Business Purposes of companies in different sectors of the economy
Dyson is a British appliances manufacturing company, their main products are the vacuum cleaners that has cyclonic separation. This company was founded by James Dyson in 1992. James Dyson says that this was really frustrating before inventing because it didn’t work properly. Then they figured out after sketchingand doing prototype designs from 1979 to 1984. Their first prototype vacuum was G-force, built in 1983. In 1986 G-force was first sold in japan. Dyson became licenced after becoming really famous in 1993.
Dyson Company opened a research centre and factory in Wiltshire. After the massive hit of Dco1 thecompany developed more and more. Dyson Dc07 in 2001 was also very famous because it has seven smaller funnels at the top of the vaccum. Dyson purpose is to develop the next generation of Dyson technology at research, Design, and development Laboratories. They are looking for bright and talented people to work with them and help them create something new. Dyson is a private limited company; they have very less investor as its private limited.
The advantage of private limited company is that they have limited liability this means that if the company experience financial distress because of normal business, the owners of company would not be at risk of losing their personal possessions. The company does not have to publish their account details as well as they are private limited company they can keep it secret. The disadvantages would be that because the company has very less shareholders, the growth of business would be limited. The private shares cannot be sold or transferred to anyone else like the public limited would do. Dyson has more than 2.
950 employees in the nation; this includes all the scientist and engineers. K1 tyres are mechanics that specialise in repairing and servicing cars. They are located in east London (Essex) Ilford. They are voted in business of the year from past five years by the local businesses. They have large number of variety in the range of alloy wheels to fit wide number of cars. They provide branded alloy wheels for the cars. The purpose of this business is to make profit from providing service to the car owners. They are private limited company, as they are privately limited they cannot sell their share to the public as they have limited liability.
A limited company is deemed to be a separate legal entity from its owners. This has several advantages, including the fact that the company will exist beyond the life of its members. If they retire or die, the company will continue to exist and operate. This ensures security for employees and other members. In private limited company sometimes disputes will arise between Directors and Shareholders as their ideas of what is best for the company vary. Sale of shares to increase company funds will further dilute the management, as more and more people have a say in how the company is run.
There is also a risk since Companies can buy shares that a takeover might occur this way. They employ more than 15 people. They belong on local scale as they don’t do anywhere else than east London. They belong in the tertiary sector. Tertiary – Next Plc. Next is a retailing store all over the UK, Ireland, and other countries around the world, they do clothing, accessories, and footwear and home products. The company was founded by Joseph Hepworth in Leeds 1864 named as Joseph and sons tailoring, then in 1982 the company Next was founded. In 2009 next launched its first online catalogue.
The company’s chairman is John Barton. Next main purpose is to make profit by selling their clothes, accessories, footwear etc. This helps them to pay their shareholders during their financial year. Next is a public limited company which has shares listed in London stock exchange. General public can buy share and receive division depending on their investment. The company employs more than 55,000 people therefore it makes them large organisation. The advantages of public limited company are that companies are able to raise funds and capitalize through the sales of their securities.
This is the reason public limited companies are important: prior to their existence, it was very difficult to obtain large amounts of capital for private enterprises. A private limited company has no authority to communicate with the public limited company, if any financial information; such information could be useful to competitors. Private limited companies are less likely to get information leaked to competitors, and they tend to be under less pressure to meet quarterly projections for sales and profits.