Lewis Worrall

Public VS Private sector:

Public sector
Public sectors are individuals and firms that are owned by the UK and local
governments such as the Halton Government.
 Made up of central government, local government, and businesses that are
owned by the government
 In the last twenty years the number of government-owned firms in the UK
has shrunk massively.
 Now, very few examples remain: for instance, the Royal Mail, schools.
With schools they get a yearly lump sum of money to budget around for example
Ormiston Bolingbroke Academy.
Private sector
Private sectors are individuals and firms that are owned by private individuals
these would include also these are separate from the UK government and local
governments.
 Sole Traders
Sole traders are people who are seen as both the owner and the business this
is good as all profits earned belong to them completely yet if the company
becomes bankrupt the owner will need to find the money for the bank instead
of the business as a whole for example food companies that supply food to
schools.
 Partnerships
A partnership is a company ran between 2 – 20 people and would share
responsibility for the business and will make decisions with a majority vote and
if it went bankrupt they would divide the debt between all of them. An
example of a very successful partnership would be WhatsApp that was bought
for £12.1bn in 2014 by Facebook another example would be the Carphone
warehouse that was first set up as a partnership.
Lewis Worrall

 Private Limited Companies(Ltd)

This is a type of company that offers limited liability, or legal protection for its
shareholders but that places certain restrictions on its ownership. Examples of
these would be Facebook, Ikea, agriculture giant Cargill, and candy maker
Mars.
Classifications:
 Primary – Using raw materials to gain a profit for example coal to create
power and then make people pay for the power created.
 Secondary – using raw resources to create another product for example
turning oil into plastics.
 Tertiary – These are services provided for example workers, doctors,
couriers and business consultants ECT.

Ormiston Bolingbroke Academy:

The school operates in the public sector as they are paid via the government and
get £7 million a year for all trips, stationary and salaries for all staff from the
teachers to the cooks and cleaners and all the bursaries for the sixth form. The
cook’s would use primary materials like bacon and eggs to make secondary
products such as food for the school. Secondary materials like computers, desks
and chairs ECT. The school is classed as a service provided by the government so it
is a tertiary based organization.
Jaguar:
Jaguar operates in a private sector meaning they are not directly involved with
the government, yet they would still have to pay taxes as they create large carbon
emissions and could get fined if they are not regulated. They would be seen as a
private limited company (Ltd) yet they are now partnered with the Chinese car
manufacturer Chery. Jaguar uses secondary resources provided by the suppliers
who used primary raw materials to make their parts, to manufacture their cars
and this would then be dispatched so this would then be classed as using tertiary
as they are using a delivery service.