Abstract
This paper is devoted to developing a set of strategic areas within the system of managing an industrial company in an unstable market economy. The authors have explored the genesis of the theory of competitiveness to identify some of the key attributes of industrial companies’ competitiveness in the short and long run. It has been established that both in the short and long run of major significance are financial-economic indicators. The authors have assessed the degree of financial leverage as a summarizing indicator among a set of financial-economic indicators of competitiveness in sectors within Russia’s industry within the period 2015–2017, which, overall, has a negative value. Among the key reasons behind Russia’s current trends are high levels of financial dependence among companies, low returns on assets, and high interest rates on loans. The authors have identified and analyzed three major strategic areas in the management of industrial companies in an unstable economy, which are as follows: (1) development of a corporate strategy for fostering and boosting companies’ competitiveness on an innovation basis; (2) implementation of strategic marketing; (3) implementation of strategic controlling. The paper brings forward a set of priority strategies for competitive industrial companies (horizontal diversification, innovation, or integrated growth), proposes a set of tools of strategic marketing for stimulating technological processes within the industrial complex in an unstable economy, and identifies a set of areas for implemo32enting strategic controlling as a way to practically implement deviation management. The authors accentuate the need to implement a scenaric approach to managing an industrial company. The paper brings forward a technique for assessing the effectiveness of a corporate strategy based on gaps between an industrial company’s strategic plan and its real potential.
Highlights
In a climate of an unstable market economy, stiffening competition, and consumers growing more demanding with regard to product quality, of major significance to managing an industrial enterprise are strategic areas that can help minimize the negative impact of the external environment
The Russian economy is currently characterized by unstable development, which largely is due to the effect of economic sanctions imposed by the EU and the US
To be able to achieve major changes in the structure of their production and enhance their innovation component, companies need to ramp up their innovation potential based on the development of a sound corporate strategy and implementation of strategic marketing and strategic controlling
Summary
In a climate of an unstable market economy, stiffening competition, and consumers growing more demanding with regard to product quality, of major significance to managing an industrial enterprise are strategic areas that can help minimize the negative impact of the external environment. The Russian economy is currently characterized by unstable development, which largely is due to the effect of economic sanctions imposed by the EU and the US. These restraining measures imply sanctions imposed in a targeted manner, which has found reflection in restrictions that are imposed not on the entire state as a whole but on particular sectors, companies, and natural persons. In a climate of external restrictions and uncertainty, which may well be long-term in nature, the Russian economy may need to, above all, be oriented toward the use of strategic approaches to managing the competitiveness of the nation’s industrial companies
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