What is the difference between ADR and INC?

Answer 1

The same abbrieviations for different things are common, but I think the 2 you mean are:

Inc. = incorporation. A US term for the entities formed under our corporation statutes. Some other countries use the same methods. Many have similar things, identified by different names/abbrieviations. Again, they have stock holders owning them, and limited liability to those owners.

ADR = American Depository Receipt. Only US companies (US Inc.s) can be traded on the US Stock exchanges. However, many non-us companies are attractive investments here and they would like to have the support from the US markets. (For a US customer to buy stock on a foreign exchange can be a bit complex, it requires curreny valuation, less protections, hard to access info, etc.) Hence, an ADR is a financial instrument (secured through banks and major trading entities) that is made to exactly track the Stock price of the subject foreign co, albeit normally on a once daily basis (not all through the day). It is supported and priced with US funds. An investor here buys an ADR in lieu of the stock itself. Not all, (in fact most don't) foreign stock exchange Cos have ADRs.