Abstract
In modern economic conditions, the production potential of the enterprise is directly related to the pace of socio-economic development of the country. Increasing the efficiency of the use of production potential leads to an increase in the productivity of industrial production, and therefore an increase in volumes and accumulation of investment resources to ensure an expanded reproduction, that is, the dynamic development of the economic system as a whole. In the article the concepts of production potential, theoretical foundations of its occurrence and its successful application in the enterprise activity are investigated andconsidered. The structure of production potential and description of its elements are presented. The reasons of complexity of formation of production potential at the enterprise are singled out
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