The primary objective of establishing a public corporation is to provide essential services to the public rather than to maximize profit.
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The statement is true because public enterprises are set up by government acts to serve the public interest and provide social amenities rather than to maximize private profits.
Public enterprises are created by legislative acts primarily to ensure that critical public services and utilities are made available to all citizens at reasonable rates, placing social welfare ahead of profit maximization.
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Rationale and Features of Public Enterprises