Integration as the basis of stable and dynamic development of enterprises in agroindustrial complex

Abstract

Formation of market relations in Russian economy generates an objective need to address a number of problems in the relationship between agroundustrial complex organizations in connection with privatization, liberalization of prices and imbalances in the existing inter-industry production and economic relations that negatively affect the results of their economic activities. Because of the flagrant violations of the replenishment process, a diverse range of connections and relationships between producers and processors was broken. The major direction of lifting agricultural economy in this situation is the development of cooperatives and agroindustrial integration. In addition, the formation of large integrated complexes demonstrates high efficiency and rapid development, which is the basis of agroindustrial sector in many developed countries. The increase of competition forces business entities to combine capabilities and mutually beneficial cooperation in the struggle for the strengthening of market positions. Thus, increasing the degree of integration in the agricultural sector helps to get out of the protracted crisis and move more quickly to the innovations.

Keywords

• agroindustrial complex
• integration
• competitiveness
• innovation agroindustrial formations
• legally enforceable enactments