Price and Structure Risks Consideration when Selecting a Marketing Strategy for an Agricultural Enterprise

• Main Authors: Shiyan Dmytro V., Strapchuk Svitlana I.
• Format: Article
• Language: English
• Published: Research Centre of Industrial Problems of Development of NAS of Ukraine 2013-11-01
• Series: Bìznes Inform
• Subjects: marketing strategy; agricultural enterprise; price and structure risk ratio
• Online Access: http://www.business-inform.net/pdf/2013/11_0/191_196.pdf

The goal of the article lies in development and approval of the indicator of complex assessment of the level of price and structure risks of agricultural enterprises with the further goal of selecting a marketing strategy. It was established in the result of the study that agricultural enterprises with a high price and structure risk ratio have high indicators of economic efficiency compared to the groups with a low value of this indicator. At the same time, major enterprises (mostly agro-holdings) at a certain stage, which corresponds with the set critical size of the area or livestock, have a possibility to diversify production and, consequently, reduce the price and structure risk ratio. Further studies would deal with establishing groups of agricultural enterprises on the basis of differences in economic efficiency by selected criteria (profitability of realisation of products, profit per 1 hectare and crop capacity and livestock productivity), that result not from the territorial and geographical location, but from specific features of formation of the market of agrarian products of Ukraine.