Qualitative values help to figure out and judge the psychological side of the stock market. As humans, there’s always an emotional side to our judgements, and although it may seem unreasonable to buy a stock without actual substantial facts, people often can’t resist the temptations of following the hype. There are several factors in looking at the qualitative side of a stock. The company behind the stock can significantly affect the consumer and buyer’s attitude towards their stock. The employees of the company affects the productivity and the quality of their service and goods. In particular, management serves as a integral part of making a company’s decisions and in turn their direction and fate. An individual should have a grasp of the
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Example of such a phenomenon occurred following the super bowl as companies who invest in a advertisement during the game saw a increase in their stock prices, as consumer become interested in the marketing of said products. Therefore, it’s key to know the actions and movement of the companies that an individual wishes to invest, and to stay current with news stories concerning the companies. In turn, it must be note, the tremendous effect media has on a company and its stock. Media constantly monitors companies’ movements and serve as a watchdog and herald of news following the company. If any incidents were to happen, it would quickly spread and become known to the general population. Likewise, if any significant innovation or improvement would happen, it would become quickly known, too. Although, some people argue that “media is choosing to cover extreme cases of people losing money in the stock market, simply because they make for good stories and good tv” (Value Trap Blog). However in the widespread essence of investigative journalism, such actions can quickly filter out by double checking or triple checking such information, and mix with an individual’s own observation and opinion can serve as a effective indicator. Therefore as a investor, it is …show more content…
Companies are in a constant battle to gain market shares and become the dominant one in the industry, and one should definitely have a grasp of where their companies stand in such fierce competition (TheStreetStaff). Furthermore, it becomes vital to know or have a understanding of the industry the companies in, and the major players in it. If the market is dominated by a couple major players, then it may not be a good idea to invest in a startup company looking to get in the field. Competition between companies serves as a fundamental ideal of capitalism, and the result of such competition can change the dominance or status of the company involve. A example of such occurred when the Texas Instrument launched a widespread campaign against other scientific calculators to become a almost monopolistic existence in the sale of school scientific calculator. The production of new products or campaigns between competing companies can skyrocket or demoralize the investors confidence in the stock and in turn the price of
Example of such a phenomenon occurred following the super bowl as companies who invest in a advertisement during the game saw a increase in their stock prices, as consumer become interested in the marketing of said products. Therefore, it’s key to know the actions and movement of the companies that an individual wishes to invest, and to stay current with news stories concerning the companies. In turn, it must be note, the tremendous effect media has on a company and its stock. Media constantly monitors companies’ movements and serve as a watchdog and herald of news following the company. If any incidents were to happen, it would quickly spread and become known to the general population. Likewise, if any significant innovation or improvement would happen, it would become quickly known, too. Although, some people argue that “media is choosing to cover extreme cases of people losing money in the stock market, simply because they make for good stories and good tv” (Value Trap Blog). However in the widespread essence of investigative journalism, such actions can quickly filter out by double checking or triple checking such information, and mix with an individual’s own observation and opinion can serve as a effective indicator. Therefore as a investor, it is …show more content…
Companies are in a constant battle to gain market shares and become the dominant one in the industry, and one should definitely have a grasp of where their companies stand in such fierce competition (TheStreetStaff). Furthermore, it becomes vital to know or have a understanding of the industry the companies in, and the major players in it. If the market is dominated by a couple major players, then it may not be a good idea to invest in a startup company looking to get in the field. Competition between companies serves as a fundamental ideal of capitalism, and the result of such competition can change the dominance or status of the company involve. A example of such occurred when the Texas Instrument launched a widespread campaign against other scientific calculators to become a almost monopolistic existence in the sale of school scientific calculator. The production of new products or campaigns between competing companies can skyrocket or demoralize the investors confidence in the stock and in turn the price of