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Organic production as a direction of intensive strategic management of an agricultural enterprise

Author

Listed:
  • Svitlana Tulchynska

    (National Technical University of Ukraine "Igor Sikorsky Kyiv polytechnic institute")

  • Yulia Romanivna Malahova

    (National Technical University of Ukraine "Igor Sikorsky Kyiv polytechnic institute")

Abstract

The article is intended to highlight an alternative variant of the strategic intensive development of the enterprise – organic production. It has been proven that organic production based on soil algae has a positive economic effect on the activities of enterprises of the agro-industrial complex. A detailed description of the cultivation technology of organic production is given. All spheres of influence of this technology on production are presented separately, in particular, direct influence: nitrogen fixation in the soil, accumulation of organic nutrients, as well as side effects: chemical and physical changes in soil structure, microbiological enrichment of soil, influence on the development of higher plants, indication of soil condition. A number of positive features of the proposed production technology are listed, such as the focus on domestic raw materials, the possibility of entering international sales markets, the positive dynamics of the financial result from the integration of technology into work, the universality of the technology for any size of the enterprise, the scientific validity of the technology. The economic forecast of the integration of organic production technology into the work of the enterprise, based on domestic farming, was calculated, in particular, the doubling of the marginal income of the enterprise in dynamics was revealed. The comparison of organic production technology with traditional agriculture is presented in graphs and analyzed. The effectiveness of an intensive development strategy for an agricultural enterprise has been proven. We came to the conclusion that organic production is a good option for intensive development of the enterprise. Thanks to organic production, the enterprise can increase its financial result by reducing its costs.

Suggested Citation

  • Svitlana Tulchynska & Yulia Romanivna Malahova, 2022. "Organic production as a direction of intensive strategic management of an agricultural enterprise," Economic Synergy, Higher Educational Institution Academician Yuriy Bugay International Scientific & Technical University, issue 4, pages 21-31.
  • Handle: RePEc:bja:isteus:y:2022:i:4:p:21-31
    DOI: 10.53920/ES-2022-4-2
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    File URL: https://es.istu.edu.ua/EconomicSynergy/article/view/53/41
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