Methodical approach to determining financial competitiveness of large agricultural enterprises (agricultural holdings) on the world agrarian market

Iatsukh Оlena
Candidate of Еconomic Sciences, Assistant Professor, Tavria state agrotechnological university. E-mail:yatsuh@ukr.net

Cite this article:

Iatsukh О., (2019) Methodical approach to determining financial competitiveness of large agricultural enterprises (agricultural holdings) on the world agrarian market. Ed.: М.D. Baldzhy (ed.-in-ch.) and others [Systema pensiinoho zabezpechennia Ukrainy ta yevrointehratsiini protsesy; za red.: М. D. Baldzhy (gol. red.)], Scientific Bulletin of the Odessa National Economic University (ISSN 2313-4569), Odessa National Economics University, Odessa, No. 4(267), pp. 151-174.

Abstract

The article proves that globalization processes in the world and the food crisis have become one of the prerequisites for the creation of agricultural holdings. The size of the land bank of the TOP 10 Ukrainian agroholdings in recent years is determined in the work and the trends of its growth are substantiated. Expansion of agricultural output opens the way for the country to enter the new markets of the Middle East, Africa, India, China, Japan, as well as the European market, which encourages investment in the agricultural sector. In order to study the place of Ukrainian agroholdings in the world's competitive space and the prospects of attracting foreign investment, the paper proposes the use of a succession of stages of the study of financial competitiveness of agricultural enterprises in the context of global globalization. This sequence includes the formation of a space of factors that determine the financial competitiveness of the agricultural enterprise and the construction of an integrated indicator of the financial competitiveness of the agricultural enterprise. In the framework of the implementation of the task, a hierarchical system of indicators for assessing the financial competitiveness of agricultural enterprises is proposed, which includes four groups of indicators and nine local indicators in these groups. The group of indicators of financial sustainability and profitability includes the level of leverage, the level of profitability; group of indicators of financial security - the level of sensitivity of assets, the level of depreciation, the level of intensity of capital; group of external indicators - level of inflation, level of risk; the level of internal growth indicators - the growth rate of capitalization, the growth rate of the land bank. Based on the hierarchy analysis method, the analytical function of determining the overall indicator of financial competitiveness of agricultural enterprises was constructed, which allowed to calculate it for 10 Ukrainian agroholdings. Based on the calculations, it was found that the top three most financially competitive Ukrainian enterprises are Milkiland (competitiveness index – 0,379), UkrLandFarming (0,332) and Kernel Holding (0,332), while they are among the top 25 agribusiness leaders in the world.

Keywords

agroholding, land bank, agrarian market, financial competitiveness, integral index, method of hierarchies.

JEL classification: O130, G320, F610; DOI: 10.32680/2409-9260-2019-4-267-151-174

UD classification: 658.15:658.821

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