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Name a form of ownership that is represented by the South African broadcasting corporation (sABC) and outline four characteristics of this form of ownership

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Answer:

State-Owned Enterprise (SOE)

Step-by-step explanation:

South African broadcasting corporation (SABC) is a form of a state-owned enterprise. Characteristics of a state-owned enterprise include,

1. Financing

The government funds State-owned enterprises. It means that state corporations such as SABC are founded and run using public funds. A corporation is state-owned when fully financed by the government or where the state is the majority shareholder.

2. Managed by The Government

Government appointees manage State-owned enterprises. In some cases, state corporations are controlled and report directly to a government department.

3. Service objectives

A majority of state opened enterprises are formed to offer a specific service to the public. Although they have profit objectives, they differ from private enterprises in that the later are formed primarily for-profit motives.

4. Monopoly tendencies

Many state-owned corporations tend to operate as monopolies. They dominate the industry while denying or restricting private sector participation.

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