Quote:
Originally Posted by bizaro86
The biggest reason businesses are perceived to have higher efficiency isn't because the private sector is magic. It's because the lowest efficiency operations in most sectors get competed into the ground and close, and their market share is taken by their more efficient competitors.
An inefficient government department is unlikely to lose its funding to a more efficient competitor.
|
Businesses also have the ability to choose the scope of their business. It's much easier to run efficiently with a narrow focus, compared to say healthcare, where you have to serve all 4 million citizens across dozens of specialized disciplines, and some services need to be 24/7. And of course healthcare is just one branch of many.
Furthermore, businesses can choose who they want to do business with - ie. they can fire customers who aren't worth dealing with. A lot of gov't services deal predominantly with the kinds of 'customers' that actual businesses would simply ignore.