"The share market is such a deep well that can quench the thirst for money of the entire country." Scam 1992 Harshad Mehta story
Like in Book market we buy Books of various categories share market or stock market is the place where we buy Company or Business may not be the complete company rather we buy some part of it and sell it whenever we want or when the commodity which we have buyied it's price increases.In this article I will share some of very basics about stock market by which you may not be able to prepared for investing but you can surely understand what stock market and stock price is and why it is so much important for a company.
WHAT IS SHARE/STOCK MARKET ?
So, Share /Stock Market is a Govt. Governed space where where a simple man can also become a co-wonner of a big brand company just by giving some of his saving funds. Here you can only find that brands which have already gone public means the company have to fill some criteria to become eligible for being listed on share market.
MECHANISM OF STOCK MARKET FOR ENTREPRENEURS
In Entrepreneurs or Business life the most challenging task is to arrange money for your Idea to execute. So stock market makes this task easy. Not like that if a company does not get listed in stock market he cannot arrange funds for his bussiness.But a listed comapny in stock market donot need any introduction and a matter of honour.
To explore more on funding process you can read my Entrepreneurs post
So from all these you may able to know that the task of listing up in stock market will be some-what challenging also, Yes that's true different stock exchange places have different rules to be listed on their service because public who will invest upon your brand should have to trust upon your company to give their saving to a personaly unknown person referred to as CEO of some xyz company's hand.
Companies divide their net worth (net worth include every aspect of companies decided by some trusted person like big investors) in to some number of parts called shares and public's can buy a single share of it which may cost around Rs 0.1 to Rs 1 lacks per share. Maximun stocks now a days in India come within Rs 100. Through stock market a company gets some liquid funds which can be used for salary of employees and for buying raw materials and after listing in stock market a company show a drastic hike in its revenue and expansion.
MECHANISM OF STOCK MARKET FOR WANT-INVESTORS
When we thick of stock market the first think comes to our mind is profits 🤑 ,So basically company provides their share or small parts of their company for a very minor price and we have to make our research on which company stock we should buy to make more profits. And from where does profits come? After taking your money, company operates and make products after selling that products to consumers or retailers they earn some more than which they have invested in raw materials. And they share that profits with you also. In this way you can add some to your savings which was supposed to be constant or minors change due to interest provided by banks. But.... You must have heard of famous line Mutual Funds are subjected to market risk read all the related documents carefully before investing .Yes their is risk if you have invested and products of companies does not sell during to season like. You made a investment in a company who is making winter cloths and let me it is summer time how you can expect profits bit at summer you will find per share price will be very low in that company and you can wait up-to winter to make max profits.
CONCLUSION
Make your own proper calculation callculate up-to how many days you can keep your money with them and surely take a visualization on recent news from company and season like things. OK I think now you can understand any news regarding stock market like stock price of xyz company increased 2 times which seems to be very difficult for a common man not yet introduced to stock mechanism.


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