ORGANIZATIONAL REFORMATION OF AGRIBUSINESS ENTITIES IN UKRAINE

Abstract

The article considers urgent issues of organizational reformation of economic entities of the AIC with a view to their optimization to requirements of an advanced development model of the agrarian economy. The importance of mentioned topics is determined by the content and themes of conducted system transformations in the agricultural sector of the agrarian economy towards the formation of a competitive and economically attractive system of management. Research object is subjects of various organizational forms of management in the agrarian sector of the economy in the process of their structural reforming. The purpose of the research is to substantiate development processes of AIC enterprises in a transition economy through the organizational modelling of production organization forms in terms of formation of an advanced model of a reproduction of the agrarian economy. The methodology of the research in this article is formed on the compliance with the economic development demands through the relevant laws. Their requirement is realized through the compliance with the requirements of scientific principles as guiding ideas for the implementation of business practices. The interrelation of management functions and scientific principles allows determining a set of research methods for the stated issue. It should be stressed that scientific methodology of this research also includes the use of factors of placement of agrarian enterprises in space and a set of factors of the external and internal influence that make a direct impact on the efficiency of functioning, in particular, small business forms. As a research result, the paper highlights a bipolar structure of the agrarian sector where powerful agrarian-industrial formations and small agricultural enterprises and households of the population coexist in parallel. It quite clearly distinguishes creation of cooperatives, which are considered a basis and effective form of business in rural areas that ensures rural development. In the authors’ opinion, among the presented business forms in rural areas, which operate in parallel, family farming enterprises can become the most perspective in the future. Today, agricultural enterprises, which, on the basis of mergers or acquisitions, were included in the composition of agricultural holdings, generally do not know their status, and hence they actually lose their economic independence. The practical importance of this publication is the possibility of allocating economically feasible forms of organizational development of the AIC and, on this basis, development and introduction of effective mechanisms for managing their support from the hierarchical authorities.