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Karthikeyan

Public·12 members

Objectives of Public Sector Businesses


1. Financial Objectives

  • They try to meet profit targets set by the government.

  • The profit they make is either:

    • Reinvested back into the organisation, or

    • Given to the government, since the government is the owner.

2. Service Objectives

  • Their main aim is to provide essential services to the public.

  • They have to meet quality standards set by the government.

  • Examples:

    • Hospitals → need to meet healthcare quality goals

    • Schools → need to achieve education standards

    • Postal services & trains → must focus on punctuality and reliability

3. Social Objectives

  • Help create or protect jobs, especially in poor areas where private businesses may not operate.

  • Focus on improving society, not just making money.

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