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GROUPII PAPER6
INfORMATIONTECtiNOlOGY GROUP.II PAPER-7
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& STRATEG'CMANAGEMENT MAY 2010 INFORMATIONTECHNOLOGY
Roll No............................... AltO STRATEGICMANAGEMEIT
Total No. of Questions-lO] [Total No: of Printed Pages-IO .
Time Allowed-3 Hours Maximum Marks"",lOO
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Answers to questions are to be given only in English except in the case of candidates
who have opted for Hindi medium. If a candidate who has not opted for Hindi
medium, answers in Hindi, his answers in Hindi will not be valued.
Answers to Sections A..and B should be given in separate sets of answer-books.
SECTION-A
Attempt all questions.
Marks
1. (a) Describe briefly the following terms: 5xl=5
- (i) RISe
(ii) SCSI
(iii) WiFi
(iv) Linked List
(v) Metadata.
(b) Explain each of the following: 5xl=5
(i) Mirror Log
(ii) Open Source Software
(iii) Fire wall
(iv) Intranet
(v) Multitasking.
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2. Answer the following:
(a) Explain the value added services that a Data Centre provides. 5
4
'(b) Explain different core phases that are required in developing a backup and 5
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recovery strategy.
3. (a) Discuss the various attributes of Local Area Network (LAN). 5
(b) What is Integrated Services Digital Network (ISDN) ? Write its advantages. 5
4. The Income-tax for the employees of an organization is calculated on the basis of 10
their Gross Incom'e and the Investments made by them, under Section 80CCC.
The taxable income is calculated according to the following rules:
=
Taxable Income Gross Income - Investments provided investments are less
than 1 lac. Otherwise
Taxable Income = Gross Income - 1,00,000
Following rules are applied to calculate the Income-tax, on the Taxable Income:
Taxable Income Income-tax
(i) 0-1,60,000 Nil
(ii) 1,60,001-3,00,000 10%, on the excess of 1,60,000,
(iii) 3,00,001-5,00,000 14,000 + 20% on the excess o( 3,00,000
(iv) 5,00,001 and above 54,000 + 30% on the excess of 5,00,COO
Also an educational cess of3% ofIncome-tax is levied on all the employees, irrespective
of the income.
Employee number, Name, Gross Income, Investment amount is given as input.
,
Draw a flow chart to calculate the Income-tax payable by each employee.
. c,
5. Write short notes on the following:
(a) Stages of Data Mining 5
(b) Bluetooth Technology. 5
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SECTION-B
Attempt all questio~s.
6. State with reasons which of the following statements is correct or incorrect : 3x2=6
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(a) Globalisation means different things to different people.
(b) Production strategy implements, supports and drives higher strategies.
(c) Benchmarking and Business Process Reengineering are one and the same.
7. Briefly answer the following: 3x2=6
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(a) Need for Turnaround Strategy
(b) Grand Strategy Alternative during Recession
(c) 'Shared Vision' and 'Vision Shared'.
8. (i) What tips can you offer to write a 'right' Mission Statement _? 2x4=8
(ii) An industry comprises of only two firms-Soorya Ltd. and Chandra Ltd. From
the following information relating to Soorya Ltd., prepare BCG Matrix:
Product Revenues Percent Profits Percent Percentage Percentage
(in Rs.) Revenues (in Rs.) Profits Market Industry
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Share Growth rate
A 6 crore 48 120 lakh 48 80 ,+ 15
B 4 crore 32 50 lakh 20 40 + 10
C 2 crore 16 75 lakh 30 60 - 20
D 50 lakh 4 5 lakh 2 5 - 10
Total 12.5 crore 100 250 lakh 100
9. Michael E. Porter has suggested three generic strategies. Briefly explain them. 3+1+3
What is the basic objective to follow a generic strategy ? In, what situations can +3=10
the three strategies be used? Identify the type of strategy used in the following
examples:
(a) Dell Comput~r has decided to rely exclusively on direct marketing.
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(b), "Our basic strategy was to charge a price so low that microcomputer makers
couldn't do the software internally for that ~heaply."
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(c) 'NDTV', a TV Channel has identified a profitable audience niche in the electronic
media. It has further exploited that niche through the addition of new channels
like 'NDTV Profit' and 'Image'.
10. Read the following case and answer the questions given at the end:
Subhiksha (prosperity in Sanskrit) began with a single grocery store at Chennai
in .1997. Subhiksha stores increased from 50 in 2000 to 140 by 2002-03 (spread
across 30 towns in Tamilnadu) to 670 by 2006-07 to 1650 by September, 2008. Its
early s~ccess was due to its business model based upon no-frills/deep discount and
high level of neighbourhood focus. Its decision in 2004 to go national from a
regional player at a rapid pace proved wrong. With the growing ambition to go
national, focus shifted from value to customers to creating valuation for self. The
company had recruited all the employees to foray into consumer durables also. Its
revenue increased from Rs. 278crore from 140 stores in 2005 to Rs. 2305 crore
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in 2008 with a capital base of Rs. 32 crore. Subhiksha's profit after tax for
2007-08 was Rs. 41 crore. It had invested heavily, largely using debt, and paybacks
took longer than expected. Repayment of debt had no relationship to cash flow. In
the end the company had liabilities of Rs. 900 crore.
Around January, 2009, the company had started to shut down stores pan-India
and in February, the top management quit the firm, not just because it defaulted
on rentals of its outlets and salaries since October, 2008. Today all ~he stores are
closed. Major suppliers had stopped supplies after it defaulted on payments. It
asked its employees to take home groceries; and go on leave without pay. Many
employees did not get their salaries. Initially the company was confi,dent ,torestructure
and remain in business.
Indian retail industry comprises of 12 million mom-and-pop stores and kirana
stores (many of whom have also started innovating) aI;ldunknown number of
hawkers in the unorganized sector working on small-sized stores and with low or
no rentals and salaries and the organized retailers (market share not more than
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5%).
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The emergence of a large young population and a growing middle class with strong
disposable incomes and credit card culture are the drivers of the organized retail,
a mix of two types - ones going in for huge expansion announcements and others
following "slow and steady wins the race strategy". The industry operates not on
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a very ,hefty margin. The yearly top-line' growth is'likely to remain around 10-15%
as against forecasted 35% this year. Compared with players like Pantaloon, Reliance,
More, RPG and even Nilgiri's (which has private equity funding), Subhiksha has
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no large group's backing (except Shri Azim Premji having 10% stake). The strategy
was to raise more debt and keep equity low. During 2006, Subhiksha had a good
chance to make an initial IPO or raise private equity money, but it was in quest
of creating higher valuations. Suddenly retail was no longer so hot and the
capital tap had gone dry. Due to inability to raise more debt, working capital was
diverted to expand. Many of the organized retailers have survived the downturn
through transformation in their strategies and tactics. However, one thing is
certain th,;tt footfalls have declined for the organized retail.
Debt-ridden retailer Subhiksha Trading Services Ltd. has begun its second innings
in February, 2010, with the launch of its first cash-and-carry store (the board
outside the outlet reads Subhiksha Maligai Arisi Mandi) in Thiruvanmiyur in
Chennai - at its first ever retail outlet). "Subhiksha's model will be different this
time around and will not directly engage with customers," said an industry source.
Questions:
(a) "To understand the nature ofcompetition certain questions need to be answered." 3
What those questions are?
(b) Who were the competitors of Subhiksha ? Do you think they were better 5.
equipped than it ?
(c) What, where and how the business strategy of Subhiksha might have gone 4
wrong?
(d) If you were the strategy consultant to the Organised Retailers Association of 6
India, what will you advise to control the cost and convert the threat of
dropping footfalls and declining sales into an opportunity? .
(e) How is a Cash-and-carry store different from a Retail store? Name any other 2
such Cash-and-carry store in India.
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(Hindi Version)
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(ii) SCSI
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(v) iJc.I-SIc.1(Metadata).
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