Chapter 2: What is stock market ? How it works

Stock market- a place were thousands of share are traded, Simple definition but complex way of working . How stock market work - for reference i take a company name ABC , ABC is privately owned company and the company make medicine and it's biggest producer of medicine in India . Now it wants to expand its territory but they have lacked of funding to expand in foreign country and they want to make many very big factory in every country so , they need very big funding so , they decided to make company from private limited to public limited . So , they register there company on national stock exchange of country and it's is important to know what it is called in stock market [ ipo = intial public offering] and company will decide at what price they will sell there stock [ there are millions of share of company decided by company or national stock exchange if you buy many share you will some percentage owner of company] after release of ipo people will buy your share randomly or by analysing your company [ my next chapter will be about this topic ] then money will come to company and they will expand to foreign country And it will help economy of country to grow . If you like my this chapter please like and review it