financial institutions

1. A

3.  Stock market
 Stock market securities
 Stock market indices
 Stock market participants

4. Stocks in the reference of stock market are the
total number of shares a person has in one
company or in many companies.

6.  The first group of investors to whom a new issue of
security is sold.
 The primary market consists of the issuer and the first
buyers of the issue.
 The primary market can be a time more volatile than
the secondary market because it is difficult to
determine the underlying value of new issues.

7.  A market where investors purchase securities or
assets from other investors, rather than from issuing
companies themselves.
 The national exchanges - such as the New York Stock
Exchange and the NASDAQ are secondary markets.

8. A financial market conditions in which prices of
securities or group of securities are rising or are
expected to rise.
Bull markets are characterized by optimism, investor
confidence and expectations that strong results will
continue.
It is a market condition in which the prices of
securities are falling.
As investors anticipate losses in a bear market
and selling continues, pessimism only grows

9. 1. Company decide to go public and raise fund from the market and
decide upon the Total amount to be raised from the Market.
2. They get clarification from SEBI.
3. This amount is broken down in number of shares by deciding the
Face Value. As per the norms of the SEBI the FV is to be multiple of
5. Normal practice is keeping this at Rs10.
4. Then the No of shares to be introduced in the Market is decided.
5. Depending upon the response of the Stock as IPO, when it is
opened on Secondary Market the price is decided.
6. The combined collection of the firm from IPO and Secondary
Market operations becomes the Market Capitalisation of the firm,
from which a share of Profitability is distributed among the share
holders in the form of Dividend .

10. • Market capitalization is often called as
market cap is a measurement of the size of
a business enterprise.
• It is the total dollar market value of all of a
company's outstanding shares calculated
by multiplying a company's
shares outstanding by the current market
price of one share.
• The companies were divided into large-
cap, mid-cap, and small-cap based on the
size of market capitalization.
Large-cap: $10 billion–$100 billion.
Mid-cap: $1 billion–$10 billion.
Small-cap: $100 million–$1 billion.
Market Capitalization
large cap
mid cap
small cap

11. Rank Exchange Name Country
Domestic Market
Capitalization(Billion
Dollars)
1
New York Stock
Exchange
United States 11,837
2 Tokyo Stock Exchange Japan 3,306
3 NASDAQ United States 3,239
4 Euro next
Belgium, France,
Holland, Portugal
2,869
5
London Stock
Exchange
United Kingdom 2,796
6
Shanghai Stock
Exchange
China 2,704
7
Hong Kong Stock
Exchange
Hong Kong 2,345
8
Toronto Stock
Exchange
Canada 1,608
9 BM & FBovespa Brazil 1,337
10
Bombay Stock
Exchange
India
1,306

12. are those that will use the product or service
help define specifications and provide
information for evaluating alternatives
have formal authority to select the supplier
and arrange terms of purchase
have formal or informal power to select
and approve final suppliers
control the flow of information

13. •Price
•Service
•Emotion

14. Demand for
product
Economic
outlook
Cost of
money
Resource
availability
Technology Culture
Politics Competition

15.  Objective
 Policies
 Procedures
 Structure
 System

16. Motives Perceptions Preferences
Age Income Education
Attitude
toward risk

17. Problem recognition occurs when someone in
the company recognizes a problem or need
Internal stimuli
– Need for new product or production equipment
External stimuli
– Idea from a trade show or advertising

18. description describes the characteristics
and quantity of the needed item
describes the technical criteria
is an approach to cost reduction where
components are studied to determine if they can be
redesigned, standardized, or made with less costly
methods of production

19. is the process of requesting
proposals from qualified suppliers

20. is the process when the buying
center creates a list of desired supplier
attributes and negotiates with preferred
suppliers for favorable terms and conditions
is the final order with
the chosen supplier and lists all of the
specifications and terms of the purchase

21. involves a critique of
supplier performance to the purchase
terms

22. Online purchasing
Company-buying sites
Extranets

23.  Advantages
– Access to new suppliers
– Lowers costs
– Speeds order processing and delivery
– Shares information
– Sales
– Service and support
 Disadvantages
– Can erode relationships as buyers search for new
suppliers
– Security

24. consist of hospitals, nursing
homes, and prisons that provide goods and
services to people in their care
 Characteristics
– Low budgets
– “Captive” audience

25. tend to favor domestic suppliers
and require suppliers to submit bids and normally
award to the lowest bidder
 Carefully monitored
 Affected by similar environmental factors
 Good credit
 Non-economic factors
 Minority suppliers
 Depressed suppliers
 Small businesses