State-owned enterprise

Crown corporationGovernment-owned corporationstate-ownedparastatalState ownedState-owned companystate enterprisePublic Sector Undertakingstate-owned enterprisesGovernment-owned
A state-owned enterprise (SOE) is a business enterprise where the government or state has significant control through full, majority, or significant minority ownership.wikipedia
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Business

for-profitenterprisefirm
A state-owned enterprise (SOE) is a business enterprise where the government or state has significant control through full, majority, or significant minority ownership.
In 2003, for example, the People's Republic of China modeled 80% of its state-owned enterprises on a company-type management system.

State ownership

state-ownedpublic ownershipstate owned
Next, it is contestable under what circumstances a SOE qualifies as "owned" by a state (SOEs can be fully owned or partially owned; it is difficult to determine categorically what level of state ownership would qualify an entity to be considered as state-owned since governments can also own regular stock, without implying any special interference).
Public ownership can take place at the national, regional, local, or municipal levels of government; or can refer to non-governmental public ownership vested in autonomous public enterprises.

Corporatization

corporatisedcorporatisationcorporatized
The act of turning a part of government bureaucracy into a SOE is called corporatization.
The result of corporatization is the creation of state-owned corporations (or corporations at other government levels, such as municipally owned corporations) where the government retains a majority ownership of the corporation's stock.

Municipally owned corporation

municipalmunicipally ownedprovincially- or municipally-owned corporations
First, it is debatable what the term "state" implies (e.g., it is unclear whether municipally owned corporations and enterprises held by regional public bodies are considered state-owned).
The causes and effects of municipally owned corporations are posited to be different from those of state-owned enterprises.

Natural monopoly

natural monopoliesinformation monopolymonopolist
SOEs are common with natural monopolies, because they allow capturing economies of scale while they can simultaneously achieve a public objective.
A wave of nationalisation across Europe after World War II created state-owned companies in each of these areas, many of which operate internationally bidding on utility contracts in other countries.

Nationalization

nationalisationnationalisednationalized
In Western Europe and Eastern Europe, there was a massive nationalization throughout the 20th century, especially after World War II.
A 2018 Stanford study of Chinese firms found their State-owned enterprises (SOEs) to be significantly less productive, aligning with the general consensus that private firms are more efficient.

Electric power industry

powerpower companyelectrical power industry
Typical sectors included telephones, electric power, fossil fuels, railways, airlines, iron ore, media, postal services, banks, and water.
The industry is generally heavily regulated, often with price controls and is frequently government-owned and operated.

Lanka Electricity Company

Lanka Electricity Company (Private) Limited
A notable example is the Sri Lanka Ceylon Electricity Board Lanka Electricity Company (Private) Limited, which the Sri Lankan government operates.

Saudi Aramco

ARAMCOArabian American Oil CompanyArabian-American
A notable example is the Saudi Arabian national oil company, Saudi Aramco, which the Saudi government bought in 1988, changing its name from Arabian American Oil Company to Saudi Arabian Oil Company.

Ceylon Electricity Board

CEBelectricity
A notable example is the Sri Lanka Ceylon Electricity Board Lanka Electricity Company (Private) Limited, which the Sri Lankan government operates.

Public policy

public affairspublic policiespolicy
While they may also have public policy objectives (e.g., a state railway company may aim to make transportation more accessible), SOEs should be differentiated from government agencies or state entities established to pursue purely nonfinancial objectives.

Railway company

railway companiesrailroad companyrailroad companies
Typical sectors included telephones, electric power, fossil fuels, railways, airlines, iron ore, media, postal services, banks, and water. While they may also have public policy objectives (e.g., a state railway company may aim to make transportation more accessible), SOEs should be differentiated from government agencies or state entities established to pursue purely nonfinancial objectives.

Stock

equitiesequityshares
Next, it is contestable under what circumstances a SOE qualifies as "owned" by a state (SOEs can be fully owned or partially owned; it is difficult to determine categorically what level of state ownership would qualify an entity to be considered as state-owned since governments can also own regular stock, without implying any special interference).

Commonwealth realm

Commonwealth realmsrealmsCommonwealth
In the Commonwealth realms, particularly in Australia, Canada, New Zealand, and the United Kingdom, country-wide SOEs often use the term "Crown corporation", or "Crown entity", as cabinet ministers (Ministers of the Crown) often control the shares in them.

Crown entity

Crown entitiesCrown agencyCrown agent
In the Commonwealth realms, particularly in Australia, Canada, New Zealand, and the United Kingdom, country-wide SOEs often use the term "Crown corporation", or "Crown entity", as cabinet ministers (Ministers of the Crown) often control the shares in them.

Minister of the Crown

ministers of the Crownministerministers
In the Commonwealth realms, particularly in Australia, Canada, New Zealand, and the United Kingdom, country-wide SOEs often use the term "Crown corporation", or "Crown entity", as cabinet ministers (Ministers of the Crown) often control the shares in them.

Corporation

corporatecorporationsincorporated
The term "government-linked company" (GLC) is sometimes used to refer to corporate entities that may be private or public (listed on a stock exchange) where an existing government owns a stake using a holding company.

Government

Form of governmentgovernmentsgovernmental
The term "government-linked company" (GLC) is sometimes used to refer to corporate entities that may be private or public (listed on a stock exchange) where an existing government owns a stake using a holding company.

Holding company

holdingholding companiesparent company
The term "government-linked company" (GLC) is sometimes used to refer to corporate entities that may be private or public (listed on a stock exchange) where an existing government owns a stake using a holding company.

Demerit good

de-merit good
For that reason, SOEs primarily operate in the domain of infrastructure (e.g. railway companies), strategic goods and services (e.g. postal services, arms manufacturing and procurement), natural resources and energy (e.g. nuclear facilities, alternative energy delivery), politically sensitive business, broadcasting, banking, demerit goods (e.g. alcoholic beverages), and merit goods (healthcare).

Alcoholic drink

alcoholic beveragealcoholalcoholic beverages
For that reason, SOEs primarily operate in the domain of infrastructure (e.g. railway companies), strategic goods and services (e.g. postal services, arms manufacturing and procurement), natural resources and energy (e.g. nuclear facilities, alternative energy delivery), politically sensitive business, broadcasting, banking, demerit goods (e.g. alcoholic beverages), and merit goods (healthcare).

Merit good

For that reason, SOEs primarily operate in the domain of infrastructure (e.g. railway companies), strategic goods and services (e.g. postal services, arms manufacturing and procurement), natural resources and energy (e.g. nuclear facilities, alternative energy delivery), politically sensitive business, broadcasting, banking, demerit goods (e.g. alcoholic beverages), and merit goods (healthcare).

Spillover (economics)

spillover effectspillover effectsspillovers
When nascent or 'infant' industries have difficulty getting investments from the private sector (perhaps because the good that is being produced requires very risky investments, when patenting is difficult, or when spillover effects exist), the government can help these industries get on the market with positive economic effects.

Transaction cost

transaction coststransaction cost economicsTransaction cost theory
Conversely, they might be detrimental because they reduce oversight and increase transaction costs (such as monitoring costs, i.e., it is more difficult and costly to govern and regulate an autonomous SOE than it is the public bureaucracy).

Western Europe

WesternWestern EuropeanWest European
In Western Europe and Eastern Europe, there was a massive nationalization throughout the 20th century, especially after World War II.