We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
THE EXPEDIENCY OF VERTICAL INTEGRATION: SYNERGY APPROACH ARGUMENTS.
- Authors
Shukalovych, Vasyl
- Abstract
Deciding on vertical integration is caused by the need to increase the compa-ny's competitiveness in the market. At the same time, under conditions of intense transformation processes in the market environment, the choice of organizational strategy is very complicated. This requires the development of recommendations on its feasibility taking into account the stage of market evolution. Accordingly, the aim of the work is the definition of expediency of vertical integration by use methodolog-ical instruments of synergetic approach. Results of the study were obtained using a methodology that includes theoretical synchronization of synergy tools and economic phenomena at the macro and micro level; simulative modeling stages of development of the market system which includes parameters of the value added, value of enter-prises, number of enterprises; forming conclusions based on a comparison of proba-bility estimates. As a result, it is determined that vertical integration is more doomed to success in conditions close to the stability of the market, rather than in terms of ac-tive transformations on it.
- Subjects
ECONOMIC competition; ORGANIZATIONAL aims &; objectives; SYNCHRONIZATION; INDUSTRIAL organization (Economic theory); HORIZONTAL integration; ECONOMICS
- Publication
Management Theory & Studies for Rural Business & Infrastructure Development, 2014, Vol 36, Issue 2/3, p627
- ISSN
1822-6760
- Publication type
Article
- DOI
10.15544/mts.2014.059