How Can Public Pnterprise Play A Vital Role For Its Country's Betterment?

Role the Public Enterprises can play in Under-developed Countries:
              (1) By creating social and Economic Overheads.
Only state can provide educational facilities and technical training, medical aid and public health measures and develop irrigation and means of transport. All which are indispensable for economic growth.  
             (2) By Building basic heavy Industries.
It is beyond private enterprise is to develop basic heavy industries like iron and steel, heavy electrical and heavy engineering industries.

              (3) By Optimum Allocation of Resources.
Private enterprise is notorious for misallocation of the country's resources lured by profit motive. Public enterprise, which is guided by social gain rather than private profit, is needed to correct this tendency and help in bringing about an optimum allocation of resources.

             (4) Ensuring Balanced Regional Growth.
State, as a guardian of people's welfare, takes special pains to develop backward regions. For this purpose, industrial units are deliberately located in backward areas. In this way, regional balanced development is brought about.
             (5) Utilising Surplus Labor for capital formation.  
The public enterprises favourably located can drain out from the rural areas surplus labor in the form of disguised unemployment and use it more productively.
             (6) Creating more Surpluses.   
The profits of public enterprises are a good source of finance for economic development.