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Enterprise strategy selection as a factor of market potential development

Vol. 23, Iss. 14, APRIL 2017

PDF  Article PDF Version

Received: 10 February 2017

Received in revised form: 27 February 2017

Accepted: 16 March 2017

Available online: 17 April 2017

Subject Heading: BUSINESS VALUE

JEL Classification: Q13

Pages: 830-837

https://doi.org/10.24891/fc.23.14.830

Koltakova G.V. Lugansk National Agrarian University, Lugansk, Ukraine
g_kolt@ukr.net

Importance Prioritizing the development of economic entity is crucial from strategic point of view. It necessitates a detailed study of issues related to modeling the long-term strategies of enterprise development that enable to avoid risks and to project expected gains.
Objectives The study aims to build a mathematical model to predict production volumes under uncertainty associated with adverse weather conditions; to systematize the decision-making process to achieve the anticipated result.
Methods The study employs methods of mathematical modeling and the game theory.
Results The offered algorithm of modeling will help an agricultural enterprise to choose an optimal strategy related to unfavorable weather conditions. It will also enable to determine the projected volume of production.
Conclusions A correctly chosen strategy for planning the production cycle will help predetermine expected profit and follow its behavior pattern.

Keywords: strategy, modeling, market potential, game theory, system

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