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» Economics » Topics begins with I » Industrial company

Page modified: Tuesday, July 12, 2011 21:45:06

The industrial company differs as company form from other company forms particularly by the kind of economical production and the social structures resulting from it. The socio-political order prevailing in each case thereby remains unconsidered with this definition.

The industrial company is characterized by industrialization as well as a high degree of the division of labor. Usually this is connected with an increasing spatial separation from work and dwellings. Consequence of the division of labor is frequently a of state, society and production enterprises. In capitalistically oriented industrial companies with free markets regularly a concentration of the existing capital is to be observed with few enterprises, which lead without national counter measures to oligopolyistic structures and to scooping out the free-market economy.

Frequently the industrial company is regarded as intermediate stage between the agrarian company and the service company; this goes back on an interpretation of the three-sector theory from and others. This is today again discussed very critically however. In particular the high technical progress within the service range expenditure-levered a basic assumption of this theory, so that the conclusion the fact that an industrial company must develop quasi automatically to the service company further, again examined and must be modified.

To observe however today an increased division of labor leaves itself (up to the outsourcing) and from it resulting a larger portion of the service range of the creation of value in highly industrialized, according to the free market national economies oriented. Thus frequently also an increase of the of the society goes.

See also: Society, service company, industry, national economy, economics

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