SMALL BUSINESS’ ROLE FOR AGRICULTURAL SECTOR DEVELOPMENT IN A MARKET ENVIRONMENT
Keywords:agricultural sector, small business, market environment, business development.
Positive results of small business development in countries that have successfully implemented socio-economic reform show that small business is one of the means of eliminating disparities in certain commodity markets and their rapid saturation with goods and services. Given the risks and challenges facing both the global economy and Ukraine’s economy as a result of the global recession and the imposition of restrictive measures to combat the Covid-19 pandemic, agricultural sector activity has been partially suspended along with restrictions on distribution channels and export markets.
The purpose of the study is to analyze the state of small agricultural businesses development in the market environment based on the assessment of its indicators; identification of priority recommendation initiatives aimed at overcoming quarantine and globalization challenges.
To achieve this goal, the state of small agrarian business entities’ development is assessed according to the above system of indicators, the dynamics of changes in the number of small agrarian business entities, sales volumes, number of employees, financial results and exports of goods by small enterprises is investigated. development. Recommendation initiatives (access to finance and markets, prudent regulation) for the development of agricultural sector actors in a market environment are presented.
Research methods are statistical, retrospective and graphical research methods and the use of expert assessments. The study leads to the conclusion that the functioning of small agricultural businesses in a market environment depends on access to markets, because in quarantine measures there was a blocking of local and international supply chains, slowing down negotiations on market access, high dependence on exchange rates and loss of profitability due to the sale of products through intermediaries.
Further issues need to be addressed to ensure the harmonization of Ukrainian legislation with EU standards, the development of transport infrastructure and the improvement of the quality and certification of Ukrainian products in a market environment. At the same time, the correct selection and application of the latest technologies will allow the agricultural sector to strengthen their market position and increase interest in national and international markets.
How to quote:
Sirenko NM, Rybachuk VP, Mikulyak KA The role of small business for the development of the agricultural sector in a market environment. Scientific notes of the National University "Ostroh Academy". Series "Economics": a scientific journal. Jail: View
NaUAA, March 2021. № 20 (48). Pp. 82–88.
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