What are the differences between the public sector and the private sector?

The public sector and the private sector are terms used to describe the two main types of business industry within the economy. Although they can provide similar services at some levels, these two differ from different factors, including ownership and goal. The largest distinction between them is that the public sector is owned and operating the government, while the private sector is dominated by private business operators.

One of the simplest ways to recognize the difference between the public sector and the organization of the private sector is to look at who is in charge. Employees, supervisors and government managers work in the organization of the public sector. The company or organization is not owned by corporation or private owner, but rather by the government of the region. On the other hand, the private sector organization is operated by private citizens and can respond to the Board of Directors, own a partnership or a free owner. Employees in the private sector's jobs ARZAMULTED ORGby anization.

In addition to the ownership difference, both types of organizations are often divided by their goals. Groups of the public sector are obliged to serve the public and are usually not in direct competition with other groups to satisfy the same demand. They are not profit oriented and tend to provide services rather than goods. On the other hand, private companies usually focus on profit and try to overcome competing businesses to meet the same requirements. While private companies may have some humanitarian goals, their lower line is usually the profitability of business, not necessarily serve the public.

There are many different types of private enterprises that can be considered part of the private sector. Corporations, retail stores, restaurants and petrol stations are all common types of private enterprises. Non -profit organizations such as charity foundations or private schools are alsoUsually considered as part of the private sector unless they are created and maintained by government funds.

The public sector organization tends to focus on providing social services to the public, as stipulated by law or executive order. Public sector organizations include public schools, public health insurance, police and fire brigades. Public transport systems, road maintenance and military work are also usually under the auspices of the public sector.

Sometimes public and private sectoral services intersect and offer citizens a selection between relying on publicly provided organizations or paying bonuses for more flexible private services. For example, in the security industry, some people may decide to hire private security agents to protect the bank, business or residence. In this case, the use of public resources such as the police may be impractical because the public police are responsible for the whole public to make all efforts on Pthe fathers of one citizen.

different nations place different emphasis on the roles of public and private sectors. While some countries have a large public sector that provides a wide range of services, citizens often pay for these services in the form of high tax rates. On the other hand, those who have a large private sector can provide more opportunities to choose between providers, but may be subject to the whims of the financial market and be more difficult for low -income citizens.