Amity Business School

Module 5:Project Management

 Amity Business School
STEPS AND PROCEDURE FOR SETTING UP SMALL SCALE
• 1 - Identify a Business Idea
• 2- Validate Your Business Idea
• 3- Get a Memorable Business Name & Logo
• 4 - Develop a Business Plan
• 5 - Understand Business Finances
• 6 - Choose the Right Bank for Your Small Business
• 7 - Choose the Structure of Your Small Business
• 8 - Get Licenses and Permits
• 9 - Decide and Pick the Software Systems for Your Small Business
• 10 - Set up a Digital Presence‍for Your Small Business
• 11 - Build Your Team
• 12 - Build a Great Product
• 13 - Launch Your Business
• 14 - Become a Strong Salesperson
• 15 – Invest and Grow - Have a Great Investor Pitch Deck
 Amity Business School
Role of Financial Institutions
• Financial institutions perform a critical role in the economy. The
central government organization controls banking and non-
banking financial institutions.
• Moreover, these institutions fill the gap between idle savings and
investment and its borrowers, i.e., from net savers to borrowers.
• The roles such as money supply regulation, banking services,
insurance services, capital formation, investment advice,
brokerage services, pension fund services, trust fund services,
financing small and medium-scale enterprises, and acting as a
government agent for economic growth are played by the
financial institutions.
Amity Business School
 Amity Business School

E-commerce (electronic commerce) is the buying and selling of goods and services, or the
transmitting of funds or data, over an electronic network, primarily the internet.

These e-commerce transactions typically fall within four types: business-to-business (B2B),
business-to-consumer (B2C), consumer-to-consumer or consumer-to-business.
 Amity Business School

The main types of e-commerce business models include the following:

B2B. This refers to the electronic exchange of products, services or information between businesses
rather than between businesses and consumers. Examples include online directories and exchange
websites that let businesses search for products, services or information and initiate online transactions
through e-procurement interfaces.
B2C. These transactions are when businesses sell products, services or information to consumers. There
are typically intermediaries or middlemen that handle shipping, delivery and customer service, however.
The term was popular during the dot-com of the late 1990s, when online retailers and sellers of goods
were a novelty.

Direct-to-consumer (D2C). This is where a business that manufactures or produces goods and services
sells directly to consumers online without any middlemen or distributors involved, in contrast to B2C e-
commerce.
Consumer-to-consumer (C2C). This is a type of e-commerce in which consumers trade products,
services and information with each other online. These transactions are generally conducted through a
third party that provides an online platform in which the transactions are carried out.
 Amity Business School

Consumer-to-business (C2B). This is a type of e-commerce in which consumers make their products and
services available online for companies to bid on and purchase. This is the opposite of the traditional
commerce model of B2C.
A popular example of a C2B platform is a market that sells royalty-free photographs, images, media and
design elements, such as iStock. Another example would be a job board.

Business-to-administration (B2A). This refers to transactions conducted online between companies and
public administration or government bodies. Many branches of government are dependent on various types
of e-services or products. These products and services often pertain to legal documents, registers, Social
Security, fiscal data and employment. Businesses can supply these electronically. B2A services have grown
considerably in recent years as investments have been made in e-government capabilities.
 Amity Business School

Consumer-to-administration (C2A). This refers to transactions conducted online between consumers

and public administration or government bodies. The government rarely buys products or services from
individuals, but individuals frequently use electronic means in the following areas:
•Social Security. Distributing information and making payments.

•Taxes. Filing tax returns and making payments.

•Health. Making appointments, providing test results or information about health conditions and making
health services payments.

Mobile commerce. Also known as m-commerce, mobile commerce refers to online sales transactions
using mobile devices, such as smartphones and tablets. It includes mobile shopping, banking and
payments. Mobile chatbots facilitate m-commerce, letting consumers complete transactions using voice or
text conversations.
 Amity Business School
E Auction
• An eAuction is a transaction between sellers (the
auctioneers) and bidders (suppliers in the business-to-
business scenarios) in an electronic marketplace.
• It can occur business-to-business, business-to-consumer, or
consumer-to-consumer, and allows suppliers to bid online
against each other for contracts against a published
specification.
• This kind of environment encourages competition,
resulting in goods and services being offered at their
current market value.
 Amity Business School
Definition
• E-auction is the process of buying and selling
products or services online through an auction
platform. The first e-auction was held in 1995 by the
U.S. Department of Treasury and since then, online
auctions have become a popular way to buy and sell
everything from gadgets to real estate. E-auctions are
conducted in real-time and usually last for a set period
of time, during which buyers can place bids. The
highest bidder at the end of the auction wins the
product or service.
 Amity Business School

• E-auctions are online auctions where buyers can bid on items and
purchase them electronically. The terms of the auction are
typically set by the seller, and the highest bidder at the end of the
auction wins the item. E-auctions can be used for a variety of
items, including goods, services, and even real estate.

• E-auctions have become increasingly popular in recent years as a

way to sell items quickly and efficiently. They are often used by
businesses to dispose of surplus inventory or unsold
merchandise. E-auctions are also sometimes used by
government agencies to sell surplus property or assets.
Amity Business School
 Amity Business School
Advantages
• An e-auction is an online auction that is held over the internet. There are many
different types of e-auctions, but they all have one thing in common: they allow buyers
and sellers to connect and transact business without having to meet in person.

• E-auctions have many advantages over traditional auctions. For one, they are much
more convenient for both buyers and sellers. Buyers can participate in e-auctions from
anywhere in the world, and sellers can reach a much larger pool of potential buyers
than they would if they were selling through a traditional auction house.

• Another advantage of e-auctions is that they often result in lower prices for buyers.
This is because there is more competition among buyers when everyone is bidding
online, which drives prices down. Additionally, sellers may be more willing to accept
lower prices in an online auction because they save on costs like shipping and
storage.
 Amity Business School
Disadvantages
• It can be difficult to assess the quality of an item when
you are bidding on it sight unseen. It is also important
to be aware of scams when participating in online
auctions. You should only bid on items from reputable
sellers, and be sure to pay with a secure payment
method like PayPal or a credit card. Finally, you may
not have the same legal protections when
participating in an online auction as you would if you
were buying through a traditional brick-and-mortar
store.
 Amity Business School
Project Management problems
• Project management is a dynamic business function filled
with unexpected hurdles and challenges.
• Despite careful planning, issues like poor communication,
unrealistic deadlines, and limited budgets can affect the
quality of deliverables.
 Amity Business School

1. Poorly Defined Project Goals & Objectives.

2. scope creep is about a client making changes in the project’s scope, altering a project’s budget, or asking for
additional changes.
3. Budget Constraints
4. Conflicts Arising Due to Miscommunication
5. Lack of Alignment in the Team
6. Inadequate Resource Allocation
7. Competing Priorities
8. Lack of Accountability
9. Poor Risk Management
10. Getting a Robust Project Management Software

Project managers often fail to complete projects successfully when they lack an effective approach to identify,
analyze and achieve the desired project objectives.
Why do large projects fail?
Big projects mostly fail due to poor cost and poor risk assessment. Inaccurate estimation of the greatest risks like
budget overruns, scope creep, and inconsistent monitoring of projects fail to deliver what was expected.
 Amity Business School
SEZ
• A Special Economic Zone or SEZ is a specially marked territory or
enclave within the national borders of a country that has more liberal
economic laws than the rest of the country.
• An SEZ is an enclave within a country that is typically duty-free and has
different business and commercial laws chiefly to encourage investment
and create employment.

• Apart from generating employment opportunities and promoting

investment, SEZs are created also to better administer these areas,
thereby increasing the ease of doing business.
 Amity Business School
SEZ Background
• An SEZ Policy was announced for the very first time in 2000 in order to overcome the obstacles
businesses faced.

• There were multiple controls and many clearances to be obtained before starting a venture.
• Infrastructure facilities were shoddy and well below world standards in India.
• The fiscal regime was unstable as well.
• In order to attract huge foreign investments into the country, the government announced the
Policy.
• The Parliament passed the Special Economic Zones Act in 2005 after many consultations and
deliberations.
• The Act came into force along with the SEZ Rules in 2006.
• However, SEZs were operational in India from 2000 to 2006 (under the Foreign Trade Policy).
• Note:- A precursor to the SEZs, the Export Processing Zones were set up in India well before.
The first EPZ came up in Kandla in 1965 to promote exports. This was the first EPZ not only in
India but in all of Asia as well.
 Amity Business School
SEZs Facilities & Incentives
• The government offers many incentives for companies and businesses established in SEZs. some of the
important ones are:

• Duty-free import or domestic procurement of goods for developing, operating and maintaining SEZ units.
• 100% Income tax exemption on export income for SEZ units under the Income Tax Act for first 5 years,
50% for next 5 years thereafter and 50% of the ploughed back export profit for next 5 years. (Sunset
Clause for Units will become effective from 2020).
• Units are exempted from Minimum Alternate Tax (MAT).
• They were exempted from Central Sales Tax, Service Tax and State sales tax. These have now
subsumed into GST and supplies to SEZs are zero-rated under the IGST Act, 2017.
• Single window clearance for Central and State level approvals.
• There is no need for a license for import.
• In the manufacturing sector, barring a few segments, 100% FDI is allowed.
• Profits earned are permitted to be repatriated freely with no need for any dividend balancing.
• There is no need for separate documentation for customs and export-import policy.
• Many SEZs offer developed plots and ready-to-use space.
 Amity Business School
Cluster Development
• Cluster as a critical mass of enterprises located in
geographical proximity to each other.
• There is no universally accepted way of establishing the exact
boundaries of a cluster. What is perceived as close in one
location may represent an insurmountable distance in others;
distance can be influenced by the availability of transport
facilities, as well as by cultural identity and social values.
• Moreover, the number of enterprises necessary to be
considered as constituting a cluster can vary depending on
the size of a country.
 Amity Business School

• Enterprises within clusters share many common features. Cluster-

based enterprises share one or more of the following characteristics:
• First, they may use the same suppliers of raw materials and other
inputs, especially when they are active in the same industrial sector.
• Second, they may cater to the same markets and clients (e.g. the
local handicraft market), even when producing different goods.
• Finally, all enterprises share the same territory, its infrastructure,
services and, in many cases, a common cultural identity. Enterprises
within a cluster also often face common obstacles and challenges
including, for example, a lack of infrastructure or limited access to
capital.
 Amity Business School

• Besides enterprises, clusters also include support

institutions, such as:
• Business associations;
• Business development service (BDS) providers;
• Financial service providers, including banks;
• Public authorities such as local, regional and national
governments and regulatory agencies;
• Training agencies such as vocational schools,
universities, etc.
 Amity Business School

• How does cluster development work?

• According to experts, cluster development is the economic
development of business clusters or residential areas to
permanently protect open spaces and environmental
resources. Under this scheme, houses are built closer
together on a part of land rather than spread evenly on large
lots over the whole development.
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School
Amity Business School