Jawaharlal Nehru Technological University Hyderabad B. Pharmacy IV Pharmacy Administration Previous Question Paper (July-2021 - R17)

A Sole Proprietorship is a business owned, managed, and controlled by a single individual who bears all risks and receives all profits. It is easy to form with minimal legal formalities, offers direct control, and ensures complete secrecy, but the owner faces unlimited liability and limited capital resources.

A Partnership is an association of two or more persons who agree to combine their financial resources and managerial skills to carry on a business and share profits. Governed by a partnership deed, it allows for larger capital and shared expertise; however, partners face unlimited liability and potential for internal conflicts regarding decision-making.

Public Enterprises are business organizations owned, managed, and controlled by the central, state, or local government to provide essential services and promote economic development rather than just maximizing profit.

The primary types include:

• Departmental Undertakings: These are extensions of government ministries (e.g., Indian Railways). They are financed through the budget, managed by civil servants, and subject to direct parliamentary control.
• Public Corporations (Statutory Corporations): These are autonomous bodies created by a special Act of Parliament (e.g., LIC, RBI). They have a separate legal entity, financial independence, and operational autonomy.
• Government Companies: These are registered under the Companies Act, where the government holds at least 51% of the paid-up share capital (e.g., BHEL, SAIL). They function like private companies but are accountable to the government.