Netscape Case Study

IPOs are undertaken when a company reaches a point in its development that requires a considerable infusion of capital. The decision to "go public" means that the ownership of the company will be diluted from a closely held few to many, which decreases the span of control that the original owners have in the organization. However, selling shares on the open market means that the company can generate far more capital without resorting to debt financing.

This is not to say that companies cannot attract investors without having a public offering. Companies which are privately held can attract private capital (venture capital) through private placements; these investors are rewarded through dividends and the potential that a future public offering might be made. Until the company is taken public, however, these investors are left with an investme

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Some common words found in the essay are:
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Approximate Word count = 1020
Approximate Pages = 4 (250 words per page)

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