The IPO of XYZ Construction Inc.

XYZ Construction Inc. like many other organizations has outgrown its geographical boundaries and as a result the leadership team plans on expanding its horizontal construction nationally and internationally. du Plessis (2009) suggested that globalization and internationalization challenges are now demanding that organizational managers fine-tune or draft new policies and procedures to stay competitive in the global markets. As such, the leadership within XYZ Construction Inc. has also decided to transition from a private to a public ownership construct and launch its initial public offering (IPO). Going forward there is a number of issues that need to be briefed to the executive level within XYZ Construction, Inc. Specifically, there are concerns with the economic and legal factors that could affect the organization. Consequently, the following information will seek to describe and analyze employment and labor law influences as the company grows both domestically and internationally.

Initial Public Offerings

First, it is important to highlight that XYZ Construction, Inc. has planned to make an initial public offering (IPO) in the near future, which is a significant milestone for the company’s stockholders. Moreover, the IPO will enable the generation of capital from a broad segment of the public sector and an opportunity to disseminate information on the business. The marketing will follow after the registration of documents filed with the U.S. Securities and Exchange Commission (SEC), with a prospectus distributed to its investors (Businessdictionary online dictionary, 2011). The potential of success may be triggered by an underpriced IPO, for instance, Guo, Brooks, and Fung (2011) suggested a number of reasons why IPOs...

... middle of paper ...

...etrieved from http://www.businessdictionary.com/definition/initial-public-offering-IPO.html

Napathorn, C., & Chanprateep, S. (2011). What types of factors can influence the strength of labor unions in companies and state enterprises in thailand? International Journal of Business and Management, 6(2), 112-124. Retrieved from http://search.proquest.com/docview/848412945?accountid=28180

Posthuma, R. A. (2009). National culture and union membership: A cultural-cognitive perspective. Relations Industrielles, 64(3), 507-529. Retrieved from http://search.proquest.com/docview/224296465?accountid=28180

Wang, H., Appelbaum, R. P., Degiuli, F., & Lichtenstein, N. (2009). China’s new labour contract law: Is china moving towards increased power for workers? Third World Quarterly, 30(3), 485. Retrieved from http://search.proquest.com/docview/219775340?accountid=28180