, ▁personal ▁gain ▁of ▁the ▁decision - maker ▁( i . e . ▁" gra ft "), ▁rather ▁than ▁economic ▁ones . ▁Cor ruption ▁( or ▁principal – agent ▁issues ) ▁in ▁a ▁state - run ▁corpor ation ▁affect s ▁the ▁on going ▁asset ▁stream ▁and ▁company ▁performance , ▁whereas ▁any ▁cor ruption ▁that ▁may ▁occur ▁during ▁the ▁priv at ization ▁process ▁is ▁a ▁one - time ▁event ▁and ▁does ▁not ▁affect ▁on going ▁c ash ▁flow ▁or ▁performance ▁of ▁the ▁company . ▁ ▁Account ability : ▁man agers ▁of ▁priv ately ▁owned ▁companies ▁are ▁account able ▁to ▁their ▁own ers / share hold ers ▁and ▁to ▁the ▁consumer , ▁and ▁can ▁only ▁exist ▁and ▁th rive ▁where ▁needs ▁are ▁met . ▁Man agers ▁of ▁public ly ▁owned ▁companies ▁are ▁required ▁to ▁be ▁more ▁account able ▁to ▁the ▁bro ader ▁community ▁and ▁to ▁political ▁" st ake hold ers ". ▁This ▁can ▁reduce ▁their ▁ability ▁to ▁directly ▁and ▁specifically ▁serve ▁the ▁needs ▁of ▁their ▁customers , ▁and ▁can ▁bias ▁invest ment ▁dec isions ▁away ▁from ▁otherwise ▁prof itable ▁areas . ▁ ▁Civil - li ber ty ▁concerns : ▁a ▁company ▁controlled ▁by ▁the ▁state ▁may ▁have ▁access ▁to ▁information ▁or ▁assets ▁which ▁may ▁be ▁used ▁against ▁diss idents ▁or ▁any ▁individuals ▁who ▁disag ree ▁with ▁their ▁policies . ▁ ▁Go als : ▁a ▁political ▁government ▁tends ▁to ▁run ▁an ▁industry ▁or ▁company ▁for ▁political ▁goals ▁rather ▁than ▁economic ▁ones . ▁ ▁Capital : ▁a ▁priv ately ▁held ▁companies ▁can ▁sometimes ▁more ▁easily ▁raise