Which of the following is an example of a nationalised company?

Study for the Higher Business Management Test. Enhance your knowledge with multiple-choice questions, hints, and detailed explanations. Get fully prepared for your exam!

Multiple Choice

Which of the following is an example of a nationalised company?

Explanation:
Nationalisation means the government takes ownership or control of a private company. When the government bought shares in the Royal Bank of Scotland during the recession to prevent it from going bust, it gained government ownership in a private firm. That makes it an example of nationalisation, because a state entity now owns part of a company that was previously privately owned. The other scenarios don’t involve the state taking ownership: a privately owned bank expanding abroad remains private; a private retailer opening a new store is still private; a charity running a public service is not government-owned, even if it delivers public services.

Nationalisation means the government takes ownership or control of a private company. When the government bought shares in the Royal Bank of Scotland during the recession to prevent it from going bust, it gained government ownership in a private firm. That makes it an example of nationalisation, because a state entity now owns part of a company that was previously privately owned.

The other scenarios don’t involve the state taking ownership: a privately owned bank expanding abroad remains private; a private retailer opening a new store is still private; a charity running a public service is not government-owned, even if it delivers public services.

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