Kutafin Law Review

Advanced search

The Digital Life of Modern Corporations: Corporate Management Mechanisms and What the Future Holds

Full Text:


Digital transformation of the economy has redefined approaches  to  the  issues  of  legal  capacity,   corporate   governance  and management of business processes. Traditional management mechanisms are no longer competitive unless used in conjunction with dynamically developing digital technologies. This article reviews the lifecycle of a “digital corporation” from the moment of its establishment (i.e., from the moment it acquires legal capacity), the processes related to its governance and management (intra-corporate and intra-productive relations), as well as the documentation of the outcome of its business and production activities. We discuss the “digital footprint” left by corporations in public registers, a unified space of trust implemented as  a digital interactive environment, “digital afterlife,” and the adjustment of the legal capacity of corporations in view of the automation of their business processes. Furthermore, we provide several examples of digital management tools that are replacing traditional forms of management that rely solely on human cognition. We introduce three types of digital management: remote management (exercised by humans); smart management (based on algorithms designed by human engineers); and artificial intelligence (AI) management (that does not require human involvement). The article discusses the distinctive characteristics of each of these types of management and their potential joint application. Legal risks associated with the use of digital technologies for the assessment and documentation of production and economic activities (e-accounting, cloud data, open-access information, public registers) are identified. The study relies on empirical economic, legal and technological data pertaining to the legal status of  a  modern  mixed-capital  business  corporation.  We present an overview of currently available IT solutions for digital corporation (e-corporation) management and modification of traditional management tools, and provide an assessment of the prospects for the future development of these technologies. We emphasize the role of law in the digitalization of the economy and offer approaches to legislative work aimed at the legal regulation of modern corporate management.

About the Author

V. A. Laptev
Institute of State and Law, Russian Academy of Sciences
Russian Federation

Vasiliy A. Laptev - Dr. Sci. (Law), Professor, Department of Entrepreneurial and Corporate Law, Kutafin Moscow State Law University (MSAL); Chief Researcher of the Civil and Entrepreneurial Law Department, Institute of State and Law, Russian Academy of Sciences.

9 Sadovaya-Kudrinskaya ulitsa, Moscow 125993.


1. Adizes, I.K., (2004). Managing Corporate Lifecycles: How Organizations Grow, Age, and Die. Santa Barbara, CA: The Adizes Institute Publishing.

2. Afanasieva, Y.G., et al., (2015). Corporate Law. Moscow: Knorus. (In Russ.).

3. Baldassano, C., Esteva, A., Fei-Fei, L., and Beck, D.M., (2016). Two Distinct Scene-Processing Networks Connecting Vision and Memory. eNeuro, 3 (5), pp. 1–14. Available at: [Accessed 15.12.2020].

4. Bruskin, S.N. and Kitova, O.V., (2017). Approaches to the Development of Digital Models of Corporate Management. In: Second International Scientific Conference “Convergent Cognitive and Information Technologies”. Moscow: Lomonosov Moscow State University, pp. 351–358. (In Russ.).

5. Bruskin, S.N., (2016). Methods and Tools of Advanced Business Analytics for Corporate Information Analytical Systems in the Digital Transformation Era. Modern Information Technologies and IT Education, 12(3–1), pp. 234–239. (In Russ.).

6. Chekhovskaya, S.A., (2018). Corporate Electronic Management and Corporate Management for Electronic Corporations: Legal Aspects. Entrepreneurial Law, 4, pp. 3–11. (In Russ.).

7. Chen, C.-T., Lee, W.Y., Shen, T.-L., Wu, H.-C., Shih, C.-C., Ye, B.-W., Lin, T.-W., Chen, W.-C., and Chen, Y.-F., (2017). Highly Reliable and Sensitive Tactile Transistor Memory. Advanced Electronic Materials, 3(4). Available at: [Accessed 21.12.2020].

8. Gafiyatov, I.Z., (2007). The Institutional Nature of Corporations in the Modern Russian Economy. Russian Entrepreneurship, 8(11), pp. 42–46. (In Russ.).

9. Galbraith, J.K., (2007). The New Industrial State. Princeton, NJ: Princeton University Press.

10. Guriev, S.M., et al., (2004). Corporate Governance in Russian Industry. Moscow: Institute for the Economy in Transition. (In Russ.).

11. Huseynov, S.R. oglu and Inozemtsev, M.I., (2018). On Contradictions between the Theory of Modern Corporate Governance and the Practice of Digital Transformation of Business Entities and Society. Bulletin of MGIMO University, 6(63), pp. 294–316. (In Russ.).

12. Kaliukov, E. and Posypkina, A., (2020). Paper Passports Will Cease to Be Issued in Russia in 2022. RBC, 17 July. (In Russ.). Available at [Accessed 13.12.2020].

13. Laptev, V. and Feyzrakhmanova, D., (2021). Digitalization of Institutions of Corporate Law: Current Trends and Future Prospects. Laws, 10(93), pp. 1–19.

14. Laptev, V.A. and Fedin, V.V., (2020). Legal Awareness in a Digital Society. Russian Law Journal, 8(1), pp. 138–157. (In Russ.).

15. Laptev, V.A., (2020). Corporate Law: Legal Organization of Corporate Systems: monograph. Moscow: Prospekt Publ. (In Russ.).

16. Laptev, V.A., Chucha, S.Yu., and Feyzrakhmanova, D.R., (2022). Digital Transformation of Modern Corporation Management Tools: the Current State and Development Paths. Law Enforcement Review, 6(1), pp. 229–244. (In Russ.).

17. Laptev, V.V., (1969). The Subject Matter and System of Economic Law. Moscow: Iuridicheskaia literatura. (In Russ.).

18. Loseva, O.V., Tazikhina, T.V., and Fedotova, M.A., (2020). Transformation of Corporate Governance and Property Relations in a Digital Society. Management Sciences, 10(1), pp. 55–67. (In Russ.).

19. Nekipelov, A.D., (2020). On the Potential of Macroeconomic Policy to Overcome the Pandemic Induced Crisis. Academic Writings of the Free Economic Society of Russia, 223(3), pp. 37–46. (In Russ.).

20. Pankov, V.V. and Kozhukhov, V.L., (2020). Intelligent Technologies and the Future of Accountancy. International Accounting, 3, pp. 286–296. (In Russ.).

21. Roskomnadzor explains the Issues of Attributing Photo, Video Images, Fingerprint Data to Biometric Personal Data and the Features of their Processing (2013). Roskomnadzor Department for the Far Eastern Federal District. (In Russ.). Available at: [Accessed 20.12.2020].

22. Savis, D., (2019). From Digitization, through Digitalization, to Digital Transformation. Online Searcher, 43(1), pp. 36–39. Available at: [Accessed 20.12.2020].

23. Tolstoy, Y.K., (1959). On the Theory of Legal Relations. Leningrad: Publishing House of the Leningrad State University. (In Russ.).

24. Top 10 Strategic Technology Trends for 2017 (2016). Gartner. Available at [Accessed 01.11.2020].

25. Tretyak, O.A. and Klimanov, D.E., (2016). A New Approach to Business Model Analysis. Russian Management Journal, 14(1), pp. 115–130. (In Russ.).


For citations:

Laptev V.A. The Digital Life of Modern Corporations: Corporate Management Mechanisms and What the Future Holds. Kutafin Law Review. 2022;9(2):227-250.

Views: 1061

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 License.

ISSN 2713-0525 (Print)
ISSN 2713-0533 (Online)