“The Railways Tourism Policy ’06 lays a lot of importance on public-private partnership (PPP) in tourism products. “There is a huge potential for public-private partnership in rail-tourism services as there are 5m international tourists and 400m domestic tourists.”
Product super-customization is also a natural fallout of a free market scenario. Look at the number of tariff plans that private cellular phone operators provide! On the other hand, the government typically goes for a ‘one size fits all’ strategy that would be easy to execute and implement on a large scale, but not optimal for a customer. For instance, if I was running the Mumbai locals, I would probably add a couple of AC coaches to it, thereby passing on additional comforts to people who can afford it and use the additional funds to better services for other passengers!