Public sector organisations are owned by the government on behalf of the people and include government departments, public corporations, and local authorities. Public corporations are commercial enterprises under direct government control that employ their own staff and manage their own budgets. Reasons for establishing public corporations include avoiding duplication of services, setting up essential services that may not be profitable, gaining benefits of large scale production, and controlling important industries. Reasons for privatising some public corporations were that some were poorly managed and a drain on public funds, and it was believed privatisation could make industries more competitive.