A Taxonomy for Evaluation and Comparison of Financial Performance of Indian IT Companies
DOI:
https://doi.org/10.21095/ajmr/2015/v8/i2/88208Keywords:
Taxonomy Method, Financial Indicators, Investors, Investment Strategies.Abstract
The term paper is mainly presented to demonstrate the use of Taxonomic Method designed by Polish Mathematicians. The paper investigates performance of 20 IT Companies of India in light of 10 financial indicators. The methodology identifies the companies that show similar performance but different from other companies. Further, the paper also explores the cluster analysis of the companies and analyses the pattern to cluster. The taxonomy here also assists the recognition of the company performance and provides relevant information both to investors and the existing shareholders to continue to invest in the company and for making new investment strategies.References
Chron.com. <http://smallbusiness.chron.com/ wagessales-ratio-12713.html>.
Coccia, Mario. "A New Taxonomy of Country Performance and Risk Based on Economic and Technological Indicators." Journal of Applied Economics Vol X, No. 1 (May 2007): 29-42.
D'Amato, Elio. The Top 15 Financial Ratios. Australian Shareholder's Association, n.d.
Drake, Pamela Peterson. "Financial Ratio Analysis." n.d.
"Investopedia."<http://www.investopedia.com/university/ratios/landing.asp>.
Kumar, Subash Sharma and Ajith. "Cluster Analysis and Factor Analysis." n.d.
Appendix I. "Taxonomic Method".
"ClusterAnalysis." <http://www.stat.berkeley.edu/classes/s133/Cluster2a.html>.