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Company lifecycle stages: institutional change as a factor contributing to the company competitive potential change

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  • Mikhnenko, P.

    (Moscow University Industry and Finance)

Abstract

A business' competitiveness level is determined by the business' competitive potential, and the factors that contribute to the changes in the potential include not only the industrial capacity, product range and quality but also the business management system characteristics. The article author examines the businesses' competitiveness level changes. He sees a company management system change as a factor that influences the businesses' competitive potential change. He also examines what role the fitness-for-purpose principle plays on difference business lifecycle stages. The article author makes a conclusion that the modern business' institutional change is largely stochastic and uncertain as far as the information delivery is concerned. The author states that the mathematical component of the system theory should be used in order to thoroughly examine the phenomena. The concept of uneven distribution of structures described by the system theory helps describe the lifecycle change process using the terms and definitions used in the probability theory

Suggested Citation

  • Mikhnenko, P., 2009. "Company lifecycle stages: institutional change as a factor contributing to the company competitive potential change," Journal of Modern Competition, Synergy University, issue 2, pages 73-85.
    • Handle: RePEc:snr:mdrcmp:y:2009:i:2:p:73-85
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