Profit for the public good and not for individual people
Easy to takeover because anyone can buy shares A public limited company has limited liability this means that the share holder only have to pay the amount that they invested in the business this means that there personal assets are protected but the money invested are gone. Private limited companies LTD A private limited company can not sell their shares on the stock market but the shareholders have to decide who to sell them to. The advantages of a private limited company:
Easy and inexpensive to set up The owners are the ones with the most shares Less shareholder so decisions can be taken faster The disadvantage of a private limited company: Lack of capital because shares cant be sold on the stock market * No benefits from economy A private limited company has limited that the share holder only have to pay the amount that they invested in the business this means that there personal assets are protected but the money invested is gone.
Location McDonalds are in the tertiary sectors this is because McDonalds distribute food the costs around McDonalds in their market as fast foods are: Fixed costs The cost of site Does the area have an availability of grants The cost of loans that they have taken out The cost of utilities such as gas, water and electricity The cost of staff with a fixed wage Start up The cost of petrol that deliver the raw material The cost of raw materials.
McDonalds have to choose a place with lots of people because they sell food the places that are very good for McDonalds are in shopping centers because lots of people go there to shop or somewhere near transport links such as a motorway. McDonalds needs to think about the impact of the area will there be enough customers such as people who are in cars or people not in cars. Is there easy access for the customers? Will there be opportunities for expansion and is there any competition in the area.