Factors of enterprises’ strategic selection of participation forms in integration formations

Abstract

The competitiveness of the national economy is ensured by mutually beneficial cooperation of various business activities and industrial specialization of business units. The purpose of this article is to identify the main motives of the economic behavior of business units in Ukraine, which predetermine structural changes in the industrial sector and agro-industrial complex, and to develop an algorithm for substantiating the strategic choice of participating forms in integration formations for the business development. The economic and statistical analysis has identified trends in structural changes in the industrial and agricultural sectors of the Ukrainian economy. By generalization of scientific views on the content of integration processes, there were identified the influence of institutional factors on the development of forms of integration interaction and maintaining the stability of integrational entities, and the factors of technological and logistic expediency on the formation and development of business networks. There was formed the algorithm of substantiation of strategic decisions regarding the choice of enterprises of the forms of participation in the integration formations of different types. The differences in the positions of the initiators of the business network creation and the participants involved in them were identified regarding the composition and relationships in the network that affect its sustainability. The application of this algorithm will ensure that the management of enterprises makes more substantiated decisions on the creation of an organizational framework for the implementation of competitive strategies in promising areas of inter-sectoral cooperation.

Institutional Factors of Competitiveness and Development of the National Economy

“…And, for example, the spread of tax optimization practices is not only a barrier to budget filling, but it also hinders the growth of business entities, since large business structures are deliberately shredded for such optimization. As we have noted in our previous work [17], the processes of disintegration in the Ukrainian economy are a reaction of business to the deterioration of its operating conditions, especially in the field of taxation. Therefore, in recent years, there has been a tendency towards a decline in the share of large enterprises and in the production of all types of products.…”

Investment priorities of the national economy sectors development

“…However, the formation of institutional preferences for activating investment processes in industry should be made taking into account the potential ability of enterprises of each branch group to increase the value added, and also to be competitive in the strategic perspective. Including, due to cross-sectoral integration processes, as shown by us in previous researches [13].…”

Estimation of Innovative Business Processes of the Enterprises in Conditions of Еmergence Economics

“…In particular, use modern technologies, innovative products can become a basis their introduction [16]. Melnichuk is allocation of the main motives economic behavior enterprise units in Ukraine causing structural changes in industrial sector and agrarian and industrial complex and developments an algorithm justification of the strategic choice by the enterprises forms participation in integration educations for realization of competitive strategy and development of business [20]. This research valuable also in terms of publicizing value-oriented approach to estimation business processes in network structures on the basis vertical integration which is inherent in a sector agroindustrial of the emerging economy.…”

“…The Ukrainian scholars Olena Palyvoda, Oksana Karpenko, Olena Bondarenko, Svitlana Bonyar and Andrea Bikfalvi, investigating process of creation of correlation regression model of dependence of the innovative index of light industry and a share of the innovation-active enterprises participating in global networks of innovative partnership or have network cooperation with foreign partners from EU countries, proved interconnection between innovative activity and versions network interactions for effective strategic management of network structures [20].…”