The economic essence of competitiveness and competitive advantages of the enterprise

Abstract

In the article the essence and functions of competition are considered, approaches to determination of enterprise competitiveness are investigated. The essence of the enterprise competitiveness, which is the main artery both for the economy of the country as a whole, as well as for individual producers, has been revealed, because it is a guarantee of high and stable profit. It consists in ensuring the life of the enterprise, economic security and stable long-term development. Domestic commodity producers set the main goal: to meet their own needs, obtain maximum profit and increase sales, expand the share of domestic and foreign markets, provide the necessary level of quality and prices of products produced at the enterprise. Competitiveness is the ability of an object to withstand competition in comparison with similar objects in a competitive environment. The competitiveness of an object is determined by the results of market research, market segmentation. The great competition of the company in the market takes the form of competition of the product itself, increasing the value of the qualities that provides products to the company that manufactured and sells it on the market. Definition of competitive advantage and competitiveness have different interpretations depending on the object to which they are applied. System study of these concepts distinguishes hierarchical structure, consistently includes the assessment of goods, enterprises, industries, economies in terms of superiority over similar competing objects. It has been established that competitive advantages are a concentrated manifestation of the advantages over competitors in the economic, technical, organizational spheres of enterprise activity. It is necessary to emphasize especially that in order to have a competitive economy, it is advisable to create a competitive society, which has undeniable advantages in various areas of human activity.

Keywords

• competition
• competitive ability
• enterprise
• function of competition
• competitor
• competitive benefits
• saleable goods