EVOLUTIONARY PROCESS OF INTERNAL STRUCTURES OF LITHUANIAN AGRICULTURAL COMPANIES

Vlada Vitunskienė, Jonas Čaplikas

EVOLUTIONARY PROCESS OF INTERNAL STRUCTURES OF LITHUANIAN AGRICULTURAL COMPANIES

This article is an attempt to outline the establishment and the further development of agricultural companies as corporate institutional units within the new area of ownership relations. This study is a synthesis of the investigations carried out throughout the decade commencing at the start of the transition process and focusing on the development of new organizational farms in general, and corporate units in particular in Lithuanian agriculture. This study aims to proceed the examination of the mechanisms of the restructuring of agricultural companies after their establishment and the actual changes that were observed in the corporate agro-industrial system sector in the context of contemporary external conditions within the sphere of agriculture. In order to identify the distinguishing features of the development process of the internal structure of Lithuania’s agricultural corporate farms from an ownership-relation point of view, the typology of farm business and the concept of „subsumption” developed by Whatmore, Marsden, Munton and Little have been adopted. The examination of empirical material consists of two interdependent stages. The analysis starts with an individual description of the internal relations of production, i.e. the ownership of business capital, the ownership of land rights, the control of business and operational management and, last but not least, labour relations as the key components of the internal structure of farms. The classification of agricultural companies into types following the differences in their internal structures is outlined.

Keywords: farm typology, corporate farm, ownership relations, internal structure, „subsumption”.
JEL Classification System: P14, P32, Q15, J21.

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