The transfer of ownership, property or business from the government to the private sector is termed as privatization. The government ceases to be the owner of the entity or business.
In the privatisation process, somewhere it can be seen that a public traded company is taken over by a few people.
Here via a contract or franchise or lease or grant etc. the government keeps the ownership and the responsibility of an enterprise.
But the private company will handle the daily activities and deliver the product or service. The state will remain an active participant in this process.
Government can also hold the share but it would be a minority stackholder.
The aim of the privatisation is improve profitability and efficiency of public enterprises.
in private company employee is paid incentives on behalf of his/her service and work. Whereas the services provided in governmental control are good to an extent.
Through privatisation, government is free from most of the working resposibilities and it increases focus on administration and development of the country but some where government can keep an eye on the company.
But privatisation leads to rise in cost of the services in comparison to governmental services.
Eduindex News 
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