Employee stock plans are simpler to implement in privately-held rather than publicly-traded corporations.

Question

Quizplus · Accepted Answer

Employee stock plans are typically more common in publicly-traded corporations, as they have the ability to issue and trade stocks on public stock exchanges. In privately-held corporations, issuing stocks and implementing stock plans may be more complex and limited, as the ownership and management control of the company is not as widely distributed among shareholders.

Employee Stock Plans Are Simpler to Implement in Privately-Held Rather