Economic content and components of the financial architecture of the corporation
AbstractIn the article the essence of financial architecture of the corporation is investigated, its main structural components are determined and the relationship between them is revealed. It is proved that modern corporations are characterized by several structural characteristics: firstly, it concerns the ownership structure that forms the foundation of company control; secondly, the capital structure, which reflects the policy of financing its long-term development (the theoretical concepts of the motives for choosing such a policy are analyzed, key factors determine the ratio of debt and equity in certain economic conditions); the third characteristic covers the structure of implementation of internal corporate control through the mechanism of corporate governance, the basis of which forms the activities of the board of directors (system of remuneration management and board members, changes in the structure of compensation packages). It is concluded that the relationship between the ownership structure, capital structure and the efficiency of the corporation will reveal the nature of the impact of components of financial architecture on strategic efficiency, thus making a step forward in the task of implementing an integrated approach based on the concept of financial architecture to study the internal environment and results of the corporation. For the purposes of model development in the future, a new step in the algorithm of the integrated approach to corporate efficiency modeling is required.
Breyli R., Myers, C., (1999). Principles of Corporate Finance / Per. from english N. Baryshnikova. Moscow: ZAO "Olympus-Business", 2008. 1008 p. [In Russian].
Myers, S., (1999). Financial Architecture. European Financial Management, Vol. 5. 133-141.
Ivashkovskaya, I.V., Stepanova, A.N., Kokoriev, M.S., (2013). Finansova arkhitektura kompaniy. Sravnitelny issledovania na rasvityh i rasvivayushuh rynkah. Financial architecture of companies. Comparative research in developed and developing markets. Moscow .: Infra M. p.238. [In Russian].
Zhytar, M.O, Nemsadze, G.G., (2017). Conceptual principles of providing financial corporations architecture. Scientific Bulletin of Kherson State University. Series «Economic sciences», 24/2, 89-92. [In Ukrainian].
Melnek, V.M., Bechkova, N.V. (2012). Formuuvanya paradugmy korporatuvnoi socialnoy vidpovidalnosty v Ukraine. Financial architecture of national corporations and its influence on the efficiency of financial activity. Ternopil: Aston. 244 p. [In Russion].
Kuzhelev, M.O., (2015). Formation of the Corporate Social Responsibility paradigm in Ukraine Economic Journal, XXI, 3-4 (1). 60-63. [In Ukrainian].
Kuzhelev, M.O., (2012). Konceptualni osnovu rosvutky korporatuvnuh vidnosun. Conceptual bases of development of corporate relations. Donetsk: "East Publishing House" LLC. 260. [In Ukrainian].
Abstract views: 58 PDF Downloads: 69