MNC's are in a position to exercise massive control on an economy because of the following reasons:
(a) MNC's are characterised by possessing huge financial resources. These huge financial resources give them economic power in the economy. They can afford to survive even during losses as well.
(b) MNCs possess technological superiorities and are capable of conform to international standards and quality specifications.
(c) They make use of aggressive marketing strategies for their products.
(d) They have an established brand image in the market.

A Government Company is a company in which not less than 51% of the paid up share capital is held by the central government; or state government or jointly by both. Hindustan Insecticides Ltd., State Trading Corporation of India, Hindustan Cables Ltd.etc are some of the examples.
Features
1. It is registered or incorporated under Companies Act.
2. It has a separate legal entity.
3. Management is regulated by the provision of Companies Act.
4. Employees are recruited and appointed as per the rules and regulations contained in Memorandum and Articles of Association.
5. The Government Company obtains its funds from government shareholdings and other private shareholdings. It can also raise funds from capital market.
Merits
1. It can be easily formed as per the provision of Companies Act. Only an executive decision of government is required.
2. It enjoys autonomy in management decisions and flexibility in day to day working.
3. It can appoint professional managers on high salaries.
Limitations
1. It suffers from interference from government officials, ministers and politicians.
2. It evades constitutional responsibility, which a company financed by the government should have, as it is not directly answerable to Parlament.
3. The board usually consists of the politicians and civil servants who are interested more in pleasing their political bosses than in efficient operation of the company.

It is established under a special act passed in parliament or state legislative assembly. Its objectives, powers and functions are clearly defined in the Statute fact. Examples include Unit Trust of India, Life Insurance Corporation of India, Steel Authority of India Limited etc.
Features
1. It is established under a special act which defines its objects, powers and functions.
2. It has a separate legal entity.
3. Its management is vested in a Board of Directors appointed or nominated by the government,
4. It has its own staff, recruited and appointed as per the provisions of act.
5. This type of enterprise is usually independently financed. It obtains funds by borrowing from government or from public or through earnings.
6. It is not subject to same accounting and audit rules which are applicable to Government Department.
Merits
1. Internal autonomy: It enjoys a good deal of autonomy in its day to day operations and in free from political interference.
2. Quick decisions: It can take prompt decisions and quick actions as it is free from the prohibitory rules of government.
3. Parliamentary control: Their performance is subject to discussion in Parliament which ensures proper use of public money
4. Efficient management: Their Directors and top Executives are professionals and experts of different fields.
Demerits
1. Flexibility is for name sake only: In reality, there is not much operational flexibility. It suffers from lot of political interference.
2. Lack of profit motive: Usually they enjoy monopoly in their field and do not have profit motive due to which their working turns out to be inefficient:
3. Corruption: Where there is dealing with public, rampant corruption exists. Thus public corporation is suitable for undertaking requiring monopoly powers e.g., public utilities.

Public private partnership also called PPP or p3 is a contract between government and private business firms for the provision of public assets and/or public services.
Merits
(a) Inflow of private investment: PPP attracts private investment which is of utmost importance to undertake such essential projects.
(b) Increased efficiency: Involvement of private sector will bring efficiency in implementation of projects and cut down cost and time.
(c) Innovation: It helps in bringing innovative design and constructive practices.
(d) Better economic viability: Involvement of experienced and creditworthy sponsors and commercial lenders can increase economic viability of the projects
(e) Risk sharing: The structuring of a PPP project allocates the risks to the agency which can handle it most suitably.
Demerits
(a) Increased cost: Cost of production increases for the government as private sector also demands its profit share for the money it invests.
(b) Control gets divided: Control gets divided between private and public sector. Government remains involved in all stages and private sector, is responsible for more commercial functions like project design, construction, finance and operations.

Differences between Statutory Corporation, Departmental Undertaking and Government Company are summarized in the table given below:

A joint venture is a business agreement in which two or more organisations come together for mutual benefits and gains. Business organisations in a joint venture share not only the physical, financial and human resources available but also the risks and profits of the business. The following are some of the benefits for a company entering into a joint venture.
(a) Increased resources and capacity: In a joint venture, the resources and operational capacities of the individual business are pooled. A joint venture is able to expand and grow better than an individual business enterprise.
(b) Access to new markets and distribution networks: Entering into a joint venture with an enterprise located in another region widens the market base for each of the individual enterprises.
(c) Access to technology: Through a joint venture, a company can acquire new and modern technology more easily with less investment and less time and effort compared with the technology that individual enterprises may be able to acquire working independently.
(d) Innovation: A joint venture, especially with a foreign partner, gives a company access to new ideas and technology which help in the innovation of new products. These new products enable businesses to sustain in today’s complex and competitive market.
(e) Low cost of production: The costs of raw material and labour, etc., are very low in India compared to other countries. Thus, international corporations that enter into joint ventures with Indian companies reap huge benefits.
The Public Private Partnership is that model of partnership wherein the tasks, obligations, responsibilities and risks are optimally allocated among the public and the private partners. In a PPP, the public partner may include government entities, such as ministries, government departments, municipalities, etc., whereas the private partner may include local or foreign businesses or investors with relevant technical or financial expertise. 
The key benefits of PPP are as follows:
(1) Sharing of risk: With the public and the private entities, both coming together for the construction and designing of projects, the risks are shared and thus reduced.
(2) Accelerating project: The public and private partnership ensure that the project work is accelerated by sharing the tasks and responsibilities with the aim of completing the project on time.

Global enterprises are considered superior to other business organizations because it has following advantages which other business organizations may not have.
1. Huge capital resources: MNCs possess huge capital resources and they are able to raise lot of funds from various sources.
2. International operations: A MNC has production, marketing and other facilities in several countries.
3. Centralized control: MNCs have headquarters in their home countries from where they exercise their control over all branches and subsidiaries. It provides only broad policy, framework to them and there is no interference in their day to day operations.
4. Foreign collaboration: Usually they enter into agreements relating to sale of technology, production of goods, use of brand name etc. with local firms in the host country.
5. Advanced technology: These organisations possess advanced and superior technology which enable them to provide world class products and services.
6.Product innovations: MNCs have highly sophisticated research and development departments. These are engaged in developing new products and superior design of existing products.
7.Marketing strategies: MNCs use aggressive marketing strategies. Their brands are well known and spend huge amounts on advertising and sale promotion.

It is difficultfor a public sector undertaking to competewith a private sector undertaking in terms of profits due to following reasons:
(a) Motive of public sector is not profit: Public sector works not for profit but for social welfare. It gives first priority to social welfare then it is almost impossible for it to compete with private sector enterprise on the basis of profit which mainly works for profit only.
(b) Public sector takes care of strategic industries: Public sector invests in strategic areas even when these industries have low return generating capacity and long gestation period. These industries do not give monetary returns but if we consider their return in development of our economy otherwise their return is really high.
(c) Public sector provides many facilities free of fost to the weaker section of society: We can't expect a government hospital or a government school to generate profits. Many public sector undertakings provide many facilities for free or at a very low cost due to the benefits that it gives to other sectors of the society.
It is difficult for a public sector undertaking to compete with a private sector undertaking in terms of efficiency due to following reasons:
(a) Dependence on authorities for taking minor decisions: Public Sector undertakings followa protocol for everything. It leads to delay in decision making and inefficiency in operations.
(b) Job security: Workers of Public Sector enjoy job security. It reduces their performance as they know that in spite of bad performance there is no fear of losing job.
(c)Red tapism and bureaucracy: In public sector undertakings there is red tapism and bureaucracy. It leads to inefficiency in operations.

Before 1991, public sector was supposed to perform the following role in India:
(a) Rapid Economic Development: It was required to make efforts so that the rate of economic development accelrates.
(b) Provision of Infrastructure: Another expectation from public sector was to provide infrastructure in the form of better roads, more hospitals, more schools, better irrigation facilities etc.
(c) Sound Industrial Base: We also needed public sector to develop a sound industrial base because Private Sector either did not have huge capital required for these or were not interested in this sector as they had a long gestation period.
(d) Development of Backward Regions: Public sector also aimed at developing backward regions as it is necessary for the balanced development of a country. Private sector being profit minded does not take interest in investing in backward regions.
(e) Generation of Surplus: Another expectation from public sector was to generate a surplus that could be used for investment in other sectors whereby the growth rate could be accelerated.
(f) Creation of Employment Opportunities: Public sector also played its role in creating employment opportunities in organized sector so that poverty can be reduced and standard of living can be enhanced.
(g) Control of Monopoly and Restrictive Trade Policies: Public sector also aimed at controlling monopoly and restrictive trade policies. Otherwise few private industrialists would have gained extreme economic power. It could be harmful for the nation as a whole.
(h) Serving of Strategic National Interests: Public sector also plays its role in serving strategic national interests. They provide law and order, administrative services, police, defence, and many infrastructural facilities even when they are not given any profit as such in monetary terms.

Development of a country originates from industrial development. Industrially developed countries are also economically prosperous. The 2^nd Five Year Plan also called the Mahalnobis Model lead to the promotion of heavy and key industries in India. The period 1950 onwards witnessed development of infrastructure, research and development, establishment of large scale along with many small scale industries, co-existence of public and private sector enterprises, growth of both consumer and capital goods industries. The industrial sector made a significant contribution to agriculture and trade.
The industrial policy plays a key role in influencing the foreign trade policy, fiscal policy, the monetary policy, the economic policy of the country. Government of India declared its 1^st Industrial Policy Resolution (IPR) in 1948. It divided the industries into four categories.
1. Industries that were to be state monopolies. These were limited to atomic energy, arms and ammunition and railways (3 in all).
2. Basic industries in which the state would have the exclusive right to new investment- 6 industries were included in this - iron and steel, ship building, mineral oils, coal, aircraft production and telecommunication equipments.
3. Industries of national importance that the state might regulate and license in consultation with state government. 18 industries were placed in this category.
4. All other industries that would be opened to the private sector without constraints. IPR 1948 remained in force till 1956. Two developments had taken place. One; the first plan which was initiated in 1951 was completed. Second, Parliament accepted socialistic pattern of society. This led to IPR 1956.
Special features of IPR 1956 were as follows:
1. Specific and all important roles assigned to the public sector - all industries were classified into 3 groups. These groups were called schedule A, B, C.
Schedule A - Exclusive responsibility of state. There were 17 industries in this.
Schedule B - Progressively state owned - 12 industries.
Schedule C - Generally left to private sector. The state reserved the right to enter this if need be.
2. Protection to cottage and small scale industries.
3. Cautious approach towards foreign capital.
IPR 1956 remained the basis of industrial policy till 1991.