A Public limited company cannot survive without shareholders!
The amount invested is HUGE!! More than they could possibly invest by their own means.
If a lot of people invest in a company, it does improve the reputation and goodwill of the firm. Quite obviously... people wouldn't invest if they didn't think they'd get good returns!
However, too many shares being sold could lead to over capitalisation of the firm.
we have shareholders in a business to make profit and to grow the business.we also have shareholders in a business in order to invest,it also brings expansion.
Shareholders are stakeholders of a business because they own a portion of the company through their shares, giving them a financial interest in its performance and success. Their investment ties them directly to the company's profitability, growth, and overall strategy, as they benefit from dividends and potential appreciation in share value. Additionally, shareholders often have voting rights that allow them to influence key decisions, further solidifying their role as stakeholders.
A corperation
a corporation kcp
Corporations have shareholders that invest in their business and expect a portion of the business's profits in return. Dividend payments are part of the shareholders' returns for investing in a business. Corporations have a choice to either reinvest their profits in shares, or keep a portion of the profits and paying shareholders dividends.
because they buy the stock
No.
What is owned and financed by shareholders is a corporation. Shareholders invest capital in the company by purchasing shares, which represent ownership stakes in the business. In return, they have a claim on the company's profits, typically in the form of dividends, and may influence corporate governance through voting rights. The financial health and decisions of the corporation ultimately impact the value of their investment.
Shareholders buy shares in a business on the stock market, putting capital into that business. What shareholders usually want is a return (profit) on their investment, usually in the form of dividends, or by selling off shares should share value rise.
Profit maximisation let the run business perfectly and better uses of resources or to pay dividend to the shareholders however also to expand their business to attract more new shareholders or give shareholder to reinvest in their company.
Business belongs to its owners or shareholders, who invest capital and assume risk in pursuit of profit. In corporate structures, this can include individual entrepreneurs, partnerships, or shareholders in publicly traded companies. Additionally, businesses have a responsibility to various stakeholders, including employees, customers, suppliers, and the community, which can influence their operations and decisions. Ultimately, while ownership is legal, the impact of a business extends to all those it affects.
A corporation