Google
The ultimate goal of most company’s decision to go public with the sale of stock is to
assist the owners in lowering the lowering their costs and increasing their revenue. The
founders of Google, Larry Page and Sergey Brin decided to go public with stock for
many different reasons, but money wasn’t one of them. Google is an example of a
company that “effectively applies the application of organizational behavior theories and
concepts”(Kreitner &Kinicki, 2004, p30). The company is driven by the strong corporate
culture of its owners and founders. Google tries to encourage creativity and knowledge
sharing and keeps its employees updated on the status of the company through weekly
performance meetings.This practice allows employees to be aware of the standing of the
company and lets them know where they stand as far as goal meeting.
The structure of the stock sale was originally intended to be a marketing tactic that
would enhance the image of Google. The sale of Google stock was a highly publicized
action. At the time the founders decided to go public they were not actually in need of
money, but because it was the practice of Google to give its employees stock and as they
hired more programmers and engineers, more and more people became stockholders of
the company. Due to securities laws, any company with 300 stockholders had to make
certain public filings. The public finding would have required disclosure of Google’s
business plans and prospects. That was the reasoning behind the decision to go public
because the business plan and prospects were the key reasons they remained privately
owned for so long. The decision to go public made sense to Google...
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