a stock market is a market where securities are sold only listed companies are allowed to trade at...

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A stock market is a market where securities are sold

Only listed companies are allowed to trade at the stock exchange

Companies that are listed need to fulfill some conditions for them to continue trading at the stock exchange

Due to the conditions, companies are forced to perform as per expectation

Stock Markets helps companies to grow because failure to meet conditions will lead to deregistration.

They expose companies to wider markets hence more growth opportunities

Listed companies have more opportunities to raise capital unlike the unlisted once that are limited to private sources.

• Companies that trade at the stock market are owners by directors who are voted in by the shareholders

• The shareholders elect directors at the annual general meeting

• The stock exchange market is managed by a chair person who is elected by Company directors

• Members of the board can vote out the chairperson in the event that does not perform

Business models define companies make money

Models can be purely profit oriented e.g. Low cost model, advertising model, pay s you go model among others.

For the business model to be helpful, it should be well integrated into the business

Purely profit oriented models are focused on generating revenue for the companies

• They motivate the companies to operate the optimum level by ensuring that the objectives and goals are followed

• Encourages sustainability of the companies activities (Kumar 200)

• Helps in establishing governance structures for companies for directors of the companies that trade at the stock market

• Sustainable decision making and processes in companies

• There are other models that are not majorly concerned with making profits, rather they focus on the needs of people and the world

• Such models also take care of the needs of employees for value addition at various levels

• Through creating value in the company, the models are able to give quality services to customers (Gregory 2003).

• The model that focus on the needs of the society factors in the needs of everyone

• One of the alternative model that can be implemented by a trading company is the sustainable model

• Coca cola is one of the example of a company that has implemented the sustainable model

• The sustainable model is good because it take into consideration all the aspects of the company including value and external interest

• The pure profit model focus on profits, which means that companies which use this model are under pressure to meet the profit target

• The sustainability model grows all the sectors of the companies from employees, customers and the society

• The pure for profit model can lead to skewed development because the focus is purely on money, this means that other sectors are likely to suffer.

Gregory, K.(2003). How to make money in the stock market. Oxford :Oxford University Press

Higgins, R. C. (2009). Analysis for Financial Management (9th ed.). McGraw Hill/Irwin

Kumar, P.(2009). Introduction to business models. New York: NYP

"Towards Sustainability." Http://www.coca-colahellenic.com. Coca-Cola HBC AG, 2013. Web. 09 Sept. 2013. <http://www.coca-colahellenic.com/sustainability/>.

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