Statutory corporations enjoys autonomy in one hand

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#1

Statutory corporations enjoys autonomy in one hand and suffers from rigid structure on the other
hand. In context to it, give some merits and limitations of statutory corporations.


#2

Merits
(i) Autonomy Such corporations enjoy autonomy in its day-to-day operations as they are free from political interference by ministers and bureaucrats.
(ii) Economies of Scale A statutory corporation is generally large in size and enjoys * monopolistic powers. It can easily avail the economies of large scale operations.
Limitations
(i) Rigid Structure The constitution of a statutory corporation is rigid as one cannot change its objects and functions without amending the statute.
(ii) Lack in Flexibility As huge funds are involved a lot of political interference is there in * management of the corporation.