Private Limited Company Incorporation in Zambia

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What is one advantage of a public limited company due to its large size?

It can buy modern equipment and technology.

Why does a public limited company enjoy economies of scale?

Because it buys in bulk.

What is a disadvantage of forming a public limited company?

It is difficult and expensive to form.

Why do original owners of a public limited company often lose control?

Because the company grows too big. Signup and view all the answers

What is a requirement for public limited companies?

To publish their accounts annually. Signup and view all the answers

What is a risk faced by public limited companies?

The risk of takeover bids by other companies. Signup and view all the answers

What is a key characteristic of cooperative societies?

They are democratically controlled with each member having one vote. Signup and view all the answers

What is a common type of cooperative society in Zambia?

Agricultural cooperative societies. Signup and view all the answers

What type of factors do not lead to motivation but prevent dissatisfaction?

Hygiene factors Signup and view all the answers

What is the main distinction between motivators and hygiene factors?

Motivators create a feeling of satisfaction, whereas hygiene factors prevent dissatisfaction Signup and view all the answers

What do motivators relate to in the workplace?

What people are allowed to do and the quality of human experience at work Signup and view all the answers

What is the role of beliefs and attitudes in shaping one's attitude towards work?

They influence behavior towards work Signup and view all the answers

What is personality, and how does it influence work ethic and motivations?

Personality is a person's distinguishing characteristics that lead to consistent responses to their environment, and it influences work ethic and motivations Signup and view all the answers

What is the focus of McClelland's achievement motivation theory?

The relationship between hunger needs and the extent to which imagery of food dominated thought processes Signup and view all the answers

What is the main difference between Maslow's hierarchy of needs theory and Hertzberg's motivation-hygiene theory?

Hertzberg's theory is more directly applicable to work situations Signup and view all the answers

What are the two types of factors that influence an individual's attitude towards work?

Hygiene factors and motivators Signup and view all the answers

What was the main objective of dividing the workers into two groups, namely the experimental group and the control group?

To study the possible relationship between the level of lighting and productivity. Signup and view all the answers

What was the outcome of the experiment regarding the level of lighting and productivity?

In some cases, productivity improved when the conditions were made much worse. Signup and view all the answers

Describe the type of work and the team composition in the relay assembly test room.

The work was boring and repetitive, with a team comprising a mix of friends and coworkers. Signup and view all the answers

What changes were made to the work conditions during the experiment in the relay assembly test room?

The researchers introduced planned and controlled changes to hours of work, rest pauses, and provision of refreshments. Signup and view all the answers

What approach did the observer adopt in the relay assembly test room, and how did it affect productivity?

The observer adopted a friendly approach, consulting with workers and keeping them informed, leading to a general increase in production. Signup and view all the answers

What did the researchers conclude was the main reason for higher productivity in the relay assembly test room?

Extra attention given to the workers and the apparent interest in them shown by management. Signup and view all the answers

What was the focus of the interviewing programme in the experiment?

To establish the feelings of workers towards their supervisors and the general conditions of work. Signup and view all the answers

What change was made to the interviewing style in the interviewing programme?

The style was changed to incorporate more nondirective and open-ended questions. Signup and view all the answers

What is a potential problem that may arise in larger organisations due to the development of informal groups or cliques?

These groups may operate contrary to the policy of management. Signup and view all the answers

What is a consequence of too narrow a span of control on decision-making?

It may present a problem of coordination and consistency in decision-making. Signup and view all the answers

What is the primary difference between centralised and decentralised organisations?

In a centralised organisation, important decisions are usually made at the top, whereas in decentralised organisations, more decisions are made at lower levels in the structure. Signup and view all the answers

What is the ideal level for decision-making to occur in an organisation?

At the level of the people who are most directly affected and have the most intimate knowledge about the problem. Signup and view all the answers

What are the three factors that influence the extent of centralisation or decentralisation in an organisation?

Organisational size, geographical separation of different parts of the organisation, and the need to extend activities or services to remote areas. Signup and view all the answers

What is the main argument for centralisation in an organisation?

Economic and administrative considerations. Signup and view all the answers

How may a centralised organisation structure affect the chain of command?

It may lengthen the chain of command. Signup and view all the answers

What is a potential consequence of close supervision in an organisation with a narrow span of control?

Morale and initiative of subordinates may suffer. Signup and view all the answers

What are the two documents that have been combined to create the Articles of Association according to the Company's Act of Zambia?

The Memorandum of Understanding and the Articles of Association Signup and view all the answers

What is the purpose of submitting the Articles of Association to the Registrar of Companies?

To obtain a certificate of incorporation Signup and view all the answers

What is included in the Articles of Association of a private limited company?

Name of the company, objectives, statement of limited liability, authorized capital, and other details. Signup and view all the answers

Who governs a private limited liability company?

A board of directors elected by the shareholders at annual general meetings Signup and view all the answers

What is a characteristic of a private limited company?

It is a separate legal entity Signup and view all the answers

Can a private limited company sell its shares to the general public?

No, unless by approaching people individually Signup and view all the answers

What is the requirement for transferring shares in a private limited company?

Agreement of the other shareholders Signup and view all the answers

Who has control over a private limited company?

The shareholders Signup and view all the answers