Demerits

Demerits But economists are generally agreed that governmental machinery. in the matter of running a business. compares very unfavorably with private management. The government manager’s tenure is fixed. He gets a fixed annual increment. and will get...

STATE ENTERPRISE

STATE ENTERPRISE In every country. there are many public undertakings run by Central or State Governments or local bodies. Postal and telegraph arrangements are generally under the Central Government: and public utility services like water supply. gas. electric...

Conclusion

Conclusion In spite of these shortcomings, it must be said that, in the absence of the joint – stock principle. industrial development and efficient exploitation of the natural resources of a country would not have been possible. It has proved to be a powerful...

Demerits

Demerits But there is the other side too. (i) The management is democratic only in theory: it is actually oligarchical. The directors are practically self – appointed, and they remain there as long as they choose. For practical purposes, the share –...

JOINT STOCK COMPANY

JOINT STOCK COMPANY The joint -stock company is undoubtedly the most important type of business organisation today. It seeks to remedy the disabilities and the handicaps of the partnership arising out of small financial resources and limited business talent. Merits...