What is the primary motivation for a company to launch an Initial Public Offering (IPO)?

"To enhance brand visibility and gain market recognition" "To increase compliance requirements and regulatory oversight" "To raise funds for growth and expansion" "To provide an exit route for existing investors

How does the listing of securities on a stock exchange benefit existing investors of a company?

"It allows them to participate in the company's decision-making process" "It provides them with an opportunity to sell their shares to the public" "It increases their voting rights within the company" "It guarantees them a fixed rate of return on their investment

What is a key advantage of a company going public in terms of its workforce?

"It reduces the need for employee training and development" "It allows the company to offer Employee Stock Ownership Plans (ESOPs) to attract and retain talent" "It simplifies the process of hiring and firing employees" "It eliminates the need for labor unions and collective bargaining agreements

What is a significant drawback for companies considering going public?

"Increased media attention and public scrutiny" "Limited access to capital and funding opportunities" "Reduced competition within the industry" "Substantial upfront costs associated with the IPO process

How does the Securities and Exchange Board of India (SEBI) play a role in the IPO process?

"It determines the price at which the company's shares will be offered" "It underwrites the IPO and guarantees the sale of all shares" "It sets regulations and ensures compliance from companies launching IPOs" "It selects the investors who will be allotted shares in the IPO