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Importance of Trust within the Virtual Companies

Author

Listed:
  • Dieter J. G. Schneider

    (Universitatea din Klagenfurt Austria)

  • Marliese Fladnitzer

    (Universitatea din Klagenfurt Austria)

  • Sonja Bidmon

    (Universitatea din Klagenfurt Austria)

Abstract

The purpose of this paper is to present some basic aspects of the virtual companies, structured as networks for value creation. Actually, we focus on temporary networks of independent companies, i.e. suppliers, customers, even some rivals, which are linked by information technology to share costs, skills and markets. They have no classical hierarchy and no vertical integration. A fundamental aspect of such networks is building up trust among integrating components, since there is no more a face-to-face contact between them. Recent studies show that virtual companies are very dynamic and they can adapt to the new market requirements much better than the classical companies.

Suggested Citation

  • Dieter J. G. Schneider & Marliese Fladnitzer & Sonja Bidmon, 2006. "Importance of Trust within the Virtual Companies," Management & Marketing, Economic Publishing House, vol. 1(2), Summer.
  • Handle: RePEc:eph:journl:v:1:y:2006:i:2:n:3
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    Keywords

    virtual company; network; trust.;

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