Diversification of entrepreneurship as a tool of increasing entrepreneurship profit

Анотація

The article deals with the influence of diversification of entrepreneurial activity on the profitability policies of the enterprise. The definitions of the concepts of "diversification" and "profitability of the enterprise" are analyzed. The factors that influence the formation of profitability of the enterprise are determined. The necessity of introduction of diversification of activity of the enterprise for the purpose of strategically oriented, profit management in the enterprise is proved. The stages of formation of the system of strategic diversification of activity of the enterprise are revealed. It is noted that a systematic approach to the formation of a competitive enterprise strategy involves the use of diversification as a tool in the process of increasing the profitability of the enterprise. The basic elements of enterprise profit management are investigated. It is established that business diversification reflects a multifunctional system of interrelated elements that form a single whole - the strategy of enterprise development. It is proved that the structure of the strategic development system is formed by the elements, the implementation of which ensures the competitiveness of the enterprise. The basic definitions of diversification of activity of the enterprise and its classification are given. It is substantiated that the system of strategic management of an enterprise is the basis of its potential, which influences competitiveness and determines directions of further development. The stages of realization of strategic management of profitability of the enterprise by diversification of its activity are offered. In the conditions of rapid changes in the world economy, processes of globalization, accelerating the implementation of scientific and technological progress in the practical activity of enterprises, intensification of competition in the market, the enterprise must plan and ensure its development for a certain perspective. In summarizing the results of this work, certain key points need to be highlighted. Finding the main advantages and disadvantages in implementing the diversification process of the company are important when choosing the right development strategy.

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