Public Sector Business

TMA B BUSINESS

1)

a) Public sector business is owned by the government or state.

Private sector business is owned by the a group who wants to do a business.

b) Public sector business helping people in the country and they don’t want any profit whereas Private sector business do everything for profits.

2)

a) Public sector provide things to people in the country, but sometime the

quality is quite low but Private sector provide things to make a profit and the quality is higher.

b) If the post office is public sector business, the quality of service will be low

because the employees won’t work well as they should because they get

pay less and they might have more choice to choose another jobs because

they can get more salary.

If the post office is private sector business, the quality of service will be higher because the employees get pay more salary, so they can work harder and people will want job in the post office and the quality of delivery will be higher too.

3)

Because if they start a new business people wouldn’t get to know it

quickly, or they will have a lot of competitive, so they wouldn’t be happy

about that, but if he takes a franchise that means he takes a company that

a lot of people know and don’t have a lot of competitive because the

company is big.

4)

Advantage - The business can approach more sources for finance.

- Shares in the company can be brought and sold on the stock

market.

Disadvantage - Separation of ownership and control may lead to conflicts

of interest.

- Company needs more administration and this can be slow

and costly.

5)

i) Business objective is a statement of business that trying to achieve for a long terms of time, if the owner don’t