ONE WAY ANOVA
TITLE:- COMPARISON OF FOUR IPL TEAMS
AUTHOR NAME:- SHRUSHTI TODANKAR (MBA FINANCE)
INTRODUCTION
The Indian Premier League (IPL) is a Twenty20 cricket league held annually in India between March and May and features ten city-based franchise teams. The league was founded in 2007 by the Board of Control for Cricket in India. The IPL has grown to be one of the most popular and profitable cricket leagues in the world, attracting top international players and millions of viewers worldwide.
OBJECTIVE
To compare four IPL teams.
LITERATURE REVIEW
1) Artificial Neural Network
Cricket is one of those sports where a large amount of numerical information is generated in every game. The game of cricket got a new dimension in April 2008, when the Board of Control for Cricket in India (BCCI) initiated the Indian Premier League(IPL). It is a franchise based Twenty20 cricket tournament where teams are formed by competitive bidding from a collection of Indian and International players. Valuations of the players are determined through auction, so performance of individual players is always under scanner. The objective of this study is to analyze and predict the performance of bowlers in IPL, using artificial neural networks. (Hemanta Saikia & Dibyojyoti Bhattacharjee & H. Hermanus Lemmer, 2012)
2) IPL teams and data on Indian stock market
This study uses the data on stock prices of firms sponsoring the Indian premier league (IPL) teams and data on the Indian stock market. The event-study frameworks along with autoregressive moving average and GMM regression are employed to empirically quantify the impacts of the performance of the IPL teams on the stock market returns of the sponsors’ stocks and response of Indian stock market to the outcome of T-20 international matches. Findings – The paper finds that the team winning IPL title in a season has a positive impact on the returns of the sponsors’ stocks of a particular team, whereas loss of team has a negative impact on returns. The outcome of the cricket matches played by team India in the T-20 has a negligible effect on the Indian stock market. (Gourishankar S. Hiremath & Hari Venkatesh & Manish Choudhury (2019))
DATA COLLECTION
For the purpose of this project, four IPL teams were taken.
ONE WAY ANOVA WAS CARRIED OUT.
DATA ANALYSIS
ONLY ANOVA TABLE
Anova: Single Factor
SUMMARY
Groups
10
7
7
8
Count
31
31
31
31
Sum
230
171
169
238
Average
7.419354839
5.516129032
5.451612903
7.677419355
Variance
10.51827957
9.324731183
5.855913978
9.092473118
USING ONE WAY ANOVA
Source of Variation
Between groups
SS=133.2258065
df=3
MS=44.40860215
F=5.105699098
P-value=0.00232524712
F crit=2.680167578
Within Groups
SS=1043.741935
df=120
MS=8.697849462
Total
SS=1176.967742
df=123
H0: All are the same.
H1: Any of them is different.
Degree of Freedom between groups=k-1 which is number of groups 4-1=3
Degrees of freedom within groups = N – k, where N is the total sample size and k is the number of groups (in this case, N = 60 and k = 3, so df = 57).
Let’s assume α = 0.05 (5%).
Look up the critical value of F with df1 = 2 and df2 = 57 in a table or calculator. For α = 0.05, the critical value is 3.11.
The calculated F-test statistic is 5.10.
Since 5.10 > 3.11, we reject the null hypothesis and conclude that there is a significant difference between the means of the groups.
CONCLUSION
The results using ONE WAY ANOVA indicate that there is a significant difference between the means of the groups.
REFERENCES
Gourishankar S. Hiremath & Hari Venkatesh & Manish Choudhury, 2019. “Sports sentiment and behavior of stock prices: a case of T-20 and IPL cricket matches,” Review of Behavioral Finance, Emerald Group Publishing Limited, vol. 11(3), pages 266-276, August.
Hemanta Saikia & Dibyojyoti Bhattacharjee & H. Hermanus Lemmer, 2012. “Predicting the Performance of Bowlers in IPL: An Application of Artificial Neural Network,” International Journal of Performance Analysis in Sport, Taylor & Francis Journals, vol. 12(1), pages 75-89, April.