Economics » Business Organisations » Public Enterprises

Problems of Public Enterprises

Problems of Public Enterprises

  1. Too much political interference in their operations is counter-productive and worrisome.
  2. They are not profitable.
  3. Their large sizes produce administrative problems which make control difficult.
  4. Lack of privacy.
  5. Corrupt practices of the officials often result in inefficient management.
  6. There is excess bureaucracy, and this makes decision-making slow.
  7. Lack of competition causes inefficiency.

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