Research and selection of contractors in terms of international economic relations between Ukrainian and Polish enterprises
Students Name: Storonianska Uliana Ihorivna
Qualification Level: magister
Speciality: International Business
Institute: Institute of Economics and Management
Mode of Study: full
Academic Year: 2020-2021 н.р.
Language of Defence: англійська
Abstract: Storonyanska VI, Sai LP (head). Research and selection of contractors in the context of international economic relations between Ukrainian and Polish enterprises. Master’s thesis. - Lviv Polytechnic National University, Lviv, 2020. Extended annotation. Achieving high efficiency of international economic activity of the enterprise directly depends on solving the problem of establishing business contacts with potential domestic and foreign counterparties, negotiating with them, signing agreements [1, 2]. It is important for the company to have organizational and methodological approaches to the selection and careful evaluation of potential counterparties in view of the goals set by the company, as well as minimizing the risks associated with the implementation of international economic activities [3]. It is substantiated that the factors that determine the choice of contractors for cooperation are their reliability, stability and quality. In view of this, the process of choosing contractors in the international economic activity of the enterprise, which is carried out by developing the relationship between the enterprise and the supplier, then the company through an intermediary forms a relationship with consumers. Study object is ABC IMPORT LLC. Scope of research includes the features of the choice of contractors of LLC "ABC IMPORT" in terms of international economic activity. The purpose of research is to study the theoretical and practical aspects of the choice of contractors of LLC "ABC IMPORT" in order to increase the efficiency of international economic activity of the enterprise. Building relationships with partners and finding new contractors is an important part of any business. Counterparties are all legal entities and individuals that enter into cooperation agreements with the company, including contractors, suppliers of goods and services, buyers, employees of the company, etc. Today, in conditions of economic instability, an important factor in ensuring the sustainable development of the enterprise is the establishment of long-term partnerships with contractors, rather than the use of short-term or one-time agreements. Since enterprises do not exist in isolation from each other, it is advisable to agree and discuss certain aspects of joint activities. This is done both by signing contracts and on the basis of agreements and the development of rules and actions that become certain postulates in the process of further joint activities. It is important to realize that the establishment of diplomatic relations with a partner should take place at the stage of preparation of contracts. It is substantiated that the factors that determine the choice of contractors for cooperation are their reliability, stability and quality. In view of this, the process of choosing contractors in terms of international economic activity of the enterprise, which is carried out by developing the relationship between the enterprise and the supplier, then the company through an intermediary forms a relationship with consumers. This will contribute to the achievement of a synergistic effect based on the achievement of such goals of partnership as increasing the level of profitability by increasing competitive advantages, technological feasibility of joint activities; sustainable development of partner companies. The structure of the potential of partnership is financial, client, business process and intellectual. In view of this, it is established that the counterparty should be evaluated in such areas of analysis of the potential business partner as: socio-cultural, scientific and technological, organizational, financial and economic, territorial and legal, using the appropriate criteria. Analysis of the state of trade and economic relations between Ukraine and Poland shows that in 2020 Poland ranked fourth among Ukraine’s main trading partners. There was an increase in both exports (from 2.54 billion US dollars in 2013 to 3.36 billion US dollars in 2019) from Ukraine to Poland, and imports of Polish goods to Ukraine (from 4.07 to 4, $ 11 billion). At the same time, the growth rate of Ukrainian exports significantly exceeds the growth rate of imports of goods from Poland. Every year, ABC IMPORT LLC increases the volume of foreign trade, while exports grow faster than imports. In addition, the company increases the number of trading partners every year, in particular in Poland and Germany, which requires an increase in staff (sales agents) in these countries. Using the method of selection of contractors proposed in the thesis, the evaluation of one of the potential contractors of LLC "ABC IMPORT" - the Polish partner "Ostrowia Sp. z o.o. ». Based on the study of potential sources of information, available information bases, methods of analytical processing of information about a potential counterparty, the scheme of information-analytical search in the context of decision-making on the choice of counterparty is proposed. The developed scheme includes nine stages, the passage of which allows to avoid serious mistakes and further problems before concluding agreements and contracts, thereby eliminating potential risks. In order to increase the return on equity of the company LLC "ABC IMPORT" in the work was proposed a system of measures to improve the choice of contractors, which will more accurately predict possible losses from the conclusion of agreements with unscrupulous partners. In order to increase the level of return on equity by 1.6% in 2020, the paper proposes a method of assessing counterparties and areas of information retrieval activities for potential counterparties for LLC "ABC IMPORT". Key words: enterprise, international economic relations, contractor, partnership relations, choice of contractors. List of used literature sources. Gerasimenko Y.V., Pchelyanskaya G.O., 2020. Nefinansova zvitnist pidpryiemstv yak stratehichnyi instrument nalahodzhennia marketynhu partnerskykh vidnosyn [Non-financial reporting of enterprises as a strategic tool for marketing partnerships] (33-40). Eastern European Scientific Journal. Economic sciences. 2020/05/12; 56 (3). P.33-40. 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