Which of the following statements is true regarding employee-owned corporations?
A) The number of employee-owned corporations is declining in North America.
B) Employee-owned corporations may not publicly trade their stock.
C) Employees buy shares of stock in the company that employs them.
D) Stock prices in employee corporations typically decrease.

Question

Quizplus · Accepted Answer

Employee-owned corporations allow employees to purchase shares of stock in the company that employs them, giving them a direct stake in the success of the organization. This can help increase employee motivation, productivity, and job satisfaction. Option A is false, as the number of employee-owned corporations is actually increasing in North America. Option B may or may not be true, as employee-owned corporations may choose to publicly trade their stock or keep it private. Option D is also false, as stock prices in employee-owned corporations may increase or decrease depending on various factors.

Which of the Following Statements Is True Regarding Employee-Owned Corporations