What is the difference between a public enterprise and a private enterprise?

What is the difference between a public enterprise and a private enterprise Introduction: The Two Faces of Business Hello everyone, and welcome to today's video. When we think about the world of business, it's often divided into two major categories: public and private enterprises. These enterprises, while sharing the goal of generating profits, differ in several crucial aspects. In this video, we'll explore these differences, helping you gain a deeper understanding of the business landscape. Ownership and Governance: Who Calls the Shots? One of the primary distinctions between public and private enterprises lies in their ownership and governance structures. In a public enterprise, ownership is typically distributed among numerous shareholders, who hold shares of the company's stock. These shareholders elect a board of directors, responsible for making major decisions. On the other hand, in a private enterprise, ownership is often concentrated in the hands of a few individuals or entities. This concentrated ownership often translates to a more centralized decision-making process, with the owners having a significant say in the company's operations. Investment and Capital: The Funding Game When it comes to raising capital, public and private enterprises follow different avenues. Public enterprises, being publicly traded companies, can raise funds by issuing stocks or bonds to the general public.