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Difficulty: MediumPrivatization, Commercialization, and Deregulation of Public Enterprises

Complete the statement below regarding public enterprise reform policies in Commerce.

Answer:A government policy that reorganizes public enterprises to generate profit and cover operational expenses through market-reflective pricing without receiving treasury subventions, while retaining complete state ownership, is known as 【commercialization】.

Answer

commercialization
Commercialization restructures public corporations to operate on commercial principles, charge market prices, and attain self-sufficiency without relying on government grants or subventions, all while retaining full government ownership.

Step-by-Step Solution

1
Examine the operational characteristics described in the reform policy.
The public enterprise must operate as a profit-driven business, set market-reflective prices, and absorb its own operating expenses without government subsidy.
Establishing financial self-sufficiency and profit orientation in a government entity defines commercial management.
2
Examine the ownership structure indicated in the statement.
The government retains complete state equity and ownership of the enterprise.
Because no equity or ownership shares are sold to private investors, the reform is commercialization rather than privatization.

Key Concept

Commercialization of Public Enterprises
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Topics

Privatization, Commercialization, and Deregulation of Public Enterprises

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