Types of Public Enterprises

There are majorly three types of public enterprises:

Departmental Organization

When a certain public enterprise is managed by a department, the functions of the enterprise is as one of the government departments and some important examples include telegraphs, broadcast etc. They are selected on the basis of civil service exams.

Public Company

The Public Company is born after the approval of a certain special act by the government which defines the powers, scope of the functions and also its privileges. They are capable of being financial stable, and are formed by capital financing.

Government Company

Government company are those which operate like a limited liability company and the government owns all or parts of its share, equal or sometimes greater than 51% and this organisation, most of the directors are appointed by government.

Public Enterprises and Their Structures: A Public Enterprise refers to a system that is made of autonomous or semi-autonomous enterprises, which are controlled either by the state or by the national government. These enterprises were mostly built to help the inhabitants of the state with commercial as well as industrial activities. This article tries to highlight what are public enterprises and also their structures.