1Assistant Professor, General Management Department, N.L. Dalmia Institute of Management Studies and Research, Mumbai, Maharashtra, India
2Student, Finance Department, N.L. Dalmia Institute of Management Studies and Research, Mumbai, Maharashtra, India
The study aimed to identify factors influencing investment decisions in an Initial Public Offering (IPO) through a survey that considered 154 respondents, focusing on demographics, stock market experience, annual earnings, media reports, grey market premium prices, and company reputation. Most of the respondents were young, male, highly educated, and mainly from Mumbai, with varied job status and earnings. The findings revealed that stock market knowledge and annual earnings had little influence on IPO investment decisions, whereas media coverage and grey market premium prices were significant. Surprisingly, company reputation alone did not significantly impact decisions. The study underscores the importance of transparent practices and effective media strategies for businesses preparing for an IPO, as accurate media reporting and understanding grey market premiums can enhance market sentiment and attract more investors.
IPO, Investment decision, Stock market, Effective media strategies
