Crossword Genius

Private sector that is failing (8)

Ross

I believe the answer is:

esoteric

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'private' is the definition.
(associated in meaning)

I don't understand the rest of the clue.

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(Other definitions for esoteric that I've seen before include "Secret, mysterious" , "Aimed at a few" , "Intended for the few" , "known to a few" , "exclusive" .)

I've seen this clue in The Guardian.
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