CLASSIFICATIONS OF RISKS OF AGRICULTURAL ENTERPRISES FOR THE PURPOSE OF CHOOSING THEIR MANAGEMENT TOOLS

Abstract

The types of agricultural risks in the activities of business entities is considered. The main risk types are grouped in order to understand their impact on an agricultural enterprise. The existing schemes of risks classification are generalized. The classification scheme for the main types of risks of agricultural enterprises is systematized and updated. Certain industry peculiarities of their manifestation are emphasized for a more substantiated identification of risks of agricultural enterprises. Factors that generate the possibility of expenditure for a specific type of risk are determined. Industry peculiarities of risk manifestation are emphasized. Reasons causing risk manifestation as well as level or field of managerial influence aimed at preventing and minimization of risks are identified. The author’s approach to the classification of risks of agricultural business entities is proposed. It is based on the application of the system methodology for scale interpretation, classification features (criteria) and the essence of risks, which are known in modern science, subject to the idea that all analyzed risks are of economic nature. A system approach to the classification of risks of agricultural commodity producers consists in identification of existing system units – types, classes and kinds. Risk classification based on system methodology along with the identification of risk types, classes and kinds depending on their scale, classification criteria and essence will contribute to the development of the differentiated levers for their management. It is proved that such risk types as systematic, non-systematic, dynamic include their related classes (entrepreneurial and financial, macroeconomic genesis), market and natural risks.

Keywords

• agricultural enterprises
• risk classification
• uncertainty
• emergence factors
• risk management