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CHAPTER 3 RESEARCH METHODOLOGY 3.

1 Purpose of the Study


To get an insight into the mind of investors regarding trading and investment in Equities. To get an insight into the mindset of investors regarding the importance assigned to different attributes such as risk, return, liquidity etc. of various investment channels such as equities. In the report this tries to understand the investors behavior while trading. To study the preferences and perceptions of investors regarding various financial products from the stable of India Infoline Ltd. so that the firm can benefit from the findings of the report in launching any new investment product in future.

3.2 Research Objectives of the study


Primary Objective : To study the consumers perception in respect of investment in shares Trading. To study the issues and challenges that investors face while making investment in share market. The main objective of this project is concerned with getting the opinion of people regarding stock & equity and what they feel about availing the services of financial advisors. Secondary Objectives: To study investors behavior towards different attributes such as risk, return, liquidity etc. of investment in Equities. To study the preferences and perceptions of investors regarding various financial products from the stable of India Infoline Ltd. so that the firm can benefit from the findings of the report in launching any new investment product in future. To study about Risk Management with the help of equities.

to explore the general opinion about equity. It also covers why/ why not investors are availing the services of financial advisors.

3.3 Research Methodology:


Research methodology is a collective term for the structured process of conducting research. A research is carried out by different methodologies which have their own pros and cons. R e s e a r c h methodology is a way to solve research in studying and solving research problem along with logic behind them are defined through research methodology. The research was carried out through survey method, fieldwork in order to collect data. Data collected through questionnaire and verbal discussion. The methodology section is the blue print for researcher activity and specifies bow the investigator intents to study the people or describe social settings. In other words the methodology section make explicit the study desire and constitutes the how to do it phase.

3.3.1 Research Design: Exploratory and Qualitative Research


Research Design is usually conducted during the initial stage of the research process. The preliminary activities undertaken to refine the problem into a researchable one need to be formal or precise.

Exploratory Research
The purpose of the Exploratory Research is to progressively narrow the scope of the research topic and to transform the discovered problems into defined ones, incorporating specific research objectives. This type of research can provide significant insight into a given situation. Exploratory research can be informal such as informal discussions with consumers, employee, management or competitors or formal such as formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies.

Qualitative Research
The purpose of Qualitative Research is to explore issues, understand phenomenon and answer questions. In our research we need comparison between different stock brokers, so this is based on all quantitative data. Focus groups, in-depth interviews, content analysis, ethnography, evaluation and semiotics are among the many approaches that are used, but qualitative research in its most basic form involves the analysis of any unstructured data, including open-ended survey responses, literature reviews, audio recordings, pictures and web pages.

3.3.2 Data Collection Techniques


The following techniques are used for collecting the data in this research: Survey Face-to-Face Interview Telephonic Interview

3.3.3 Sample Design


A sample design is a definite plan for obtaining a sample from a given population. Sample Design is the technique or the procedure, the researcher would adopt in selecting items to be included in the sample research should select design which would be reliable and appropriate for the study. Generally, sample design are of two types: Probability Sampling Design- Probability sampling is a sampling technique where the samples are gathered in a process that gives all the individuals in the population equal chances of being selected. Non- Probability Sampling Design-Non-probability sampling is a sampling technique where the samples are gathered in a process that does not give all the individuals in the population equal chances of being selected.

We used the Non-Probability Sampling Design: Under non-Probability Sampling Design, we used Convenience sampling it is a non-probability sampling technique where subjects are

selected because of their convenient accessibility and proximity to the researcher Many researchers prefer this sampling technique because it is fast, inexpensive, easy and the subjects are readily available

3.3.3.1 Population
The population of the research was National Capital Region (NCR).It is restricted to Greater Noida where I have visited people randomly nearby my locality, different shopping malls, small retailers etc.

3.3.3.2 Sample size


This refers to the number of items to be selected from the universe to constitute a sample. The sample size in this project is 67

3.3.3.3 Sampling Method


Sampling methods are used to select a sample from within a general population. Proper sampling methods are important for eliminating bias in the selection process.Convenience sampling method is used in this project. The sample is selected in a random way, irrespective of them being investor or not or availing the services or not. It was collected through mails and personal visits to the known persons, by formal and informal talks and through filling up the questionnaire prepared. The data has been analyzed by using the measures of central tendencies like mean, median, mode. The group has been selected and the analysis has been done on the basis statistical tools available.

3.3.4 Method of Data Collection


Data collection is a process of preparing and collecting data. While deciding about the method of data collection to be used for the study the researcher should keep two types of data: Primary Data Secondary Data

Primary Data
The primary data are fresh data collected directly from the field and therefore consist of original information gathered for the specific purpose. It is expensive, laborious, and time consuming. But it assures a greater degree of accuracy and reliability. The data have been collected by Survey using questionnaires, face-to-face interview and telephonic interview. Though the primary source was not enough for the study but it did give some accurate conclusions. Sources of Primary Data: Telephonic Interview Face-to-face interview Company Prospectus and Literature Questionnaire

Secondary Data
The secondary data are the data, which the investigator borrows from other who have collected it for various other purposes. Therefore it may not entirely be reliable. It is less expensive and involves less expensive and involves less time and labor than the collection of primary data. Sources of Secondary data: Newspapers, Internet, Magazines and Trade Journals. Company Database Employees of the company. Publication of books, company records, brochures, catalogues and other documents. Reports and publications of Government department and international bodies.

Data sources:
Research is totally based on primary data. Secondary data can be used only for the reference. Research has been done by primary data collection, and primary data has been collected by interacting with various people. The secondary data has been collected through various journals, websites and some special publications of India Infoline .

3.3.4.1 Instrument for Data Collection Questionnaires Telephone Internet 3.3.5 Limitations of the Study

Restricted scope :

As only National Capital Region (NCR) dealt in survey so it does not represent the view of the total Indian Market. Therefore, the scope of the study is restricted.

Time :

Time duration of project work was short, and this was biggest limitation of my project. There was also a lack of time on the part of the respondents.

Sample size :

Size of the research may not be substantial. My sample size was 67 .Out of which 33 are not ready to invest in Equities/Stock Market

Opinion:

Some of the persons were not so responsive. Possibility of error in data collection. Possibility of error in analysis of data due to small sample size.

CHAPTER- 4 ANALYSIS & INTERPRETATION

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