Possibilities of applying the Due Diligence procedure in an economic entity

Abstract

This article discusses the possibility of practical application of the Due Diligence procedure on the example of one of the Russian companies. The company "Packaging Solutions" LLC was chosen as an economic entity. At the beginning of the article, the author provides the basic data of the organization, its staff, main activities, property. Further, more detailed information about the type of activity of the organization is disclosed, as well as the fact of the company's special attitude to issues of economic security. The author reveals the concept of economic security, and also considers factors that may affect the economic security of an individual economic entity or the country as a whole. In more detail, the article discusses external factors that affect the economic security of individual organizations. After establishing the general principles for maintaining economic security in organizations, the author proceeds to consider economic security in Packaging Solutions LLC. This organization has features of economic activity that positively distinguish it from other companies in terms of economic security of an economic entity. The author considers the coefficient of financial independence of the organization, which positively characterizes the economic security of the organization, also mentions the presence of a patented trademark, which is an advantage in the modern market, since its own trademark provides recognition of the company and gives it legal protection. The article also pays attention to ensuring economic security in the field of contractual relations, building relationships with customers, information security of the company, and the personnel policy of the organization. After considering the positive aspects of the economic security of this company, the author proceeds to highlight the shortcomings of economic security. To establish the shortcomings of the organization's activities, the author analyzes its indicators. Based on the results of the analysis, the author identifies the following threats to the economic security of the organization: high competition in the market, unstable financial condition, participation of the company in court as a defendant. At the end of the work, the author gives possible solutions to improve the efficiency of the company's economic security system.