Economy, asked by Vipin2071, 1 year ago

Discuss the importance of industries in day to day life

Answers

Answered by brainlystargirl
16
Heya there !!

Importance of industries in day to day life are as follows -

√ Industries produced the necessary goods for our daily use like Colgate , soaps etc..

√ Industries gives machineries to the farmers helping in crop production..

√ Industries supplies all the equipment's of our usage..

Thank you
Answered by Anonymous
0
Industries play a vital role in the development of a country’s economy. These industries are either manufacture or service oriented, and provide employment opportunities. A number of public and private companies operate in an industry, which may manufacture the same goods or provide the same services, but follow different strategies and guidelines to operate their businesses. Most public and private limited companies sell shares in order to generate funds to start up or run their business, and these shareholders are the legal owners of a company. Generally, the ones who own the majority of shares have more influence on decision making of a company. When the rights of minority shareholders are eliminated or differentiated from the majority shareholders, it creates a management problem, which then results in operational inefficiency of the company. Therefore, a proper balance of rights of majority and minority shareholders is required for the welfare of a company.

Shareholders and their Rights:

A shareholder, also known as stockholder, is someone who is a legal owner of a limited liability company. The ownership is attained by buying shares of stock of a private or public limited company. Although shareholders are known as owners of a company, they can only claim for the stock which they actually own, but not the company itself (Fama 1980) . These shares are issued by companies to raise funds to initiate or run a business.

Shareholders maybe given specific rights based on the types of shares they own which they can exercise when required. A few of the rights are mentioned below:

Right to sell off shares if there is a buyer

Right to vote, and elect directors nominated from the board

Right to offer resolutions or nominate directors

Right to claim dividends when declared

Right to purchase shares newly issued by the company

Right to assets when those are liquidated

Among these rights, the right to offer resolutions and nominate directs is the most critical and controversial one as it is mostly dominated and influenced by the majority shareholders. These shareholder rights depend on the corporate governance policies of a company. Different companies have different policies and the shareholders should go through those policies and be aware of their rights.

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