Using examples that are purchased by both private and public

Using examples that are purchased by both private and public organizations (like uniforms, trucks, and budget-tracking software), weigh the advantages and disadvantages of doing business with the federal government,

Solution

Advantages

1. Prestige

For a business, Doing business with government can add prestige and visibility, and having Government client in your customer portfolio makes it easier to obtain private-sector clients in the future. Being able to include the federal, state or local government on a client list is a valuable marketing tool.

2. Low Financial Risk

If the any of the private customer gets into a financial difficulty, payments due to the company becomes be at risk. While partnering with the government, this risk is lessened as governments have revenues generated from taxes collected and also can borrow easily to meet their obligations.

Disadvantages

1. Political change can negate business

Since Control of Government changes with change in the people who handles the business affairs, this can lead to discontinuation of the business with the Government.

2. Slow Pace of Bureaucracy

Approval process within the Federal Government takes alot of time before the approval is given and work starts. This is due to the approval process setup that need approvals for every authority within the process that takes time.