SUMMER TRAINING REPORT

ON

A STUDY ON INDIAN STOCK MARKET

AT
CORIZO
SUBMITTED IN PARTIAL FULLFILLMENT OF THE REQUIREMENT OF BACHELORS
OF BUSINESSE ADMINISTRATION

Guru Gobind Singh Indraprastha University, Delhi

Session 2022-23

Under the guidance of: - submitted by: -

Miss. Charu Priyanshu

Tandon

(Assistant Professor) BBA-5 SEM

JIMS ENGINEERING MANAGEMENT TECHNICAL CAMPUS

48/4, Knowledge Park III, Greater Noida, Knowledge Park III, Noida, Uttar Pradesh 201306

1
 DECLARATION

I hereby declare that this Minor Project Report titled ‘A STUDY ON INDIAN STOCK
MARKET AT CORIZO’ submitted by me to JEMTEC, Greater Noida is a Bona fide work
undertaken by me and has not been submitted to any other university or Institution for the
award or any degree/diploma/certificate or published any time before.

(Signature of the Students) Date:

Name: Priyanshu tandon

Enrolment No. 00128001721

2
 BONAFIDE CERTIFICATE

This is to certify that as per best of my belief the project entitled ‘A STUDY ON INDIAN
STOCK MARKET AT CORIZO’ Is the bona-fide research work carried out by (Priyanshu
Tandon; 00128001721) Student of BBA, JEMTEC, Greater Noida, In partial fulfilment of the
requirements for the Minor Project for the Degree of Bachelor of Business Administration.

He has worked under my guidance.

I wish him a success in all his/ Her future career endeavours

Faculty Guide

Name: Miss. Charu

Designation: Assistant Professor

3
 JIMS
ENGINEERING
TECHNICAL
CAMPUS

TO WHOM SO EVER IT MAY CONCERN

This is to certify that Mr./Ms.____________________________S/o./

D/o.______________________________________ Batch-2021-2024,

Enrolment No.______________, student of BBA, Vth Semester at JIMS

Engineering Management Technical Campus, Greater Noida affiliated to

Guru Gobind Singh Indraprastha University, New Delhi, has prepared and

submitted his/her SUMMER TRAINING REPORT on the topic,

“_______________________________________________________________

_______________________________________________________________

________________________________________________________________

__” in the month of ____________________ 2023.

I certify that the report is the original work done in the partial fulfillment of

awarding Degree of Bachelor of Business Administration (BBA).

Name of the Guide: Miss. Charu

Signature of the Guide:
Date:

4
 ACKNOWLEDGEMENT

I offer my sincere thanks and humble regards to JEMTEC, Greater Noida for
imparting us very valuable professional training in BBA.

I pay my gratitude and sincere regards to Miss. Charu, my project guide gives
me the cream of his knowledge. I am thankful to her as she has been a constant
source of advice, motivation and inspiration. I am also thankful to her for giving
her suggestions and encouragement in the project work.

I take the opportunity to express my gratitude and thanks to our computer lab
staff and library for providing me an environment, which enhanced my
knowledge.

Date:

Name: Priyanshu Tandon

Enrolment No: 00128001721

Course: BBA (5-B)

(Signature of The Student)

5
SUMMER INTERSHIP CERTIFICATE

6
 ABSTRACT

 Stock markets are without any doubt, an integral and indispensable part of a country's
economy. But the impact of stock markets on the country's economy can be different
from how the other countries' stock markets affect their economies.
 This is because the impact of stock markets on the economy depends on various
factors like the organization of stock exchanges, its relationship with other
components of the financial system, the system of governance in the country etc.
 All of these factors are distinct for each country; therefore, the impact of stock
markets on a country's economy is also distinct.
 Over the years, the Indian capital market system has undergone major fundamental
institutional changes which resulted in reduction in transaction costs, significant
improvements in efficiency, transparency and safety.
 All these changes have brought about the economic development of the economy
through stock markets. In the same way, economic expansion fuelled by technological
changes, products and services innovation is expected to create a high demand for
stock market development.
 The present paper is divided into two parts: in the first section, the evolution of
international stock markets and the developments in Indian stock markets are briefly
reviewed to help us understand how stock markets have emerged as the driving
economic forces that they are today; and the second part presents a number of studies
that review the impact of financial development, stock market development and its
functions and its possible impact on economic growth.

7
 EXECUTIVE SUMMARY

 Corizo (https://corizo.in/) is an Edutech platform that helps students with internships,

professional training programs, career guidance, and mentorship. Our aim is to bridge
the gap between formal education and the ever-changing requirements of the industry.
 Corizo brings together students pursuing successful careers, as well as knowledge and
experience accumulated by our industry experts over the years, to create a holistic
learning platform. It also assists students in discovering programmers and receiving
training in their fields of interest in accordance with the most recent market demands.
 Legal Name: Corizo Edutech
 Headquarters: Noida, Uttar Pradesh, India
 Business Model: B2C, B2B
 Founding Date: 2022
 No. of Employees: 61 to 100
 Core Team: 1. Sourav Kamboj Co-Founder
2. Himanshu Singh Co-Founder
3. Hemant Ingle Co-Founder

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 TABLE OF CONTENT

1 TOPIC PAGE NO.

1. Declaration

2. Certificate

3. Acknowledgement

4. Abstract

5. Executive Summary

5. Chapter 1- Introduction

6. Chapter 2 - Industry profile

7. Chapter 3 - Literature review

8. Chapter 4 - Research methodology

9. Chapter 5 - Data analysis

10. Chapter 6 - Findings

11. Chapter 7 – Recommendations

12. Chapter 8 - Conclusion and Limitations

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 13. Appendix and Bibliography

CH-1 INTRODUCTION
(A STUDY ON INDIAN STOCK MARKET AT CORIZO)

1.1 HISTORICAL EVOLUTION OF INDIAN STOCK MARKET

 As already stated, the Indian Stock markets have played a significant role in
the early attempts at industrialization in India in the late nineteenth and
early twentieth centuries.
 The early textile mills and the first steel plants were funded in the stock
market. Some of these capital raising exercises were large in relation to the
size of the financial sector in those days.
 Beginning in the late fifties, the country embarked on an inward looking
socialistic model of development that sought to put the commanding heights
of the economy in the hands of the public sector.
 The state took control of the allocation of resources in the economy as the
banks and insurance companies were nationalized and development
financial institutions grew in importance. A regime of financial repression
came into being and the stock market stagnated.
 The period from 1984 to 1992 was in some ways the high water mark of the
Indian capital markets.
 As the markets responded enthusiastically to the first whiff of reforms in the
mid 1980sand to the major reform initiative of 1991, the stock market soared
through the roof. From October 1984 to September 1992, the stock market
index went up more than ten times representing an annual compound return
of 34per cent.

1.2 INDIAN STOCK MARKET

 is one of the largest and most dynamic in the world, with over 5,000 listed
companies and a market capitalization of over $3 trillion.
 The market is divided into two main segments: the Bombay Stock Exchange
(BSE) and the National Stock Exchange (NSE), which are both electronic
platforms that facilitate trading of shares, bonds, derivatives, and other securities.

10
  The word "market" can have many different meanings, but it is used most often
as a catch-all term to denote both the primary market and the secondary market.
In fact, "primary market" and "secondary market" are both distinct terms; the
primary market refers to the market where securities are created, while the
secondary market is one in which they are traded among investors.
 Knowing how the primary and secondary markets work is key to understanding
how stocks, bonds, and other securities trade. Without them, the capital
markets would be much harder to navigate and much less profitable. We'll help
you understand how these markets work and how they relate to individual
investors.
1.3 THE PRIMARY MARKET
The primary market is where securities are created. It's in this market that firms sell (float)
new stocks and bonds to the public for the first time. An initial public offering, or IPO, is an
example of a primary market. These trades provide an opportunity for investors to buy
securities from the bank that did the initial underwriting for a particular stock. An IPO occurs
when a private company issues stock to the public for the first time.
 For example, company ABCWXYZ Inc. hires five underwriting firms to
determine the financial details of its IPO. The underwriters detail that the issue
price of the stock will be $15. Investors can then buy the IPO at this price directly
from the issuing company.
 This is the first opportunity that investors have to contribute capital to a company
through the purchase of its stock. A company's equity capital is comprised of the
funds generated by the sale of stock on the primary market.

1.4 TYPES OF PRIMARY OFFERING

 A rights offering (issue) permits companies to raise additional equity through the
primary market after already having securities enter the secondary market.
Current investors are offered prorated rights based on the shares they currently
own, and others can invest anew in newly minted shares.
 Other types of primary market offerings for stocks include private placement and
preferential allotment. Private placement allows companies to sell directly to
more significant investors such as hedge funds and banks without making shares
publicly available. While preferential allotment offers shares to select investors

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 (usually hedge funds, banks, and mutual funds) at a special price not available to
the general public.
 Similarly, businesses and governments that want to generate debt capital can
choose to issue new short- and long-term bonds on the primary market. New
bonds are issued with coupon rates that correspond to the current interest rates at
the time of issuance, which may be higher or lower than pre-existing bonds.
 The important thing to understand about the primary market is that securities are
purchased directly from an issuer.
1.5 THE SECONDARY MARKET
 For buying equities, the secondary market is commonly referred to as the "stock
market." This includes the New York Stock Exchange (NYSE), Nasdaq, and all
major exchanges around the world. The defining characteristic of the secondary
market is that investors trade among themselves.
 That is, in the secondary market, investors trade previously issued securities
without the issuing companies' involvement. For example, if you go to buy
Amazon (AMZN) stock, you are dealing only with another investor who owns
shares in Amazon. Amazon is not directly involved with the transaction.
 In the debt markets, while a bond is guaranteed to pay its owner the full par value
at maturity, this date is often many years down the road. Instead, bondholders can
sell bonds on the secondary market for a tidy profit if interest rates have
decreased since the issuance of their bond, making it more valuable to other
investors due to its relatively higher coupon rate.

1.6 THE SECONDARY MARKET CAN BE BROKEN DOWN INTO 2

SPECIALISED CHARACTERS:
 Auction Markets
 In the auction market, all individuals and institutions that want to trade
securities congregate in one area and announce the prices at which they
are willing to buy and sell. These are referred to as bid and ask prices. The
idea is that an efficient market should prevail by bringing together all
parties and having them publicly declare their prices.
 Thus, theoretically, the best price of a good need not be sought out
because the convergence of buyers and sellers will cause mutually

12
 agreeable prices to emerge. The best example of an auction market is the
New York Stock Exchange (NYSE)

 Dealer Markets
 In contrast, a dealer market does not require parties to converge in a
central location. Rather, participants in the market are joined through
electronic networks. The dealers hold an inventory of security, then stand
ready to buy or sell with market participants. These dealers earn profits
through the spread between the prices at which they buy and sell
securities.
 An example of a dealer market is the Nasdaq, in which the dealers, who
are known as market makers, provide firm bid and ask prices at which
they are willing to buy and sell a security
 The OTC Market
 Sometimes you'll hear a dealer market referred to as an over-the-counter
(OTC) market. The term originally meant a relatively unorganized system
where trading did not occur at a physical place, as we described above,
but rather through dealer networks. The term was most likely derived
from the off-Wall Street trading that boomed during the great bull
market of the 1920s, in which shares were sold "over-the-counter" in
stock shops. In other words, the stocks were not listed on a stock
exchange, they were "unlisted."
 Over time, however, the meaning of OTC began to change. The Nasdaq
was created in 1971 by the National Association of Securities Dealers
(NASD) to bring liquidity to the companies that were trading through
dealer networks.3 At the time, few regulations were placed on shares
trading over-the-counter, something the NASD sought to improve. As the
Nasdaq has evolved over time to become a major exchange, the meaning
of over-the-counter has become fuzzier.
 Nowadays, the term "over-the-counter" generally refers to stocks that are
not trading on a stock exchange such as the Nasdaq, NYSE, or American
Stock Exchange (AMEX). This means that the stock trades either on the

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 over-the-counter bulletin board (OTCBB) or the pink sheets. Neither of
these networks is an exchange; in fact, they describe themselves as
providers of pricing information for securities. OTCBB and pink sheet
companies have far fewer regulations to comply with than those that trade
shares on a stock exchange. Most securities that trade this way are penny
stocks or are from very small companies.
 Third and Fourth Markets
 You might also hear the terms "third" and "fourth" markets. These don't
concern individual investors because they involve significant volumes of
shares to be transacted per trade. These markets deal with transactions
between broker-dealers and large institutions through over-the-counter
electronic networks.
 The third market comprises OTC transactions between broker-dealers and
large institutions. The fourth market is made up of transactions that take
place between large institutions.
 The main reason these third- and fourth-market transactions occur is to
avoid placing these orders through the main exchange, which could
greatly affect the price of the security. Because access to the third and
fourth markets is limited, their activities have little effect on the average
investor.
 The Bottom Line
 Although not all of the activities that take place in the markets we have
discussed affect individual investors, it's good to have a general
understanding of the market's structure. The way in which securities are
brought to the market and traded on various exchanges is central to the
market's function. Just imagine if organized secondary markets did not
exist; you'd have to personally track down other investors just to buy or
sell a stock, which would not be an easy task.
 In fact, many investment scams revolve around securities that have no
secondary market, because unsuspecting investors can be swindled into
buying them. The importance of markets and the ability to sell a security
(liquidity) is often taken for granted, but without a market, investors have
few options and can get stuck with big losses. When it comes to the

14
 markets, therefore, what you don't know can hurt you and, in the long run,
a little education might just save you some money.

1.7 AN OVERVIEW OF NSE AND BSE

 Most of the trading in the Indian stock market takes place on its two stock exchanges:
the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The
BSE has been in existence since 1875.
 The NSE, on the other hand, was founded in 1992 and started trading in 1994;
however, both exchanges follow the same trading mechanism, trading hours, and
settlement process.
 23 June 2023, the BSE had 5,657 listed firms, whereas the rival NSE had 2,137 as of
March 31, 2023.
 Almost all the significant firms of India are listed on both exchanges. The BSE is the
older stock market but the NSE is the largest stock market, in terms of volume.
 Both exchanges compete for the order flow that leads to reduced costs, market
efficiency, and innovation. The presence of arbitrageurs keeps the prices on the two
stock exchanges within a very tight range.

1.8 TRADING MECHANISM

 Trading at both exchanges takes place through an open electronic limit order book in
which order matching is done by the trading computer.
 There are no market makers and the entire process is order-driven, which means that
market orders placed by investors are automatically matched with the best limit
orders. As a result, buyers and sellers remain anonymous.
 The advantage of an order-driven market is that it brings more transparency by
displaying all buy and sell orders in the trading system. However, in the absence of
market makers, there is no guarantee that orders will be executed.
 All orders in the trading system need to be placed through brokers, many of which
provide an online trading facility to retail customers. Institutional investors can also
take advantage of the direct market access (DMA) option in which they use trading

15
 terminals provided by brokers for placing orders directly into the stock market trading
system.

1.9 SETTLEMENT AND TRADING HOURS

 Equity spot markets follow a T+1 rolling settlement. This means that any trade taking
place on Monday gets settled by Tuesday.
 All trading on stock exchanges takes place between 9:15 a.m. and 3:30 p.m., Indian
Standard Time (+ 5.5 hours GMT), Monday through Friday. Delivery of shares must
be made in dematerialized form, and each exchange has its own clearing house, which
assumes all settlement risk by serving as a central counterparty.

1.10 MARKET INDEXES

 he two prominent Indian market indexes are Sensex and Nifty. Sensex is the oldest
market index for equities; it includes shares of 30 firms listed on the BSE. It was
created in 1986 and provides time series data from April 1979, onward.
 Another index is the Standard and Poor's CNX Nifty; it includes 50 shares listed on
the NSE. It was created in 1996 and provides time series data from July 1990,
onward.

1.11 MARKET REGULATION (SEBI)

 The overall responsibility for the development, regulation, and supervision of the
stock market rests with the Securities and Exchange Board of India (SEBI), which
was formed in 1992 as an independent authority.
 Since then, SEBI has consistently tried to lay down market rules in line with the best
market practices.
 It enjoys vast powers of imposing penalties on market participants, in case of a
breach.

1.12 INVESTING IN INDIAN’S MARKETS

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  India started permitting outside investments only in the 1990s. Foreign investments
are classified into two categories: foreign direct investment (FDI) and foreign
portfolio investment (FPI).
 All investments in which an investor takes part in the day-to-day management and
operations of the company are treated as FDI, whereas investments in shares without
any control over management and operations are treated as FPI.
 For making portfolio investments in India, one should be registered either as a foreign
institutional investor (FII) or as one of the sub-accounts of one of the registered FIIs.
Both registrations are granted by the market regulator, SEBI.
 Foreign institutional investors mainly consist of mutual funds, pension funds,
endowments, sovereign wealth funds, insurance companies, banks, and asset
management companies. At present, India does not allow foreign individuals to invest
directly in its stock market; however, high-net-worth individuals (those with a net
worth of at least $50 million) can be registered as sub-accounts of an FII.
 Foreign institutional investors and their sub-accounts can invest directly in any of the
stocks listed on any of the stock exchanges.
 Most portfolio investments consist of investments in securities in the primary and
secondary markets, including shares, debentures, and warrants of companies listed or
to be listed on a recognized stock exchange in India.
 FIIs can also invest in unlisted securities outside stock exchanges, subject to the
approval of the price by the Reserve Bank of India.
 Finally, they can invest in units of mutual funds and derivatives traded on any stock
exchange.

1.13 RESTRICTIONS AND INVESTMENT CIELINGS

 The government of India prescribes the FDI limit, and different ceilings have been
prescribed for different sectors. Over a period of time, the government has been
progressively increasing the ceilings.
 By default, the maximum limit for portfolio investment in a particular listed firm is
decided by the FDI limit prescribed for the sector to which the firm belongs.
However, there are two additional restrictions on portfolio investment.
 According to SEBI, an FII can invest up to 10% of the equity of any one company,
subject to the 24% limit on overall investments. The 24% limit may be raised to 30%

17
 for individual companies that have received shareholder approval to do so. FIIs are
also allowed to invest 100% of their portfolios in debt securities.

1.14 INVESTMENT FOR FOREIGN ENTITIES

 Foreign entities and individuals can gain exposure to Indian stocks through
institutional investors. Many India-focused mutual funds are becoming popular
among retail investors. Investments could also be made through some of the offshore
instruments, like participatory notes (PNs), depositary receipts, such as American
depositary receipts (ADRs) and global depositary receipts (GDRs), exchange-traded
funds (ETFs), and exchange-traded notes (ETNs).15
 As per Indian regulations, participatory notes representing underlying Indian stocks
can be issued offshore by FIIs, only to regulated entities; however, even small
investors can invest in American depositary receipts representing the underlying
stocks of some of the well-known Indian firms, listed on the New York Stock
Exchange and Nasdaq.
 ADRs are denominated in dollars and subject to the regulations of the U.S. Securities
and Exchange Commission (SEC). Likewise, global depositary receipts are listed on
European stock exchanges. However, many promising Indian firms are not yet using
ADRs or GDRs to access offshore investors.
 Retail investors also have the option of investing in ETFs and ETNs, based on Indian
stocks. India-focused ETFs mostly make investments in indexes made up of Indian
stocks. Most of the stocks included in the index are the ones already listed on the
NYSE and Nasdaq.

1.15 INVESTORS PREFERENCE IN STOCK MARKET

 Though most of the investors want a safe and secure return on their investment, they
also look for maximum returns. The pure debt investment brings an average return
with lesser liquidity as compared to the equity investments.
So, in search of higher return (keeping the risk factor in mind) investor are a heading
towards equity investment on analysis of recent year investment trends, FII, entrance
and operations in Indian stock markets, it has been found that equity is gaining ground
in India. The main attraction of equity among investors are-
 Higher return (especially I case of capitalization and dividend if any
 Higher Liquidity

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  Option to start trading with small investments.
 Daily trading (as it increases chances of more “buy or sell” transaction which leads to
fast profits/loss generation)
 With these benefits, equity has a risk factor of poor dividend payout (as against fixed
“interest” income in debt) or the negligible capitalization. Moreover, sometime the
investment in equity trading goes to bottom level and nothing is expected in return.
 Still, the attraction of equity remains high in investors mind become of “return
&liquidity factor. And this perception has leaded the investment trends from debt to
equity and portfolio investment.

1.16 INVESTMENT ALTERNATIVE

 There is a wide of range of investment alternative available to an investor in Indian
stock market. These may be classified as shown in: -

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 MARKETABLE FINANCIAL ASSETS: A good portion of financial assets NON
represented by non-marketable financial assets. These can be classified into the
following broad categories.
a. Bank deposits
b. Post office deposits
c. Company deposits
d. Provident fund deposits

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 EQUITY SHARES: Equity shares represent ownership capital. As an equity
shareholder, you have an ownership stake in the company. This essentially means tha
you have a residual interest in income and wealth:
a. Blue chip shares
b. Growth shares
c. Income shares
d. Cyclical shares
e. Speculative shares
 BONDS: Bonds or debentures represent long term debt intruments.
a. Government securities
b. Savings bonds
c. Government agency securities
d. PSU bonds
e. Debentures of private sector companies
 MONEY MARKET INSTRUMENT: Debt instruments which have a maturity of
less than one year at the time of issue is called money market instruments.
a. Treasury bills
b. Commercial paper
c. Certificates of deposit
 MUTUAL FUNDS: Instead of directly buying equity shares and/or fixed income
instruments, you can participate in various schemes floated by mutual funds.
a. Equity shares
b. Debt schemes
c. Balanced schemes
 LIFE INSURANCE: In a broad sense, Life insurance may be viewed as an
investment. Insurance premiums represent the sacrifice and the assured, the benefits
a. Money back policy
b. Whole back policy
c. Term assurance policy
 REAL ESTATE: For bulk of the inverters the important asset in their portfolio is a
residential home.
a. Agricultural land
b. Semi urban land

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 c. Commercial property
 PRECIOUR OBJECTS: Precious objects are items that are generally small in size
but highly valuable in monetary terms.
a. Gold and silver
b. Precious stones
c. Art objects
 FINANCIAL DERIVATIVES: The term ‘derivative’ Indicates that it has no
independent value that is, its value is entirely derived from the value of underlying
asset. The underlying asset can be securities, commodities, currency, etc
a. Forward
b. Future
c. option warrants and swaps too

1.17 HOW TO ANALYSE A STOCK

There are two basic types of stock analysis: fundamental analysis and technical analysis.
Each method is discussed more in-depth below.

 FUNDAMENTAL ANALYSIS
1. Fundamental analysis concentrates on data from sources, including financial records,
economic reports, company assets, and market share.
2. To conduct fundamental analysis on a public company or sector, investors and
analysts typically analyse the metrics on a company’s financial statements – balance
sheet, income statement, cash flow statement, and footnotes.
3. These statements are released to the public in the form of a 10-Q or 10-K
report through the database system, EDGAR, which is administered by the
U.S. Securities and Exchange Commission (SEC). Also, the earnings report released
by a company during its quarterly earnings press release is analysed by investors who
look to ascertain how much in revenue, expenses, and profits a company made.
4. When running stock analysis on a company’s financial statements, an analyst will
usually be checking for the measure of a company’s profitability, liquidity, solvency,
efficiency, growth trajectory, and leverage. Different ratios can be used to determine
how healthy a company is.
5. Looking at the balance sheet still, a stock analyst may want to know the current debt
levels taken on by a company. In this case, a stock analyst may use the debt ratio,

22
 which is calculated by dividing total liabilities by total assets. A debt ratio above 1
typically means that a company has more debt than assets. In this case, if the company
has a high degree of leverage, a stock analyst may conclude that a rise in interest rates
may increase the company’s probability of going into default.
6. A stock analyst may be looking to compare the operating profit margin of two
competing companies, by looking at their income statements. The operating profit
margin is a metric that shows how much revenue is left after operating expenses have
been paid and what portion of revenue is left to cover non-operating costs and is
calculated as operating income divided by revenue.
7. A company with an operating margin of 0.30 will be looked on more favorably than
one with a margin of 0.03. A 0.30 operating margin means that for every dollar of
revenue, a company has 30 cents left after operating costs have been covered. In other
words, the company uses 70 cents out of every dollar in net sales to pay for its
variable or operating costs.
 TECHNICAL ANALYSIS
1. The second method of stock analysis is technical analysis. Technical analysis focuses
on the study of past and present price action to predict the probability of future price
movements. Technical analysts analyse the financial market as a whole and are
primarily concerned with price and volume, as well as the demand and supply factors
that move the market.
2. Charts are a key tool for technical analysts as they show a graphical illustration of a
stock’s trend within a stated time period. For example, using a chart, a technical
analyst may mark certain areas as a support or resistance level. The support levels are
marked by previous lows below the current trading price, and the resistance markers
are placed at previous highs above the current market price of the stock. A break
below the support level would indicate a bearish trend to the stock analyst, while a
break above the resistance level would take on a bullish outlook.
3. Technical stock analysis is effective only when supply and demand forces influence
the price trend analyzed. When outside factors are involved in a price movement,
analysing stocks using technical analysis may not be successful. Like other forms of
analysis, analysing stock price trends using technical analysis is more complicated as
more variables are considered.

23
 4. Examples of factors, other than supply and demand, that can affect a stock price
include stock splits, mergers, dividend announcements, a class action lawsuit, death of
a company’s CEO, a terrorist attack, accounting scandals, change of
management, monetary policy changes, etc. These unpredictable events may occur
that were essentially impossible to forecast or plan for.

1.18 LIMITATIONS OF STOCK ANALYSIS

1. Many investors rely on stock analysis to deploy their best investment strategies.
However, stock analysis may result in misplaced confidence or misguided strategies.
2. Stock analysis is often performed with limited information. This is due to a few
reasons. First, public companies may not fully disclose all situations of their company
to the general public. Second, stock analysis strives to project the future (in which the
information is simply not available).
3. Because of this reliance on future events to occur, there is broad uncertainty around
all stock analysis techniques. The stock market may rapidly change in either direction
based on prevailing market conditions. For example, should political climates change
rapidly and redefine political risk, there may be an unpredictable impact to
investments no previously foreseen.
4. As analysis dig into stock data, there is always an inherent risk of bias. If the data
being analyzed is not anonymous, analysts may find themselves favouring certain
outcomes based on what they know about the investment options. In addition, analysts
and investors may be lured into confirmation bias that steers decisions to match a
desired outcome.
5. Last, stock analysis is often complex. It isn't easy to pull together, and it requires a
substantial amount of time. In addition, as variables change every day, stock analysis
requires continual thoughtfulness and analysis to evaluate morphing conditions.

1.19 WHICH STOCK ANALYSIS TECHNIQUE IS BEST?

 Investors may be best suited to use fundamental, technical, and quantitative analysis
as one technique may not always be superior compared to other techniques.

24
  Based on the information available and objectives of the investors, it may be better
to analyze the financial positioning, research the company's industry, or devise
complex financial models.

1.20 HOW DO YOU KNOW IF A STOCK’S PRICE WILL GO UP?

 The best answer to this question is that nobody knows whether a stock's price will go
up or down.

 However, analysts and investors can leverage information to make the best, most
strategic decision to follow general information related to the stock.

 In general, if the fair value of a stock is less than the current price of the stock, the
price will go down.

 On the other hand, companies with higher fair values as determined by the market
will go up.

1.21HOW CAN BEGINEER START ANALYSING STOCKS?

 Analyzing your first stock does not need to be difficult.

 First, gather as much public information related to the company as available. This
includes recent news articles associated with the company as well as the most recent
set of financial statements.

 Then, filter down this information to the most relevant information, consider
leveraging industry averages or data from competitors to set benchmarks.

 Then, decide whether the company is outperforming or underperforming compared

to current prices and stock activity .

1.22HOW DO I RESEARCH STOCK BEFROE BUYING THEM?

25
  As an investor researching stocks, you should aim to collect a broad range of
information about the company.

 This includes recent government filings, news articles, press releases, statements or
activity on social media, and the company's financial statements.

 You can also leverage information from other analysts, as professionals may publicly
give their opinion about the position of the company.

 This insight can be used to form your own opinion on future price movement .

1.23 THE BOTTOM LINE

 Both fundamental and technical analysis can be done independently or together.

Some analysts use both methods of analysis, while others stick to one. Either way,
using stock analysis to vet stocks, sectors, and the market is an important method of
creating the best investment strategy for one’s portfolio .

1.24 HOW TRADING IS DIFFERENT FROM STOCK INVESTMENT

 Trading and investing are two different methods of making money through the stock
market. Investing involves buying stocks with the intention of holding them for a
long period of time, with the expectation that the value of the stocks will increase
over time.

 This is a passive approach to investing, where the investor is not actively involved in
the buying and selling of stocks.

 The goal of investing is to generate long-term gains.

 On the other hand, trading is a more active approach to making money in the stock
market. Traders buy and sell stocks frequently, with the goal of making quick profits.

 Trading requires a more hands-on approach, with traders constantly monitoring the
market and making decisions based on market trends and other factors. The goal of
trading is to generate short-term gains.

26
 In summary, investing is a long-term strategy that involves buying and holding
stocks, while trading is a short-term strategy that involves buying and selling stocks
frequently. Both approaches have their own advantages and disadvantages, and it’s
important to choose the approach that best suits your investment goals and risk
tolerance.

27
CH- 2 INDUSTRIAL PROFILE

28
 Corizo is an edtech platform that helps students with internships, professional training
programs, career guidance, and mentorship. Our aim is to bridge the gap between
formal education and the everchanging requirements of the industry. We at Corizo
bring together the students aiming for successful careers, knowledge and experience
accumulated over the years by our industry experts to create a holistic learning
platform. Our platform helps students discover programs, and get trained in their
fields of interest with the latest market requirements.

 Corizo is an edtech platform that aims to bridge the gap between formal education
and the ever-changing requirements of the industry.
 The company was founded in 2022 by Sourav Kamboj, Himanshu Singh,
and Hemant Ingle.
 Corizo provides a curation of courses created by industry leaders with years of
experience in their respective fields.
 The platform helps students discover programs, get trained in their fields of interest
with the latest market requirements, and provides career guidance and mentorship.
 Corizo services include internships and professional training programs.
 The company is headquartered in Noida, Uttar Pradesh, India and has 61 to 100
employees.

29
 Corizo’s business model is B2C and B2B.
 The company’s target market includes colleges, universities, and educational
institutions.
 Corizo’s target geography is India, India Tier 1, India Tier 2, India Tier 3, Global, Asia
Pacific, Europe, North America, South America.
 The company’s target client segment is EdTech/Education.
 The company’s target user age is 18 to 25 and 26 to 34.

 The company’s target user income is lower-middle income, upper-middle income, and
high income.

30
COURSES OFFERED BY CORIZO: -

S.NO FIELD COURSES

1 COMPUTER SCIENCE ANDROID DEVELOPMENT

ARTIFICIAL INTELLIGENCE

BLOCKCHAIN FOR DEVELOPERS

CYBER SECURITY

DATA SCIENCE

MACHINE LEARNING

WEB DEVELOPMENT

2 ELECTRONICS IOT AND ROBOTICS

CLOUD COMPUTING

EMBEDDED SYSTEM

3 MECHANICAL/CIVIL HYBRID AND ELECTRIC VECHILE

AUTO CAD

4 MANAGEMENT DIGITAL MARKETING

FINANCE

GRAPHICS DESIGN

HUMAN RESOURCE

STOCK MARKET

5 MEDICAL NANO TECHNOLOGY

GENETICS ENGINEERING

PSCHOLOGY

6 ADVANCED PROGRAMS DATA SCIENCE ADVANCED PROGRAM

DIGITAL MARKETING ADVANCED PROGRAM

31
2.1 WHY CORIZO: -

32
33
2.2 ADDITIONAL INFORMATION ABOUT CORIZO: -

e skills of tomorrow. With assessments, learning paths and courses

authored by industry experts, our platform helps individuals benchmark e

34
2.3 COMPETITION INFORMATION

Q1. What is competition information?

A1. Organizations must operate within a competitive industry environment. They do not exist
in vacuum. Analysing organization’s competitors helps an organization to discover its
weaknesses, to identify opportunities for and threats to the organization from the industrial
environment. While formulating an organization’s strategy, managers must consider the
strategies of organization’s competitors. Competitor analysis is a driver of an organization’s
strategy and effects on how firms act or react in their sectors. The organization does a
competitor analysis to measure / assess its standing amongst the competitors.

Q2. OBJECTIVES OF COMPETITION INFORMATION?

A2. To study the market;

 To predict and forecast organization’s demand and supply;

 To formulate strategy;
 To increase the market share;
 To study the market trend and pattern;
 To develop strategy for organizational growth;
 When the organization is planning for the diversification and expansion plan;
 To study forthcoming trends in the industry;

35
2.4 COMPETITION INFORMATION OF THE ORGANISATION

Number
of Revenue Number of
Company courses enrolments certificate

19.62
Corizo 25 million 26.2 million Yes

Coursera 1662 524 million 82 million Yes

EDX 1985 14.1 110 million Yes

Swayam 1510 3.2 million 13 million Yes

TCS 2 5.84 million 14.2 million Yes

2.5 ANALYSIS OF RESOURCE AND COMPETENCIES OF CORIZO

In order to analyse the competency of Corizo, Porter Five force model has
applied

 Threat of New Entrants

36
  high

 Customer loyalty
 Use of advanced technology
 High capital requirement
 Threat of substitutes products
 High

 Numerous substitutes
 Very High competition
 Technological innovation
 Bargaining power of suppliers
 Very high
 Medium size
 High for Google
 Can switch supplier
 Bargaining power of the customers
 Quality of products (courses)
 Brand image
 Moderate switching cost
 Increased information
 Level of competitors
 Intense competition
 Deep market penetration
 Technology innovation for growth.

2.6 CHALLENGES FACED BY INTERS AND PROBLEMS COMPANY

FACED WHILE GIVING TRAINING TO THEIR INTERS

(A) PROBLEMS FACED BY THE COMPANY

 Time constraints: Employees have to deal with an already full work schedule, let
alone navigate the possible complexities of their new hybrid workplaces and the way
these changes affect their work-life balance. Blocking time consistently in their

37
 schedule every week to focus on training may feel impossible. Yet asking them to
complete their training in their free time may lead to them resisting, or even resenting
the whole process.
 Ineffective training: Not only is the majority of training in today’s companies
ineffective, but the purpose, timing, and content of training is flawed. Mandating that
busy employees attend a training session on “business writing skills”, or “conflict
resolution”, or some other such course with little alignment to their needs may lead to
them resisting, or even resenting the whole process.
 Portfolio of courses: A big problem some Learning and Development managers face
is a portfolio of courses that is too big, too unwieldy, out of date, repetitive or just
plain useless. A successful manager will avoid this by choosing and developing the
courses that are most useful, not only for the organization as a whole but also for each
individual learner.
 Costs: Training can be expensive, and companies need to be able to justify the cost of
training. This can be difficult to do, especially if the training is not
effective. Companies need to be able to show that the training is worth the cost.
 Lack of engagement: Employees may not be engaged in the training process. This
can be due to a lack of interest in the subject matter, a lack of understanding of the
material, or a lack of motivation to learn. Companies need to find ways to engage
employees in the training process.

(B) PROBLEMS FACED BY INTERS

Here are some common challenges faced by interns during online and
offline internships:

38
  Information overload: Interns are often bombarded with a lot of information in a
short amount of time, which can be overwhelming. This can happen both in online
and offline internships.
 Lack of guidance: Interns may not receive enough guidance from their supervisors,
which can lead to confusion and frustration.
 No work: Sometimes interns may not have enough work to do, which can lead to
boredom and a feeling of being unproductive.
 Awkward introductions: Interns may feel awkward when meeting new people and
may not know what to say.
 Understanding the office culture: Interns may find it difficult to understand the
office culture and may not know how to behave in certain situations.
 Teamwork: Interns may find it difficult to work in a team and may not know how to
communicate effectively with their colleagues.
 Time management: Interns may find it difficult to manage their time effectively,
especially if they are working remotely.
 Technology issues: Interns may face technical issues while working remotely, such as
poor internet connectivity, which can affect their productivity

2.7 CRACKING MARKETING MIX OF CORIZO

Corizo Edutech is one of the most popular online learning platforms that offers
courses ranging from business to technology to personal development.
According to latest finance information, Corizo revenue in 2022 was 16.7
million.

PRODUCT

 When it comes to success business strategies, A compelling marketing mix is

essential. The product element within the marketing mix is crucial for generating
revenue and satisfying consumer needs and wants.
 As of 2023, Corizo has an impress range of courses that cater to the needs of
consumer across various categories from programming and web development to stock
market and personal development, The company has been successful in ensuring that
its product offering aligned with its target market’s needs at current trends.

39
  Corizo’s approach to Product differentiation is worth mentioning. The company has
ensured that its courses stand out from the competition by providing a diverse
selection of course topics. Additionally, to enhance the customer experience. Corizo
Also offer supplementary materials such as course completion certificates, mobile
applications for all the goal learning and user-friendly interface.
 Finally, complimentary products have played a significant role in Corizo product
strategy. By linking relevant courses or value-added services, Corizo has been
successful in increasing customer attention and engagement for business.
 Net revenue: 19.62 million (2023)
 Product differentiation: diverse course selection, supplementary material, instructor
created based courses.
 Complementary products: Corizo for business

PLACE

 When it comes to selling and distributing products, Locations play crucial factor in
achieving a competitive advantage. In Corizo’s case, the product is accessible through
internet. The significant feature provides convenience to individuals seeking to learn
and obtain new skills.
 Corso has been experiencing a revenue increase in the past year primarily due to its
location on the Internet. The type of product being offered significantly determines
the business location.
 Corizo platform has made It possible for the students to learn at their own pace and at
anytime and anywhere.
 Additionally, offering diverse courses caters to different niches, Providing customers
with a rape of choices than traditional education system.. In digital age, heavy golden
platforms such as Corizo is a game changer, and it will continue to shape the overall
marketing approach.

PROMOTION

 Advertising: Corizo’s advertising is personalised, targeting specific niches, the

company advertises though mobile apps, Google ads, and social media platforms,
with Faceboook, Instagram as its primarily focus.

40
  Public relations: Corizo’s public relations strategy strengthens its broad image. The
company engages its events and sponsorships, making in road in new and untapped
markets.
 Sales promotion: Corizo’s sales promotion techniques include discounts, free courses
and bonus courses. These incentives stimulate demand and attract potential customers.

PRICE

 Cost based pricing: corizo’s approach to pricing, which considers the cost of
development, distribution, research, marketing and manufacturing, ensuring a
reasonable profit margin.
 Value based pricing: setting the price based primarily on perceived quality and
customer expectations, enduring that corizo’s high quality courses offer more value to
learners than its competitors.

2.8 S.W.O.T ANALYSIS OF CORIZO

STRENTHS:

41
  Extensive Course Catalog: Corizo offers a vast array of courses across a wide range
of subjects, catering to diverse learning needs and interests. This variety is a
significant draw for learners.
 Flexibility and Accessibility: Courses on Corizo are available on-demand, allowing
learners to study at their own pace and according to their schedules. This flexibility is
highly appealing in today’s fast-paced world.
 Affordable Pricing: Many courses on Corizo are affordable, making them accessible
to a broad audience. Additionally, frequent discounts and promotions further enhance
their appeal.
 Global Reach: Corizo’s platform is accessible worldwide, offering courses in
multiple languages, which broadens its market reach and appeal.
 User-Friendly Platform: The platform is intuitive and easy for instructors and
learners to navigate, contributing to a positive user experience.
 Open Marketplace Model: Corizo’s model allows anyone to create and offer a
course, democratizing education and ensuring a constant influx of new content.
 Quality of Instructors: Many courses on Corizo are taught by industry experts and
professionals, which ensures a high level of practical knowledge and expertise.
 Corporate Training Solutions (Corizo for Business): Corizo’s corporate training
program provides a comprehensive learning solution for businesses, a growing
segment.
 Community and Engagement: Corizo fosters community through interactive
features like Q&A with instructors and peer discussions, enhancing the learning
experience.
 Adaptability to Trends: Corizo’s course offerings often adapt quickly to market
trends and new technologies, keeping the platform relevant and up-to-date.
 Certificate of Completion: Many courses offer certificates upon completion, which
can appeal to learners looking to bolster their professional credentials.

WEAKNESS:

42
 Inconsistent Course Quality: Given that almost anyone can become an instructor on
Corizo, course quality can vary significantly. Unlike platforms that partner with
universities or have strict instructor vetting processes, Corizo’s courses might not
always meet high educational standards.
 Lack of Formal Accreditation: Most courses on Corizo do not offer accredited
certifications or degrees. This can be a significant limitation for learners seeking
formal education or qualifications recognized by employers and educational
institutions.
 Dependence on Instructors for Content: Corizo relies heavily on independent
instructors to generate course content. This model can lead to challenges in
maintaining a consistent standard and offering courses in emerging or niche areas.
 Revenue Share Model Challenges: The revenue-sharing model with instructors
could be less attractive to high-quality educators compared to direct compensation
models, potentially affecting the platform’s ability to attract top talent.
 Limited Interaction and Support: The nature of pre-recorded courses means limited
direct interaction between students and instructors, which can impact the learning
experience, particularly for complex subjects.
 Piracy and Intellectual Property Issues: There have been instances of course
content piracy and unauthorized sharing, which can affect the revenue and motivation
of content creators.
 Completion Rates: Like many online learning platforms, Corizo may struggle with
low course completion rates, as self-paced learning requires high levels of motivation
and discipline from students.
 Market Competition: The e-learning market is highly competitive, with many
platforms offering similar or more specialized services. Standing out and retaining a
unique value proposition is a continuous challenge.
 Limited Engagement Tools: The platform might lack advanced engagement and
interactive tools found in more sophisticated learning management systems, which
can affect student engagement.

43
OPPORTUNITIES:

 Growing Demand for Online Learning: The increasing acceptance of online

education globally, particularly in the wake of the COVID-19 pandemic, presents a
significant opportunity for Corizo to expand its user base.
 Expansion into New Markets: Corizo can tap into emerging markets where there is a
growing demand for accessible and affordable education, especially in areas with
limited access to traditional educational resources.
 Corporate Training and Development: There’s a growing trend of companies
investing in their employees’ continuous learning and development. Corizo can
expand its Corizo for Business platform to cater to this corporate need.
 New Course Development: Developing courses in emerging fields and technologies,
such as artificial intelligence, renewable energy, and data science, can attract new
learners and meet the changing needs of the job market.
 Partnerships with Educational Institutions: Collaborating with colleges and
universities to offer supplementary courses or credit-eligible programs could enhance
Corizo’s credibility and reach.
 Mobile Learning: Optimizing content for mobile devices can attract users who prefer
learning on-the-go, capitalizing on the increasing use of smartphones for educational
purposes.
 Enhanced Certification Programs: Offering more structured and comprehensive
certification programs, potentially in partnership with industry organizations, could
increase the value of Corizo’s courses for professional development.
 Integration of Advanced Technologies: Incorporating advanced technologies like
augmented reality (AR), virtual reality (VR), and AI to create more interactive and
immersive learning experiences could differentiate Corizo’s offerings.
 Lifelong Learning Trends: Capitalizing on the trend towards lifelong learning and
skills upgrading, especially among older demographics, can open up a new customer
segment.
 Increased Focus on Soft Skills: Developing courses focusing on soft skills, such as
leadership, communication, and emotional intelligence, can cater to a broader
professional audience.
 Subscription Models: Exploring different pricing and subscription models could
appeal to different user segments and stabilize revenue streams.

44
  Localized Content: Creating courses tailored to specific regional or cultural needs
can help Corizo appeal to a more diverse global audience.

THREATS:

 Intense Competition: The e-learning market is highly competitive, with numerous

platforms offering similar services. Major players like Coursera, edX, and LinkedIn
Learning (formerly Lynda.com), along with traditional educational institutions
expanding into online education, pose significant competition.
 Rapid Technological Change: The fast pace of technological advancement in online
education could render some of Corizo’s current offerings or platform features
obsolete if not regularly updated.
 Quality Control Issues: Given Corizo’s open platform model where anyone can
create a course, maintaining consistent quality across all courses can be challenging.
Poor quality courses could harm Corizo’s reputation.
 Shift in Consumer Preferences: Changes in what learners expect from online
courses, such as a preference for more interactive or accredited courses, could impact
Corizo if it fails to adapt quickly.
 Regulatory Challenges: As online education becomes more mainstream, it could
attract more regulatory scrutiny, especially regarding accreditation and quality
standards.
 Market Saturation: With the proliferation of online courses and resources, the
market could become saturated, making it difficult for Corizo to maintain its growth
and attract new users.
 Cybersecurity Risks: Being an online platform, Corizo is vulnerable to cybersecurity
threats. Any significant data breach could lead to a loss of trust among users.
 Economic Downturns: Global economic instabilities can reduce spending on non-
essential services like online courses, affecting Corizo’s revenue.
 Dependence on Instructors: Corizo’s reliance on independent instructors for course
content creation could be a threat if these instructors decide to move to other
platforms or start their platforms.
 Value of Certifications: As the job market evolves, the value of non-accredited
certifications like those offered by Corizo could be questioned by employers,
impacting the platform’s relevance for professional development.

45
 Global Expansion Challenges: Expanding into new international markets comes
with challenges such as localization, competition from local platforms, and varying
regulatory environments.
 Free Educational Resources: The availability of free educational resources and
content on platforms like YouTube or through open courseware initiatives could also
threaten Corizo’s paid course model.

46
 CH-3 LITERATURE REVIEW

x per across roles. Our mission is to train the world’s workforce in the
careers of the future. We partner with leading technology companies to
learn how technology is transforming industries, and teach the critical tech
skills that companies are looking for in their workforce.
We are constantly working towards creating a name and a brand that is
synonymous with success. Success for the platform. Success for our
clients.

Our Mission
At technology and develop the skills of tomorrow. With assessments,
learning paths and courses authored by industry experts, our platform
helps individuals benchmark expertise across roles. Our mission is to train

47
THE FOLLOWING IS THE LITERATURE REVIEW ON INDIAN
STOCK MARKET:c

 Gupta (1972) in his book has studied the working of stock exchanges in India and has
given a number of suggestions to improve its working. The study highlights the' need
to regulate the volume of speculation so as to serve the needs of liquidity and price
continuity. It suggests then listment of corporate securities in more than one stock
exchange at the same time to improve liquidity. The study also wishes the cost of
issues to be low, in order to protect small investors success.
 Panda (1980) has studied the role of stock exchanges in India before and after
Independence. The study reveals that listed stocks covered four-fifth of the joint stock
sector companies. Investment in securities no longer the monopoly of any particular
class of a small group of people. It attracted the attention of a large number of small
and middleclass individuals. It was observed tha a large proportion of savings went in
the first instance into the purchase of securities already issued.
 Gupta (1981) in an extensive study titled `Return on New Equity Issues' states that the
investment performance of new issues of equity shares, especially those of new
companies, deserves separate analysis. The factor significantly influencing the rate of
return on new issues to the original buyers is the `fixed price' at which they are issued.
The return on equities includes dividends and capital appreciation. This study presents
sound estimates of rates of return one equities, and examines the variability of such
returns over time.
 Jawahar Lal (1992) presents a profile of Indian investors and evaluates their
investment decisions. He made an effort to study their familiarity with, and
comprehension of financial information, and the extent to which this is put to use. The
information that the companies provide generally fails to meet the needs of a variety
of individual investors and there is a general impression that the company's Annual
Report and other statements are not well received by them.
 Debjiban Mukherjee (2007) made a comparative Analysis of Indian stock market with
international markets. His study covers New York Stock Exchange (NYSE), Hong
Kong Stock exchange (HSE), Tokyo Stock exchange (TSE), Russian Stock exchange
(RSE), Korean Stock exchange (KSE) from various socio- politico-economic
backgrounds. Both the Bombay Stock exchange (BSE) and the National Stock
Exchange of Indian Limited (NSE) have been used in the study as a part of Indian
48
 Stock Market. The main objective of this study is to capture the trends, similarities
and patterns in the activities and movements of the Indian Stock Market in
comparison to its international counterparts. The time period has been divided into
various eras to test the correlation between the various exchanges to prove that the
Indian markets have become more integrated with its global counterparts and its
reaction are in tandem with that are seen globally. The various stock exchanges have
been compared on the basis of Market Capitalization, number of listed securities,
listing agreements, circuit filters, and settlement. It can safely be said that the markets
do react to global cues and any happening in the global scenario be it macroeconomic
or country specific (foreign trade channel) affect the various markets.
 Juhi Ahuja (2012) presents a review of Indian Capital Market & its structure. In last
decade or so, it has been observed that there has been a paradigm shift in Indian
capital market. The application of many reforms & developments in Indian capital
market has made the Indiancapital market comparable with the international capital
markets. Now, the market features a developed regulatory mechanism and a modern
market infrastructure with growing market capitalization, market liquidity, and
mobilization of resources. The emergence of Private Corporate Debt market is also a
good innovation replacing the banking mode of corporate finance. However, the
market has witnessed its worst time with the recent global financial crisis that
originated from the US sub-prime mortgage market and spread over to the entire
world as a contagion. The capital market of India delivered a sluggish performance.
 Arun Jethmalani (1999) reviewed the existence and measurement of risk involved in
investing incorporate securities of shares and debentures. He commended that risk is
usually determined, based on the likely variance of returns. It is more difficult to
compare 80 risks within the same class of investments. He is of the opinion that the
investors accept the risk measurement made by the credit rating agencies, but it was
questioned after the Asian crisis. Historically, stocks have been considered the riskiest
of financial instruments. He revealed that the stocks have always outperformed bonds
over the long term. He also commented on the 'diversification theory concluding that
holding a small number of non-correlated stocks can provide adequate risk education.
A debt-oriented portfolio may reduce short term uncertainty, but will definitely reduce
long-term returns. He argued that the 'safe debt related investments' would never
make an investor rich. He also revealed that too many diversifications tend to reduce
the chances of big gains, while doing little to reduce risk. Equity investing is risky, if
49
the money will be needed a few months down the line. He concluded his article by
commenting that risk is not measurable or quantifiable. But risk is calculated on the
basis of historic volatility. Returns are proportional to the risks, and investments
should be based on the investors' ability to bear the risks, he advised.
e platform. Success for our clients.

50
CH-4 RESEARCH METHODOLOGY

51
4.1 OBJECTIVES OF STUDY

⮚ To understand the awareness of stock market among the people.

⮚ To study different aspects of investment, people prefer.

⮚ To understand the mindset of people while buying and selling stocks.

⮚ To analyse how much people invested at a time and to understand their age, gender
and occupation.

⮚ To find out common mistakes made by investors

⮚ To know on what basis people, invest in stock market.

⮚ To understand the frequency of investment in the market.

⮚ To understand the people’s investment strategy.

4.2 RESEARCH DESIGN

 Research design is the framework of research methods and techniques chosen by a

researcher to conduct a study. The design allows researchers to sharpen the research
methods suitable for the subject matter and set up their studies for success.

 Creating a research topic explains the type of research (experiment, survey,

correlation, semi-experimental, review) and its sub-type (experimental design,
research problem, descriptive case-study).

 There are three main types of designs for research:

 Data collection
 Measurement

52
  Analysis
 The research problem an organization faces will determine the design, not vice-
versa. The design phase of a study determines which tools to use and how they are
used.

4.3 DATA COLLECTION

Data collection is the process of gathering and measuring data, information or any variables
of interest in a standardized and established manner that enables the collector to answer or
test hypothesis and evaluate outcomes of the particular collection. This is an integral, usually
initial, component of any research done in any field of study such as the physical and social
sciences, business, humanities and others.

PRIMARY DATA

Primary data is a type of data that is collected by researchers directly from main sources
through interviews, surveys, experiments, etc. Primary data are usually collected from the
source—where the data originally originates from and are regarded as the best kind of data in
research.

The sources of primary data are usually chosen and tailored specifically to meet the demands
or requirements of particular research. Also, before choosing a data collection source, things
like the aim of the research and target population need to be identified.

For example, when doing a market survey, the goal of the survey and the sample population
need to be identified first. This is what will determine what data collection source will be
most suitable- an offline survey will be more suitable for a population living in remote areas
without an internet connection compared to online survey.

METHODS OF COLLECTION OF PRIMARY DATA

 Creative works
 Diaries

53
  Experiments
 Letters
 Survey census
 Interviews

SECONDARY DATA

 Secondary data refers to data that is collected by someone other than the primary user.
Common sources of secondary data for social science include censuses, information
collected by government departments, organizational records, and data that was
originally collected for other research purposes. Primary data, by contrast, are
collected by the investigator conducting the research.
 Secondary data analysis can save time that would otherwise be spent collecting data
and, particularly in the case of quantitative data, can provide larger and higher-quality
databases that would be unfeasible for any individual researcher to collect on their
own. In addition, analysts of social and economic change consider secondary data
essential, since it is impossible to conduct a new survey that can adequately capture
past change and/or developments. However, secondary data analysis can be less
useful in marketing research, as data may be outdated or inaccurate.
METHODS OF COLLECTION OF SECONDARY DATA

 Online journals
 Newspapers, magazines
 Business and industry records
 Governmental records

4.3 SAMPLING

Sampling is a method that allows us to get information about the population based on the
statistics from a subset of the population (sample), without having to investigate every
individual.

54
The above diagram perfectly illustrates what sampling is. Let’s understand this at a more
intuitive level through an example.

We want to find the average height of all adult males in Delhi. The population of Delhi is
around 3 crore and males would be roughly around 1.5 crores (these are general assumptions
for this example so don’t take them at face value!). As you can imagine, it is nearly
impossible to find the average height of all males in Delhi.

It’s also not possible to reach every male so we can’t really analyze the entire population. So
what can we do instead? We can take multiple samples and calculate the average height of
individuals in the selected samples

55
CH-5 ANALYSIS/STUDY OF THE TOPIC

56
DATA ANALYSIS

Data analysis is the process of evaluating data using analytical and statistical tools to discover
useful information and aid in business decision making. In this chapter, gathered information
or data has been given in tables, graphs, and interpretation form.

ANALYSIS BASED ON THE QUESTIONNAIRE

FIG 1.1

AGE OF RESPONDENTS

AGE NO: OF RESPONSES PERCENTAGE

18-25 41 73.20%

25-35 12 21.40%

35-45 3 5.40%

ABOVE 45 0 0.00%

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FIG 1.2

GENDER OF RESPONDENTS

GENDER NO: OF RESPONSES PERCENTAGE

MALE 42 76.45%

FEMALE 13 25.60%

58
FIG 1.3

OCCUPATION OF RESPONDENTS

OCCUPATION NO: OF RESPONSES PERCENTAGE

STUDENT 47 83.2%

EMPLOYED 8 14.3%

ANY OTHER OCCUPATION 1 18.5%

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FIG 1.4

Q1.DO YOU KNOW ABOUT STOCK MARKET?

DO YOU KNOW ABOUT INDIAN

NO: OF RESPONSES PERCENTAGE
STOCK MARKET

YES 50 89.3%

NO 6 10.7%

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FIG 1.5

Q2. DO YOU HAVE A DEMAT ACCOUNT?

DO YOU HAVE A DEMAT

NO: OF RESPONSES PERCENTAGE
ACCOUNT

YES 40 71.40%

NO 16 28.60%

61
FIG 1.6

Q3. WHERE YOU WANT TO INVEST?

WHERE YOU WANT TO INVEST NO: OF RESPONSES PERCENTAGE

BANKS 22 39.30%

BONDS 18 32.10%

EQUITY SHARES 36 64.30%

MUTUAL FUNDS 29 51.80%

REAL ESTATE 17 30.40%

PRECIOUS STONES 12 21.40%

FINANCIAL DERIVATIVES 11 19.60%

62
FIG 1.7

Q4. WHAT DO YOU PREFER?

WHAT DO YOU PREFER NO: OF RESPONSES PERCENTAGE

INVESTMENT 33 58.90%

TRADING 7 12.55%

BOTH 16 28.60%

63
FIG 1.8

Q5. IN WHICH STOCK YOU MOST TRADED ONLINE?

IN WHICH STOCK YOU MOST

NO: OF REPONSES PERCENTAGE
TRADED ONLINE

EQUITY 22 39.30%

FUTURE AND OPTIONS 12 21.40%

COMMODITIES 1 1.80%

MUTUALFUNDS 16 28.60%

ETF 2 3.60%

OTHERS 3 5.40%

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FIG 1.9

Q6. HOW MUCH INVESTMENT YOU MADE IN THE STOCK

MARKET?

HOW MUCH INVESTMENT HAVE

YOU MADE IN THE STOCK NO: OF REPONSES PERCENTAGE
MARKET

0-2 LAKH 35 62.50%

2-4 LAKH 16 28.60%

4-6 LAKH 4 7.10%

ABOVE 6 LAKH 1 1.80%

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FIG 1.10

Q7. HOW MUCH INVESTMENT EXPERIENCE DO YOU HAVE IN?

HOW MUCH IVESTMENT EXPERIENCE DO

NO: OF RESPONSES PERCETAGE
YOU HAVE IN

VERY LITTLE KNOWLEDGE AND

15 26.80%
EXPERIENCE

SOME INVESTMENT KNOWLEDGE AND

31 55.40%
UNDERSTANDING

VERY HUGE EXPERIENCE AND GOOD

10 17.90%
KNOWLEDGE OF INVESTMENT

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FIG 1.11

Q8. HOW FREQUENTLY DO YOU INVEST IN THE MARKET?

HOW FREQUENTLY DO YOU

NO: OF RESPONSES PERCENTAGE
INVEST IN THE MARKET

WEELY 17 30.40%

MONTHLY 22 39.30%

QUATERLY 6 10.70%

HALF YEARLY 11 19.60%

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FIG 1.12

Q8. ON WHAT BASIS DO YOU TAKE YOUR INVESTMENT

DECISION?

ON WHAT BASIS DO YOU TAKE YOUR

NO: OF RESPONSES PERCENTAGE
INVESTMANT DECISION

NEWS, MAGAZINES 30 53.60%

MARKET SITUATION 36 64.30%

BROKER'S ADVICE 16 28.60%

TIPS, PAID SERVICES 13 23.20%

OWN STUDY 32 57.10%

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FIG 1.13

Q9. HOW MUCH RETURN YOU EXPECT ON YOUR INVESTMENT

DECISION?

HOW MUCH RETURN YOU

EXPECT ON YOUR INVETMENT NO: OF RESPONSES PERCENTAGE
DECISION

8-12% 13 23.25

12-16% 25 44.65

16-20% 10 17.95

ABOVE 20% 8 14.30%

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FIG 1.14

Q10. WHO IS YOUR BEST TRUSTED BROKER?

WHO IS YOUR BEST BROKER NO: OF RESPONSES PERCENTAGE

ZERODHA 19 33.90%

GROWW 17 30.40%

UPSTOX 8 14.30%

ANGEL ONE 6 14.30%

ICICI DIRECT 4 7.10%

5 PAISA 0 0.00%

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FIG 1.15

Q11. WHAT IS YOUR INVETMENT STRATEGY?

WHAT IS YOUR INVESTMENT

NO OF RESPONSES PERCENTAGE
STRATEGY
DON'T INVEST MORE THAN 20% OF
33 58.90%
YOUR INCOME

INSTALLMENT TYPE INVESTMENT 18 23.10%

INVEST FOR LONG TERM 28 50%
UNDERSTANDNG RISK FACTOR OF
16 28.60%
SECTOR AND COMPANY
AVOID PENNY STOCKS 16 28.60%
DO READ NEWS AND ANALYZE
17 30.40%
CHARTS OF STOCK
MUTUAL FUNDS 18 32.10%
ALL OF THESE 10 17.95%
INVEST AT EVERY DELCINE 23 41.10%

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FIG 1.16

Q12. HOW MUCH DO YOU INVEST AT A TIME?

HOW MUCH DO YOU INVEST AT A TIME

NO: OF REPONSES PERCENTAGE
IN 1000'S

UPTO 5 10 18.20%

5-10K 19 34.55%

10-15K 11 20.00%

15-20K 9 16.40%

ABOVE 20 6 10.90%

72
 CH-6 FINDINGS AND OBSERVATIONS

FINDINGS AND OBSERVATIONS

73
 Majority of the respondents know about stock market and 71.4% of the
respondents have a Demat account.
 Majority of the respondents invested in equity shares, mutual funds and
in bank schemes.
 Majority of the respondents prefer investment rather doing trading.
 Most of the people only invested 0-2 lakh in the stock market.
 55.4% of respondents have very less knowledge and understanding about
the stock market.
 Many people invest monthly rather going for weekly or half yearly
investing in the stock market.
 Majority of the respondents take decisions on the market situation which
influence their decision to buy or to sell a stock.
 44.6% respondents expects 12-16% of return on their investment.
 Zerodha and groww are the most trusted broker for majority of the
people.
 People don’t invest more than 20% of their total income.
 Respondents only invest 0k to 5k at a time in the stock market.

74
 CH-7 RECOMMENDATIONS/SUGGESTIONS

RECOMMENDATIONS AND SUGGESTIONS

 People should be aware of stock.

75
 People should more focus on investment.
 People should also go with investing in commodities.
 Expectation returns are low
 Majority of decisions must be taken by evaluating all grounds of the stock market.

76
 CH-8 CONCLUSION AND LIMITATIONS

CONCLUSION OF THE TOPIC

77
  It is a good experience for me to conduct research about study of investor investment
behaviour in stock market & suggesting good investment strategy. It will prove very
helpful to me in my future career.

LIMITATION OF THE STUDY

 My study only contains 56 respondents.

 Lack of research experience.
 Few of the respondents don’t know about stock market
 Many consumers were also not wanted to participate in the research
study.
 Data collected and awareness level may not represent the actual real
picture.

78
 CH-9 BIBLIOGRAPHY

WEBSITE

79
WWW.GEOJIT.COM

QUESTIONNAIRE

Q1. AGE

a. 18-25
b. 25-35
c. 35-45
d. ABOVE 45

Q2. GENDER

a. MALE
b. FEMALE
c. OTHERS

Q3. OCCUPATION

a. STUDENT
b. EMPLOYED
c. ANY OTHER PROFESSION

Q4. DO TOU KNOW ABOUT INDIAN STOCK MARKET?

a. YES
b. NO

Q5. DO YOU HAVE A DEMAT ACCOUNT?

a. YES
b. NO

Q6. WHERE YOU WANT TO INVEST?

a. BANK
b. BONDS
c. EQUITY SHARES
d. MUTUAL FUNDS

80
 e. REAL ESTATE
f. PRECIOUS OBJECTS
g. FINANCIAL DERIVATIVES

Q7. WHAT DO YOU PREFER?

a. INVESTMENT
b. TRADING
c. BOTH

Q8. IN WHICH STOCK YOU MOST TRADED ONLINE?

a. EQUITY
b. FUTURE AND OPTIONS
c. COMMODITIES
d. MUTUAL FUNDS
e. ETF
f. OTHERS

Q9. HOW MUCH INVESTMENT HAVE YOU MADE IN THE STOCK MARKET?

a. VERY LITTLE KNOWLEDGE AND EXP.

b. SOME INVESTMENT KNOWLEDGE AND UNDERSTANDING
c. VERY HUGE AND GOOD KNOWLEDGE OF INVESTMENT

Q10. HOW FREQUENTLY DO YOU INVEST IN THE MARKET?

a. WEEKLY
b. MONTHLY
c. QUATERLY
d. HALF UEARLY

Q11. ON WHAT BASISI DO YOU TAKE YOUR INVESTMENT DECISION?

a. MARKET SITUATION
b. NEWS, MAGAZINES
c. BROKER’S ADVICE
d. TIPS, PAID SERVICES

81
 e. OWN STUDY

Q12. -HOW MUCH RETURN ON YOUR INVESTMENT DECISION?

a. 8-12%
b. 12-16%
c. 16-20%
d. ABOVE 20%

Q13.WHO IS YOUR BEST TRUSTED BROKER?

a. ZERODHA
b. GROWW
c. UPSTOX
d. ANGEL ONE
e. ICICI DIRECT
f. 5 PAISA

Q15. WHAT IS YOUR INVESTMENT STRATEGY?

a. DON’T INVEST MORE THAN 20% OF YOUR INCOME

b. INSTALLMENT TYPE INVESTMENT
c. INVEST FOR LING TERM
d. UNDERSTANDING RISK FACTOR OF SECTOR AND COMPANY
e. AVOID PENNY STOCKS
f. DO READ NEWS AND ANALYZE CHARTS OF STOCK
g. MUTUAL FUNDS
h. ALL OF THESE
i. INVEST IN DECLINE

Q16. HOW MUCH DO YOU INVEST AT A TIME?

a. UPTO 5K
b. 5-10K
c. 10-15K
d. 15-20K
e. ABOVE 20

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