Integration processes at the intercorporation level: the definition and approaches to performance evaluation

The objective of the research was to develop theoretical and methodological basis for evaluation of the integration processes at the intercorporation level. The object of our research is the system of organizational forms and relations that are shaped in the process of integration of economic agents in terms of functioning and development of the integrated structures in the conditions of globalized economy. The article specifies the definition of “companies integration” at the intercorporate and intercorporate levels as extension and reinforcement of interrelation and cooperation of incorporated and unincorporated businesses for the sake of more efficient use of the competitive advantage, completion of the missing components and acquiring the synergetic effect; it formulates a concept-based approach to performance evaluation of integration processes based on the synergetic effect supported by the idea that it should be considered in a broader sense than usual and that the factors to have been reviewed separately should be taken into account..

Crisis of the Management Paradigm-Is there light at the end of the tunnel?

This paper attempts to rethink the development of management theory in its classical format, to understand the fundamental causes of a critical attitude to its findings and allegations and justify the conceptual continuum, in which it is possible to achieve a public consensus on the model of knowledge on the management in socio-economic systems. A comparative analysis of existing management paradigms and methodological concepts of management was carried out, showed that the basic assumption that limits the development of management theory is the assumption that the organization is a closed system. In fact, none of the socio-economic system can only be developed, but also exist without communion with the external environment. Authors think that a context-oriented management concept may be the answer to many questions to the management theory today

The Typology of Organizational Forms of Companies' Integration

The objective of this work is to study the nature of economic and organizational processes that underlie the integration of companies. We believe that the lack of understanding of that nature can lead to surprising results as regards its purposes and in terms of costs and an expected effect of these. To achieve the purpose, a taxonomic analysis of 10 known organizational forms the companies' integration was conducted, for which at the beginning it was required to justify the characteristics that distinguish one form from another and set their domain of definition. The work provides an explanation of the characteristics chosen for taxonomic analysis as well as an interpretation of their values. The results show that despite its apparent diversity all know organizational forms of integration tend to be classified in three types: cooperative, corporate and combination types of companies' integration. In the basis of such types of forming there are processes of business collaboration, concentration and combination correspondently

Business Uncertainty As A Factor of A Corporate Strategy

The company's development strategy in modern economic and managerial science is viewed primarily as a phenomenon associated with intra-firm dynamics. All attention is focused on how the organizational and economic structure of the company is changing and what economic effect this leads to. The obvious fact, however, is that changing the way a firm "enters" into its business space as a result of implementing a chosen development strategy simultaneously with intra-firm changes leads to shifts in the system of relations in its external environment, changing the conditions for the formation of the final value and the structure of the value chain as a whole. We believe that not the least role in determining the development strategy of the company is played by its desire to make achieving the target business result more definite. In this article, we would like to show how one can assess the change in the degree of uncertainty in the process of projecting corporate strategy

Цифровые компании: понятие, масштабы и особенности транснационализации

The goal which is set in this article is to investigate the largest international companies, detect the tendencies of their development on the modern stage. First of all, there was defined the terminology which touches upon the largest companies, also there was conducted the research of the complexity of their corporate structure and scales of their activity. The collected data proved the conclusion that the size of largest multinational companies (MNC) of the world is comparable with the economic indicators of many countries, and these companies have a great impact on the world economy. In the process of the research the structural changes in the largest MNCs were defined: in particular, the increase of the share and the role of the high-tech and digital companies; significant impact of the state participation in the largest corporations’ activity. Moreover, the significant changes in the structure of transborder operations and exchange of goods, services and factors of production were defined. From the authors point of view, the process of transnationalisation of the largest companies will continue but in the sphere of international production and factors of production exchange there will be a gradual shift from international commercial operations with the capital export in the form of FDI to the operations on the contract basis.Статья посвящена исследованию цифровых компаний и выявлению особенностей их транснационализации. Прежде всего, в статье определена терминология, касающаяся компаний этой сферы, дана их классификация, проведено исследование масштабов деятельности крупнейших цифровых компаний и их географического распространения. В ходе исследования были выявлены особенности транснационализации деятельности этих компаний, к которым, в первую очередь можно отнести следующие: изменение роли прямых иностранных инвестиций, поскольку цифровая экономика позволяет международным компаниям работать в глобальном масштабе и действовать на внешних рынках практически без физического присутствия, необходимость ограниченного объема зарубежных активов для ведения бизнеса за рубежом: чем активнее МНК строят свои производственные процессы на базе интернета, тем больше разрыв между зарубежными доходами и иностранными активами, концентрация инвестиций цифровых компаний, их штаб-квартир и зарубежных филиалов в нескольких развитых странах, особенно в США. Цифровизация приводит к изменению содержания международных коммерческих операций, используемых компаниями: возникают совершенно новые многонациональные бизнес-модели, происходит радикальная трансформация международных операций. Внедрение цифровых технологий коренным образом изменяет характер международной деятельности МНК и влияния их зарубежных филиалов на принимающие страны

On the Quality of a Multinational Company's Transnationality Index

The Transnationality Index (TNI) is used by UNCTAD for ranking multinational corporations that have a global presence. It is supposed to help in assessing the degree to which foreign activities of those companies are embedded in the global economy. However, in reality, it only reflects a balance between the company's activities carried out in their home country and host countries. The way the TNI is calculated today does not involve considering the importance of both the home and host countries for the global economy. This can lead to paradoxical conclusions. In our article, there is an approach proposed to calculate the TNI considering the global impact of the countries where a multinational company (MNC) operates

Crisis of the Management Paradigm-Is there light at the end of the tunnel?

This paper attempts to rethink the development of management theory in its classical format, to understand the fundamental causes of a critical attitude to its findings and allegations and justify the conceptual continuum, in which it is possible to achieve a public consensus on the model of knowledge on the management in socio-economic systems. A comparative analysis of existing management paradigms and methodological concepts of management was carried out, showed that the basic assumption that limits the development of management theory is the assumption that the organization is a closed system. In fact, none of the socio-economic system can only be developed, but also exist without communion with the external environment. Authors think that a context-oriented management concept may be the answer to many questions to the management theory today

GLOBALIZATION OF THE WORLD ECONOMY: FEATURES OF THE CURRENT STAGE

The last few decades, if not a century, globalization has been one of the key processes and the main feature of the development of the world economy, and it is here that all the fundamental changes in the economic policies of the leading world powers are significantly reflected. The current stage of globalization is characterized by such a policy of several countries, which leads to the destruction of established economic ties, increased protectionism, sanctions wars, increased economic instability, and a general slowdown in GDP growth rates. There is an increasing opinion expressed more often about the impasse of the globalization process and the advent of the de-globalization of the world economy. The authors set out to confirm or refute this point of view. At the beginning, it was analyzed the dynamics of the index of the globalization level of countries of the world (using the KOF Index of Globalization), reflecting the scale of integration of a country into the global political, economic and socio-cultural space according to its different components. Then there was an analysis of the distribution of benefits from globalization between countries. It was revealed that the largest companies today relate differently to their foreign direct investment, since the digital economy allows them to operate on a global scale and act on foreign markets with virtually no physical presence there, so the need for foreign assets to do business abroad is significantly reduced. New technologies lead to changes in the content of international business transactions, and completely new multinational business models are emerging. The authors come to a conclusion that nowadays there is an obvious slowdown in globalization processes. However, it is temporary in nature and primarily concerns traditional assets, while transnational flows of new assets, caused by the 4th industrial revolution, are fundamentally strengthened. It can be assumed that there is a new stage of globalization, where the driver is digital technology that fundamentally change the ideas and approaches to the placement of production forces in the world, seriously reformat the existing value chains, change the model and strategy of business development

Business Uncertainty As A Factor of A Corporate Strategy

The company's development strategy in modern economic and managerial science is viewed primarily as a phenomenon associated with intra-firm dynamics. All attention is focused on how the organizational and economic structure of the company is changing and what economic effect this leads to. The obvious fact, however, is that changing the way a firm "enters" into its business space as a result of implementing a chosen development strategy simultaneously with intra-firm changes leads to shifts in the system of relations in its external environment, changing the conditions for the formation of the final value and the structure of the value chain as a whole. We believe that not the least role in determining the development strategy of the company is played by its desire to make achieving the target business result more definite. In this article, we would like to show how one can assess the change in the degree of uncertainty in the process of projecting corporate strategy