There are three main types of business sectors: private, public, and voluntary. The private sector is profit-driven and privately owned. It offers higher pay but can be more stressful and competitive. The public sector is government-owned and aims to provide public services rather than profits. It offers more job security but lower pay. The voluntary sector is nonprofit and aims to help communities through fundraising and grants. It can be personally rewarding but stressful due to fundraising pressures. In conclusion, the best sector depends on one's own motivations as each sector plays an important role in society.

1. TYPES OF BUSINESS
AN INSIGHT INTO HOW THREE DIFFERENT BUSINESS SECTORS OPERATE
CALLUM THOMAS - UNIT 207 DIGITAL PROJECT

2. TYPES OF BUSINESS?
Reading that at first glance, you may just assume that by types of business, I’m referring to their industry –
such as catering, finance, fashion and so on. However, I’m not. The type of business I am referring to is how
the business operates, There are three different sectors of work which all offer different types of work, and
all have different roles and offers at hand dependant on what sector you choose to work in.
These three sectors are:
 Private
 Public
 Voluntary
Whilst all have their benefits, one is no better than the other, as they all offer something that another will
not. Most people will argue that you will not be able to ever explain the differences between working in all
three unless you actually work within, however this presentation will give you the best chance at knowing
the difference – and what could be best for you.

3. PRIVATE SECTOR (AC 1.1)
Private Sector companies main drive and motivation is to increase profits. The forefront of the way they operate is to
drive profit growth, attract new customers and build on the existing relationships they share with current customers. A
drive in profit helps the companies to grow and develop; higher profits will assist in the development of new products
and services, in which would increase company size. In essence, this raises the needs for jobs and opens up new
opportunities for employment.
Features of a private sector organisation include…
 Privately owned and operated by an individual or group of individuals
 Their key motivation is to increase profits for the shareholders and owners of the company
 Funding for the company comes solely through the sales of goods and services
 These organisations are one in which are not owned by the state (sole traders, partnerships, public/private limited
companies etc.
Government-owned organisations can be sold off to shareholders or private companies and made into a Private Sector –
this is known as Privatisation.

4. ADVANTAGES OF PRIVATE SECTOR JOBS
Working in the Private Sector can have a whole range of benefits to the individual and company. Some of
these benefits include…
 The company has the opportunity to grow at sizes unimaginable
 Company growth also has a direct link to more job opportunities and faster progression
 Private Sector jobs typically pay higher than other sector jobs
 The prestige in working for the company – particularly if the company is of incredible status or high
calibre
 Less likely to be internal interruption through changes in the government etc.
Examples of Private Sector jobs include Dell, Toys ‘R’ Us, Aldi, New Look etc.

5. DISADVANTAGES' OF PRIVATE SECTOR JOBS
With advantages, come disadvantages. Some disadvantages of working in a Private Sector include:
 The environment can be incredibly stressful, as it will be filled with competitors after the same as you are
 Competitive working environment can cause less job security, as companies will wish to hire the best of
the best
 The benefits available to you are considerably lower/less significant compared to public sector job roles
 Workers rights are on occasions infringed upon, and you may not be treated how you would expect to
be
Whilst having a host of disadvantages, this doesn’t necessarily mean that Private Sector jobs are less
significant or desirable compared to public or voluntary sectors.

6. PUBLIC SECTOR (AC 1.2)
The Public Sector in some aspects operates the same way as a private sector would, however the main premise of the
organisation isn’t to increase profits, it’s more to increase service and create the best they can possibly create. Public
Sector is the largest employer in the UK, meaning that it would be a lot more likely or easier to get a job working in the
public sector compared to the private, simply due to the vast opportunities at hand.
Some features of the Public Sector include:
 Government owned companies and organisations
 Being government owned, it means they’re state funded – therefore, members of the public are owners
 There’s no initial aim to making profit, just to provide a public service and to build on this
 Funding is provided through lottery funding, taxes, grants and loans
Companies in which were private can be brought by the government and become a Public Sector – this is known as
Nationalisation. An example of a company which went through this was BT.

7. ADVANTAGES OF PUBLIC SECTOR JOBS
Due to the colossal side and constant funding, there are many benefits to public sector job roles – which
include…
 Job security tends to be stronger in Public Sectors, meaning you’re less likely to be fired (although not
impossible)
 Public Sector jobs are seen to be very generous with the benefits they provide their employees
 The atmosphere (bar some companies such as hospitals) have a very relaxed and calm atmosphere
 Some can see it as a good deed or personal gratification, as some industries are seen as a way of helping
the community
Examples of Public Sector organisations include the NHS and Public Services, Leisure Centres, Social
Services, Museums etc.

8. DISADVANTAGES’ OF PUBLIC SECTOR JOBS
However, some people are drawn away from working in the Public Sector, as there are disadvantages that
come with, such as…
 Lower pay compared to a Private Sector, due to their lust for high profits being a lot lower
 Fewer positions become available, whilst seen as some of the positions on offer can be very basic
 These jobs are seen as less flexible, for example in the NHS, where you will have to be available day and
night for the job
A lot of people are drawn away from Public Sector job roles due to the above; where you may see it as
dependant on the type of person you are. The NHS/Public Services is the most rewarding and offering to
knowledge out of most of the Public Sector jobs.

9. VOLUNTARY SECTOR (AC 1.3)
Last but by no means least comes the Voluntary Sector, or also known as Non-Profit Organisations. These
organisations sole purpose is to provide a service to the community without making a profit, with most of the
funding and money they gain from sales going back into the company to keep it running, or going into the
community to help it grow. The Voluntary Sector is typically the smallest out of the 3, where most companies in
todays society being more interested in profits and growth.
It’s a common misconception that these Voluntary Sector organisations are operated by the government,
however a lot of the time this isn’t the case, most will just receive aid from the government. Some features of the
Voluntary Sector include…
 They receive grants and aids from governing bodies and lottery funds
 Feature voluntary fundraiser activities
 Their aim is to not make profit, but to help out the community

10. ADVANTAGES OF VOLUNTARY SECTOR JOBS
Whilst you may look at the Voluntary Sector and not fully understand, it still hosts a lot of advantages, such
as…
 Voluntary Organisations tend to attract the most interesting people, more inclined to help out society
 Not noticeable, but unprecedented job growth is evident, as you can gain more and more responsibility
with roles
 Self-gratification in terms of doing good for society
 Skill sets learned can be vital in the future if you wish to switch sectors, it comes as a better view on your
resume
Examples of Voluntary Sector jobs include Oxfam, The Princes Trust, Big Issue, Citizens Advice etc.

11. DISADVANTAGES’ OF VOLUNTARY SECTOR JOBS
Disadvantages can come through Voluntary Sector organisations, which include…
 With there being no profit goals, it can be hard to spot the overall goal you’re aiming to achieve
 Working environment can be stressful, as your main role is to assist the community
 Failing to assist the community well can cause personal trauma, dependant on what organisation you’re
working in (i.e. citizens advice)
 Constant focus on fundraising can be hard, as it’s a lot easier to earn money through services compared
to asking
It’s hard to distinguish the benefits of organisations like this clearly, however you cannot argue that they
help keep the communities safer and a lot more loving to be around. This sector is typically for the people
with the heart to help out, rather than a person with the drive of getting a 6-figure salary.

12. CONCLUSION
Whilst all have their advantages and all have their disadvantages, it comes tricky to determine which sector
is better than the other. In essence, all sectors are vital within society and help us in our day to day.
The type of sector to work in all depends on the person at hand; it depends on the motivation behind work
and what you wish to achieve/gain from work. Whilst it’s not vital that you select one of three, you tend to
just fall into the role you’re best suited for.
The size of Private Sector jobs is ever-increasing, whereas the Public Sector will forever be here. And for the
Voluntary Sector, you’ll always find opportunities to work with the community.