DEVELOPMENT STRATEGY FOR SUNFLOWER OIL ENTERPRISES IN UKRAINE
Article Sidebar
Section
This work is licensed under a Creative Commons Attribution 4.0 International License.
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution 4.0 International (CC BY 4.0) license, which permits unrestricted use, distribution, and reproduction of the content in any medium, providing that the original author and source are credited.
Main Article Content
Abstract
The relevance of the research topic is driven by the need to develop an effective strategy for ensuring the long-term growth of sunflower oil enterprises in Ukraine. The paper analyzes the current state of sunflower oil production. It establishes that, despite wartime challenges, Ukraine remains one of the world leaders in producing and exporting sunflower oil. Sunflower oil enterprises’ macro-, meso-, and internal environments are analyzed and evaluated using expert methods. To assess the macro-environment of domestic enterprises, their components are identified, analyzed, and evaluated, considering their indirect yet significant influence on business performance. It is settled that the political, economic, and technological components exert the greatest influence on sunflower oil enterprises, and the overall evaluation indicates a satisfactory state of the macroenvironment. In studying the meso-environment, key elements are identified that should be considered when formulating development strategies. Competitors and consumers are the most influential components, and the integral assessment of the meso-environment indicates favourable conditions for the development of sunflower oil enterprises. The internal environment analysis is conducted using the case of a private company (PC) “Oliyar”, one of Ukraine’s largest sunflower oil producers. The SWOT analysis method is used to determine internal strengths, external opportunities, and threats. Based on the research findings, a matrix for selecting development strategies for sunflower oil enterprises is constructed, encompassing three types: growth strategies, market position retention strategies, and retrenchment strategies. It is determined that PC “Oliyar” is currently employing a market position retention strategy to maintain its market share, increase sales volumes, and boost profits. Considering possible future events and emerging external trends, there is a likelihood of a shift in the enterprise’s strategic direction. It is emphasized that sunflower oil enterprises must continuously monitor the external environment, systematically analyze business processes, assess performance indicators, and, when necessary, develop new strategies.
Article Details
How to Cite
References
Afuah, A., & Tucci, C. L. (2001). Internet business models and strategies: Text and cases. New York: McGraw-Hill.
Agro Perspektiva (2024). Sunflower oil production from sunflower in 2024 is expected to be at the level of 4.9 million tons. Agro Perspektiva. https://www.agroperspectiva.com/ru/news/194635
Ansoff, H. I., & McDonnell, E. J. (1990). Implanting strategic management. New York: Prentice Hall.
Boyarska, M.O. (2015). Analysis of the enterprise development strategy. Global and national problems of economy, 5, 306-310. http://global-national.in.ua/archive/5-2015/61.pdf
Bozhenyova, I.M. (2014). Conceptual principles of the mechanism of sustainable development of oil and fat industry enterprises. Bulletin of social and economic studies, 3(54), 84-89. https://core.ac.uk/download/pdf/147038646.pdf
Chandler, A.D. (1962). Strategy and structure: chapters in the history of the industrial enterprise. Cambridge: M.I.T. Press.
Christensen, C.M. (1997). The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail. Boston, MA: Harvard Business School Publishing.
Dem’yanenko, O.M. (2018). The process of developing an enterprise development strategy. Intellect XXI, 3, 55-58. http://www.intellect21.nuft.org.ua/journal/2018/2018_3/11.pdf
Filina, S.V., Dryga, O.V., & Kuzhel, O.V. (2024). Theoretical and methodological aspects of enterprise development strategy. Economic Space, 192, 120-124. https://doi.org/10.30838/EP.192.120-124
Hudz, O.I. (2018). Enterprise development strategy: essence and classification. Economy and Society, 18, 346-352. https://economyandsociety.in.ua/journals/18_ukr/48.pdf
Hudz, O.I., & Musiyovska, O.V. (2018). Methodological approach to substantiating enterprise development strategy. Global and National Problems of Economics, 22, 334-340. http://global-national.in.ua/archive/22-2018/66.pdf
Khatser, M.V. (2014). Enterprise development strategy in conditions of instability of the state economy. Collection of scientific works of the Tavria State Agrotechnological University (economic sciences), 3, 109-112. http://nbuv.gov.ua/UJRN/znptdau_2014_3_24
Kim, W. Ch., & Mauborgne, R. (2005). Blue ocean strategy: How to create uncontested market space and make competition irrelevant. Boston: Harvard Business Review Press.
Klochkovsky, O.V., & Hutsol, D.S. (2022). Methodological principles for determining priority areas for developing an enterprise development strategy. Economics and Management, 3(47), 47-56. https://jeou.donnu.edu.ua/article/view/13927
Korobka, S.V. (2024). Sustainable development strategy in organizational management. Problems of modern transformations. Series: economics and management, (16). https://doi.org/10.54929/2786-5738-2024-16-04-06
Manuilov, O. (2025, January 14). Ukrainian farmers and processors collected USD 9.2 billion from oilseed exports in 2024. Forbes. https://forbes.ua/news/ukrainski-agrarii-ta-pererobniki-zibrali-92-mlrd-vid-oliynogo-eksportu-v-2024-rotsi-14012025-26253
McGrath, R.G. (2013). The end of competitive advantage. How to keep your strategy moving as fast as your business. Boston, MA: Harvard Business Review Press.
Mintzberg, H., & Quinn, J. B. (1996). The strategy process: Concepts, contexts, cases. Prentice Hall International Editions.
Official website of the Association “Ukroliyaprom”. (n.d.). http://www.ukroilprom.org.ua
Official website of the State Statistics Service of Ukraine. (n.d.). http://www.ukrstat.gov.ua
PC “Oliyar” (2024). Report of the management of the private company “Oliyar” for 2023. https://oliyar.com.ua/wp-content/uploads/2024/06/zvit-upravlinnia-oliyar-2023.pdf
Piletska, S., Klyus, I., & Bilous, N. (2024). Peculiarities of forming an enterprise development strategy in conditions of macroeconomic instability. Sustainable Development of the Economy, 2(49), 174-179. https://doi.org/10.32782/2308-1988/2024-49-27
Porter, M.E. (1980). Competitive strategy: techniques for analyzing industries and competitors. New York: Free Press.
Seliuchenko, N.Ye., & Kosar, N.S. (2018). Justification of competitive strategies of oil producers in the process of ensuring their sustainable development. Scientific Bulletin of Uzhgorod National University, 20(3), 33-37.
Shandrivska, O. Ye., Pytulyak, N. S., & Hreb, O. I. (2024). Sunflower oil market research in the world and Ukraine. Management and entrepreneurship in Ukraine: the stages of formation and problems of development, 2(12), 365-382. https://doi.org/10.23939/smeu2024.02.365
Stavska, Y.V. (2020). The formation and implementation of the development strategy of oil and fat industry enterprises. Market infrastructure, 41, 163-168. https://doi.org/10.32843/infrastruct41-27
Transparency International (2024). Corruption perceptions index. https://www.transparency.org/en/cpi/2024/index/ukr
Ukrinform (2025, Juny 17). Ukraine reduced sunflower oil exports by a quarter. https://www.ukrinform.ua/rubric-economy/3968882-ukraina-na-cvert-skorotila-eksport-sonasnikovoi-olii.html
Yalivets, G. (2024, September 20). Production and export of sunflower oil in Ukraine set the second result for the years of Independence. Business Censor. https://biz.censor.net/news/3510984/vyrobnytstvo_ta_eksport_sonyashnykovoyi_oliyi_u_20232024_marketyngovomu_rotsi