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The Functioning of Virtual Enterprises in the Modern Circumstances

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Author(s): T. Lepeiko | A. Balanovich

Journal: Economics of Development
ISSN 1683-1942

Volume: 55;
Issue: 3;
Start page: 61;
Date: 2010;
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Keywords: virtual enterprise | organizational structure | forms of organization | management tion virtual enterprise system

ABSTRACT
The speed of response to the efficient market changes is one of key factors of the competitiveness in the information economy. The development of information technologies, the changes of the competitive situation in the market and more particular speciality in the fields of production and services cause forthcoming of new forms of running a business. One of such forms is a virtual enterprise, more developing both overseas and in Ukraine.The questions of organizing and functioning of different types of virtual enterprises are considered in this article.The analysis showed that they possess both advantages (high speed of interaction, absence of barriers for entry into the market, possibility of reducing the costs) and disadvantages (insufficient relationship among enterprises, self-sufficiency and particular speciality of members of the network). The virtual enterprise is based on forming of a single technological-organizational and informational environment at the expense of temporary joining of resources of different enterprises. It is characterized by such properties as decentralization, distribution and availability of mechanisms of flexible forming new organizational structures, ability to fast adapt to changing demands of the market, self-control and self-organization, coordination and cooperation on basis of concerted with business partners management of business processes and resources. The derived results allowed drawing a table of the evaluation rates of the virtual enterprise’s activity of in terms of cooperation.

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