In financial newspapers and business news we often see the abbreviation "IPO". What is the full form of the term IPO in the context of the share market?

Introduction / Context:
Initial Public Offering, commonly shortened to IPO, is a very important term in finance and the share market. It appears frequently in business newspapers, company news, and discussions about stock market investments. This question checks whether you know the correct expanded form of the abbreviation IPO and understand its basic meaning in the context of companies raising capital from the public for the first time.

Given Data / Assumptions:

• The abbreviation given is IPO.
• The context is financial newspapers and the share market.
• We must identify the correct full form of IPO.
• Only one option correctly represents the standard global usage.

Concept / Approach:
In finance, IPO is a globally accepted abbreviation for Initial Public Offering. It refers to the first time a private company offers its shares to the general public and gets listed on a stock exchange. The word Initial indicates that it is the first issue, Public indicates that shares are offered to general investors, and Offering indicates that securities are being offered for sale. The approach is to recall the correct full form used in financial literature and distinguish it from similar sounding but incorrect phrases.

Step-by-Step Solution:
Step 1: Read the question carefully and identify that IPO is a financial market abbreviation. Step 2: Recall that IPO is used when a company lists its shares for the first time on a stock exchange. Step 3: Remember that the standard full form is Initial Public Offering. Step 4: Compare this with the given options and locate the one that exactly matches Initial Public Offering. Step 5: Select Initial Public Offering as the correct answer.

Verification / Alternative check:
You can verify this by checking any reliable finance textbook, stock exchange educational material, or company prospectus. Everywhere IPO is expanded as Initial Public Offering. It is never officially expanded as Indian Public Offer or Institutional Purchase Order. When companies like Infosys, TCS, or large start ups first sold shares to the public, their offer documents clearly used the phrase Initial Public Offering. This consistent usage across countries, regulators, and exchanges confirms that Initial Public Offering is the correct expansion of IPO.

Why Other Options Are Wrong:
Indian Public Offer: This phrase looks attractive but IPO is not restricted to India, and this is not the standard term in finance.
Institutional Purchase Order: This sounds like a procurement term, not a capital market term, and is not used for IPO in any financial regulation.
International Public Organization: This describes a type of institution, not a share issue. It has no link to the stock market usage of IPO.

Common Pitfalls:
Many learners casually expand IPO as Initial Public Offer, which is very close but not the precise standard term. Examinations and interviews usually expect the exact phrase Initial Public Offering. Another common mistake is to think that IPO is country specific, for example Indian Public Offer, which is incorrect because IPOs happen in all major markets worldwide. Always pay attention to the exact wording used in textbooks, prospectuses, and stock exchange definitions.

Final Answer:
The correct full form of IPO in the context of the share market is Initial Public Offering.