ORGANIZATIONAL FORMS OF SCALING AND THEIR FEATURES IN THE IT BUSINESS

Authors

DOI:

https://doi.org/10.32782/inclusive_economics.9-4

Keywords:

business scaling, IT companies, organizational forms, agile scaling, modular structures, franchising, licensing, digital transformation

Abstract

Introduction. In the face of accelerating digital transformation and rising global competition, business scaling emerges as a critical factor for sustainable development in the IT industry. The growing complexity of organizational operations requires companies to adopt flexible yet strategically sound models of growth. The study addresses the challenge of choosing effective organizational forms of scaling, particularly in volatile environments such as Ukraine's IT sector. Purpose. The purpose of the article is to conduct a comparative analysis of key organizational forms of business scaling, including horizontal and vertical integration, modular structures, agile-scaling approaches, franchising, licensing, and corporate alliances. Each form is examined in terms of its conceptual foundations, managerial advantages, limitations, and practical applicability within IT companies. Methods. The methodology combines literature review, industry data analysis (particularly from the Ukrainian IT sector), and a comparative framework summarizing the pros, cons, and diffusion level of each scaling model. Particular emphasis is placed on analyzing how organizational structures adapt to increasing size, operational complexity, and distributed teams. Results. The results reveal that no single scaling model offers a universal solution. Instead, hybrid approaches that combine centralized strategic control with decentralized operational autonomy demonstrate the highest adaptability. For instance, agile scaling facilitates team coordination and transparency, while modular structures enhance flexibility and risk mitigation. Franchising and licensing offer cost-efficient expansion but demand robust intellectual property protection and quality assurance systems. Corporate alliances serve as a powerful mechanism for entering new markets through cooperation. Conclusion. The study underscores the importance of context-driven decision-making in selecting organizational forms of scaling. IT companies benefit most from blended strategies that align with their structure, resources, and market goals. A balanced continuum between centralization and decentralization appears to be the optimal path toward resilient and scalable business models in the face of constant change.

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Published

2025-08-29