The state-owned post office is to be privatized.
a). How might its business objectives differ following a move from the public to the private sector?
b). Do you think this change will benefit post office customers? Give reasons for your answer.
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Business Studies- Help Please?!?
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Busienss in the public sector are not so much interested in making profit but providing a service paid for by the tax payer. They have to follow detailed rules to ensure that they remain fair and spend tax money correctly.
So if the post office moved from the private to public sector they should now concentrate on providing a service so, prices could be lower since there isn’t a profit margin involved, but that doesn’t mean service level will improve because everything generally takes longer in the public sector due to bureaucracy and long chains of command when it comes to decision making.