Capital Structures of the Indian Industrial Sector

Capital Structures of the Indian Industrial Sector Chapter 1 INTRODUCTION 1.1 Introduction Capital is the main factor of every industry, a company start with capital and end with demolition of that capital. So the capital and capital structure are one of the most important terms in every business, Companies have been struggling with capital structures for more than four decades. During credit expansions, companies have been unable to build enough liquidity to survive the contractions, especially those enterprises with unpredictable cash flow streams which end up with excess debt during business slowdowns In this research I am going to Exam the changes in the capital structure of Indian industrial sector, with a special reference to Indian textiles industry .The purpose of this paper is to determine whether firm-specific capital structure determinants in the emerging market of India. support the capital structure theories which were developed to explain the company structures in developed economies. In other words, the main motivatio n for this study is to highlight the role of firm characteristics and industrial sector-specific variables in determining capital structure. This is an attempt to a panel data study of capital structure determinants. Statement of the Problem There is lot of study conducted in the field of capital structure theory but no systematic study with applying econometric model and tools used like panel data are not conducted in India yet. It consist analyzing both time and cross sectional variables. There is No studies are conducted on specified sector. The study by sector wise is more effective than in macro level research which is avoid sector variable. Each industry has its own uniqueness and situations. When taking macro level data set will miss its sector uniqueness. This research is an enquiry through panel data analysis with considering sector as important factors. Specifically researcher tries to answer some questions, firstly which selected factors are more influence in short te rm leverage of a firm, and which is not influence on it . Secondly long term leverage has any determinate in Indian industry and which factors is more influenced in total debt decision. Also questioned extraneous variable like bank rate, inflation rate can make any impact on capital structure. The researcher conduct a pre study for specifying research problem. Pre study The pre study was conducted by analyzing all companies in india by classify these companies in sector wise. Assigning debt equity ratio as variable for prestudy, by Using cmie and Bloomberg database, researcher collect all companies 5year debt equity ratio and classified them in sector wise. Companies arranged under in a Automobiles & ancillaries, Banking, chemical , communication, construction & real estate, construction material, consumer goods sector, energy, food & Agro, hotel & tourism, IT, investment & finance, Machinery, metal, mining ,textiles, transport and wholesale & re tale sectors. Take 5 year averag e of all company and find out standard deviation of each sector. The value arranged below table. Table 1.1 .Result of Pre study Sectors Average Debt on equity Standard deviation Automobiles & ancillaries index 1.06 3.561244 Banking services index 1.53 0.695391 Chemicals & chemical products index 1.53 3.562817 Communication services index 1.54 21.75133 Construction & real estate index 1.92 26.57946 Construction materials index 0.77 23.65846 Consumer goods index 1.72 8.326452 Energy index 1.36 2.520609 Food & agro-based products index 1.45 7.826624 Hotels & tourism index 1.33 18.53691 Information technology index 0.35 1.677905 Investment services index 0.24 1.035782 Machinery index 1.26 7.248118 Metals & metal products index 1.3 16.62944 Pharma 1.63 86.75429 Mining index 0.34 6.509317 Textiles index 2.05 167.5378 Transport services index 1.68 2.88037 Wholesale & retail trading index 1.68 34.62297 In this table textiles sector have very high debt equity and not ordinary deviation between companies. High standard deviation mean that in textile sector, some companies has very low debt and some has very high. It is india’s one of the oldest and major export sector too. Highest deviation and irregularity in debt is not a better sign. So need an attention on capital strucre determinant of Indian textile sector.

Sombrero Essay Example | Topics and Well Written Essays - 1250 words

Sombrero - Essay Example They are also a strong symbol of the wearer’s economic and social status and his culture. The history of sombrero hats goes back to Mongolia where they were worn by horse riders back in the 13th century. There are different hypotheses about how sombrero hats originated in Mexico and who made them. Mestizo workers are thought the be the inventors of these hats and they were from native American and European decent who used to work in Mexico and United States. Others prefer that sombrero hats were invented by horse riders who made it part of their uniform. They came from Jalisco capital of Guadalajara. And some think that early cowboys in Texas adopted the Spanish sombrero as a practical solution for the problem of strong sun and heat. Most of the people believe they were made common by the Mexican peasants who used to wear them while working in fields to protect themselves from the extreme heat of south (History of Hats n.p.). Mexican sombrero hats are worn by people belonging to different walks of life now. Traditionally the mariachi folk musicians who wear embroidered outfits, with beading and gold threads wear wide sombreros that are decorated in a manner similar to them. The traditional horsemen called Charros also wear them. The famous dance known as sombrero dance also utilizes a sombrero hat which is known as Jarabe Tapatio (Schmitt n.p.). It moves on a folk song which tells about a love story between a poor Charro peasant and his beloved. In an attempt to win her heart, he tosses his sombrero hat on the ground, which is his most valuable possession, as a gift and as a sign of his seriousness of his love. Thus, she accepts his love and starts a dance on the brim of the sombrero hat. A part from these cultural and traditional uses, sombrero hats are still worn by Mexican peasants in fields. Lately, after becoming the symbol of Mexican heritage, they have become an

Public affair class source report 5 Essay Example | Topics and Well Written Essays - 500 words

Public affair class source report 5 - Essay Example The information informs the agency on the economic significance of international students to U.S, U.K, and China. Gil, Natalie. â€Å"International students: a guide to social success.† The Guardian, 19 September 2014. Web. 30 November 2014. Summary: International students face huge challenges in integrating themselves into the social scene of a foreign nation. The international office and international student committee encourages international students to join culture and language societies that promote social interactions between cultural backgrounds. Relevance: The information is relevant to the department of international student U.S since it manifests how international offices and international student committees can help international students from integrating themselves into the U.S social scene. Konrad, Matt. â€Å"How U.S. Students Can Find College Scholarships to Study in Europe.† U.S. News & World Report LP, 30 October 2014. Web. 30 November 2014. Summary: The article confirms that U.S students who seek higher education in different countries across Europe suffer from financial aid complications than international students seeking higher education in U.S. U.K is the best destination for U.S students seeking higher education in Europe since it provides educational scholarships to students from U.S. Relevance: The information is relevant to the department of international student U.S since it manifests the financial challenges faced by U.S students and presents educational scholarships offered to U.S students by U.K. Lu, Yao. â€Å"3 Rules for International Students Using U.S. Social Media.† U.S. News & World Report LP, 9 Jan. 2014. Web. 30 November 2014.

Jesus and Gospels Essay Example | Topics and Well Written Essays - 500 words

Jesus and Gospels - Essay Example 2. Jesus used parables to teach his disciples and anyone who wanted to listen because it was the easiest form to talk about theological aspects. The Jews were simple people and enjoyed listening to stories. The parables that Jesus used were supposed to show that He could connect with the world and understood its problems. Many of the parables that Jesus used were culturally relevant for the Jews at that time and so they had a better time understanding them. 3. Before Jesus was born, many Jews wanted the Messiah to come as a military strongman and free them from the Romans, who controlled Israel at that time. Many Jews despised the Romans because they were required to pay taxes to the Caesar. The Jews worshipped at Synagogues on every Saturday. It was here that Jesus first was able to speak to Jews about the reasons why he had come and what he needed to do. The Jewish people were crying out for a savior because the economy was not favorable for Jews and it was dominated by Roman rule. 4. For the immediate years after the death and resurrection of Jesus, His story was passed down through oral tradition. Mark was the first book to be written, around 60 to 70 AD, while Matthew and Luke were written partly based of this book twenty to thirty years later. All of these books were written in Greek. The book of John was written in the late first century and took Lukes Gospel as inspiration. The reason why the first three are called the Synoptic Gospels is because they have much of the same information but told from a different point of view. Unlike John, the Synoptic Gospels include stories from first-hand witnesses. 5. Jesus concept of the Kingdom of God was that it was open to anyone who chose to receive Him. Jesus used many parables to portray the Kingdom of God, including one that said how hard it would be to enter the Kingdom. Although Jesus encouraged good works, He proclaimed that no one could come to the

Writing Assignment 2 Essay Example | Topics and Well Written Essays - 250 words - 1

Writing Assignment 2 - Essay Example This is the same as banning all mini app stores such as the Amazon Kindle app or the Sony Reader Store. The idea is for all trading transactions to be performed within the iTunes app store exclusively and not through other means. This policy is actually not surprising because Apple has been known for its tight control of its products. For instance, iPod and iPhone users cannot download music and applications to their gadgets using other means besides the iTunes software. Third party applications being entered and sold in the app store also have to meet very stringent requirements as well. This case is a classic example of monopolistic market structure. It provides very clear and very limited choice for customers to either buy and use the product or simply do without it. The same goes for publishers and application developers. They could adhere to Apple's regulation otherwise they will be prevented from selling their products. The dynamics of the system all boil down to one single sel ler - Apple through its app store and iTunes. Any attempt of entering the market is useless because of these mechanisms. There is no competition. Both consumers and publishers cannot do anything about it despite the restrictions and monopolistic policies. The sheer number of Apple users empowers the company to do whatever it wants through the principle of economies of scale.

Wind Power Essay Example | Topics and Well Written Essays - 1750 words

Wind Power - Essay Example World is facing major energy crisis due to the pollution attached to the presently available energy sources and technology. The commitment to develop clean energy sources is forcing economies to develop sustainable and clean power generation. Wind energy is a major source of clean power. It is important to mainstream this source of power as a clean alternative to support the power requirements. Use of wind as a reliable source of energy for various purposes like navigation, pumping water, grinding grains, sawing etc. is evident from the historical times. Wind is one of the cleanest sources of energy available in the world. The science of power generation from wind is rather simple. Earth is made of different materials, distributed unevenly all over the space and hence it absorbs heat from the sun with variance. During day, air over the land surface gets heated quickly than the air above water surface. Heating causes expansion of air and hence it becomes lighter and moves upwards and the heaver air replaces it causing wind. The process is reversed during night time, as air over the land surface gets cool quickly than the air above water surface. In simple words, wind is generated by movement of air between high pressure to low pressure area. In terms of energy flow, heat energy is converted into kinetic energy. Production of power from wind energy is quite interesti... Production of power from wind energy is quite interesting and it follows basic principles of energy conversion. Power is generated when the kinetic energy of the wind is converted to mechanical energy. This power could be used for generating electricity or power for running machines etc. Hence, wind power could be used for many purposes. The present day wind machines uses blades to collect the kinetic energy from the wind. When wind strikes the blades of the machines, it slow down the wind by capturing its energy and thus allows the blades to rotate. These blades are connected to a shaft at the centre which transfers its power to the electric generator to produce electricity. The interesting part is that in the entire process, there is no pollution involves with the process. Wind power is a potential form of renewable energy which is available to humankind. Although it has a long history, this source of energy is not mainstreamed due to lack of improved technology and huge production cost. Although developed much earlier, cheaper technologies were developed for power generation from alternate sources which alienated the use of wind power for commercial purposes. The cost factor had impacted this majorly. The major constrain of the wind power is the reliability factor as the power is generated only when there is wind. During lean period, one has to depend on other sources for power supply. This drawback makes it difficult for people to adopt this technology for daily use. The only alternative for this problem is to use other sources of power for the lean period. In the present scenario, energy is produced in the world from coal, crude oil, petroleum products, natural gas, nuclear, hydro, combustible renewables & waste etc. Most of these sources are

Harley Davidson strategy in the US market Essay Example | Topics and Well Written Essays - 750 words

Harley Davidson strategy in the US market - Essay Example Harley Davidson strategy in the US market Harley Davidson strategy in the US market: Harley Davidson executed cost/differentiation strategy in the market of US and focuses on the niche sector to compete with its competitors successfully and efficiently. The factors of differentiation include three main competitive advantages: High standard quality bikes. Premium brand image Customized motorbike manufacturing services. The market share and sales of Harley Davidson in the US motorbike industry proves its successful strategies (Harley Davidson, 2012). Harley Davidson strategy in the international market: Harley Davidson differentiated its brands in all the markets of the world with the image of High-powered motorbikes. The target market of Harley-Davidson in the international market are mostly all the urbanized countries. The company sells its products in more than 67 countries in the world. Harley Davidson distinguishes its brands from competitors by superior quality, high-powered engine and customized design along with the br and loyalty. Harley Davidson is succeeding in accomplishing its targets all over the world with its implemented strategies of global market expansion (TDI Media, 2010). Harley Davidson is facing a threat of environment protection law. This law emphasizes on the production of low consumption vehicles and less pollution emitted vehicle in the world. This has become a serious factor nowadays and every country is considering this factor very critically. Harley Davidson has decided to reduce this threat with product development strategy. ... This strategy is the main strength of Harley Davidson in both US and international market and company is competing successfully with these strategies for a long time in this industry. STRATEGY TO TAKE ADVANTAGE OF EXTERNAL OPPORTUNITY: A great exploited opportunity by Harley Davidson is the increasing market of women and younger riders; they are becoming more interested in the motor bikes nowadays and the sell of motor bikes in this segment is increasing for the last few years (Mason, 2012). Harley Davidson is implementing the market development strategy to avail this golden opportunity for increasing market share in the growing motorbikes industry. Harley Davidson has decided to bring innovations in its motorbikes according to the needs and wants of women and younger market and introduces those innovated bikes in this new emerging segment of women and younger generation. This strategy by Harley Davidson will capture the interest of the new emerging segment of women and young people in all of its markets in the world. This market expansion will give a great competitive advantage of increased market share to Harley Davidson in the international market and it will produce new records of success in the motorbike industry. STRATEGY TO ADDRESS POTENTIAL THREAT: Harley Davidson is facing a threat of environment protection law. This law emphasizes on the production of low consumption vehicles and less pollution emitted vehicle in the world. This has become a serious factor nowadays and every country is considering this factor very critically. Harley Davidson has decided to reduce this threat with product development strategy. In this development the fuel efficient motorbikes will be manufactured to make the reduction in the fuel consumption and