Identify the cause that have made public Sector Undertakings to realise that in order to survive and grow, they will have to be more efficient and generate their own resources for the purpose.

Loss of budgetary support to the public sector

The correct answer is option (2)- Loss of budgetary support to the public sector.

The cause that has made public Sector Undertakings realize that they need to be more efficient and generate their own resources to survive and grow is Loss of budgetary support to the public sector.

This is because, over time, the government has reduced its financial support to PSUs, forcing them to become more self-reliant. They need to be more efficient in their operations and generate their own revenue to remain viable and competitive in the market.

OTHER OPTIONS

• Market orientation refers to focusing on customer needs and preferences to drive business success.

• Necessity for Change- The necessity for change is a broad concept, which might include various factors like technological advances or changing consumer preferences.

• Increasing Competition- Increasing competition may push PSUs to be more efficient, but it is not the primary cause of their need to become self-sustaining.