DEVELOPMENT OF A COMPETITIVE STRATEGY FOR AN INTERNATIONAL ENTERPRISE

Keywords: competitiveness, competition, competitive advantage, enterprise competitiveness, industry competitiveness

Abstract

The article considers the most important theoretical and practical problems related to the existing opportunities for development, where there are options for calculations during the election of a competitive strategy that should ensure high competitiveness of trading systems. The use of break-even analysis allows a more objective distribution between these categories, if we focus on the absolute size of break-even points and indicators of financial strength. The article states that along with intellectual and innovative financial strength, there is a costly one based on old trade technologies. Expenditure financial strength can be defined as the difference between the overall financial strength of the trading system and the above parameters. As a result, a structure of financial strength of the system is formed, in which the share of innovative and intellectual developments should mainly determine the total volume of trade. Otherwise, we will see an evolutionary shift to routine, costly trading technologies, the financial strength of which will reduce the competitive attractiveness of trading systems. Such actions are based on differences in the life cycles of goods sold, economic relations, the functioning of the enterprise itself. The life cycle of the product is shorter than the life cycles of economic relations, the existence of the enterprise. It is not the product itself that is the source of additional income received by the enterprise, but the specific relationship of the latter with the environment, which have independent value. Internal competition will be increasingly determined by the requirements of the global, which will be dominated by innovative and intellectual competitive advantages.

References

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Published
2022-02-25
How to Cite
Korzh, M., & Malinoshevska, K. (2022). DEVELOPMENT OF A COMPETITIVE STRATEGY FOR AN INTERNATIONAL ENTERPRISE. Economic Scope, (178), 51-54. https://doi.org/10.32782/2224-6282/178-8
Section
ECONOMY AND ENTERPRISE MANAGEMENT