Actual problems of innovative economy and law

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Increasing the competitiveness of farms

УДК: 339.137.2:631.115.1

DOI: https://doi.org/10.36887/2524-0455-2024-3-16

Zbarsky Vasil,
Doctor of Science (in Economics), Professor
National University of Life and Environmental Sciences of Ukraine,
https://orcid.org/0000-0002-6114-8602
Mastylo Andrii,
PhD student,
National University of Life and Environmental Sciencesof Ukraine,
https://orcid.org/0009-0002-8838-7512

Farms are a particular group of agricultural enterprises. They provide the organizational and economic basis for the development of rural areas and demonstrate the constant growth of their contribution to the formation of the competitiveness of the domestic agricultural sector. The totality of the external and internal factors of farmhouses’ competitiveness was determined considering regional development tendencies made in the article. The priority factors of rising competitiveness were given proof, and the strategic purposes that lead to the stable development of farmhouses and their strengthening in the agro market were defined. The article aims to substantiate the theoretical and methodological foundations and develop practical recommendations for forming a marketing strategy for farms aimed at improving the efficiency of their functioning. The key role in external regulation of the process of forming the competitiveness of farms must be played by an institutional environment whose elements are intended to reduce farmers’ informal lack of knowledge and transaction costs by creating adapted business plans and behavioral models for farms. Taking into account the peculiarities of the development of the agrarian sector of the economy and the strengthening of the competitiveness of agro holdings, the existence of many obstacles and problems in the development of farms (unsatisfactory technical and technological support, under-priced sales of own products, complications in marketing and product sales, constant seasonal inflation processes, inaccessible credit resources, and state subsidies, which led to a decrease in their competitiveness), the question arises of the strategic management of their competitiveness. Strategic analysis based on the systematic approach of studying the interconnections of quantitative and qualitative characteristics of farm development, taking into account restrictive factors of competitiveness, which include insufficient demand for products, weather conditions, labor shortages, limited access to materials and equipment, financial constraints and level of managerial competence, allowed to formulate goals that together allow to solve critical problems and to identify reserves for improving the efficiency of the economy the activities of farms by the state of their internal and external environment. There are two main blocks of marketing communications tools: essential and synthetic.

Keywords: marketing activities, priorities, market, protective equipment, services, competition.

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The article was received 29.02.2024