ACADEMIC RESEARCH IN MODERN SCIENCE
International scientific-online conference
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FACTORS AFFECTING THE COMPETITIVENESS OF A FIRM
Sharafutdinov Nigmatullo Abdullayevich
Project Management (PM) student at the Higher School of Business and
Entrepreneurship -
Kenzhabayev A.T.
Scientific supervisor, prof.
https://doi.org/10.5281/zenodo.15400481
Abstract.
This article examines the factors that influence the
competitiveness of a company. Factors can have both a positive and negative
impact on the competitiveness of an organization.
Key words:
competition, enterprise competitiveness, enterprise
competitiveness methods, factors
The competitive position of an enterprise is determined based on an
analysis of its strengths and weaknesses, together with an assessment of the
factors that influence the behavior of buyers, which, as a result, determine the
share of sales of goods in a particular market. Competitiveness reflects the
efficiency of the enterprise, the productivity of the use of all types of resources.
The competitiveness of an enterprise does not have an absolute measure; it
can be determined by a separate or several parameters of the company's
activities. A factor is a cause, a driving force of any process, phenomenon,
determining its nature or its individual features.
A competitiveness factor is a direct cause that influences changes in
competitiveness indicators. The factors of competitiveness of an enterprise also
mean those phenomena or processes of the production and economic activity of
an enterprise and the socio-economic life of society that cause changes in the
absolute and relative value of production costs, and as a result, the level of
competitiveness of the enterprise [2]. Factors of enterprise competitiveness are
those phenomena and processes of the economic activity of the organization and
the socio-economic life of society that lead to a change in the absolute and
relative value of production costs, and ultimately have a direct impact on the
level of competitiveness of the economic entity.
It should be noted that in economic literature the approach that divides all
factors of the organization's competitiveness into two main groups depending
on the enterprise's ability to influence them has received the greatest
recognition. Accordingly, the factors are divided as follows:
- external factors that the enterprise can influence to a small extent;
- internal factors that almost completely depend on the enterprise's
management.
ACADEMIC RESEARCH IN MODERN SCIENCE
International scientific-online conference
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Accordingly, internal factors are objective criteria that determine the
organization's capabilities related to ensuring its competitiveness. The following
are considered internal factors of the competitiveness of an economic entity:
In turn, external factors are those groups of factors that the enterprise
cannot directly influence. The following are considered external factors of
competitiveness of an economic entity:
Based on the above, we can conclude that the competitiveness of an
enterprise is a combination of the characteristics of the business entity itself and
the characteristics of external factors that have one or another impact on it.
It should be noted that factors can have both a positive and a negative
impact on the competitiveness of an organization. A positive impact, in this case,
becomes the competitive advantages of the enterprise, and a negative impact -
competitive problems.
management
information
technological
environmental
production
scientific and
technical
international
cultural
political
legal
socio-
demographic
economic
ACADEMIC RESEARCH IN MODERN SCIENCE
International scientific-online conference
67
Economists A. Ollivier, A. Dayan and R. Urse identify eight key factors of
enterprise competitiveness:
1. The concept of the product on which the activity of the business entity is
based;
2. The quality of the product, that is, its compliance with the high level of
goods that are leaders in the market;
3. The price of the product, including a possible markup;
4. The finances of the business entity, taking into account both its own and
borrowed funds;
5. The trade of the business entity, which is assessed from the point of view
of commercial methods and means of activity;
6. After-sales customer service, which provides the business entity with
regular customers;
7. Foreign trade of the business entity, which consists of managing
relationships with the country's authorities, the media and public opinion;
8. Pre-sale preparation of products, which speaks of the ability of the
business entity not only to anticipate the needs of potential consumers, but also
to convince them of its exceptional ability to satisfy these needs.
References:
1. Burieva N.S. Factors of enterprise competitiveness // Business and design.
2023. No.1. - P. 156-165.
2. Davronov M. Methods for assessing the competitiveness of enterprises //
Economics and business: theory and practice. 2024. - No.7. - P. 159-167.
3. Kolshansky E.A. Methods of analysis and assessment of enterprise
competitiveness // New science in the new world: philosophical, socio-
economic, cultural understanding. 2024. - P. 157-160.
