Difference Between Commercialization and Privatization

Commercialization vs Privatization

Commercialization and privatization are two commonplace words or concepts having clear cut meanings. Hitherto free activity, when commercialized, becomes a source of income for some. On the other hand, privatization refers to limiting or annulling government control or interference in an activity and allowing private control to benefit individuals or corporations. Despite such clear cut difference, there are some who feel that there is much overlapping between commercialization and privatization, and hence cannot differentiate between the two. This article tries to highlight the features of both concepts to make the concepts clear to all the readers.

在世界各地，即使在当今的资本主义国家，政府也很常见将大部分资源保留在手中，并为人口的利益建立基础设施。直到后来，当管理人民公用事业的生产和分销变得过于麻烦，并为政府造成了损失，它决定取消许多活动。例如，在某些国家，民粹主义政府在由州持有的公司经营的过程中保留了他们控制的水和电力的供应。即使是银行的国有化，也可以在政府控制之下，以便它们成为履行政府政策的工具或工具。但是，在所有这样的国家中都观察到，政府将许多部门控制在其控制之下，最终，由于缺乏员工的竞争和工作保障，最终的公共部门公司变得停滞不前并造成了损失。这是政府出售其在公共企业并使政府公司私下的股份的阶段。这就是称为私有化的原因，实际上是指向私营公司和组织出售公共部门公司。

Commercialization is the practice of making an activity profitable that was totally free and not under anyone’s control. For example, there may have been a product that is natural and not sold because it is available to all. If someone uses his brain to make something worthwhile out of the naturally available substance in such a manner that he creates a need for that product, he has successfully created or commercialized a product. For example, there is a building housing artifacts from an ancient time, and it is free for all to come and see. Then suddenly the owner of the building decides to set up admission tickets to let people see all the items housed inside, he has commercialized the activity to benefit himself. The policy of capitation fee accepted by private colleges, to grant admission to students, is a process referred as commercialization of education.

The game of cricket was very popular among the masses in India. The board that controlled cricket in the country realized the potential of the game and commercialized it largely making it a money-spinner. The process of course benefitted the players as they started to earn much more than they did before commercialization of cricket.

What is the difference between Commercialization and Privatization? • Commercialization refers to the process of turning a free activity into a paid one or introducing a product that begins to sell whereas it was earlier free. • Privatization refers to taking government control in many activities and selling them to private enterprise.