preview

Business Report on Boots Plc

Better Essays

I have been asked to produce a detailed business report of boots plc. My report will contain:
• The objectives, organisational structure and communication channels that operate within the business.
• An examination of how these factors interrelates in a way that can affect the success of the business.
• An explanation of how quality assurance and control systems help the business to add value to its products.
• Consideration of alternative methods of quality assurance and control.
• Consideration of how well the business is meeting its objectives
• An explanation of the impact of ICT upon the internal and external communications of the business.

E1 the classification of the business according to its ownership and an explanation of …show more content…

Disadvantages of a private limited company are that profits have to be shared out between the shareholders and they are more expensive to set up.

Public limited company Plc
A public limited company sells their shares through the stock exchange. Companies can have a ‘full quotation ' put ton the stock exchange so their share prices appear on the dealers ' screens. The main advantage of selling shares on the stock exchange is that large amounts of capital can be raised very quickly. A disadvantage is that a business can be taken over if a large amount of shares are bought in a take-over bid. It also costs a lot to have shares quoted on the stock exchange.
To create a public limited company, the directors must apply to the stock exchange council, which will check their accounts.
The business which wants to ‘go public ' will then have to arrange for one of the merchant banks to handle their paperwork. Selling new shares is quite risky as the stock exchange has good and bad days where people want to buy lots of shares or sell lots of shares. You have to be very careful when you set your business up as if it is done on a bad day where people want to sell their shares they may not be able to sell all their shares so it is all about luck.
A way round this problem is to arrange a ‘placing ' with a merchant bank. The bank will then recommend the company 's to some of the share buying institutions which it deals with such a pensions funds and

Get Access