{"id":24854,"date":"2026-03-22T01:26:30","date_gmt":"2026-03-21T19:56:30","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=24854"},"modified":"2026-03-22T01:26:30","modified_gmt":"2026-03-21T19:56:30","slug":"calculation-of-beta-of-v-guard-industries-and-its-significance","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=24854","title":{"rendered":"Calculation of Beta of V-Guard Industries and its Significance"},"content":{"rendered":"

Title \u2013 Calculation of Beta of V-Guard Industries and its Significance<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Author \u2013 Varun Kairamkonda<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Introduction<\/span><\/span><\/p>\n

V-Guard Industries is a leading Indian electrical appliances and consumer durables company headquartered in\u00a0<\/span><\/span>Kochi<\/span><\/span>. It was founded in 1977 by\u00a0<\/span><\/span>Kochouseph<\/span><\/span>\u00a0Chittilappilly<\/span><\/span>. The company manufactures products such as voltage stabilizers, water heaters, fans, pumps, cables, and kitchen appliances. V-Guard has built a strong presence across India with a wide distribution network. It is known for focusing on quality, innovation, and reliable electrical solutions for homes and businesses.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Objective \u2013\u00a0<\/span><\/span>Calculation of Beta and observe its significance.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Literature Review \u2013\u00a0<\/span><\/span><\/p>\n

1.\u00a0<\/span><\/span>According to\u00a0<\/span><\/span>Ankita Shastri\u00a0<\/span><\/span>(2024),\u00a0<\/span><\/span>V-Guard Industries<\/span><\/span>\u00a0has successfully expanded from a regional brand into a national consumer electrical company through product diversification and effective marketing strategies. The study by Ankita Shastri highlights that the company\u2019s strong distribution network, innovation, and focus on quality have helped it gain customer trust and sustain long-term growth in the Indian electrical appliances market.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

2.\u00a0<\/span><\/span>Research by\u00a0<\/span><\/span>Kochouseph<\/span><\/span>\u00a0<\/span><\/span>Chittilappilly<\/span><\/span>\u00a0<\/span><\/span>(2017), discusses the development and growth journey of\u00a0<\/span><\/span>V-Guard Industries<\/span><\/span>from a small stabilizer manufacturing unit to a well-known electrical appliance brand in India. The literature by\u00a0<\/span><\/span>Kochouseph<\/span><\/span>\u00a0<\/span><\/span>Chittilappilly<\/span><\/span>\u00a0emphasizes the importance of innovation, strong leadership, and market expansion strategies that contributed to the company\u2019s success.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Data Collection –\u00a0<\/span><\/span>Data for Nifty 50 & V-Guard Industries was downloaded from NSE India. com for the period 1-1-25 to 31-12-25 Friday closing prices for Nifty 50 & my company was segregated weekly returns of Nifty 50 & company were calculated \u2022 Weekly returns of Nifty were taken as X & weekly returns of company were taken as Y. Y was regressed on X.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Data Analysis \u2013\u00a0<\/span><\/span>In place of Demand is V-Guard Industries and Price is Nifty 50.<\/span><\/span><\/p>\n

V-Guard\u00a0<\/span><\/span>=\u00a0<\/span><\/span>0.283974714\u00a0<\/span><\/span>+\u00a0<\/span><\/span>0.212131175\u00a0<\/span><\/span>nifty\u00a0<\/span><\/span>+ e<\/span><\/span><\/p>\n

\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0\u00a0<\/span><\/span>(<\/span><\/span>3.82798646<\/span><\/span>)<\/span><\/span>*<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

N = 48, R-square = 0.241, price= (<\/span><\/span>3.82798646)*<\/span><\/span>, F= 14.65*<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Interpretation –\u00a0<\/span><\/span>The above equation shows the<\/span><\/span>\u00a0<\/span><\/span>relationship between price and demand. Negative sign means there is inverse relationship which means if price rises, demand falls and vice versa If price rises by 1 unit, The demand rises by 0.<\/span><\/span>21<\/span><\/span>. Number of observations are 48.\u00a0<\/span><\/span><\/p>\n

T stands for Beta\u00a0<\/span><\/span>3.83<\/span><\/span>. The P-value for which is 0.<\/span><\/span>0003\u00a0<\/span><\/span>is\u00a0<\/span><\/span>less<\/span><\/span>than 0.05 meaning Beta is statistically significant at\u00a0<\/span><\/span>5%<\/span><\/span>\u00a0level, meaning price impact at\u00a0<\/span><\/span>5%\u00a0<\/span><\/span>level, R- square is 0.<\/span><\/span>24<\/span><\/span>\u00a0meaning only\u00a0<\/span><\/span>24%<\/span><\/span>, demand is explained by price,\u00a0<\/span><\/span>76%<\/span><\/span>\u00a0is the error due to the variables not included in the model.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

Conclusion<\/span><\/span>\u00a0\u2013\u00a0<\/span><\/span>Do not invest in V-Guard Industries.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

References<\/span><\/span><\/p>\n

1.\u00a0<\/span><\/span>Shastri, A. (2024). Growth and marketing strategies of V-Guard Industries in the Indian electrical appliances market.\u00a0<\/span><\/span>Journal of Business and Management Studies<\/span><\/span>, 12(3), 45\u201352.<\/span><\/span><\/p>\n

2.\u00a0<\/span><\/span>Chittilappilly<\/span><\/span>, K. (2017).\u00a0<\/span><\/span>Orumayude<\/span><\/span>\u00a0<\/span><\/span>theerangalil<\/span><\/span>\u00a0[On the banks of togetherness]. Kochi, India: DC Books.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Title \u2013 Calculation of Beta of V-Guard Industries and its Significance \u00a0 Author \u2013 Varun Kairamkonda \u00a0 Introduction V-Guard Industries is a leading Indian electrical appliances and consumer durables company headquartered in\u00a0Kochi. It was founded in 1977 by\u00a0Kochouseph\u00a0Chittilappilly. The company manufactures products such as voltage stabilizers, water heaters, fans, pumps, cables, and kitchen appliances. V-Guard… Continue reading Calculation of Beta of V-Guard Industries and its Significance<\/span><\/a><\/p>\n","protected":false},"author":140203,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-24854","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/24854","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/users\/140203"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=24854"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/24854\/revisions"}],"predecessor-version":[{"id":24855,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/24854\/revisions\/24855"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=24854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=24854"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=24854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}