Virtual Corporation

Virtual companies or corporations are networked businesses characterized by the linking of people and business partners via electronic information and communication systems. Increased globalization, coupled with the widespread application of various technologies, has led to shifts in organizational structures and operating methods. These changes in business strategy have given rise to the innovative notion of the virtual organization, while raising some ethical concerns. As exemplified by such companies as eBay and Dell, Inc., this concept is now considered a standard business model.

During the mid-1990s, when dot-com businesses were flourishing, the virtual organization was understood as a business venture that produced a product or provided a service by electronically networking disparate employees and/or organizations. One individual or core team oversaw the company, often working [Page 2184]out ...