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A virtual corporation is best described as what?
AA firm that trades only through its own website
BA firm whose employees all work from their homes
CA network of independent companies linked by technology
DA firm registered abroad for tax purposes only
Answer & Solution
Correct answer: C. A network of independent companies linked by technology
1. A virtual corporation is a network of independent companies, which may include suppliers, customers, and even competitors.
2. Those companies are linked by information technology so they can share skills, costs, and access to markets.
3. The network structure allows companies to come together quickly to exploit rapidly changing opportunities.
4. Online selling, home working, and offshore registration describe other arrangements altogether.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 7 "Designing Organizational Structures", section 7.8 The Virtual Corporation_
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