Sunday, June 17, 2007

Business Policies

Business Policies
2007 AOM BPS PROGRAM UPDATEBy Joseph T. Mahoney, BPS Program Chair, University of Illinois at Urbana-ChampaignCRAFTING THE 2007 BPS PROGRAM
The year 2007 marks a 50-year period since the last Academy of Management meeting in Philadelphia. Who at that 1957 meeting, I wonder, imagined the growth in the Academy that would take place? Indeed, expansion of the Business Policy and Strategy Division continues as a record 720 submissions were received for the 2007 BPS Program to be held in August. Last year’s record number of paper submissions was surpassed, resulting in a new all-time high of 655 paper submissions for this year’s program. Further, last year’s BPS Program Chair Russ Coff’s emphasis calling for more Symposia submissions was strongly heeded as the number of Symposia submissions almost doubled (from 33 to 65 submissions). Another milestone for the BPS Division is receiving submissions from over 1,000 unique authors. The rapid expansion of the Strategy field internationally is especially noteworthy as our BPS Division now has over half (52%) of its submissions from authors outside of the United States. Importantly, over 1,000 reviewers contributed, and authors and reviewers from 46 countries participated. These data indicate exciting changes taking place in the Business Policy and Strategy Division! The reviews are in! We are currently working on the BPS program and many thanks are due to former BPS Chair Javier Gimeno for developing the centralized system that has since been adopted throughout the Academy. Since many reviewers were new to the process, we utilized this system by assigning 4-6 reviewers to each paper submission because we wanted to increase the likelihood that each submission received more high quality feedback. This procedure also minimized the need for emergency reviewers. Over 3,000 reviews (91%) were completed on schedule. Our BPS Division continued taking the time to assign reviewers individually and I thank Anne Marie Knott and Cathy Maritan for their expert help.I relied heavily on the reviews in making decisions about submissions since the volume of input was very large and the bottleneck was my brain. In a frequent number of cases, however, there were mixed reviews and in these cases I read the reviews, examined the manuscripts and made assessments. At best, a Program Chair can make a difference at the margin, but in large measure the quality of the BPS Program is determined by the quality of the collective efforts of its members. Thanks are due to the many individuals who have provided their diligent efforts. Thanks are due to Shawn Riley, my doctoral Research Assistant, who put in many hours of his time and efforts in putting the Program together.Discussants Have an Important Role. For this year’s BPS Program, all 67 BPS Paper sessions will be served by a discussant. Since the typical session is likely to have a young scholar in that session, a skilled discussant who can offer suggestions for improvement is most valuable both for that scholar and for the audience. I also will ask each discussant to facilitate interactions between presenting scholars and the audience. Discussants will have little opportunity to give a common complaint. Like my predecessor, I hope that a standard introductory discussant comment --- “these papers have nothing in common” --- will not apply this year. Much thought was given on how to place the 268 BPS papers into the 67 BPS Paper sessions. In addition, substantial efforts were made to place the 98 BPS Visual Papers into nine coherent groups and to include some prestigious scholars into each of these nine Visual Paper sessions. The BPS Division also worked with the Interactive Chair to place our 99 BPS Interactive Papers into coherent groupings and to assign expert Facilitators for these research areas. It should be noted here that the 67 BPS Paper sessions were organized entirely by topic, without the knowledge of who would be in a session until after the session was put together. We hope that this procedure will lead to sessions with balanced strength and coherence. Following the lead of last years’ BPS Program Chair, Russ Coff, we tried to minimize scheduling sessions on a given topic at the same time.A Team Effort. After the Major League Baseball Team the Amazing New York Mets of 1962 lost a record 120 games in a single season -- a record that still stands -- the manager Casey Stengel walked into the clubhouse and said: “Gentlemen, this was a team effort.” If the Program has a record number of problems I am comforted to have this comment to give. However, this subheading is not meant for sharing the blame, but rather for giving of praise to the many who have given freely of their time and energy for the collective good. First, I thank the BPS Executive Committee for their great support and advice throughout this process. Annette Ranft (Newsletter) and Robert Wiggins (Web-master) really helped me get the word out when needed. Russ Coff, Cathy Maritan, Anita McGahan, Joanne Oxley and Jim Westphal were especially helpful as colleagues and friends throughout the process. From the Academy of Management, Mr. Jimmy Le was incredibly responsive to anything the BPS Division needed.While the BPS Program takes much time and energy, it has been a wonderful opportunity to work with many diligent and caring people. The experience has also been rewarding as I have gained a greater appreciation of the landscape of the Business Policy & Strategy Division. Speaking of knowledge of the BPS landscape, I emphasize my appreciation to Cathy Maritan for the countless hours of expert help that she provided with intelligence, warmth and grace. Let me close by thanking all of you who submitted papers and symposia to the BPS Division, served as Reviewers, and volunteered as Discussants and Session Chairs. Together, we have created an excellent Program for the 2007 Academy of Management Conference in Philadelphia. Take care and hopefully we will all meet safe and sound this August in the City of Brotherly Love!

Share Market

Share Market Glossary:
Arbitrage : Business of buying in one exchange and selling in another to take advantage of price differences.
Auction : A mechanism used by the Stock Exchange to fulfill its obligation to the buyer of a security. It is done when the seller is unable to deliver the scrips sold by him. The security in question is offered by a member who has ready possession of the scrips.
Bear : An operator who expects the share price to fall
Bear Market : A weak and falling market where buyers are absent
Blue Chips : Shares of financially sound, well established companies with a track record of good growth and regular payment of dividends.
Bonus Shares : Shares allotted to the existing shareholders by capitalising the reserves into additional capital. When market expects a company to come out with a Bonus Issue, the price of the shares normally goes up.
Book Closure : A company closes its register of members for updating the records to facilitate payment of dividends or issue of rights of bonus shares. Book closure is the period during which this process is done and deliveries are not effected in the clearing house.
Bourse : A Stock Exchange
Bull : An operator who expects the share price to rise and takes position in the market to sell at a later date.
Bull Market : A rising market where buyers far outnumber the sellers
Call Option : An option where the buyer gets the right to buy the underlying security at a specified future date.
Carry Forward : Settlement where positions are carried forward from one settlement to another settlement.
Cash Settlement : Payment for transactions done in one settlement on the due date.
Circuit Breaker : A mechanism used to restrain the market when it gets overheated. The Exchange may relax the limit after a cooling off period of about half an hour.
Clearing House : It is a legal counter party to both legs of every trade. The netted purchase and sale positions of the trading Members are settled through the Clearing House.
Company Objection : In some cases, the companies send back the certificates received for transfer citing reasons for their inability to do so. The letter sent by the Company is known as Company Objection.
Cum Bonus : A share is described as cum bonus when the purchaser is entitled for current bonus
Cum Dividend : A shares is described as cum dividend when the purchaser is entitled for current dividend
Cum Rights : A share is described as cum rights when the purchaser is entitled for current rights
Day Order : The quantity that remains untraded is not cancelled until the end of the day.
Dealer : A Dealer is a user who works on behalf of the Trading Member
Delivery Based Trading : When a share is bought or sold for the purpose of receiving or effecting deliveries.
Dematerialisation : Process of converting a security from physical form to electronic form
Derivatives : A financial contract between two or more parties and it is derived from the future value of an underlying asset.
Disclosed Quantity : An order entered in the system wherein only a fraction of the order quantity is disclosed to the market.
Dividend : Cash payment made to the shareholders out of the profits of the company.
Ex Bonus : A share is described as Ex Bonus when the buyer is not entitled for the Bonus. The seller remains the beneficiary.
Ex Dividend : A share is described as Ex Dividend when the buyer is not entitled for the Dividend. The seller remains the beneficiary.
Ex Rights : A share is described as Ex Rights when the buyer is not entitled for the Rights. The seller remains the beneficiary.
Expiry Date : The date and time after which a writer of an option cannot exercise his rights.
Exposure Limit : The limit allowed to the Broker by the Exchange or to the customer by broker. It is the total value upto which one is allowed to hold open positions at any point of time.
Futures Contract : An agreement between parties for a specified asset for performance on a fixed date in future.
Hedging : It is protecting an existing asset position from an adverse future position. A hedger takes an equal and opposite position in the futures market to the one he holds in the equity market.
Insider Trading : Trading carried out by people who have access to non public price sensitive information.
Limit Order : A buy or sell order where price is specified at the time of order entry
Long Position : A bull position in a security
Margin : An upfront payment made by the customer to take position in the market. His exposure limit is fixed based on the margin money brought in by him.
Mark To Market : A notional profit or loss of a long or short position as compared to the current market price.
Market Order : An order where no price specification is mentioned at the time of placement
NSCCL : National Securities Clearing Corporation Limited. The Clearing Corporation of the National Stock Exchange.
NSE : National Stock Exchange
Offer : The price at which a share is available in the market
Offer Price : The price at which a company offers its shares to the public through issue of a prospectus
Order Cancellation : A facility available in the trading system where one is allowed to cancel the order placed earlier.
Order Modification : A facility available in the trading system where one is allowed to modify an earlier order.
Pay In : The designated day on which the members pay securities and funds to the clearing house
Pay Out : The designated day on which the Clearing House effects payment and deliveries to the members
Price Band : It sets up the upper and lower limits for a share's movement on any given day. It is based on the previous trading day's closing price. The system will not accept the orders that are out of bound.
Price Rigging : A process where persons collude to artificially increase or decrease the price of a security
Put Option : An option where the buyer gets the right to sell the underlying security at a specified future date.
Quote : Prices at which a share can be bought or sold
Record Date : The date on which the beneficial owner of the Corporate Benefits is determined.
Rematerialisation : Process of converting the shares from electronic form to physical form
Rights Issue : Issue of new share to the existing shareholders at a price which is normally lower than the current market price of the old shares. It is issued in a fixed ratio to the those shares which are already held.
SEBI : The Securities Exchange Board of India, the regulatory body controlling the functioning of Stock Exchanges in India.
Stop Loss Order : An order placed with a 'trigger price'. It is placed to minimise the losses and the order can be either for a purchase or a sale.
Volume : The total number of shares that are transacted in a scrip. It helps in analyzing and understanding the reasons behind price
General Market Advice:
1. Never chase a stock.
2. Buy when markets are in the grip of panic.
3. Only buy fundamentally strong stocks, which are undervalued.
4. Buy stocks grown in top line and bottom line over the past years.
5. Invest in companies with proven management.
6. Avoid loss-making companies.
7. PE Ratio and Growth in earnings per share are the key.
8. Look for the dividend paying record.
9. Invest in stocks for sure returns.
10. Stocks have been the high yielding asset class over the past.
11. Stocks are an asset class.
12. The basic property of any asset class is to grow.
13. Buy when everyone is selling and sell when everyone buys.
14. Invest a fixed amount each month.
Last But not least Trust our tips and then invest to earn huge profit
Click here for Indian stock market tips
Sharetipsinfo Team