Joint Stock Enterprise

Free transfer ability of shares in a public company enables acquisition of control in several enterprises. The growth of joint stock company from facilitated the concentration of large financial resources. In the words of Haney "through the agency of joint stock company, control over a number of business organisation can be readily concentration in the hands of a few persons." by purchasing a large block of shares, a group can acquire control over a company. Similarly, interlocking and multiple directorship arise only in case of companies. Thus, development of combinations is closely related to the rise of joint stock enterprises.

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