THE ROLE OF SHAREHOLDERS

SHAREOLDER OWNS LEAST ONE SHARE

PROVIDE FUNDS -

SMALL LTDS OFTEN DIRECTORS - MOST POWER

PLCS - NOT INVOLVED RUNNING

ANNUAL MEETING - ORDINARY SHAREHOLDERS RIGHT VOTE

MAJORITY SHAREHOLFER - MOST POWER

RIGHT RECIEVE DIVIDEND

LIMITED LIABILITY

ACHIEVE CAPITAL GAIN - BUY SHARE LOW - SELL PRICE HIGH

PAID DIVIDEND MORE SHARES = MORE DIVIDENDS

INVOLVED RUNNING MAY INVEST SMALL PRIVATE LIMITED OR PLC - MAJOIRTY SHAREHOLDER

BELIEVE AIMS & OBJECTIVES - WANT SEE IT SUCCEED

SURVIVE & GROW E.G. HELP FAMILY

VENTURE CAPATALISTS - POTENTIAL SUCCESS

LTDS CONTROL - PRIVATE TRADE

SHARE BRICE AGREED CURRENT OWNER & POTENTIAL INVESOTR

BASED HOW IT IS DOING

PLCS SOLD STOCK MARKET

DETERMINED DEMAND & SUPPLY

DEMAND HIGHER SUPPLY - PRICE GOES UP

COMPANY PERFORMANCE - BETTER PEFORMENCE BIGGER DIVIDENDS

SPECULATION - NEW PRODUCT LAUNCES - RUMOURED ACTIVITY INCREASE PROFITS ENCOURAGE PEOPLE BUY SHARES

CURRENT PRICE SHARE - PRICE LOW INVESTORS BARGAIN - PRICE INCREASE MAKE CAPITAL GAIN

INTEREST RATES - RATES LOW SAVING MONEY REDUCED INCREASE DEMAND BRINGS FINANCIAL REWARDS

ECONOMY - STRONG PEOPLE MONEY INVEST

CHANGING PRICE BIG EFFECT - WANT TO BUY & SELL SHORT TERM GAIN SHARE PRICES INCREASE INESTORS MAKE MONEY - DECREASE = LOSS IN MONEY

LONG TERM INVESTMENT LESS EFFECTED HOWEVER DECREASE COMPANY PROFITS = LOWER DIVIDENDS PAID

DECREASE SHARE PRICE REDUCE OCERALL VALUE OF COMPANY - REDUCE COFIDENCE HARD ATTRACT NEW INVESTORS