Business Studies

To overcome the difficulties faced by public in public transport system, the government of India started the METRO project in which the government involved private sector participation to get the benefits of efficiency of private sector. The project was great success as lacs of people are enjoying the metro service to move from one place to other.
(a)  State the type of enterprise mentioned in above last.
(b)  Name the 'PPP' providing metro service in Delhi.
(c)  Give any two features of PPP.


SOLUTION
(a) The type of enterprise mentioned in the given para is Public Private Partnership
(b) The PPP that provides metro service in Delhi is the DMRC (Delhi Metro Rail Corporation)
(c) Two features of PPP are as follows:
  • Division of risk: The risk is divided between the private and public company.
  • Objective: Used for projects which is aimed at public welfare.
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