Research and reduction of domestic agricultural enterprises entering risks to Polish market in the quarantine restrictions
Students Name: Udymovych Mariia Mykhailivna
Qualification Level: magister
Speciality: International Business
Institute: Institute of Economics and Management
Mode of Study: full
Academic Year: 2022-2023 н.р.
Language of Defence: англійська
Abstract: The development in Ukraine of socially-oriented market conditions of management with a high standard of living of the population and the economic efficiency of economic entities is impossible without ensuring the corresponding proper development of agricultural enterprises. In connection with the dependence of agricultural enterprises on a considerable number of economic conditions and their functioning in conditions of international competition, this sphere has a significantly higher level of risks of entering foreign markets compared to other spheres of the economy. In parallel, large-scale socio-economic changes in foreign markets taking place in the agrarian sphere, constant processes of implementation of international agrarian reforms, providing agrarian enterprises with support for international activities significantly increase the level of risk of agricultural enterprises. At the same time, in Ukraine, agricultural enterprises are developing strategic tasks for increasing the volume of production and export of agricultural products, forming requirements for their competitiveness, establishing standards for covering and maintaining a suitable niche in foreign markets. Achieving the set goals requires sustainable development in general and certain types of activities for specific markets from agricultural enterprises. An important prerequisite for the stability of agricultural enterprises is a well-founded solution to the issues of establishing, evaluating and managing the risks of entering foreign markets of agricultural enterprises. Despite the fact that in theoretical directions there is a development of the theory of the risk of entering foreign markets, which is the most developed for international agricultural enterprises, the theoretical and applied aspects of reducing the risks of domestic agricultural enterprises entering the Polish market are not yet sufficiently developed. Accordingly, there is a need to study the features of reducing the risks of domestic agricultural enterprises entering the Polish market. In addition, systemic changes in the international cooperation of Ukraine and Poland, and, in particular, in the field of agriculture, require further improvement of the application of methods of qualitative and quantitative assessment of the risks of entering foreign markets, development of theoretical and applied foundations of risk management of agricultural enterprises. In particular, there is an urgent need to develop a methodology for assessing the level of risk of an agricultural enterprise entering the Polish market when forecasting the volume of demand for the products of agricultural enterprises, substantiating the main risk management tools of agricultural enterprises, researching the theoretical and applied principles of diversifying the production of agricultural products for foreign markets and ensuring its impact on work efficiency agricultural enterprises, the development of modern tools for reducing the risks of the exit of domestic agricultural enterprises. It is on the solution of the mentioned problematic issues that the conducted research is oriented, which determines its relevance. In the master’s thesis, the problem of reducing the risks of domestic agricultural enterprises entering the Polish market is solved. The work consists of four sections. In particular, the first section of the work describes a review of literary sources and the legal framework for the problem of reducing the risks of domestic agricultural enterprises entering the Polish market. In the context of writing the second chapter, the peculiarities of declaring Ukraine’s desire to integrate into the conditions of economic cooperation with the European Union, as well as the growth of development in this direction, namely, in connection with the application for membership and the signing of the Association Agreement with the European Union (2014)" and the adoption of the provisions of the visa-free regime in 2017, the development of cooperation with the EU member states, and especially with Poland, is of quite prominent importance for our country. Among all the member countries of the European Community, the Republic of Poland occupies an important place and role for Ukraine - it is our immediate neighbor and the main partner in terms of strategic cooperation, which shows extraordinary support for our economy. After joining the EU, the Republic of Poland shows interest in relations with Ukraine and its cooperation with the European Union and has repeatedly increased the level of cooperation over the past five years. In the third section of the work, the analysis of the activities of LLP "Agrein" was carried out in the following areas: general characteristics of the activities of LLP "Agrein"; characteristics of its management system; diagnosis of production, economic and foreign economic activity of Agriin LLC; analysis of problems, level and factors influencing the state of reducing the risks of entering foreign markets in Agriin LLC. The fourth section of the work contains recommendations for reducing the risks of entering foreign markets of Agriin LLC. Purpose and tasks, research. To achieve the goal of reducing the risks of domestic agricultural enterprises entering the Polish market, the following tasks were formed and solved: - formulate a definition of the risk of exit of domestic agricultural enterprises to foreign markets and investigate their types; - to systematize data on the evaluation of the effectiveness of the foreign economic activity of agricultural enterprises of Ukraine and Poland; - assess the export potential of agricultural enterprises on the Polish market; - to investigate the international cooperation between Ukraine and Poland and the cooperation of agricultural enterprises of both countries; - to establish the effectiveness and development trends of cooperation between Ukraine and Poland and to investigate the influence of the main factors on trade in agri-food products on foreign markets; - evaluate the activities of limited liability company "Agrain"; - to determine the risks of Agriin LLC’s entry into the Polish market, to propose directions for reducing the risks of agribusiness, to form the optimal product and geographical structure of Agriin LLC’s export of agricultural products, to carry out a forecast of economic development and to assess risks; - develop legislation in the field of reducing the risks of domestic agricultural enterprises entering the Polish market; - develop ways to reduce the risks of domestic agricultural enterprises entering the Polish market and implement them in the activities of Agriin LLC. The object of the study is the mechanisms of reducing the risks of Agriin LLC entering the Polish market. The subject of the study is methodical and practical aspects of reducing the risks of domestic agricultural enterprises entering foreign markets.