A MATTER OF ORGANIZING AN ORGANIZATIONAL AND LEGAL FORM OF ECONOMIC MANAGEMENT IN THE RAIL TRANSPORT
Journal Title: Економічна теорія та право - Year 2016, Vol 3, Issue 26
Abstract
Problem setting. In the modern phase of development of the Ukrainian economy, economic entities of different organizational and legal forms participate in market economic relations. Obviously, emergence of new economic entities outcompete state-owned companies in the economic activity. Nevertheless, there is no country in the world, where the government does not actively perform the economic activity. Recent research and publication analysis. Domestic scientists O. Kibenko, A. Venedyktov, O. Vinnyk, O. Shcherbyna, V. Mamutov, N. Saniakhmetov, H. Pronska, I. Lukach, V. Peskov, Zh. Chyvchalova, etc. have paid attention to a matter of formation and the activity of particular types of companies. Paper objective. The article purpose is to analyze current organizational and legal forms of economic organizations and to choice a possible organizational and legal form for rail transport companies as a strategically important industry of Ukraine. Paper main body. Usually, holding companies accumulate large capital. As a result, the main advantages of formation of holding companies and investing in subsidiaries are concerned with economies of scale. Hence, holding companies are formed within the scope of large and medium-size businesses. Joining production potentials of different companies and business organizations, holding companies can operate more efficiently at the expense of expense reduction and profit redistribution. Formation of a holding group enables to consolidate large amounts of funds. This facilitates the conduct of some business processes of companies (for instance, an advertising campaign). However, this does not mean that small companies cannot found holdings. For example, small companies can set up subsidiaries in order to reduce expenses and involve new investments. Therefore, a holding as an organizational and legal form may be applied in the rail industry. A holding follows a single economic policy provided by a single management center. Thus, there is a single goal, which unites participators of such organizational and legal form. In this case, this purpose consists in meeting needs of the state, legal entities, and individuals for rail transportation performed by public rail transport. An activity of each holding participator, which takes precise place in a holding and perform established functions, leads to achievement of those goals and purposes of the activity determined by a parent company. Moreover, a holding can include legal entities, which directly participate in the production activity and are indirectly related to providing gaining positive results by other members (e.g., medical establishments, educational centers). Conclusion of the research. Nowadays, concentration of economic power of the state over technical infrastructure objects (rail and pipeline transport, seaports) as well as objects providing national economic security (an electric power complex of Ukraine) assumes especial importance. This forms necessary leverages for balancing general configurations of economic power distribution in the national economic systems. Thus, it is possible to set up a state holding company «Ukrzaliznytsia» through reorganizing companies of the rail industry. The state would possess 100 percentages of shares of rail transport companies (railways, plants, centers). The next stage would consist in indication of subsidiaries and auxiliary partnerships (railways, plants, centers), which would have not lost the legal entity status. Such process is very important for existence of the industry. Short Abstract for an article Аbstract. The article is dedicated to theoretical and legal research of an organizational and legal form of the activity of rail transport companies in Ukraine. The author focuses on examination of an organizational and legal form of a holding as a complex phenomenon, which includes economic and legal peculiarities and development of a possible mechanism of implementation of the mentioned management model in the rail transport industry.
Authors and Affiliations
Ірина Миколаївна Рудяга
Keywords
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