ch 27 Flashcards
1
Q
public limited company PLC
A
a business that is owned by shareholders and shares can be sold to the public and shares are floated in the stock market
2
Q
stock market flotation
A
3
Q
ad of plc
A
-raise more finance issuing of shares
-limited liability
-economies of scale
-good reputation witch gives prestige to a company in a market with high compation
4
Q
dis of plc
A
-expensive to shell shares
-lose control (have input on decision-making)
-are required to publish financial records
-setting up costs are high
-more inflexible due to the time of decision-making
5
Q
barrirs to entry
A
obstacles that make it difficult for new firms to enter a market
