Import substitution as encouragement method of industrial production of Volgograd region

Abstract

The import substitution development which contributes to the encouragement of national industrial production under foreign sanctions is capable of providing the sustainability of enterprises in Russian regions. Herewith the measures which are taken today for the import substitution encouragement do not allow fully displaying the potential of its stimulating constituent. The goal of the research is the development of measures for import substitution growth as a method of import production in Volgograd region. The system approach, statistical analysis and dialectical method were used during the research. Volgograd region was taken as the example and the modern situation in import subsitution was analyzed. The SWOT analysis of industrial enterprises was conducted what allowed presenting the measures aimed at import subsitution growth as a method of encouragement of regional industrial enterprises. The authors made the conclusion about the necessity of an optimal combination of import substitution and export orientation which was based on the creation and development of enterprises which are focused on the world practice and which are profitable in global competition. This allows eliminating a number of drawbacks of import substitution which deal with the problem of a limited volume of the domestic market, construction of new industrial facilities, optimization of production processes, reduction of the monopolism, illegal economy and corruption.