Selection of a Strategy for Sustainable Development of an Economic Entity as a Long-Term Direction of its Development

Abstract

The aim of the article is to study and systematize approaches to the development of a strategy for sustainable development of an economic entity, taking into account the resource potential of the economic entity and factors of possible external influence. The article analyzes the existing variants of approaches to the formation of the strategy of the economic entity for its long-term competitiveness in the market, draws conclusions about the advantages and disadvantages of each variant. Based on the integration of resource and market approaches to strategic planning, the authors specify the stages of formation of the strategy of sustainable development of the economic entity, specify the concept of «strategic potential of an economic entity», which proposes to include its internal potential and resistance to the influence of external factors. It is proposed to supplement the diagnostic stage of strategic planning with a sub-stage of identifying resistance of the economic entity to external influences, which has not even been allocated by researchers before. It is proved that the identification of the objective position of the economic entity and the decision on the choice of further direction of its development largely depends on the quality of the carried out analysis. This peculiarity is due to the proposed resource-market approach to strategic planning. Further on, a research of the problem of quantitative assessment of the value of the strategic potential of the economic entity has been made. Based on the results of the research, an integral indicator and a general methodical approach to assessing the strategic potential of the economic entity have been formed, taking into account the definition of its internal potential and resistance to the external environment, which is proposed to be included in the development of a strategy for sustainable development of any economic entity to ensure the long-term direction of its development.

Keywords

• strategic planning
• resource-market approach
• strategic potential
• resource potential model
• organizational capabilities