Technologies of functioning of the private military services market and features of Customer-Private Military Company interaction

Abstract

The authors consider in detail the topic of the private military services market as a special system with a limited number of participants and extremely limited effect of market laws. Special attention is paid to the topic of the relationship between the customer and the contractor, as containing a counterintuitive problem - the desire of the contractor to maximize the customer's expenses and delay the implementation of the tasks set. Another contradiction is connected with this problem - the balance of control and efficiency, the study of which is also given in this paper. The authors consider the key features of the private military services market, the actors that operate on it, the mechanisms for regulating the activities of customers and performers, which, in essence, determine the contradictions that arise between them. A special contribution to the study of this problem by the authors is the consideration of Private military companies as an element of the private military services market. The market itself seems to the authors to be a source of key contradictions in the relationship between the principal and the agent in the implementation of military tasks. The authors reveal the system of interaction in the military services market by establishing the main influencing factors of both the external environment and the market's influence on the environment. For the first time, the interaction of the customer-PMCs within the framework of existing contracts is considered in detail, the interests of the parties and the mechanisms for their implementation are systematized. The authors consider two methods of solving already existing contradictions: the method of "strategic privatization" and the method of "deal with Faust". The authors have developed an original method of "controlled competition", which potentially solves a greater number of contractual contradictions.