolistic
environment for restructuring of corporate assets primarily through
the Mergers and Acquisitions. The main reason for mergers is
Synergy. This is a situation where the value of the combined firm is
more than the value of the two independent firms put together. This
primarily raises the concept of economies of scale and its benefits.
The combination of two firms will yield a more valuable entity than
the value of the sum of the two firms if they were to stay independent:

Value (A + B) > Value (A) + Value (B)

Literature Review
Gupta and Mishra (2013) states that even though the mergers
during the 1990-2000-time frame involved firms belonging to the
same nation, about 40% restructuring took place between firms of
two different nations. The paper concluded that Mergers and
Acquisitions create synergistic benefits, help to attain economies of
scale, expand the operations and reduce the overall costs. Investors
are assured that the restructuring activity would be able to deliver
higher market control. Then again, Mergers and Acquisitions have to
be extended within the regulatory compliance mechanism of the
country where the event actually takes place. Rani, Yadav and Jain
(2013) compare performance of the corporate involved in Mergers
and Acquisitions before and after Mergers and Acquisitions. The key
hypothesis is that acquiring firms have improved post- Mergers and
Acquisitions operating performance. The empirical evidence validates
the hypothesis that Indian acquirers have performed better after
Mergers and Acquisitions, compared to their performance in pre -
Mergers and Acquisitions period. The study indicates that Mergers
and Acquisitions appear to have been beneficial for the acquiring

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companies in the long-run with regard to their operating performance.

The findings suggest that profitability of acquiring firms has
improved during post- Mergers and Acquisitions phase. The event
has resulted in an improved performance but it has failed to improve
the Asset -turnover ratios. The reason can be attributed to the fact that
initially the sale figures may be stagnant and subsequently, enhanced
improvement in the combined capacity utilization may not be
possible. This results in the asset turnover to improve at a slow pace.
Another reason may be identified by the paper is, the global financial
meltdown and subsequent recessionary conditions of 2008 which
have further aggravated the low asset turnover of the acquiring firms.
Shorewala and Chaudhary (2016) tries to identify the implications of
Make in India movement on the restructuring strategies of the firms
in India. The ‘Make in India’ movement of the government was a
positive effort for alluring foreign investments to India. Even though
the nation has functional bottlenecks like slow acceptance of GST,
application of GAAR rules, bureaucratic hindrances, yet the initiative
to promote domestic manufacture has resulted in multinationals
getting attracted to sectors like defense, renewable energy and
insurance. These combined with tax concessions and relatively cheap
labor, have increased the interest of foreign nationals in the Indian
economy. The government has been making continuous efforts to
augment these sectors but despite the efforts to promote the business
activity, some sectors continue to remain a challenge to operate in the
Indian scenario.

Research Gap
The studies have taken the balance sheet profits as the decisive
factor for evaluating the company performance. Many papers have
tried to differentiate between the different modes of FDI-i.e.
Greenfield and Mergers and Acquisitions. Long term performance of
the firms in the post-merger years is subject to a basket of factors
which are correlated and jointly affect the performance of the firms.
In order to understand the actual performance differential, Economic
Value Added (EVA) also play a crucial role. The present study is an
attempt to understand the actual increase in the shareholders wealth
and the wealth differential due to the mergers decisions as promised
by the management of both the target and the bidder firms.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Objective of The Study

The objective of the proposed study is:
• To examine whether the mergers and acquisitions have brought
any significant structural change in the EVA and Operating
Profit.

Research Design
The study focuses mainly on the acquiring firms’ return and the
return of the shareholders. Economic Value added is the parameter
which is one of the key factors that reveal the shareholders’ wealth.
This study tries to capture the relationship of Economic Value Added
and the operating profit with special reference to mergers and
acquisitions. The companies considered have been taken from the
Heavy Electrical Equipment sector of National Stock Exchange and
the data range varies from 2001 to 2016.
• Sources of Data: The research work is based on secondary
data collected from database of Capitaline, Published Books,
Repute Journals and Research Papers etc
• Period of the Study: The period of the present study is from
2002 to 2016 and each company is separately considered for
calculation of the structural break.
• Research Hypothesis: In pursuance of this answer, the
following hypothesis was formulated:
H0 = There is no structural break due to the merger
H1 = There is a structural break due to the merger.

Limitation of The Study

The present study is restricted to companies in the heavy
electrical equipment sector only. Also, the time frame considered
maybe extended as a further scope of study.

Analysis And Findings

This study tries to capture the relationship of Economic Value
Added and the operating profit with special reference to mergers and
acquisitions. The companies considered were listed on both the
National and Bombay Stock Exchanges. Each company selected for
the analysis was chosen on a basis of data availability and it was
observed that many companies had undergone merger activity for
more than one time. The companies had a number a restructuring
activity and in the present study, only one merger decision was taken

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

as the basis of performance. Therefore, only those companies which

had mergers during the year 2006-07 to 2010-11 were considered and
were considered further in the study. The following is the companies
considered for the merger from Heavy electrical equipment sector.
Table 1: Details of Merger of Heavy Electrical Equipment Companies
Company
Sl. No. Date Acquirer Target
Name
1 Siemens 23/07/2009 Siemens Ltd Flender Ltd
Bharat Heavy
Bharat Bharat Heavy
2 25/11/2010 Plate &
Heavy Plate Electricals Ltd
Vessels Ltd
Suzlon
Towers &
Suzlon Suzlon Energy Structures
3 06/12/2010
Energy Ltd Ltd & Suzlon
Infrastructure
Services Ltd

It can be said that if the Economic Value Added is positive,

the firm is adding value for its shareholders but if the Economic
Value Added is negative, the firm is destroying value even though it
may be reporting a positive or growing Earnings Per Share (EPS) or
Return on Investment (ROI). This means that if a firm wants to have
an attractive investment, it has to have a return that would exceed
other investment options with a similar risk.

Table 2: Details of F-Values of Companies in Heavy Electrical

Equipment Sector
Name of the Company F-Values
Siemens Ltd 28.30076
Bharat Heavy Electricals Ltd -1.55412048
Suzlon Energy Ltd -2.27631766

Interpretation: The three companies considered for the

study from this sector have varied results. In case of Suzlon Energy
and BHEL, the null hypothesis is accepted and it can be stated that
there is no structural change in the post-merger era. EVA has not
shown any significant change due to the merger as has the operating
profit. The result is quite the contrary in case of Siemens. It shows a

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

high F-value and the null hypothesis is rejected and it can be

concluded in this case that merger has resulted in a structural change.

Conclusion
The proposed study carried above has been an attempt to
understand whether the merger, which has been considered such a
favorite tool of the corporate to bring any positive significant change,
was truly able to live up to their expectations. In most of the cases the
years after the merger, the performance seems as non-consistent.
Even though there is a positive EVA, yet it is very short-lived. In
some cases, the companies registered a negative profit during the 3
year window after the merger announcement. The EVA was
considered along with the Operating Profit for regression analysis and
then Chow test was done to find if there was any structural change
due to the mergers. Of the three companies in this sector, only one
showed a structural change. Therefore, it can be concluded that only
Siemens have a change in their performance due to the merger
activity.

References
1. Andrade, Gregor; Mitchell, Mark; Stafford, Erik. (2001), ‘New
Evidence and Perspectives on Mergers’, The Journal of
Economic Perspectives, 15, (2), 103-120.
2. Baxamusa, Mufaddal. (2006), ‘Mergers That Create Value’,
Carlson School of Management, University of Minnesota,
3. Beena, P.L. (2000), ‘An Analysis of Mergers in the Private
Corporate Sector in India’ , Centre for Economics Studies and
Planning, Jawaharlal Nehru University, New Delhi, Working
Paper No. 301.
4. (2004), ‘Towards Understanding the Merger wave in the Indian
Corporate Sector: A Comparative Perspective’, Working Paper
355,
5. (2008), ‘Trends and Perspectives on Corporate Mergers in
Contemporary India’, Economic & Political Weekly, 48-56.
6. Datta, Deepak K.; Pinches, George E. & Narayanan, V.K. ;
(1992), ‘ Factors influencing wealth creation from mergers and
acquisitions: A Meta- Analysis’ Strategic Management
Journal, 13, (1), , 67-84
7. Mehrotra, Vikas; Schaik, Dimitri; Spronk, Jaap and Steenbeek,
Onno W. (2008), ‘Impact of Japanese Mergers on Shareholder

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Wealth: An Analysis of Bidder and Target Companies’, ERIM

Report Series, Research in Management, Erasmus Research
Institute of Management (ERIM).

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

A STUDY ON FINANCIAL LITERACY OF A

15 WOMEN LEAD TOWARDS ECONOMIC

EMPOWERMENT
Ms. Pampa Sarkar1, Dr Priyanka Jaiswal2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.15

Abstract
World becomes challenging to imagine fair without providing women
with equal social and economic possibilities. The most crucial areas is
teaching them how to manage their money. In the modern world it is
up to individuals to become more financially literate and adapt at
navigating the ever-more complex integrated financial solutions. It is
known that person's financial independence is influenced by factors
including age, education, income, marital status, employment, saving
and investing practices. Increased financial knowledge among women
has direct impact on their economic stability, independence, and
confidence. The objective of the study is to examine the relationship
between financial literacy and women empowerment.

Methodology
Research Design: This study's research was exploratory in nature.
Data was gathered using primary source.

Keywords: Women Empowerment, Financial Literacy, Economic

Empowerment.

Introduction

U nderstanding and using financial concepts and abilities, such

as investing, budgeting, and personal financial management,
are components of financial literacy. Being financially stable
requires more than just having money. For women to manage their
finances, financial knowledge is crucial. The basis of your
relationship with money is financial literacy, which you acquire

1
Corresponding Author, Assistant Professor, Department of Management Studies,
Institute of Leadership Entrepreneurship and Development (iLEAD, Kolkata
2
Assistant Professor, Department of Management Studies, Institute of Leadership
Entrepreneurship and Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

throughout your whole life. As education is the secret to success

when it comes to money, the sooner you start, the better off you will
be. To successfully contribute to the financial challenges of their
families, both men and women should become financially literate. In
fact, it has been shown that Indian women lack a basic understanding
of finances. This could be because women have traditionally been
'homemakers,' who are less concerned with where money comes from
and where it should go. Financial literacy for women should be
prioritised above all else, though, given the shifting economic
landscape and greater involvement of women in the workforce.
Making educated financial decisions is becoming more and
more important for women's economic empowerment due to the
financial market's constant change and the rise in individual
responsibility. Making wise financial decisions requires having a
solid understanding of finance. In order to manage the house and
participate in society and the economy, women, who make up the
majority of the economy, must have access to financial
empowerment. Due to their greater representation in society, women
have requested a larger share of the employment and a greater role in
financial decisions. Women's contribution to global prosperity and
economic empowerment will become increasingly important in the
near future. So, there is a higher need for economic empowerment
among women through improved financial health, financial
knowledge, and favourable attitudes around .Financial well-being and
personal economic empowerment depend on having the right
financial knowledge and mindset. This study's major objective is to
examine and analyse how financial literacy has an impact on working
women's economic empowerment. Working women were chosen
because they have the right to use their income for personal growth
and because they make money. We aim to examine whether or not
those women who are employed have the information necessary to
manage their finances wisely and improve their welfare. Working
women from non-financial areas were carefully chosen. The working
women included in the sample were not directly engaged in any
financial transaction. This study adds to the body of knowledge in
several ways since it examines the impact of financial literacy on
women's economic empowerment and economic empowerment of
women in the context of improved financial wellness and a healthy
financial attitude. Assessing financial literacy and figuring out how
economically independent women may advance women's rights and

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

gender equality in society are the two main objectives of this study.
Examining autonomous women's mental health when it comes to
financial decision-making is another objective of this study. We
achieved this by looking at data showing how women handle
financial decisions in both their personal and professional lives. We
looked at the essential component for a woman to become
economically empowered.

Review of Literature
1. Thilakam, (2012) stated that understanding finance is a
requirement for financial literacy. More specifically, it refers to
the combination of abilities and information that enables
someone to comprehend economics well enough to make wise
judgments. Financially literate people have the ability to make
wise financial decisions, which increases their likelihood of
attaining their financial goals, gives them the chance to protect
themselves from economic shocks and the dangers that go
along with them, and finally helps the economy grow.
2. Singh, C., & Kumar, R. (2017) in their study they assessed that
one of our country's most pressing challenges is women's
empowerment, which can only be achieved by educating,
liberating, and empowering women financially. Financial
literacy is defined as the capacity to see how cash functions in a
normal game-plan. The objective of this review was to give an
outline of financial literacy among women in agricultural
nations like India
3. P.P. Deka, (2015) in his article stated that financial inclusion is
the extension of banking or financial administrations at a
reasonable expense for an enormous section of society's
distraught gatherings, determined to give them a financial pad
for food just as social empowerment. In India, where women
represent 46% of the complete populace, most of them are
denied openings and privileges because of financial reliance.
The paper advocates for women's empowerment through
effective financial literacy and inclusion.
4. According to the Angela Hung, et al. (2012) – This Study
gender differences in financial literacy have far-reaching
implications. This paper describes the findings of a literature
review on the gender disparities in financial literacy, with the
goal of better understanding their causes and consequences, as

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

well as potential policy responses. A relatively large body of

empirical literature demonstrates the existence of gender
disparities in financial literacy across a range of countries and
across multiple dimensions.

Problem Statement
Financial literacy is essential for both the development of the
country and financial inclusion. Many evaluations indicate that India's
degree of financial literacy is below the global average. India has a
financial literacy percentage of about three out of four. The Indian
government has repeatedly made an effort to include the country in
the international financial system. To utilize financial services
efficiently, one has to be well-versed in finance and understand the
fundamentals of money management. As a consequence, the present
study is titled "A Study on Role of Financial Literacy of a Woman
Lead to Economic Empowerment".
The objective of the study is to examine the relationship
between financial literacy and women economic empowerment.

Methodology
Research design: This study's research was exploratory in
nature.
Data collection: The data has been collected through:
Primary Data: In this source the women respondent’s data
were gathered using a questionnaire.
Sample - Total 90 women respondents have been chosen for
the study.
Data analysis - The data have been analyzed using
Percentage method.

Analysis
Table 1: Knowledge of Financial Key Areas
Knowledge of basic financial concepts 50%
Awareness of financial products and services 50%
Knowledge of financial instrument 40%
Confidence when dealing with financial products and services 40%
Having a bank account 100%
Actively using bank account 100%
Availing family loans 90%
Availing formal loans 70%

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Access to financial products and services individually 40%

Saving and investing wisely 20%
Knowledge of basic mathematical calculations 70%
Source: Computed by researcher

Table 1 helps us to understand that despite of having active

bank account only 20% of women are savings and investing wisely.
This is because the respondents via survey found only 50% are
having sound knowledge of basic financial terms and concepts. It has
also been noticed that 40% of the respondents having knowledge of
financial products and services even if they are aware of financial
instruments.. From the above table we can see only 40% of
respondent’s access financial products and services individually.
From the study it can also been seen through the table that 90% of
respondents are availing family loan and 70% as formal loans .This
means despite of having enough knowledge they blindly go for such
loan to meet their requirements and face a huge burden to meet the
liabilities. During survey via questionnaire 30% respondents have
shown their less ability in taking decisions based on mathematical
calculations. This shows somewhat lower on financial knowledge,
skills and confidence in their inclusion in getting economically
empowered.

Table 2: Impact of Financial Inclusion on Women Empowerment

Factors Opinion %
Women decision in making Individually 42.7
Jointly 4.8
No/ Not allowed 15.7
Women freedom in Yes Promptly After Taking 62.9
answering questions of others Permission 21.3
Not at all 15.7
Decision on Education of Own decision 36.3
Children Joint decision 57.5
Not allowed 7.5
Decision on purchasing Own Decision 42.5
requirements for children Joint Decision 55
Not Allowed 7.5

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Factors Opinion %
Decision on own health Promptly Consult Doctor 65.2
related issues Only on the Advice of 29.2
family Members
Never visit Doctor 5.6
Source: Computed by researcher

Above table shows the impact of various factors of financial

inclusion on empowerment of women. Since this study is focusing on
women financial knowledge and how it impact on economic standard,
it clearly states that women are having only 42.7% of making
individual decision making which means despite of being educated
still they are not permitted to take any decisions. In respect of
education of children and their requirements 57.5% are taking joint
decision .It has been found that though women are educated and
financially strong, still they are not having authority to take decisions
based on their family matters.
Based on their financial literacy, the study looks at the
connection between financial inclusion and women's economic
empowerment. The aforementioned table reveals that women lack the
flexibility to make independent judgments, and as a result, they lack
the confidence to use any financial instruments.

Findings
1. Financial literacy is not so powerful even though women are
highly educated. 50% of women is unaware of financial
instruments though 100% women are having their active bank
accounts.
2. It has been seen through survey that though women are aware
of financial instruments, still not confident enough individually
to take decision for savings and investments.
3. The women even though not confident about financial
instruments decision still they go for availing loans for family
needs. This highlights the fact that they are still economically
underpowered and depend on male members when it comes to
take financial decisions.
4. Women's empowerment is significantly influenced by the
responders' financial literacy. Women's capacity for financial
accumulation enables them to support their family in difficult
circumstances. But through this study it was found that women

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

are not getting priority to take decisions independently and they

need to depend on their male family person to take joint
decisions.
5. Through this survey it has been highlighted that even though
women are independent and educated still they need to face
challenges to make their own financial decisions.

Conclusion:
Experience has shown the value of performing a multi-level
examination of gender-related gaps and prioritizing gender in
program responses. Planning and implementing comprehensive, time-
bound policies for the empowerment of women is long overdue.
Programs for girls' financial education might be set up in colleges and
universities. The gender gap can be reduced and the range of financial
inclusion for women can be expanded to better meet their unique
requirements thanks to the digital infrastructure and specially
designed programs. Regular monitoring is also required to find gaps
and address exclusion. By the improvement of social, economic, and
psychological conditions, financial literacy will help empower
women. Through this study it has been found that economically
independent women are getting dominated in many cases like taking
decisions and all. Women who experience violence are less able to
participate fully in society and experience negative effects on their
general well-being. Even though women are getting educated and
financially independent still empowerment should be there in order to
make the society stronger and economically developed.

Reference:
1. Adams, G. A., B. L. Rau (2011) Putting off tomorrow to do
what you want today: Planning for retirement. Amer.
Psychologist 66(3) 180–192.
2. Agarwal S, Amromin G, Ben D, Chomsisengphet S and
Evanoff D D 2015 Financial literacy and financial planning:
Evidence from India, Journal of Housing Economics. 27, 4-2.
3. Asli Demirguc-Kunt and Leora Klapper (2012) -Measuring
Financial Inclusion: The Global Findex Database. E-library.
Economics Series, 31(1). 411- 421.
4. Al-Tamimi, H H & Bin Kalli, A, A (2009), ‘Financial literacy
and investment decisions of UAE investors’, The Journal of
Risk Finance, 10, 5, 500-516.

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5. Schuhen, M. & Schürkmann, S. (2014). Construct validity of

financial literacy, International Review of Economics
Education, 16, 1-11.
6. https://www.hindustantimes.com/business/why-personal-
finances-are-an-important-aspect-of-women-s-mental-health-
101635702031581.html

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IMMERSIVE INSIGHTS: HOW VR

16 FRAMEWORK IS SHAPING THE FUTURE OF

INDIAN MEDIA, ENTERTAINMENT AND
GAMING INDUSTRY
Sourav Mukherjee1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.16

Abstract
This chapter explores how Virtual Reality (VR) Framework is
shaping the future of the Indian media, entertainment, and gaming
industry. It discusses the potential of VR to enhance user engagement
and immersion in these productions by providing a more realistic and
interactive experience. The chapter examines the various ways VR is
currently used in India, including the film business, gaming, and
education sectors. The challenges and limitations of integrating VR
technology into different sectors are highlighted here, including the
high development costs and the need for specialized knowledge. The
chapter concludes with a discussion of the future prospects of VR in
the Indian media, entertainment, and gaming sector and how it could
transform the way we experience content.

Keywords: Virtual Reality, Indian media industry, VR framework,

content creation, technology implementation, the impact of VR, VR
prospects.

Introduction:

T he Indian media industry is rapidly evolving and becoming

more dynamic with various media channels and platforms
catering to a vast and diverse audience. From news and
entertainment to advertising and marketing, the sector has
continuously grown to meet its audience's changing needs and
preferences. VR tech is driving innovation in media by offering
immersive content experiences. The Indian media and entertainment
industry has varied media channels and platforms. Based on a report

1
Assistant Professor, Head of the Department - Animation and Gaming, Institute
of Leadership, Entrepreneurship and Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

by the Federation of Indian Chambers of Commerce and Industry

(FICCI), the Indian media and entertainment industry is forecasted to
achieve a remarkable compound annual growth rate of 10.9%
between 2020 to 2025. The industry is expected to reach a value of
INR 2.2 trillion ($30 billion) by 2025 (FICCI-KPMG, 2019). This
sector is highly diversified, with different segments catering to
various demographics. Print media, including newspapers and
magazines, is the industry's largest segment, accounting for 42% of
the total revenue in 2019 (FICCI, 2021). Television is the second-
largest segment, accounting for 35% of the payment, followed by
digital media, which accounts for 17% of the revenue (FICCI, 2021).
Virtual Reality (VR) is a computer-generated simulation that creates a
three-dimensional environment where a person can interact using
specialized hardware such as a VR headset or haptic suit. VR
technology offers a unique and immersive way of experiencing
content, allowing users to be transported to different worlds and
environments and interact with objects and characters in a way that
was previously not possible with traditional media. VR technology
offers a new way of immersive and interactive content that improves
user experiences and engages audiences across news, entertainment,
and advertising. India's growing media sector can also leverage this
technology to revolutionize its operations. This chapter delves into
how VR is being utilized in India's media industry and its impact in
different fields. In the entertainment industry, VR technology creates
new and exciting experiences for viewers. For example, virtual reality
cinemas provide viewers with a more immersive movie-watching
experience, while in the gaming sector, virtual reality offers gamers a
more interactive gaming experience (Batra, 2017).In the advertising
industry, VR technology is being used to create unique advertising
opportunities. For example, companies use VR technology to create
immersive advertising experiences, allowing users to interact with
products virtually (Park et al., 2019). This technology is also being
used to create virtual showrooms, allowing customers to explore
developments in a virtual environment before purchasing. The use of
VR in media production has the potential to provide many benefits.
VR technology has the potential to give viewers a more immersive
and engaging media experience, leading to increased viewership and
engagement (Frost & Sullivan, 2021).VR technology is also an
excellent tool for storytelling, providing creators with new and
exciting ways to tell stories. Additionally, VR technology can help

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

the Indian Media reach new audiences by providing more accessible

content for those with disabilities. Another significant advantage of
VR technology is that it can reduce the costs associated with
traditional media production. With VR, it is possible to create
immersive experiences without costly sets or locations. This can save
the industry significant money, especially for producing films and
television shows (Batra, 2017).

Objectives and Methodology of this Study

This study explores how Virtual Reality (VR) Framework is
used in the Audio-visual industry of India. The study has specific
objectives, which include:
1. To summarize the present state of VR technology and its
possible usage in the media sector and examine its benefits.
including its potential to enhance user engagement and provide
a personalized experience for users.
2. To identify and examine case studies of the successful
implementation of VR technology in media production,
focusing on how VR has enhanced various media fields such as
news, entertainment, and advertising.
3. To examine the challenges and limitations of implementing VR
technology in the Indian media industry, including the cost and
technical requirements of creating VR content and the need for
specialized skills and training.
4. To provide recommendations for media companies looking to
incorporate VR technology into their operations, including best
practices for creating VR content and strategies for overcoming
the challenges associated with VR implementation.

The study utilizes a qualitative research design involving a

comprehensive review of existing literature on VR in the media
industry, including academic research articles, industry reports, and
news articles. In addition, the study includes a series of in-depth
interviews with experts in this domain who have experience with VR
technology, including media company executives, content creators,
and technology providers. The study also utilizes a case study
approach, focusing on successful examples of VR implementation in
the new media landscape of India. We have chosen case studies
relevant to our research objectives and have analyzed them
qualitatively to identify common themes and patterns. The study's

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findings and recommendations will be of value to media companies,

content creators, and technology providers interested in incorporating
VR technology into their operations, as well as to academic
researchers and policymakers interested in the intersection of
technology and media.

Literature Review
Many industries have recognized virtual reality (VR) as a
ground-breaking technology that can potentially bring about
significant transformations. In India, the media industry has also
started exploring VR technology to enhance the quality of news,
entertainment, and advertising. This literature review aims to
understand how VR technology is utilized in production. It includes
examples of how it enhances various media sectors and the benefits it
offers to the industry.
Amongst the various ways VR is being used here, news
broadcasting is one of the most prominent applications of this
immersive technology (Gupta, 2019). News organizations are using
VR to create enthralling experiences for their viewers. For instance,
NDTV, a leading Indian news channel, used VR to provide coverage
of the Kumbh Mela festival, one of the largest religious gatherings in
the world. The festival was captured using 360-degree cameras,
allowing viewers to feel as if they were present at the location. VR in
news broadcasting can provide viewers with a stimulating experience,
enhancing news coverage quality. In the entertainment industry, VR
creates gripping experiences for audiences (NDTV, 2019). For
example, the film industry is exploring VR to create interactive movie
experiences. The movie "Baahubali: The Conclusion," one of the
highest-grossing Indian movies of all time, released a VR experience
that left the audiences mesmerized by some of the movie's iconic
scenes. Similarly, the gaming industry is exploring using VR to create
more stimulating experiences as well.
VR is also used in advertising to create more engaging and
interactive ad experiences. For example, Amazon India used VR to
promote its Prime Day sale. The company made a VR experience
allowing customers to explore and purchase products fully. Similarly,
automobile companies are using VR to create virtual showrooms,
enabling customers to fully immerse themselves in the experience of
driving their cars. In news broadcasting, VR is being used to provide
more compelling coverage of events. For example, during the 2019

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general elections, Times Now, a leading Indian news channel, used

VR to provide coverage of the election results, allowing viewers to
experience the effects as if they were in a virtual newsroom (NDTV,
2019). One example of VR in the Indian film industry is the 2018
film "Zero," in which the production team used VR technology to
create a virtual set for a pivotal scene involving the lead character,
played by Shah Rukh Khan, interacting with a chimpanzee. VR
allowed for a more seamless integration of the live-action footage
with the computer-generated imagery, resulting in a more realistic
and immersive experience for the audience. Similarly, the music
industry is using VR to create immersive concert experiences. For
example, the famous Indian music composer AR Rahman used VR to
create a virtual reality concert experience.
VR framework allows individuals to encounter events, movies,
and products uniquely. With the continuous evolution of VR
technology, it is confident that it will play an increasingly significant
role in the industry. From providing immersive experiences in
entertainment to enhancing the effectiveness of advertising
campaigns, VR has the potential to transform the way media is
consumed in India. As more and more media companies embrace this
technology, we expect to see a shift towards more interactive and
engaging content across all media fields (Frost & Sullivan, 2021).
Although integrating VR into Indian media is met with challenges,
such as technical barriers and health concerns, the benefits of
immersive experiences outweigh the drawbacks. As more companies
invest in this technology, it will lead to more engaging content and a
new era of interactive media.

Theoretical Background
With the frequent use of VR Framework in media industry,
researches on the theoretical foundations of VR and its potential
applications in different media fields has been increasing. This
chapter will review some key theoretical concepts related to VR and
its role in the Indian media landscape. ‘Presence’ is a central concept
in VR, which refers to the subjective feeling of being present in a
virtual environment. Witmer and Singer (1998) state that presence is
affected by various factors, such as the virtual environment's quality,
interactivity, and sensory stimulation level. If users feel a strong sense
of presence, they are more inclined to engage with the content and
have a more immersive experience (Witmer & Singer, 1998). Use of

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the ‘Presence’ theory is significant in the media sector where the goal
is to often engage audiences and provide them with an immersive
experience. By providing users with a high degree of presence, VR
technology has the potential to transform the way media is consumed
in India and around the world.
Narrative and storytelling are essential components of many
media fields, including film, television, and literature. In the context
of VR, narrative and storytelling take on a new dimension, as users
can interact with the content in a more direct and immersive way. As
a result, VR can transform how stories are told and experienced.
According to a study by Journal of Visual Language and Computing
(2019), compelling VR narratives must be designed to take advantage
of the unique affordances of the technology, such as the ability to
create immersive environments and provide users with agency and
interactivity (Gamberini et al., 2019).

Another crucial theoretical concept related to VR is ‘Cognitive

Load’, which refers to the mental effort required to process
information, according to Lee and Kwon (2019). In the context of
VR, Cognitive Load is influenced by several factors, including the
complexity of the virtual environment and the level of interactivity.
When users experience a high cognitive load level, they may become
overwhelmed and disengaged from the content. Cognitive Load is an
important consideration when creating VR content in the media
industry. Content creators must balance the need for engaging and
immersive experiences with the need to avoid overwhelming users
with too much information or complexity. By carefully managing
cognitive Load, media companies can create effective VR content

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that engages audiences and enhances the overall experience (Lee &
Kwon, 2019).

Findings of Study
Virtual reality (VR) technology is based on the principle of
creating a simulated environment that appears to be real with the help
of computer-generated graphics, sounds, and other sensory inputs.
The technology behind VR is complex and involves several
components, such as display devices, tracking systems, input devices,
and software applications. Virtual Reality (VR) uses devices to create
an immersive experience. Tracking systems monitor movements,
input devices enable interaction, and software renders the virtual
environment. Together, they transport users to different worlds and
enable them to explore, learn, and experience things in new ways. In
the last 10 years, Virtual Reality (VR) has emerged as a powerful tool
in the Indian media industry, enabling media professionals to create
immersive experiences for their audiences (PwC, 2021). Several
success stories have emerged that highlights the positive impact of
VR in enhancing various media fields such as news, entertainment,
and advertising. This chapter summarizes the notable successes
regarding virtual reality. Through case studies and analysis, we will
explore the positive impact of VR and discuss its potential to
transform the sector (Deloitte, 2020, p. 12). One of the most notable
success stories of VR in the Indian media industry is the VR
experience created by The Indian Express for the 2019 Indian general
election. The Indian Express, one of India's leading newspapers,
made a VR experience that enabled users to experience the election
campaign trail from a journalist's perspective. The experience was
available on the newspaper's website and was accessible through a
VR headset or a mobile phone. The knowledge provided a unique
perspective on the election campaign, enabling users to immerse
themselves in the sights and sounds of the election trail. The Indian
Express received widespread praise for this VR experience, which
was considered an innovative way to engage audiences and provide a
more immersive form of news. Another example of the successful
implementation of VR is the use of VR by Indian film studios to
create immersive experiences for movie-goers. Studios such as Yash
Raj Films and Red Chillies Entertainment have made VR experiences
that enable users to experience the world of their movies in a more
immersive way. For example, Red Chillies Entertainment created a

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VR experience for the 2017 Jab Harry Met Sejal, enabling users to
interact with the movie's characters and explore the featured
locations. This VR experience was considered a unique way to
promote the film and engage audiences (Nagel et al., 2019).VR has
boosted engagement and enabled media professionals to tell new and
inventive stories. As VR technology continues to advance, media
companies in India are starting to explore the potential of this
technology to enhance their content offerings and create new business
opportunities (Deloitte, 2020). As VR technology advances, it will
become more accessible and affordable for media companies to create
and distribute immersive, interactive content. This can be used in
news reporting and entertainment, providing viewers with a more
engaging experience. Virtual Reality's impact on media consumption
in India is still being determined due to the costly equipment and
specialized skills required to produce VR content. However,
technology has the potential to revolutionize the industry, and media
companies should invest in it to stay ahead of the competition
(Madhavaram et al., 2005).

Recommendations and Conclusion

Virtual reality (VR) technology has significantly changed
traditional media production, distribution, and consumption methods.
The benefits of VR include enhanced user engagement, increased
revenue, and improved content quality. VR has also opened up new
business opportunities for media companies and has the potential to
create a new market for VR content production and distribution
(Deloitte, 2020, p. 12). However, challenges such as high production
costs, lack of VR content, and technical limitations still need to be
addressed for VR to be widely adopted in the industry. Looking to the
future, VR has enormous potential to revolutionize the Indian media
landscape and create new growth opportunities. The increasing
availability of affordable VR technology and the growing demand for
immersive experiences among consumers present a massive
opportunity for the industry to leverage VR (Frost & Sullivan, 2021).
With the advancement of technology and the availability of VR tools
and software, the barriers to entry for VR content production and
distribution are decreasing, making it more accessible to media
companies and content creators. As VR becomes more mainstream
and integrated into the media industry, it could change media
consumption habits in India. The immersive and interactive nature of

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VR could shift how people consume media, focusing more on

personalized, interactive experiences in the days to come.

References
1. Batra, R. (2017). Disruption in the Indian Media Industry: A
Strategic Framework. International Journal of Research in
Marketing, 34(4), 809-810.
2. Gupta, M. (2019). Virtual Reality in the Indian Media Industry:
A Literature Review. International Journal of Engineering &
Technology, 8(1.9), 382-386.
3. NDTV. (2019). NDTV Brings Virtual Reality Experience of
Kumbh Mela 2019. Retrieved from http://surl.li/gshbf
4. Madhavaram, S., Badrinarayanan, V., & McDonald, R. E.
(2005). Integrated marketing communication (IMC) and brand
identity as critical components of brand equity strategy: A
conceptual framework and research propositions. Journal of
Advertising, 34(4), 69-80.
5. Nagel, D., Kunz, M., & Beckmann, J. (2019). Virtual reality
and augmented reality: Understanding the potential for
advertising. Journal of Advertising, 48(4), 371-383.
6. Witmer, B. G., & Singer, M. J. (1998). Measuring presence in
virtual environments: A presence questionnaire. Presence:
Teleoperators and Virtual Environments, 7(3), 225-240.
7. Deloitte. (2020). Media and entertainment outlook: 2020-2024.
Retrieved from https://shorturl.at/xUY09
8. EY. (2020). India's media and entertainment sector: The digital
march. Retrieved from https://shorturl.at/gjlmT
9. FICCI-KPMG. (2019). India entertainment & media outlook
2019. Retrieved from https://www.ficci.in/spdocument/2311
5/india-entertainment-media-outlook-2019.pdf
10. Frost & Sullivan. (2021). Future Applications of Virtual
Reality. Retrieved from https://shorturl.at/qwxz0
11. Lee, J. H., & Kwon, H. (2019). Applying cognitive load theory
to virtual reality for learning: A meta-analysis. Journal of
Educational Technology & Society, 22(2), 42-55.
12. Gamberini, L., Martino, F., Seraglia, B., Spagnolli, A.,
&Fabregat, J. A. (2019). Immersive narratives: An approach to
enhancing emotional involvement in virtual reality. Journal of
Visual Languages & Computing, 52, 33-43.

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PREDICTION AND ANALYSIS ON MARKET

17 BASKET USING POSITIVE ASSOCIATION

RULE MINING
Sujit Chakraborty1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.17

Abstract
Market basket analysis, also known as association analysis or affinity
analysis, is a data mining technique used to uncover relationships or
associations among items purchased together by customers. It is
primarily applied in the field of retail and e-commerce to understand
customer purchasing behavior, identify product associations, and
make informed business decisions. The concept of market basket
analysis originated from the study of consumer behavior and the
observation that customers tend to purchase certain items together.
By analyzing transactional data, such as point-of-sale records or
online shopping carts, market basket analysis aims to discover
patterns and associations that can provide valuable insights to
retailers, marketers, and decision-makers. The significance of market
basket analysis lies in its ability to reveal purchasing patterns and
dependencies that might not be immediately apparent. This analysis
can uncover product relationships, help retailers optimize product
placement, improve cross-selling and up selling strategies, and
enhance overall customer experience. By understanding which
products are frequently bought together, businesses can design
effective marketing campaigns, personalize recommendations, and
optimize inventory management.

Keywords: Market basket analysis, Positive rule mining.

Introduction

M arket basket analysis serves as a powerful tool for

understanding customer behavior, identifying associations
among items, and optimizing business strategies. It enables
businesses to gain insights into customer preferences, improve

1
Assistant professor, Department of Computer Science & Technology, Institute of
Leadership Entrepreneurship & Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

product recommendations, and enhance operational efficiency. By

leveraging market basket analysis, businesses can make data-driven
decisions that lead to increased sales, customer satisfaction, and
overall business success. Positive association rule mining focuses on
identifying associations among items that are frequently purchased
together. It helps businesses understand the positive relationships
between products and uncover hidden patterns in customer buying
behavior. These techniques enable businesses to optimize their
marketing strategies, improve customer satisfaction, enhance
operational efficiency, and ultimately drive sales and profitability.
It is important to note that the interpretation and utilization of
positive and negative association rules require domain knowledge,
careful analysis, and consideration of context-specific factors.

Literature Review
Market basket analysis, also known as association rule mining
or affinity analysis, is a widely studied topic in the field of data
mining and business analytics. It involves analyzing transactional
data to uncover associations and patterns among items purchased
together by customers. Market basket analysis has gained significant
attention due to its potential to provide valuable insights for
businesses, such as understanding customer behavior, improving
product recommendations, and optimizing business strategies. This
literature review provides an overview of key research studies and
advancements in market basket analysis.
Some introduced the Apriori algorithm, a widely adopted
approach for mining association rules. It presented the concepts of
support and confidence as key metrics and established the foundation
for market basket analysis.(1) Some research proposed the FP-
Growth algorithm, an efficient approach for mining frequent item
sets. It improved the scalability of market basket analysis by
eliminating the need for candidate generation and introduced the
concept of a frequent pattern tree (FP-tree).(2) This paper discussed
the significance of market basket analysis within the broader context
of business intelligence and analytics. It highlighted the value of
association rule mining in discovering hidden patterns and leveraging
data for decision-making.(3) This study introduced the PrefixSpan
algorithm, which focuses on mining sequential patterns. It extended
market basket analysis to capture temporal relationships among items,
allowing for the discovery of item sequences or patterns in

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transactional data.(4) This comprehensive textbook provides an in-

depth overview of various data mining techniques, including market
basket analysis. It covers topics such as association rule mining,
evaluation metrics, and advanced concepts in market basket
analysis.(5)
This survey paper discusses different data mining process
models, including market basket analysis. It provides insights into the
overall data mining process, highlighting the steps involved in market
basket analysis, such as data preprocessing, frequent itemset
generation, and rule evaluation.(6)

Background study
Support is a fundamental metric used in market basket analysis.
It measures the frequency or occurrence of an itemset (a combination
of items) in the dataset. It is calculated as the number of transactions
containing the itemset divided by the total number of transactions.
Support helps identify popular item sets and is used to filter out
infrequent or irrelevant associations.
Confidence measures the strength of an association rule. It
indicates the likelihood that the consequent (the item being
recommended or predicted) will be purchased given the antecedent
(the items already in the basket). Confidence is calculated as the
support of the combined itemset (antecedent and consequent) divided
by the support of the antecedent. Higher confidence values indicate
stronger associations between items.
Lift is a measure that indicates the strength and significance of
an association rule by comparing the observed support of the
combined itemset with the expected support if the items were
independent. Lift is calculated as the support of the combined itemset
divided by the product of the individual supports of the antecedent
and consequent. Lift values greater than 1 indicate a positive
association, values equal to 1 indicate independence, and values less
than 1 indicate a negative association.

Methodology
This proposed method focus on the both positive (+ve) and
negative (-ve) association rules from frequent and infrequent item sets
with considering sample text dataset of a store. Here, “minimum
support” and “minimum confidence” values are taken from pre-
processed dataset to generate frequent item sets. Here modified

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apriori algorithm is used with Python 3.8 tool. Finally, positive(+ve)

and negative(-ve) association rules are considered from “frequent”
and “infrequent” item sets utilizing lift is the last step as elaborated

Sample Data Item

1. Light cream
2. Chicken
3. Mushroom cream sauce
4. Escalope
5. Pasta
6. Herb & pepper
7. Ground beef
8. Tomato sauce
9. Whole wheat pasta
10. Olive oil
11. Shrimp
12. Nan
13. Light cream
14. Frozen vegetables
15. Chocolate
16. Spaghetti
17. Cooking oil
18. Ground beef
19. Milk
20. Whole wheat pasta
21. Mineral Water
22. Pan cake
23. Soup
24. Grated cheese
Apriori Algorithm

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Input: - Transactions: A database of transactions

- Minimum support threshold (minsup)

Output:
- List of frequent item sets

Procedure:
1. Initialize:
- Generate a list of candidate item sets of size 1 (individual items)
- Count the support of each candidate itemset in the transactions

2. Repeat until no new frequent item sets can be generated:

a. Generate candidates:
- Join the frequent item sets of size k-1 to generate candidate item sets
of size k
- Prune candidate itemsets with infrequent subsets

b. Count support:
- Scan the transactions to count the support of each candidate itemset

c. Prune candidates:
- Eliminate candidate itemsets that do not meet the minimum support
threshold

d. Add frequent itemsets to the result:

- Add the frequent itemsets to the list of frequent itemsets

3. Return the list of frequent itemsets

Result analysis
Rule ‘Support’ ‘Confidence’ ‘Lift’
spaghetti -> milk 0.0045333 0.288135 3.022445
spaghetti -> nan 0.005066 0.2010582 3.0586947
soup -> nan 0.0052 0.22543352 3.429516
spaghetti -> nan 0.0072 0.203007 3.088349
nan -> milk 0.0049333 0.224242 3.411395
nan -> herb & 0.006666 0.390625 3.975152
pepper
nan -> shrimp 0.0072 0.3068181 3.2183725
nan -> frozen 0.0048 0.2033898 3.094165
vegetables

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Rule ‘Support’ ‘Confidence’ ‘Lift’

spaghetti -> frozen 0.0045333 0.288135 3.0224013
vegetables
spaghetti -> olive oil 0.00506666 0.201058 3.058694
whole wheat pasta - 0.008 0.2714932 4.1302212
> nan
soup -> olive oil 0.0052 0.225433 3.4295161
spaghetti -> shrimp 0.006 0.5232558 3.0049147
nan -> tomato sauce 0.0053333 0.377358 3.840147
olive oil -> milk 0.00493333 0.2242424 3.411395
spaghetti -> herb & 0.0064 0. 4.0038258
pepper
nan -> herb & 0.016 0.3234501 3.2915549
pepper
herb & pepper -> 0.006666 0.390625 3.9751526
mineral water
spaghetti -> grated 0.0053333 0.3225806 3.2827067
cheese
shrimp -> frozen 0.0072 0.306818 3.2183725
vegetables
olive oil -> frozen 0.0048 0.203389 3.20338981
vegetables
nan -> pasta 0.005866 0.3728813 4.20338911
mushroom cream 0.005733 0.30069 3.79032
sauce -> nan
spaghetti -> cooking 0.0048 0.5714284 3.2815576
oil
nan -> light cream 0.00453333 0.29059826 4.8433048
shrimp -> pasta 0.0050666666 0.32203389 4.5144939
whole wheat pasta - 0.008 0.271493212 4.1302212
> olive oil
tomato sauce -> 0.0053333 0.377358490 3.8401474
ground beef
herb & pepper -> 0.016 0.323450134 3.2915549
ground beef
pasta -> escalope 0.0058666 0.37288135593 4.7001851
(Source: Result computed by Python 3.8 )

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Result analysis in market basket analysis involves examining

and interpreting the outcomes obtained from the analysis to gain
meaningful insights and inform decision-making. Results are given in
the above table, here {spaghetti -> milk} means one may buy ‘milk’
if he/she buy ‘spaghetti’.

Conclusion
Emerging technologies and methodologies in market basket
analysis refer to the innovative approaches and tools that are being
developed and adopted to enhance the understanding and utilization
of market basket data. Market basket analysis is a technique used by
businesses to discover associations and patterns among items that
customers purchase together. It provides valuable insights for various
applications, such as cross-selling, personalized recommendations,
inventory management, and pricing strategies.

References
1. Agrawal, R., Imielinski, T., & Swami, A. (1993). Mining
Association Rules between Sets of Items in Large Databases. In
Proceedings of the 1993 ACM SIGMOD International
Conference on Management of Data.
2. Han, J., Pei, J., & Yin, Y. (2000). Mining Frequent Patterns
without Candidate Generation. In Proceedings of the 2000
ACM SIGMOD International Conference on Management of
Data.
3. Chen, H., Chiang, R. H., &Storey, V. C. (2012). Business
Intelligence and Analytics: From Big Data to Big Impact. MIS
Quarterly, 36(4), 1165-1188.
4. Pei, J., Han, J., Mortazavi-Asl, B., Pinto, H., Chen, Q., Dayal,
U., & Hsu, M. C. (2001). PrefixSpan: Mining Sequential
Patterns by Prefix-Projected Growth. In Proceedings of the
17th International Conference on Data Engineering (pp. 215-
224).
5. Tan, P. N., Steinbach, M., & Kumar, V. (2019). Introduction to
Data Mining (2nd Edition). Pearson.
6. Zhou, Z. H., Wu, J., & Tang, W. (2009). A Survey on Data
Mining and Knowledge Discovery Process Models. ACM
Transactions on Knowledge Discovery from Data (TKDD),
3(3), 1-39.

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7. Witten, I. H., Frank, E., Hall, M. A., & Pal, C. J. (2016). Data
Mining: Practical Machine Learning Tools and Techniques (4th
Edition). Morgan Kaufmann.
8. Majali, J. (2014).Data Mining Techniques for Diagnosis and
Prognosis of Breast Cancer. International Journal of Computer
Science and Information Technologies (IJCSIT) 5(5), 6487-
6490 .
9. Sumalatha, R., Ramasubbareddy, B. (2010). Mining Positive
And Negative Association Rules. International Journal on
Computer Science and Engineering (IJCSE) 2(9).
10. Mahmood, S., Shahbaz, M., Guergachi, A. (2014). Negative
and positive association rules mining from text using frequent
and infrequent itemset, Hindawi Publishing Corrporation, The
scientific world journal, vol. 2014, article ID 973750.

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A STUDY ON PERFORMANCE ANALYSIS OF

18 FEW SELECTED INDIAN BANKING STOCKS

Sujoy Kumar Dhar1, Pema Lama2

ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.18

Abstract
Financial Statement Analysis is a necessary condition for judging
invest worthiness of a stock. But alone financials cannot provide true
and fair picture unless and until capital market performances are
properly analysed. The proposed research work emphasizes on
financial and capital market performance analysis of few selected
Indian Banks. The proposed study will combine explanatory and
empirical research. Five banks have been chosen from Nifty Bank
Index after taking into consideration their free float market
capitalisation as on October 7, 2022. Top three private sector banks -
HDFC Bank, ICICI Bank and Kotak Bank and top two public sector
undertaking banks - State Bank of India and Bank of Baroda have
been considered for study. Performance of these five banks will be
considered for a period of 5 financial years i.e., 2019-20, 2018-19,
2017-18, 2016-17, 2015-16. Different tools and techniques used are
credit deposit ratio, net non-performing asset, net interest margin,
capital adequacy ratio, current and saving account ratio, daily return,
risk as well as coefficient of variation. The purpose of the study is to
rank banks on the basis of their overall performance.

Keywords: Net Interest Margin, Credit Deposit Ratio, Capital

Adequacy Ratio, Coefficient of Variation, Return, Risk

Introduction

I nvestment in capital market products has become inevitable to

earn inflation adjusted positive rate of return. Equity share can
provide a good rate of return in terms of dividend and capital
appreciation provided sector and stock selection are appropriate.
Banking sector is a major contributor to accomplish higher growth

1
Corresponding Author, Faculty Member, ICFAI Business School, Kolkata. INDIA
2
Associate Professor, Department of Commerce, University of Calcutta, INDIA

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

rate of nation as it converts savings of corporate and household into

productive investment. Banking is one of the sectors which has
exhibited a steady and stable growth rate in India. The study aims to
analyse financial and capital market performance analysis of few
selected Indian Banks. Financial statement analysis will focus on
fundamental of banks. Capital Market performance analysis will be
considered as indicator of emotion, sentiment and perception of
investors toward banking stocks.

Survey of The Literature

Adequate capital and robust balance sheet make banks better
equipped to deal with uncertainty over a period (Singla, 2008). Banks
should adopt Value-at-risk analysis and Markov Chain Analysis to
assess the borrower’s creditworthiness (Chaudhary and Sharma,
2011). Using Altman Z-score model for the last eight years, it at has
been observed that the selected 10 Indian Commercial Banks such as
BOB, Kotak Mahindra Bank, PNB, Yes Bank, Canara Bank, SBI,
ICICI Bank, UBI, Axis Bank, and IndusInd Bank are solvent in
nature and enjoying strong fundamentals (Kumar, 2017). There is
hardly any interdependence between the environmental and financial
performance of Indian banks (Rajput et al, 2019). Relationship
between the bank failure and different accounting information inputs
have been established (Kaur and Oberoi, 2022). If there is an increase
in return on asset and net interest margin, price to book value of
banking stock will go up and vice versa (Hameeda, 2022). Risk
management in public-sector banks become more challenging due to
accumulation of non-performing asset (Ali, M. A. et al, 2022). There
is a direct relationship between risk-adjusted profitability and non-
interest income for PSU banks. In contrary, there is hardly any
interconnection between these two abovementioned variables for
private banks (Doshi and Ladha, 2022).

Research Gap
Several research works are available on financial performance
analysis of Indian Banking players Multiple intellectual outputs are
there emphasizing on capital market performance of Indian Banking
players There is hardly any work which combines both financial as
well as capital market performance of selected banking stocks and
rank the stocks based on their invest worthiness.

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Objectives of The Study

The objectives of the study are as follows -
• To analyse the financials of few selected Indian Banks.
• To discuss capital market performances of few selected Indian
Banks.
• To rank the banks on the basis their financial and capital
market performances.

Research Questions
To fulfil these objectives, the major research questions which comes
up are -
• How are the financial performances of few selected Indian
Banks?
• How are the capital market performances of few selected
Indian Banks?
• What are the overall ranks of few selected Indian Banks based
on their financial and capital market performances?

Research Design
It incorporates methodology, sample of the study, time period
of the study and tools and techniques used.

Methodology: The proposed study will combine explanatory and

empirical research.

Sample of The Study: Five banks have been selected from Nifty
Bank Index based on their free float market capitalisation as on
October 7, 2022. Free float market capitalisation of banks included in
Nifty Bank Index has been provided in Exhibit - 1.

Exhibit - 1
Free Float Market Capitalisation of Banks included in Nifty Bank Index
Name of Bank Market Capitalisation (Rs. in Crore)
HDFC Bank 800403
ICICI Bank 616994
SBI 479519
Kotak Bank 361705
Axis Bank 231995
IndusInd Bank 93097
BOB 69762

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Exhibit - 1
Free Float Market Capitalisation of Banks included in Nifty Bank Index
Name of Bank Market Capitalisation (Rs. in Crore)
Bandhan Bank 44144
PNB 40355
AU Small Finance Bank 40276
IDFC First Bank 33782
Federal Bank 25497
Source: Nifty Bank Index

Top two public sector banks and top three private sector banks based
on free float market capitalisation have been considered for study
which are HDFC Bank, ICICI Bank, State Bank of India, Kotak
Bank, and Bank of Baroda respectively.

Time Period of The Study: Performance of these five banks will be

considered for a period of 5 financial years i.e., 2019-20, 2018-19,
2017-18, 2016-17, 2015-16.

Tools And Techniques Used: Different banking sector specific

ratios will be calculated such as credit deposit ratio, net non-
performing asset, net interest margin, capital adequacy ratio, current
and saving account ratio to analyse fundamental of these banks.
Different capital market indicators will be computed such as daily
return, risk and coefficient of variation. Return is calculated as
today’s closing price less yesterday’s closing price divided by
yesterday’s closing price of stock. Risk is measured as standard
deviation of daily return generated by stock. Coefficient of variation
measures standard deviation divided by mean which indicates risk per
unit of return offered by banking stock.

Limitations of The Study

The Limitations of the study are as follows -
• It is secondary data-based study.
• Sample size is restricted to five only.

Financial Performance Analysis

Financial performance analysis incorporates computation and
interpretation of credit deposit ratio, net non-performing asset, net
interest margin, capital adequacy ratio, current and saving account
ratio.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Financial Performance Analysis of Bank of Baroda, State Bank

of India, ICICI Bank, Kotak Bank and HDFC Bank have been
provided in Exhibit - 2, Exhibit - 3, Exhibit - 4, Exhibit - 5 and
Exhibit - 6 respectively. Ranking of Banks based on their Financial
Performance Analysis and Overall Ranking of Banks on their financial
performances have been provided in Exhibit - 7 and Exhibit - 8.

Exhibit - 2
Financial Performance Analysis of Bank of Baroda
Particular 2015-16 2016-17 2017-18 2018-19 2019-20
Credit Deposit Ratio 66.85 63.69 72.28 73.4 72.95
Net Non-Performing
5.06 4.72 5.49 3.33 3.13
Asset
Net Interest Margin 2.05 2.19 2.43 2.72 2.72
Capital Adequacy
13.17 12.24 12.13 13.42 13.3
Ratio
CASA Ratio 33.57 39.44 41.2 40.2 39.1
Source: Annual Reports of Bank of Baroda (2015-16, 2016-17, 2017-18,
2018-19 and 2019-20)

Interpretation: Credit deposit ratio of Bank of Baroda has increased

from 66.85% in 2015-16 to 72.95% in 2019-20. Net NPA has
experienced a dip from 5.06% to 3.13% over five years, still NPA is
on higher side. Net interest margin has experienced a steady increase
from 2.05% to 2.72%. It is maintaining a stable capital adequacy ratio
with an average of 12.85%. CASA ratio has also increased from
33.57% from 2015-16 to 39.1% in 2019-20.

Exhibit - 3
Financial Performance Analysis of State Bank of India
2015- 2016- 2017- 2018-
Particular 2019-20
16 17 18 19
Credit Deposit Ratio 84.57 76.83 71.49 75 71.73
Net Non-Performing
3.81 5.19 5.73 3.01 2.23
Asset
Net Interest Margin 2.96 2.84 2.91 2.95 3.19
Capital Adequacy
13.12 13.11 12.6 12.72 13.06
Ratio
CASA Ratio 43.84 45.58 45.68 45.74 45.16
Source:
Annual Reports of State Bank of India (2015-16, 2016-17, 2017-18, 2018-
19 and 2019-20)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Interpretation: Credit deposit ratio of State Bank of India has

decreased from 84.57% in 2015-16 to 71.73% in 2019-20. Net NPA
has experienced a dip from 3.81 to 2.23% over five years, still NPA is
on higher side. Net interest margin has experienced a steady increase
from 2.96% to 3.19%. It is maintaining a stable capital adequacy ratio
with an average of 12.92%. CASA ratio has also increased from
43.84% from 2015-16 to 45.16% in 2019-20.

Exhibit - 4
Financial Performance Analysis of ICICI Bank
2015-
Particular 2016-17 2017-18 2018-19 2019-20
16
Credit Deposit
103.28 94.73 91.34 89.84 83.69
Ratio
Net Non-
2.67 4.89 4.77 2.06 1.41
Performing Asset
Net Interest Margin 3.49 3.25 3.23 3.42 3.73
Capital Adequacy
16.6 17.4 18.4 16.9 16.11
Ratio
CASA Ratio 45.8 50.4 51.7 49.6 45.1
Source:
Annual Reports of ICICI Bank (2015-16 ,2016-17,2017-18,2018-19 and
2019-20)

Interpretation: Credit deposit ratio of ICICI Bank has been

decreased from 103.28% in 2015-16 to 83.69% in 2019-20. Net NPA
has experienced a dip from 2.67% to 1.41% over five years, still NPA
is on higher side. Net interest margin has experienced a steady
increase from 3.49% to 3.73%. It is maintaining a stable capital
adequacy ratio with an average of 17.08%. CASA ratio has
undergone a slight fall from 45.8% from 2015-16 to 45.1% in 2019-
20.

Exhibit - 5
Financial Performance Analysis of Kotak Bank
2016- 2017- 2018-
Particular 2015-16 2019-20
17 18 19
Credit Deposit Ratio 85.6 86.4 88.1 91.9 83.6
Net Non-Performing
0.9 1.1 0.9 0.7 0.7
Asset
Net Interest Margin 4.4 4.5 4.3 4.2 4.6

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Exhibit - 5
Financial Performance Analysis of Kotak Bank
2016- 2017- 2018-
Particular 2015-16 2019-20
17 18 19
Capital Adequacy
16.3 16.8 18.2 17.5 17.9
Ratio
CASA Ratio 38.1 44 50.8 52.5 56.2
Source:
Annual Reports of Kotak Bank (2015-16, 2016-17, 2017-18, 2018-19 and
2019-20)

Interpretation: Kotak Bank is maintaining an average stable credit

deposit ratio of 87.12%. Net NPA has experienced a dip from 0.9% to
0.7% over five years. Net interest margin has experienced a slight
increase from 4.4% to 4.6%. It is maintaining a stable capital
adequacy ratio with an average of 17.34%. CASA ratio has also
increased from 38.1% from 2015-16 to 56.2% in 2019-20.

Exhibit - 6
Financial Performance Analysis of HDFC Bank
2015- 2016- 2017- 2018-
Particular 2019-20
16 17 18 19
Credit Deposit Ratio 85 86 83 89 87
Net Non-Performing
0.28 0.33 0.4 0.39 0.36
Asset
Net Interest Margin 4.2 4.3 4.3 4.3 4.3
Capital Adequacy
15.5 14.6 14.8 17.1 18.5
Ratio
CASA Ratio 43 48 43.5 42.4 42.2
Source:
Annual Reports of HDFC Bank (2015-16 ,2016-17,2017-18,2018-19 and
2019-20)

Interpretation: Credit deposit ratio of HDFC Bank has been

increased from 85% in 2015-16 to 87% in 2019-20. Net NPA has
experienced a marginal increase from 0.28% to 0.36% over five
years. Net interest margin has experienced a slight increase from
4.2% to 4.3%. It is maintaining a stable capital adequacy ratio with an
average of 16.1%. CASA ratio has decreased from 43% from 2015-
16 to 42.2% in 2019-20.

187
Exhibit - 7
Ranking of Banks based on their Financial Performance Analysis
Ranking
Avg. Avg. Net Avg. Ranking Avg. Ranking
on Ranking Avg. Ranking
Credit Non- Net on Net Capital on capital
Banks Credit on Net CASA on CASA
Deposit Performing Interest Interest Adequacy Adequacy
Deposit NPA Ratio Ratio
Ratio Asset Margin Margin Ratio Ratio
Ratio
Bank
of 69.83 5 4.35 5 2.42 5 12.85 5 38.7 5
Baroda
State
Bank
75.92 4 3.99 4 2.97 4 12.92 4 45.2 3
of
India
ICICI
92.58 1 3.16 3 3.42 3 17.08 2 48.52 1
Bank
Kotak
87.12 2 0.86 2 4.4 1 17.34 1 48.32 2
Bank
HDFC
86 3 0.352 1 4.3 2 16.1 3 43.82 4
Bank
Source: Compiled and Computed by Author (s)

Interpretation: ICICI Bank is enjoying first position in credit deposit ratio and ICICI bank is followed by Kotak
Bank and HDFC Bank. HDFC Bank is the best in NPA management and HDFC Bank is followed by Kotak Bank
and ICICI Bank. Kotak Bank is enjoying first position in net interest margin and Kotak Bank is followed by HDFC

188
 Bank and ICICI Bank. Kotak Bank is maintaining highest capital adequacy ratio and Kotak Bank is followed by
ICICI Bank and HDFC Bank. ICICI Bank is enjoying first position in CASA ratio which is followed by Kotak
Bank and State Bank of India.

Exhibit - 8
Overall Ranking of Banks on their Financial Performances
Ranking
Average Average Average Ranking Average Ranking Ranking Sum
on Ranking Average
Credit Net Non- Net on Net Capital on capital on total Overall
Banks Credit on Net CASA
Deposit Performing Interest Interest Adequacy Adequacy CASA of Rank
Deposit NPA Ratio
Ratio Asset Margin Margin Ratio Ratio Ratio ranks
Ratio
Bank
of 69.83 5 4.35 5 2.42 5 12.85 5 38.7 5 25 5
Baroda
State
Bank
75.92 4 3.99 4 2.97 4 12.92 4 45.2 3 19 4
of
India
ICICI
92.58 1 3.16 3 3.42 3 17.08 2 48.52 1 10 2
Bank
Kotak
87.12 2 0.86 2 4.4 1 17.34 1 48.32 2 8 1
Bank
HDFC
86 3 0.352 1 4.3 2 16.1 3 43.82 4 13 3
Bank
Source: Compiled and Computed by Author (s)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Interpretation: The sum total of ranks based on five specified ratios

is taken into account for overall ranking. Lower the sum total, higher
the rank has been allocated and vice versa. Kotak Bank has obtained
1st rank and Kotak Bank is followed by ICICI Bank and HDFC Bank
in terms of their financial performances.

Capital Market Performance Analysis

Risk and Return play a major role while selecting capital market
performance of a stock. As investor takes higher risk; it will be able
to derive a higher return. Hence to strike a trade-off between risk and
return, coefficient of variation is used. Ranking of Banks based on
their Capital Market Performance Analysis and Overall Ranking of
Banks on their Capital market performances have been provided in
Exhibit - 9 and Exhibit -10.

Exhibit - 9
Ranking of Banks based on their Capital Market Performance
Coefficient
Banks Return Rank Risk Rank Rank
of variation
Bank of -0.05
5 2.88 5 (57.6) -
Baroda
State Bank
(0.0003) 4 2.32 4 (7773) -
of India
ICICI 0.02
2 2.12 2 106 2
Bank
KOTAK 0.03
1 2.17 3 72 1
Bank
HDFC 0.01
3 1.9 1 190 3
Bank
Source: Compiled and Computed by Author (s)

Interpretation: Higher the return, bank is doing better and vice

versa. Hence, Kotak Bank has been assigned 1st Rank and Kotak
Bank is followed by ICICI Bank and HDFC Bank in terms of their
return generating capacities. Lower the risk, bank is performing better
or vice versa. So, HDFC bank has been allotted 1st Rank and HDFC
Bank is followed by ICICI Bank and Kotak Bank based on their
volatility. Lower the coefficient of variation, bank is consistent
performer and vice versa. So, Kotak Bank has been assigned 1st Rank
and Kotak Bank is followed by ICICI Bank and HDFC Bank in terms

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

of risk per unit of return. No rank has been allocated to the banks
providing negative coefficient of variation because it is violating the
risk return trade off.

Exhibit - 10
Overall Ranking of Banks based on their Capital Market Performances
Sum
Coefficient
total
Banks Return Rank Risk Rank of Rank Rank
of
variation
ranks
Bank
-0.05
of 5 2.88 5 (57.6) - 10 5
Baroda
State
Bank
(0.0003) 4 2.32 4 (7773) - 8 4
of
India
ICICI 0.02
2 2.12 2 106 2 6 2
Bank
Kotak 0.03
1 2.17 3 72 1 5 1
Bank
HDFC 0.01
3 1.9 1 190 3 7 3
Bank
Source: Compiled and Computed by Author (s)

Interpretation: The sum total of ranks based on three specified

indicators is considered for overall ranking. Lower the sum total,
higher the rank has been allocated and vice versa. Kotak Bank has
been awarded 1st rank and Kotak Bank is followed by ICICI Bank
and HDFC Bank respectively based on capital market performance
indicators.

Conclusion
Kotak Bank, ICICI Bank and HDFC Bank have been allotted
1st, 2nd and 3rd rank based on their financial performance analysis.
Kotak Bank, ICICI Bank and HDFC bank have been assigned 1st,
2nd and 3rd rank based on their capital market performances. Hence,
it can be concluded without any ambiguity that the financial and
capital market performance of banks are strongly interdependent in

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

nature. Banks having strong fundamentals are outperformer in capital

market and vice versa.
Private Banks are doing much better in terms of Credit
deposit ratio, net non-performing asset, net interest margin and capital
adequacy ratio with respect to its public sector undertaking peers.
Hence, Private Banks are much ahead in terms of financial
performance. Private Banks are able to generate higher returns in
capital market as well as they are capable of doing risk management
much better than its PSU competitors. So, PSU banks are lagging
behind on the basis of capital market performances. Hence according
to the study, Private bank stocks are much lucrative from investor’s
perspectives.
Hence, investor must consider the financial as well as capital
market analysis before judging invest-worthiness of a banking stock
in order to do justice to the shareholder’s wealth maximization goal.
Investors can put their hard-earned money in stock of Kotak Bank in
order to enjoy maximum capital appreciation and Kotak Bank is
followed by ICICI Bank and HDFC Bank.

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MEDIATING EFFECT OF OPERATING

19 INCOME ON SHAREHOLDER’S FUNDS AND

ECONOMIC VALUE ADDED: A STUDY ON
NIFTY 50 COMPANIES
Suraj Sharma1, Piyali Mullick2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.19

Abstract
This study examines the relationship of the economic value added
(EVA) and shareholder’s funds. It also focuses to find the underlying
reason for such relationship. Shareholder’s funds consist of
shareholder’s equity and reserves. It represents shareholder’s wealth.
Economic value added is the residual operating income after charging
for the cost of capital. A company can increase its value by increasing
the shareholder’s wealth by its operations. Hence, it is imperative to
understand the relationship between shareholder’s wealth and EVA,
and the reason for such relationship. The present study uses NIFTY 50
companies for the year 2022 to examine the effect of operating income
upon the EVA and shareholder’s funds. To the best of our knowledge,
this is the first study attempting to perform a mediation analysis upon
the relationship of shareholder’s funds and economic value added.
Results indicate a mediating effect of operating income upon the
relationship of shareholder’s funds and economic value added.

Keywords: Cost of capital, EBIT, EVA®, Mediation analysis,

NIFTY50, Shareholder’s funds.

Introduction

T he economic value added (EVA) of a firm is dependent upon its

cost of capital, as it is the excess return or residual operating
income. The shareholder’s funds are the combination of
shareholder’s equity and reserves & surplus, which consists of the

1
Assistant Professor, Department of Management Studies, Institute of Leadership,
Entrepreneurship and Development (Kolkata)
2
Corresponding Author, Ph. D. Research Scholar, Department. of Commerce,
University of Calcutta, and State Aided College Teacher - I, Umeschandra College
(Kolkata)

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

profits after tax transferred, after distribution of dividends. The

operating income of a firm is expressed as earnings before interests and
taxes (EBIT). The firm’s operating performance improves the overall
value of the firm, and as a result shareholder’s funds (or shareholder’s
wealth) increases. Therefore, the operating performance, if proxied by
the operating income or EBIT, must have a mediating effect upon the
shareholder’s funds and economic value added.
The present study seeks to answer two major questions: 1) is
EVA is dependent upon shareholder’s funds for NIFTY 50
Companies? And 2) does EBIT mediates EVA and shareholder’s
equity for NIFTY 50 Companies? If the EVA of a firm increases due
to shareholder’s equity and operating income then it is possible for
the managers to fulfil the major objective – value maximization of a
firm, by the means of improved economic value added. This study
shall provide an insight to the finance decision makers on how to
adjust their cost of capital to increase the shareholder’s wealth. The
major objective of financial management is to maximize the
shareholder’s wealth, as proxied by the shareholder’s funds.
Therefore, by understanding the mediating factor between
shareholder’s wealth and economic value added, decision regarding
the cost of capital can be taken properly.

Literature Review
Economic value added (EVA) is a very dynamic managerial
tool which gained international importance in the corporate financial
practices. EVA can be used as a comprehensive framework for
financial management and premium allowances. EVA also creates
sustainable value for customers, companies, employees, shareholders
and for management (Stewart III, 1994). It can be utilized as a
performance measurement tool for both the internal and external
environment. EVA initially was seen as a better performance
evaluation tool for earnings per share (EPS), return on equity (ROE)
and return on investment (ROI). Various studies examined that
whether EVA is superior to GAAP-based accounting measures. EVA
is consistent with allowances based on residual income measures that
encourage managers to improve the wealth of that organization, and
could also be used for analyzing after tax interest and accruals
(Goldberg, 1999; West and Worthington, 1999).
Earnings outperform EVA in explaining the stock return. Some
authors argue, that rise in equity could be responsible for an increase

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

in the cost of capital, and that the cost of capital may increase
(Modigliani and Miller, 1958). following this theory, as the
shareholder's funds increases, the economic value added must go
down. The present study asserts that as the shareholder's wealth is
significantly positively related with economic value added, due to the
operations of the firm using the shareholder's funds leads to increase
in the economic value of a firm. The operating income is calculated
as earnings before interest and taxes (EBIT). Therefore, if the
shareholder’s equity increases, then the cost of capital also increases,
as now the dividend payments are no longer fixed as the debt capital.
Hall (2002) stated that the operational performance leads to the
increase in the shareholder’s which impacts the value of the firm.
Patel and Patel (2012) highlighted the importance of the unique
relationships of banks and their stakeholders and its impact on long-
term growth. The study indicates that the relationship between EVA
and stock prices is not straightforward and that other factors may also
influence stock prices. Hence there must be other factors present
influencing the shareholder’s funds. Therefore, it is hypothesized in
the study that net income from operations is the mediator and it
explains the relationship between the shareholder’s funds and EVA.

Theoretical Background
EVA measures the economic profit of a company, computed by
the excess of the company’s cost of capital to the net operating profits
after tax. EVA is impacted by the firm’s operations, as without the
operating performance, a firm is not able to generate the economic
profits. The operating profit is defined as a company’s EBIT, which is
also influenced by shareholder’s funds. The operating profits are
ultimately transferred to the reserves and surplus after the deduction
of all interest, tax, and dividends. Therefore, if the operating profit
increases, then the shareholder’s funds also increase. The
shareholder’s funds and economic value added are both influenced by
the EBIT; therefore, it must have a significant mediating effect upon
the relationship of shareholder’s equity and EVA.

Objectives and Methodology

The data utilized in the present analysis is very conservative in
nature. Only the constituent companies of NIFTY 50 index for the
period of 2022 are used in the present study. The companies which
are selected for the study is shown in table 4 and the variables used

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

under the study are shown in table 1. The shareholder’s equity is

taken as independent variables and the EVA is taken as dependent
variable. EBIT is a mediator variable between shareholder’s equity
and EVA. The data is collected from google finance and money
control website. Mediation analysis (Hayes, 2013) was carried out in
order to understand the mediating effect of operating profit on the
relationship of EVA and Share Capital of NIFTY 50 Companies.

Table 1. Variables selected under study

Variable Name Symbol Type Literature
Economic Dependent Jakub et al.
Value Added EVA Variable (2015)
Elmadhoun
and
Murtaja,
2022;
Independent Panigrahi,
Shareholder's Funds SH Variable 2015
Earnings Before Mediator Hall (2002)
Interest and Taxes EBIT Variable
Source: Author’s compilation

Analysis and Discussions

Descriptive statistics of the variables used under the study are
shown in table 2. There is nifty 50 companies in this study. Therefore,
the sample comprises of 50 companies (n=50). EVA is the dependent
variable which have a mean of 8206.302 and SD of 9039.291. this
indicates that there is a huge variation in the economic value added
among the nifty 50 companies. Similarly for the mediator and
independent variable (EBIT and SH), the descriptive statistics shows
huge variation among shareholder’s fund.

Table 2. Descriptive statistics

Variables N Minimum Maximum Mean Std. Deviation
EVA 50 -2808.450 32634.710 8206.302 9039.291
SH 50 2402.540 471527.000 65874.712 85531.321
EBIT 50 481.680 186425.680 20732.353 31135.915
Source: Author’s computation
In Table 3, the output for the model 17, 18 and 19 are shown.
Model 1 shows the total effect of economic value added (EVA) on

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shareholder’s fund (SH). The coefficient of SH (c = 0.074) indicates

that the value of EVA changes by 0.074 unit because of one unit
change in SH. The p-value for the test of hypothesis H0: c=0 against
H1: c≠0, is less than 0.01. Therefore, the null hypothesis is rejected
and it is concluded that between the SH and EVA exists at 99% level
of confidence. The R2 is 0.497 which explains that 49.7% variation
in EVA can be explained by SH. The F-statistic comes to be 47.36
which is significant at 0.01 level. Therefore, it can be concluded that
the shareholders fund is positively related with economic value
added, and there exists a total effect of shareholders fund on
economic value added.
Similarly, model 2 shows the effect of the mediator variable,
earnings before interest and taxes (EBIT) on SH. This indicates that
the SH is influencing the mediator variable EBIT. The coefficient of
SH (a = 0.266) indicates that the value of EBIT changes by 0.266 unit
because of one unit change in SH. The p-value for the test of
hypothesis H0: a=0 against H1: a≠0, is less than 0.01. Therefore, the
null hypothesis is rejected and it is concluded that there exists a
relationship between the SH and EBIT at 99% level of confidence.
The R2 is 0.526 which denotes that 52.6% deviation in EBIT can be
denoted by SH. The F-statistics comes to be 55.36, which is
significant at 0.01 level. Therefore, it can be concluded that the
shareholders fund is positively related with earnings before interest
and taxes.

Table 3. Analysis of the mediation models using OLS

Source: Author’s computation

Model 3 explains the direct effect of SH on EVA. The

coefficient of SH, c’ explains the relationship of SH and EVA
controlling for a mediator variable EBIT. The coefficient of EVA (c’
= 0.047) indicates that the values of EVA changes by 0.047 unit

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

because of one unit change in SH. The p-value for the for the test of
hypothesis H0: c’=0, against H1: c’ ≠ 0, is less than 0.01. Therefore,
the null hypothesis is rejected and it is concluded that there exists a
relationship between the SH and EBIT, holding EBIT constant at
99% level of confidence. The coefficient of EBIT (b = 0.104)
indicates that the values of EVA changes by 0.104 unit because of
EBIT. The p-value for the test of hypothesis H0: b=0 against H1: b≠0,
is less than 0.05. Therefore, the null hypothesis is rejected and it is
concluded that there exists a relation between the EVA and EBIT,
holding SH constant at 95% level of confidence. The R2 of the model
three shows that about 55.6% variance in economic value added
could be explained by the mediation of operating income on the
shareholder’s funds.

Table 4. Statistical Inference

Panel A: Measuring the relationship between total effect, direct
effect, and indirect effect (c = c′ + ab)
c′ + ab 0.075
c 0.074
Panel B: Sobel's Test
SEab 0.012
ab 0.028
Z 2.380
p-value 0.009
Lower Limit [ab − Z(SEab )] 0.005
Upper Limit [ab + Z(SEab )] 0.050
Source: Author’s computation

The indirect effect is measured as the product of a and b.

Therefore, the indirect effect (ab) is computed as (0.266 × 0.104 =
0.028). This coefficient indicates that if one unit in shareholders fund
increases, then economic value added is also increases by 0.028 units
due to the mediating effect of EBIT. The total effect (c) is decomposed
into direct effect (c’) and indirect effect (ab). The relationship between
total effect, direct effect and indirect effect is shown in table 3. Sobel
(1982) test is use to test the hypothesis H0: ab = 0, against the
alternative hypothesis H1: ab ≠ 0. Table 3 shows the computation of the
Z-statistic and their confidence intervals. The p-value is 0.009 which is
less than 0.01. Therefore, the null hypothesis is rejected at 99% level of
confidence, and it is concluded that the indirect effect is not equal to

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

zero. The 95% confidence interval (table 3), shows that the lower limit
is 0.005 and the upper limit is 0.05. Using the confidence interval, 0 is
not included within the limits (Hayes, 2018). Therefore, it is concluded
that the indirect effect is statistically significant. Therefore, the values
for the direct and indirect effect are c’=0.047 and ab=0.028
respectively, which are statistically significant. Therefore, it is clear
from the analysis that operating income does partially mediates the
relationship shareholder’s funds on economic value added.

Findings of the Study

The present study analyzed NIFTY 50 companies for the
period of 2022, to analyze the empirical relationship between
economic value added and shareholder’s funds, with a mediating
effect of operating income (or EBIT). The study accepts the H1 stated
in the objectives of the study that shareholder’s funds have a positive
and significant relationship with EVA for NIFTY 50 Companies,
according to Elmadhoun and Murtaja (2022).
The present study also accepts the alternate hypothesis H2,
which asserts that operating income has a mediating effect upon the
relationship of economic value added and shareholder’s funds for
NIFTY 50 Companies. The variability in the economic value added
increased after incorporating the mediator variable in the model.

Recommendations and Conclusion

The present study throws light into some policy
recommendations such as regulation for increasing the operating
income of a company such that the shareholder’s wealth and the value
of the company could be improved in a more efficient manner. The
operating income of any business mediates the roleplay of increasing
economic value added. Therefore, controlling for the operating
income can aid in increasing the value of the firm, which is the goal
of a financial manager. The present study was confined only to the
NIFTY 50 companies for the year ended 2022 only, to demonstrate
the relationship between the shareholder’s funds and economic value
added mediated through operating income. Future studies may focus
upon other variables other than shareholder’s funds to explain the
economic value added and more mediator variables may be included
and other complex models could be used to explain the mediation of
operating income on the shareholder’s funds and economic value
added.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

References
1. Elmadhoun, I. R., & Murtaja, M. H. (2022). Economic value
added: Acritical reading. International Journal for Research in
Applied Science and Engineering Technology, 10(2), 1050-
1058. https://doi.org/10.22214/ijraset.2022.40450
2. Goldberg, S. R. (1999). Economic value added: A better
measure for performance and compensation? Journal of
Corporate Accounting & Finance, 11(1), 55-67. https://do
i.org/10.1002/(sici)1097-0053(199923)11:1<55::aid-jcaf5>3.0.
co;2-8
3. Hall, J. H. (2002). Dissecting EVA: the value drivers
determining the shareholder value of industrial
companies. Available at SSRN 304196.
4. Jakub, S., Viera, B., & Eva, K. (2015). Economic Value Added
as a Measurement Tool of Financial Performance. Procedia
Economics and Finance, 26, 484-489. https://doi.org/10.1016
/S2212-5671(15)00877-1
5. Modigliani, F., & Miller, M. H. (1958). The Cost of Capital,
Corporation Finance and the Theory of Investment. The
American Economic Review, 48(3), 261-297.
6. Panigrahi, S. K., Zainuddin, Y. B., & Azizan, N. A. (2015).
Empirical analysis on impact of economic value added on
shareholder’s value: A perspective from Malaysian
construction companies. Australian Journal of Basic and
Applied Sciences, 9(2), 64-72.
7. Patel, R., & Patel, M. (2012). Impact of Economic value added
(EVA) on Share price: A study of Indian Private Sector
banks. International Journal of Contemporary Business
Studies, 3(1), 24-34.
8. Stewart III, G. B. (1994). EVA™: Fast and Fantasy. Journal of
Applied Corporate Finance, 7(2), 71-84. https://doi.org/10.111
1/j.1745-6622.1994.tb00406.x
9. West, T., & Worthington, A. (1999). The information content
of economic value-added: A comparative analysis with
earnings, cash flow and residual income (No. 066). School of
Economics and Finance, Queensland University of
Technology.

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THE DAY OF THE WEEK EFFECT DURING

20 THE FINANCIAL CRISES PERIODS OF EARLY

21ST CENTURY: A STUDY ON NIFTY 50
INDEX
Suraj Sharma 1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.20

Abstract
The secondary capital market is a place of absolute uncertainty.
However, some theories suggest that there exist some anomalies
which can be exploited to make decisions under uncertainty. This
study investigates the presence of the ‘day of the week effect
anomaly’ in the NIFTY 50 index, considering the influence of various
economic crises that occurred during the early 21st century. Earlier
studies debated the efficiency and predictability of stock markets,
with some suggesting the existence of the day of the week effect. Old
market anomalies diminished while new ones emerged, as the studies
progressed. Long-term investigations indicated a diminishing day of
the week effect, but other studies argued for its persistence,
particularly due to factors like options trading. The present study
asserts that the day of the week effect is present and shifts to new
days as new economic crises emerge. To explore this phenomenon,
the NIFTY 50 index is analyzed from 2002 to 2023.

Keywords: Adaptive markets, Day of week effect, Economic crises,

Indian markets, NIFTY 50.

Introduction

T HE INDIAN economy has gone through many economic

crises in the early 21st century such as the Dotcom Bubble,
2000; Turkish Economic Crisis, 2001; September Attacks,
2001; Uruguay Banking Crisis, 2002; Black Monday, 2004; Financial
Companies Collapse, 2006; Global Financial Crisis, 2008; Russo-
Ukrainian War, 2014; Chinese Stock Market Crash, 2015; Turkish

1
Assistant Professor, Dept. of Management Studies, Institute of Leadership
Entrepreneurship & Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Currency and Debt Crisis, 2018; COVID-19 Crisis, 2020; Sri Lankan
Economic Crisis, 2021; Russia-Ukraine War, 2022; Adani-
Heisenburg Conflict, 2023; etc. This economic turmoil led to a high
volatility in the Indian Stock markets.
Early studies such as Fama (1970) argued that the stock
markets are efficient and that it is not possible to predict the stock
markets. However, several studies such as Cross (1973) and French
(1980), argue that the stock prices have the ‘day of the week effect’,
that the prices can be predicted on specific days of the week.
As the studies evolved, the market anomalies started to
disappear and new anomalies started to emerge. Studies such as
Kohers et al. (2004) show that the ‘day of the week effect’ tends to
disappear during a long-term tenure. The study found that the
Monday returns were less than that of the Friday returns for the
period of January 1980 to December 1990. The study also found that
efficiency improved over time and that the ‘day of the week effect’
tends to disappear. Several studies such as Mukherjee and Mishra
(2006) argued that due to the effect of options trading, the ‘day of the
week’ can never disappear.
The aim of the present study is to show that the day of the week
effect exists and creates shifts from time to time as new economic
crises emerges. The study focuses on the Indian Markets only. The
NIFTY 50 index was analyzed in the study for the period of 2002-
2023. The present study is divided into the following parts –
introduction, literature review, theoretical background, objectives and
methodology, analysis and discussions, findings of the study, and
recommendations and conclusions.

Literature Review
The "day of the week effect" has been extensively studied in
the literature. Cross (1973) focused on stock prices' behavior on
Mondays and Fridays. Agrawal and Tandon (1994) investigated
seasonal patterns in stock markets across eighteen countries, finding a
daily seasonal effect prevalent in most countries and a weekend effect
in nine countries. The daily seasonal effect diminished during the
1980s, while the last trading day of the month showed significant
returns and low variance in many countries. Notably, countries
displayed substantial returns before and between holidays in
December, and January returns were substantial in most countries,
indicating a monthly seasonal pattern in ten countries.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Brooks and Persand (2001) examined the day-of-the-week

pattern in Southeast Asian stock markets and discovered significant
seasonal patterns in three out of five markets. This suggests that
market risk, measured by the return on the FTA World Price Index,
cannot fully explain this calendar anomaly. Kohers et al. (2004)
analyzed the day-of-the-week effect in major developed equity
markets and observed a diminishing anomaly in the 1990s, possibly
due to improvements in market efficiency.
Hourvouliades and Kourkoumelis (2010) examined the day-of-
the-week effect in regional equity markets during the financial crisis,
finding mixed evidence and varying levels of market inefficiency
across Greece, Turkey, Bulgaria, Romania, Ukraine, and Cyprus.
Gayaker et al. (2020) focused on the day of the week effect in
financial markets, particularly higher Friday returns compared to
Mondays, attributing it to settlement dates and the utilization of funds
in alternative markets before settlement.
Empirical evidence supports a decrease in the day of the week
effect as returns in alternative markets decline, indicating a positive
relationship between expected relative returns on Friday and Monday
returns (Gayaker et al. 2020). These studies shed light on the
presence, persistence, and potential influencing factors of the day of
the week effect in financial markets. Therefore, the null and
alternative hypotheses can be stated from the above literature review
that –
H0: There is no significant difference in average price change in all
days of week across different phases of economic crisis, against
H1: There is a significant difference in average price change in all
days of week across different phases of economic crisis.
Theoretical Background
Overview of the Financial Crises during the early 21st Century
In this section a brief overview of some economic crashes is
analyzed, which shall be the event periods to understand the day of
the week effect. This study considers a total of 12 stock market crises
in the early 21st century. A brief account of each financial crisis
events is provided in the discussion. The Euro zone Crisis (2009-
2018) was a financial crisis triggered by unsustainable levels of
public debt and economic weaknesses in several European countries.
The crisis led to bailout programs and austerity measures to address
the issues. Other significant events include the Dotcom Bubble

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

(2000), Turkish Economic Crisis (2001), September Attacks (2001),

Uruguay Banking Crisis (2002), Black Monday (2004), Financial
Companies Collapse (2006), Global Financial Crisis (2008),
Currency and Debt Crisis (2018), COVID-19 Crisis (2020), Sri
Lankan Economic Crisis (2021), Russia-Ukraine War (2022), and
Adani-Heisenburg Conflict (2023). The time horizons were decided
by following the support and resistance levels in the NIFTY 50 charts
(Tradingview, 2023).
Conceptual Framework
The ‘day of the week effect’ is analyzed in the present paper
during the various financial crisis events to understand the changes in
the returns of the days in the week, i.e., from Monday to Friday. The
Event window is collected by examining support and resistance levels
and comparing highs and lows on the daily nifty chart, and is
presented in the Table 1. The average price change shall be computed
as the return of day 𝑡 by using equation (1). The returns in each day
of the week are computed and thereafter the increase/decrease in
returns is computed as maximum and minimum in a week.
Thereafter, Friedman test is applied to test difference in mean returns
in all five days of week across different phases of economic crisis.
As the financial crises emerge, the shifts in the
investing/trading pattern of the individuals take place, which is
indicated by the change in the anomalies, one of which is studied in
this paper – ‘the day of the week effect’. Therefore, if the day of the
week effect changes significantly, it shall then indicate that the
markets are adaptive in nature, thus agreeing with the viewpoint of
Lo (2004).

Table 1. Event Window for the Period 2002-2023

Phase Event Name Year Period
1. Dotcom Bubble 2000 March, 2000 – December, 2003
2. Turkish Economic Crisis 2001 February, 2001 – April, 2001
3. September Attacks 2001 July, 2001 – October, 2001
4. Uruguay Banking Crisis 2002 December, 2001 – August, 2004
5. Black Monday 2004 May, 2004 – October, 2004
6. Financial Companies Collapse 2006 May, 2006 – October, 2006
7. Global Financial Crisis 2008 January, 2008 – December, 2013
8. Currency and Debt Crisis 2018 September, 2018 – April, 2019
9. COVID-19 Crisis 2020 March, 2020 – November, 2020

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Phase Event Name Year Period

10. Sri Lankan Economic Crisis 2022 January, 2022 – November, 2022
11. Russia-Ukraine War 2022 February, 2022 – November, 2022
12. Adani-Heisenburg Conflict 2023 January, 2023 – Present (18th May, 2023)
Source: Researcher’s collection from NIFTY 50 index

Objectives and Methodology

This section of the paper discusses the objectives and
research methodology followed in the study, including data and time
frame of the study. Detailed methodological issues in ascertaining the
differences in the week anomalies (i.e., maximum or minimum) shall
be discussed based on all the assumptions.

Objective of Study
The major objective of the study is to examine the presence
of the day of the week effect in the Indian stock markets during
economic crises.

Methodology
Data and Period of Study
The study considers the NIFTY 50 index to study the ‘day of
the week’ anomaly in the Indian stock market, for the period of 2002-
2023. The data was collected from NSE website and the financial
crises were identified from the from the daily price charts
(Tradingview, 2023). The daily returns were computed by using the
equation (1).

Computation of Average Price Change

The average price change in each day of the week were
computed by using the following formula:
𝑃𝑡
𝑅𝑡 = 𝑙𝑛 ( ) (1)
𝑃𝑡−1
In equation (1), 𝑅𝑡 is the return from the stocks for the
particular period. 𝑃𝑡 is the value of the index in month 𝑡 and 𝑃𝑡−1 is
the value of the index in the previous month (French, 1980;
Hourvouliades and Kourkoumelis, 2010). The daily returns were
categorized based on the different phases, as indicated by the events
presented in Table 1.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

The Friedman Test

Friedman (1937) proposed a test based on the mean ranks of
the data. The test is very useful as it does not consider any specific
probability distribution.
𝑘
12
𝑄= ∑ 𝑅𝑗2 − 3𝑁(𝑘 + 1) ~ 𝜒𝑘−1
2
(2)
𝑁𝑘(𝑘 + 1)
𝑗=1
In equation (2),
𝑘 = Number of groups;
𝑁 = ∑ 𝑛𝑖, The number of observations in all samples combined; and
𝑅𝑖 = Sum of the ranks of the 𝑗 𝑡ℎ column.

The Friedman’s F-statistic follows a Chi-Square distribution

with (𝑘 − 1) degrees of freedom (Yurtkoru, 2003). The main
advantage of this test is that, it does not follow any specific sampling
distribution; therefore, it can be used to compare any sample, which
did not follow any specific sampling distribution. Therefore, if the
data is not normally distributed, then this test is appropriate for
comparing more than two dependent groups (Armstrong and Hilton,
2011) Since there are abnormal events, the normality assumption is
dropped in the present study, and a non-parametric test is chosen to
understand the significant day of the week effect.

Analysis and Discussions

In this section, the research findings are discussed as per the
average price changes of the NIFTY 50 index as depicted in Table 2.
Analysis of the data reveals certain patterns. Mondays and Fridays
consistently showed the lowest returns, occurring 5 and 3 times,
respectively. Wednesdays and Thursdays had similarly low returns,
happening twice each. Examining the price volatility, the highest
levels were observed during Phases 2, 3, and 9. Notably, during Phase
9, Mondays exhibited the lowest returns. On the other hand, when it
came to maximum returns, Tuesdays stood out in Phases 1, 4, 8, 9,
11, and 12. Wednesdays and Thursdays recorded maximum returns
once and five times, respectively, across all phases. Phase 10
specifically showed Wednesdays with the highest returns, while
Thursdays had the highest returns in Phases 2, 3, 5, 6, and 7.

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Findings of Study
The p-value of the Friedman Chi-Square statistic was 0.004,
which is less than 0.05 (table 3). Therefore, the null hypothesis is
rejected that the daily returns are equal and that the day of the week
effect exists due to the financial crises. It can be observed from table
2, that the most volatile days are Wednesday and Thursday
respectively (after 2002). This may be probably due to introduction of
index options, as found by Mukherjee and Mishra (2006). Mondays
and Fridays have least returns, and the markets tend to move in a
negative direction, and the market tends to move in an upward
direction on Tuesdays.

Table 2. Average returns in weekdays across different phases

Phase Monday Tuesday Wednesday Thursday Friday
1. -12.50% 59.30% -8.10% -31.40% -7.00%
2. -181.90% -33.50% 158.20% 164.60% -102.60%
3. -11.00% 80.60% -135.50% 98.50% -30.80%
4. -83.50% 108.60% -52.60% 6.70% 21.80%
5. -5.70% 43.80% -33.50% 66.00% -70.00%
6. -87.80% 27.50% -25.30% 44.60% 41.70%
7. 18.70% 13.40% -79.10% 138.40% -89.60%
8. -4.80% 39.70% -37.90% -6.30% 9.50%
9. -118.90% 62.60% -26.60% 60.30% 23.70%
10. -23.90% 14.80% 26.90% -24.30% 6.50%
11. -26.00% 27.20% 7.00% -4.00% -4.10%
12. 0.00% 39.10% -27.80% 19.00% -30.10%
Source: Computed from data (NSE Historical Data Reports, 2023)

Table 3. Computation of Friedman statistic and significance test

Friedman Test
N 12
Chi-Square 15.2
Degrees of Freedom 4
p-value 0.004
Source: Computed by Researcher

Recommendation and Conclusions

The present study concludes that the day of the week effect
exists in the NIFTY 50 index and that the Wednesdays and Thursdays
are the most volatile days as the returns can be maximum and

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

minimum as well. During Mondays and Fridays, the market moves in

a downward direction, supporting the findings of Cross (1973). The
present study found that Tuesdays has the maximum returns, which
can be used for any trading strategy based on the day of the week
effect anomaly.
Stock market is the place of uncertainty. Therefore, the
present study can help the decision makers to take decisions under
uncertainty. Investors and traders can benefit with the outcomes of
the present study in order to make proper trading and investment
decisions.

References
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in microbiology: StatNotes. Wiley-Blackwell.
2. Brooks, C., & Persand, G. (2001). Seasonality in Southeast
Asian stock markets: Some new evidence on day-of-the-week
effects. Applied Economics Letters, 8(3), 155-158. doi:10.10
80/13504850150504504
3. Cross, F. (1973). The behavior of stock prices on fridays and
mondays. Financial Analysts Journal, 29(6), 67-69. doi:10.24
69/faj.v29.n6.67
4. Fama, E. F. (1970). Efficient capital markets: A review of
theory and empirical work. The Journal of Finance, 25(2), 383.
doi:10.2307/2325486
5. French, K. R. (1980). Stock returns and the weekend
effect. Journal of Financial Economics, 8(1), 55-69. doi:10.10
16/0304-405x(80)90021-5
6. Friedman, M. (1937). The use of ranks to avoid the assumption
of normality implicit in the analysis of variance. Journal of the
American Statistical Association, 32(200), 675-701. doi:10.1
080/01621459.1937.10503522
7. Gayaker, S., Yalcin, Y., & Berument, M. H. (2020). The day of
the week effect and interest rates. Borsa Istanbul
Review, 20(1), 55-63. doi: 10.1016/j.bir.2019.07.010
8. Kohers, G., Kohers, N., Pandey, V., & Kohers, T. (2004). The
disappearing day-of-the-week effect in the world's largest
equity markets. Applied Economics Letters, 11(3), 167-171.
doi:10.1080/1350485042000203797

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9. Kourkoumelis, N., & Hourvouliades, N. L. (2010). New

evidence for the day-of-the-Week effect in the financial
crisis. SSRN Electronic Journal. doi:10.2139/ssrn.1553667
10. Mukherjee, K. N., & Mishra, R. K. (2006). Effect of option
trading in Indian cash market: Empirical evidence from non-
price variables. SSRN Electronic Journal. doi:10.2139/ssrn.93
1095
11. NSE Historical Data Reports. (2023). Historical Data Reports.
Retrieved May 18, 2023, from https://www.niftyindices.co
m/reports/historical-data
12. Sharma, S. (2020). Impact of COVID-19 On 10+2 Level
Education. International Journal of Research and Analytical
Reviews, 7(4), 124-131. Retrieved from https://doi.one
/10.1729/Journal.25034
13. Tradingview. (2023). NIFTY 50 Chart. Retrieved May 20,
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bol=NSE%3ANIFTY
14. Yurtkoru, E. S. (2003). Friedman İKİ YÖNLÜ VARYANS
ANALİZİ UYGULAMASI: DEĞİŞİM GÜÇLERİNİN
KARŞILAŞTIRILMASI. Öneri Dergisi, 5(20), 231-237.
doi:10.14783/maruoneri.682271

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

CELLULOID JOURNEYS: EXPLORING THE

21 TRANSFORMATIVE POWER OF INDIAN

FILMS IN TOURISM PROMOTION
Mr. Annesh Bilas Thakur1, Mr. Sandip Chakraborty2
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.21

Abstract:
"Celluloid Journeys: Exploring the Transformative Power of Indian
Films in Tourism Promotion" is a paper that delves into the profound
impact of films like 'Zindagi Na Milegi Dobara' on tourism promotion
and the transformative experiences they create for travelers.

This research investigates how cinematic portrayals of travel and

destination experiences in films can influence tourist behavior and
shape their perceptions of specific locations. Focusing on the
critically acclaimed Bollywood film 'Zindagi Na Milegi Dobara' as a
case study, this study explores the ways in which the movie's
narrative, visuals, and characters resonate with viewers, inspiring
them to embark on their own transformative journeys.

Utilizing a multidisciplinary approach, the study investigates how

films like 'Zindagi Na Milegi Dobara' create a sense of aspiration,
escapism, and connection with viewers, leading to increased tourist
interest and visitations to the depicted destinations.

By uncovering the transformative power of films in tourism

promotion and destination experiences, this study provides valuable
insights for tourism marketers, filmmakers, and destination managers
seeking to harness the potential of cinema as a promotional tool. It
highlights the importance of narrative storytelling, visual aesthetics,
and emotional resonance in creating powerful connections between

1 Corresponding Author & Research Scholar at Amity School of Communication, Amity

University Kolkata and Assistant Professor of Media Studies at Institute of Leadership,
Entrepreneurship and Development (iLEAD)
2 Research Scholar of Tourism Studies at Amity University Kolkata and Assistant Professor

of Tourism Studies at Institute of Leadership, Entrepreneurship and Development (iLEAD)

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audiences and travel destinations, ultimately enhancing the overall

tourism experience.

Keywords: Celluloid Journeys, films, tourism, tourist promotion,

destination experiences, 'Zindagi Na Milegi Dobara', audience
reception, destination marketing, travel.

Introduction:

F ilms have always had a profound influence on popular culture,

shaping our perceptions, emotions, and aspirations. In recent
years, cinema has increasingly become a powerful tool for
promoting tourism and inspiring travel to various destinations. The
portrayal of captivating landscapes, exotic locales, and transformative
experiences on the cinematic screen has the ability to ignite
wanderlust and create a desire to explore the world. This paper aims
to explore the transformative power of films, focusing specifically on
movies like 'Zindagi Na Milegi Dobara' and their impact on tourism
promotion and destination experiences.
Cinema has a unique ability to transport viewers to different
places and immerse them in a narrative that evokes emotions and
desires. 'Zindagi Na Milegi Dobara' is a Bollywood film that takes
audiences on a journey through picturesque locations in Spain,
showcasing not only the physical beauty of the destinations but also
the transformative experiences of its characters. The film follows the
adventures of three friends as they embark on a road trip, exploring
their own personal growth, friendship, and self-discovery along the
way.
There are intricate connections between cinematic portrayals,
tourist behavior, and destination experiences. We want to understand
how the movie's narrative, visuals, and characters relate to viewers,
inspiring them to embark on their own journeys. A multidisciplinary
approach is used to untangle these connections. Through qualitative
analysis of audience reception, including discussions and reviews, we
gain insights into how the film influences viewers' perception and
desires. Interviews with tourists who were inspired by the film and
chose to visit the depicted destinations give valuable firsthand
accounts of the film's impact on their decision-making processes.
Content analysis of social media discussions surrounding the
film and destinations showcased in it helps us understand the reach
and influence of the film on a larger scale. By analyzing the online

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conversations and engagements related to the film and its shooting

locations, we can uncover the extent to which cinematic
representation contributes to increased tourist interest.
The study offers insights into the power of films, as well as
practical implications for tourism marketers, filmmakers, and
destination managers.
Understanding the mechanisms through which films
influence tourist behavior can inform tourism promotion strategies.
By aligning filmic representations with authentic destination
experiences, destination marketers can create compelling narratives
that appeal to audiences and enhance their overall tourism
experiences.

The Influence of Cinematic Portrayals on Tourist Behavior

Cinematic portrayals have a remarkable influence on tourist
behavior, shaping their perceptions, aspirations, and travel choices.
Films possess a unique ability to transport viewers to different places
and immerse them in captivating narratives and visuals, evoking
emotions and stirring a desire for exploration. The power of cinematic
storytelling lies in its ability to create a sense of connection and
identification with the characters and their experiences. As a result,
viewers often develop a deep emotional attachment to the depicted
destinations and are inspired to embark on their own travel
adventures.
When it comes to tourism promotion, films play a crucial role
in showcasing the beauty and uniqueness of destinations. Through
breathtaking visuals, films highlight the natural landscapes,
architectural marvels, and cultural heritage of a place, enticing
viewers to visit and experience it firsthand. The portrayal of iconic
landmarks, scenic vistas, and cultural traditions on the big screen
creates a visual spectacle that ignites wanderlust and captures the
imagination of audiences.
Furthermore, the narrative arcs and character journeys
depicted in films have the power to inspire and influence tourists'
behavior. Stories that revolve around personal growth, self-discovery,
and transformative experiences resonate deeply with viewers. Films
often depict characters embarking on life-changing adventures or
soul-searching journeys, which can inspire viewers to seek similar
experiences in their own lives. The desire to recreate the emotional

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and transformative impact portrayed on screen motivates individuals

to travel and explore new destinations.
One notable example of a film that has had a significant
influence on tourist behavior is 'Eat Pray Love.' Starring Julia
Roberts, the film tells the story of a woman who embarks on a
journey of self-discovery through Italy, India, and Bali. The
picturesque landscapes, vibrant cultures, and spiritual exploration
depicted in the film struck a chord with audiences worldwide. As a
result, the destinations featured in the movie witnessed a surge in
tourist arrivals, with travelers seeking to recreate the transformative
experiences portrayed in the film.
Similarly, Bollywood films have played a pivotal role in
promoting tourism, both within India and internationally. Movies like
'Dil Chahta Hai,' 'Zindagi Na Milegi Dobara,' and 'Dil Dhadakne Do'
have showcased stunning locations across India and around the
world. The colorful song sequences and visually appealing
cinematography in these films have captivated audiences and ignited
their curiosity to visit the depicted destinations. For instance, the
beautiful landscapes of Goa, Spain, and the Mediterranean showcased
in 'Dil Chahta Hai' have become popular tourist attractions, with
visitors flocking to these locations to relive the cinematic experience.
In addition to the visual appeal, films create a sense of
aspiration and escapism among viewers. They offer an opportunity to
temporarily escape from the realities of everyday life and immerse
oneself in a different world. The desire to live out the glamorous and
adventurous lives portrayed in films drives individuals to seek out
destinations that offer similar experiences. This phenomenon is
particularly evident in the influence of Hollywood films on tourist
behavior, where movie-induced tourism has become a significant
driver for travel to destinations featured prominently in films.
The influence of cinematic portrayals on tourist behavior
extends beyond mere inspiration. It also shapes tourists' expectations
and experiences when they visit the depicted destinations. Travelers
often arrive with preconceived notions influenced by the film,
expecting to find the same beauty, atmosphere, and emotional
resonance depicted on screen. This highlights the responsibility of
destination marketers and tourism authorities to manage and align the
visitor experience with the expectations created by films. It is crucial
to strike a balance between promoting the allure of the destination

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showcased in films while providing an authentic and fulfilling

experience for tourists.

A Case Study on ‘Zindagi Na Milegi Dobara’

Cinematic portrayal wields significant influence on tourist
behavior. Through compelling narratives, breathtaking visuals, and
emotionally resonant characters, films have the power to inspire,
motivate.
The focus on understanding how films like 'Zindagi Na
Milegi Dobara' can inspire viewers to embark on their own
transformative journeys.
Films have a powerful impact on viewers, transcending the
boundaries of time and space to create immersive experiences. They
can serve as a catalyst for personal growth and transformation,
offering viewers the opportunity to explore new perspectives and
embark on their own journeys of self-discovery. 'Zindagi Na Milegi
Dobara,' is a critically acclaimed Bollywood film, which exemplifies
the potential of cinema to inspire and ignite transformative
experiences in its viewers.
Directed by Zoya Akhtar, 'Zindagi Na Milegi Dobara' follows
the lives of three friends who embark on a road trip across Spain,
challenging their fears and seeking liberation from their personal
limitations. The film weaves a narrative of friendship, love,
adventure, and self-realization, resonating deeply with viewers who
are drawn to the themes of personal growth and seizing the moment.
One of the ways in which 'Zindagi Na Milegi Dobara' inspires
viewers is through its portrayal of the characters' emotional journeys.
The film delves into the fears, insecurities, and internal conflicts of its
protagonists, allowing viewers to connect with their struggles on a
personal level. As the characters confront their fears and embrace
new experiences, viewers are encouraged to reflect on their own lives
and consider their own unexplored desires and aspirations.
The film serves as a mirror through which viewers can
examine their own fears and barriers, igniting a desire for self-
discovery and transformation.
The visual storytelling and cinematography of 'Zindagi Na
Milegi Dobara' further enhance its inspirational impact. The film
showcases the stunning landscapes of Spain, including its picturesque
beaches, vibrant cities, and breathtaking countryside. The visuals
serve not only as a backdrop but also as a metaphor for the characters'

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inner journeys. The beauty and serenity of the locations depicted in

the film evoke a sense of wanderlust and a yearning for exploration
within viewers. They create a desire to immerse one-self in new
cultures, to break free from the mundane, and to embrace the richness
of life.
Moreover, the camaraderie and bond between the characters
in the film are a significant source of inspiration. The friendships
portrayed in 'Zindagi Na Milegi Dobara' exemplify the importance of
connection, support, and shared experiences. The film emphasizes the
transformative power of genuine relationships and the role they play
in shaping one's perspective and personal growth. This depiction of
deep friendship encourages viewers to reflect on their own
relationships and consider the transformative potential of nurturing
meaningful connections in their lives.
It is worth noting that the film's impact extends beyond its
narrative and visuals. 'Zindagi Na Milegi Dobara' incorporates music
as a powerful tool to evoke emotions and enhance the transformative
experience for viewers. The film features soul-stirring songs that
resonate with the themes of self-discovery, love, and living in the
present moment. The music serves as a medium to evoke emotions
and deepen the connection between the viewers and the characters,
further inspiring viewers to reflect on their own lives and embrace
transformative experiences.

Harnessing the Transformative Power of Films for Tourism

Promotion and Destination Experiences
The investigation of the influence of films on tourist behavior
and destination choices, such as the analysis of films like 'Zindagi Na
Milegi Dobara', provides valuable insights for tourism marketers,
filmmakers, and destination managers who aim to harness the
potential of cinema as a promotional tool.

Here are some key insights that can inform their strategies:
1. Understanding Audience Perceptions: Research on film-
induced tourism helps tourism marketers and destination
managers understand how audiences perceive and interpret
cinematic representations of destinations. This knowledge
allows them to align their promotional efforts with the
expectations and desires of potential visitors. By gaining
insights into the specific elements of films that resonate with

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audiences, marketers can craft targeted messages and

experiences that leverage the emotional connections established
through cinema.
2. Narrative Storytelling: Films are powerful mediums for
narrative storytelling. The study of films like 'Zindagi Na
Milegi Dobara' highlights the importance of storytelling in
creating impactful connections with audiences. Tourism
marketers can draw inspiration from the narrative structures,
character arcs, and emotional journeys depicted in films to
create compelling destination narratives that evoke a sense of
adventure, personal growth, and transformative experiences.
This storytelling approach can captivate audiences and inspire
them to visit the destinations showcased in the films.
3. Visual Aesthetics and Cinematography: The visual aesthetics
and cinematography of films play a significant role in creating
a visual imprint on viewers' minds. Understanding the impact
of visual elements in films like 'Zindagi Na Milegi Dobara' can
guide destination managers and filmmakers in highlighting the
unique beauty and attractions of their locations. By leveraging
visually striking imagery and incorporating cinematographic
techniques that capture the essence of the destination, they can
enhance the visual appeal of their promotional materials and
evoke a sense of wanderlust in potential visitors.
4. Emotional Resonance: Films have the power to evoke emotions
and create a deep connection with audiences. The study of
film-induced tourism reveals how emotional resonance
influences tourist decision-making processes. Destination
managers and filmmakers can strive to create authentic and
emotionally resonant experiences that align with the themes
and emotions portrayed in films. By tapping into the
aspirations, desires, and emotions of viewers, they can develop
promotional campaigns that forge powerful connections and
compel audiences to visit the destinations featured in the films.
5. Collaboration Opportunities: Film-induced tourism offers
opportunities for collaboration between tourism marketers,
filmmakers, and destination managers. By working together,
they can create synergistic promotional campaigns that
leverage the reach and impact of films. Filmmakers can
collaborate with tourism authorities to showcase destinations in
their films, while destination managers can provide support and

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resources to filmmakers for location filming. This collaboration

can amplify the promotional efforts and create a cohesive
narrative that enhances the appeal of the destination to potential
visitors.

Thus, the investigation of film-induced tourism provides

valuable insights for tourism marketers, filmmakers, and destination
managers. These insights can guide their strategies in utilizing the
potential of cinema as a promotional tool. By understanding audience
perceptions, embracing narrative storytelling, leveraging visual
aesthetics, creating emotional resonance, and fostering collaboration,
they can effectively tap into the transformative power of films to
promote destinations and create memorable experiences for tourists.
To leverage films like 'Zindagi Na Milegi Dobara' in tourism
promotion campaigns and destination branding strategies, it is crucial
to align filmic representations with authentic destination experiences.
Here are some practical recommendations to achieve filmic
representations with authentic destination experience:
1. Collaborate with Filmmakers: Establish partnerships and
collaborations with filmmakers to showcase your destination in
their films. Provide incentives and support to encourage them
to choose your location as a backdrop for their storytelling.
This collaboration can enhance the visibility and appeal of your
destination, leveraging the film's reach and influence to attract
tourists.
2. Authenticity in Film Production: Encourage filmmakers to
accurately portray the unique cultural, historical, and natural
aspects of your destination. Ensure that the film's narrative and
visuals reflect the authentic experiences that visitors can expect
when they visit. Authenticity creates a sense of trust and
credibility, enhancing the overall tourism experience and
generating positive word-of-mouth recommendations.
3. Destination Familiarization Tours: Organize familiarization
tours for filmmakers, actors, and crew members to immerse
themselves in the destination's atmosphere. This firsthand
experience allows them to capture the essence of the location
and create more authentic representations in their films.
Additionally, these tours provide opportunities for filmmakers
to interact with local communities, fostering a deeper
understanding of the destination's cultural heritage.

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4. Strategic Product Placement: Identify key attractions,

landmarks, and experiences within your destination that can be
featured prominently in films. Integrate these elements
seamlessly into the film's narrative, allowing viewers to
connect with the destination on an emotional level. Strategic
product placement can pique the interest of audiences and
generate curiosity about the destination, ultimately driving
tourism.
5. Engage with Audiences: Leverage the popularity of films like
'Zindagi Na Milegi Dobara' to engage with audiences through
social media campaigns, contests, and interactive experiences.
Encourage viewers to share their own transformative
experiences inspired by the film and their visits to your
destination. User-generated content and testimonials can
enhance the authenticity and credibility of your destination's
branding.
6. Collaborative Marketing Efforts: Collaborate with tourism
stakeholders, including hotels, travel agencies, and local
businesses, to develop integrated marketing campaigns that
align with the film's themes and visuals. Create packages and
itineraries that allow visitors to retrace the footsteps of the
film's characters and experience similar transformative
journeys. This collaborative approach enhances the overall
tourism experience and strengthens destination branding.
7. Monitor and Evaluate Impact: Continuously monitor and
evaluate the impact of the film on tourism metrics, such as
visitor numbers, length of stay, and visitor satisfaction. Collect
feedback from tourists and measure the effectiveness of the
film in inspiring their travel decisions. Use this data to refine
and improve future tourism promotion and branding strategies.

Leveraging films like 'Zindagi Na Milegi Dobara' in tourism

promotion campaigns and destination branding requires aligning
filmic representations with authentic destination experiences. By
collaborating with filmmakers, ensuring authenticity, organizing
familiarization tours, strategically placing destinations in films,
engaging with audiences, collaborating with tourism stakeholders,
and monitoring impact, destination marketers can harness the
transformative power of films to enhance overall tourism experiences
and attract visitors.

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Conclusion
In conclusion, the potential for leveraging the transformative
power of films for tourism promotion and destination experiences is
significant and holds promising future trends and advancements. As
technology continues to evolve and audience preferences shift, there
are several key reflections on the potential future of this field:
Virtual Reality (VR) and Augmented Reality (AR): The
integration of VR and AR technologies offers exciting possibilities
for enhancing the immersive nature of film-induced tourism. By
allowing viewers to virtually explore destinations and interact with
filmic representations, these technologies can provide a more
engaging and realistic experience. This can be particularly useful for
potential tourists who are unable to visit the destination physically or
for promotional purposes at trade shows and events.
Interactive and Personalized Experiences: The future of film-
induced tourism lies in creating interactive and personalized
experiences. By using data analytics and AI algorithms, tourism
marketers can tailor promotional campaigns and destination
experiences based on individual preferences and interests. This
customization can create a deeper emotional connection between the
audience and the destination, increasing the likelihood of visitations.
Collaborative Storytelling: As audience engagement becomes
more interactive, the future of film-induced tourism may involve
collaborative storytelling. This includes involving tourists and visitors
in the creation and sharing of their own stories and experiences
inspired by films. User-generated content, social media campaigns,
and immersive storytelling platforms can facilitate this collaborative
approach, allowing for a more diverse and inclusive representation of
destination experiences.
Sustainable and Responsible Tourism: With increasing
awareness of sustainability and responsible tourism practices, the
future of film-induced tourism will likely prioritize destinations and
films that align with these principles. Filmmakers, destination
managers, and tourism marketers will need to consider the
environmental, social, and cultural impacts of their collaborations.
This can involve showcasing destinations that promote sustainable
practices or featuring stories that highlight responsible tourism
behaviors and community engagement.
Cross-cultural Exchanges: Films have the power to bridge
cultures and foster cross-cultural exchanges. In the future, there may

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be more collaborations between filmmakers from different countries,

resulting in films that showcase diverse destinations and cultural
experiences. This can promote cultural understanding, global
connectivity, and stimulate tourism between countries, attracting
visitors who are intrigued by the portrayed cross-cultural interactions.
Integration of New Media Platforms: The rise of streaming
platforms and digital content consumption has transformed the way
films are accessed and consumed. In the future, tourism marketers
and destination managers will need to adapt to these changing media
landscapes. Integrating promotional content within streaming
platforms, developing interactive mobile applications, and utilizing
social media influencers can amplify the reach and impact of film-
induced tourism campaigns.
In summary, the future of leveraging the transformative
power of films for tourism promotion and destination experiences lies
in embracing technological advancements, personalization,
collaborative storytelling, sustainability, cross-cultural exchanges,
and adapting to new media platforms. By staying attuned to these
trends and advancements, tourism marketers, filmmakers, and
destination managers can effectively harness the potential of cinema
as a promotional tool, creating powerful connections with audiences
and enhancing the overall tourism experiences for visitors.

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A COMPARATIVE STUDY OF ONLINE

22 SHOPPING CONSUMER PERCEPTION ON

MYNTRA, FLIPKART, AND AMAZON
Ms. Niyasha Patra1, Labani Mitra2, Sourav Kumar Das3
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.22

Abstract
The current study compared the consumer perception of buying on
Amazon, Flipkart, and Myntra. These three are the major participants
on the e-commerce platform and have established themselves. 100
respondents provided the primary data, and secondary data was
gathered from a variety of sources, including numerous corporate
websites and published papers. The study's goals were to learn how
respondents shop online, which websites they prefer, what payment
methods they use, what products they search for most frequently,
which e-commerce sites offer the best prices, when respondents
prefer to shop online, and what issues they encounter. The study's key
conclusions are that price, preferred and also suggestion or peer
preference.

Keywords: Amazon, Flip Kart, Myntra, online shopping, consumer

behavior

INTRODUCTION

S
imilar to the telephone and television, the internet was
promoted as a revolutionary invention of the twentieth century.
Internet is now practically a household word in India. The
World Wide Web and the Internet have quickly come to be
recognized as the most important sources of information,
entertainment, communication, and business. Today, everyone needs
access to the internet. The notions of e-business and e-commerce
have grown as a result of the widespread use of the Internet. The

1 Assistant Professor, Department of Computer Science and Technology, Institute of

Leadership, Entrepreneurship and Development, Kolkata
2 Accounts Officer, West Bengal Government Press
3 Corresponding Author & Assistant Professor, Department of Management Studies,

Institute of Leadership, Entrepreneurship and Development (iLEAD), Kolkata

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country's population will thus be able to benefit from web technology

if the internet is expanded more widely throughout the nation, which
will also help it become a significant role in the developing global
economy.
The internet has expanded throughout time to include smaller
cities and socially underprivileged areas. Initially only available in the
homes of the wealthy, internet has now made its way to the middle
class because to declining PC and telephone costs. Many
organizations now have a new channel to connect with their clients,
suppliers, and business partners thanks to the internet. Customers and
businesses are conducting business on the internet thanks to this. It is
now the first search stop for the younger generation or the client of
the future. Being on this platform is more crucial for all types of
businesses, if these companies do not show up in their customers'
search results.
E-commerce has emerged as a successful agent of company
strategy and a catalyst in global economic growth as globalization has
sufficiently impacted the international economy. Information and
communication technology, or ICT, is successfully transforming
corporate operations within the firm and fostering direct ties with
customers. By increasing productivity, encouraging customer
interaction, and, finally, offering mass customisation at lower costs,
ICT has also demonstrated its effectiveness.
The differences between traditional marketplaces and the
global electronic marketplace, such as corporate capital size, among
others, are gradually fading as a result of advancements in the internet
and web-based technology. Since the beginning of business
communities, the ways of doing business have changed. The original
period's barter system has given way to e-business. The development
and incorporation of ICT into enterprises was responsible for this
transition. The modern business sector is undergoing a significant
shift in order to adapt to the network economy's problems. The
essence of society and the underlying economic structure are
changing drastically right now. No matter how simple, information
and communication technology (ICT)-based business principles are
the cornerstone of all economies.
This is an effective and efficient way of communicating within
an organization and one of the most effective and useful ways of
conducting business.

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SURVEY OF LITERATURE
In his research article "An Online Shopping Change the
Traditional Path of Consumer Purchasing," Ashish Pant (2014) came
to the conclusion that a successful web store emphasizes relationship-
building with customers in addition to having a visually appealing
website with cutting-edge technical features. Any e-tailer company's
performance in India depends on factors like how well-known it is,
how well-known its brand is, how innovative and fair its policies are,
how well-received its customers are, etc.
The study "A Study on Online Buying Behavior with Special
Reference to Coimbatore City" by Saravanan S. and Brindha Devi K.
(2015) examined the preferences and issues of online customers
across different online retailers. Internet buying becomes smarter as
computer knowledge increases. Their knowledge of the internet also
puts them in a better position to recognize and select items and
services.
Francis Sudhakar K. and Habeeb Syed (2016) did a study to
critically assess several corporate and business level strategies of two
major retailers, namely Flipkart and Amazon. The study is titled "A
Comparative study between Flipkart and Amazon India". E-
commerce issues, their company strategy, funding, income
generation, growth, survival strategies, online shoppers' experiences,
value added distinction, and product offers have all been taken into
consideration while comparing. These two significant figures each
left their impact in India. Amazon was declared the winner of the
survey, completely satisfying the customer.
Online customers have high expectations for online retailing, as
defined by Chaffey (2006). Logistics, information security and
privacy, timeliness, availability, comfort, and customer service are the
main areas.
Nine criteria linked with people' opinions of online purchasing
were derived from a study by Vellido et al. in 2000. Users'
perceptions of risk were found to be the primary differentiator
between those who purchase online and those who do not.

OBJECTIVES OF STUDY
The study's aims are as follows:
• To comprehend the growth and development of India's e-
commerce sector.

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• To investigate how demographic characteristics affect

customers' decision to shop online.
• To understand how Amazon, Flipkart, and Myntra operate in
India.
• To examine how consumers perceive Amazon, Flipkart, and
Myntra when making purchases
• To make appropriate recommendations for the various e-
commerce portals to improve customer service.

RESEARCH METHODOLOGY
Data Collection
Keeping in mind of the above stated objectives data has been
collected from both sources primary and secondary data. Sample size
of this study is 100.

Primary Data
Direct interviews, observations, and face-to-face interactions were
used to gather primary data. In essence, the questions posed were
designed to generate information useful for research. To further
understand their experiences and preferences for their devoted
company, data were gathered through questionnaires.

Secondary Data
Secondary data was collected from research bulletin, journals,
companies’ concerned websites etc.

Data Analysis
After collecting primary and secondary data simple percentage
method has been applied.

Table 1. DEMOGRAPHICS:
Variables Measuring Frequency Percentage
group
Age 15-25 45 45
25-35 30 30
35-45 15 15
45 and above 10 10
Total 100 100
Gender Male 43 43
Female 57 57
Total 100 100

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Interpretation:
According to the aforementioned table, out of 100 respondents,
45% are between the ages of 15 and 25, 30% are between the ages of
25 and 35, 15% are between the ages of 35 and 45, and 10% are over
the age of 45.
We can observe that the majority of respondents who shop
online are between the ages of 15 and 25, and they are all obviously
students. Additionally, 30% of people in the 25–35 age bracket are
proficient internet shoppers. Additionally, it has been discovered that
all of these individuals are drawn to e-commerce websites that
provide a large variety of goods globally. We also take gender into
account while analyzing demographic data.
Online purchasing preference is observed to be more prevalent
among female respondents than male respondents. Therefore, it can
be deduced that customers can buy various and unavailable overseas
products online based on their preferences, making online shopping
simple and time-saving.

ANALYSIS AND DISCUSSIONS

Table 2. How Often Respondent Shop Online
Valid Frequency Percent Cumulative
Percent
Once in a month 26 26 26
Once in two month 36 36 62
More frequently 16 16 78
Very rare 22 22 100
Total 100 100

Interpretation:
It can be deduced from the above table that 36% of
respondents are so regular that they purchase online at least once
every two months, which can provide e-commerce marketers with
additional opportunities to succeed in the current market
environment.

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Table 3 Preferred Online Site By Respondent

Valid Frequency Percent Cumulative
Percent
Flipkart 39 39 39
Amazon 39 39 78
Myntra 14 14 92
Others 8 8 100
Total 100 100
Interpretation:
The preceding table indicates that 78% of respondents have
an equal preference for Amazon and Flipkart. Even though Myntra
offers significant discounts as compared to its rivals, the other e-
commerce businesses, including others (8%) and Myntra (14%) are
unable to compete with Amazon and Flipkart.
Table 4 Respondent Payment Method
Valid Frequency Percent Cumulative
percent
Debit card 24 24 24
Credit card 15 15 39
Cash on delivery 54 54 93
Myntra wallet 7 7 100
Total 100 100
Interpretation:
According to the above data, 54% of respondents chose cash
on delivery as their preferred payment method when asked about how
they pay for their online purchases since they believe it to be the
simplest and most convenient option.
Table 5 Products That Are Mostly Searched By Respondent
Valid Frequency Percent Cumulative
percent
Beauty products 32 32 32
Electronics and 32 32 64
gadgets
Appliances 8 8 72
Fashion 8 15 87
Sports and more 15 13 100
Total 100 100

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Interpretation:
We can deduce from the preceding table that 32% of
individuals equally seek for appliances and beauty products. The
remaining online products, including those in the supplied categories
for Appliances (8%), Fashion (15%), and Sports and more (13%) are
the least popular.
Table 6 Respondent Is Most Impressed With Which E-Commerce
Site
Valid Frequency Percent Cumulative
percent
Flipkart 42 42 42
Amazon 48 48 90
Myntra 10 10 100
Total 100 100

Interpretation:
According to the above table, Amazon is preferred by 48% of
respondents, while Flipkart is preferred by 42% of them. And since
Flipkart and Amazon are the two biggest online retailers in India,
Myntra cannot even be considered as a competitor.
Table 7 Respondent Is More Satisfied With Which Site Pricing
Valid Frequency Percent Cumulative
percent
Flipkart 42 42 42
Amazon 43 43 85
Myntra 15 15 100
Total 100 100

Interpretation:
The aforementioned table indicates that consumers are
primarily impressed by pricing, with Amazon only outperforming the
competition by 1%. Myntra also falls short in this area and cannot
compete with the best.

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Table 8 Occasions Preferred By Respondent To Do Shopping

Valid Frequency Percent Cumulative
percent
Festival 20 20 20
To gift 14 14 34
Offers 55 55 89
Wedding 11 11 100
Total 100 100

Interpretation:
It is clear from the above table that 55% of consumers like
online shopping above other options such as festivals (20%), gift-
giving (14%) or weddings (11%), whenever these offer great prices
and offers. Offers are actually shown to be enticing customers to the
point where they make more purchases out of desire than necessity.

Table 9 Respondents Faced Problem With

Valid Frequency Percent Cumulative
percent
Delay in delivery 29 29 29
Cheap quality of a
product 44 44
Product damage 15 15 73
Non-delivery 12 12 88
Total 100 100 100

Interpretation:
According to the above data, the majority of respondents
(44%) have issues with product quality, followed by the element of
product delivery delay (29%) for which they have problems.

Table 10 Cross Tabulation Of Gender And How Often They shop

Online
Gender Once in Once in More Very Total
respondent a month two frequently rare
month
Male 12 16 8 7 43
Female 15 22 8 12 57

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Interpretation:
According to the above data, out of 100 respondents, women
were perceived to be more interested in online shopping than men.
Male respondents make regular purchases, whereas female
respondents shop online at least once every two months.

Table 11 Cross Tabulation Of Age And Payment Method

Age Debit Credit Cash on Myntra Total
respondent card card delivery wallet
15-25 9 8 24 - 41
25-35 5 2 17 2 26
35-45 5 3 3 2 13
45 and above 5 2 10 3 20
Total 24 15 54 7 100

Interpretation:
We can see from the above table and graph that the majority
of respondents in the 15–25 and 25–35 age groups choose the cash on
delivery option over the other options. The age group above (46 years
and over) is also of the opinion that payments should be made using
cash-on-delivery services. The following age group (35-45 years) is
demonstrating persistence in using debit cards.

Table 12 Cross Tabulation Of Gender And Products Searched

Gender Beauty Electronics Appliances Fashion Sports Total
products and and
gadgets more
Male 5 20 4 6 7 42
Female 27 12 4 9 6 58
Total 32 32 8 15 13 100

Interpretation:
From the aforementioned table and graph, it is clear that
women favor cosmetic items above the other products shown in the
graph, while men are more likely to look for electrical gadgets.

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Table 13 Cross Tabulation Of Gender And E-Commerce Site

Impression
Gender Flipkart Amazon Myntra Total
Male 20 19 5 44
Female 22 29 5 56
Total 42 48 10 100

Interpretation:
According to the aforementioned table and graph, Flipkart is
leading among male respondents in the poll, while Amazon is leading
among female respondents (29%) compared to the other major Indian
e-commerce businesses.
Table 14 Cross Tabulation Of Gender And Price Satisfaction
Gender Flipkart Amazon Myntra Total
Male 20 14 13 47
Female 22 29 2 53
Total 42 43 15 100
Interpretation:
From the above table and graph, we can see that 20% of the
male respondents chose Flipkart as their preferred price-satisfactory
shopping site, and that they also clearly depended on Myntra. In
contrast, the female respondents who took part in this survey chose
Amazon because they thought it was more price-satisfactory than
Flipkart, and they did not place as much importance on Myntra.
Table 15 Cross Tabulation Of Age And Occasions
Age Festivals To gift Offers Weddings Total
respondent
15-25 1 5 19 3 28
25-35 6 1 13 2 22
35-45 6 5 17 4 32
45 and above 7 3 6 2 18
Total 20 14 55 11 100

Interpretation:
We may infer from the above table and graph that
respondents in the 15–25 and 35–45 age groups are more interested in
purchasing during deals offered by online shopping sites than on

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special events like festivals, weddings, etc. Age groups 45 and

beyond have expressed a strong desire in making purchases while the
holiday season is still going on, as have respondents between the ages
of 25 and 35 (who are likely employees).

Table 16 Cross Tabulation Of Age And Problems

Age Delay Cheap Product Non- Total
respondent in quality of a damage delivery
delivery product
15-25 10 20 - - 30
25-35 9 15 7 4 35
35-45 7 4 4 3 18
45 and 3 5 4 5 17
above
Total 29 44 15 12 100

Interpretation:
We can observe from the aforementioned table and graph that
respondents between the ages of 15 and 25 primarily criticize the low
quality of a product as well as the delivery time aspect. The
subsequent age group (i.e., 25–35) likewise has grievances about the
quality of the goods they have purchased from online retailers.

Findings of study
The outcomes from the respective tables:
➢ According to Table 1.1, 36% of respondents are so frequent
shoppers that they go shopping at least once every two months.
➢ Table 1.2's findings show that 78% of respondents preferred
both Amazon and Flipkart equally, while the remainder of the
e-commerce industry is far behind to compete with the major
giants.
➢ Table 1.3: Based on the table, we can see that 54% of
respondents preferred the cash-on-delivery approach as their
preferred payment option.
➢ Table 1.4 shows that buyers looked for beauty products and
appliances equally, accounting for 32% of all searches, while
customers searched the least for other online goods.
➢ Table 1.5 shows that, with a 48% higher satisfaction rating than
Flipkart and Myntra, customers are more pleased with
Amazon's performance.

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➢ According to Table 1.6, the majority of people are impressed

with Amazon, which is only 1% ahead of the competition in
terms of price satisfaction.
➢ Table 1.7 shows that, in contrast to the other variables, 55% of
online customers prefer to shop online when there are attractive
discounts and offers accessible there.
➢ Table 1.8 reveals that 29% of respondents experience delays in
receiving their orders, followed by 44% of respondents who
have issues with product quality.
➢ Table 1.9 shows that out of 100 respondents, women were
found to be more interested in online shopping than men. This
conclusion can be drawn from the cross-tabulation.
➢ Table 1.10 shows that the majority of persons in the 15–25 and
25–35 age groups prefer the cash on delivery option over the
other options, according to the cross tabulation.
➢ Table 1.11 shows that the cross tabulation indicates that while
women choose beauty products over other online products,
men do seek for more electrical gadgets.
➢ Table 1.12 shows that, according to the cross-tabulation, men
are more impressed with Flipkart, while women are more likely
to use Amazon.
➢ Table 1.13 shows that, according to the cross tabulation, men
prefer Flipkart as a price-satisfactory buying destination,
whereas women prefer Amazon since it offers better prices
than other e-commerce sites.
➢ Table 1.14 shows that respondents in the 15–25 and 35–45 age
groups are interested in buying during sales, whereas
respondents in the 45+ age group are more interested in buying
during the holiday season.
➢ Table 1.15: The cross tabulation shows that the majority of
complaints are related to a product's low quality as well as the
delivery delay issue.
➢ Compared to male respondents, female respondents are more
interested in purchasing online.
➢ Customers favor purchasing high-quality goods from e-
commerce websites, even if they are slightly more expensive.
➢ Flipkart is working really hard to overtake Amazon India, but
the battle is fierce.
➢ Amazon is in the lead in every survey question, including
pricing, favorite, and recommending to friends.

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➢ Because of the poor product quality and limited product

selection that cause it to lose customers, Myntra needs to pay
attention to both its products and customer service.
➢ Without a question, Flipkart and Amazon had a significant
impact on consumers and attracted a following of devoted
customers. They are prepared to recommend their internet store
to the rest of their pals.
➢ The advertisements for Flipkart and Amazon India were both
highly creative and appealing.
➢ Every age group of individuals is intrigued in offers, regardless
of whether they are in need or not, and both companies are
spending a lot of money on advertising and promotions.

Recommendations
Flipkart needs to exercise caution when it comes to the
packaging system, which can be enhanced. Whatever the product's
size, it must be handled carefully to minimize the possibility that it
would be discovered damaged after delivery. Sometimes, clothing
that was ordered from Flipkart is seen to be delivered with the
original packaging from vendors, demonstrating the staff's
irresponsibility. On the other hand, Amazon has demonstrated that
they can deliver quality services to customers, as evidenced by the
fact that they are rated better by survey respondents than Flipkart.
Although they are offering sizable discounts, Myntra should
improve the security and dependability of their payment options for
end users since it is too low to be competitive enough with these two
e-commerce behemoths. Immediate Payment Service (IMPS) has
evolved into UPI. Through this internet payment method, money can
be rapidly transferred from one person to another using a smartphone.
Funds can be sent and received using the UPI network. The system
was launched in April 2016 by Raghuram Rajan, who was the RBI
Governor at the time.
By eliminating the burden of entering banking passwords and
credit card or debit information, UPI streamlines the payment
process. The customer must take the following steps in order to use
UPI:
1. Download the UPI application from the Play Store and install
in his/her phone;
2. Create an application login;
3. Create virtual address;

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4. Add customers’ bank account;

5. Set M-Pin;
6. Start transacting using UPI

With the help of an address that looks like an email, UPI

provides a service to identify bank customers. The "virtual address"
operates on a single-click two-factor technique of authentication and
serves as a payment identifier for financial transactions. It is possible
to use numerous bank accounts and multiple virtual addresses, and to
conduct different types of transactions without always going through
a customer's own bank.
Instead of paying cash for home delivery from online retailers,
customers can utilize the UPI app. Customers can pay normal utility
bills, OTC payments, fees, and other charges using the UPI app. More
than 150 merchants have already joined the UPI platform, and major
e-commerce organizations are also joining. The initial test has been
done by Flipkart. Soon, Amazon is anticipated to join. UPI appears to
be beginning to target more customers and retailers. Daily
transactions have increased since demonetization.
The fact that mobile wallets like Myntra, PayU, ItzCash, and
MobiKwik have been around for a while now gives them a significant
advantage over UPI. With this first-mover advantage, they were able
to stay ahead of UPI following the demonetization and assist their
consumers in using any e-portal to purchase airplane tickets, pay for
taxi rides, pay for groceries, and shop for other products. The mobile
wallets, in contrast to UPI, serve as a bridge between the bank and
suppliers. As a result, a customer must continuously top off his or her
account via online or mobile banking, raising security concerns.

Conclusion
In order to determine how three e-commerce sites rank among
consumers, a thorough investigation of sites like Flipkart, Amazon,
and Myntra was done as part of the poll. The commercial growth that
they are pursuing day by day is very commendable by expanding
networks internationally. The rapport they were able to establish with
the customers made them feel more at ease and friendly when making
online purchases. According to the survey, Amazon emerges as the
winner, narrowly defeating flipkart and giving Myntra a more
difficult time of it. Even though Flipkart is a younger business than
Amazon, it still needs to improve the services it offers to customers.

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And Myntra doesn't fare well against the competition. Even if it

might take some time to resolve, it is undeniable that these three
various e-commerce agents are doing exceptionally well in the
current e-commerce sector.

References
1. Pant,A (2014), “An Online Shopping Change the Traditional
Path of Consumer Purchasing”, International Journal of
Business and Management Invention, 3(2), 39-42.
2. Chaffey, D. et al. (2006). Internet Marketing Strategy,
Implementation and Practice. New York: Pearson Education.
3. Francis Sudhakar K, Habeeb Syed (2016), “A Comparative
study between Flipkart and Amazon India”, International
Journal of Research in Regional Studies, Law, Social Sciences,
Journalism and Management Practices, 1(8), 3-11.
4. Ray, N & Ghosh, D (2017): Online Banking Service: A Boon
or Bane?, Asian Journal of Research in Banking and Finance,
7(5), 179-194
5. Ray,N & Patra, G(2017), A Study on Online Shopping
Behavior: Issues and Prospects, Asian Resonance,6(3), 14-21
6. Saravanan S & Brindha Devi K (2015), “A Study on Online
Buying behavior with special reference to Coimbatore city”,
International Journal of Commerce, Business and Management,
4(1), 2-8
7. Vellido, A., Lisboa, P. J. G., & Meehan, K. (2000).
Quantitative characterization and prediction of on-line
purchasing behavior: A latent variable approach. International
Journal of Electronic commerce, 4(4), 83-104
8. Wolfinbarger, M., & Gilly, M. C. (2003). EtailQ:
Dimensionalizing, measuring and predicting retail quality.
Journal of Retailing, 79(3), 183-198. http://dx.doi.org/10.1016
/S0022- 4359(03)00034-4

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ENVIRONMENTAL IMPACT OF CULTURAL

23 TOURISM ON HOST COMMUNITY:

EVIDENCE FROM WEST BENGAL
Mr. Suraj Sharma1, Mr. Swarnendu Das2, Dr. Nilanjan Ray3,
Ms. Niyasha Patra4
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.23

Abstract
The main purpose of the paper is to identify the major challenges of
over tourism in cultural tourism in the Shantinekatan, West Bengal.
This study analyses the environmental impact on the host community
people in the area of Shantinekatan, West Bengal. The prime
objective of the study is to first understand the environmental factors
of tourism in the, and thereafter the impact of these factors was
regressed upon the opinion of the perception of host community of
the town. The present study uses the principal components analysis
for the purpose of understanding the environmental factors of
tourism. Thereafter, a multiple linear regression model was applied
on the host community as the dependent variable and the
environmental factors as the independent variables. Findings indicate
that an attractive cultural and eco-friendly environment is highly
appealing to tourists, especially during cultural and festive occasions.
However, indigenous activities and the rural culture are sometimes
discouraged or disrupted by urban tourists, leading to environmental
degradation. Lack of government initiatives, trained manpower, and
marketing knowledge hinder the employment potential in tourism.
Insufficient hotels, car parking facilities, tourist guides, safety
measures, and proper promotion affect the tourist experience.
Sanitation, hygiene, transportation, and infrastructure issues also need

1 Assistant Professor, Department of Management Studies, Institute of Leadership,

Entrepreneurship and Development (iLEAD), Kolkata
2 UG Student, Bachelor of Business Administration, Department of Management Studies,

Institute of Leadership, Entrepreneurship and Development (iLEAD), Kolkata

3 Associate Professor, Department of Management Studies, Institute of Leadership,

Entrepreneurship and Development (iLEAD), Kolkata

4 Assistant Professor, Department. of Computer Science and Technology, Institute of

Leadership, Entrepreneurship and Development (iLEAD), Kolkata

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

attention. Overall, there is a need for improvement in various aspects

to enhance the tourism industry in the study area.

Keywords: Cultural Tourism, Environmental Impact, Santiniketan.

Introduction

T here are various sectors of tourism such as cultural tourism,

economic tourism, socio-cultural tourism, demographic
tourism, industrial tourism, geological tourism. Cultural
tourism is one of the most important contributors in the growth of an
economy, as it is the cultural perception that urges tourists to make
the place as their destination visit. Studies have shown that it is an
indicator of the upliftment of the economy, as the increase in cultural
tourism is the indicator of the upgradation of the living standards of
the community (Angelini et al., 2020). Several studies have shown
some negative effects (Diaz-Parra and Jover, 2020) as well as positive
effects of tourism on host communities (González-Pérez, 2019).
Positive effects were found as tourism gentrification and over tourism
was found to be one of the major negative effects. Over tourism is a
phenomenon that leads to a negative perception of the visitors
towards a particular destination (Peeters et al., 2018), which in turn
may affect the socio-economical and environmental hindrance to the
smooth flow of operations, as Sequera and Nofre (2018) state that
tourism in cities (European) are usually not free from social, and
other economical impacts.
Various aspects of Cultural tourism in west Bengal create
distinct recognition to impress ethnicism in the tourism industry. Ray
et al. (2012) explored rural tourism in West Bengal, which found that
awareness of rural and spiritual tourism was rapidly increasing.
Various destinations such as Shantiniketan in West Bengal, are highly
associated with handicrafts (Rani and Sofique, 2019).
The present study is an attempt to analyze the impact of rural
tourism in the host community in the area of Shantiniketan, West
Bengal, which can provide further factors and insights, to capture the
prospects of over tourism.

Literature Review
Sunlu (2003) focused on the environmental impact of tourism
in Turkey. He examined that the ill effects of tourism occur when the

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

level of usage of visitors exceeds the environment's capacity to

survive with its usage within its tolerable limits of alteration.
Kaul & Gupta (2009) depicts the economic importance of
sustainability of Indian Tourism through analyzing its strengths and
challenges. Shahzalal (2016) in his descriptive research work,
focused on the positive and negative effects of tourism on culture in
Bangladesh. His research recommended effective management of
culture through the development of a democratic management team,
giving utmost priority to the process of innovation and not the
product.
Lakshmi (2020) in her study, recommended becoming active
partners among the Central and State Governments with private
organizations to promote sustainable development in this
multidimensional service industry- Indian Tourism Industry. Rao
(2020) in his study analysed and stated that, as compared to 45
employment opportunities per million rupees of investment by the
manufacturing sector, the Indian Tourism sector is estimated to
provide such 78 jobs. He also recommended "Learning to Tour from
Tour to Learn”.
Zagade & Deore (2020) examined the importance of cultural
tourism in the worldwide tourism industry in recent times through a
cross-sectional analysis of visitors. Their research focused that even if
cultural tourism led to the development of the standard of living but
the rapid increase of congestion and excessive crowding at cultural
tourism destinations lead to the demolition of cultural heritage.
Tourism represents some beneficial factors like environmental, social,
cultural, economic etc. which create a deep impact on the livelihood
of the local residents.
According to Ray et al. (2012) Tourism in India is expected to
play a key role in the country's economic growth, human resources,
culture, the wealth of the country in terms of foreign exchange
earnings, etc. Simultaneously, it has a direct bearing on local culture,
a socio-economic pattern of life, traditions, food habits, language,
values & ethics of the local people due to frequent visits of national
and international tourists in attractive tourist destinations. People love
to visit tourist locations to have a flavour of pilgrimage, cultural
heritage, and nature or even for getting away from the monotony of
routine life. People not only rejuvenate from these visits but also
directly contribute to the growth of the local economy in terms of the

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

hospitality industry, handicraft industry, and secondary occupation as

tourists guide, carriers, etc.

Objectives
1. To identify the major challenges and opportunities of cultural
tourism development infrastructure in the study area.
2. To analyse the impact of cultural tourism on the Environmental
condition of the host community people in the study area

Methodology
Keeping in mind the above-stated objectives, researchers
collected primary data from field surveys, face-to-face interaction,
and observation methods, and Secondary data has been collected
from different journals, research articles, and WBTDC websites. The
sample size for this present study is 385 which was a convenient
sampling method.

Population and Sample Size

To figure out the impact of cultural tourism on local host
communities’ Environmental conditions in the study areas,
researchers considered 385 respondents as the sample size
(convenience sampling). Host communities have been considered for
study restricted only in cultural tourism destinations in select towns.
The attitude of the host community was measured in a 10-point Likert
scale, based on the following question “Rate the promotion of
cultural tourism in your area in 1 to 5”.
Hypothesis of the Study
H0: There is no significant Environmental Impact of Tourism on Host
Community
Analysis and Discussion
Analysis and Discussions of Environmental Impact on Host
Community
The descriptive statistics in the table 1 (Appendix) shows that
Waste & Sewage Disposal Management., Drinking water tank/ Water
Management., Public areas planning and Management, and
Availability of ATM/Bank are the most agreeing factors regarding the
facilities by the tourists as well as the community people, as they are
the responses which had a high mean and low standard deviation.

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Factor analysis gives us three factors to determine the physical

impact of the host community people in the study area (table 5). In
order to determine the overall physical impact of the host community
people in the study area by these three factors, we considered the
following regression equation that is written as:
𝑌𝑖 = 𝛽0 + 𝛽1 𝐹1 + 𝛽2 𝐹2 + 𝛽3 𝐹3 + 𝜀𝑖
In our analysis 𝑌𝑖 is dependent variable (overall physical impact
the host community people in the study area) which is solely depend
on factor score of (𝐹1 ), (𝐹2 ), and (𝐹3 ) and error term 𝜀𝑖 . This is a
multivariate regression equation which is estimated by the least
square method as follows:
∑(𝐹𝑖 − 𝐹̅ )(𝑌𝑖 − 𝑌̅)
𝛽̂1 =
∑(𝐹𝑖 − 𝐹̅ )2
The required regression equation of the environmental
condition of the host community people in the study area is written
as:
𝑌 = 3.65 + 3.14𝐹1 + 2.41𝐹2 + 1.38𝐹3
All the t values are statistically significant at 95% confidence
interval and the overall F value is also statistically significant.
Therefore, from the above regression analysis, we may infer
that the most important factor (F1) should be considered as a policy
prescription to reach a maximum gain of the overall environmental
impact of the host community people in the tourism industry and an
alternative hypothesis has been accepted.

Recommendations and Conclusion

The study found three major factors namely Environmental
Impact, Impact on Public Planning, Impact on transportation &
communication Opportunities. These factors were regressed upon the
overall acceptance attitude of the host community of the people of
Shantinekatan. The present study found that all the factors are having
a significant and positive impact upon the overall attitude of the host
community of the Shantinekatan, West Bengal. These factors together
explain 68% of the variance, and rest 32% is still left unexplored,
which is the future scope of the research.

References
1. Angelini, L., Borlizzi, D., Carlucci, A., Ciardella, G.,
Destefanis, A., Morfini, I., & Governale, G. (2020). Cultural
tourism development and the impact on local communities: a

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case study from the South of Italy. IdeaSquare Journal of

Experimental Innovation,, 4(2), 19-24.
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Tourism and Its Impact on Socio-Economic Condition:
Evidence from West Bengal, India. Global Journal of Business
Tourism, 6(2), 11-22.
10. Sequera, J., & Nofre, J. (2018). Shaken, not stirred: New
debates on touristification and the limits of gentrification. City,
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12. Sunlu, U. (2003). Environmental Impacts of Tourism.

CIHEAM: Options Mediterraneenness: Series A. Seminaires
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Athens Journal of Tourism, 6(2), 123-140.

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APPENDIX
Table 1. Descriptive Statistics
Variables Mean S.D.
Tourism Leads Overcrowding 3.790 0.956
Increase Noise and Pollution 3.880 0.793
Waste & Sewage Disposal Mgmt. 3.930 0.830
Drinking water tank/ Water Mgmt. 3.950 0.906
Road Condition 3.800 0.931
Transportation Facility 3.790 0.956
Car Parking Facility 3.790 0.985
Public areas planning and Mgmt 4.030 0.844
Cultural Tourism effects increase the number of hotels 3.710 0.906
Availability of healthcare facility 3.770 0.912
Availability of ATM/Bank 3.750 1.026
N 385
Source: researcher’s computation

Table 2. KMO and Bartlett's Test

Kaiser-Meyer- Olkin Measure of Sampling Adequacy 0.722
Approx. Chi-Square 466.022
Bartlett’s Test of Sphericity D.f. 55
Significant 0.000
Source: researcher’s computation

Table 3. Communalities
Initial Extraction
Tourism Leads Overcrowding 1.000 0.426
Increase Noise and Pollution 1.000 0.480
Waste & Sewage Disposal Mgmt 1.000 0.656
Drinking water tank/ Water Mgmt 1.000 0.490
Road Condition 1.000 0.545
Transportation Facility 1.000 0.641
Car Parking Facility 1.000 0.623
Public areas planning and Mgmt 1.000 0.581
Cultural Tourism effects increase the number of hotels 1.000 0.517
Availability of healthcare facility 1.000 0.609
Availability of ATM/Bank 1.000 0.479
Extraction Method: Principal Component Analysis.
Source: researcher’s computation

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Table 4. Total Variance Explained
Initial Eigenvalues Extraction Sums of Squared Loadings Rotation Sums of Squared Loadings
Component
Total % of Variance Cumulative % Total % of Variance Cumulative % Total % of Variance Cumulative %
1 3.080 28.059 30.831 3.090 28.059 28.059 2.200 19.953 19.953
2 1.970 17.879 48.288 1.970 17.879 45.937 2.000 18.184 38.136
3 1.000 9.042 57.982 1.000 9.042 54.979 1.850 16.843 54.979
4 0.890 8.087
5 0.790 7.213
6 0.770 6.979
7 0.640 5.791
8 0.560 5.050
9 0.550 4.985
10 0.420 3.772
11 0.350 3.144
Extraction Method: Principal Component Analysis.
Source: Researcher’s Computation

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Table 5. Rotated Component Matrix
Component
Impact on
Impact on
Variables Environmental Transportation &
Public
Impact Communication
Planning
Opportunities
Tourism Leads Overcrowding 0.649
Increase Noise and Pollution 0.644
Waste & Sewage Disposal Management 0.633
Drinking water tank/ Water Management 0.657
Road Condition 0.707
Transportation Facility 0.654
Car Parking Facility 0.566
Public areas planning and Management 0.682
Cultural Tourism effects increase number of hotels 0.662
Availability of healthcare facility 0.754
Availability of ATM/Bank 0.608
Extraction Method: Principal Component Analysis.
a. 3 components extracted.
Source: researcher’s computation

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Table 6. Regression Model
Multiple R 0.782
R Square 0.678
Adjusted R Square 0.689
Standard Error 65.85
Observations 385
Durbin Watson (DW) 1.98
Analysis of Variance
d.f. SS MS F p-Val
Regression 3 5682 1894 56.68 0.0035
Residual 197 6582 33.4
Total 385 12264
Coefficients S.E. t-Stat p-Val VIF
Intercept 3.65 0.356 10.25 0.006
F1 3.14 0.256 12.27 0.004 1.67
F2 2.41 0.658 3.663 0.002 1.86
F3 1.38 0.352 3.92 0.002 1.36
Source: researcher’s computation

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A STUDY ON PILGRIM TOURISM: EVIDENCE

24 FROM KAMAKHYA, ASSAM

Ms. Tanisha Mukherjee1, Dr. Mainak Chakraborty2, Dr. Nilanjan Ray3

ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.24

Abstract
Tourism is often described as the movement of individuals from their
place of residence to other locations or nations in quest of recreational
enlightenment The purpose of this study concentrates on how the
growth of Pilgrimage Tourism in Kamrup, Assam can improve socio-
economic development for the local inhabitant. Pilgrimage tourism is
often stated as the fundamental part of religion, where the tourist
(pilgrims) travels in search of psychological satisfaction by visiting
various temples, and sirens that pertain to the sanctity of certain
religious or holy places. The acceptance of different cultures and
civilizations develops owing to tourism. The incident of pilgrimage
tourism from the perspective of a destination can be drawn from the
various manuscripts and temple scriptures, with the rich merged
culture of various religious beliefs.

Keywords: Pilgrimage tourism, Religious Tourism, socio-economic

factor, Kamakhya.

Introduction

I n India, one of the enduring old customs is the worship of

goddess and pilgrimage to their place of devotion also known as
Shaktipiths. Kamakhaya is considered as of the venerated, which
is why it is considered as the integration of both feminine and
Masculine force stated as the adipitha. The ancients’ scriptures and
puranas depicts various version of stories around the existence of
these holy shrine. One of the prominent is when Lord Siva carried

1 Research Scholar, Department of Management, School of Business and Economics,

Adamas University, Kolkata
2 Corresponding Author & Associate Professor, Department of Management, School of

Management, Adamas University, Kolkata

3 Associate Professor, Department of Management Studies, Institute of Leadership

Entrepreneurship and Development (iLEAD), Kolkata

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Sati's lifeless body on his shoulders during a fit of rage. Vishnu then
dismembered Sati's body with his Sudarshan Chakra, and the Yoni of
Sati fell onto the hill that represented Siva's body. The hill turned
blue, and the hills were then known as the Nilasailya or Nilachal hills
as per the kamagiri texts. The temple, which is a source of
tremendous devotion and is regarded as a conduit for divine power
and influence, is supposed to have been initially constructed around
the Yonimandali by Kamdeva with Biswakarma's assistance. Around
this symbol, which represents the very essence of the universe's
creative process, are placed many forms of Shakti puja and Tantric
sadhana.
The main temple of Maa Kamakhya or Kameswari is situated
in the western part of Guwahati (91042/ East – 26010/ North) the
gateway to the North East India and capital city of Assam . his temple
town is approximately 800 feet above the sea level with the mighty
Brahmaputra flowing along the northern side of the hill.
Apart from the main temple of Maa Kamakhya, there are
temples of the Dasamahavidya (ten incarnations of the deity) namely
Kamakhya (i.e., Tripura Sundari, alongwith Matangi and Kamala),
Kali, Tara, Bhuvaneshvari, Bagalamukhi, Chinnamasta, Bhairavi,
Dhumavati, and five temples of Lord Shiva namely Kameswara,
Siddheswara, Kedareswara, Amratokeswara, Aghora and Kautilinga
around the Nilachala Hill which is also called as Kamakhya Temple
Complex.

Survey of Literature
The survey of literature guides to ascertain the viewpoints and
a snippet from various researchers in the field of religious tourism,
pilgrimage tourism, and their effects at the global, national, and
regional level. This literature review's objective is to find previous
studies that have looked into a particular subject. The literature
review for this study also aided in identifying the research gap that
provided the direction for additional study. Vukonic'(1996) explains
how traveling could be compared to religion. In other words, not only
has free (i.e. discretionary or non-work) time become a space for the
contemplative and the creative, a unity of thought and action" in
modern, secular societies, but also tourism, as a specific use of such
free time, has come to be seen by some as a spiritual or sacred
journey. Dev R and Gabriel Simon Thattil (2006) in their Article
‘Tourism for body soul – Varkala’ model discussed about the future

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prospects of varkala as a prominent tourist destination along with its

issues and prospects
Sharpley and Telfer (2015) on the other hand commented that
the development of pilgrimage tourism receives less attention from
India's tourism department, which places a greater emphasis on
leisure and business categories.
Ravi Bhushan Kumar (2014) In his study, Pilgrimage Tourism
in Kurukshetra (Haryana): A Sustainable Development Approach”
has focused on formation of tourist areas; factors impeding
sustainable development; and appropriate measures for the
sustainable development of pilgrimage tourism in Kurukshetra. He
conducted a systematic survey at selected tourism destinations in the
study area. The study's findings include feasible suggestions and
recommendations for future tourism development in this region.
Sudarshan G (2012) has studied devotee satisfaction with tourism
destinations and discovered that the majority of pilgrims were
dissatisfied with public relations management, lodging options, and
the availability of insufficient information about the destinations.
Reddy A.K.V.S (2008) stated that thoughtfully planned tourism will
aid in the development of the nation by bringing in difficult jobs and
distributing wealth to all sectors of the economy. If tourism activities
are planned and coordinated on a regional level, the benefits might be
amplified. Woodward (2004) In this article focusing on "Faith and
Tourism: Planning Tourism in Relation to Places of Worship," there
were some issues such as accommodating a large number of visitors,
several accidental damages, noise pollution, overcrowding, theft
incidents, littering, and parking problems. He proposed several
solutions, including entry fees, vehicle charges on the site, and
separate planning for those who come for religious reasons and those
who come just to see the sights.
Chowla (2003) a thorough discussion of marketing for the
travel industry was had, as well as planning a tourism research
project, conducting a feasibility study, calculating the economic
benefits and costs of travel, and discussing marketing mix concepts
like product, place, pricing, and promotion.
As stated by Lanczkowski in his study religiously motivated
tourism is a worldwide phenomenon which stands as primitive as the
religion itself (Lanczkowski 1982).
Vikas Gautham (2012) in his research titled "An Empirical
Investigation of Consumers Preference about Tourism in Indian

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Context with Special Reference to the State of Himachal Pradesh,"

explains that tourists place the greatest value on knowledge and
security.
Vukonic (2002) highlights the economic facets of religious
travels, which is the least studied topic in relation to the pilgrimage
tourism. In addition to the same, the study of Jackowski and Smith
(1992) points out the lack of infra- structure limits the tourists stay
duration, resulting in narrow scope deriving economic benefits for the
local residents.
Cohen (1979) in the same context states that different forms of
tourism co-exist with each other, people with relation to pilgrimage
experiences his spiritual bond with sanctity of the spot whereas the
visitors with non-religious context tend to be attracted with others
aspects like the culture, architecture and recreational facets. The same
can be evident from the table of Cohen’s mode of tourism.

Table 1.Cohen’s mode of tourism

Experiential A quest for authenticity beyond the spatiality and
temporality of everyday life
Existential A journey to an external and elective spiritual site
beyond the mainstream of a traveller’s native
experience.
Diversionary An escape from the ordinary
Recreational Entertainment centre travel that emphasizes the
restorative capacity of travel-secular
Experimental Travel intended to be out of the ordinary, unique and
alternative
Source: Cohen (1979)

From the study of William, Stephen and Lew, Alan A, 2015,

we can interpret that pilgrimage is a type of tourism that is motivated
partly or fully by the religious sentiments and purposes.
In the words of (Johny, 2002) as stated in “Economics of
Tourism in Kerala- A study of selected tourists spot” the author states
that improvement in the tourist activities at various tourist spots in
Kerala is a necessary condition for the development of the tourist
industry of the region. He studied the trend, pattern and factors
influencing the demand and supply of the tourist activity and its
impact on the generation of employment at three natural attraction
spots, namely, Kovalam (beach), Thekkady (wild life) and

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Kumarakam (back waters). The analysis of the trend and pattern of

tourist facilities of selected spots reveals much inter-class and inter-
spot variations.
(Libson, 2007) In “Economic Benefits of Pilgrimage
Tourism: A case study of Sabarimala Pilgrimage with special
reference to Pandalam locality” states that pilgrimage tourism act as
an important factor for the economic development of the local ( Host)
economy in several tourist destinations. In his study Sabarimala
pilgrimage has been awarded the economicvalue to the local
inhabitant helping in improving the infrastructural facility of the
resident of Pandlam.
Therefore, we can conclude that religious (pilgrimage)
tourism is one of the main elements that encourages travellers to go to
tourist destinations, leading in the growth of connections between
visitors, locations, and locations that are seen as being frightful. It
frequently serves as a foundation for increased domestic and
international travel.

Theoretical Framework: Pilgrimage Tourism Perspective.

The literary meaning of pilgrimage is often defined as the act
of people travel to a with or without religious intent but exploring the
divinity of the place being the main reason of the travel. It can also be
stated as the act faith, beliefs, respect to divinity by the devotes.
The history of Kamakhya is often shrouded by folklores and
social taboos. Referring to various literature reviews, the history of
Kamakhya offers an unexplored and uninvestigated facts of
pilgrimage / religious endeavors opening up pathways for making it
as one of the prominent place for Pilgrimage tourism. According to
various purana’s (kalika Purana& Yogni-Tantra),the ancient king’s
changes the name of the kingdom to Kamrupa with association of the
place with the deity Maa Kamakhya .
Pilgrimage or Religious tourism has always been considered
as the early source of tourism where people used to travel places to
satisfy their religious beliefs, with the change of time and rapid
development these have under gone a rapid growth. In Tourism
industry, pilgrimage or religious tourism is considered as one of the
potential growing industry resulting in cross-cultural socio -economic
developments. Assam hold a immense potential in the economic
development of the area not only just for Kamakhya temple but also
for other religious shrines that are situated in the state. The multi-

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cultural diversity of various religious communities makes it the

perfect spot for religious tourism. The assamese Satriya culture often
grabs the attention of various tourist as the it depicts the life-event of
Lord Krishna and is one of the major religious belief of Assamese
people. Kamakhaya temple is often considered as the birthplace of
tantric rituals , the very fact have always created curiosity in the
minds of religious practitioners and researchers . All through survey,
we also learned that some visitors came from different locations in
organized groups, and occasionally, they were even given financial
assistance by the local government to attend such a significant
religious site. Typically, these kinds of crowds come to this location
during the annual Ambubachi Mela, which takes place in June. In
addition, there is a constant stream of devotees who visit the area,
sometimes staying for a day or only a few hours.It is considered as
the biggest congregation of devotees not only from North-east but
around the globe amounting to 2.5 lakh footfall in the year 2019,
expecting a potential growth with the covid restriction relaxed.

Objectives Of The Study:

The main objective of the study is to understand the various issue and
prospects pertaining t pilgrimage tourism at Kamakhya and their
impact on socio-economic development of the place. The following
objectives are curated to analyses the same, they are as stated below :
1. To identify the factors that attracts potential tourists to pilgrim
center of Kamakhya.
2. To understand the issues and prospects of pilgrimage tourism
in the study area.
Methodology
Data Collection
In order to understand the various issue and prospects
pertaining to the pilgrimage tourists at Kamakhya qualitative and
quantitative information was compiled from the questionnaire
facilitated by the local inhabitant and visitors alike. The data
collected for the study has been through both primary and secondary
resources. Through convenience sampling method 116 respondents
has been considered for the present study.
Instruments
The primary data has been collected through pre-structured
questionnaire. The questionnaire consists of two sections, the first

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section includes information on their name, sex, age , place of

domicile, mode of information, mode of travel, and expenditure. The
second section consists of the questions that would support was to
understand the tourist purpose and factors that impacted their
pilgrimage. With the aid of a prepared questionnaire, primary data
were gathered. The objectives and sample characteristics were
recorded by the questionnaire. Both quantitative and qualitative
responses are included. A five-point Likert scale from 1 to 5, with 1
denoting the most satisfied rating and 5 the lowest, was utilized for
the quantitative analysis.

Analysis
Participants' Demographic Information

The data sample depicted in Chart -1 states that majority of

the respondents were males (52.6 %) and female being (47.4%)
percentage.
According to Chart-2 the respondents age group ranging from
20 to 40 years has the showed the highest respondent of 62.9 % ,
those who are in age group of 41-50 years accounted to 23.3% .The
age group of below 20 and above 50 consists of 3.4 % and 10 %
respectively in the survey.

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According to Chart-3 the respondents place of Domicile can

stated under three categories, 59 number of respondent were outside
Assam i.e., 50.9 % where’s as 34 respondent were within the state of
Assam i.e., 29.3 % . The data captured that only 19.8% i.e., 23
number of respondents were local inhabitant of the study area. These
help us to interpret that a Kamakhya attracts a large number of tourist
footfall all around the country.

In accordance with Chart-4, a total of 37 respondent who are

the resident of outside state of Assam, preferred traveling through air
and train mode, whare as local resident and resident within the state
of Assam choose the mode of road transportation respondent
numbering 23 and 28 respectively.

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The Chart-5 helps us to interpret that for majority of the

respondent recorded that friend and family were the basic source of
information for them with 73%, where it is seen that the usage of
social media as a source of information only amounts to 1% creating
a scope for improvement in the usage of digitalized platform for the
promotion of the pilgrim spot. The electronic media and tourist fair
accounts to 10% and 8 % respectively, whereas print media
(newspaper) and travel agencies accounts to 4% each. The tourist
fairs amounted to 4% depicting a major potential for improvement of
approach.

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In accordance to Chart-6 it can be interpreted that a total of

57 number of respondents basic purpose of visit was pilgrimage
motive, whereas 20 to 25 respondent from the data for visited the
pilgrim spot due to recreational and visiting friends and relatives as
the main motive respectively. 5 respondents visited the place due to
education and research purpose; 4 respondent travel the place as part
of package tour and 2 respondence as a part of their business travel
where as three of the respondent had visited the spot as a part of their
cultural activity. The analysis supports that pilgrimage visiting the
pilgrimage not only has pilgrim motives but also other recreational
spectrum.

According the data accounted in chart-7, 57% of the

respondent recorded their expenditure inclusive of all the factors
under the slab of 1000-5000 rupees, where has 3.6 % respondent
recorded their expenditure as 100-500 during their visit. 39.3 %
respondent have recorded a moderated expenditure of 500-1000
rupees.

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Above figure depicts that the respondent expectation level

and satisfaction level of the respondent on various parameters for
understanding the issue and prospects that impacting the tourist
experience of the respondent. Majority of the respondent have shown
a higher scale of expectation in the mentioned parameter i.e., Likert
scale of 4 point “High Expectation”, where as in the respondent
satisfaction chart the same parameter to have changed the scale
between neutral i.e., 3 to very highly satisfied i.e., 5-point scale for
the parameters like religious place, visual arts, shopping places
accessibility and cultural villages.

Findings of The Study

1. The study helps us to understand the lack of infrastructural
development regarding the stay of pilgrims during various
festive season and in general, which results in creating
hindrance in repetitive footfall of the outstation pilgrims (
tourists)
2. During the study , it is observed that , the major source of
information of the study area is through friends and family i.e.,
73 % which depicts that, digitalized platform are yet to

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showcases these spots as one of the major pilgrimage spot in

compared to other destinations. The electronic media ( local
news channels) are able to capture tourist who are the resident
within Assam and its neighboring states account to 10% of the
source.
3. The survey depicts that around 57% of the respondent’s
purpose of visit was of religious intent, with 20% to 25%
tourist visit the spot as a part of their leisure or family visits ,
this helps us to understand that these spots often attract younger
generation of tourist who may not have religious motive but
other scenic attractions
4. The study shows that majority of the respondent recorded their
expenditure during the visit to Kamakhya under the slab of
1000-5000 i.e., 57.1%. This expenditure is inclusive of
accommodation for the outstation pilgrims, transportation cost
to and from other places. Whereas a local tourist spends as low
as 100 to 500 rupees during the temple darshan which
comprises of Pandit Dakshina, Prasad and other amenities. The
temple offers special darshan specialties which the tourist may
avail as per their choices.
5. During the Survey it was found that not many pilgrim
(tourist’s) are aware of the other shrines that are situated along
with Kamakhya temple in the Nilasha hills which often results
in income hindrance for the local pandits who are working in
the temple as the same being their source of livelihood.
6. The ecology and Kamakya’s natural ecosystem are greatly
impacted by pilgrimage, with problems like growing hotel
alternatives, rubbish disposal in streams, and landfills posing a
severe threat to the environment. If tourists, residents, and
NGOs wish to decrease these adverse consequences, religious
tourism must be considered and integrated into the local
tourism experience. It can also increase historical
understanding, lessen intolerance, and create bridges between
various ethnic groups as depicted by the study.
7. The survey shows that pilgrimage tourism has a greater impact
on the socio-economic structure of the place as it often results
in standard of living by creating employment opportunities for
the local inhabits with the growing structured market , motels
and hotels along the temple premises.
8. It also opens up educational scope for various researcher and

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practicians who have interest in mythological studies. The

temple trust also fund various local NGOs for the education of
backward groups
9. The travel business comprise can be benefits by offering
various group and individual packages and create awareness
about the same with the help of various digitalized promotional
platform thus generating a source of income as many
respondent have recorded neutral regarding the tourist guides
and tour packages
10. The survey shows that the government should take steps to
establish information centers for the pilgrimage as tourist are
often not aware of the services that are available during their
visits. They should set up special care centers during the festive
seasons where there is often lack of management for the local
artisans who come to take part in the mela’s to showcase for
handicrafts

Conclusion
Kamakhya has been recognized as a great place of pilgrimage
due to its natural environment, sense of locality, and cultural
traditions. However, the collective awareness to preserve the legacy
has not yet reached the residents. To attract pilgrimage, tourist
satisfaction plays an important role as destination is often measured
by satisfaction with services and hospitality from local inhabitant and
authorities during the visit to that pilgrimage spot. With the
implementation of new Assam tourism policy 2022, we shall be able
to provide with better infrastructural development at the Kamakhya
Devalaya with various new schemes that are proposed and to be
undertaken by the state governmental bodies one of such scheme
“Punya Dham Scheme. The local bodies and government should take
steps in advertising diverse attraction and the significance of this
spots through the usage of social media or internet platforms to
increase awareness among the people worldwide. To retain their
historic qualities, monuments and ruin sites should be renovated. To
help tourists and residents rediscover the past, all such monuments
must to have a way to display their significance and history. Lastly, A
community's eagerness to share heritage with tourists, an intact base
of cultural resources that might serve as the basis for a community's
cultural heritage product, and an accessible travel market are all

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necessary for the growth and development of kamakhaya’s

indigenous pilgrim tourism.

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(2008). Residents' Perceptions of Religious Tourism and its
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past_present_and_future_rejuvenation_a_perspective_article

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IMPACT OF TOURISM FINANCING IN INDIA

25
Subhadeep Das1
ISBN: 978-81-19070-60-2 | DOI: 10.25215/8119070607.25

Abstract
Tourism in India plays a significant role in its economy, contributing
to approximately 9.2% of the country's GDP in 2022. The tourism
industry encompasses various aspects such as attracting,
accommodating, and entertaining tourists and it is a vital social
phenomenon in Indian society. People are driven to engage in tourism
for a multitude of reasons, including seeking new experiences,
participating in adventurous activities, learning about different
cultures, and finding amusement. One of the primary motivations for
tourism is the innate human curiosity to explore and discover
unfamiliar parts of the world. This desire to know about unexplored
territories fosters tourism and opens up opportunities for economic
growth. Tourism not only contributes to the GDP but also generates
employment and enhances the overall well-being of the local
population. Consequently, the tourism sector can play an instrumental
role in the economic development of the country. Tourism is a crucial
sector in India's economy, contributing significantly to GDP and
providing opportunities for economic growth and social development.
However, it is essential to manage tourism in a sustainable manner to
mitigate any negative impacts on the environment and local
communities. By implementing responsible tourism practices and
maintaining a balance between economic development and
environmental preservation, India can continue to harness the
potential of its tourism industry for the benefit of the nation.

Keywords: Tourism, Tourism Economy Impact, Economics, Tourism,

GDP.

1 Faculty, Department of Management Studies, Institute of Leadership Entrepreneurship &

Development (iLEAD), Kolkata

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Introduction

T he industry of tourism is widely seen as one that is expanding

quickly and has the potential to lead to broad socioeconomic
growth. It generates commercial opportunities and encourages
the construction of infrastructure, both of which promote economic
expansion. Moreover, thanks to its forward and backward links with
the rest of the economy, tourism has the power to boost a number of
economic indices. Additionally, it creates more employment
prospects through a multiplier effect. In India, tourism has been
progressively growing over time. Due to the relationships that take
place between visitors and the host communities, tourism not only
alters the socioeconomic situations of the local communities but also
strengthens their moral foundation. Studies by Cook et al. (2010) and
Kumar & Kumar (2014) have emphasized the beneficial effects of
tourism on the socioeconomic circumstances of the host
communities. Tourism causes changes in people's individual and
communal value systems, behavioral patterns, social structures,
lifestyles, and general quality of life, according to Hall & Page
(1999). Leavitt (2003) emphasizes that tourism affects a community's
socioeconomic circumstances through fostering ethnic and cultural
tolerance, generating new job possibilities, building infrastructure,
and fostering overall economic growth. These results suggest that
tourism has the potential to substantially change the socioeconomic
environment of host communities. Along with affecting the economy,
it also affects the cultural, social, and environmental aspects of a
place. Therefore, it is essential to comprehend and manage the effects
of tourism in order to assure the industry's responsible and sustainable
growth. The paper's main emphasis appears to be on how to finance
tourism and its contribution to a nation's economic development,
particularly in the context of India (post-pandemic environment, we
have chosen a descriptive research design for the study, and the
primary source of data for the data gathering method is secondary
data.

Statement of the Problem

The tourism sector is a significant contributor to the global
service industry. It plays a crucial role in many economies, including
India. However, the tourism industry has faced challenging times in
recent years, particularly due to the COVID-19 pandemic. The
COVID-19 pandemic has had a severe impact on the global tourism

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industry, including India. The restrictions on travel, lockdown

measures, and safety concerns have led to a sharp decline in tourist
arrivals and disrupted the normal functioning of the tourism sector.
As a result, there has been a substantial decline in the contribution of
tourism to the country's GDP and overall economic growth. The
decline in the tourism sector has had a cascading effect on various
aspects of the economy, including employment. With the decrease in
tourist activity, many businesses and establishments in the tourism
sector have suffered, leading to job losses. 65% of people losing their
jobs from the tourism sector highlights the significant impact of the
pandemic on employment in this industry. It is important to note that
the COVID-19 pandemic's effects on the tourism sector are not
unique to India but have been felt globally. Governments and industry
stakeholders are implementing various measures to mitigate the
impact and support the recovery of the tourism industry. This
includes vaccination campaigns, health and safety protocols, financial
support programs, and efforts to promote domestic tourism. As the
situation improves and travel restrictions ease, it is expected that the
tourism sector will gradually recover.

Review of Literature:
Ashish Ankush Naik& Sunil Kumar Jangir (2013) analyzed
a social aspect of tourism development in India and mainly focused
on the prospects of tourism industry especially in India in the present
era of liberalisation, privatisation and globalisation. Now in India
tourism industry is on the initiation of a major breakthrough for great
financial gains.
Leena Kakkar and Sapna (2012) this study generally focused
on impact of tourism on Indian economy and they mainly focus on
how India is emerging as a global tourist centre because of innovation
and creating value for tourist. The contribution of travel and tourism
to country's GDP will grow after passing of time as expected to grow
from 4.5% in 2011 to 4.9% in 2021. Simultaneously the contribution
of travel and tourism towards employment will grow from 7.5%in
2011 to 8.17% by 2021.
Mishra, P. K., & Rout, H. B. (2012) suggested that Tourism
is a significant factor of economic development throughout the world.
This study examined economic impacts of tourism in the context of
socio-economic growth and development of Jharkhand and to
examine this three variables were used Net State Domestic Product at

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Constant Prices (NSDP), number of domestic tourist visits in one

financial year (DTV) and number of foreign tourist visits in one
financial year(FTV) were used to judge the impact of tourism on
economy of Jharkhand. To carry out this study multivariate
regression model was used.
Raina, A. K., & Agarwal, S. K. (2004) studied the “multiplier
effect” on tourism and its impact on tourism industry. From this
study, it was found that tourism helped in moving finances from
richer countries to developing countries thus rising latter’s export
earnings and therefore increasing the economy.

Present Scenario of Impact of Tourism Industry on Indian

Economy
The tourism sector and the global economy as a whole have
both been significantly impacted by the COVID-19 pandemic
outbreak. Travel restrictions, lockdowns, and social isolation policies
put in place to stop the virus' spread have significantly restricted
people's ability to travel, which has led to a drop in tourism. The
domestic and international mobility of people is crucial to the tourism
sector. The number of visitors to popular tourist spots has drastically
decreased as a result of aircraft cancellations and travel restrictions.
As a result, businesses that rely on tourism, such as hotels,
restaurants, transportation services, and others, have seen a fall in
sales. The epidemic would have had a major impact on many
pilgrimage sites. Many devotees from various locations travel on
pilgrimages, which boosts tourism and helps the local economy.
However, because to the limits on mobility and gatherings, these
activities had to be postponed or scaled back, which resulted in a
considerable loss in tourism earnings. The global economy has been
impacted by the reduction in tourism on a global scale. The GDP of
many countries is significantly boosted by tourism, which also
generates income, jobs, and economic expansion. Various industries,
including the hospitality, transportation, retail, and entertainment,
have been impacted by the loss of tourism earnings, which has
resulted in job losses, company closures, and decreased consumer
spending. Furthermore, the airline business has been negatively
impacted by the cancellation of domestic and international flights.
Due to the decline in passenger demand, airlines have suffered
significant financial losses. Many carriers were forced to ground their
aircraft, fire employees, and in some cases even file for bankruptcy.

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Significance of the study

We can learn more about the effect of tourism on India's
economic development thanks to this study. 9.2% of the GDP and the
control of Indian society are contributed by the tourism industry. The
study's findings had a more positive and productive impact on the
Indian tourist sector's character. The terms "development" and
"growth" refer to two distinct factors that control the influence of
tourism on India's economic development and other developmental
factors.

The Objective of the study

Scope and Inter linkage of Tourism: Examining how various
facets of tourism are related to one another and how they affect the
industry's total economic impact, the study tries to understand the
extent and inter linkages of tourism. This goal probably entails an
examination of pertinent literature to learn more about the
connections between tourism, economic impact, and finance for the
travel industry.
Inquiry into Tourism Financing: The study aims to find out
where India's tourist industry receives its funding. This entails
looking at the funding options provided by financial institutions and
investigating the function of foreign direct investment (FDI) in the
tourism industry. Information on tourism financing will probably be
gathered from secondary sources of data.
Role of Tourism and Tourism Financing in Economic Growth:
Investigating how tourism and tourist financing contribute to India's
economic development is the goal of this study. Analyzing the
connections between tourism-related activities, finance, and more
general economic indicators like GDP growth, employment rates,
income generation, and other pertinent economic elements is
probably required for this.

The Study area:

Based on secondary data from a study on the effect of tourism
on India's economic development, research has been done on the
Indian tourism industry. The major goal is to raise awareness of the
important contribution that the tourism industry makes to the Indian
economy and to show how each sector can help the tourism industry
grow to generate money and jobs.

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Methodology:
The current analysis is based on secondary data that has been
published by numerous agencies and organisations. The UNWTO,
the Ministry of Tourism, the Ministry of Statistics and Programme
Implementation, newspapers, research papers and articles, magazines,
books, economic journals, the Internet, and other sources are all used
in the current study.

Discussion and interpretation:

Without raising a fuss, tourism is the largest industry in the
world. One in nine jobs around the world are related to it, and it
accounts for 10% of global net residential product. It might be a
strong generating area for outside financial activities. It has an impact
on various other economic sectors due to its rapid growth and
advancement rates, large inflows of outside capital, expansion of the
infrastructure, and dissemination of cutting-edge governance and
educational opportunities. It consistently strongly refers to the overall
social and economic development of the country. Its real-world and
potential economic impact is astounding.

Table - 1: Financial performance of last seven years

Year 2014- 2015- 2016- 2017-18 2018- 2019-20 2020-21
15 16 17 (As (As per 19 (As (As per (As per
per Ind Ind AS) per Ind Ind AS) Ind AS)
AS) AS)
Turnover 504.19 465.69 356.11 366.42 371.72 223.38 125.86
Profit 38.95 32.42 17.00 21.25 57.91 48.52 14.00
Before Tax
Profit 34.37 22.5 11.43 17.71 42.15 34.98 13.25
After Tax
Foreign 12.99 17.95 15.20 15.27 18.65 16.54 11.85
Exchange
Earning
Source – Ministry of tourism annual report 2020-21

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Figure - 1: Financial performance of last seven years

Table 1: Displays information about the financial

performance over the previous seven years. If we examine both
elements of turnover and foreign exchange earnings, we can observe
that turnover was 504.19 in 2014–15 but will be down by 125.86 by
2020–21, and foreign exchange earnings were 12.9 in 2014–15 but
will be down by 11.85 by that same year.

Table – 2: Contribution of tourism sector in GDP and national

income.
Year 2014- 2015-16 2016- 2017- 2018- 2019- 2020-
15 17 18 19 20 21
Share 5.68 5.81 5.10 5.06 5.98 4.89 2.36
Direct 3.06 3.14 2.65 2.63 2.61 2.21 1.98
(in %)
Indirect 2.62 2.45 2.43 2.54 2.32 2.18 2.01
(in %)
Source – Ministry of tourism annual report 2020-21

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure – 2: Contribution of tourism sector in GDP and national

income.

The National Account prepared by the Ministry of Statistics

and Programmed Implementation is displayed in Table 2 for each
year. The growth and contribution of numerous sectors, such as
agriculture, manufacturing, services, banking, transport, insurance,
and so forth, are measured when we calculate a country's GDP.
Tourism might be a demand-based notion, defined by how it is used
rather than how it is produced. Industries that are included in national
accounts, such air travel, hotels, and restaurants, produce the same
amount of revenue whether tourists or non-tourists consume it. The
tourism economy, which is not included in the National Accounts, is
defined by the utilization of tourists. In order to survey the
contribution of tourism to GDP, it is necessary to plan a Tourism
Satellite Account. In this above table the estimates of contribution of
tourism to GDP.
Table – 3: Share of employment in tourism sector
Year 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21
Share 11.37 12.25 12.28 12.27 12.13 11.36 9.83
(in %)
Direct 4.96 5.34 5.4 5.32 5.29 4.56 3.82
%)
Indirect 6.14 6.91 6.98 6.88 6.84 5.19 4.98
%)
Employment 67.21 69.75 72.26 75.31 80.63 56.50 42.25
(million)
Source – Ministry of tourism annual report 2020-21

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 DIGITAL TRANSFORMATION IN EMERGING BUSINESS ENVIRONMENT

Figure – 3: Share of employment in tourism sector

Table 3: The aforementioned table demonstrates how important

the tourism industry is for both direct and indirect employment in any
nation. Particularly, this table is for India's employment sector, which
is expected to grow by a sizable proportion from 2014 to 2021 (67.21
to 87.50).

Positive Results
Provoke Income: Every country has its own unique values,
cultures, monuments, and other landmarks, so tourists are attracted to
other nations' economies and attractions, which helps us raise and
stimulate revenue.
International infrastructure development: In addition to the
hotels and upscale restaurants that cater to out-of-town visitors,
tourism tends to foster the development of multipurpose
infrastructure that helps the local community..
Life standard improve: The tourism industry contributes
significantly to raising the standard of living for both individuals and
nations. Through travel, we learn about other people's cultures,
values, and view points, which helps us raise our own.
Contribution of GDP: The Indian government also raises money
in indirect and broader-reaching means that are unrelated to particular
parks or conservation regions through the tourism department.

Unfavorable Effect
Undesirable Social and Cultural Change: In certain
circumstances, tourism has wreaked havoc on a community's social

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fabric. The risk of a place losing its identity increases as more tourists
arrive there. Goa is a prime example. When the hippy movement was
at its height in the late 1960s and early 1980s, Goa served as a haven
for such rebellious individuals. They arrived in this country by the
hundreds, changing the state's entire culture and contributing to an
increase in the use of narcotics, prostitution, and human trafficking.
The nation was greatly impacted by this.
Creating a Sense of Antipathy: The local community saw
just a minor benefit from tourism. More than 80% of traveler
expenses in the majority of all-inclusive package trips go to airplanes,
hotels, and other international firms rather than local business owners
and labor. Additionally, large hotel chains' restaurants usually serve
food to satisfy outside customers and occasionally hire locals for high
management positions, preventing local labourers and farmers from
taking advantage of their proximity. This has frequently stoked
hostility towards tourists and the authorities.

Conclusion
As a result, we can argue that Indian tourism has a significant
potential to create jobs and generate foreign currency. The total
number of foreign visitors arriving in the nation has increased
significantly. Except for a few years over the research period, it
displayed an increasing tendency. It indicates that the Indian
government is paying attention to the growth of tourism as well as
connecting nearly all of the well-known tourist destinations by road,
rail, and civil aviation. The nation's tourism-related foreign exchange
receipts have grown considerably. Huge policies, fee reductions, and
a full package for India, of course, have driven Incredible India to
improve tourism in India in order to draw in foreign tourists. India's
tourist sector is expanding steadily at the moment thanks to the
country's expanding core lesson, growth of high-spending
international tourists, and assistance with government programmes to
advertise "Incredible India." If India is to become a global player in
the tourism industry, it is essential that all branches of the Central and
State governments, the private sector, and intentional organizations
work together actively to achieve economic growth in the tourism
sector. Tourism may be a multifaceted activity and primarily a
benefits industry.

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Suggestion
By improving the nation's economic status through a variety of
activities, tourism can bring about economic development. The two
things that tourism does best for a nation are increase GDP and local
and national employment possibilities. In addition to its primary
contributions, tourism raises investment, improves infrastructure,
raises tax revenue, creates new business opportunities, boosts income,
raises people's standards of life, etc.

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Causality between tourism and economic growth: Empirical
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2. Sharma, A., Johri, A., & Chauhan, A. (2012). FDI: An
instrument of economic growth & development in tourism
industry. International Journal of Scientific and Research
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3. Mishra, P. K., & Rout, H. B. (2012). Economic impact of
tourism: a case study of Jharkhand. International Journal of
Economics and Managerial Thoughts, 3(2), 130-139.
4. Ohlan, R. (2017). The relationship between tourism, financial
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