Problems of Public Corporations

The productivity of Public Corporations is poor and inefficient. This is due to a number of factors among which are:

(i) Political Interference: The executiveThe executive, also referred to as the executive branch or executive power, is the term commonly used to describe that part of government which enforces the law and has overall responsibility... More or legislativeThe legislative branch of government is responsible for making laws within a country. Legislatures are made up of people called legislators who, in democracies, are elected by the country’s population More arm of government may interfere in the day-to-day management of Public Corporations.

(ii) Poor Management Of Resources: The Management personnel may not be efficient. It may be ineffective in the management and utilization of the available resources to achieve the goals of the Corporation.