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Overview of Business Organizations

            
             Different Types of Organizations and the Purpose .
            
             Before we learn about the types of organizations, we need to learn the basic purpose of setting organizations. The main purpose of organization is to provide a pathway to their business setup and to set the main objective for their business. Organizations help in making profit in a standard way. The different purpose of organizations helps in building the structure of company.
             Different Types of Organizations.
             There are three types of organizations in business field. We will discuss each one by one.
             PLC (Public Limited Company) - It is headed or guided by the government for the benefits of citizens. The main source of finance of public sector is the taxes that are paid by people. The main aim of public sector is to provide essential public services. The other major goal of public sector is to use resources efficiently in order to provide benefits to the community. Public sector provides its own securities to general people or public and is known as publically traded company. The major owners of the public sectors are management, public, board and stakeholders. To be a certified public sector company in UK the name of the company must end with the abbreviation "PLC". Organization wealth is increased by the company through prof its and funds are one of the main reasons for setting the private company. For example- in UK FTSE OR NYSE is a public sector company. .
             Private Company.
             The owners of private company are basically the private individuals. The common examples of private company are sole traders, franchises, companies (private or public) and partnerships. The aim of public sector companies is to make profit in markets. This can be done through maximise sales and increased shares in markets. The growth of their product is another factor for having profits in companies. Private sector gets finance through sole traders and partnerships as well as through companies.


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