what is the diffrernt between outsorcsing and privtization?

Answer 1

Outsourcing is where a company decides to have outside consultants undertake certain work (eg, accounting, staff selection), rather than have employees do it.
Privatisation is where a certain works done by a government department or utility (eg roadbuilding) are contracted out to private companies; or where a business formerly run by a Government body (eg, electricity supply) is sold (generally on a tender basis) to private industry.
Another form of privatisation is where the shares in a public listed company are bought by a private individual or group, and taken off the share trading market..

Answer 2

Outsourcing - the contracting out of work to other business that might otherwise have been performed within the organization. (letting other businesses do things within your business e.g. cleaning the office building)

Privatization - the transfer of public sector resources to the private sector (An example from Japan... The government owned Kokutetsu Railway company was "privatized" and its services were continued by Japan Railways which was in the private sector)

Its very different... btw shouldn't this question be put under another category?

Answer 3

Correct they are entirely two different things. The simplest distinction ->

OUTSOURCING -> you find an entity (individual or group) whose expertise are within the job or product you require.

PRIVATIZATION -> a government business is sold to an individual or group, for the purpose of taking-over / running the said business.

Answer 4

outsourcing - you pay a company to perform a task or work that is usually done 'in house'

privatisation - a term used when a government body sells off a part of itself to become a private company. an example is the uk electricity companies.