PRIVATE SECTOR

The 'private sector' is fundamental part of the economy that is both run for profit and is not controlled by the state. By contrast, enterprises that are part of the state are part of the public sector; non-profit organizations are regarded as part of the voluntary sector.
A variety of legal structures exist for private sector business organizations, the most common of which is the limited company. However, there are many other structures available, such as partnerships and limited partnerships. A significant part of the private sector consists of individuals who trade directly, without being part of a company; these are known as sole traders.
Capitalism revolves primarily around the private sector controlling industry. The private sector is generally largest in capitalist and mixed economies.
The private sector employs the majority of the workforce in some countries. In some countries such as the People's Republic of China, the public sector employs most of the workers. ^[1]
Even in countries where the private sector is regulated or even forbidden, some types of private business continue to operate within the Black Market.
The private sector is also integrated into the workings of the public sector, with the use of outsourcing or government contracts.

Contents

See also

References

See also

★ Capitalism

★ Free enterprise

★ Public sector

★ Outsourcing

★ Military-Industrial Complex

★ Voluntary sector

★ Privatization

★ Nationalisation

★ Private law

★ Company law

★ Corporation

★ Private Finance Initiative

References

1. China’s private sector in shadow of the state Joe Zhang