Private, Public and Global Enterprises
Private Sector
Private-sector enterprises are owned and controlled by private individuals or groups. They may operate as proprietorships, partnerships, companies and other forms permitted by law.
Public Sector
Public-sector enterprises are owned or controlled by government. Major forms include departmental undertakings, statutory corporations and government companies.
Government Company
A government company is a company in which the government holds the prescribed controlling shareholding under company law. It combines corporate form with significant government ownership.
Global Enterprises
Multinational/global enterprises operate across national boundaries. They can bring capital, technology, managerial practices and access to international markets, while also raising questions about competition, regulation and local impacts.
Joint Ventures
A joint venture involves two or more parties combining resources for a particular business purpose. The parties share risks, resources and returns according to the arrangement.
Explained MCQs
- What distinguishes a statutory corporation?
Answer: It is created by a specific Act of the legislature.
Explanation: Its powers, functions and framework derive from the statute establishing it. - Why do businesses form joint ventures?
Answer: To combine complementary resources, expertise, technology or market access.
Explanation: Cooperation can allow partners to undertake opportunities that may be difficult to pursue alone.