The inve.ator invariably cannot find someone to fund the development of his product but the public company is able to raise all the capital it requires_ Why is this so? Question 11: What are the main...

Engineering Management
Running Header: Engineering Management
Title: Engineering Management
Prepared By:
Presented To:
Date: 05/10/2017
Preface:
All the discussion provided here in the write-up is about the specific concerns that address the company functionalities and the regulations. Also the implications of the same to the general stakeholders is discussed in the report. Specific concerns to selective questions are expressed here in the following part of the discussion.
Discussion
(11)Finance for an inventor vs Public company
An inventor cannot find someone to fund the development of his product; however a public company is able to raise all the capital it requires. Since there is conceptual difference as well as difference in operational functionalities of the two concepts. At the outset, the inventor is not looking for commercial interests; he is concerned with only invention. Further the deliverable is only a working prototype and there is nothing in reference to the profit available to the inventor. Further there are no obligations for the inventor to think of legislative requirements to do his process; as well there are obligations to develop a product that makes up profitable return etc. Infact it is only a preliminary step and there is no business involved at this level. Whereas a public limited organization is a full fledged operating entity whose operations are guided by corporation laws and there is applicable system to govern the operations and its operations are legitimate and guided by share holders interests and objectives and inline with the social responsibility initiatives. Hence it is possible for public company to raise its capital by equity selling. However an inventor can do that, but there are alternative options for getting funding for his project. There are organizations that can sponsor the research, however there may be regulations and obligations to guide the research in that case(Pennington,1973).
(12)Japanese company looking for a plant in Britain
Since it is a foreign company there will be multiple factors that will be impacting the decision of the location selection in Britain. Further the type of investment which the company is looking for will also decide the selection of the location. If it is a merger, then the interests of the partner firm of Britain will also influence the company decision of selecting a location. If it is full-fledged foreign direct investment, may the guidelines of UK and the approval of the location choice may decide the selection of the final location. However still there are several technical factors that actually will decide the selection of the location in UK. Some of them being geographical advantage the location will render like for the collection of the supplier products (example: transportation and connectivity issues), Cheap and skilled labour availability, political and social factors etc. In any case the Japanese company may also consider the location for the advantages like easy possibility for export and connection with other possible market regions for the manufactured product. Also if the government of UK is promoting incentives for locating the industry in any of the selected regions of the country, then even those factors will influence the decision of the company in finally selecting the right location.
(13)(a)Actions required to form a public limited company:
The exact regulations for the formation of a public limited company will be in accordance with the prevailing corporation acts. However there is need for minimum number of two directors for the formation of a public limited company. In UK, the PLC need to be registered with the companies house an executive agency of the Department of the Business, innovation and skills. MOA need to be prepared specifying the number of the shares which each director is willing to take up. Registrar of companies should be submitted with all the necessary documents and the registration fees, which on approval will enable the formation of the public limited company. Memorandum of Association, Articles of Association, Form 1 and Form 12 need to be submitted to the registrar. Further there is need for the company to deliver the financial statements and the failure of the same is an offence and company will be punished for the same. Also a...