The impact of COVID-19 on the technology sector: The case of TATA Consultancy Services

Abstract

Two of the most unpredictable uncertainty indices could explain the business and stock price performance of TATA Consultancy Services (TCS) before and after the COVID-19 pandemic. This pandemic affects business performance and predictability from uncertainty indices. With the second spread of the pandemic, IT industries have been prepared for the high networking bandwidth. Moreover, the bivariate VAR(1)-GARCH(1,1) model is weaker during the COVID-19 period. IT outsourcing after the worldwide outbreak of the disease is one of the most thriving enterprises globally. The coronavirus crisis is expected to have an impact on the IT outsourcing industry. Most of the uncertainty indices of these days are built up from news outlets explored in the case study of TCS. Quantitative examination strategies have been utilized to explore the impact of doubt indices in TCS and the residuals if the organization's emergency persists.