Modul 6

MODULUL 6:

“JOINT STOCK COMPANIES”

Obiective educaţionale

În urma studierii acestui Modul, vei dobândi următoarele competenţe şi aptitudini: - să utilizezi adecvat terminologia de specialitate din domeniul economic (“joint stock”,

“private limited compnaies”, “public limited compnaies”, “joint ventures”); - să explici şi să interpretezi diverşi termeni de specialitate în limba engleză; - să evidenţiezi avantajele şi dezavantajele acestor tipuri de companii; - să analizezi asemănările şi deosebirile între aceste companii şi modelul românesc.

Cuvinte cheie:

company, Joint Stock, PLC, LTD, Joint Venture.

6

Timpul mediu necesar pentru studiu: 120 minute.

Cuprinsul Modulului:

Modulul 6: “JOINT STOCK COMPANIES”Eroare! Marcaj în document nedefinit.19

Obiective educaţionale .............. Eroare! Marcaj în document nedefinit.19

Cuvinte cheie ............................. Eroare! Marcaj în document nedefinit.19

Cuprinsul Modulului ................. Eroare! Marcaj în document nedefinit.20

6.1 .......................Joint Stock Companies ............................................... 121

6.1.1 .................... Private Limited Companies .................................. 123

6.1.2 .....................Public Limited Companies .................................... 124

6.1.3 .....................Joint Ventures..............................................

6.2 ............... Grammar Review: Present Perfect Simple...................... 125

Subiecte pentru autoevaluare: ................................................................ 126

Întrebări de autoevaluare.................................................................... 127

Teste grilă pentru autoevaluare .......................................................... 128

Subiecte pentru evaluare şi control ........................................................ 130

Teme pentru aprofundarea cunoştinţelor ......................................... 130

Întrebări de evaluare ........................................................................... 130

Analiză de text ...................................................................................... 131

Referat ................................................................................................... 134

Exerciţii propuse spre rezolvare ......................................................... 134

Rezumatul acestui Modul ........................................................................ 138

Bibliografie obligatorie ............................................................................ 138

Bibliografie ............................................................................................... 139

UNITATEA DE ÎNVĂłARE NR. 6

Acest modul îţi propune spre studiu o formă de organizare a afacerilor, şi anume:

“joint stock compnaies”. Sunt enumerate tipurile de companii care se încadrează în

această categorie şi se scot în evidenţă avantajele şi dezavantajele existente între

aceste forme de organizare a afacerilor. Sunt reluate noţiuni precum “business organizations”,

“manager’s liability” etc.

6.1 JOINT STOCK COMPANIES

A company is a more complex business organisation consisting of an association of people who

both contribute capital and agree to share the resulting profit or loss. In the UK, joint stock

companies can be set up by Royal Charter (The Bank of England), by a special Act of Parliament

(companies which are usually given the monopoly of public utility services such as railways,

canal, gas, water and electricity) and by registration. Registration is the most usual way and the

companies in which the liability of their members is limited to the value of their shares are of

two types: private limited companies and public limited companies.

Dacă ai înţeles paragrafele parcurse până aici, atunci te rog să răspunzi la următoarea întrebare: Can you mention two types of joint stock companies? ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... ...........................................................................................

Dacă consideri că ai răspuns corect, verifică-te mai jos. Dacă nu, atunci te rog să revenii asupra paragrafelor parcurse până acum, pentru a le aprofunda.

Răspunsul corect la întrebarea anterioară este: private limited companies and public limited companies.

Dacă ai răspuns corect, te felicit! Dacă nu, atunci trebuie să revii asupra paragrafelor parcurse până acum, pentru a le aprofunda.

6.1.1 PRIVATE LIMITED COMPANIES

Private Limited Companies have the letters LTD after their name and consist of a number of

shareholders. The shares are held among their members and these companies are not allowed to

invite public to subscribe shares or debentures. The right to transfer shares is only with the

consent of the directors and this restriction implies a high degree of risk.

Dacă ai înţeles paragrafele parcurse până aici, atunci te rog să rezolvi următorul test grilă: The acronym for Private Limited Companies is:

a. PLD; b. LPD; c. LTD; d. TDL.

Scrie aici răspunsul considerat corect de către tine: ........................................................................................... şi apoi, verifică-te mai jos dacă ai dat răspunsul corect. Dacă ai răspuns corect, te felicit! Dacă nu, atunci trebuie să revii asupra paragrafelor parcurse până acum, pentru a le aprofunda.

Răspunsul corect este:

c.

6.1.2 PUBLIC LIMITED COMPANIES

Private Limited Companies have the letters LTD after their name and consist of a number of

shareholders. The shares are held among their members and these companies are not allowed to

invite public to subscribe shares or debentures. The right to transfer shares is only with the

consent of the directors and this restriction implies a high degree of risk.

Dacă ai înţeles paragrafele parcurse până aici, atunci te rog să rezolvi următorul test grilă: The acronym for Public Limited Companies is:

a. LTD; b. PLC; c. LPC; d. CPL.

Scrie aici răspunsul considerat corect de către tine: ........................................................................................... şi apoi, verifică-te mai jos dacă ai dat răspunsul corect. Dacă ai răspuns corect, te felicit! Dacă nu, atunci trebuie să revii asupra paragrafelor parcurse până acum, pentru a le aprofunda.


b.

6.1.3 JOINT VENTURES

A joint venture is when two or more businesses pool their resources and expertise to achieve a

particular goal. The risks and rewards of the enterprise are also shared.

The ventures as partners may be either legal or natural persons.

Reasons you might want to form a joint venture include business expansion, development of new

products or moving into new markets, particularly overseas. Your business may have strong

potential for growth and you may have innovative ideas and products. However, a joint venture

could give you: (1) more resources, (2) greater capacity, (3) increased technical expertise, (4)

access to established markets and distribution channels.

Dacă ai înţeles paragrafele parcurse până aici, atunci te rog să completezi cuvintele lipsă în textul de mai jos: Reasons you might want to form a joint venture include business .............., development of new .................. or moving into new............., particularly overseas.

Scrie aici răspunsul considerat corect de către tine: ........................................................................................... şi apoi, verifică-te mai jos dacă ai dat răspunsul corect.


“expansion”, “products”, “markets”

Dacă ai răspuns corect, te felicit! Dacă nu, atunci trebuie să revii asupra paragrafelor parcurse până acum, pentru a le aprofunda.

6.2.GRAMMAR REVIEW: PRESENT PERFECT SIMPLE

• Use

1) denotes an action or state begun in the past and no longer continuing in the

moment of speaking, yet implying the result of the respective action.

e.g. Have you read this book?

2) denotes actions or states begun in the indefinite past and still going on in the

present

e.g. The students have been here since 5 o’clock.

3) denotes actions or states begun in the indefinite past and continuing to the moment

of speaking

e.g. No greater dramatist has come after Shakespeare in England.

• Form

To have (have/has) + past participle of the verb to be conjugated (V3)

Positive statements Negative statements Questions

I have asked I haven’t asked Have I asked?

You have asked You haven’t asked Have you asked?

He /She/It has asked He/She/It hasn’t asked Has he/she asked?

We We we

You have asked You haven’t asked Have you asked?

They They they

• Signal words

now, up to now, this moment, this time, so far, lately, just, already, since then, since

Monday, for etc.

Subiecte pentru autoevaluare:

Întrebări de autoevaluare

1. Which type of companies can be set up by a Special Act of Parliament?

Scrie răspunsul tău aici:

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

Răspunsul corect la întrebarea de mai sus este:

Companies which are usually given the monopoly of public utility services such as railways,

canal, gas, water and electricity.

2. What is shared in a joint venture company?

Scrie răspunsul tău aici:

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

.............................................................................................................

Răspunsul corect la întrebarea de mai sus este:

The risks and rewards of the enterprise are shared in a joint venture.

Dacă aţi terminat de răspuns la întrebările de mai sus, verificaţi-vă răspunsurile date confruntându-le cu materialul teoretic prezentat în acest Modul.

Nu aţi răspuns corect la toate întrebările? Nu fiţi dezamăgiţi, căci vă recomandăm să reparcurgeţi materialul teoretic şi cu siguranţă veţi putea răspunde acestor întrebări. E simplu! Puteţi de asemenea, să vă notaţi eventualele nelămuriri, pentru a le clarifica în cadrul Activităţii tutoriale (AT).

Aţi răspuns corect la toate întrebările? FELICITĂRI!!! Continuaţi parcurgerea acestui Modul pentru a vă pregăti corespunzător în vederea atingerii obiectivelor stabilite pentru acest Modul.

Teste grilă pentru autoevaluare:

1. What are you _____________________? = What are you trying to say? a) getting at b) getting c) making.

Răspunsul pe care îl consideri corect este: ............................

2. I’m sorry, Lynn, I didn’t _____________________ ( = understand/hear) that last figure.

a) engage b) catch/get c) grasp.


3. Janine has _____________________ a lot to the development of this company. a) constrained b) calculated c) contributed.


4. We’re running a little short _____________________. ( = we don’t have much time left)

a) of time b) in time c) time.


5. Bill told me that my issue was _____________________ of the meeting. ( = not part of what the meeting was about).

a) outside the boundary b) out the door c) outside the scope.


6. Let’s _____________________ ( = talk) tomorrow.

a) touch bases b) touch base c) touch wood.


7. She’s really good at _____________________ ( = generating) creative solutions.

a) coming up with b) coming on to c) getting on with.


8. In business jargon, when something is “on someone’s radar”:

a) they are not aware of something b) they are aware of something c) they are a pilot.


9. Let’s leave that issue for _____________________ .

a) other meeting b) another meeting c) the future.


10. It’s critical not to _____________________ of the main point.

a) see b) lose site c) lose sight.


Dacă aţi terminat de răspuns la testele grilă de mai sus, verificaţi-vă răspunsurile date confruntându-le cu cele din tabelul următor: Nr. întrebării Răspunsul corect: Nr. întrebării Răspunsul corect:

1. a 6. b 2. b 7. a 3. c 8. b 4. a 9. b 5. c 10. c

Subiecte pentru evaluare şi control

Teme pentru aprofundarea cunoştinţelor

Vizitează, în scopul familiarizării cu ele, informaţiile postate pe următoarele pagini web: 1. Joint Venturing (link:

http://entrepreneurs.about.com/od/beyondstartup/a/jointventures.htm 1. Types of Romanian Companies (link: http://www.romanianlawoffice.com/companies-

romania.htm) Termen: sfârşitul săptămânii 6.

Întrebări de evaluare

1. What is a company?

2. Which are the steps needed to set up a company?

3. Define private limited companies.

4. Define public limited companies.

5. What is the difference between PLCs and LTDs?

6. Define joint ventures.

7. How many types of joint ventures are there?

Analiză de text

Ai de realizat şi de postat ca şi document MS Office Word, pe pagina web a disciplinei, la

butonul creat în acest scop în secţiunea specifică aferentă Săptămânii 6, soluţia la tema următoare:

Read the following text and then write an abstract about the differences between the

PlCs and LTDs.

A limited company is a business that is owned by its shareholders, run by directors and

most importantly whose liability is limited.

Limited liability meansthat the investors can only lose the money they have invested and

no more. This encourages people to finance the company, and/or set up such a business,

knowing that they can only lose what they put in, if the company fails.

For people or businesses who have a claim against the company, “limited liability” means

that they can only recover money from the existing assets of the business. They cannot

claim the personal assets of the shareholders to recover amounts owed by the company.

To set up as a limited company, a company has to register with Companies House and is

issued with a Certificate of Incorporation. It also needs to have a Memorandum of

Association which sets out what the company has been formed to do, and Articles of

Association which are internal rules over including what the directors can do and voting

rights of the shareholders.

Limited companies can either be private limited companies or public limited companies.

The difference between the two are:

Shares in a public limited company (plc) can be traded on the Stock Exchange and can

be bought by members of the general public. Shares in a private limited company are not

available to the general public; and

The issued share capital of a plc (the initial value of the shares put on sale) must be

greater than £50,000 in a plc.A private limited company may have a smaller share capital

A private limited company might want to become a “plc” because:

Shares in a private limited company cannot be offered for sale to the general public, so

restricting availability of finance, especially if the business wants to expand. Therefore, it

is attractive to change status

It is also easier to raise money through other sources of finance e.g. from banks

The disadvantages of a being a public limited company (plc) are:

• Costly and complicated to set up as a plc – need to employee specialist bankers and

lawyers to help organise the converting to the plc.

• Certain financial information must be made available for everyone, competitors and

customers included (would you want them to know how much profit you are making?)

• Shareholders in public companies expect a steady stream of income from dividends,

which might mean that the business has to concentrate on short term objectives of

creating a profit, whereas it might be better to work on longer term objectives, such as

growth and investment.

• Threat of takeover, because another company can buy up a large number of shares

because they are traded publicly (can be sold to anyone). If they buy enough, they can

then persuade other shareholders to join with them to vote in a new management team.

Shareholders own the company. They buy shares because:

Shares normally pay dividends, which is a share of the profits at the end of the year.

Companies on the Stock Exchange usually pay dividends twice each year.

Over time the value of the share may increase and so can be sold for a profit – this is

known as a “capital gain”. Of course, the price of shares can go down as well as up, so

investing in shares can be very risky.

If they have enough shares they can influence the management of the company. A good

example is a “venture capitalist” that will often buy up to 80% of the shares of a company

and insist on choosing some of the directors.

Flotation

A company may float on the stock market. This means selling all or part of the business

to outside investors. This generates additional funds for the business and can be a major

form of fund raising. When shares in a “plc” are first offered for sale to the general public

as the company is given a “listing” on the Stock Exchange.

Divorce of ownership and control

As a business becomes larger, the ownership and control of the business may become

separated. This is because the shareholders may have the money, but not the time or the

management skills to run the company. Therefore, the day-to-day running of the business

is entrusted to the directors, who are employed for their skills, by the shareholders.

The shareholders are therefore “divorced” from the running the business for 364 days of

the year. They will have their say at the Annual General Meeting (AGM) of the company,

where the directors present the accounts and results. Very recently a couple of businesses

have had very strong shareholder unrest leading the company to tone down a number of

their decisions.

In practice directors tend to have at least a modest shareholding in the company. This

provides the director with an incentive to achieve good dividends and capital growth for

the share (an increase in the share price).

Source: http://tutor2u.net/business/gcse/organisation_limited_companies.htm

Termen pentru postare: sfârşitul săptămânii 6.

Referat

Referat. Write an essay on the main steps to form a compnay in Romania.


Exerciţii propuse spre rezolvare:

Rezolvă exerciţiile propuse mai jos. Rezolvarea lor o vei posta pe pagina web a disciplinei, la butonul creat în acest scop în secţiunea specifică aferentă Săptămânii 6.

1. Crossword Puzzle

Down: 1. A company consisting of two or more owners who manage it together and have

unlimited liability.

Across: 1. You make them when the company does well.

2. Checked by specialist accountants.

3. A company is highly -… when it has a good deal of bank loans.

4. A business where decisions are taken at headquarters rather than at branch level.

5. Losses or expenses are … by someone who has to pay.

6. Another name for the capital of share-holders.

7. The management committee of the limited liability company is the … of Directors.

8. You make it when the company is not profitable.

9. Shares are traded on the stock …

10. The highest position on the Board of Directors.

11. A limited liability company where anyone has the possibility to buy shares.

A

1

2

3

4

5

6

7

8

9

10

11

B

2. Complete with the and a:

………… (1) joint stock company is ………..(2) special kind of partnership. Such

…………..(3) company has …………..(4) common capital called ……………..(5) stock.

…………….(6) partners in ……………(7) company are called shareholders, since they

receive shares for their contributions to ……………(8) stock. Shares express ownership

interest and decision making power in …………(9) company, and shareholders are free

to transfer their shares to someone else without needing consent of …………(10) other

shareholders. While ………….(11) normal partnership also has ownership interest,

………….(12) difference is that in ………….(13) partnership, interest can only be

transferred to someone else if all ……………(14) partners agree to it.

3. Using the words in brackets, complete the text below with the Past Simple of

Present Perfect Simple:

1. A: Did you like the movie Star Wars?

B: I don’t know. I (see, never) ............ that movie.

2. Arnold (arrive) ............ in London a week ago.

3. My best friend and I (know) ............. each other for over fifteen years. We still get

together once a week.

4. Stinson is a fantastic writer. He (write) ............... ten very creative short stories in the

last year. One day, he’ll be as famous as Hemingway.

5. I (have, not) ................ this much fun since I (be) ............... a kid.

6. Things (change) ................ a great deal at Thames, Inc. When we first (start) ...............

working here three years ago, the company (have, only) ................. six employees. Since

then, we (expand) ............. to include more than 2000 full-time workers.

7. I (tell) ............... him to stay on the path while he was hiking, but he (wander) ............

off into the forest and (be) ............... bitten by a snake.

8. Listen Sarah, I don’t care if you (miss) ................ the bus this morning. You (be)

........... to work too many times. You are fired!

9. Tom is from Colorado, which is hundreds of miles from the coast, so he (see, never)

............. the ocean. He should come with us to Miami.

10. How sad! Andrew (dream) ................ of going to San Francisco before he died, but he

didn’t make it. He (see, never) .............. the ocean.

11. In the last hundred years, traveling (become) ............. much easier and very

comfortable. In the 19th century, it (take) .or th........... two or three months to cross North

America by covered wagon. The trip (be) ............. very rough and often dangerous.

Things (change) ............ a great deal in the last hundred and fifty years. Now you can fly

from New York to Los Angeles in a matter of hours.

12. Alex, I can’t believe how much you (change) .............. since the last time I

(see)............ you. You (grow) .............. at least a foot!

13. This tree (be) ................... planted by the settlers who (found) ............... our city over

four hundred years ago.

14. This mountain (be, never) .................. climbed by anyone. Several mountaineers (try)

................. to reach the top, but nobody (succeed, ever) .................. . The climb is

extremely difficult and many people (die) ................... trying to reach the summit.

15. I (visit, never)................. Africa, but I (travel) ..................... to South America several

times. The last time weeks in the Amazon, (hike) ............... for a week near Machu

Picchu, and (fly) ................ over the Nazca Lines.

4. Using the words in brackets, complete the text below with the Past Simple of

Present Perfect Simple:

Since computers were first introduced to the public in the early 1980’s, technology

(change) ................. a great deal. The first computers (be) .............. simple machines

designed for basic tasks. They (have, not) ............... much memory and they (be, not)

............. very powerful. Early computers were often quite expensive and customers often

(pay) ................... thousands of dollars for machines which actually (do) ................. very

little. Most computers (be.................... separate, individual machines used mostly as

expensive typewriters or for playing games.

Times (change) .................... . Computers (become) ..................... powerful machines

with very practical applications. Programmers (create) ................. a large selection of

useful programs which do everything from teaching foreign languages to bookkeeping.

We are still playing video games, but today's games (become).................... faster, more

exciting interactive adventures. Many computer users (get, also) ..................... on the

Internet and (begin) ......................... communicating with other computer users around

the world. We (start) ....................... to create international communities online. In short,

the simple, individual machines of the past (evolve) .................. into an international

World Wide Web of knowledge.


Rezumatul acestui Modul

A company is a complex business organisation consisting of an association of people who both contribute capital and agree to share the resulting profit or loss. Private Limited Companies have the letters LTD after their name and consist of a number of shareholders. Public Limited Companies have the letters PLC added to their name and consist of a very small number of members and they can offer their shares for sale. Joint Ventures are companies usually constituted with both foreign and domestic capital contribution.

Bibliografie obligatorie

1. Mirabela Pop, Monica Sim, Business English for Business Students, Editura Universităţii din

Oradea, Oradea, 2007, Capitolul 2.

2. Bill Mascull, Business Vocabulary in Use, Cambridge University Press, 2002, Capitolul 12.

Bibliografie disponibilă on-line

1. Romanian Company Formation – link:

http://www.romanianlawoffice.com/company_formation_romania.htm

2. Present Perfect Simple – link: http://www.englishpage.com/verbpage/presentperfect.html

Bibliografie

1. Alexander Hollinger– Test Your Business English Vocabulary, Editura Teora, Bucureşti, 2000.

2. Bill Mascull, Business Vocabulary in Use, Cambridge University Press, 2002.

3. David Horner – 1000 cuvinte cheie în afaceri, Editura Compania, Bucureşti, 2002.

4. Ian MacKenzie – Management and Marketing with Mini-Dictionary, Thomson & Heinle,

Boston, 1997.

5. Mark Powell - Business Matters, Thomson & Heinle, 1996.

6. Michael Brookes, David Horner – Business English – Engleza pentru afaceri, Editura Teora,

Bucureşti, 2000.

7. Mirabela Pop, Monica Sim, Business English for Business Students, Editura Universităţii din

Oradea, Oradea, 2007.

Modul 6

Documents

Transcript of Modul 6