The top-down implementation of information and communication technology does not guarantee necessary organizational change in e-learning and virtual enterprises. The delivery of online instructional courses in higher education institutions is flourishing, as students and educators in general recognize the advantages of the new technology. Problems and concerns regarding online education are touched on in various articles and papers but limited research has been conducted to examine in depth the technical and social problems that accompany this new technology. This study examines these problems and concerns regarding online distance education and virtual enterprises in online universities; The All Armenian Internet University is used as an example. Hopefully, the information that is provided here will update decision-makers of the current needs and concerns of online students and instructors so that an effective distance-learning program can be fostered. The paper discusses and introdu...