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Distinguish Between the Following Strategic and Minority Sale - Economics

Distinguish Between

Distinguish between the following

Strategic and Minority sale

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Solution

(i)

Strategic Sale

Minority Sale

a)

Strategic Sale refers to the sale of 51% or more stake of a PSU to the private sector who bids the highest.

Minority Sale refers to the sale of less than 49% stake of a PSU to the private sector.

b)

The ownership of PSU is handed over to the private sector.

The ownership of PSU still remains with the government as it holds 51% of stakes.

  Is there an error in this question or solution?
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APPEARS IN

NCERT Class 12 Economics - Indian Economic Development
Chapter 3 Liberalisation, Privatisation and Globalisation: An Appraisal
Exercise | Q 6.1 | Page 53
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