The mechanism for value formation in a trading enterprise

Оksana Pirogova,Marina Makarevich,A Mottaeva,B Melović

doi:10.1051/matecconf/201819305070

Оksana Pirogova, Marina Makarevich + Show 2 more

Open Access

https://doi.org/10.1051/matecconf/201819305070

Copy DOI

Abstract

Currently, one of the problems in managing the development of trade enterprises is the problem of choosing the type of value and management of this value. This problem can be solved on the basis of the concept of value-based management (VBM). The concept is based on the value of the enterprise, which, in the form of a quantitative integrated assessment, reflects the efficiency of the operation and the prospects for the development of the enterprise, balancing in one measure such important economic categories of microeconomics as profitability, risk and growth rates. The article considers the types of value used in the valuation of trading enterprises and shows that the fundamental value can be used in managing the development of a trading enterprise. The article considers the components of the fundamental value, which include the balance component, the operating component, the investment component, and the component of dynamic flexibility. The fundamental value covers all levels of management of a trading enterprise, both strategic and tactical. As it allows building a developed system of indicators, managers will be made it possible to make well-founded management decisions and contribute to the main task of increasing the value of a trading enterprise. The offered approach allows linking the components of the fundamental value of a trading enterprise with the levels of management of the enterprise and the forms of activity of a trading enterprise.

Highlights

The basis of the commodity distribution system of any state is the trade sector
The modern trade branch of Russia is one of the most stable branches of the national economy. This is evidenced by the comparative dynamics of the gross domestic product (GDP) and the retail trade turnover of the Russian Federation in recent years (Fig. 1)
The key element in the realization of the value approach as a conceptual basis of management is the economic content of the cost indicators, based on which the system of development management criteria is built

Summary

Introduction

The basis of the commodity distribution system of any state is the trade sector. In many countries of the world, trade occupies one of the leading positions [9]. The trade branch of Russia is one of the leading branches of the national economy. The modern trade branch of Russia is one of the most stable branches of the national economy. This is evidenced by the comparative dynamics of the gross domestic product (GDP) and the retail trade turnover of the Russian Federation in recent years (Fig. 1). Prospects for the development of the trade sector pose serious development challenges for each individual commercial enterprise. One of the productive concepts of management at the present stage of management development is the concept of value-based management (VBM) [3, 8, 10]. In addition to the organizational problems of implementation, issues related to the choice of the type of value that is built into the management loop, as well as the choice of approaches to calculate this cost, are of no less importance [10 - 12]

The problems of choosing the value type

Contours of creating a fundamental value

Conclusion