[binodbaniya]

Thanks a lot @trephena for your response. your response has build up my confidence. However i am still in confusion regarding industry allocation according to ICB.
I wonder if there is any basis to compare national industrial classification(NIC) of India and ICB. How do I know whether these companies under NIC falls under the category of ICB. Should I go further for these companies?

[binodbaniya]

Hi GillianM, Trephena
I am planning to submit my RAP on period 40. I have chosen Tire for my project.
CEAT Limited is my chosen company and JK Tires and industries Limited is it’s competitor.
Both Companies headquarters are in india. Their financial statements are prepared according to Accounting standards of Chartered Accountants of India. My concerns regarding these companies are as follows:
1. These companies fall under National Industrial Classification(NIC) code 22111- Manufacture of rubber tyres and tubes for Motor vehicles, Motorcycles, Scooters, three wheelers, tractors and aircrafts. Does this code fall under ICB’s classification to Tire? Can I do my research project on these companies?

2.Both Companies have subsidiaries and associates so, I am going to use Standalone financial statements for both companies.

3.Tyre Products for both companies are similar. Both companies produces Tyres, tubes and flaps.Major revenue is from tyre so no segmental revenue recognition for Tubes and flaps.

4. Latest Share price for CEAT Limited is 1020 rs and 75.95 rs for jk tyres and industries Limited. Revenue is 782.05 crore difference but share price is such difference. So, does it affect for comparison?

Thank you and Regards

[Author]

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