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a large number of stockholders can buy an sell stock

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Q: What happens in a publicly held corporation?
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Differences between a privately owned and a publicly owned corporation?

In the United States, a publicly owned corporation is one whose shares are traded on public stock exchanges. Generally, anyone may purchase shares in such a corporation. And once they purchase the stock, they may freely sell it over the exchange. Since shareholders are the real owners of a corporation (they elect its Board of Directors), and the purchase of shares in these corporations is open to the general public, such corporations are referred to as "publicly owned." In contrast, a privately owned corporation does not offer or trade its shares to the public on public stock exchanges. Very often such corporations are owned by families, who do not want to dilute their control of the corporation by selling shares to outsiders.


What does the word privatization actually means?

Privatisation is a term used when a program or business is changed from one form into a privately operated form. Examples would be where a publicly traded corporation is taken private when someone or a group of people purchase all the shares of stock and turn the company into a privately operated business instead of a publicly traded corporation. This would be called taking the corporation private or privatisation of the corporation. Another example is when a function that was previously provided by the government such as a municipal hospital is taken over by a privately run company. This would be privatisation of the hospital.


What type of corporation would be a shareholder wealth maximizer?

A closely held corporation would be a shareholder wealth maximizer because owners are invested in their company. They may make decisions that increase their profits.


What is difference between business ethics and corporate governance?

the main difference between corporate governance and ethics is that the ethics are the philosophical and morally decent standards that a corporation attempts to stand by, while governance processes are the means by which a corporation attempts to remain as ethical as possible while still making a profit. The governance obligations and operations of a corporation vary depending on its type. For example, a sole-proprietorship--a business owned by a single person--has different financial necessities and legal obligations than a massive, publicly-traded corporation


Who are the main creditors of a corporation?

Bondholders are creditors of a corporation; they have loaned the corporation money and received bonds as evidence of the corporation's. Stockholders, both common and preferred, are owners of a corporation. (STOCKHOLDERS ARE NOT THE CREDITOR)

Related questions

What type of corporation is microsoft.. publicly held or closely held?

Microsoft Corporation is a publicly-held corporation. Its shared are traded on the NASDAQ exchange under the symbol MSFT.


Is it publicly-held or private-held company?

Accuride Corporation is publicly-held or private-held company?


What makes a publicly held corporation different from a public corporation?

No difference. The terms are synonymous. It implies the opposite of a "private," "not traded," or "family owned," type corporation. @Bob811 - That is incorrect! A public corporation is government owned whereas a publicly held corporation has shareholders.


Is BBT bank a publicly held corporation?

Yes BB&T is a public corporation.


What is the difference between a publicly and privately held corporation?

no uanswer


What is the difference between a closely held corporation and a publicly held corporation?

A closely held corporation does not have its stock available for the public to buy and be a part of. Stocks in these kind of companies are kept in small circles of people related to the company's owners.A publicly held corporation trades its stock over a stock market and anyone (with sufficient funds) is able to buy, trade, and sell that company's stocks.


Is Browning Firearms publicly traded or a subsidiary of another company?

No, Browning is a privately held corporation.


Is Transfreight LLC a publicly or privately held company?

Transfreight is a privately held subsidiary of Mitsui Corporation. Mitsui is publically traded.


What are some examples of publicly held US corporations?

Publicly-held corporations are those whose shares are traded on a public stock exchange. At the time of this writing (November, 2010), the five largest US publicly-held corporations are:Exxon-Mobil Corporation (XOM)Apple, Inc. (AAPL)Microsoft Corporation (MSFT)Berkshire-Hathaway, Inc. (BRK.A)Wal-Mart Stores, Inc. (WMT)


Why would closely held corporations choose to be publicly traded?

To raise capital just like any other corporation.


The most common form of business organization based on the number of firms is the publicly held corporation true or false?

False


Is walmart a Jewish company?

No, Wal-Mart is a publicly-held corporation. The founder of Wal-Mart, Sam Walton (1919-1992) was a Presbyterian.