Quality Project Intro Every day on the car ride home, my dad turns the radio onto National Public Radio. At 5:30 P.M., the radio host informs the listeners how the stock market changed for the day. My Dad, like many people, own stocks. He is constantly checking how the stock market is doing. Sometimes my Dad would tell me about the stock market. After hearing about stocks for the past 16 years of my life, I wondered what it’s like owning stocks in the 21st century. Through this project, I hope to give the reader an overview of how the stock market works, the philosophy of buying and selling stocks, and what it is like to own stocks today. Stocks are ‘pieces’ of a company that represents ownership in a particular company. The owners or CEO of a company naturally owns the highest percentage of stocks in their company than anyone else. The actual number of stocks do not matter, it is the percentage of overall stocks owned that matter to an owner of a company. To stock owners that own only 10-100 stocks, the number of stocks matter. On the other hand, the prices of stocks are very important to CEOs and shareholders. The prices of stocks are determined by the overall value (market capitalization) of the company and the number of authorized shares. As an …show more content…
Amazon was founded in 1995. Amazon was originally an electronic bookstore online. Later, the company expanded and provided DVDs, CDs, MP3, games, apparel, jewelry, furniture, and most recently food to sell online. Amazon was able to find a deficiency in the market and started a company filling that deficiency. Today, Amazon is in the top five largest and most important companies in the world, only following Apple, Google, and Microsoft. If someone invests in a company that is in an ever so small market and is getting smaller, the stockholder will lose money. The companies that have a decreasing stock value over time is considered “bad