SUBJECT TITLE: MERGERS AND ACQUISITIONS

SUBJECT CODE: MB 2406 Lecture (L) Tutorial (T) Practical (P) Credit (C)
SEMESTER: IV 3 0 0 3
CONTACT HOURS/WEEK:
Internal Assessment: 40
End Term Exam: 60
Duration of Exam: 3 Hrs
Objective and outcome of course:The objective of subject is to familiarize students with mergers
process and significance of corporate restructuring.
Contents of Syllabus:
Contact
Sr. No Contents
Hours
Mergers- types of merger– theories of mergers- operating, financial and managerial
synergy of mergers – value creation in horizontal, vertical and conglomerate mergers –
UNIT-I internal and external change forces contributing to M & A activities- Impact of M & A on 15
stakeholders. M & A – A strategic perspective- industry life cycle and product life cycle
analysis in M&A decision, strategic approaches to M&A- SWOT analysis, BCG matrix.
Merger Process: Dynamics of M&A process - identification of targets – negotiation -
closing the deal. Five-stage model – Due diligence– Types - due diligence strategy and
process - due diligence challenges. Process of merger integration – organizational and
human aspects – managerial challenges of M & A. Corporate restructuring – significance
UNIT-II 15
- forms of restructuring – joint ventures – sell off and spin off – divestitures – equity carve
out – leveraged buy outs (LBO) – management buy outs – master limited partnership–
Limited Liability Partnership (LLP) in India: Nature and 91 incorporation of LLP-De
merger- strategic alliance- buyback of shares.
Methods of financing mergers – cash offer, share exchange ratio – mergers as a capital
budgeting decision Synergies from M&A: Operating and Financial synergy Accounting
UNIT-III for amalgamation – amalgamation in the nature of merger and amalgamation in the nature 10
of purchase- pooling of interest method, purchase method – procedure laid down under
Indian companies act of 1956.
Takeovers, types, takeover strategies, - Takeover defences – financial defensive measures
– methods of resistance – anti-takeover amendments – poison pills, Legal aspects of
UNIT-IV Mergers/amalgamations and acquisitions/takeovers- Combination and Competition Act- 10
Competition Commission of India (CCI), The SEBI Substantial Acquisition of Shares and
Takeover code.
Relevant Case studies should be discussed
Recommended Books:
1. Kenneth C. Laudon and Carol Guercio Traver ,E Commerce Business Technology Society‟ Pearson Publisher.
2. Henry Chan,E-Commerce Fundamentals and Application‟, Wiley publication
3. Gary Schneider, Electronics Commerce‟ Thomson Course technology
4. Vinod V Sople, Managing Intellectual Property‟ PHI Learning Private Limited
Instruction for Question Paper setter: The Question Paper should be divided into three parts. Part A shall consist
of 12 MCQ’s of 1 mark each. Part B shall consist of 6 short Questions of 4 marks each out of which 3 Questions
shall have internal choice & Part C shall consist of 3 long questions of 8 marks each out of which one question shall
have internal choice.
SUBJECT TITLE: RISK MANAGEMENT AND HEALTH INSURANCE
SUBJECT CODE: MB 2415
SEMESTER: IV
CONTACT HOURS/WEEK: Lecture (L) Tutorial (T) Practical (P) Credit (C)
3 0 0 3
Internal Assessment: 40
End Term Exam: 60
Duration of Exam; 3 Hrs
Objective and outcome of course:The course will help to understand the basics of health
insurance. Develop skills in managing risks and costing thereby design benefit package and set
premium. Understand provider payment mechanism Design and plan community health
insurance

Contents of Syllabus:
Sr. No Contents Contact
Hours
UNIT-I Health Insurance, Market Failure and Risks- Concept of Health 10
Insurance- Types, origin, evolution and importance: Private Health
Insurance for profit ,Private Health Insurance not-for-profit :
Community Health Insurance (CHI), Employer Based Insurance,
Health Micro Insurance (MHI) and Reinsurance Public Health
Insurance : National Health Insurance, Social Health Insurance
Fundamental difference among various Health Insurance Schemes
Various models of CHI and MHI tested / implemented in developing
countries Health Insurance in Indian Context
Social security: A fundamental concept- Risk and Insurance- Demand
and Supply for Health Insurance -Economics of Scale- Welfare Loss
from Health Insurance- Actuarially Fair Premium, Expected Loss,
Load Factors -Market failure and role of Government Risks : Moral
hazard, adverse selection, cost escalation, fraud and abuse, cream
skimming
Risk Management Tools Moral Hazard: Co-payment / coinsurance,
deductibles, indemnity payment, mandatory referral system Adverse
Selection: Collective membership, group policies Cost Escalation :
Treatment Protocol, fixed fee per illness Fraud and Abuse (free rider):
Insurance cared with photograph

UNIT-II Designing Benefit Package and Premium setting- Designing 10

Benefit Package : Introduction Issues to be considered : Financial
resources, existing infrastructure and quality care, priority, utilization,
pattern of disease and injury, level of health services, estimating
maximum demand Costing the Benefit Package : Cost of
pharmaceuticals, consultations, diagnostic support
services, ;hospitalization, additional services and operating costs
Premium Setting : Calculation and determining Premium
UNIT-III Provider Payment Mechanism-Introduction-fee for services-case 10
payment- daily charge-bonus payment- flat rate payment- capitation-
salary-global budget- DRG- Comparison of different payment
systems.
Designing and Planning of Community Health Insurance- Pre-
Feasibility Study: Establish contact with community, test
preconditions (social cohesion, priority for health, trust to the initiator,
quality services. Economic situation), information, education and
communication, working groups, planning data collection- Data
collection and analysis: household survey questionnaire design,
production of information- Feasibility Study : Basis of choice (benefit
package and premium), scenario, major risks and its management,
payment mechanism and fund management- Preparing for
Implementation: Practical and logistics Implementation : Launching,
enrolment, premium collection, waiting period Monitoring and
Evaluation

UNIT-IV Managed Care-Origin, Growth and Development of Managed Care - 10

Importance -Management Functions of Managed Care -System of
Managed Care- Health Maintenance Organization (HMO)- Preferred
Provider Organization (PPO) -Exclusive Provider Organization
(EPO)- Physician Hospital Organization (PHO) -Independent
Practitioner Organization (IPO)- Components of Managed Care
System Contractor Provider Network Patient Access Systems
Utilization Management Claims Payment Customer Service Quality
Management .

Recommended Books:

1. Michelle A. Green, 'Understanding health Insurance-A guide to Billing and Reimbursement'

Paperback,2016
2. L.M. Harpster and M.S. Veach, Risk Management Handbook for Healthcare Facilities
(American Hospital Association, USA, 1990
3. Peter R. Kongstrvedt (ed), The Managed Health Care Handbook (Aspen Publication,
Maryland, USA, 2000
4. A.V. Rickel and T.N. Wise, Understanding Managed Care (Karger, USA 2000)

Instruction for Question Paper setter : The Question Paper should be divided into three parts. Part A
shall consist of 12 MCQ’s of 1 mark each . Part B shall consist of 6 short Questions of 4 marks each out
of which 3 Questions shall have internal choice & Part C shall consist of 3 long questions of 8 marks
each out of which one question shall have internal choice.