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Midway through construction, a hotel developer realised that costs had risen too much to be feasible for equity capital. They repositioned the asset as a ResiTel wherein each suite would be sold as a condominium unit to retail buyers. This called for setting up two separate entities: one (PropCo) for asset management and the other (LeaseCo) for operating the hotel. Unit owners would earn a regular share of hotel income. The lenders protected additional sale-risk by more conservative loan terms. The developer must analyse the feasibility of the repositioned asset.

Nicolas Dupont, the owner of Chateau de Montana, a struggling (and old) boutique hotel in Crans-Montana Ski Resort, Switzerland, wished to renovate and reposition his family-owned hotel to target higher room rates. Dupont commissioned Olga Mitireva and Yulia Belopilskaya as consultants to assess the proposition. The consultants had to extract cues for the room rate of the repositioned hotel from comparable hotels. However, the room rates varied significantly across similar hotels due to their differing characteristics and locations. It was a cognitive challenge to read the patterns from a few comparable hotels. They collected the data of 200 hotels from similar locations and simulated room prices using hedonic regression models.

This study aims to investigate the behavioural biases influencing the real estate market investing decisions of normal non-professional investors in India.

As the study involves the behavioural data with polytomous response format, psychometric test- graded response model (IRT approach) was used for the study with the help of STATA 14. Multi-stage stratified sampling was used to collect a sample of 560 respondents. The study used a 14-item scale representing behavioural biases derived from two broad behavioural theories, i.e. heuristics and prospect theories. Sample characteristics were checked using SPSS 20. Pre-required assumptions for IRT (i.e. local independence and unidimensionality) were tested by CFA using AMOS 20.

Five items, four of which belong to heuristics (anchoring – 2, representativeness – 1 and availability bias – 1) and one belong to prospect theory (regret aversion) are sufficient to measure the behavioural attitude of real estate investors in the Indian scenario. Item discrimination ai ranged from 0.95 to 1.52 (average value 1.29), showing moderate discrimination power of the items. The items have done a pretty good job of assessing the lower level of agreement. For the higher level of agreement, the scale came out to be less precise, with less information and higher standard error of measurement.

As the behavioural biases are often false, the study suggests the investors not to repeat these nasty biases to improve investment strategies. As they are shared and not easily changeable, understanding these biases may also help them in beating the market by acting as “noise traders”.

The traditional price index is incomplete in some essential respects. The inclusion of these behavioural biases into the construction of price index will greatly improve the traditional price index, policymakers should seriously think about it.

Shelter is one of the basic needs; a dwelling unit is needed for one to stay in, develop and contribute to economy and society. If investors try to minimise these biases and policymakers keep a track of these while making strategies, mispricing in this sector can be controlled to some extent, which will ultimately help in the well-being of society.

This study contributes to the limited research by investigating the behavioural biases influencing the real estate market investment decisions of normal non-professional investors. It contributes to the lacking academe on real estate market in India. The study has used a psychometric test, i.e. the item response theory, for evaluating the quality of the items.

The purpose of this paper is to study the effect of the 2008 global financial crisis on housing market dynamics in an emerging economy like India using quarterly data (Q4 2008–2009 to Q1 2018–2019). The study explores the extent of linkages between housing prices, monetary policy and financial stability by explaining the nature of the shocks to the housing sector and the degree of impact of those shocks; the possibility of adverse feedback loop which is beyond the natural levels; and the usefulness of explicit and direct role of monetary policy for the housing market stability, which was the loudest demand immediately after the crisis.

The paper follows a three-step methodology: data transformations, a variable selection process “general-to-specific modelling” with the help of OxMetrics 6 Package, and vector autoregressive modelling with the help of EViews 10. F-test was used to describe the short-term relationships between the variables. Impulse response and variance decomposition were used to explain the type of relationship (negative or positive) and the period of the relationships, respectively.

The study finds that the housing sector is sensitive to the monetary policy shocks, whereas the contribution of the housing market shocks to the fluctuations in other market variables is not substantial, though not negligible. As far as the nature of the shocks is concerned, the observed dynamics in the real house prices are diverging from their fundamental levels. The housing market shocks are more or less static; it rules out the chances for a self-reinforcing feedback loop with the existing setup.

The study concludes that the observed dynamics in the real house prices are diverging from their fundamental levels. Given the limitation, the researchers could extend this study by decomposing the part of the risk to the sector contributed by the other drivers, which may be inherent imperfections in housing markets, weak and unreliable wealth effect, and the presence of behavioural biases.

The present study finds countercyclical measures to be more useful for this sector as compared to the forward-looking monetary policy reforms in this sector. The central bank in India should continue to refrain from responding directly to the housing sector fluctuations. Investors can enjoy investing in the housing sector without any fear of the crisis as of now. The effect of speculation is small but not negligible, which enjoins the investors and the policy-makers to remain watchful. Interest rate, money supply and inflation lead (Granger-cause) the housing prices. This information is relevant for spending and investment decisions.

The study feels that banks should avoid using monetary policy to balance the house prices. This will be beneficial both for the economy and the society, as any change in monetary policy to especially curb out surging housing prices may adversely affect the output, and finally, may lead to the deflation. The fear of deflation may cause devastating economic, financial and social effects.

The study contributes to the literature by shedding some new insights about the interrelationship between macroeconomic variables, housing prices and financial stability in the aftermath of the 2008–2009 financial crisis. Such types of studies are absent from emerging markets, particularly from India.

The purpose of this study is to explain the relationship between behavioural biases, investment satisfaction and reinvestment intention considering the effect of evolutionary psychology. The study believes that biases are not at all times bad; sometimes, biases can assist the individual investor to select the top course of action and allow them to go for the less costly mistakes, thereby helping in achieving satisficing behaviour.

Data were collected using structured and a close-ended questionnaire from a sample of 560 respondents by using multi-stage stratified sampling method. PLS-SEM was used for preliminary validation of the questionnaire. Mediation model using the structural equation model (SEM) with the help of AMOS 20 was used for the analyses. Pre-requisite assumptions for SEM were checked by using sample characteristics. The study has three constructs with multiple items; hence, the instrument validation was done by measuring the construct validity and reliability using Cronbach’s alpha, exploratory factor analysis and confirmatory factor analysis with the help of SPSS 20 and AMOS 20.

The study confirms that behavioural biases influence investment decisions in the real estate market. Further, investment satisfaction is found to have a significant and complementary partial mediating effect. The positive mediating effect of investment satisfaction between behavioural biases and reinvestment intention shows that biases are natural tendencies in response to limit to learning which can be explained by evolutionary psychology.

There are chances that the result obtained here is because of myopic decision-making behaviour in which the long-time horizon is not considered and behavioural biases, as well as evolutionary psychology, are adaptive, so the result may change in the long-time horizon, which seeks further investigations. The study talked about the relationship between behavioural biases, investment satisfaction and reinvestment intention; it will be interesting to bring some more constructs in this model, for example, investment intention and reinvestment behaviour; this can deliver a more precise picture in this regard.

Understanding such relationships will help in better clarity about the way investment is made. The study confirms that market behaviour in the real estate market is sub-optimal, which shows that there is an opportunity for attentive investors by trading and gathering on information. Real estate practitioners can get clues from market anomalies and investor phenomena; understanding these may suggest ways to use them in the market.

Reforms in the housing sector do not only satisfy one of the basic needs but also leads to holistic economic development. Besides direct contribution, it contributes to social capital.

The study extends the current knowledge base about the relationship between behavioural biases, investment satisfaction and reinvestment intention. This study investigates the behavioural biases influencing the real estate market investment decisions of non-professional investors considering the effect of evolutionary psychology.

The case aims around transition and threats to survival in a brick kiln family business. Second, it stimulates an understanding on the need toward collective decision making by the family during the maturity stage of the family business. The purpose of this paper besides addressing entrepreneurship is to examine the “family-ness” in a family business and its benefits, the transition management issues and to understand the difficulties in handling conflicts during succession and transition cycle in a closely held family business.

The case is based on primary research, which is exploratory and secondary information followed by testing the case several times. To authenticate information, multiple sources of information with individual interviews both structured and unstructured at different levels have been used in a time frame of over one year.

The competency of the business purely lies in the quality of the product, utilization of market opportunity, harnessing capability, honesty and complete involvement in business. Undoubtedly, the family business has reflected growth but its existence in near future is doubtful due to certain exogenous uncontrollable factors, such as restriction by government regulation. The subsequent generation desires to actively participate in the family business. However, it is constrained by the new government regulations and the business life cycle. Thus, the family is reluctantly compelled to start focusing on newer alternatives or business ideas. Transitions, both in business and in family, have posed a challenge to the founder. Should the family continue in the same business with added constraints or the next generation starts building on a new idea as an option and spin-off from existing family business? These are scenarios for trade-offs.

The case is restricted to transition in business and in family, within a traditional family business of brick kilns. It is about a strategic choice impending with the founder and his siblings. Interpretations may be connected with related family businesses; however, riders exist, as different firms falling under different industry verticals undergo unique scenarios.

The outcome of the research-based case study shall assist entrepreneurs in the brick kiln industry to understand transition issues and challenges imposed upon due to changing government regulations.

Implications exist for practitioners who may like to anticipate conflict arising due to transition and have mitigation techniques in place.

The case is original, while the new generation is looking to switch or diversify the business.

The purpose of this paper is to develop a nuanced framework for evaluating a channel partner’s performance in distribution channel relationships. Given a channel partner’s task environment characteristics (high/low munificence, dynamism and complexity), the study examines which performance metrics (output, activity or capability) are most relevant for evaluating its performance levels effectively.

The study adopts self-administered cross-sectional survey-based research design. Matched data were collected from 252 channel partners – manager relationship dyads. The latent change score (LCS) model within SEM framework provides mean paired-differences of the relevance ratings for each metrics. This was used to assess the empirical validity of the hypothesized relationships.

The study demonstrates the importance of calibrating performance evaluation metrics to a channel partner’s task environment state, made possible by its holistic approach to performance evaluation. Based on an extensive analysis, it shows that no single metric is relevant within all environmental states; rather, it could be dysfunctional, a result that differs from vast majority of the literature.

Investigates individual linkages between task environment dimensions and performance metrics to provide a fuller understanding of these relationships. Also provides a theoretical framework to support further research on the topic.

The study provides managerial guidelines (and extensive graphical analysis) for nuanced and dynamic evaluation of channel partners’ performance that can enable firms to identify and promote their most valuable channel partners and prevent the deterioration of others.

First one to develop and empirically validate a nuanced framework for evaluating performance of exchange partners that operate under diverse task environment states.

The purpose of this paper is to develop a framework for organizational learning in an alliance‐based context. An interaction effect of environmental turbulence on the relationship between top management attitude towards learning and organizational learning is proposed.

The paper begins with the notion that alliances provide an opportunity for organizations to learn from one another. The paper describes three basic tenets of organizational learning. It then proposes how top management attitude will affect these. It also proposes that these relationships will be affected by the environment in which the organizations are operating.

The proposed framework makes clear that, for organizational learning to take place, both top management attitude toward learning and environmental turbulence will affect the way organizational learning takes place.

The paper proposes an important relationship between top management attitude, environmental turbulence, and organizational learning. In highly turbulent environments, even a positive top management attitude will not always help to improve organizational learning.

The paper fills a gap in the alliance and organizational learning literature by proposing environmental effects on the relationship between top management attitude and organizational learning.

Two key questions in flexible manufacturing systems design are “Why and where is flexibility needed?” and “What type of flexibility is needed?” We present an auditing tool to support managers in their efforts to answer these questions. The objective of this audit is to estimate the needed flexibility by linking it to the uncertainty experienced in the company’s manufacturing operations. The premise of this approach is that the need for flexibility is triggered by some recurring operational change in the company’s environment. Introduces two distinct classes of flexibility‐related changes on the basis of their source: external and internal. The flexibility audit consists of a structured questionnaire that is designed to identify and prioritize the changes being experienced by the facility. Subsequently prioritizes and links the changes to different flexibility types. Reports the results of the audit in three easy to read tables. Expects the audit to be the first step in any flexible manufacturing design (FMD) effort. Presents a case study.