Authors

  • Sultonova Nazokatxon Otabekovna
    Student Of Fergana State University Uzbekistan

DOI:

https://doi.org/10.37547/ajsshr/Volume03Issue05-10

Keywords:

Cluster industry management

Abstract

Functional efficiency of management processes of textile enterprises in the world is based on a sequence of production processes, the organization and management of integrated textile industry clusters, increasing management efficiency based on the use of internal capacity of enterprises, management mechanisms of enterprises included in the cluster, ready-to-eat textile products A number of scientific studies are being conducted to improve the value chain in production, increase the competitiveness of clusters through competitive advantages.


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Volume 03 Issue 05-2023

48


American Journal Of Social Sciences And Humanity Research
(ISSN

2771-2141)

VOLUME

03

ISSUE

05

Pages:

48-59

SJIF

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MPACT

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(2021:

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)

OCLC

1121105677















































Publisher:

Oscar Publishing Services

Servi

ABSTRACT

Functional efficiency of management processes of textile enterprises in the world is based on a sequence of

production processes, the organization and management of integrated textile industry clusters, increasing

management efficiency based on the use of internal capacity of enterprises, management mechanisms of enterprises

included in the cluster, ready-to-eat textile products A number of scientific studies are being conducted to improve

the value chain in production, increase the competitiveness of clusters through competitive advantages.

KEYWORDS

Cluster, industry, management, mechanisms, modern information, communication technologies.

INTRODUCTION

The history of the development of socio-economic

systems shows that development occurs under the

influence of changes based on certain laws. The

theories of economic development that have been

formed to date show that changes that have taken

place over a period of time have taken place on the

basis of specific twists and turns in the development of

the world economy.

The first form of theories of economic development is

the classical theory, the founders of which have argued

in their scientific views that economic growth and

development occur on the basis of the ratio of

Research Article

PECULIARITIES OF THE DEVELOPMENT OF THE TEXTILE INDUSTRY AND
CLUSTERING OF ENTERPRISES IN UZBEKISTAN

Submission Date:

May 13, 2023,

Accepted Date:

May 18, 2023,

Published Date:

May 23, 2023

Crossref doi:

https://doi.org/10.37547/ajsshr/Volume03Issue05-10


Sultonova Nazokatxon Otabekovna

Student Of Fergana State University Uzbekistan

Journal

Website:

https://theusajournals.
com/index.php/ajsshr

Copyright:

Original

content from this work
may be used under the
terms of the creative
commons

attributes

4.0 licence.


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aggregate

demand

to

aggregate

supply.

Representatives of neoclassical theory J. Keynes, R.

Solow, R. Harrod and E. Domar expanded the

approaches proposed in classical theory and

theoretically studied the influence of different levels of

factors on the balance of resources in modern

conditions.

The post-industrial model, based on the industrial

model of economic growth, focuses on the changes in

the classical theory under the influence of globalization

and scientific and technological progress. The new

model of post-industrial and development focuses on

material production and the concentration of the

necessary structures around it, showing that the

advantages of industries and sectors depend on the

availability of resources and convenience of

geographical location.

Today, in the development of material production

industries in all countries of the world, special

attention is paid to the organization of production

enterprises in areas where the necessary resources are

available and easy to supply to consumers, as well as in

a complex way with the necessary structures.

Uzbekistan, one of the leading sectors of the national

economy, in particular, the textile industry, is

developing on the basis of competitive advantages

based on theories of economic growth. The formation

and development of the textile industry in our country

has a socio-economic, natural-climatic, geographical

and historical basis. This will allow the country to

establish enterprises with a large material and

technical base.

The stages of gradual development of the textile

industry in our country can be divided into the

following 6 periods (Figure 1):

Phase 1 - From the 90s of the XIX century to 1917. At this

stage, the formation of the first manufacturing

enterprises for industrial processing of cotton, which is

the main raw material for the textile industry, took

place. As a result of the export of products produced

by these enterprises to neighboring countries and

Russia, a value chain was formed, which in turn led to

the expansion of the area under cotton.

The main features of the development of the industry

at this stage are the ownership of local and foreign

entrepreneurs, competition at the regional level and

the fact that the industry specializes only in primary

processing of raw materials.

Phase 2 - From 1917 to 1941. At this stage, the first

enterprises processing raw cotton in the country were

formed first as artels, and then as industrial enterprises

as a result of their expansion. During this period, the

textile industry in the light industry was transformed

into a one-way system of primary processing of raw

cotton grown in the country to the textile complexes

in the Central regions of the former Soviet Union. In the


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second stage, the main features of the development of

the industry are the transformation of enterprises into

public property, the formation of a system of supply of

raw materials to the textile complexes formed in the

central regions of the former Soviet Union and the

organization of production planning.

Phase 3 - 1941 to 1970s. At this stage, a textile complex

was formed as a result of the relocation of textile

enterprises of the secondary and subsequent deep

processing of raw cotton from the Central Black Earth

zones due to the Second World War. As a result of the

relocation of more than 100 enterprises to the territory

of the country during the war, a network of ready-to-

eat textile products was formed. In the post-war years,

the country's territory began to be transformed into a

region that would meet the demand of the former

Soviet Union for textiles. While this has led to the

development and expansion of the network on the one

hand, on the other hand, only the primary and

secondary processing of network enterprises has

maintained the industry’s one

-way, i.e. raw material

supply trend.

Phase 4 is the period from the 1970s to independence.

At this stage, the country's agricultural cotton sector

and textile industry have become the main raw

material base of the textile industry of the former

Soviet Union. The cultivation of raw cotton in more

than 85% of agricultural lands has led to the rapid

development of the industry. These changes are based

on the fact that about 10% of raw materials in the

industry are transferred to deep processing. The

country has developed a network of textile machinery

and improved the technology at existing enterprises.

However, only the initial processing of the raw material

led to a low growth of the value chain in the system.


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Phase 1

(from the 90s of the XIX century

to 1917)

At this stage, cotton, which is the main raw material
for the textile industry, has recently formed the first
industrial processing enterprises on an industrial
basis from the Russian colony.

Phase 2

(1917 to 1941)

At this stage, the first enterprises processing raw
cotton in the country were formed first as artels, and
then as industrial enterprises as a result of their
expansion.

Phase 3

(1941 to 1970)

At this stage, a textile complex was formed as a
result of the relocation of textile enterprises of the
secondary and subsequent deep processing of raw
cotton from the Central Black Earth Zones to the
territory of the country as a result of the Second
World War.

Phase 4

(Period from 1970 to

independence)

At this stage, the country's agricultural cotton sector
and textile industry have become the main raw
material base of the textile industry of the former
Soviet Union. The cultivation of raw cotton in more
than 85% of agricultural lands has led to the rapid
development of the industry. These changes have led
to the transfer of about 10% of raw materials in the
industry to deep processing.

Phase 5

(Period from 1991 to 2016)

In the first years of independence, channels for the
sale of products produced by existing enterprises of
the industry were formed, and a new system of
buyers was formed for the sale of the first processed
raw materials. On the basis of modernization of
technologies used in the textile industry, the
extension of the value chain was achieved by
increasing the share of finished products in final
consumption.

Phase 6

(2016 to present)

In order to increase the competitiveness of the
country's textile industry in the world market, to
expand the value chain from raw materials to final
consumer products, the process of transition to a
cotton-textile structure based on a vertical integrated
cluster model has begun.


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Figure 1. Stages of formation of the textile industry in Uzbekistan

Phase 5 is the period from 1991 to 2016. In the first years

after the independence of the Republic of Uzbekistan,

channels for the sale of products produced by existing

enterprises of the industry were formed, and a new

system of buyers was formed for the sale of the first

processed raw materials. At this stage, on the basis of

modernization of technologies used in the textile

industry, the extension of the value chain was achieved

by increasing the share of finished products in final

consumption. The enterprises of the sector have been

gradually privatized, the share of the state has been

reduced, and the volume of textile products produced

and their share in exports have increased.

Phase 6 is the period from 2016 to the present. In order

to increase the competitiveness of the country's textile

industry in the world market, to expand the value chain

from raw materials to final consumer products, the

process of transition to a cotton-textile structure

based on a vertical integrated cluster model has begun.

As a result of reforms initiated by the state on the

integration of regional production capacities and the

establishment of clusters based on the principles of

corporate governance, 96 cotton-textile clusters were

established in 2016-2020. a deep processing process

was carried out.

As a result of structural changes in the above stages,

today the textile industry in our country has been

formed as a whole complex of organizational

structures, from the supplier of raw materials to the

sale of finished products.

Today, the light industry, which includes the textile,

clothing and leather and footwear industries, accounts

for 15.8% of total industrial output, 13% of fixed assets

and more than 13% of employment. It is also necessary

to have rich raw material bases (cotton, wool,

astrakhan, silk, oil, gas, etc.) for the development and

supply of all branches of light industry, as well as

sufficient conditions for the rapid development of the

economy (natural-climatic, regional and labor

resources). If we digitally refer to the growth rates of

industrial production in the industry, in 1991, 7% of

cotton fiber grown in the country was processed, and

today 40% of this product is processed by light industry

enterprises. By 2030, it is planned to process 100% of

raw cotton grown in the country and increase

production by 5.6 times.

Although significant progress has been made in the

textile industry as a result of the above-mentioned

structural changes, there are still many unresolved

issues in the sector. Today, the industry and the

supplier of raw materials to agricultural production

have the following main problems:

in cotton growing:


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- Modernization of the existing material and technical

base of enterprises on the basis of advanced

technologies in order to ensure speed in production

processes;

- slow pace of implementation of modern methods of

corporate governance;

- Untimely measures to diversify the production

activities of ginneries, the idleness of most of the

production capacity;

- Lack of a healthy competitive environment between

industrial enterprises and agricultural producers and

the lack of favorable legal and organizational

conditions for their effective operation, resulting in a

decrease in the investment attractiveness of the

industry.

in the textile industry:

- non-compliance of the industry management system

with modern development trends of the industry;

- The introduction of modern quality management

systems in the laboratories of enterprises is low, which

hinders the export of domestic products to major

foreign markets, increasing the export potential of the

industry and increasing confidence in the quality and

safety of products;

- low share of the industry in the country's GDP.

At the same time, the presence of the following

common problems in all sectors necessitates their

implementation, including the following important

structural changes in the structure of the textile

industry and its activities:

- adequate introduction of modern information and

communication technologies; At the same time, a

system of control over the processes of receipt,

transportation and processing of raw materials and

sale of finished products will be formed;

- rational distribution of raw materials and production

resources, otherwise shortcomings in the organization

of logistics and engineering infrastructure can lead to a

significant stagnation of production capacity, increase

in production costs due to economic losses and

decrease in profitability;

- Ensuring a stable dominance of production and

export of semi-finished products in the enterprises of

the sector, the organization of the production of high

value-added finished products and the formation of

national brands capable of competing in world markets

will increase the income of industrial enterprises;

- Paying special attention to the system of training, the

introduction of innovative areas of training on current

issues of development of the industry and the

establishment of international cooperation to deepen

research, etc.


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The purpose of the clusters is to focus on the creation

of competitive goods based on the organization of

innovative production - the integration of enterprises

of the same industry located in the city, district and

region and with them in a single technological chain of

education,

science,

engineering,

consulting,

standardization, certification and other services.

consists of. An important aspect of this is the

employment of the population in our economy.

The globalization and deepening of integration

processes in the world economy requires a

comprehensive study of both the internal strengths

and weaknesses of agribusiness, as well as its external

opportunities and risks in the market. One of these

opportunities is to organize an agro-industrial group on

a cluster model.

The cluster model is widely used in world practice as a

tool to increase the level of competitiveness of the

economic group, the region, the whole country. The

main features of the cluster model are:

- the possibility of increasing the group's share in

foreign markets; availability of favorable conditions

(raw materials, qualified personnel, infrastructure,

training centers, scientific institutions, etc.) in the area

where the enterprise is located;

- the breadth of opportunities for participants to

effectively participate in the group due to the strong

use of the group by the state, etc.

On the basis of the Resolution of the President of the

Republic of Uzbekistan dated December 21, 2016 No

PP-2687 "On the program of measures for the

development of the textile and garment industry for

2017-2021" was carried out. In accordance with the

Resolution of the President of the Republic of

Uzbekistan dated September 15, 2017 No PQ-3279 "On

measures to establish a modern cotton and textile

cluster in the Syrdarya region", developed as a logical

continuation of this normative document for the

accelerated development of the textile and clothing

industry. the first step was taken to cluster the textile

industry.

Also, in accordance with the Decree of the President of

the Republic of Uzbekistan dated December 14, 2017

No PF-5285 "On measures to accelerate the

development of the textile and garment industry" to

organize the production of a wide range of quality

textiles and garments in the country. Comprehensive

measures are being taken to increase the export

potential of producers.

The next stage of reforms to develop the activities of

cotton and textile clusters is the decision of the

President of the Republic of Uzbekistan dated

September 16, 2019 No PP-4453 "On measures to

further develop the light industry and stimulate the

production of finished products" It began with the

adoption of Resolution No. PP-4633 of March 6, 2020

"On measures to widely introduce market principles in


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the cotton sector," which provides organizational and

legal aspects of the process of transfer of processing

systems to clusters and private entrepreneurship.

A cluster can be described as “development that

revolves around a single chain”. It w

as acknowledged

that the process consisted of four stages:

The first stage is the agricultural sector, which is the

main source of industrial raw materials, and this sector

includes the process from preparing the land for

planting to harvesting.

The second stage - the primary processing of raw

materials involves the conversion of the crop into

products such as fiber, seeds, seeds, as well as the

preparation of construction materials for the

construction industry from cotton stalks.

The third stage is a deep processing process, in which

the primary products obtained from raw cotton

become finished products for consumption. In

particular, fiber is used to make yarn and fabrics, ready-

made clothes, vegetable oil from seeds, household

soap, animal feed, pharmaceutical products.

In the fourth stage, the first and fourth stages are

interconnected - a real chain is formed.

As a result of the process of clustering of cotton and

cotton processing industries, as well as the

infrastructure

systems

associated

with

the

organization of their activities, today in the country

there are a total of 94 cotton and textile clusters.

Cotton-textile clusters cultivated 906,313 hectares of

land in 2020, which is 87.7% of the total area under

cotton in the country. In the past period of cultivation

of raw cotton in agricultural enterprises within the

existing cotton-textile clusters, due to the involvement

of advanced modern innovative technologies, cotton

yield has increased by an additional 10 quintals per

hectare.

Currently, the main activities of cotton and textile

clusters to obtain high-yield cotton are as follows

(Figure 1.2):

- Phosphorus fertilizers and chemicals used in pest

control

during

agro-technical

processing

are

purchased from abroad (Russia, Kazakhstan) to feed

the sown areas, as well as from China, Turkey, Russia,

USA, Australia, Sweden and other countries;

- Seed sowing is carried out on modern 6, 8, 10, 12 rows

of special pneumatic seed drills made in China, USA,

Turkey, France, Germany, Sweden;

- In areas where cotton is difficult to irrigate, the work

is carried out with the introduction of modern drip

irrigation technologies and the production of raw

cotton from 50 to 60 quintals per hectare;

- Cotton-textile production and clusters use modern

methods of cotton picking, including harvesting on


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cotton picking machines manufactured in the USA

(John Deere), Germany (Case), China and other

countries.

Significant changes in the quantity and quality of the

textile industry were observed in a short period of time

as a result of the establishment and development of

cotton-textile clusters, which produce textiles and raw

materials, as well as integrate the infrastructure

systems associated with the activities of both sectors.

In particular, the share of the industry in the country's

industrial production will increase from 12.4% in 2016 to

14.7% in 2020, with industrial revenues reaching 1.5

billion. $ 4.2 billion. dollars. According to the analysis, in

2021 this figure will reach 5.9 billion. dollars.

As a result of structural changes, the redistribution of

income in the textile processing system in 2016

accounted for 51.8% of the second redistribution, 16.5%

of the third redistribution and 31.7% of the fourth

redistribution. , 2%, 19.8%, and 42.3%, respectively. In

other words, with the organization of activities based

on a cluster approach, the share of the finished

product in the value chain in the value chain has

increased.

Areas of activity carried out by cotton-textile clusters to obtain high-yield cotton

Processing of phosphorus fertilizers imported from developed countries to feed the
sown areas

Treatment of pests with chemicals imported from agriculturally developed
countries

Use of 6, 8, 10, 12-row pneumatic seed drills manufactured in the agricultural
machinery industry of developed countries for sowing seeds

Introduction of modern drip irrigation technologies in areas where it is difficult to
irrigate cotton fields

Use of cotton picking machines manufactured in the USA (John Deere), Germany
(Case), China and other countries for the collection of raw cotton


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Figure 1.2. Areas of activity of cotton-textile clusters to increase the productivity of raw cotton

The development of the network on the basis of a

cluster approach leads not only to economic efficiency,

but also to an increase in social efficiency. If in 2016

there were a total of 100 thousand jobs in the industry,

in 2020 this figure was 315 thousand jobs, an increase

of 3.15 times compared to 2016. There is also a

significant (4 times more) increase in the volume of

payments to the budget of enterprises in the sector.

At the current stage of economic development in the

country, regional cotton and textile clusters play an

important role in determining the development of the

entire agro-industrial complex. Because the cotton-

textile cluster covers not only light industry, but also

dozens of sectors such as agriculture, food industry,

pharmaceuticals, construction products.

The fact that the formation of clusters in the light

industry and textile system in Uzbekistan is carried out

not on a national scale, but on the basis of specific

socio-economic and natural conditions in the regions -

is a factor of success in this area.

Today, the use of the cluster mechanism, which is a

novelty for the national economy, an innovative type

of modern industry, in particular, in cotton and textile

clusters are being created production facilities for 100%

processing in the form of "cultivation of raw cotton -

processing - finished products." Because with the

achievement of this process in the cotton-textile

clusters through the preparation of lands for the

cultivation of raw cotton, planting, cultivating,

harvesting, processing and deep processing of

products from primary processing to produce high

quality products that meet international standards and

the enterprises engaged in their realization are united

in a single management system.

The application of new forms and methods of

management in agriculture and related industries in

the country will lay the foundation for the rapid

development of the country's economy, in particular,

its branches related to the agricultural sector.

Establishment of agro-industrial clusters, in particular

cotton-textile clusters, is aimed at:

- further deepening of structural changes and

reduction of state interference in the activities of

agricultural enterprises;

- Encouraging foreign investment to create an

integrated cluster system for the innovative

development of the agro-industrial complex, in

particular, its textile industry;

- Introduction of effective methods for the cultivation

of raw cotton and the organization of deep processing

of textile raw materials;


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- Improving the efficiency of production in the cotton

industry and linking wages to its results, etc.

Development of the textile industry through a cluster

system is aimed at achieving the following goals:

- development of production, investment activities and

employment;

- Improving the quality of products by reducing the

cost of production, and ultimately achieving the

competitiveness of goods;

- The introduction of new technologies and innovations

will increase the country's prestige in regional and

global markets and ensure the competitiveness of

products.

In general, cotton and textile clusters serve as a

"driver" of economic growth for the development of

the country's economy. It ensures the production of

value-added,

competitive

and

export-oriented

products and enhances the free competitive

advantage of individual enterprises in the industrial

sector.

The development of individual industries or sectors on

the basis of a cluster approach in recent years in the

process of economic development of countries around

the world requires research in the context of the

current situation when considering an issue that is a

field of study. Taking this into account, the

development of the industrial market based on the

formation of clusters of the textile industry, which is

one of the directions of effective use of industrial

sectors in our country, is recognized as a promising

direction.

First, let’s take a closer look at the essence of the term

cluster. Many countries have extensive experience in

the development of cluster economies, and definitions

of clusters are given in various literatures. According to

M. Porter, the initiator of cluster theory, a cluster is a

group of companies (suppliers, manufacturers, etc.)

that are interconnected by general and external

relations in a particular field and their main activities

(educational institutions, government agencies,

infrastructure) is a geographically close group.

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Theoretical & Applied Science, Philadelphia,

USA, 10(78), 160-165.

2.

Khankeldieva, G. S. (2020). Theoretical and

economic prerequisites for the development

of regional industrial clusters in the economy

of the republic of uzbekistan.

3.

Muminova, E., Honkeldiyeva, G., Kurpayanidi,

K., Akhunova, S., & Hamdamova, S. (2020).

Features of Introducing Blockchain Technology

in Digital Economy Developing Conditions in


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)

OCLC

1121105677















































Publisher:

Oscar Publishing Services

Servi

Uzbekistan. In E3S Web of Conferences (Vol.

159, p. 04023). EDP Sciences.

4.

Xonkeldiyeva, K., & Xo'jamberdiyev, J. (2020).

Improving organizational effectiveness of

industrial production. Экономика и социум, 3,

145-147.

5.

Zokirova, S. X., Akbarov, R. F., Isagaliyeva, S.

M., & Xonkeldiyeva, K. R. (2021). Sand

Distribution In Central Fergana. The American

Journal of Interdisciplinary Innovations and

Research, 3(01), 113-117.

6.

Zokirova, S. Х., Ahmedova, D., Akbarov, R. F., &

Xonkeldiyeva, K. R. (2021). Light Industry

Enterprises In Marketing Activities Experience

Of Foreign Countries In The Use Of Cluster

Theory. The American Journal of Management

and Economics Innovations, 3 (01), 36, 39.

7.

Asqarova, A. M., Xonkeldiyeva, K. R.,

Nomonjonova, F. U., Qodirova, S. Q., &

Arabxonova, X. A. (2021). Classification Of

Competition In The Market Of Light Industrial

Goods And The Factors That Shape It. The

American Journal of Management and

Economics Innovations, 3 (01), 43, 46.

8.

Asqarova,

A.,

Xonkeldiyeva,

K.,

Abdumutalibova, X., & Murotova, D. (2021).

Issues of increasing the competitiveness of

light industry enterprises. Наука сегодня:

проблемы и пути решения [Текст]: материа,

48.

References

Sh, K. G. (2019). Prospects of the development of investment activity in the field of tourist services: problems and ways of solution. Theoretical & Applied Science, Philadelphia, USA, 10(78), 160-165.

Khankeldieva, G. S. (2020). Theoretical and economic prerequisites for the development of regional industrial clusters in the economy of the republic of uzbekistan.

Muminova, E., Honkeldiyeva, G., Kurpayanidi, K., Akhunova, S., & Hamdamova, S. (2020). Features of Introducing Blockchain Technology in Digital Economy Developing Conditions in Uzbekistan. In E3S Web of Conferences (Vol. 159, p. 04023). EDP Sciences.

Xonkeldiyeva, K., & Xo'jamberdiyev, J. (2020). Improving organizational effectiveness of industrial production. Экономика и социум, 3, 145-147.

Zokirova, S. X., Akbarov, R. F., Isagaliyeva, S. M., & Xonkeldiyeva, K. R. (2021). Sand Distribution In Central Fergana. The American Journal of Interdisciplinary Innovations and Research, 3(01), 113-117.

Zokirova, S. Х., Ahmedova, D., Akbarov, R. F., & Xonkeldiyeva, K. R. (2021). Light Industry Enterprises In Marketing Activities Experience Of Foreign Countries In The Use Of Cluster Theory. The American Journal of Management and Economics Innovations, 3 (01), 36, 39.

Asqarova, A. M., Xonkeldiyeva, K. R., Nomonjonova, F. U., Qodirova, S. Q., & Arabxonova, X. A. (2021). Classification Of Competition In The Market Of Light Industrial Goods And The Factors That Shape It. The American Journal of Management and Economics Innovations, 3 (01), 43, 46.

Asqarova, A., Xonkeldiyeva, K., Abdumutalibova, X., & Murotova, D. (2021). Issues of increasing the competitiveness of light industry enterprises. Наука сегодня: проблемы и пути решения [Текст]: материа, 48.