Mechanism of Rural Entrepreneurship Development on the Base of Micro-business

Abstract

The author analyzes the essence of rural business development strategy, is a model of strategic management of agricultural entrepreneurship, and defines the basic components of the major actions to ensure the implementation of strategies for the development of agricultural entrepreneurship, aimed at selection of optimal directions and priorities of development of the territory. The author develops and justifies the mechanism of development of agricultural entrepreneurship, based on micro-businesses; it allocates system mechanisms for the implementation of strategies, and analyzes its key components. The author is an agricultural business model of motivation and mechanism of changes in strategy. The author defines the space program-target method in the mechanism of external control of strategic management of agribusiness takes application. The author defines the system of normative legal acts that have a logical connection and subordination and regulating the use of specific methods and tools of government regulation necessary for the successful combination of marked intra and external strategic activities for the development of agricultural entrepreneurship.

Formation of Vectors of Management of Business Development of Rural Areas

“…The value of the coefficient of sectoral diversification takes into account the diversity of economic activities in the region (rural area) and allows you to conditionally assess the sustainability of its development, as well as the risks involved. "The higher the value of the sectoral diversification rate, the greater the sustainability and the less risk; the lower it is, the more significant the impact on the economy can have a decline in production or activity in the region's leading activities" [1]. At the same time, the scale of the estimated economic system is not taken into account when calculating the entropy coefficients, sectoral diversification and the Herfindahl index.…”

Eco-Economic Management as a Tool of Development of Agriculture

“…The process of ecological management of business subjects in rural areas is performed through consequent implementation of the functions of planning, organization, motivation, control, and coordination at all levels (Zabaznova et al, 2014): 1) planning -determination (generation or setting from outside) of goals, in the basis of conditions of natural environment of rural area; development of the most effective methods of implementation of set goals; evaluation of resources necessary for achievement of goals; 2) organization -formation (appointment, determination) of existing organizational structure, oriented at implementation of set goals; its provision with necessary technologies and resources; formation of intraorganizational culture; 3) motivation -activation of actions of separate members of created organizational structure, their groups on the whole on the basis of various methods for effective and timely realization of goals; 4) control -setting of standards, quantitative and qualitative evaluation of achieved results and their correction at all stages of activities, from formation of goals to their full implementation; 5) coordination -provision of coordination of activities of all departments, links, and functions of managing the way of building rational communications between them. Environment of making managerial decisions related to ecology is never deterministic.…”