Privatization
Privatization
Privatization
Presented by:
Murugesh Kumar.D
N
Likhith
Contents
Definitions.
Objectives.
Routes to privatization
Disinvestment.
Arguments against privatization.
7 sins of Privatization.
Conclusion.
Definitions:
Privatization is the incidence or process of transferring
ownership of a business, enterprise, agency or public service
from the public sector (government) to the private sector
(business). In a broader sense, privatization refers to transfer of
any government function to the private sector including
governmental functions like revenue collection and law
enforcement.
1.Sale to outsiders.
2. Management-Employee Buy-out.
3.Equal-access Voucher privatization.
4.Spontaneous privatisation.
Disinvestment
Obstacles
Selling of least Profitable Enterprises.
Undeveloped markets.
Arguments against privatization:
7 Sins of privatization
1. For the wrong reasons.
2. In the wrong time.
3. With non-transparent procedures.
4. Only to finance budget deficits.
5. Poor financial strategy.
6. Unrealistic labour strategies.
7. Political consensus.
Conclusion