Virtual corporations or enterprises 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 or enterprise. This concept is now considered a standard business model, though it raises some ethical concerns.

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 out of a home or a small office. Usually, ...