Title: Relationship between tea industry specific factors and tea companies share prices: empirical evidence from an emerging economy

Authors: Muhammadriyaj Faniband; Parashram Patil; Toufik Naykawade

Addresses: Department of Commerce, CHRIST (Deemed to be University), Bengaluru-560029, India ' Ministry of Commerce and Industry (APEDA), Government of India, India ' Department of Commerce and Management, Shivaji University, Kolhapur-416004, India

Abstract: We analyse the impact of tea industry specific macroeconomic factors on tea companies' share prices listed in Bombay Stock Exchange, India using quantile regression approach. We consider monthly period from January 2003 to December 2017. We find evidence to support the relationship between tea industry and tea companies' share prices. Our results reveal that the change in area of cultivation has both negative and positive impact on the share prices of tea companies. This study indicates that production of tea has a significant and only positive influence. Further, we observe a minimal impact of tea import only on three companies' share prices. This paper also notes that tea companies' share prices react most significantly to tea export.

Keywords: tea industry; tea companies; macroeconomic factors; share prices; quantile regression; Bombay Stock Exchange; BSE; India.

DOI: 10.1504/IJBG.2024.138520

International Journal of Business and Globalisation, 2024 Vol.37 No.1, pp.1 - 15

Received: 27 Dec 2019
Accepted: 12 May 2020
Published online: 09 May 2024 *

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