Page 1 of 13
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
e-ISSN: 2395-0463
Volume 02 Issue 1
January 2016
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 28
The Study on the Supportiveness of Information
Technology atmosphere to invest in Share Investment:
Special Reference to Batticaloa District, Eastern
Province, Sri Lanka
S. Revathy ; A. Andrew
Senior Lecturer Department of management, Eastern University Sri Lanka
(Revathy707@yahoo.com); andrewsa1965@yahoo.com.au
Abstract
This study focuses on the supportiveness of
information technology environment to
invest in share in Batticaloa District. This
study was conducted with two research
objectives: to find out the degree of
knowledge in information technology of
probable investors regarding the stock
exchange and to evaluate the level of
support of information technological
atmosphere to invest in share market. The
researchers focused on these indicators
(Knowledge on computer, internet usage,
technical system and updated information)
to evaluate the support of information
technological environment to this study and
personal information also helped to find out
the objective of this study.
The study was conducted among the
probable investors reside in the various part
of the Batticaloa District. The data were
collected from the 100 sample of such
investors. The proportionate stratified
random sampling method was used to select
the sampling units and the structured
questionnaire was used to collect the data.
The data were analyzed using Univariate
and Bivariate analysis. The unit of analysis
was individual person.
Finding of the study revealed that
respondents (potential investors) are
moderate level supportive to invest on stock
exchange as indicated by the degree
(measured as mean value) of their
knowledge on information technology
environment. Supportive level was given by
some indicators (knowledge on computer
3.76), internet usage (3.75), technical
system (3.36) and update information (2.64).
Page 2 of 13
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
e-ISSN: 2395-0463
Volume 02 Issue 1
January 2016
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 29
In overall this environment revealed the
mean value of 3.38.
This is because of the fact that people in the
areas do not have sufficient computer usage
and involvement with exposure and
familiarity with capital markets dealings.
Keywords: Investment, Information
Technology, Stock Exchange, Investor,
knowledge, Computer.
1. Introduction
In today’s technology oriented world, the
convention for the development and success
in business are changed exponentially.
Organizations need to change and innovate
in the response of changing environment.
Organizational innovation needs to identify
the new ways to deal with the things, which
may lead an organization to provide a
collective resource for innovation. The
Colombo Stock Exchange is one of the
leading organizations in Sri Lanka. It should
expand their services to the entire country to
reach the goal in future.
The stakeholders are extremely valuable to
an organization. Most important
stakeholders have some of the skills as
persuasion, leadership, personal
accountability, goal orientation and
interpersonal skill. They can feel think and
make valuable decision. At present, when
we able to predict with the society, it has
been changed through the new technology
and globalizations. Every people have to
develop themselves to achieve the personnel
goal and face challenges as a result of
current global changes.
The Information systems and information
technology are essential for conducting day- to-day business for achieving strategic
business objectives by human resources
management. Entire sectors of the economy
are nearly inconceivable without substantial
investments in information systems. E- commerce firms such as Amazon, eBay,
Google, and E*Trade simply would not
exist. Today’s service industries—finance,
insurance, and real estate, as well as
personal services such as travel, medicine,
and education—could not operate without
information systems. Similarly, retail firms
such as Walmart and Sears and
manufacturing firms such as General Motors
and General Electric require information
systems to survive and prosper. Just as
offices, telephones, filing cabinets, and
efficient tall buildings with elevators were
Page 3 of 13
Journal for Studies in Management and Planning
Available at http://edupediapublications.org/journals/index.php/JSMaP/
e-ISSN: 2395-0463
Volume 02 Issue 1
January 2016
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 30
once the foundations of business in the
twentieth century, information technology is
a foundation for business in the twenty-first
century.
Development is essential one in any context.
The share broker firms, share market
information center is very essential one to
promote the share market activities because
it is deeply related with information and
technology.
The Colombo Stock Exchange (CSE) is a
company limited by guarantee, established
under the Companies Act No. 17 of 1982
and is licensed by the Securities &
Exchange Commission of Sri Lanka (SEC).
The CSE is a mutual exchange and has 15
full members and 13 Trading Members
licensed to trade both equity and debt
securities, while eight members are licensed
to trade in debt securities only. All members
are licensed by the SEC to operate as
stockbrokers. All members are corporate
entities and some are subsidiaries of large
financial institutions.
At present the CSE functions as a market
operator and through its fully owned
subsidiary, Central Depository Systems
(Pvt.) Limited (CDS), acts as a clearing and
settlement system facilitator. The CSE also
oversees compliance through a set of rules,
promotes standards of corporate governance
among listed companies and is actively
involved in educating investors. In the
course of its operations, the CSE interacts
with many customers and stakeholders who
include issuers (such as companies,
corporations and unit trusts), commercial
banks, investment banks, fund managers,
stockbrokers, financial advisers, market data
vendors and investors.
The opening of branch offices is a strategy
of the CSE to expand its services throughout
the country to service the growing base of
domestic investors.
Branches provide on line access to the stock
market and offer a range of stock brokering
services which include order acceptance and
on line order execution, Investment advice,
Pre trade and post trade documentation such
as account opening, deposits, withdrawals
etc., research and other related services.
Branch offices provide an excellent
opportunity for residents of those provinces
to invest and profit through the stock
