A ‘joint stock company’ or ‘joint stock corporation’ is a legally constituted form of business enterprise in which finance is supplied by external investors who, as shareholders, receive income, voice and voting rights in the firm.
A ‘joint stock company’ or ‘corporation’ is a legally constituted form of business enterprise in which finance is supplied by external investors who, as shareholders, receive income, voice and voting rights in the firm. Robé (2011) correctly insists that the concept of ‘company’ or ‘corporation’ is a legal term of art and should be not confused with the economic notion of the ‘firm’ or ‘enterprise’. The ‘company’ or ‘corporation’ is a legal device used to structure the operation of the productive entity known in economics as the ‘firm’. In practice, the term ‘company’ is often used to describe both legal and economic phenomena, a tendency which, as Robé points out, has given rise to much misunderstanding. Aoki (2010) argues for an.
