Int. J. Risk Assessment and Management, Vol. 21, No. 4, 2018 359 Copyright © 2018 Inderscience Enterprises Ltd. Analysing company-specific components of business risk in selected manufacturing firms in Indian corporate sector Krishna Singh* Department of Economics, University of Gour Banga, Po-Mokdumpur, Malda, 732103, West Bengal, India Email: get84.krishna@gmail.com *Corresponding author Debasish Sur Department of Commerce, The University of Burdwan, Golapbag, Burdwan, 713104, West Bengal, India Email: debasishsur@yahoo.co.in Abstract: The present paper attempts to analyse the company-specific components of business risk, such as liquidity risk, cost structure risk and capital productivity risk of the selected Indian manufacturing sector during the period 1994–1995 to 2013–2014. The sample size of the study consists of one hundred companies which have been selected by taking the top five companies from each of the 20 selected industries. The business risk and its company specific components associated with the selected companies have been measured by using Gini’s coefficient of concentration. Principal component analysis has been applied in designing the ‘business risk index’ (BRI) by taking into account the three company-specific components of business risk. Simple regression model has been adopted to investigate the effect of BRI on the return measured in terms of return on capital employed of the selected industries. Keywords: business risk; liquidity risk; capital structure risk; cost structure risk; CSR; business risk index; BRI; return. Reference to this paper should be made as follows: Singh, K. and Sur, D. (2018) ‘Analysing company-specific components of business risk in selected manufacturing firms in Indian corporate sector’, Int. J. Risk Assessment and Management, Vol. 21, No. 4, pp.359–373. Biographical notes: Krishna Singh is an Assistant Professor at the Department of Economics of the University of Gour Banga, Malda, West Bengal. He completed his MA in 2008 and PhD in 2015 from the University of Burdwan. He has published more than ten papers in international and national journals of repute. His research interests include rural livelihood, labour market and assessment of different ongoing government schemes and corporate performance measurement, etc.