distinguish between private sector and public sector production units
Answers
Ans is here
Basic differences between public and private sectors are
Answer:
Difference between Private sector and Public sector
- Definition of both sectors:
Private sector: Private sector is a type of business that is owned, controlled and managed by an individual or a group of individuals.
Public sector: Public sector is a type of business that is owned, controlled and managed by the government.
- Objective:
Private sector: Mainly focused on constructing brand image. Primarily towards profit maximization.
Public sector: Primarily towards serving the available resources to the general population of the country.
- Source of capital:
Private sector: Capital can be obtained by debentures, issuing shares, and loans, etc.
Public sector: Capital is obtained by public revenue earnings like bonds, treasury bills, excise duty and other duties, taxes, etc.
- Stability:
Private sector: It is based on merit and production sector so, usually not stable.
Public sector: It is not threatened by the parameters of progress, production output, revenue generation, merits, etc.
- Basis of promotion:
Private sector: It is generally based on progress and merit, along with production values and commitment.
Public sector: While progress and merit are also considered at some level, it primarily depends on years of employment and seniority.