Nationalization | Privatization | Commercialization
Nationalization: This is the way the government takes over the ownership and control of an industry from the private individual by bringing it to the management of the government. In a situation like this compensation is not paid to the former owner of the industry by the government that takes over.
Commercialization: This is the way the government-owned enterprises become more efficient and make more profit.
Privatization: This is the way of transferring the management and ownership of companies from the public sector to the private sector for economic efficiency. It involves and promotes private sector participation. It can be partial or full ownership.
Objectives of Privatization
1. To promote the development of private enterprises
2. In order to reduce the non-productive investment in the public sector
3. For improvement in the area of operation and supervision
4. To achieve an increase in the participation of citizens in the country’s economic activities.
5. To discourage bureaucratic problems in the management of the sector
1. Outline the roles of industrialisation in growth of the economy
2. What are the challenges facing West African countries in order to promote indigenisation