SOCIAL AND ECONOMIC CONTRADICTIONS OF THE «NEW FIRM»

Author

, associate professor, Kharkiv, Pushinska, 77

In heading

Economic theory;

Signed print

27.06.2014

Issues number

2014 - № 3 (18)

Page

88-99

Type of articles

Scientific article

Code UDK

334.012.4:330.342.24

ISSN print

2218-8010

Abstract

Problem setting. Formation of the intangible economy stipulates sufficient changes of the methods of economic activity organization. Especially, the so-called “new firms”, which produce knowledge intensive goods and services, primarily use intangible assets, and have fl exible organizational structures, are widespread. These peculiarities lead to escalation of numerous social and economic contradictions within such fi rms, suffi ciently decreasing effi ciency of fi rms’ activity.
Recent research and publications analysis. The phenomenon of the “new firm” is actively researched in the scientific literature (A. Toffler, V. Inozemtsev, O. Marchenko, and P. Senge etc.). A wide range of researches is also devoted to contradictions of intellectual ownership (V. Bazylevych, A. Buzgalin, A. Kolganov, Yu. Rande, A. Skobarev, V. Liachin, and G. Fokin etc.). However, their implementation at the level of particular companies, especially in the intangible economy, is not suffi ciently researched.
Paper objective. The objective of the article is to reveal and disclose social and economic contradictions of the “new firm” stipulated by peculiarities of intellectual-oriented production and to determine directions of overcoming of these contradictions.
Paper main body. The main social and economic contradictions of the “new firms” comprise the next ones: 1) a contradiction between the non-trade essence of goods of the “new firm” and a trade form of their realization, development of which leads to increase of transaction costs related with protection of ownership rights and appearance of new forms of unfair competition; 2) a contradiction between increase of a degree of economic independence of an employee and enforcement of exploitation of creative labor by capital
leading to distortion of distribution processes both at the level of a fi rm and at the level of a society in general; 3) a contradiction between activation of an intra-company transfer of knowledge and limitations for exterior exchange of information, which causes denying of the purpose of the “new fi rm”, that is — gaining of commercial effect due to creation of knowledge intensive products, by a method of its achievement: having activated the interior transfer of knowledge, which is essential for creation of principally new products, the “new firm” is obliged to limit exchange of information with the exterior environment; such
actions destroy pre-conditions of further accumulation of knowledge; 4) a contradiction between general effi ciency of the “new firm” and individual effi ciency of an employee.
Conclusions of the research. Overcoming of contradictions is possible in terms ofconsiderable changes in the environment of the “new firm”, which include socialization of economic relationships within the firm, transition to fl exible corporate culture aimed at development of intangible incentives, providing of organizational opportunities for increase of individual potential of employees. In the exterior environment institutional pre-conditions of relaxation of contradictions encompass comprehensive specifi cation of rights for intellectual ownership, increase of a degree of willingness of a society for consumption of knowledge intensive products and participation of the “new firms” in a public-private partnership.

Keywords

“new firm”, intangible economy, intellectual equity, knowledge intensive product, intellectual labor, corporate culture.

Reviewer

External reviewer

Article in PDF

3 88-99

Bibliography

none

Code DOI

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30.05.2014