Meaning of Joint Stock Company

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The Industrial Revolution created the modern factory system involving production on a very large scale. Mass production required huge capital investment and heavy risks. Sole proprietorship and partnership forms of organizations could not meet these requirements due to shortage of funds, uncertain existence and unlimited liability. Thus, the company form of organization came into existence due to the limitations of proprietorship and partnership forms of business organization. 

Here is a short video on the Joint Stock Company explaining its meaning and existence more clearly.



Examples:

  
                                        
                                                                       






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