Impact of individual and Organisational characteristics On risk analysis in strategic Investment decisions

Abstract

Increasing pace of changes in technological and business newlineEnvironment exchange rate fluctuations and difficulty in predicting newlinecompetitors behaviour have made the Strategic Investment Decision making newlineprocess more acute thereby often challenging the task of Decision Makers newlineVery limited studies have covered the risk handling practices and their related newlineproblems in detailThe objectives of this study are to know the level of risk newlineanalysis risk handling techniques and methods adopted for adjusting risk and newlineto study the influences of individual and organisational characteristics on the newlineextent of usage of Risk Analysis RA in Strategic Investment Decisions newline SIDs in Automotive Industry in India newlineA model is developed the relationships of individual and newlineorganisational characteristics on the extent of usage of Risk Analysis in SIDs newlineare tested The model encompasses five organisational characteristics namely newlineBusiness Strategy Information System Rewards and Control Structure newlineEnvironmental Uncertainty and Performance of a Company and three newlineindividual characteristics namely tenure experience and risk propensity To newlinetest the validity of the model the study has employed Partial Least Squares newlinePath Modeling to Structural Equation Modeling This study ensures the newlineconstruct validity of the measures used in this study The study has adopted newlinedisproportionate stratified random sampling to collect the primary data newline