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WorldCist'17 - 5th World Conference on Information Systems and Technologies

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Life cycle of virtual organizations in the Czech Republic

This paper is focused on aspect connected with virtual organizations in the Czech Republic. The virtual organizations are enterprises registered at virtual addresses. The virtual address is used especially for registration but most business activities are performed elsewhere. The studied aspects are a correct definition of this kind of the organization, empirical evidence from the Czech Republic as a number of enterprises in different regions, default rate and especially a length of economic activities. The virtual organizations are supposed to be less transparent. The research verifies an assumption that virtual organizations are mostly start-ups whose business activity finishes very early and therefore their corporate life cycle is short. The verification is performed on the data sample containing 125 insolvent enterprises registered at the virtual addresses.

Author(s):

Luboš Smrčka    
University of Economics, Prague
Czech Republic

Dagmar Čámská    
Czech Technical University in Prague, MIAS School of Business and Interdisciplinary Studies
Czech Republic

 

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