SSC MTS EXAM

Detailed explanation-1: -The private sector is the part of the economy that is run by individuals and companies for profit and is not state controlled. Therefore, it encompasses all for-profit businesses that are not owned or operated by the government.

Detailed explanation-2: -A private company is formed by a small number of shareholders who come together for a social cause or profit motive. The shares of a private company are not traded on a public stock exchange. The common types of private companies include sole proprietorships, partnerships, and limited liability companies.

Detailed explanation-3: -No, public sector companies cannot compete with the private sector in profit and efficiency due to following reasons: Motive: The main motive of private sector is to earn profit and, whereas the main motive of public sector is to provide services to public.