ABSTRACT
Modern telecommunications companies operate in conditions of risk and uncertainty due to both external and internal factors. Due to the influence of various factors, companies may find themselves in a state of crisis due to the lack of a management mechanism, the main purpose of which is to ensure economic stability and efficiency based on sustainable capacity building. This article aims to identify the factors that affect the economic stability of telecommunications enterprises in Ukraine and study their impact on the integrated indicator to form an organizational and economic mechanism for managing economic stability. The study was carried out using the following methods: analysis, synthesis, generalization, systematization, correlation, and regression analysis. The main tendencies of Ukrainian telecommunication networks development are defined in this research. The key structural element of this mechanism is proposed to determine the assessment of economic stability based on the use of a set of balanced indicators. Based on correlation and regression analysis, a significant dependence of the overall integrated indicator of economic stability on the subscriber component, moderate-on the component of internal business processes and staff training and development, and a weak inverse dependence on the financial component. Using multicollinearity proved expediency to check the tightness of the relationship between the analyzed variables in the regression model. (C) CIKD Publishing
ABSTRACT
The COVID-19 pandemic has ultimately changed the course of global economic functions, including the Ukrainian ones. The consequences caused by the pandemic significantly affected companies' economic sustainability and reflected the urgent need to assess economic sustainability in order to determine its level and further develop theoretical and methodological aspects of Strategic Enterprise Management. This article is aimed at developing a scientific and methodological approach to comprehensively assess the economic stability of a telecommunications company that operates under modern market conditions. Methods. A study was conducted within the scope of existing techniques used to assess economic stability and, thus, the lack of generally accepted assessment methods was observed. A set of indicators to assess the economic stability of the telecommunications company was formed through financial analysis, taking into account the industry practices of communications service provider's functioning. Comprehensive assessment of the economic stability of telecommunications companies was carried out using a statistical data analysis technique - regression analysis. 2016-2020 financial reports and statistical data provided by examined communications service providers from the State Statistics Service of Ukraine and the National Commission of Ukraine for the State Regulation of Communications and Informatization were used as outcoming data. Study results. As part of the study, the existing assessment methods were analyzed, which made it possible to organize, systematize, and identify their advantages and disadvantages. A set of indicators to assess economic stability of a telecommunications company was formed, indicating the selection criteria and identifying dependence on the presence of a communications service provider at a certain stage of its business development. A scientific and methodological approach to a comprehensive assessment of the economic stability of telecommunications companies taking into account their industry characteristics has been developed. Conclusions. The created scientific and methodological approach to assess economic stability of the telecommunications company comprehensively makes it possible to determine the level of economic stability depending on the stage of business development of a company. The assessment performed is a key factor that must be taken into account when developing strategic management of a company that operates in the context of market transformations.
ABSTRACT
Introduction. Modern Ukrainian enterprises operate in conditions of uncertainty and risk which could develop in unpredictable way. Currently the critical situation for Ukrainian economy is determined by the spread of pandemic of coronavirus infection COVID-19, which has acquired a global nature. Under the circumstances which has brought the pandemic, many Ukrainian enterprises approached the verge of bankruptcy due to the absence of management mechanism, which main objective is ensuring of economic resilience and maximum management efficiency and creating ability for prospective growth of their potential under the circumstances of force majeure. The objective of this paper is to study an influence of pandemic of coronavirus infection COVID-19 on economic resilience of Ukrainian enterprises with defining of negative and positive aspects for creation of a background which would enable a development of Ukrainian business in the future. Results. The global spread of coronavirus infection COVID-19 contributed to risk of recession in the world economy, index of world GDP growth for 2019 equals 2.9%, while the predicted values display its reduction by 3% for 2020, and by 5.8% in 2021. The GDP growth for Ukraine in 2019 equals 3.2%, its reduction in 2020 will make 7.7% and reduction predicted for 2021 makes 3.6%. The number of unemployed has increased in 2020 by 48% compared to the same period of 2019, and according to the forecasts of National Bank of Ukraine in III quarter of 2020 the rate of unemployment will grow by 12% compared to I quarter of the year. The arrears in wage equal USD 112.7 million. The state budget income deficit equals 29.6%, and specifically customs revenue has decreased by 32.2%. The fiscal revenue for May 2020 displays a slippage by 8.5% compared to May 2019. Currently one third of Ukrainian enterprises lost about 50-75% of their revenue. Most of enterprises of Ukraine show a remarkable growth of accounts receivable, and 7% of enterprises came to a near halt. It means that a new crisis will only make the make larger a rupture between Ukraine and developed countries both in aspect of competitiveness of economy and in that life quality. With regard to necessity of resumption of the operation of enterprises and ensuring their economic resilience almost all countries in the world, which were affected by the pandemic, take certain measures for resuscitation. The major part of the affected countries of the world, including Ukraine, showed their unpreparedness to face the challenges like a pandemic of coronavirus infection. The hard circumstances that Ukrainian entrepreneurs have got in were resulted not only from external political and economic factors, but were determined by the instruments of internal policy of Ukraine, what has led to reduction of business activity, reduction in public consumption and unemployment growth, which factors eventually undermine the mechanism of reproduction in national economy. Another factor which influences Ukrainian economy in a deleterious way is a reduction in global demand, which contributes to a decline in export capabilities of the country. Almost every economic sector of Ukraine sustained major losses, which have significantly influenced the general state of state economy. Only in case of fulfillment by Cabinet of Ministers and National Bank of Ukraine of economically justified efficient anti-crisis program the state has chance to survive the crisis with damages lower than other countries will have. Despite the deleterious effect that coronavirus exercises on Ukrainian economy, there are also some positive aspects of this situation, and the main of them is gaining experience, which would be able to help in the future while managing the country's own economic resilience to take into account an option functioning in critical circumstances of global extent. Conclusions. The main problem of Ukrainian business nowadays is the poor knowledge of strategies of enterprise functioning in conditions of force majeure of global extent. The key aspects of efficient anti-crisis rogram on ensuring of economic resilience of Ukrainian enterprises must include risk assessment, development of well-defined business plan, increasing adaptivity to threats which occur under conditions of continuous business processes and constant iteration and business renewal, which has to face any challenge both on national and global level. © 2020 Institute of Society Transformation. All rights reserved.