The types of production and their characteristics: corporations in the modern economy

main characteristics of a market economy is a corporate type of farming, enterprises and institutions, based on the joint-stock form of ownership.They are considered not only as the types of production and their characteristics, the formation and activities of corporations regarded as characteristic of the degree of civilization of the whole country as a strategy for its integration into the world economy.

Considering the main types of production, it is important to note that the key is not in the category of "corporation", and in the types and methods of production and all activities are their contents.

main feature of a corporation is a body of persons, economic entities for joint business activities in any sphere of economy.

P. Drucker in 1946 in his famous work "The principles of the corporation," wrote that the corporation aims to answer who, and how in the world can provide the most effective of its economic development.A large corporation is not so much economic as social - political institution.These are defined and its internal production types and their characteristics.

corporations play an ambiguous role in the development of competition.There is a misconception about the constant development of competition in the current economy.In fact, there are two trends: one aimed at the extinction of the competition, the most important feature of which is to reduce the number of its subjects and scale, and the other is related to the intensification of competition between States and TNCs, while maintaining some of the traditional regional competition relations, including small and medium businesses.

It is obvious that the main reason for the allocation of capital are the types of production and their characteristics, and as a consequence, increase the power of corporations is a major advantage of the production in the form of economies of scale.The essence of the latter consists in the fact that as the size of enterprises begins to act the tendency to reduce costs.

One form of corporate structures is an oligopoly, with respect to which the society is ambiguous as to the monopoly at all.The difference between the oligopoly of pure monopoly is a demonstration that there is still foreign competition.This means that the types of production and their characteristics from the standpoint of society, are formed so that an oligopoly is more desirable than monopoly.At the time, Joseph Schumpeter and John. Gepbreyt believed that large companies opigopopisticheskie needed for rapid growth of STP.Development of new products and technologies is very costly and only opigopopisticheskie company able to finance it.Barriers to entry into the sector to ensure competition oligopolists confident in making a profit, part of which can be spent on research and development.According to scientists, oligopoly helps to improve the quality, reduce production costs and prices and may also contribute, increase output and employment, compared with the industry organized on a competitive basis.

concentration of production (and hence, the monopolization of the economy) not only contributes to the extinction of the competition by reducing competition, but also contributes to the NTP, ieIt is acting as that usually attributed competition.The result is that in the second half of the last century to replace the growing monopolization and integrate it formation and development of transnational corporations.It is assumed that this process is still in its initial phase, because now the world is rapidly redefining the system of construction of the world economy and its forms.