Chapter 4 Company law
Chapter 4 Company law
LearningobjectivesAfteryouhavestudiedthischapter,youshouldbeabletoknowUnderstand the basic concept of a company;Explain thetwotypes of companies undertheCompany law andtheirdifferences,Know the general requirements to set up a company;Understandthemethodsfor a companyto raisefinance;。Knowthe corporate governance ofa company;Knowinwhat situationthecompanywouldbedissolved
Learning objectives After you have studied this chapter, you should be able to know ◦ Understand the basic concept of a company; ◦ Explain the two types of companies under the Company law and their differences; ◦ Know the general requirements to set up a company; ◦ Understand the methods for a company to raise finance; ◦ Know the corporate governance of a company; ◦ Know in what situation the company would be dissolved
Content4.1Overviewofacompany4.2The establishmentand alteration of a company4.3Running a company:raisingand maintainingcapital4.4The managementandgovernance of companies4.5Company Dissolutionsand LiquidationsoCompanyLawofthePeople'sRepublicofChinaPromulgatedin1993,amendedin2006,2018,2023
Content ◼ 4.1 Overview of a company ◼ 4.2 The establishment and alteration of a company ◼ 4.3 Running a company: raising and maintaining capital ◼ 4.4 The management and governance of companies ◼ 4.5 Company Dissolutions and Liquidations ◦ Company Law of the People’s Republic of China ◦ Promulgated in 1993, amended in 2006,2018,2023
4.1 Overview of a company4.1.1Historyofcompany/Corporation4.1.2Definitionofcompany。4.1.3NatureofcompanyEurope4.1.4TypesofCompaniesamazon$1.5TAAsiaCintelAlphabetP&G$711BY$969B中BH5VISAPOceanla54296MicrosoftAaAs$1.5T$637B$1.9T$1.8Tin-S729BNorthAmericaMarketcapitalization.($)Dtsiorbe8r250202
4.1 Overview of a company ◦ 4.1.1 History of company/Corporation ◦ 4.1.2 Definition of company ◦ 4.1.3 Nature of company ◦ 4.1.4 Types of Companies
4.1.1HistoryofcompanylCorporationTherootsofthecorporateformcanbetracedbacktoantiquity,withearlypredecessorsofthemoderncompanyexistingduringthetimesofHammurabi,ancientGreece,andtheRomanEmpire.However,wewillprimarilyfocusonthemorecontemporarydevelopmentofthisconceptOriginsofthecompanyThe conceptof a company as a legalentityseparatefrom its owners can be tracedback tomedievalEurope,wheremerchantsandtradersformedpartnershipstoconductbusinessventures.Thesepartnershipsallowedindividualstopoolresourcesandsharerisksintradeexpeditions.EarlyJoint-StockCompaniesThe17thcenturysawtheemergenceofjoint-stockcompanies,liketheDutchEastIndiaCompanyandtheBritishEastIndiaCompany.Thesecompaniesweregrantedchartersbygovernmentstoengageintrade,exploration,andcolonization,providinginvestorswithlimitedliabilityandtheopportunityto invest inlarge-scaleventures
4.1.1 History of company/Corporation The roots of the corporate form can be traced back to antiquity, with early predecessors of the modern company existing during the times of Hammurabi, ancient Greece, and the Roman Empire. However, we will primarily focus on the more contemporary development of this concept. Origins of the company The concept of a company as a legal entity separate from its owners can be traced back to medieval Europe, where merchants and traders formed partnerships to conduct business ventures. These partnerships allowed individuals to pool resources and share risks in trade expeditions. Early Joint-Stock Companies The 17th century saw the emergence of joint-stock companies, like the Dutch East India Company and the British East India Company. These companies were granted charters by governments to engage in trade, exploration, and colonization, providing investors with limited liability and the opportunity to invest in large-scale ventures