Question

Explain one reason for better performance of a firm when :- 1)It is in the private sector.2)It is in the public sector

Answer 1

1) it is in a private sector

Answer 2

Explanation:

1) The better performance of a firm when it is in the private sector is due to the private sector being more profit-driven. Therefore, employees are hired based on their talents and productivity, This then increases performance as there's better work quality.

2) The better performance of a firm in its public sector is due to high morale. This is mainly due to job satisfaction as the public sector is not profit-driven but is focused on providing goods and services for the public and thus is helping the public with products such as education and healthcare