3.1.1 Distinction between public and private sector organizations:

Question 1

Ownership and Control:

Answer 1

Explanation: Public sector organizations are owned and controlled by the government, while private sector organizations are owned by private individuals or entities.

Question 2

Profit Motive:

Answer 2

Point: Private sector firms aim to generate profits, while public sector organizations often provide services without a profit motive.

Example: A private hospital seeks profit, whereas a public health department focuses on public health services.

Question 3

Funding Source:

Answer 3

Explanation: Public sector organizations are funded through taxes and government budgets, while private sector organizations rely on investments, loans, and revenue.

Example: A public library is funded by taxpayers, while a private bookstore relies on customer purchases.