The Factors Militating Against Public Limited Companies a Case Study of Some Selected Companies in...

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FACTORS MILITATING AGAINST PUBLIC LIMITED

COMPANIES A CASE STUDY OF SOME SELECTED

COMPANIES

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ABSTRACT

This study examined the concept of public limited

companies and the factors militating against public limited

companies. The scope of the study or the purpose of the

study was to look into the factors militating against public

limited companies in Edo state. The industrial location

questionnaire (ILQ) was used for data collection as well as

the survey method of research. The summary of findings

revealed that the factors militating against public limited

companies were high taxation irregular power supply,

inadequate fund, etc. consequently the study concluded

with some recommendation that government should

formulate good policies that will help to enhanced the

status quote public limited companies. That management

of public limited companies should ensure that there is a

free report between them and their employees.

CHAPTER ONE

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INTRODUCTION

BACKGROUND OF THE STUDY

Public Limited Liability Company is sometimes refers

to as joint stock company. This business concern is usually

owned by individuals of organizations pooling resources

together with the aims of maximizing profit. It is also

worthy to note that the sales of shares to the public makes

it a public limited company.

Ownership is usually not less than seven person public

companies are forms when the capital required is so large

that it cannot be raised solely through one individual. A

public company has its shares quoted on the stock

exchange for members of the public to invest in, and at the

end of every financial years the public limited liability

company publishes its financial statement for public

consumption.

As stated earlier the aim of any business organization

is to maximize profit, and in order to maximize this profit

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these companies are located in place having the most

favourable economic condition. Location of companies or

industries simply means the place where industries are

sited or location of companies or industries are

concentrated in one geographic location and this can be as

a result of political factors or personal interest. Such

companies are the textile factory, bear and soft drink

companies.

In the private sector, the individual decision of

location of industry is generally determined by profit

maximization. But in the pubic sectors the government

may locate a new plant in an area of high unemployment

for political or social reasons. The location of industries in

Nigeria has bought about greater achievement to the

populate in the sense that it was helped so facilitate a lot

of other subsidiary industries, created employment

opportunities which has bought about increase in the per

capital income and output of the country, which in actual

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sense is termed economic growth. Similarly industrial

location exercises a lot of influence on the economic

viability of a country.

For the objective of any industry to be achieved the

industry or company must be favorable located.

1.2 STATEMENT OF PROBLEM

the researcher bought to find out the major factors

influencing the location of Guinness Nigeria plc as we’ll as

it problem

1.3 OBJECTIVE OF THE STUDY

The objective of this study includes to examine the

concept of public limited companies. To examine the

factors militating against public limited companies. To

proffer solution to the problems identified.

1.4 SCOPE OF THE STUDY

The scope of this study is to investigate into the

factors militating against public limited companies hardly

survive or even lend to fold up as soon as they state, due

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to some oblivious reason, hence the significance of this

study.

Secondly the essence of this industrialist and the

government to always put certain factors into consideration

when sitting or locating an industry or company.

1.5 LIMITATION OF STUDY

The study will be carrying out among some selected

companies in Edo state. The population in which this

researcher’s work will be carried out will be small because

of financial contrail.

1.6 DEFINITION OF TERMS

Public limited companies: This is government owner

enterprise, it is an asset for the whole nation companies is

a business organization that makes money by producing or

selling good or services.

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