âåñòíèê - Саратовский социально

Transcription

Специальный
выпуск
2005
ÂÅÑÒÍÈÊ
ÑÀÐÀÒÎÂÑÊÎÃÎ
ÃÎÑÓÄÀÐÑÒÂÅÍÍÎÃÎ
ÑÎÖÈÀËÜÍÎÝÊÎÍÎÌÈ×ÅÑÊÎÃÎ
ÓÍÈÂÅÐÑÈÒÅÒÀ
РЕДАКЦИОННАЯ КОЛЛЕГИЯ:
В.М. Ларин
(главный
редактор )
В.А. Русановский
(зам.
главного редактора)
В.В. Всемиров
(ответственный
Публикации подготовлены учеными
Саратовского государственного
социально-экономического университета (Россия)
и Словацкого сельскохозяйственного университета
г. Нитра (Словакия)
секретарь)
С.В. Барулин
Е.П. Бочаров
А.А. Воротников
В.И. Долгий
А.Н. Николаев
Учредитель
Ãîñóäàðñòâåííîå
îáðàçîâàòåëüíîå ó÷ðåæäåíèå
âûñøåãî ïðîôåññèîíàëüíîãî
îáðàçîâàíèÿ
«Ñàðàòîâñêèé
ãîñóäàðñòâåííûé
ñîöèàëüíî-ýêîíîìè÷åñêèé
óíèâåðñèòåò»
Свидетельство о регистрации
средства массовой информации
ПИ № 77-13100 от 15 июля 2002 г.
Министерства РФ по делам
печати, телерадиовещания
и средств массовых коммуникаций
СОДЕРЖАНИЕ
Обращение к читателям ректора СГСЭУ Владимира Динеса...................3
Кучера М., Латечкова А., Скорекова Э.
СИСТЕМА РАСХОДОВ ПРЕДПРИЯТИЙ В УСЛОВИЯХ ЭКОНОМИЧЕСКОЙ
ИНТЕРНАЦИОНАЛИЗАЦИИ (Нитра, Словакия ).........................................................5
Сякин Р.
НАЛОГОВЫЕ ПЛАТЕЖИ КАК РАСХОДЫ ПРЕДПРИЯТИЙ (Саратов, Россия)........10
Креттер А.
МАРКЕТИНГ СЕЛЬСКОХОЗЯЙСТВЕННЫХ ПРЕДПРИЯТИЙ (Нитра, Словакия).........14
Зубков В., Кузнецова Н.
АКТУАЛЬНЫЕ ПРОБЛЕМЫ РАЗВИТИЯ СЕЛЬСКОХОЗЯЙСТВЕННЫХ
ПРЕДПРИЯТИЙ САРАТОВСКОЙ ОБЛАСТИ (Саратов, Россия)..............................19
Коснер М., Сзовик П., Себо А.
СОВЕРШЕНСТВОВАНИЕ ПРЕДОСТАВЛЕНИЯ СКИДОК ПРИ РАБОТЕ С СЕЛЬСКОХОЗЯЙСТВЕННОЙ ПРОДУКЦИЕЙ В СЛОВАКИИ (Нитра, Словакия).............25
Сухорукова А., Раевская С.
РЕГУЛИРОВАНИЕ РАЗВИТИЯ САХАРНОЙ ПРОМЫШЛЕННОСТИ РОССИИ
(Саратов, Россия)........................................................................................................30
Хорска Е., Убрезиова И.
ГЕОГРАФИЧЕСКАЯ И ЭКОНОМИЧЕСКАЯ УДАЛЕННОСТЬ И ЕЕ ВЛИЯНИЕ
НА РАЗВИТИЕ МЕЖДУНАРОДНОГО СОТРУДНИЧЕСТВА (Нитра, Словакия)..........36
Компьютерная верстка
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СГСЭУ
ISBN 5-87309-449-7
Назариева Н.
МЕЖДУНАРОДНОЕ ЭКОНОМИЧЕСКОЕ СОТРУДНИЧЕСТВО РОССИЙСКИХ
КОМПАНИЙ (Саратов, Россия ).................................................................................40
Форет М., Нагиова Л., Мадарова Л.
ПАТРИОТИЗМ КАК ФАКТОР РЫНОЧНОЙ СТРАТЕГИИ (Нитра, Словакия)............45
Николаев А.
ОСОБЕННОСТИ ИСПОЛЬЗОВАНИЯ "СПОРТИВНОГО ПАТРИОТИЗМА"
В РЕГИОНАЛЬНОЙ ПОЛИТИКЕ (Саратов, Россия).................................................49
Орзагова Д., Греганова Р.
ПРИКЛАДНЫЕ МАТЕМАТИЧЕСКИЕ ЗАДАЧИ В ИНЖЕНЕРНЫХ НАУКАХ
В СЛОВАЦКОМ СЕЛЬСКОХОЗЯЙСТВЕННОМ УНИВЕРСИТЕТЕ (Г. НИТРА)
(Нитра, Словакия)........................................................................................................53
Балаш В., Павлюк Д.
ПРИМЕНЕНИЕ МЕТОДИКИ СТОХАСТИЧЕСКОЙ ГРАНИЦЫ ЭФФЕКТИВНОСТИ
К АНАЛИЗУ ПОКАЗАТЕЛЕЙ РОССИЙСКИХ БАНКОВ (Саратов, Россия)............59
Саратовский государственный
социально-экономический университет,
©
2005
2
2
The articles have been prepared by researches
of Saratov State Sosio-Economic University (Russia)
and the Slovak Agricultural University in Nitra (Slovakia)
CONTENTS
The address of Vladimir Dines, Rector of SSSEU, to the reader..................................................3
Kučera M., Látečková A., Škorecová E.
ENTERPRISE COSTS SYSTEM UNDER THE CONDITIONS OF ECONOMIC INTERNATIONALISATION
(Nitra, Slovakia) ....................................................................................................................................................................... 5
Syakin R.
TAX PAYMENTS AS ENTERPRISE EXPENSES (Saratov, Russia) ................................................................................... 10
Kretter A.
MARKETING OF AGRICULTURAL ENTERPRISES (Nitra, Slovakia) .................................................................................. 14
Zubkov V., Kuznetsova N.
URGENT ISSUES OF AGRICULTURAL DEVELOPMENT IN SARATOV REGION (Saratov, Russia) ............................ 19
Kočner M., Szovics P, Šebo A.
THE DEVELOPMENT OF DRAFT DISCOUNT WITH AGRICULTURAL COMMODITIES IN SLOVAKIA
(Nitra, Slovakia) ..................................................................................................................................................................... 25
Suhorukova A., Raevskaya S.
REGULATION OF THE SUGAR INDUSTRY DEVELOPMENT I N RUSSIA (Saratov, Russia) ........................................ 30
Horská E., Ubrežiová I.
GEOGRAPHICAL AND BUSINESS DISTANCE AND ITS INFLUENCE ON INTERNATIONAL BUSINESS
COOPERATION (Nitra, Slovakia) ........................................................................................................................................... 36
Nazarieva N.
INTERNATIONAL ECONOMIC COOPERATION OF RUSSIAN COMPANIES (Saratov, Russia) ....................................... 40
Foret M., Nagyová L., Maďarová L.
PATRIOTISM AS A MARKET STRATEGY FACTOR (Nitra, Slovakia) .............................................................................. 45
Nikolaev A.
PECULIARITIES OF USING "SPORT PATRIOTISM" IN THE REGIONAL POLICY (Saratov, Russia) ............................ 49
Országhová D., Gregáňová R.
APPLIED MATHEMATICAL TASKS IN ENGINEERING STUDY AT THE SLOVAK UNIVERSITY
OF AGRICULTURE IN NITRA (Nitra, Slovakia) .................................................................................................................... 53
Balash V., Pavlyuk D.
STOCHASTIC FRONTIER ANALYSIS OF RUSSIAN BANKS’ EFFICIENCY (Saratov, Russia) ...................................... 59
ОБРАЩЕНИЕ К ЧИТАТЕЛЯМ
Предлагаемый Вашему вниманию выпуск журнала «Вестник Саратовского
государственного социально-экономического университета» – необычный. В
нем содержатся статьи ученых Словацкого сельскохозяйственного университета и СГСЭУ, посвященные актуальным для обеих стран экономическим и социально-политическим проблемам, вопросам методики преподавания. Подготовка этого издания осуществлялась в рамках договора между двумя университетами, подписанного в ходе пребывания делегации СГСЭУ в Словакии в мае
2004 года и предусматривающего развитие сотрудничества в сфере образования и науки.
Я надеюсь, что возможность ознакомиться с трудами своих зарубежных
коллег поможет словацким и российским специалистам не только получить новую интересную информацию и расширить свой кругозор, но и установить прямые научные связи, объединить усилия в проведении исследований и совершенствовании подготовки кадров, что, безусловно, отвечает интересам обоих
университетов.
С наилучшими пожеланиями
Владимир Динес,
ректор СГСЭУ
THE ADDRESS TO THE READER
The “Bulletin of Saratov State Socio-Economic University” issue, we call your
attention to, is not usual. It contains articles of researchers from Slovak Agricultural
University and SSSEU, which are devoted to economic and socio-political problems
urgent for the both countries and issues of teaching methods. Preparation of this edition
was arranged in the framework of the agreement between the two universities, signed
during SSSEU delegation’s visit to Slovakia in May 2004 and providing for the
development of cooperation in education and science.
I hope, the opportunity to get acquainted with works of their foreign colleagues
will help Slovak and Russian specialists not only to obtain new interesting information
and broaden their horizons, but to establish direct scientific contacts, join efforts in
carrying out research and improving staff training as well, that, undoubtedly, answers to
the interests of the both universities.
Best wishes,
Vladimir Dines
Rector of SSSEU
4
УДК 658.15
Milan KUČERA, Anna LÁTEČKOVÁ, Emília ŠKORECOVÁ
Slovak Agricultural University in Nitra
ENTERPRISE COSTS SYSTEM UNDER THE CONDITIONS
OF ECONOMIC INTERNATIONALISATION
At present adequate cost economic management is not possible without economic software application.
Based on the analysis of the current state of enterprise information systems in agriculture we define basic methods
of automatic processing of economic trials and this on the enterprise management level and in – plant level.
Determination of the company strategy and tactics under the conditions of economic internationalisation
needs to have enough information not only about the company and its production processes, but also about the
situation in the sector from the viewpoint of national European or world aspect. Information and communication
technologies are necessary to acquire, save, process and present the information.
Key words: software, information system, costs, calculations, budgets
Entry of Slovakia to the European Union (EU) is the result of economic internationalization deepening.
Slovakia as a member of the international European integrated community takes over a shared responsibility for
the economic development of the European Union except its own economic development. To increase the
competitiveness of Slovak and the European Union economy, first of all it is important to ensure well functioning of
the national economy and rational treatment of domestic resources.
The level of operation with resources is shown by the level of costs highness. Entrepreneurial units will need
to ensure the lowest possible costs at the same time to maximize the efficiency of production processes. This fact
demands high requirements to the cost system of the company. In order to meet the needs of the managers
ensuring competitive advantage, it will be desirable to enlarge the information content of costs in the following way:
a) to cover, besides in-plant information, also information from the entrepreneurial environment in the national
and European scope,
b) to allow cost analysis from several aspects and several sequences (company, national, international).
Meeting the above mentioned high requirements to the cost system in the company will not be possible
without further automation.
MATERIAL AND METHODS
The goal of the paper is to specify the main ideas of company cost automation system under the conditions
of internationalization of market economies.
As a resource material for this contribution the results of several researches were used focused on:
• analysis of the current situation of information systems in agriculture,
• transformation of information systems of agricultural enterprises in connection with the entry to the
European Union.
In the contribution we apply information from the research of selected economic software products (Aurus,
Pro-fit, Softeam, Codex, Laura) and analysis of a list of agricultural enterprises (30 enterprises). Results are
reached with the analytic–synthetic method, comparative method, method of selection, controlled conversation,
direct observation and questionnaire method.
RESULTS AND DISCUSSION
Current world trends require from enterprises achieving the highest quality with the lowest costs to adjust for
customer claims, which brings higher demand in pre-production and production management aspirations and
aspiration for parallel technical and economic tasks decisions.
6
The pressure of competitive environment on the highest production flexibility requires elastically change
production content, come with new products and new production procedures, regulate production volumes, produce
not for inventory, look for new production resources and use them rationally. These problems also have impact on
agri-food enterprises. They do not relate indeed in full scale on agricultural business, because their production
flexibility is determined by natural conditions.
Product cost compared to product earnings belong to the most important information by solving problems
connected with production flexibility, changing the structure and product assortment optimization.
Tasks connected with production flexibility, bring up needs to extent and strengthen in the
enterprise information system:
• information about costs based on production structure,
• difference methods of cost management,
• costs analyzing methods for solving different decisions tasks.
To the area of product structure information enlargement about cost we refer:
• establish a well functioning calculation system with conventional and unconventional calculation methods,
which gives the opportunity to use suitable calculation type for each decision task,
• optimal norm and normative level specification of unite cost, so that in combination with production
instruments they can secure required economy and efficiency of production,
• find such a way of overhead expenses allocation, which make possible to improve calculations – the
basic background for the analyse and production cost management,
• provide such information already in pre-production phases; formation of qualitative estimate calculations,
not only for operative, but also for tactic and strategic cost management, what requires also using adequate
mathematical apparatus and automation of entry processing.
Expansion and strengthening the differentiated cost management methods means creation of
bigger space for production process management through deviations. It needs to define tasks, standards,
preliminary calculations and budgeting. During the production process the deviations of the outcome with the
standards are compared, mainly deviations from the determined cost task, their causes and the responsibility
of production units for invested costs and deviation formation. The exact determination of the cost task means
the shift of cost management to pre production phases and use of adequate mathematical and statistical
apparatus, which fulfill the requirements of operative as well as tactical and strategic cost management. In the
case of strategic cost management it is possible to follow and analyze the deviations of actual values from the
prognosis.
The use of adequate mathematical and statistical apparatus and the vast information needed for cost
variance methods require the automation of data processing.
Expansion and strengthening the analysis which meets the requirements of different decision
making tasks means, that it is inevitable to use suitable analytical techniques, which allow to decompose large
information base of the selected decision making task. Except the classical mathematical and statistical methods
(index analysis, trends, maximums, minimums etc.) this notion requires the use of other methods for property
analysis (time series analysis, cluster analysis), for regulation identification (regression and correlation analysis,
factor analysis, method of main components, suitable deterministic and stochastic models, expert systems,
robust estimations of probabilities, robust identification of parameters in the models etc.), for application of identified
laws in short term decision making (methods of optimal programming, e.g. PERT, SIMPLEX, delivery problem
etc.) in the long term decision making and forecast preparation.
It is apparent, that for application of mathematical and statistical methods in cost system could be space
just in case of automated data processing.
Integrated information system enables to register cost direct in place of its origin and then distribute to
a place of further processing. In this manner registered entries became reliable basis for:
• economy and efficiency appraisal of individual outputs (final products),
• detailed cost analyse of selected outputs,
• comparison and analyse of real and planned cost.
Besides the subject side is important utility and structure of the economic software. As important we
consider: modularity, integrity of the whole information system, high level of parameters set up by user, adaptability
to the organisation changes, changes of market position of the enterprise and also legislative changes, high user
comfort, interactive accessing primary documents, individual criterions information searching, making real time
analysis, connection to the internet, reliability and security.
7
7
Importance of information for product cost management are enforced
in international accounting standards
Cost quantification in connection to output of the company and importance of pricing is described in. IAS 2
– Valuation and Presentaiton of Inventories in the Context of the Historical Cost System IAS 4 – Depreciation
accounting, IAS 11 – Construction contracts IAS 14 – Segment reporting, IAS 16 Property, plant and equipment,
IAS 18 Revenue recognition, IAS 23 – Borrowing costs, IAS 24 – Related party disclosures, IAS 38 – Intangible
assets, IAS 41 – Agriculture.
Economic effects quantification connected to individual outputs are in: IAS 14 – Segment reporting, IAS 35
Discontinuing operations, IAS 36 – Impairments of assets.
Direct connection to internal information systems including budgeting and internal reporting are in the
account classification framework for closing accounts, in IAS 1 Presentation of financial statements, IAS 11 –
Accounting for construction contracts, IAS 14 Reporting financial information by segment, IAS 18 Revenue
recognition, IAS 36 Impairment of assets.
There are still reserves in exploitations of costing for effectiveness and efficiency management and long
prosperity of the agricultural companies. These reserves are quite huge in primary agricultural companies and
smaller in agri-food processing companies. There are still agricultural firms, which do not deal with costing. Some
companies compile final costing, but the results are not used in management. Some agri-food processing companies
with foreign property use non-traditional methods of costing, mainly costing of variable costs and hardly ever
activity based costing.
After the accession of Slovakia to the EU it is important to widen the scope of the management for agricultural
companies in the area of non-traditional methods of costing. Attention should be paid to:
• costing of variable costs through direct costing, which should be utilized if there is a change in the
structure of the production with regards to existing capacity, in the process of price tactics on the market, in
budgeting profit which should approximate to cash flow and so on,
• activity based costing, which can be used to avoid a lot of inaccuracy which exists in the allocation of
direct and overhead costs to the output,
• retrograde costing, which help to identify the influence of internal and external factors on profitability of
realized output.
Most of the companies in agriculture use automated costing. Results of automated processing of final
costing are adjusted manually, because some of the entries especially overhead costs do not reflect the reality.
Users do not know the cause of the mistake and they do not know how the software operates. Because of this fact
it is important to pay attention of software selection and cooperation with the software company.
Information tool for cost management are budgets. Their meaning is in determining overhead costs of
centers, which are transferred to through costing and recomputed for individual outputs (products, labor and
services). Preliminary costing consists of direct and overhead costs and they are foundation of in-plant price
determination.
Overhead costs uprise in connection with company outputs as a non-homogeneous entity. In spite of this,
it is necessary to add them to output. Before it is necessary to determine overhead costs based on individual
centers or activities. This step is inevitable intermediate for specifying overhead costs for outputs and allows us to
control and assess efficiency of individual outputs.
To set up budgets, which could be used for checking the efficiency of centers and outputs is a difficult task
especially in agricultural production. Biological character of agricultural production and its determination with
natural conditions causes, that despite of exact methods or determining limits in budgeting we have to use
intuitive approach – estimation. We think that agricultural companies should not avoid budgeting, because:
• the main task of budgeting is not only in task definition, which should be fulfilled, but in restriction of
uncertainty in decision making and thus increasing efficiency of decision processes. Analysis of future complications
should be realized and evaluation of solution alternatives, what leads to entrepreneurial activity optimization and
risk elimination,
• short term budgeting can be used in product cost management, where uncertainty is no as big. Shortterm budgets could be a good tool for operational plan implementation in production and tool for liquidity management.
The process of economic integration has strengthened the importance of budgets. Integration means on
hand challenges and opportunities, which should be taken and on the other hand is connected with risk, which
should be early identified and minimized. Prediction of opportunities and risk, danger and its elimination should be
encountered in tactic and strategic budget planning.
Information and communication technologies are necessary to acquire, save, process and present the
introduced information. The quality of entry processing and received results needed for informational ensuring in
substantial extent depends on the quality of economic software.
8
Situation in current agricultural enterprises is according to our research are the following:
1. evidence and processing is realized on two or more personal computers, external documents are typed
directly into the subsystem accounting, entries from internal documents are processed in the adequate subsystems:
documents from the animal production in the subsystem animal, or animal production, supply status documents
in the subsystem supplies, documents about personnel in the subsystem labour power and so on. Processing is
made on PC, which are arranged either on the enterprise level (in the economic division, supply accounting office,
animal accounting office, wage office), or on the department level, where entries are registered and submitted to
the enterprise level. Entries are transmitted with floppy disks or computer network. From the chosen enterprise
set mentioned way of entries transmission use 76,7% of enterprises,
2. evidence and processing is realized by typing the entries from external and internal accounting documents
on single personal computer direct to the subsystem accounting. This method is characteristic for small enterprises
with low automation level. This method uses 20% of agricultural enterprises from the chosen enterprise set,
3. primary entries are recorded already by the primary documents origination and the whole following
process is provided by automatic transfers till the financial accounting office. Such a processing requires computer
network, high quality software and hardware. This method applies 3,3% of enterprises.
Eminent role by product cost observation plays the subsystem intraorganisation accounting. From the
point of automation is this subsystem in enterprises organized in one of these ways:
1. fully with computing technology. This method use middle and big enterprises, which have complete
automated information system and primary entries are registered directly. The method is very effective, gives the
opportunity to the management operative to react to the changes, but also brings high financial expenses. Therefore
only 3,3% of the enterprises from the chosen enterprise set use this method,
2. combination of software and manual processing – this method uses the main part of the enterprises –
96,7% from the chosen enterprise set. A part of the entries is processed by software, but the automated evidence
has to be completed by manual processing. For example by monitoring according a criterion, which does not the
software allow, some reports and analyses has to be done manually
CONCLUSION
Enterprise information systems provide management with broad resources for product cost management.
In agricultural practice managers do not take an advantage of it.
Trends show the need to connect the whole enterprise activity – from the production to the top management
through the application of information systems and information technology.
REFERENCES
BASL, J.(2002): Podnikové informační systémy. Grada Publishing,spol.s r.o. Praha, 2002, 144 s., ISBN 80247-0214-2
BIELIK, P. (2001): Podnikovo-hospodárska teória agrokomplexu. 2. vyd. Nitra: SPU, 2001, 270 s. ISBN 807137-861-5.
BREALEY, R.A. – Myers, S.C.(2000): Teorie a praxe firemních financí. Computer Press 2000. Vydání první.
ISBN 80-7226-189-4
SZOVICS P.: Identification of Internet Resources for Farmers in Slovakia. Proceedings from the EFITA 2003
conference „Information technology for a better agri-food sector, environment and rural living“.Debrecen. Hungary.
ISBN 963 472
TUMPACH, M.: Manažérske účtovníctvo z pohľadu medzinárodných účtovných štandardov. In: ÚAD, IX,
2001, 11, s. 383 – 386. ISSN 1335-2024.
CONTACT ADDRESS:
doc. Ing. Milan Kučera, CSc., SPU v Nitre, Fakulta ekonomiky a manažmentu, Katedra účtovníctva a
financií, Trieda A. Hlinku 2, 949 76 Nitra, tel.: 037 6508 191,
e-mail: [email protected],
Ing. Anna Látečková, PhD., SPU v Nitre, Fakulta ekonomiky a manažmentu, Katedra účtovníctva a financií,
Trieda A. Hlinku 2, 949 76 Nitra, tel.: 037 6508 149,
e-mail: [email protected]
Ing. Emília Škorecová, CSc., SPU v Nitre, Fakulta ekonomiky a manažmentu, Katedra účtovníctva a financií,
Trieda A. Hlinku 2, 949 76 Nitra, tel.: 037 6508 197,
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9
Милан КУЧЕРА, Анна ЛАТЕЧКОВА, Эмилия СКОРЕКОВА
СИСТЕМА РАСХОДОВ ПРЕДПРИЯТИЙ
В УСЛОВИЯХ ЭКОНОМИЧЕСКОЙ ИНТЕРНАЦИОНАЛИЗАЦИИ
Адекватное экономическое управление расходами в настоящее время невозможно без применения экономических компьютерных программ. Основываясь на анализе текущего состояния информационных систем предприятий в сельском хозяйстве, мы определяем основные методы автоматической
обработки экономических исследований на уровне управления предприятием, а также на уровне завода.
Для определения стратегии и тактики компании в условиях экономической интернационализации
необходимо иметь достаточную информацию не только о компании и ее производственных процессах,
но также и о ситуации в секторе в национальном европейском или мировом аспекте. Информационнокоммуникационные технологии необходимы для сбора, хранения, переработки и предоставления информации.
жеты
Ключевые слова: программное обеспечение, информационная система, расходы, расчеты, бюд-
УДК
658:336.22
Ramil SYAKIN
Saratov State Socio-Economic University
TAX PAYMENTS AS ENTERPRISE EXPENSES
The subject of the research is to define the value of tax burden on enterprises, tax structure and charges
included in taxation of income.
Introduction of article 25 part II of the Russian Tax Code caused significant changes in corporation expenses
estimation. Moreover enterprises currently are compelled to keep two records: tax accounting to estimate income
tax and book-keeping to calculate the rest of taxes and duties. In the majority of cases data of these records
differ, and often significantly. One of the differences is tax grouping according to their inclusion into the goods
price.
According to accounting reports we can single out two tax groups: a group included into the cost price and
a group attributed to the economic performances of the enterprise. According to the tax records these two groups
are united into one – taxes included in expenses on income taxation.
Currently in the Russian Federation there is no official procedure to calculate tax burden on enterprises. In
this connection it is reasonable to define tax burden as a ratio of the taxes payable to the net value added.
Key words: taxes, expenses, cost, economic performances, tax burden
The following works are concerned with the problem of tax burden calculation: “Taxes and Taxation” (Yutkina,
2001), “Tax Burden in Russian Tax System” (Panskov, 1998), “Financial Aspects of Russian Economy” (Sabanty,
2001), “Tax Policy in Modern Russia: evaluation and Development Priorities” (Makrushin, 2001), “Taxes and Revenue
Law” (Brizgalin, 1997), “Tax Burden and Taxation Limits in Modern Russia” (Beketova, 2001), “Tax Burden Calculation
under Current Conditions” (Vilkova, 2002).
Today the subject of income taxation is considered to be the profit gained by a taxpayer.
Profit is considered as:
1. for Russian enterprises – earned revenue exlusive of incurred expenses value which are calculated
according to article 25 of the Russian Tax Code.
2. for foreign-owned enterprises working in the Russian Federation through permanent representations –
profit gained through these permanent representations exclusive of expenses which were incurred by these permanent
representations and defined according to article 25 of the Russian Tax Code
3. for other foreign-owned enterprises – profit gained from sources in the Russian Federation
Profit is regarded as:
1. trading income gained from realization of home produced or earlier obtained goods (work, services) and
property income
2. extraordinary profit
While fixing the profits taxes laid to the buyer of goods (works, servises, vested interests) by the taxpayer
are exluded.
The taxpayers reduce their earned revenue by the sum of incurred expenses except those in the form of
penalties and fines; by way of extra effluent tax; in the form of voluntary insurance premium and other espenses
specified in article 270 of the Russian Tax Code.
Expenses are understood as reasonable outlays of a taxpayer secured by documents. Reasonable expenses
are economically sound expenses, its evaluation is expressed in money terms. Secured by documents expenses
are expenses confirmed by documents executed according to present Russian law. Any outlays are regarded as
expenses if they are made for any activity aimed to derive profit.
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Depending on its charactor, conditions of realization and taxpayer’s line of business expenses are divided
as follows:
1. manufacturing and realization expenses. For example, productive expenditures, storage and forwording
charges, working and service expenses, research and development spendings
2. extraordinary expenses
Manufacturing and realization expenses are further subdivided into:
1. materials costs
2. wage-and-salary disbursements
3. amortization costs
4. miscellaneous costs
Materials costs are:
• package costs
• operating costs (fuel, water, power consumption for production of energy and central heating) etc.
Taxpayer’s wage-and-salary disbursements include charges on payroll in money and (or) natural forms
which stimulate extra charges and increases, bonuses and rewarding, lump-sum premiums:
• cash indemnity for unused holiday in accordance with labour legislation of the Russian Federation
• long service bonus
• payment for the blood donors’ work (for the days of medical checkup, the day of blood transfusion and the
day of rest given after it)
Depreciable assets are considered to be property, results of intellectual property and other objects of
intellectual property which are owned by the tax payer by property right. They are used to produce profit and its
cost is redeemable due to depreciation.
The property is regarded as depreciable if its working life is more than 12 months and its original cost is
more than 10 thousand rubles. Land and natural resources (water etc.), securities and other types of property
specified in article 256 of the Russian Tax Code are not depreciable.
Miscellaneous expenses are:
1. goods and services certification expenditures
2. travel expenses
3. costs of legal and information services
4. costs of consulting service
5. costs of auditing service
6. professional training and retraining expenditures
7. other expenses specified in article 264 of the Russian Tax Code
Extraordinary expenses which are not incidental to production and realization of goods include:
1. expenses on maintenance of property given on lease
2. legal costs
3. prior periods tax expenses revealed in the current accounting period
4. losses by natural disasters, fire and other force majeure circumstances
5. other expenses specified in article 265 of the Russian Tax Code
Miscellaneous expenses take into account taxes included in the cost and corporate taxes:
• social flat-rate tax
• VAT included in expenses
• security transfer taxes
• tax on mining operations
• charges for natural resources use
• effluent tax
• charges for the use of fauna and water biological resources
• charges for water resources use
• estate tax
• charges for woodland use
• transport tax
• land tax
• tax on advertising
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Amount of the above mentioned taxes payable and their quality significantly increase expenses of the
enterprises. The majority of economists fairly admit existence of economical and political taxation boundaries
which should be considered in the tax policy perspectives. High tax rates are considered to be destabilizing
factors which eliminate economic incentives, reduce business and investment activities, lead to mass profit
concealments, aggravate social tension and inflation processes.
Many economists beginning with A.Smith and D.Ricardo made attempts to define the boundaries of taxation.
However the theory of taxation limits took its form of a complete scientific conception in the works of A.Laffer in the
70-s of the 20th century as “a cornerstone” of the general “demand economics” theory.
A.Laffer plotted a tax limits curve and proved that lower tax rates can not only retain tax revenues in the
budget but also increase them. The main difficulty in application of the tax limits theory into practice is to find the
point in the Laffer’s curve, which corresponds to the current economic situation (taxation system) and the point of
optimal taxation level.
Positive solution to the question can be found in modern Russian economists’ works. Thus we find the
results of macroeconomic calculations the most reasonable if they are based on the following premises: the
Laffer’s points are individual for each country; they are inconstant and “drifting” in time; the Laffer’s points (minimal
and maximum limits) are calculated as a ratio of the taxes payable to the value added (disregarding depreciation
charges) on the basis of time history data.
By means of criteria analysis and mathematical modelling methods there had been received the following
strategic limits of taxation for Russia: the minimal limit of the value added taxable – 23,9%; the maximum limit of
taxation – 31,2%; the optimal taxation level (equilibrium) – 27,5%. Due to the changes of 2004 – 2005 the data has
been corrected and the limits (equilibrium) are specified as follows: the low limit – 25%, the upper limit – 31%, the
optimal taxation level – 28% of the net value added (reestablished).
There is a great variety of approaches to the question of a single taxation evaluation technique suggested
recently by Russian economists (in addition to the mentioned above – V.Vishnevsky, A. Levkin, K. Oganyan,
R. Saakyan, E.Kirova, Y. Fokin, A. Kolomietz etc.).We agree to the experts who suggest to calculate tax burden
(TB) as a ratio of the taxes payable (TP) to the net value added (NVA), i.e. TB = TP/NVA.
This approach gives more precise data on taxation because taxes payable (actual tax payments together
with tax liabilities) show real tax pressure on economics and the net value added presents in itself a real source of
tax payments. It does not infringe upon the investment interests of actual taxpayers as depreciation in its nature
is not allotted to the tax payments, it serves mainly investment purposes. At the same time this method allows
abstracting from the field of business activities and thus can be used for taxation evaluation of any enterprise.
To calculate the numerator in the formula all the taxpayer’s taxes payable are summed up, except penalties
and fines (TP).
However specific charactor of indirect taxation determines the necessity to include VAT which is classified
as expenses in tax burden calculation.
Denominator in the formula constitutes the net value added (NVA). The value added can be estimated either
by summation method or by subtraction method. The first method, summation, is more universal, i.e. it can be
used without any amendments in relation to all types of business activities. The use of subtraction method on the
contrary needs to be adapted to the pecularities of business activities.This method calculates the net value added
as a margin of gross income and materials costs for production, depreciation included.
Thus summation method is the following:
NVA = SP + EI – EE – MC – DC, where
SP – sales proceeds, EI – extraordinary income, EE – extraordinary expenses, MC – materials costs, DC
– depreciation charges.
Undoubtedly it is possible to calculate tax burden as a ratio of all the taxes payable (included in cost price
and attributed to economic performances) to the total enterprise expenditures for computation of income liable to
tax. However this index has no practical value.
REFERENCES
ANANJEVA G. Some aspects of tax burden and receits forecast in 2000 // Tax bulletin. 2000. № 4. P. 4 – 7.
ASLAPOV V. On tax burden and existing tax system effectiveness in the Russian Federation// Tax bulletin.
1996. № 12. P. 3 – 5.
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BEKETOVA O. Tax burden and taxation limits in modern Russia // Financial problems of economy in
transition. Saratov: SSSEU, 2001. P. 3 – 16.
VISHNEVSKY V., Lipnitsky D. Evaluation of tax burden reduction opportunities in transitional economy //
Questions of economics. 2000. № 24. P. 4–- 7.
VILKOVA E. Tax burden calculation in modern conditions // Tax bulletin. 2002. №12. P.132 – 136.
KOLOMIETS A. Main principles of tax burden calculation for regions in the Russian Federation // Tax
bulletin. 2000. №4. P. 8 – 10.
LEVKIN A. Tax load // Consultant. 2000. №23. P. 49 – 51.
Tax Code of the Russian Federation. Part 1,2. Moscow: INFRA-M, 2003.
PANSKOV V. Tax burden in Russian tax system // Finances. 1998. №11. P.19.
SAAKYAN R., OGANYAN K. Tax burden in Russia: who must pay taxes?// Tax bulletin. 1999. №9. P. 11 – 13.
Financial aspects of Russian economy. Collection scientific works / Edited by B. Sabanty. St.Petersburg,
2001. 184 p.
FOKIN Y., KIROVA E. Tax load: problems and ways to solve // Economist. 1997. №10. P. 52 – 59.
YUTKINA T. Taxes and taxation: coursebook. Moscow: INFRA-M, 2001. 129 p.
CONTACT ADDRESS:
Ramil R. Syakin. PhD in Economics. Department of Finance. Saratov State Socio-Economics Univesity,
89, Radishchev St., Saratov 410000, Russia
Tel.: +7 (8452) 75-64-05
Рамиль СЯКИН
НАЛОГОВЫЕ ПЛАТЕЖИ КАК РАСХОДЫ ПРЕДПРИЯТИЙ
Целью исследования является определение величины налогового давления на предприятия и состава налогов и сборов, включаемых в перечень расходов при налогообложении прибыли.
В связи с введением в действие с 2002 года главы 25 второй части Налогового кодекса РФ
«Налог на прибыль организаций» произошли существенные изменения в плане определения расходов
предприятия. Кроме того, организации вынуждены в целях налогообложения в настоящее время вести
одновременно два учета: налоговый – для исчисления налога на прибыль и бухгалтерский – для расчета
остальных налогов и сборов. В большинстве случаев данные по этим учетам отличаются, иногда довольно значительно. Одним из таких отличий является группировка налогов по мере их включения в цену
товаров.
Согласно бухгалтерскому учету можно выделить группу налогов, включаемых в себестоимость
продукции, и группу налогов, относимых на финансовые результаты деятельности организаций. Согласно налоговому учету эти две группы объединены в одну – налоги, включаемые в состав расходов
при налогообложении прибыли.
В настоящее время в Российской Федерации нет официальной методики определения налогового
бремени на организации. В этой связи целесообразно было бы определять налоговое бремя как отношение
всех начисленных налогов к чистой добавленной стоимости.
Ключевые слова: налоги, расходы, себестоимость, финансовые результаты, налоговое бремя
УДК
339.138:338.43
Anton KRETTER
MARKETING OF AGRICULTURAL ENTERPRISES
Agriculture plays a decisive role in providing foods and raw farm products to a society and industry regarding
a sustainable development, and maintains the natural attractiveness of a country. Government institution applies
policy instruments to achieve such objectives that on the other hand determine creation and development of
marketing system in the agrarian sector. Policy measurements applied in agricultural products in Slovakia
consist of the market order for selected agricultural commodities, quotas, price guarantees and so on. Because
of these and other policy issues, implementation of marketing in the agricultural enterprises has a low implication.
However, more marketing application are watched on ecoproducts primary producers and some – on products that
marketed through direct selling to ultimate consumer. Currently, agricultural marketing in Slovak republic is
searching its performance by transforming an organization form of the marketing structure. Therefore, the marketing
theory in the agrarian sector has been focused on developing marketing at the level of a firm as well as at a central
state level by utilizing a group acting cooperatives and regional marketing.
Key words: agricultural marketing, specifics of agricultural production, sale, concept of sale, marketing
associations
The agricultural marketing as principle of management and the instrument of creation of the demand,
should contribute to the competition of agricultural enterprises. The determination of task for marketing and its
application in agricultural sector are still discussed question in view of specifics in this sector. The sustainable
market turbulence in the economy devises a pressure to change producers approach to marketing. Such kind of
market turbulence has been manifested in each sector of a national economy with different intensity. In particular,
compare to other sectors of an economy, marketing concept implementation in the agriculture sector is in its
initial operative stage and processing to aggressive market arena. Agriculture plays a decisive role in providing
foods and raw farm products to a society and industry with regarding a sustainable development, and maintains
the natural attractiveness of a country. Government institution applies policy instruments to achieve such objectives
that in the other hand determining creation and development of marketing system in the agrarian sector. Food
retailing and agrarian markets have distinguishing characteristics that predetermine their method of study as well
as enterprise behavior performing on them. The application of marketing in the agricultural sector has been studied
in papers Horská (1999), Šimo (2000), Kretter (2000), W/ Senbet (2000) and agricultural marketing in various
papers Vicen (2003), Bielik (2003), Ubrežiová (2003) and others.
This paper deals with questions of marketing state in agricultural sector. Theoretical approaches issue from
the general knowledge about marketing as science and also from the methods of management in practice. By
application the method of comparison are formulated approaches about state of marketing in agricultural enterprises
with specifics of agriculture. This implies the next issues for developing of agricultural marketing in context of
analysis and syntheses of theoretical and practical knowledge.
Recently no one doubts the importance of marketing as a significant partaker o the success of agribusiness
management. More specifically a marketing approach oriented to final consumer, unique product supply regarding
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to environmental criteria, and enterprise interrelationship towards consumer are attributes leading to a successful
product positioning in a market. Nevertheless, in practice, agriculture primary producers (private farm owner and
enterprises) are not in such situation to activate marketing. Their reserved attitude towards marketing often determined
by the following factors:
• marketing in the farm level relatively has a narrow dimension. That is, that farm products are biological in
nature, and their production as well as trading are highly influenced by government regulations, e.g., price guarantees,
production quotas etc.,
• primary producer observes certain malicious in marketing since there exists a big marketing margin
between farm and consumer prices, for instance, in the restaurant the price of a bottle wine costs triple than farm
price that a farmer receives as a vine cultivator in a whole year,
• farmer is instantaneously attached to nature and faces a sort of product punishment in marketing. What
he considers as a success of his effort, gracefulness of nature offering to him regarded by processors and retailers
as a gross product – raw material. In the passage of time the raw material has became processed, change, mix
with other ingredients and losses its original identity, e.g., a nice red apple turn to apple cider,
• agriculture primary producers relatively behave in a perfect competitive market environment, because of
farm product characters producer does not gain such a significant benefit in marketing, especially when does not
exists an excess supply of any product.
These and other factors limiting primary producer’s attitude towards marketing can be understand. On the
other hand, however, with out marketing and the existence of food processors and retailers, a successful and
prosperous existence of farmers would be too problematic. Therefore, there is a need to an integrated agricultural
marketing approach of farmers into the processing-retailing system. The reason for such statement is supported
by the fact that population agglomeration is variously concentrated, so with out professional trading and distribution
system supplying outputs would not be possible. This is valid even in the case of farmers’ direct product selling to
ultimate consumers, though direct selling has such a subsidiary function for farmers. In addition, moreover, in farm
products exist substantial time lags between demand and supply. Farm products collection usually concentrated
to a specific season, therefore without adequate food storage or processing their supply over the year would
become problematic, even if storage and processing induces cost and losses of the original product identity.
Consequence, product processing has a contribution to mitigate seasonal supply variation, let say in some animal
products. Moreover, farmers are not in such situation of an immediate respond to a change of consumer food
habitat and preference.
Farm products considered being a homogenous and accomplishing product diversification is relatively
limited. Even if products differentiation has been taken place in some products during a production process (e.g.,
feed and melt barely), they are still a raw – material ready to a manufacturer for further processing. In general,
during an application of marketing on the agricultural enterprise except basic principles of marketing, is important
to take into consideration determinants that distinguishes managing marketing implementation in the agriculture
primary producers:
• The nature of the demand for farm products; food as a primary needs always exists a demand for it which
is advantageous for business. However, in the other hand its consumption has a physiological frontier, which
means the amount of food sale for a business is bounded. And food consumption is a continual and only few of
foods are mutually substitutable,
• income elasticity of food demand, compare to nonfood goods and services, is usually low,
• products have a biological character in nature and production cycle which takes more than a year in some
animal product,
• exist substantial time lags between a decision to produce and the realization of the final output. These
lagged relationships induces costs,
• production vary from year because of unusually favorable or unfavorable weather and the presence or
absence of disease or insects infestations,
• some farm product supply is instantaneous so it is not possible to interrupt a product delivery even form
a day (e.g., fluid milk),
• most agricultural products relatively have a short duration,
• agricultural products storaging, because of a product biological character in nature, causes biological
value losses on product itself and has a high energy demand that induces additional cost,
• consumers consciousness towards food nutrition value and food quality gradually increase, and their
purchasing behavior becomes ecologically oriented,
• exists relatively a large number of producing units with different natural endowment and geographical
dispersion. The geographical dispersion causes a distribution problem.
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Above mentioned specifies, in general, determine the principles of marketing system in agriculture and also
application of marketing mix in the agricultural enterprise marketing as a whole. Thus, an understanding and
respecting of these determinants do provide valuable insight into farm product marketing.
Agribusiness market, concerning product characteristics, has a certain specifics. Above all there is a
limited product variety, product differentiation is weak, and a product has short time duration. The market is divided
into two parts. The agricultural market, where fresh products marketed for the purpose of direct use or after simple
kitchen processing to consumption. Products of this market distinguishing by their heterogeneity, and products
are not suitable to storage for late-season. In the food market realizes products produced by food industry, and
typical for their more homogeneity and well storaging characters. The tendency in agribusiness is that there is an
expanding of food industry instead of agricultural market. This indicates the need of integrated approaches to
marketing in a whole agricultural vertical beginning from primary producer to ultimate consumer. Recently marketing
is strongly developed in the sector of industry. Agricultural enterprises that still remind in large-scale production
concerning coopertive coordination, compare to industry, is weak. However, marketing experience i such industries
like automobile and cosmetic where a sophisticated marketing techniques applied has some similarities and
passes experience to agriculture sector:
• product of these industries are produced and consumed in the area of high and precise environmental
prerequisites of a society,
• increases a certain group forces towards public attention in order to reducing some product consumption
(e.g., to reduce the intensity of car driving towards more walk, from using industrial cosmetic products towards
natural cosmetic, and reducing consumption of food with chemical and high fat content towards vegetarian).
Implementation of marketing concepts in the farm level is most optimal in ecoproduct producers. Thus, on
these products enable a close relationship between farmers and consumers. Similarly, between farmers and
manufacturers that purchases ecoproducts for further modification. A basic assumption emphasizing marketing
efficiency is an existence product differentiation. However, marketing systems performs as a key function to
create more opportunities and coordination through institutional and organizational measurements towards a
concentrated food market. The development of agricultural marketing strengthen:
• to enterprise marketing emphasizing direct product selling, and oriented to ecoproduct,
• to regional marketing utilizing group action marketing, and becoming horizontally integrating,
• to develop new kinds of market institutions (central marketing organization) for the purpose of
guaranteeing support and new market creation with interactive marketing. An organization that not only creates
an opportunity but also considers an interest of each agricultural vertical participant of course including a
primary producer – farmer.
The agricultural enterprise as producer of food material is integrated part of system for creation of utility in
food supply chains. The food industry and the trade in the time of economical globalization and graduated competition
pass the turbulent changes, so that the passivity and indifferent attitude to the market and so to the marketing by
agricultural enterprises, can mean serious existence problems. The effort of individual agricultural enterprises is
multiplicated with possible creation of producer associations which are more equal and strong partners in the
system of product creation for consumer.
For the agricultural enterprises evtl. for associations of agricultural producer there exists four possible
variations of market activities for sale of products:
a) Traditional concept of sale that lies in individual deliveries of products directly to the food company, evlt.
to the sale intermediator.
b) The concept of sale in horizontal connection is relationship between association of agricultural producer
and food company evtl. sale intermediator by delivery without special differentiation.
c) The marketing concept is state, when the purchaser becomes products which are different according to
her requirements and are not often substitute.
d) The strategic alliances are the most modern form of cooperation with the highest effectivity and efficiency.
They represent the partnership cooperation of all participating enterprises by production of some product. With the
common strategic planning obtain the agricultural products as material through their utility and specific attributes,
the system utility statement that becomes such worth as recipes and production processes.
In practice of agricultural enterprises we meet first of all the first two approaches. In the present time are the
own possibilities and opportunities of these concepts exhaustible. The effective marketing in agricultural enterprises
tend to the alternative of marketing concept what is the pre-level of strategic alliances.
The reason for existence the marketing associations of producers is providing the services to their own
members:
• information about new market opportunities,
• information about market preferences by individual products,
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• information about questions of quality control by products,
• information about development of harvest and offer on agricultural products,
• providing of product sale,
• providing of inputs purchasing /seeds, manures, etc./
The contribution of marketing associations for agricultural enterprise is significant in these areas:
a) Marketing power
Food industry and the sellers require still bigger volume of products which respond to strict quality rules.
With reciprocal and controlled cooperation can win the agricultural enterprises the competitive advantages and
marketing power.
b) Strong competition
To stay competitive that means for producer to follow the market. With the connection of producers to the
associations are created the effective marketing associations which have strong position on the market.
c) Opportunities for export
Developing of producer association creates opportunities for export of production on the foreign markets.
The right and effective application of agricultural marketing is one of the basic assumption for the achievement
of the agricultural enterprise on the market.
CONCLUSION
The agricultural marketing as principle of management and the instrument of creation of the demand,
should contribute to the competition of agricultural enterprises. The determination of task for marketing and
its application in agricultural sector are still discussed question in view of specifics in this sector. These
specifics mainly of biological character are necessary respect in management work. One of the opportunities
of active marketing in agricultural enterprises are marketing associations. The right and effective application
of agricultural marketing is one of the basic assumptions for the achievement of the agricultural enterprise on
the market.
REFERENCES
BIELIK, P. – ROHÁČIKOVÁ, O. – BLCHÁČ, J. – HORSKÁ, E. 2003.: Trh cenných papierov a jeho vplyv na
výkonnosť a konkurencieschopnosť agropotravinárskych podnikov. Nitra: SPU, 2003, 145 s. ISBN 80-8069-293-9
HORSKÁ, E. 1999.: Consumer preferences on market of meat and meat products. In: Acta fytotechnica et
zootechnica Nitra: AF SPU, 1999, p. 125 – 128
KRETTER, A. 2000.: Poľnohospodárstvo a marketing. In: Zborník vedeckých prác z vedeckého seminára
Legislatíva, marketing a manažment v poľnohospodárstve. Nitra: SPU 2000, s. 13 – 17. ISBN 80-7137-791-0
KRETTER, A. – W/SENBET, T. 2000.: The importance of marketing in the agriculture sector. In: Zborník z
medzinárodnej konferencie Marketing 2000 – Marketing at Break of the Millenium. Zvolen: Technická univerzita,
2000, s. 196 – 201. ISBN 80-228-0915-2
KRETTER, A. – W/SENBET, T. 2000.: The survey of consumers´ basic food preferences in Slovakia. In:
Zborník z medzinárodnej vedeckej konferencie – VII nemzetközi agrárökonómia tudományos napok 2.kötet.
Gyöngyös: SZIE, 2000, s. 252-256. ISBN 96-39256-11-0
KRETTER, A. 2001.: Uplatnenie marketingu v riadení poľnohospodárskych podnikov. In: Zborník z vedeckej
konferencie K aktuálnym otázkam v PpoK. Nitra: SPU, 2001, s. 160 –163. ISBN 80 – 7137 – 878 – X
SCHADE, G. 1997.: Markenbildung bei Lebensmitteln in Europa der Regionen. In: Forschung und Praxis
im Agrarmarketing, Nr. 40. Berlin: Humboldt-Universität, 1997.
ŠIMO, D. 2000.: Agrárny marketing. Nitra: SPU, 2000, 301 s. ISBN 80-71-37-709-0
UBREŽIOVÁ, I. 2003.: Competetion and Competiteveness. Agricultural policy. Modul 5: Dištančné vzdelávanie
v agrárnom práve EÚ. Nitra: SPU, 2003, 122 s. ISBN 80-8069-206-8
VICEN, M. 2003.: Špecifiká marketingovej komunikácie poľnohospodárskych fariem na regionálnej úrovni.
In: Zborník z vedeckého seminára Marketing a médiá. Trnava: Univerzita sv. Cyrila a Metoda, 2003, s. 222-226.
ISBN 80-89034-49-7
CONTACT ADRESS:
doc. Ing. Anton Kretter, PhD., Katedra manažmentu a marketingu, Fakulta ekonomomiky a manažmentu,
Slovenská poľnohospodárska univerzita, Tr. A. Hlinku 2, 949 76 Nitra, Slovakia, tel.: 00421 37 6508145, e-mail:
[email protected]
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Антон КРЕТТЕР
МАРКЕТИНГ СЕЛЬСКОХОЗЯЙСТВЕННЫХ ПРЕДПРИЯТИЙ
Сельское хозяйство играет решающую роль в обеспечении общества и промышленности продуктами питания и сырьем и поддерживает природную привлекательность страны. Правительство применяет политические инструменты для достижения таких целей, которые и определяют создание и
развитие маркетинговой системы в аграрном секторе. Политические меры, применяемые в сельскохозяйственном производстве, включают рыночный заказ на отобранные сельскохозяйственные продукты, квоты, ценовые гарантии и т.д. Из-за этих и других политических проблем осуществление
маркетинга на сельскохозяйственных предприятиях имеет низкое значение. Однако более активное
использование маркетинга наблюдается у основных производителей эко-продукции, а также у производителей продуктов, которые доставляются непосредственному потребителю путем прямых продаж.
В настоящее время сельскохозяйственный маркетинг в Словацкой Республике находится в поиске
эффективности функционирования через преобразования организационной формы маркетинговой структуры. Поэтому маркетинговая теория в аграрном секторе концентрируется на развитии маркетинга
на уровне фирмы, а также на центральном государственном уровне, используя группу действующих
кооперативов и региональный маркетинг.
Ключевые слова: сельскохозяйственный маркетинг, специфика сельскохозяйственного производства, принцип сбыта, маркетинговые организации
УДК 338.43
(470.44)
Vladimir ZUBKOV, Nina KUZNETSOVA
URGENT ISSUES OF AGRICULTURAL DEVELOPMENT
IN SARATOV REGION
Issues and tendencies of agricultural development in the process of building market economy in Russia
are discussed. The object of research is businesses with collective ownership, farm enterprises and private
holdings in the Saratov region (oblast) as a typical region of Russia. The conclusion is made that the radical
economic reforms in 1991–1995 led to a steady decline of agricultural production and systemic crisis in the
agricultural sector. Gross agricultural production in the Saratov region in 1995 decreased by a third as a result of
serious mistakes in state policy on agriculture and management as well as unfavourable macro- and microeconomic
factors. By now agricultural production in the region has stabilised but the recession is still in place. This article
highlights the main factors that hinder the dynamic development of agricultural sector in the Saratov region;
recommendations are given how to come out of a recession.
Key words: agricultural enterprises, Saratov region, problems
Adaptation of agricultural commodity producers in Saratov to market economy presents scientific and
practical interest. That is why it is studied not only by individual scientists in Saratov (Golubev, Mikhailin, Glebov,
Kuznetsova, Kuznik), but also by groups or teams of scientists such as Saratov State Agrarian University and the
Institute of Agricultural Problems of Russian Academy of Sciences and the Research Institute of Economics and
Agroindustry. They work out complex target programmes for developing the agricultural sector in Saratov.
Unfortunately, publications about the present state of agricultural production in the region are not many:
‘Management of Agricultural Production in Saratov’ (1998), ‘Theory and practice of the Agro Industrial Complex’
(1998). ‘Agricultural Consumer Cooperative: planning and experience of work’ (Kuznetsova, 2000) is worth attention.
Since 1993 the department of economics and agricultural management of Saratov State Socio-Economic University
has been carrying out research on ‘development of regional agroindustry in the transitional period on the way to
market economy (in Saratov region)’
Empirical basis of research is the official data of the Regional Statistics Committee 1991 – 2002, archives
of the Ministry of Agriculture and the authors’ own observations. Nina Kuznetsova has been the head of the farm
enterprise in the Marx district (rayon) of the Saratov region for seven years, and now she heads the educational
information center ‘Sokrat’, which consults farm businesses and agricultural cooperatives. The following methods
are used in the article: historic, monographic, analysis and synthesis, statistics and observations.
RESULTS AND DISCUSSIONS
Judging by 26 major environmental, economic and social characteristics Saratov region (oblast) is a typical
region of Russia. The region is populated by 2,7 million people, 26,8% of them are rural. There are 1760 rural
towns. Over 8,5 million hectares of land are used in agriculture: 50% of them are black soil and 30% are chestnut
soil. (1) However, their agricultural potential is not fully realized due to the lack of moisture. In the last 110 years
the recurrence of droughts during vegetation period of crops reached on average 48%, i.e. every second year
droughts are more or less intense.
Nevertheless, agricultural output of the Saratov region constitutes an important part of agricultural production
of Russia. Over the last years according to overall crop production the region took 4th-8th places, according to
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overall fruits and berries production it was 1st-3rd, according to sunflower seeds production – 4th-5th, sugar beet
production –15th – 17th (2).
By now multistructural economy has been formed in the region where collective forms of ownership with
private ownership of land and other property prevail. In 2000 out of 729 agricultural enterprises 9,7% (71) were state
owned, 0,3% (2) were municipal owned, 89,2% (650) were private and 0,8% (6) were joint. (3) Besides, at the
beginning of the 2001 there were 8630 farm enterprises, more than 300 thousand families had collective and
individual garden plots, almost 52 thousand families had vegetable gardens and 294 thousand families owned
private holdings and land allotments. (1)
The formation of multistuctural economy did not change agricultural specialization of the region.
On the whole agricultural sector of the Saratov region is still based on crop production and husbandry, crop
production accounts for 52 – 54% and husbandry accounts for 46 – 48% of the gross agricultural product.
Economic reforms in 90s led to a steady decline of agricultural production. By the middle of 90s gross value
of agricultural production decreased by 28% compared to that in 1986 – 1990. (4) Undoubtedly, serious mistakes
in state policy on agriculture and management contributed to this. One of them was deliberate demolition of
collective ownership enterprises and economically unjustified redistribution of productive resources in favour of
private sector. However, production and social infrastructure of the region at that time could not handle small
commodity businesses, especially concerning processing, marketing and social welfare of farmers. This resulted
in the decline of the output of agro industrial complex as a whole: drop in revenues of the agricultural commodity
producers, marketability of agricultural production, lack of working current capital, shortage of material and technical
resources, deterioration of competitive positions on home food market. Consequently, the decrease in the agricultural
output in Saratov hit record low among all 89 regions of Russia. In 1991–1995 the volume of production and
marketing of products on average reached only a half of that in 1986 – 1990. The region lost its former glory as a
major producer of high quality food grain.
The middle of the 90s saw a turning point from the extraordinary measures to complex development of the
agricultural sector.
However, until now there have been only slight positive changes and even available resources are not used
sufficiently enough. True, farmers and farm enterprises are well-established in the countryside now. By the beginning
of 2002 farm enterprises owned over 1,6 million hectares of land (which makes 11% of overall Russian land owned
by farmers). Nevertheless, major production of essential agricultural products is concentrated in big agricultural
holdings and private holdings (table 1).
Essential agricultural products produced by main types of agricultural enterprises in the Saratov area in 2003(1)
Agricultural products
Big agricultural holdings
Grain (in weight after processing)
Sunflower(on seeds)
Sugar-beet
Potato
Vegetables
Meat (in dead weight)
Milk
Eggs
68,9
65,3
67,7
0,6
20,2
24,1
32,1
43,7
Produced, %
Private garden plots private
holdings
0,2
0,2
0,4
99,2
77,1
67,4
61,7
55,0
Farm enterprises
30,9
34,5
31,9
0,2
2,7
8,5
6,2
1,3
The situation in husbandry continues to remain difficult. The reduction of total number of cattle, adverse
macroeconomic conditions, shortage of high grade forages led to the slump in agricultural husbandry production.
The following table 2 shows changes over the years in the number of cattle.
The dynamics of the total number of cattle in the Saratov region
cattle
cows
pigs
sheep
1985
1990
1995
2000
2001
1674
630
1080
1963
1639
595
1079
2821
975
451
428
952
661
318
351
366
674
315
367
388
Difference between 1990 and 2001
in percents
41,1
52,9
34,0
13,8
The reduction in total number of cattle and decrease in husbandry production were not fully compensated
by private holdings and farm enterprises, though their role in agricultural production has increased significantly.
21
21
Total number of cattle and animal husbandry output of main types of agricultural enterprises in the Saratov region
1985
1990
Private holdings
Farm enterprises
15,7
0
Private holdings
Farm enterprises
21,8
0
Private holdings
Farm enterprises
5,2
0
Private holdings
Farm enterprises
12,1
0
Private holdings
Farm enterprises
28,4
0
Private holdings
Farm enterprises
26,5
0
Private holdings
Farm enterprises
33,2
0
1995
Total number
cattle
19,2
33,2
0
2,2
cows
26,1
42,5
0
2,6
pigs
7,5
36,1
0
2,8
sheep
14,1
27,6
0
2,2
Agricultural products
Meat (in dead weight)
23,3
53,7
0
1,6
milk
27,4
50,9
0
2,9
eggs
35,1
59,6
0
2,2
2000
2001
39,2
5,0
45,9
6,5
49,3
5,1
54,0
6,6
52,1
6,9
58,2
7,8
34,4
3,8
38,1
5,5
69,2
2,3
67,4
8,5
58,7
4,5
61,7
6,2
51,5
1,2
55,0
1,3
Different macro and micro economic factors hinder sustainable agricultural development. The main
macroeconomic factor is the discrepancy of price parity between agricultural and industrial products. Economic
situation when the price of one ton of gasoline equals the price of 3,1 tons of wheat, the price of one ton of diesel
fuel equals the price of 2,9 tons of wheat, the price of MTZ-80/82 tractor equals the price of 118 tons of wheat, the
price of combine harvester equals the price of 439,5 tons of wheat can hardly be cold healthy. That explains why
agricultural commodity producers‘ credit debts, late charges and consequently budget debts grow.
Lack of state support has a negative influence on agricultural manufactures. They have problems with
buying fuel (the gasoline prices in Russia have already exceeded the similar prices in the United States of
America),high quality seeds, machinery, fertilizers, forage and pesticides. Besides agronomic, veterinary and
zootechnic services are not readily available.
Preserving and reproduction of soil fertility is vital for the sustainable agricultural development. Now the
tendency to deteriorating of arable land is evident. Out of 5557,2 thousand of hectares 44% have low humus
content, 52% have medium humus content and only 4% (241,2 thousand of hectares) have high humus content.
Areas with low content of phosphorus increased from 32% to 50%,areas with low content of potassium increased
from 1% to 6%. Over 606 thousand of hectares are saline. Water erosion causes considerable damage to 60% of
arable land, landslides destroy 6-10 thousand of hectares every year. Together with constant droughts deterioration
of fertility results in the decline of the crop yield capacity. In order to improve agroecological situation soil protection
methods for every type of landscape, appropriate tilling of land, crop rotation and fertilizers should be introduced.
Sustainable animal husbandry development depends on better forages, stock and seed breeding techniques.
80%-85% of forage is harvested from irrigated lands that is why forage production remains a problem. In theory the
total number of cattle by 2005 would increase to 1300 thousand, pigs – to 600 thousand, sheep – to 800 thousand,
and consequently the total area of land under fodder plants would reach 1070 thousand of hectares. However land
under silage crops would decrease to 290 thousand of hectares compared to an increase of land under less
power-intensive crops to 500 thousand of hectares. As a result in 2005 3970 thousand tons of silage, 863 thousand
tons of hay and 3400 thousand tons of forage grass might be produced.
The work on refining of genetic potential of cattle has already begun. All in all there are 10 pedigree factories,
5 pedigree nurseries and 52 pedigree farms. The region has 152 thousands of pedigree cattle.
It is known from experience that successful reproduction of cattle is impossible without artificial insemination.
Unfortunately that method of reproduction is insufficiently used in the region, the number of artificial insemination
stations decreases, for example, artificial insemination of cows in private sector is carried out in only 23 districts
out of 38.
22
Developing of pedigree breeding together with more effective application of already available recourses is
likely to bring positive changes in the near future. Slaughter cattle are bred in 106 agricultural businesses, dairy
cattle are bred in more than 600 agricultural businesses, pigs are bred in 374 agricultural businesses, sheep are
bred in 156 agricultural businesses, joint stock company “Saratovptitsa” has more than 3,3 million heads of
poultry. If used effectively that potential by 2005 will ensure an increase in meat production to 225 thousand of
tons, in milk production to 1510 thousand tons, eggs to 1000, wool to 2450 tons. Milk yield per cow may reach
2610 kg, meat yield per head of cattle may reach 106kg, meat yield per pig may reach 82kg, egg yield may reach
225 eggs. That would allow not only to satisfy the growing needs of the population of the region but also to export
animal husbandry products.
Upsurge in agriculture is impossible without effective employment of irrigated lands. The sustainable
development of agroindustry is closely tied to the employment of optimal regime of irrigation, intensive crop
rotation, introduction of organic and mineral fertilizers and modernization of irrigation system.
Scientific backing to land melioration is provided by Research Institute of Hydrothechnichs and Melioration,
Institute of Melioration and Forestation of the Saratov State Agricultural University. Putting their ideas into practice
contributes to a significant increase in the productivity of the irrigated lands. It is reasonable to renovate irrigated
soils every year and to use 250 – 270 kg of mineral and 35 – 40 of organic fertilizers per hectare, it is also
important to manufacture spare details for sprinklers.
Small agricultural businesses live in information vacuum, they are not aware of the state of the food market
and market their products rather spontaneously due to the underdeveloped market infrastructure. The situation is
aggravated by the backwardness of the legislation which reflects the process of building market economy. The
consequences are arbitrariness of the officials when it comes to agricultural producers and illegally built
administrative barriers between regions. Close economic ties which have been established in the Soviet times are
now broken.
Consumer cooperation became an adequate response of small agricultural commodity producers to the
situation. Now there are more than 30 consumer cooperatives which unite farm enterprises, they deal with traffic
requirements, long term and short term credits and other services.
It is crucial for agricultural businesses to utilize already available recourses, to mobilize their potential and
implement structural changes that would increase productivity without further capital investments.
Crop yield capacity and successful development of plant growing is highly dependent on seed breeding.
Now 127 varieties of winter and spring cereals and leguminous crops are grown in the region. Research Institute
“Yugovostok” and Research and Production Institute “Saratovsorgo” are main manufactures of high quality seeds
in the region. The ministry of agriculture of the Saratov region ordered the establishment of 105 seed farmings in
order to boost high quality seeds production.
The State Saratov Seed Inspection monitors the quality of seeds and issues certificates of quality. Certification
regulates relations between producers and consumers of seeds, ensures the application of only best quality
productive seeds. Successful seed farming leads to high crop yield. Those agricultural enterprises that use only
high grade seeds which are entered into the state registrar have crop yield 20-30% higher than average.
Research carried out by the Saratov State Agricultural University shows that the most efficient way of seed
farming is to grow seeds on irrigated lands. Stable seed farming can not be sustained without reserve funds for a
bad year.
The output of plant growing depends on how well the crops are protected from vermin, deceases and weeds
which cause considerable damage to agricultural production.
State Agricultural Quarantine Service of the Saratov region monitors plant and cattle protection in the
region. Its main objectives are:
– to conduct a quarantine examination of all agricultural products shipped into the region from abroad
including inspections of luggage, postings or transport carriers
– to carry out regular checks on agricultural businesses, storages of agricultural products and produce
processing in order to discover vermin or deceases in good time
– to monitor seed farmings, seed factories, and seed nurseries
The restoration of land hydromelioration is essential for agricultural development.
Prior to economic reforms of the 90s melioration complex of the Saratov region had a solid maintenance
and supply base, modern sprinklers and water pumps. In 1990 455,1 thousand of hectares were irrigated, crop
yield on those land was 25 – 30% higher than average (17,7 metric centners of wheat, 400 metric centners of
sugar beet, 11,3 metric centners of sunflower, 280 metric centners of corn, 221 metric centners of forage grass).
Land melioration system guaranteed water supply of 11 districts of the region.
Being the most resource intensive part of agriculture melioration suffered the most from economic crisis. By
1996 there were 257,3 thousand of hectares of irrigated lands left. On average irrigation system showed 40%
23
23
wear, 90% of water pumps equipment and 70% of water pipes needed replacement or capital repairs. More than 11
thousand of hectares of irrigated lands were in a poor condition (due to salinization), 40,6 thousand hectares
required modernization: 31,5 thousand of hectares needed reconstruction and 6,5 thousand of hectares needed
capital repairs.
The irrigation system of the region needs to be modernized: Malouzenskiy, Lebedevskiy and Tolstovskiy
reservoirs have to be reconstructed, irrigation system in Komsomolsk has to be completed, new energy conservative
methods should be introduced.
In 1996-2001 21 428,8 thousand of hectares were reconstructed, there were built 195,9 km of water pipe
lines and 33 water wells. As a result in 2001 334 thousand tons of forage grass were harvested there.
“The concept of agroindustrial development of the Saratov region” suggests that by 2010 400 thousand of
hectares of land should be irrigated. It will not only help to boost agricultural production in arid waterless lands but
can also change its market specialization.
Those measures will also secure water supply of 170 million m3 in 11 arid districts on the left bank of the
Volga river and ensure the production of 400 thousand tons of forage.
The technical modernization of agricultural sector remains a key priority. In the last ten years the number of
tractors decreased by 35%, grain combines – by 50%, the same with sowing machines.
The data collected by ministry of agriculture show that about 80% of all agricultural machinery has already
exceeded their service life. Lack of machinery and its service ageing leads to breaches of technology and wrecking
of work. Only 1 – 1,5% of agricultural equipment is renovated, compared to the necessary 10% . That problem
cannot be solved only by long lease.
Repairs stations play an important role in agricultural production, now there are 12 overhaul factories and
service stations in every district of the region, 30 kinds of agricultural machinery and 500 repair parts for them are
produced in the region. In 2001 they conducted repair work on 200 thousand of hectares.
The following steps are highly recommended:
– to speed up production of agricultural machinery
– to organize lease system and maintenance services for farmers
– the perfect solution to the problem could be joint ownership of equipment by cooperative societies,
unions and associations.
Obviously it is difficult to say what caused agricultural crisis in just one article because macro and micro
economic factors are closely interwoven. But it is still possible to define its main reasons:
– lack of material and financial resources
– lack of maintenance services
– lack of short and long term credits
– difficulties in purchasing chemicals, fertilizers, high quality seeds and fuel
– ineffective marketing and promotion methods
– collapse of social welfare system in countryside
– lack of information
– lack of accounting, tax, legal and economic consultancies and information centers
– insufficient advertising of agricultural commodity producers and market research methods
– underdeveloped legal basis for agricultural sector
– there is no political group lobbying for the interests of agricultural producers and raising their social status
Positive changes in agriculture are possible thanks to solid scientific research and highly qualified personnel.
The association ‘Agricultural Education and Science” founded in 1998 comprises 21 educational, scientific and
research and production centers. Its main objectives are to realize scientific potential and integrate agricultural
research with production, to introduce new varieties of crop and new breeds of cattle, to apply high technologies
and new methods of management. Personnel for agroindustry is trained by 5 agricultural colleges, the Saratov
State Agricultural University, the Saratov State Institute of Retraining and Advanced Training of Managerial Staff,
the economic department of the Saratov State Socioeconomic University.
Thus new personnel will be capable of dealing with the problems of sustainable development of agriculture
and its modernization.
REFERENCES
Archives of ministry of agriculture of the Saratov region
Regions of Russia. Socio-economic characteristics. 1999.2000.2001.2002.
Agriculture of the Saratov region. Collection of articles. Saratov, 2000
Concept of agroindustrial development in the Saratov region in 1997 – 2000.,2001
Agroindustrial development in the Saratov region in 2001/, 2002.
24
CONTACT ADDRESS:
Vladimir Aleksandrovich Zubkov, Ph. D., professor of the Department of Economics and Agricultural
Production, Saratov State Socio-Economic University.
89 Radistcheva St., Saratov, Russia
Tel. : +7 (8452) 75-62-07
e-mail [email protected]
Владимир ЗУБКОВ, Нина КУЗНЕЦОВА
АКТУАЛЬНЫЕ ПРОБЛЕМЫ РАЗВИТИЯ
СЕЛЬСКОХОЗЯЙСТВЕННЫХ ПРЕДПРИЯТИЙ САРАТОВСКОЙ ОБЛАСТИ
Выявляются проблемы и тенденции развития сельскохозяйственных предприятий в условиях
становления рыночных отношений в России. В качестве объекта исследования выбраны хозяйства с
коллективной формой собственности, а также крестьянские (фермерские) хозяйства Саратовской
области как типичного региона Российской Федерации. Делается вывод, что после начала радикальных экономических реформ в России в период 1991 – 1995 гг. наметилась устойчивая тенденция к спаду
сельскохозяйственного производства и системному кризису аграрной сферы. Производство валовой
продукции сельского хозяйства к 1996 г. сократилось в Саратовской области почти на треть. Сказались серьезные ошибки органов государственной власти и управления, а также неблагоприятные макро- и микроэкономические факторы хозяйствования. К настоящему времени сельскохозяйственное производство в регионе стабилизировалось, но кризисные явления по-прежнему имеют место. В статье
выявляются основные причины, мешающие динамичному развитию сельского хозяйства Саратовской
области, и даются рекомендации по выходу аграрного сектора из кризиса.
Ключевые слова: сельскохозяйственные предприятия, Саратовская область, проблемы
УДК 338 (437.6)
Marian KOČNER, Peter SZOVICS, Alexander ŠEBO
THE DEVELOPMENT OF DRAFT DISCOUNT
WITH AGRICULTURAL COMMODITIES IN SLOVAKIA
Draft as a payment and credit instrument has an important role in the area of trade with agricultural
commodities. This paper deals with the essential requirements of the made draft used in agriculture and also with
the discount and rediscount process, which is more frequently used in trade practice. The most important period
of using drafts as a tool of agricultural financing was during the restrictive monetary policy and during the times of
high interest rates, when the discount rate was used to support the agricultural sector. Draft has been used to
cover the purchase of commodities of plant production to contractual warehouses since 2002. Selected banks
provide short-term discount credit to finance the purchase of plant and animal products with a maximum maturity
date 270 days. Banks discount made drafts issued on sold but not settled goods deliveries mainly for prefered
agricultural commodities mentioned in the paper. The future of drafts for agricultural purposes will be mainly as
a collateral instrument.
Key words: draft, draft discount and rediscount, support of agriculture, credit
1. INTRODUCTION
Financing agriculture belongs to essential tasks due to seasonality, uncertain market conditions and biological
character of the production. Prices of agricultural commodities are lowest at the harvest season during the year.
The theory of commodity storage and pricing according to Helmberger [1] assigns demand for storage in a central
role. Farmers and economists have long expressed concerns about instability of farm prices and incomes over
time. At planting time, farmers need cash to cover the expenditures connected with the settlement of the new
crop. Commercial credit is available but it is quite expensive and time consuming to make all arrangements.
Another option is using drafts as a commercial and credit instrument. Using draft in agriculture is also mentioned
in the papers of Kocner and Szovics [2] and Kosco[3].
2. DRAFT DISCOUNT IN AGRICULTURE
Draft discount represents a form of commercial credit transfer for a bank credit through selling the commercial
credit for a bank before the maturity. In the case of draft discount to support agriculture during the analysed period
made drafts were issued for concrete agricultural commodities selected by the National Bank of Slovakia (NBS).
Commercial banks discounted made drafts to support agriculture, which were issued, accepted or coaccepted by
legal and physical bodies based on the Commercial Code.
2.1. Commercial banks requirements for the discount
Commercial banks required the following conditions for drafts stated in the trade terms:
• Include all the requirements based on the Draft and Cheque Law,
• Were issued in Slovak,
• Sums were quoted in Slovak Crowns,
• Contained the draft sum in numeric and written form,
• Were accepted by commodity acceptor on the face side,
26
• To comprise clause “no protest”,
• Were payable in a concrete bank,
• Contained bank contact of the draft issuer, draft jobber, coacceptor.
Banks executed client assessment of the issuer, jobber or coacceptor regarding to the National Bank of
Slovakia methodology.
2.2. Rediscount by the NBS
Development of indicators was assessed in connection to substantiality for rediscount by the NBS. The
maximal interest rate for discounted loans was 1.5 multiple of the discount rate during the analysed period, which
was 13.2%, because the discount rate was stable from 1996 till 2001. In general just those drafts were regarded
for agricultural support which were:
• Issued on preferred agricultural commodities,
• Other agricultural commodities,
• Other commodities connected to agricultural production.
Preferred agricultural commodities were wheat, rye, malt barley, oat, millet, and rice, which were classified
as cereals. Moreover hop, potatoes, sugar beet, oil seeds, grapes, corn, legumes and butcher pigs. Other agricultural
commodities were products of the food – processing industry, and their row materials were products of the primary
agricultural production. Other commodities connected to agricultural production were mainly seeds, plants, agro
– chemicals, feeding stuffs and fuel.
Banks accepted the following drafts for discount and consecutive rediscount by NBS:
• Drafts issued by primary agricultural producers including farmers, where acceptors were processors and
warehouse keepers . Purchase period was from 30 till 166 days in case of preferred commodities and 30 till 90
days in case of other commodities.
• Drafts issued by warehouse keepers 14 days before the maturity date issued by primary producer.
Warehouses repaid from the yield issued and accepted …
• Drafts issued by firms, which products were inputs in agricultural production. Payables of agricultural
primary producers were repaid against the issuers for seed supply, plants, agro – chemicals, feeding stuffs and
fuel. Agricultural primary producers, processors and warehouse keepers were the acceptors of these drafts.
• Drafts issued by processors and food industry. Object of these drafts were agricultural commodities and
food products, meat and meat products, fish and fish products, vegetables and fruits, animal oils, plant oils, milk
products, starch, sugar and beverages. Draft acceptors were warehouses.
Accession to the EU has changed the instruments of the NBS. Draft rediscount has been definitely eliminated
since 2002. The support of agriculture should be provided through commercial banks under the supervision of
government and the Ministry of agriculture.
3. DRAFT DISCOUNT PRINCIPLES IN SUPPORTING AGRICULTURE
Draft discount was provided by commercial banks. Draft discount request was filled out by the issuer and
the following documents were given to the bank:
• Draft original including acceptance by the acceptor,
• Bill of delivery, invoice or contract of sale,
• Accounting reports – profit and loss statement and balance sheet,
• Pro forma balance sheet – planned profit and loss statement and balance sheet for next two quarters after
the draft discount,
All stakeholders involved in draft discount are submitted:
• Printout from the Commercial Register,
• Income-tax return,
• Specimen signatures of the authorized persons.
Draft discount technique is represented on the figure 1.
The highest drawing of the credit restriction during the selected period was in 1993, it was 2760.1 th. Sk and
in 1997,1998 and 1999 during the period of expensive bank credits, when the interest rate on the interbank market
and in commercial banks had been moving from 20 – 25%. We can assume that the credit restriction for drafts
was not utilized during the whole period for 100%. This was the reason why the NBS has been cancelled this
instrument since 1.1.2002.
Despite of this fact financial resources from the viewpoint of agricultural primary producers had an important
role, because they were provided in the time when the producers needed to repay the payables, after the harvesting
period. Discounted drafts enabled farmers to receive cash after the delivery of the grain for processors.
27
27
Fig. 1. Draft discount in agriculture
Bank
Discount
5
4
6
7
1
Supplier – (farmer)
Issuer
Owner
Creditor
2
Customer – (mill)
Acceptor
3
contract
Notes to fig.1:
1. Commodity delivery
2. Request for draft acceptance
3. Return of accepted draft back to the issuer
4. Request for draft discount before the maturity
5. Repurchase of the draft and settlement of the draft after the discount and charges deduction
6. Presentation of the draft for clearing at the day of maturity
7. Draft settlement
4. HOW USEFUL WAS THE DRAFT REDISCOUNT?
Graph 1. shows the drawing of the draft credit restriction during the selected period. Agriculture has
received 18 mld. Sk to this branch through discounting drafts. Approximately one fifth of plant production was
financed by means of drafts after the harvest. This instrument was even stronger in Slovakia because it was
introduced in the monetary program of the NBS as a refinancing instrument. Through this channel commercial
banks received additional, short term, and first of all cheap financial sources, because the rediscount was
realised for the actual discount rate (8.8%), and these financial sources were given to the agricultural sector by
commercial banks maximum for 1.5 multiple of the discount rate that is 13.2 %. The NBS this way supported
agriculture.
Drawing of the credit restriction from 1993 till 2000
Table 1
3 500,00
3 000,00
th.SK
2 500,00
2 000,00
1 500,00
Average monthly
drawing
1 000,00
Credit restriction
500,00
20
02
20
00
19
98
19
96
19
94
0,00
Years
Draft utilisation 92 % 45 % 40 % 50 % 80 % 57 % 36 % 41 %
SOURCE: NBS, own calculations
28
Agricultural commercial drafts and warehouse and commodity notes (defined in the Law 144/98) were
a part of the credit strategy of the commercial banks.
Low profitability of the agricultural sector, high insolvency, lack of guarantees resulted to a low interest of
commercial banks to enter into transactions with these subjects. The initial intension of providing collateral for
drafts by the state was not fulfilled. The state afraid of the high risk of default in case of drafts. In reality just drafts
with „high rating“ were accepted by the commercial banks.
Based on the analysis of the Bratislava’s branch office of the NBS for years 1998, 1999 and 2000 we can
assume, that attention was paid mainly on the commodities of plant production as it is shown in table 2.
Table 2
Overview of the rediscount for preferred selected commodities of plant production
– statistics of the SNB – branch office Bratislava (in mil. Sk)
Years
Commodity
Grain – not specified
Wheat
Feeding wheat
Oat
Malt barley
Feeding barley
Sugar beet
Oil seeds
Grapes
Corn
Legumes
1998
1999
264.1
533.4
46.6
17.1
88.6
23.1
304.4
153.2
95.1
318.1
14.1
–
314.6
71.0
14.9
46.7
1.8
98.4
153.3
71.0
88.8
4.2
2000
–
342.2
83.0
14.5
–
12.2
250.0
33.7
28.5
100.3
–
SUM
264.1
1 190.2
200.6
46.5
135.3
37.1
652.8
340.2
194.6
507.2
18.3
Source: [5] Statistics of the NBS
Rediscount was oriented to support mainly wheat, sugar beet and corn. Pig rearing, milk production and
cattle rearing benefited due to rediscount from animal production. Drawing from the draft restriction was the
highest in 1998.
5. CONCLUSION
Draft rediscount by the NBS played an important role in the restructuralisation process. The future of the
use of drafts will be in the form of collateral. Banks besides notarial registration require blank draft, which is issued
by the commercial bank free of charge. It is a supportive instrument in case of execution. It could be undersigned
up the credit balance. This solution is fast for the client and cheaper than the notarial registration, which was paid
by the farmer.
REFERENCES
HELMBERGER P. – CHAVAS, J.P.: Economics of Agricultural Prices. Prentice Hall. 1 edition 1995. ISBN
0133726401
KOŠČO, T. – DOVALOVÁ, I. – SZOVICS, P. – TÓTH, M.: Gnozeológia vývoja fiannčných nástrojov a ich
pôsobenia na podnikateľské subjekty v PPoK. In.: Zborník z konferencie Agrární perspektívy X. 18.-19. septembra
2001, ISBN 80-213-0799-4
KOČNER, M. – SZOVICS, P.: Decision Making Proces Analysis for Mutual Funds in Slovakia. Proceedings
of the 10th International Symposium – Biotechnology 2001, 25-26 September 2001. p. 179, ISBN 80-85645-43-2
VLACHINSKÝ, K. a kol.: Podnikové financie. Súvaha s.r.o.2002. ISBN 80-88727-48-0
http://www.nbs.sk - Statistics of the SNB
CONTACT ADDRESS:
doc. Ing. Marian Kočner, PhD. Ing. Peter Szovics, PhD. Ing. Alexander Šebo, PhD.
Slovenská poľnohospodárska univerzita v Nitre
Fakulta ekonomiky a manažmentu
Katedra účtovníctva a financií
Tr. A. Hlinku 2, 949 76 Nitra, tel.: +4216508111
e-mail: [email protected], [email protected], [email protected]
29
29
Мариан КОСНЕР, Петер СЗОВИК, Александр СЕБО
СОВЕРШЕНСТВОВАНИЕ ПРЕДОСТАВЛЕНИЯ СКИДОК ПРИ РАБОТЕ
С СЕЛЬСКОХОЗЯЙСТВЕННОЙ ПРОДУКЦИЕЙ В СЛОВАКИИ
Платежное поручение как инструмент оплаты и кредита играет важную роль в области торговли сельскохозяйственной продукцией. В данной статье рассматриваются основные требования к платежным поручениям, используемым в сельском хозяйстве, а также в процессах предоставления скидок
и переучета векселей, что более часто применяется в торговой практике. Наиболее важный период
использования платежных поручений в качестве инструмента финансирования сельского хозяйства
приходится на время ограничительной денежной политики и высоких процентных ставок, когда для
поддержки сельскохозяйственного сектора использовался учетный процент. Платежные поручения
применяются при закупке продуктов растениеводства с 2002 года. Выбранные банки предоставляют
краткосрочные кредиты для финансирования покупки продуктов растениеводства и животноводства
с максимальным сроком платежа 270 дней. В будущем платежные поручения для сельскохозяйственных целей будут выступать, главным образом, в качестве вспомогательного инструмента.
Ключевые слова: платежное поручение, скидки при платежном поручении и переучет векселей,
поддержка сельского хозяйства, кредит
УДК
338.45:664
Antonina SUHORUKOVA, Svetlana RAEVSKAYA
REGULATION OF THE SUGAR INDUSTRY DEVELOPMENT IN RUSSIA
The article deals with the results of the sugar market research and the problems of the Russian sugar
industry development over the years of market reforms. Taking into account the problems and the crisis intensification
in the Russian sugar industry the authors of the article have made an attempt to systematize the reasons of it. In
large part these reasons can be explained by the fact that the government does not regulate the industry’s
development in the real sector of economy any more.
The authors have worked out the conceptual theses of the efficiency increase in the sphere of the sugar
branch of industry functioning and provision of its economic growth by defining “the points of growth”, protectionism
and Russian as well as foreign investments.
Key words: food policy, sugar market, regulation, the economic growth strategy, the level of self-provision
The present-day stage of the Russian economic development must consist of the intensification of the
government attention to the problems connected with the increase of the functioning efficiency of the real sector
and mainly of its food industry. The difficulty of processes in the food industry as the main segment of the real
sector of economy includes the weakening of the governmental regulating function, inaccurate definitions of the
trends of the production development and the absence of special-purpose programmes. The reconstruction of the
food industry as a whole and of its branches would solve many problems in the food industry and especially in its
branches dependent on import of the same products or raw materials. In this case the government regulation of
any food market must begin with the definition of its aims. First of all the government must determine the object of
its support and then the methods of its fulfillment. The consumers can be protected by means of a definite level of
consumption and prices. It can be achieved by the low level of prices. The aim of the agricultural producers’
protection may be the high level support of the producers’ income. It can also be achieved by means of the high
level of agricultural prices, which can provide profitable production. Moreover the rise of prices on agricultural
production signals the increase of demand and stimulates the growth of production. Consequently the higher level
of agricultural prices can solve the problem of providing the branches of the food industry with raw materials.
From the point of view of theory the most effective way of such support of prices can be the policy of
production costs compensation. The similar scheme was widely used in the markets of scarce products in the
countries of the European Union. The main idea of this policy is that the difference between the level of average
prices and the level of costs is compensated to producers.
Theoretically the policy of production costs compensation has a number of advantages in comparison with
other schemes of producers’ support. In the first place such a scheme does not influence the level of market prices
that is does not lead to their rise. In the second place this scheme shows the level of costs in the course of the
support programme fulfillment in a transparent way. The organs of government can easily mark the quantity and
distribution of resources, appreciate the efficiency of this policy, correct if for future. In the third place the policy of
production costs compensation is a burden for taxpayers but not for producers. Taking into account the character
of taxation the larger part of financing of this policy will have to be provided by taxpayers with high salaries.
Taking the Sugar industry as an example the authors of the article have made an attempt to explain the
mechanism of the sugar industry regulation in Russia and to prove the need to change the food policy in the
country emphasizing the conditions for manufacturing the products for which there is a production potential in the
country. We think that the sugar industry belongs to this type of industry’s branch.
The sugar market in Russia belongs to the most government regulated ones, say many Russian economists
I. Bugaenko, E. Serova, I. Hramova, M. Prokopiev, I. Kobut, O. Sheet, V. Loginov, V. Severin (Seregin, 2002).
However our analysis of literary and statistical material has shown that among scientists and practical workers
31
31
there is not any universal approach to the sugar industry development and provision of the economic growth in it.
The accurate system of regulation has not yet been created, the correlation of the government regulation and selfregulation of the sugar industry and the mechanism of the branch’s restructuring have not been determined.
The main problem of the Russian sugar market which must be solved by the regulation organs is the permanent
reduction of the sugar produced out of home-grown raw materials and the growing dependence on white sugar and
raw sugar import. It is estimated that the balance of production resources sufficient for the food production safety
must be within the following limits: home-grown production – 80 – 85%, import – 15 – 20%. In Russia the share of
sugar produced out of home-grown raw materials (sugar-beet) was 71,6% in 1990 while in 2003 it was 26% only
(cf. 23% in 1999). Today the production potential of sugar enterprises allows to produce 2,5 m tons of beet sugar
while about 1,5 m tons is produced. The reasons for it are the relations in the sphere of foreign trade, the reduction
of the production of home-grown raw materials and physical and moral deterioration of equipment. In order to use the
potential it is necessary to restore the branch. The restoration must be on a new basis taking into account the
development of the industry in the world. If the government does not take measures in the nearest future the situation
will be irreversible and Russia, the country that worked out the technology of beet sugar production, will be left
without the raw-material base of its own, says V. M. Severin, the chief executive of The Board of directors of the
Russian Sugar Producers’ Union (Soyuzrossahar) (Bondarev, 2003). And the speed with which the production of beet
sugar is decreasing now may lead to Russia’s dependence upon the international market of raw sugar. Moreover
Russia may become the major raw sugar consumer and consequently the source of foreign producers’ subsidization.
The situation is practically the same in the Ukraine while in Belarus the sugar beet production has increased 50%
(from 160,8 thousand tons to 268,0 thousand tons) in comparison with 1990; the branch development programme
has been approved and its realization will lead to the of increase the sugar production out of home-grown raw
materials up to 350 thousand tons that is 50% of the country’s consumption of sugar.
Taking it into account the state policy in Russia should aim at providing the independence of sugar market
at a secure level and achieving the pre-reform level of self-provision in the nearest future. The literary review in the
field of regulation of the sugar industry development has helped point out the government regulation of the sugar
industry development in Russia and depict it using a chart (№ 1) which includes the list of economic, administrative
and legal methods of regulation.
The System of Government Regulation of Sugar Industry In Russia
The aim of government regulation of the sugar industry implies the increasing efficiency of the sugar
industry development and providing a secure level of self-provision
The increasing of homegrown sugar share on
the food market
The regulation sugar
and raw sugar import
Financial and tax regulation of
the steady development of the
sugar industry
Stimulation of solvent
demand
The regulation of sugar production
in Russia
The revival and financing of federal programme “Sugar”
Tariff regulation
Providing the conditions of effective functioning of enterprises
Quotas
Regulation on the basis
of automatically
temporary reverse duty
Price regulation
Wholesaling and
retailing regulation
Formation of the optimal structure of beet sugar and raw sugar
production
Providing material and technical resources through non-interest
crediting of leasing companies which provide sugar industry with
technical facilities
Improving of the legislative basis in cutting down the risks of homegrown and foreign investments
Empowering the Russian Ministry of agriculture with the regulation
of sugar market
Quotas of sugar production at enterprises
Estimation of the market regulation consequences for economic subjects
32
Proceeding from the difficulties connected with the sugar industry development the aim of its realization can
be achieved by the fulfillment of major directions of regulation. In the first part it is the regulation of sugar and raw
sugar import; in the second part it is the regulation of production out of home-grown raw materials.
Stimulation of solvent demand of population should remain the major objective because about one third of
the population living in extreme poverty cannot afford buying products made out of sugar (sweets, chocolate etc)
and limit themselves to consuming sugar only.
Our research has shown that in the system of the sugar industry development the regulation of raw sugar
import is more effective than the home-grown production regulation. Despite the fact that the government has
declared protectionism policy which provides exploitation of home-grown equipment and stimulation of homegrown sugar-beet production effective measures have been taken neither by the central nor by the local government.
Maybe that is the main reason why the main regulating tool is still import duty on sugar and raw sugar
differentiated according to quotas and seasons of the year. It goes without saying that from the point of view of the
government policy raw sugar import is more profitable than ready-made sugar import because converting enterprises
can be loaded with raw material at the season when home-grown sugar-beet has been already converted.
The analysis of the evolution of import duties has shown that until 1994 import duties had been collected on
neither sugar nor raw sugar. In 1994 import duty of 20% on sugar imported from abroad was introduced for the first
time; in 1995 it was increased 25% and the 1% import duty was imposed on imported raw sugar. In order to
regulate uncontrolled sugar import from the former USSR countries in 1996 the customs on sugar imported from
these countries was introduced (the reason for it was the great amount of duty-free sugar which was imported
through the Ukraine but was not produced there). In 1998 temporary special (seasonal) duties for the period of
import and sugar-beet converting – 74% of customs were introduced. In 1999 – 2000 the rates of import duties on
sugar increased 30%, on raw sugar – 5% . These measures were contributed by seasonal duties of 45% on sugar
and 40% on raw sugar (Gomoz, 2003).
However these measures did not make for the cutting down of sugar import. Vice versa in 1999 – 2000 the
import of sugar increased. That is why customs were contributed by quotas taking the form of tariff quotas – 5%
of import duties and 30% beyond quotas. But this measure was not effective. Sharper tariff regulations led to the
increase of raw sugar import. In 2002 before the period of home-grown sugar-beet converting 4,2 m tons of raw
sugar with 3,65 m tons of quotas was imported; it means that the volume of quota-free raw sugar reached 0,8 m
tons (Loginov, 2002).
Thus the government regulation in 2000-2003 resulted in differing periods of time devoted to the delivery of
foreign and home-grown sugar-beet to the converting enterprises. However this three-year experiment was of more
importance for such branches of food industry as meat and fish industries.
That was the reason why in 2004 the government gave up regulating the import of raw sugar by means of
tariff quotas. It was replaced by “automatically return duty”. It means that the level of customs on raw sugar import
is fixed every month depending on the level of average prices of raw sugar at New York Commodity Exchange The
level of duty is fixed depending on the average price of the nearest futures raw sugar contract. For instance the
level of duty in March will be fixed depending on the average level of duty in January because by this time January
contract will have been closed. Regressive scale (exchange price is lower, the duty rate is higher) helps reduce the
dependence of home prices of sugar in Russia upon the fluctuation of exchange prices of raw sugar. We think,
however this mechanism will not withdraw the seasonal character of the sugar market and over-quotas raw sugar
import.
We suppose that the increase of self-provision with sugar produced out of home-grown raw materials only
by means of foreign trade regulations will not be effective. Apparently it is necessary to take measures, which will
create favourable conditions for the increase of raw material supply because raw sugar converting is less profitable
(3%) than sugar-beet converting (14%). However because of the great turnover raw sugar is more profitable for the
government and companies while converting sugar-beet will demand great investments. Having alternative raw
materials sugar companies do not want to do it.
Prices could be one of the ways of the government’s regulation. The regulation of prices at the beginning of
the reformation period followed the general policy of the government in the field of agriculture: consumers’ subsidies
were abolished. Since March 1992 the regulation of prices on the government level has stopped but the local
regulation remained. In 1994 retail prices of sugar were regulated in 40% of towns in Russia, in 1996 – in 25%.
(Kurtoeva, 2003). Then the government regulation of prices almost stopped and consequently the government
regulates neither retailing nor wholesaling.
Thus summarizing the results of the government regulation of the sugar market through the import regulation
we can make a conclusion that in this system tariff regulation is the main one and prevails over others. The
reasons for it are the advantages this form of regulation has got. In the first place import tariffs raise the prices of
imported goods up to the level of home prices depriving importers of competitive advantages. In the second place
33
33
this regulation is not a burden for the budget. In the third place fiscal character of duties is of great importance for
the government because it receives financial contributions to its budget. The factor that has just been mentioned
is the major one. As for the realization of production out o home-grown raw materials demands complicated
organizational and economic mechanisms, financial resources and restructuring of several branches of the food
industry.
One cannot but admit that the government makes attempts the raise the efficiency of the sugar industry. . In
order to raise competition forces of home-grown beet sugar in comparison with sugar produced out of raw material
the government of the Russian Federation has established Federal programme “The increase of sugar production in
the Russian Federation in 1997 – 2000 and up to 2005” (the programme called “Sugar”). According to it the Ministry
of economy when planning the budget for 1998 and later on must have found means for the realization of the
programme. However now the programme does not function. The difficulties are connected with the lack of means in
the budget as well as at the enterprises because the conditions of the sugar enterprises functioning have altered.
Structural changes that took place in the 90s above all affected property relations in the sugar indusry. The
processes of privatization in the food industry led to te government’s abandoning the sugar market as its agent (by
1995 the volume of sugar-beet purchased by the government had reduced to 3,35) and as the proprietor of raw
materials used by converting enterprises and wholesalers.
Nowadays the majority sugar enterprises are privately owned. Sugar enterprises that are owned by the
state produce only 0,2% of the total volume of sugar produced in Russia. The rest of the sugar enterprises, that
belong to the government (about 60%)blocks of shares belong to sugar producing companies. They produce about
75% of sugar (beet sugar – 22%, sugar produced out of raw sugar – 78%). Blocks of shares of 29 sugar producing
enterprises (25%) belong to the staff, agricultural producers, sugar producing companies, including foreign ones
%%%. Nowadays in Russia there are about 100 sugar trade companies. The chart of interaction on the market is
the following one (№2).
“Sugar Companies”
raw materials’ producers enterprises
Russian sugarbeet producers
Sugar converting enterprises
Raw sugar
importers
Channels of Distribution
Wholesaling
Retailing
Food industry
Sugar
import
Sugar
export
Public catering
Conventional signs
raw materials,
sugar,
the move of means
Proceeding from the chart it is easy to see that the role of the government in the development of sugar
industry is minimum; it consists of the customs regulation. Moreover, the role of both sugar-beet producers and
converting enterprises is minimum as well. The main role in the sugar industry development is performed by sugar
companies, which serve as middlemen between agricultural producers and enterprises (they purchase 90% of
sugar-beet and all raw sugar) and as the main proprietor of home-grown and imported sugar. The companies work
out the ways of raw material and ready-made sugar movement, fix the prices and consequently they must be
responsible for the sugar production, because these companies, together with the government derive profit from
the sugar industry. The companies make profit; the government makes contributions to the budget of the country
at the expense of the increasing customs and imported sugar and raw sugar.
34
However budget deficit does not allow counting on the solution of investment problems of the sugar industry
at the expense of government resources. The sources of investments that are left include sugar companies’
investments, foreign investments, private investments, bank credits.
In order to attract foreign investors to the sugar and raw materials’ industry the government must provide
conditions for the creation of converting enterprises using foreign investments and the creation of enterprises
owned by foreign investors, their subsidiaries; the government must also provide conditions for the foreign investors
to purchase the enterprises’ shares, bonds and other securities.
Bank credit is a very convenient and, in many cases, indispensable type of financial service, that allows to
take into account borrower’s needs and adapt the conditions of loan receipt to them. To our regret investments to
the sugar industry involve risks for foreign investments and banks. It is connected with a specific character of the
branch. As a rule banks tend not to credit such client and fix high interest rates and all this makes attracting bank
credits impossible. If a big foreign company invests an enterprise usually it tries to manage it.
We suppose that operative leasing may be an effective way of sugar enterprises’ investment. In this case
the government can finance leasing companies under the condition of interest-free credits. Sugar plants will have
a possibility to purchase modern equipment, without spending credit money on investments.
In future sugar plants ought to become enterprises with a big range of products including other types of
products beside food. Their production must be economical. Scientists are looking for new tendencies and
approaches, which will be able to provide perfection of traditional technologies and creation of brand-new technologies
of 21 century; they will help enlarge the assortment of goods, increase its quality and bring down resource
expenses.
The greatest concern of the government should be the increase of raw materials production and its quality
. On the basis of developing integration processes it will help create the pattern of providing converting enterprises
that belong to the agricultural sphere with raw materials. This process is considered to last for a long time and it
should be realized according to several stages.
The first stage of its realization (until 2005) must be devoted to stabilization of area under crops measuring
900 thousand hectares and harvest 20 – 22 tons of beet from 1 hectare; it will allow produce 2,3 – 2,4 m tons of
white sugar with sugar yield 12 – 13%.
At the second stage (2006 – 2010) areas under crops must reach 1200 thousand hectares, the productivity
must reach 22 – 25 tons from one hectare at the expense of brand-new resource-keeping technologies.
At the third stage (2010 – 2015) beet productivity must reach 25 – 30 tons from one hectare at the expense
of sugar-beet hybrid with new quality and the application of new high-class technology. Then it will be possible to
satisfy the country’s need for sugar 70 – 80% on the account of home-grown raw materials.
It would be perfect if the government together with the local authorities and sugar producing companies had
a possibility to give producers financial support that is to provide credit guarantees, subsidies and to attract foreign
investors in order to restructure sugar-beet production technically.
In order to increase home-grown production of sugar it is necessary to implement quotas on sugar-beet
production throughout the country. The amount of quotas is calculated for a year (from September, 1 this year till
august, 31 next year) and is divided into quarters. Quotas are fixed for every plant, taking into account its technological
level of production, capacity, production indices etc. At the same tie the government establishes definite proportions
of sugar-beet and raw sugar converting and binds sugar producing companies to follow these proportions. We
think that in Russia this proportion should be 50:50 at least while the optimal proportion is 80% of sugar-beet and
20% of raw sugar. In order to fulfill the pattern companies will have to finance sugar-beet producers and modernize
converting enterprises. The government, receiving customs from sugar and raw sugar import must transfer at
least 50% of custom collections to the development of sugar industry. Only under these conditions sugar industry
will develop and function. In order to change the current situation to better it is necessary to combine the measures
of outer protection and inner support sugar-beet producers and converting enterprises.
At the time when civilized market economy is forming the government regulation must guarantee stable
social and economical development. The economic reforms confirm that in the nearest future the agricultural
industry will not be able to stabilize and enlarge the range of its goods they produce without government help.
Consequently investments should concentrate round the sectors where production is more stable and is fulfilled
on intensively. By these sectors we mean the sugar producing companies the investment of which will allow
managing the technological chain’s development. At the same time the co-operation of converting and agricultural
plants is supposed. The formation of these sectors of sugar industry on the basis of sugar companies presupposes
their joining together with agricultural, trading enterprises into one system having common aims and development
strategies. Strategic associations will lead to more thorough exploitation, the enlargement of assortment, and the
increase of raw materials’ quality. Converting enterprises, which are formed as these sectors, will coordinate
integration and make for sugar industry’s and national economy’s development.
35
35
REFERENCES
BONDAREV A. Soyuzrossahar’s participation in perfection of the Russian legislation // Сахар. 2003.
№ 3. P. 4 – 6.
GOMOZ V. Sugar market in Russia: the viewpoint of traders // Сахар. 2002. № 4. P. 7 – 9.
KURTOEVA L. The Russian sugar market in 2002 and several tendencies of its development // Экономика
сельскохозяйственных и перерабатывающих предприятий. 2003. № 6. P.50.
LOGINOV V. Peculiarities of sugar market regulation // Сахарная свекла. 2002. № 12. P.5.
SEREGIN S. Indicative planning in the system of sugar and sugar-beet industry // Сахарная
промышленность. 2002. № 4. P.4.
CONTACT ADDRESS:
Suhorukovo Antonina Mihailovna, professor, the Doctor of Economics, the chairperson of enterprise’s economy
and management department at Saratov State Socio-Economics University
89, Raditshcheva Street, Saratov 410003
Tel.: +7(8452) 744304, fax: +7(8452) 755212
E-mail: [email protected]
Антонина СУХОРУКОВА, Светлана РАЕВСКАЯ
РЕГУЛИРОВАНИЕ РАЗВИТИЯ САХАРНОЙ ПРОМЫШЛЕННОСТИ РОССИИ
В статье приведены результаты исследования рынка сахара и проблемы развития сахарного
комплекса России за годы рыночных преобразований.
Исходя из сложности проблем и углубления кризиса в отечественной сахарной отрасли, сделаны
попытки систематизировать причины, объясняемые во многом уходом государства от регулирующих
функций развития производства в реальном секторе экономики.
Разработаны концептуальные положения по повышению эффективности функционирования сахарного подкомплекса и обеспечению экономического роста в нем за счет определения «точек роста»,
протекционизма и привлечения инвестиций, включая иностранные.
Ключевые слова: продовольственная политика, рынок сахара, регулирование, стратегия экономического роста, уровень самообеспечения
УДК 332.1
Elena HORSKÁ, Iveta UBREŽIOVÁ
GEOGRAPHICAL AND BUSINESS DISTANCE AND ITS INFLUENCE
ON INTERNATIONAL BUSINESS COOPERATION
The paper identifies areas and ways of international business cooperation development among the Slovak
Republic and business partners closed from geographical or business point of view. We evaluate here the role of
the Czech Republic as a business partner, the role of Russia as a traditional long-term partner and the role of
member states of the European Union as well as perspective EU´s member states. Further development of the
international business cooperation between business partners analyzed in this paper is supposed to base on
neither business nor geographical nearness.
Key words: geographical distance, business distance, business partner, opportunities, foreign trade,
European market
The theory of international business distinguishes between the geographical and business distances (Horská,
Ubrežiová, 2001). Geographical distance means such kind of distance that has direct impact on the level of costs
of transportation, business risk, entering different climate conditions, etc. Business distance compares such
characteristics as cultural, historical, social and legal ones and looks for similarities or differences. Social, economic
and political development in the Slovak Republic also has created conditions for trade creation within the European
Union. Accession of the Slovak Republic to the EU is a great challenge for the business sphere as well as its
inhabitants (Horská, 2004, Hambalková, 2004). More than 80% of Slovak export is oriented at the markets of
present enlarged Europe. Free foreign trade exchange brings the positive effects for all economy. Slovak economy
is in the present an open economy with small internal market. From this reason the Slovak economical efficiency
and mostly efficiency of agrobusiness sector is sensitive on outside environment, it means on global trends in the
world economy and development in the European economical space. Accession of the Slovak Republic to the EU
means also the priority to strengthening the national economy at the business sphere competitiveness growth.
Efficiency of the Slovak economy in 2000 accounted only 46 % in comparison to the European average. This
situation creates requirements for further efficiency growth, but in the conditions of new economic reality (Bielik,
2004). The level of geographical and business distance reflects to the volume and frequency of the foreign trade
exchange (Cateora, Graham, 1999).
The goal of the paper is to identify opportunities for the international business cooperation development
using the advantages neither of business distance nor geographical one between the Slovak Republic and its
business partners. Based on the analysis of external environment, present social, political and economic conditions
and further development, present results in foreign trade we try to outline targets for foreign trade growth. In our
research we use the secondary data (database of the Ministry of Economy of the Slovak Republic, Customs
Statistics of the Slovak Republic, territorial information on business partner countries, theoretical issues on
international business and marketing). In the paper we provide the statistics on foreign trade between Slovakia and
the most important business partner countries for period of years 2002 – 2003.
As we mentioned in the introductory text, we can distinguish between geographical and business distance.
Neither geographical nor business nearness leads to trade creation and of course, bigger effort and enthusiasm to
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37
start business or mutual cooperation. Big cultural, social, economic or geographical gap between the countries
leads to trade diversion because of higher costs of transportation, insufficient purchasing power on the one hand,
technical or cultural misunderstanding, administrative and legislative obstacles on the other hand.
Figure 1
Geographical and business distance between the Slovak Republic and business partner countries
Geographical distance
Other world
Russia
Other EU´s countries
Neighbouring countries (Czech Republic,
Hungary, Poland, Austria, Ukraine)
SLOVAKIA
Czech Republic
Poland, Hungary, other European countries
with low cultural contents
European countries with high cultural
contents
Other world countries
Business distance
As it is shown in the figure 1, we could find the similar level of geographical distance in all neighbouring
countries, but common historical roots and long-term socio-economic development and economic
interdependency following from those aspects place the Czech Republic at the head of the list of the nearest
business partner countries. The most important business partner based on the volume of foreign trade exchange
is Germany, but there is no doubt this country is the most important business partner for Slovakia not because
of business nearness but because of economic and market potential. Table 1 points at the foreign trade exchange
volumes with the most important business partner countries or economic unions. Trade with the CEFTA´s
countries and the EU´s countries accounted for years 2002 and 2003 about 80% (less in import, more in
export). Some of these countries belong to the group of neighbouring countries, some of them have similar
business environment and socio-economic and political development. Membership in the EU leads to the trade
c r e a t i o n w i t h t h e m e m b e r s t a t e s . O f c o u r s e , e n l a r g e d m a r k e t a n d t r a d e p o l i c y o f t h e E U we can evaluate from
several different aspects:
– as a threat in terms of stronger competition at the local, regional and global markets,
– as an opportunity in terms of wider market space with 450 mil. inhabitants,
– as a threat in terms of trade diversion against no-member countries (increased customs tariffs in average
from 5,12 % up to 28,35 %),
– as an opportunity in terms of trade creation within the EU´s member countries.
For period of years 2002 – 2003 it is possible to observe the growth of foreign trade exchange between
Slovakia and the EU´s countries. Expressive growth – up to 30 % – it is observed from the beginning of year 2004.
The biggest share on the Slovak export account products of the automobile industry. On the other hand, components
for the automobile industry account the biggest share on the Slovak import.
38
Table 1
Foreign trade with the most important business partner countries or economic unions
Country
Czech
Republic
CEFTA
EU
Russia
Ukraine
China
Unit
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Import
2002
2 499,9
15,15
3 820,4
23,15
8 301,5
50,31
2 070,3
12,54
187,0
1,13
343,8
2,08
Export
2002
2 184,9
15,19
4 159,8
28,92
8 708,8
60,55
143,3
0,99
155,8
1,08
39,9
0,27
Trade
balance
– 315
–
339,3
–
407,3
–
– 1 927,0
–
– 31,2
–
– 303,9
–
Import
2003
3 217,5
14,31
5 302,3
23,58
11 548,4
51,37
2 411,1
10,72
233,5
1,03
554,3
2,46
Export
2003
2 818,2
12,90
5 509,5
25,22
13 241,9
60,63
266,9
1,21
221,7
1,01
139,6
0,63
Trade
balance
– 399,3
–
207,2
–
1 693,6
–
– 2 144,2
–
– 11,8
–
– 414,7
–
Source: The Ministry of Economy, Slovak Republic, 2004 and author’s calculation
To use the opportunities at the EU market supposes to reach high quality standards, reasonable price, flexible
logistic system and effective marketing communication. There is no doubt that there is a plenty of products competing
on the level of cost leadership but there is not the only way how to compete at the European or world market.
The threat of strong competition at the EU market will shift export orientation towards the other European
markets (perspective EU´s member countries), markets of CIS and those foreign markets where is actual to use
advantages of free trade agreements (Mexico, Chile, less developing countries). The table 2 introduces the date on
foreign trade volume among the Slovak Republic and perspective EU´s member countries as Bulgaria, Romania,
Serbia and Montenegro, Croatia, Bosnia and Herzegovina, Macedonia and Albania are. Within this group of trade
partners there is the most intensive trade exchange with Romania, Croatia and Serbia and Montenegro. The
Slovak Republic has reached the positive trade balance with all mentioned countries. Croatia, Macedonia and the
EU signed in 2001 the Stabilization and Association Agreement that enables import of the Croatian and Macedonian
products to the EU market without customs tariffs. There is a plan to sign the similar agreements with Albania,
Bosnia and Herzegovina and Serbia and Montenegro. With a goal to create economic and political stability on
Balkan the EU provides the trade preferences in terms of zero-customs tariffs for most of tradable commodities
with origin in Albania, Bosnia and Herzegovina and Serbia and Montenegro.
Table 2
Foreign trade of the Slovak Republic with perspective EUґs member countries
Country
Serbia and
Montenegro
Croatia
Macedonia
Bosna and
Hercegovina
Albania
Bulgaria
Romania
Unit
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Mil. USD
% of total trade
Export
2002
72,314
0,5
90,5
0,6
4,239
0,02
27,028
0,18
0,350
0,0024
40,4
0,2
146,8
1,02
Import
2002
14,510
0,08
20,2
0,12
1,233
0,007
2,044
0,012
0,076
0,00046
11,2
0,06
43,8
0,26
Trade
balance
57,804
–
70,3
–
3,006
–
24,984
–
0,274
–
29,2
–
103
–
Export
2003
63,346
0,2
126,3
0,57
3,782
0,017
29,555
0,13
1,248
0,0057
61,6
0,28
214,2
0,98
Import
2003
15,330
0,068
29,9
0,13
1,6
0,0071
11,525
0,05
0,102
0,00045
19,0
0,08
96,1
0,42
Trade
balance
48,016
–
96,4
–
2,182
–
18,03
–
1,146
–
42,6
–
118,1
–
Source: The Ministry of Economy, Slovak Republic, 2004 and author’s calculation
Import with Russia has a declining tendency (oil, gas), but export is still growing. We suppose that business
contacts between Slovakia and Russia and other former Soviet republics would be developing in the near future
because of market orientation, future market potential and business contacts active from the past. Example of
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new and fast developing business contact is China that belongs to the top ten newly developing economics of the
world. Import with China observed within January – April, 2004 was increased with 100% in comparison to the
same period of the previous year. Trade balance with Russia as well as China is negative, in case of Chine with
perspective of further negative development.
CONCLUSION
Business development is influenced by the neither geographical nor business distance, similarity of socioeconomic, political development, market and economic potential as well. Czech Republic is the nearest business
partner for Slovakia. Former Czechoslovakia had strong business relations with former U.S.S.R. that survive in
several cases and several branches and would be appropriate to revive those that could contribute to more intensive
foreign trade exchange. Intensive growth is reported in business relations with China as supplier of wide assortment
of consumer goods, textiles and shoes. Political and economic development of the Slovak Republic and its
membership in the European Union creates suppositions for growth of foreign trade within this economic union and
pespective growth of trade with countries with which the trade creation is supported in the medium of free trade
agreements or association and stabilization agreements.
REFERENCES
BIELIK, P. (2004). Vplyv integračného procesu EÚ na výkonnosť a konkurencieschopnosť slovenského
poľnohospodárstva. In: Zborník vedeckých prác MVD 2004, Nitra: SPUs. 78 – 83, ISBN 80-8096-356-0
CATEORA, P.R., GRAHAM, J.L. (1999): International Marketing. 10th ed. Irwin McGraw-Hill, 1999. 721 s.,
ISBN 0-256-25982-8
HAMBALKOVÁ , M. (2004). Účinky prevzatia vybraných segmentov spoločnej obchodnej politiky Európskej
únie na Slovensku. In: Zborník vedeckých prác MVD 2004, Nitra: SPU, s. 346 – 351, ISBN 80-8096-356-0
HORSKÁ, E. (2004). Slovenské potravinárske podniky a konkurenčná koexistencia na rozšírenom európskom
trhu. In: Zborník vedeckých prác MVD 2004, Nitra: SPU, s. 404 – 407, ISBN 80-8096-356-0
HORSKÁ, E. – Ubrežiová, I. (2001). Manažment a marketing v medzinárodnom prostredí. Nitra: SPU,
2001, 418 s., ISBN 80-7137-884-4
CONTACT ADDRESS:
Dr. Ing. Elena Horskб, Department of Management and Marketing, SPU FEM, Tr. A. Hlinku 2, Nitra, Slovakia,
Doc. Ing. Iveta Ubreћiov б, CSc. Department of Management and Marketing, SPU FEM, Tr. A. Hlinku 2,
Nitra, Slovakia, e-mail: Iveta.Ubreћiov б@uniag.sk
Елена ХОРСКА, Ивета УБРЕЗИОВА
ГЕОГРАФИЧЕСКАЯ И ЭКОНОМИЧЕСКАЯ УДАЛЕННОСТЬ И ЕЕ ВЛИЯНИЕ
НА РАЗВИТИЕ МЕЖДУНАРОДНОГО СОТРУДНИЧЕСТВА
В статье определяются области и пути развития международного делового сотрудничества
между Словацкой Республикой и бизнес-партнерами, близкими с географической или экономической точки зрения. Нами оценивается роль Чешской Республики в качестве делового партнера, роль России как
традиционного долгосрочного партнера и роль стран – членов Европейского союза, а также государств
– будущих членов ЕС.
Ключевые слова: географическое расстояние, бизнес-дистанция, деловой партнер, возможности, внешняя торговля, европейский рынок
УДК 339.9 (470)
Nellya NAZARIEVA
INTERNATIONAL ECONOMIC COOPERATION
OF RUSSIAN COMPANIES
The aim of this article is to define the importance of basic directions and organizational forms of international
economic cooperation for Russian industry to develop and to perform effectively. The article gives interrelation of
the directions to develop and results (effects) of the first and second rows of international economic activity. The
first row effect is known as a current result, which is the reason for a company to go to the international market.
And the second row effect is known as a strategic result of increasing quality level of a company to meet the
requirements of the rules to do business in the international market. The results of using such organizational
forms as companies with foreign capital and joint ventures give the right to assert that these higher organizational
forms need to have profound long-term professional training especially in management.
Key words: international economic activity, first and second rows effect, development
International economic activity is widely known as one of the main factors to form global economy. Market
economy in Russia is supposed to integrate into world economy. On the way to the market economy all Russian
enterprises, whatever their sphere of activities, size and form of ownership are, have the opportunity to carry out
international economic activity independently. The basic form of international economic cooperation is international
industrial activity in current economic situation in Russia.
The Russian industry used to be the core of the economic structure nowadays turned out to be in a long
drawn-out crisis, it is characterized by economic slump, caused by low flexibility and adaptively to changeable
environment and by economic crisis in consumer-branches of industrial products. More reasons are: collapse of
connections with many traditional supplies and consumers; loss of the world market positions won before; low
competitiveness of industrial companies and industrial products; depreciation of industrial company assets; change
of trend for production costs using poor manufacturing equipment; decrease in both organizational and technical
levels because of the low usage of up-to-date equipment, instruments and tools.
Nowadays when world economy subjects are companies, the characteristics given above become stronger.
Multiplier as the factor of globalization transfers companies from the national level to the international one.
From our point of view, this situation requires drastic approach to the problem of industrial company
development. The desired compulsion of crisis way-out and upsurge stimulating of the Russian economy provoke
importance to define and to fulfil strategic direction of industrial company effective development. International
economic activity could be this direction and it meets the following requirements:
1. To encourage fast development in a short time period.
2. To be related to the intensive factors of effectiveness increase.
3. To encourage and direct company toward making massive industrial, technological, administrative and
social grounds.
4. To get interested in fast learning to handle and putting into practice machinery and science achievements,
and in organizing production process and management.
5. To saturate domestic market with goods of high quality.
6. To increase competitiveness of industrial companies and goods.
7. To have strategic goals instead of ad hoc decisions.
8. To be capable to use advantages of current economic situation in Russia to integrate into World Economy
on the basis of equal rights, among the advantages are: access to natural resources, i.e. close location to raw
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41
material markets; low costs and qualified labour force; high scientific potential and a great number of innovations
in some branches of the Russian industry which proved to be unclaimed nowadays.
9. To be a multiplier of the efforts to develop industry basing on the latest achievements of the world science
and practice.
Such directions as trade, cooperation and investment are used in international economic activity by Russian
companies. Basic organizational trade forms are: agreement with import-company or foreign distributor; use of
independent retailers including foreign ones with trade service agreement; organizing trade offices, trade delegates
and branches. Basic organizational forms of international cooperation of Russian companies are: preproduction
(technological process transparence, scientific and technological cooperation in production, building and assembling
works, upgrading production process); production and technology (design and coordination of planning documentary
of technological process, of technical production level and quality of products); managing form (standardization,
unification, certification, marketing and managing); trade commercial links for sale goods including cooperation of
delivery volume, prices and post sale service. Basic organizational investment forms for Russian companies are:
establishing a new company abroad; purchase of active foreign enterprise; purchase of majority and minority
shares of the company stock; establishing a joint venture with foreign partners. Each of the above mentioned
forms has its advantages and disadvantages, sometimes they are hard to discern because of being closely
interrelated. However they require certain conditions to be fulfilled.
The criteria for international economic activities, enterprise directions and expected results might be different
depending on the type of enterprise and its stage of development. A just established company could build its
strategy to expand company’s positions on the market, increase its share and profits. The strategy could also
presuppose drawing up company’s image and improving product’s quality. Stable working company could put the
efforts to decrease risks, solve ecological problems, renew fixed capital, cut production costs to raise profits,
enlarge production to improve management, technical and organizational levels. Competitive company directs its
strategy to keep and enhance company’s position on the market, to introduce new product lines, to improve
human resources qualification, to increase competitiveness of company and its products.
Picture 1 shows us interrelationship of industrial company development and international economic activity
results, divided into three groups: technical company development; product improvement and introduction of new
ones. We intentionally exclude management company development and quality improvement of human resources
in the chart on picture 1, as we consider them the basement of the whole organizational structure.
to improve human resources
qualification
to output new products
Introduction of new
product lines
new product lines work
out
preproduction measures
for new product output
to increase company competitiveness
to renew fixed capital
to increase product quality and
competitiveness
to solve ecological problems
to decrease risks
company and subdivision
reconstruction
new construction
to draw up positive company image
To keep and enhance company’s position
on the market
To expand market
To raise profits
introduction of progressive
equipment and technologies
improvement and
modernization of equipment
condition
introduction of computerized
tools and automatization
Organizational company
development
improvement of company
organizational structure
improvement of working
conditions and labour
safety
personnel qualification
improvement
to improve technical, organizational levels
and management
Technical company development
Picture 1. Interrelationship of industrial company development and international economic activity results
42
Various organizational forms cause different effects of the first and second rows. Among the effects which
could refer to the first row are: profit raise; market expansion; keeping and enhancing market positions; drawing up
positive company image; decrease of risks; ecological problem solving; improvement of management, technical
and organizational levels; increase of product quality and competitiveness; fixed capital renew; increase of company
competitiveness; new product output; improvement of human resources qualification. A company performing
international economic activity experiences the second role effect. It means company development through its
quality improvement.
The first row effect is known as current result which is the reason for a company to go to international
market. The second row effect is known as strategic result of increasing quality level of a company to meet the
requirements of the rules to do business on international market.
Importance of international economic activity to develop an industrial company is to evaluate expediency
and quality of home-country inventions of new machinery and equipment, materials and technological processes
through international trade. The quality of Russian goods as well as competitiveness of companies and what they
produce is checked by the means of comparison with the same imported products. Working out new technologies
and putting them into practice have become the main term for such branches of industry as machinery to keep
product competitiveness and to stay on the market. International economic activity can have access to up-to-date
technical devices, technologies, new forms of management and organizing production.
Major motives for the Russian party for international economic activity are: product output depending on its
demand abroad; involvement into economic processes of the foreign country and access to progressive technologies,
equipment and management methods; increase of export volume through production of competitive goods on the
world market; import substitution; investment attractiveness and getting access to additional material and financial
resources; personnel qualification improvement in management and production; foreign currency.
Dominant motives for a foreign party are: access to a huge Russian market with products which are demanded
and then to hold market positions; opportunity to use scientific and resource potential of Russia; use of low costs
and qualified labour force; making use of Russian know-how technologies and inventions to output products which
are demanded on the world market.
All described above makes us draw a conclusion that there are different motive grounds in both Russian and
foreign parties of international economic cooperation. As for foreign partners they are mainly interested in investing
forms. Early in the market reforms Russian participants of international economic cooperation thought for investing
forms without taking into account whether they were ready or not for them.
For the Russian party among the difficulties which cause establishing joint ventures and enterprises with
foreign capital are hard to enter foreign market independently, lack of knowledge of foreign economic environment,
necessity for uniting efforts in the terms of uncertainty of economic development. When establishing such enterprises
the main objectives are:
1. to obtain up-to-date foreign technologies and to surmount obstacles of protectionism in technologies
exchange;
2. to increase competitiveness of products on the market;
3. to enlarge product export, to enter foreign markets through:
• studying of foreign market specific demands, and conducting of market complex research;
• organizing production which would meet the world market standards of the sale-target country;
• entering the markets where strict trade protectionism and limit of foreign investment with target-country
companies participation are exercised;
4. to attract additional financial and material resources, and use one of the founders resource components
at the price which is lower than the world average price on it;
5. to decrease production costs by the means of the transfer pricing use;
6. to improve technical service through obtaining a complete set of details which are not manufactured in
the country.
Companies with foreign investment have some characteristic features such as progressive technologies,
high level of labour productivity, capital return, export efficiency, production culture, pays. In the Russian economy
a lot of companies with foreign capital build their business on pure market principles in the field of production
process, labour relations, supply and sales, marketing. In such companies managers as well as rank and files
widen their outlook of modern management and marketing.
One of the major motives to build companies with foreign investment for foreign partners is to enter new
markets. It is necessary to mark the opportunity of long-term use of the Russian market peculiarities and potential.
One more motive is to reduce costs by the means of location change of production assets to Russia. This, in its
turn, provides some advantages such as low labour expenditures and other resources. Besides, unpretentious
Russian market gives a chance to old-fashioned technologies and goods to live on. In short, foreign partners have
both economic-production and marketing motives to build joint ventures.
Foreign investment movement is beneficial for both partners as it makes national economy integrate into
global one. Versatile cooperation is the major moving force in this process.
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43
However, we should take into consideration the following: first, when buying or building business, it is
invested but once. At the same time profit is obtained regularly such situation equals capital import and export.
Second, branches of industry with top-profit potential are more attracted for investment and that makes national
economy develop in this proportion. Foreign ecologically disastrous enterprises are the vital problem for the
Russian economy. They come to Russia from the countries with more strict ecology safety requirements.
According to the data of the Russian Statistic Agency the volume of direct investment in Russia in the early 2003
is $19.4 billions. Investment structure has changed: up to 1997 the volume of investment to capital was growing, since
1998 the volume of investment in the way of credits obtained from foreign co-owners has become dominant.
Foreign investors focus their interests in Russia on:
• great raw material projects profit of which is guaranteed. Besides such projects are inclined to be supported
by national and international organizations;
• low costs industry of consume goods and services with low rate investment to performed through out-ofdate technologies and equipment;
• enterprises with future possible internationalizing processes of production and sales.
Major structural peculiarities of direct investment in the Russian economy are: prevailing branches focused
on domestic market sales with quick capital return and mining industry. In 2002 all direct investment is divided in
the following shares: trade and food industry – 30.4%, transportation – 2.2%, food processing industry – 7.4%,
fuel producing industry – 15.9%, timber industry – 2.7%. At the same time the rate of foreign capital is low in such
branches of industry as: machinery, chemical industry, ferrous and non-ferrous metallurgy. These branches are to
perform scientific and technical progress of the country (Stanislavchik, 2003).
The major problem to make a company with foreign capital work effectively is to prevent conflict of interests.
There are common misunderstandings and conflicts of interests in such spheres as finance (profit repatriation and
its use); position distribution and subordination (organizational structure of management); technical and scientific
cooperation (no confidence in today’s partner who might become tomorrow’s competitor); personnel (difference in
business culture, establishment, qualification levels, make and perform decision system and management style).
Management system of Russian industrial companies which doesn’t meet current realias is the main reason of all
described above conflicts and misunderstandings.
These problems can be solved by managers who are responsible for giving and performing both tactical and
strategic directives. As there is no Russian management model as it is, in joint ventures Russian party is inclined
to use a foreign management model. All management methods and approaches can be used in any country. The
only thing that should be taken into consideration is that people who use these management tools adapt them
according to their world comprehension, as they descend from different cultures with different traditions.
Forming of management levels causes the problem of effective managing personnel proportion. On one
hand Russian top management has some advantages such as better understanding of local conditions, better
interactions with suppliers, customers and local authorities, law labour costs. On the other hand foreign investors
prefer to take control over the most important production processes especially in hi-tech companies to provide
high quality of the products and sales. Therefore a division of duties often takes place among the members of the
board of directors basing on professional competence. For example, general director appointed by the Russian
party can make the day-to-day decisions which help his company to run efficiently and smoothly. That’s why his
first deputy from the foreign party should sort out all technical problems if the technology, equipment and knowhow are contributed by the foreign investors. Other levels of management may have the same division of duties.
We can observe that middle managers specialized on technical devices, quality control, foreign trade and finance
are preferable to be appointed from the foreign party. The Russian specialists are likely to solve with better effect
such problems as supply, domestic sales, personnel selection, maintenance, etc. As any company is unique, it
goes without saying that methodological analysis cannot take into account all possible peculiarities of the company
and its founders. That’s why it gives us the grounds to suppose only in a general way. Any functional division
requires professional training for Russian managers in order to enlarge the functions performed by the Russians
and the early the better. It’s necessary to mark that among the top problems of joint ventures are the parity in
management, responsibility division, decision making by both parties in various fields and different styles of
management interrelations.
It is obvious that such a complicated top management structure which is required by foreign partners troubles
managing procedure. It makes difficult to interrelate and coordinate. It also causes report and order duplication.
Besides from the psychological point of view subordinates happen to meet difficulties when they are given orders by
several superiors. Such structure makes taking decision procedure complicated as it requires both parties agreement.
In practice these rules are rare to exercise. For example, a decision is taken and is ready to be carried out if a foreign
partner approves it. However, the decision cannot be performed if a Russian manager alone is informed.
Functional managers often delegate a great part of their authorities to middle and line managers. It causes
the problem of two different management styles and cultures. In this situation there is only one thing to say for
sure is that these styles influence each other. Russian managers don’t hesitate in their western colleagues
44
abilities to plan and control profits and company effectiveness. At the same time foreign managers admit the
Russian specialists’ superiority in trade, conducting negotiations, production management, and installation and
running equipment as they are experienced to work in the terms of lack of resources.
It is typical for companies with foreign capital to have managers with narrow competence instead of managers
who would be responsible for all management functions as narrow competent managers are known to simplify the
process of making decisions. At the same time such company structure causes the problem how to interact
between subordinates and superiors. Western management scheme implemented in the Russian conditions
creates the situation when a subordinate has to choose whose order is the most important at the moment and has
to make double reports. In a word western management system turns out to be very time consuming.
Which organization form is more preferable for Russian companies? Enterprise readiness and particular
situation determine management system. The value of practical achievement is that Russian companies have
made up their mind to integrate into global cooperation through the system “from simple to complex”. The skyrocketing wave of joint ventures founding passed away, as market participants have come to conclusion that this
is the highest form of organization which needs long and profound training especially in management. Common
export-import operations can bring necessary experience and skills to do business on the world market. Such
activity may gain positive image of the company and brands, find future foreign partners. Finally such international
cooperation forms might turn out to be not less promising than joint venture itself. More over, they often guide
companies to such a form as joint venture.
In conclusion we would like to say that lack of international economic experience narrows industrial enterprise
effectiveness as it doesn’t have at its disposal resources of the world economy. However international cooperation meets
the first row effect following the nearest prospective. At the same time it doesn’t mean that the company is deprived of
getting the second row effect. From this very point of view international economic cooperation is more wanted.
REFERENCES
CLEINER G. B., TOMBOVTSEV V. L., KACHALOV R. M., Companies in non-stable economic environment:
risks, strategies, safety. M.: Economy, 1997. P.286.
POPOV V. M., LYAPUNOV S. I., MURTUZALIEVA S. Yu. Management and marketing in international
companies. M.: Finances and statistics, 2001. P. 384.
POPOV S. International economic activity of a company. M.: Os-89, 2001. P.368.
STANISLAVCHIC N. B. Direct investment in a real sector of Russian economy // International economic
bulletin. 2003. № 5 (May). P. 45 – 54.
KHALEVINSKAYA E. D. Russian companies with foreign capital. M.: Finstatiform, 1995. P.106.
CONTACT ADDRESS:
Nellya Nazarieva, PHD in Economics, the faculty of World Economy, Saratov State Socio-Economic
University, 89, Radischeva Street, Saratov, 410000, tel. 75-61-60.
Нелля НАЗАРИЕВА
МЕЖДУНАРОДНОЕ ЭКОНОМИЧЕСКОЕ СОТРУДНИЧЕСТВО
РОССИЙСКИХ КОМПАНИЙ
Цель статьи – определить важность основных направлений и организационных форм международного экономического сотрудничества для эффективного развития и функционирования российской
промышленности. В статье рассматривается взаимосвязь направлений развития и результаты первого и второго ряда международной экономической деятельности. Эффект первого ряда известен как
текущий результат, являющийся причиной, по которой компания должна выходить на международный
рынок. Эффект второго ряда известен как стратегический результат повышения уровня качества
компании, чтобы удовлетворять правилам ведения бизнеса на международном рынке. Результаты
использования таких организационных форм, как компании с иностранным капиталом и совместные
предприятия, дают право утверждать, что эти высшие организационные формы нуждаются в основательной долгосрочной профессиональной подготовке, особенно в менеджменте.
Ключевые слова: международная экономическая деятельность, эффект первого и второго ряда,
развитие
УДК 316.33 (437)
Miroslav FORET, Ľudmila NAGYOVÁ, Ľudmila MAĎAROVÁ
Mendel University of Agriculture and Forestry, Brno, Czech Republic
Slovak Agricultural University, Nitra, Slovak Republic
PATRIOTISM AS A MARKET STRATEGY FACTOR
The aim of this paper is to present information that is necessary for understanding the feature of Local
Patriotism in beer drinking within the Czech and Slovak Republics, to provide a basic understanding of using this
tool in order to formulate a new marketing strategy within the two countries and to analyze the current situation of
the Czech and Slovak Beer Markets. It considers the beer situations in both countries, identifies and then
compares the provided research results.
Key words: market, transition, local patriotism, marketing research, marketing strategy, beer market,
frequency, brand, distribution, market share
Market economy transition of the last decade of the 20th century has also changed the consumers´ behaviour
in the Czech and Slovak Republics. The provided marketing researches illustrate the situation, which in many
aspects corresponds with the experiences of other European countries, but which is not the case in the countries
without the beer drinking traditions. While in the typical beer consuming countries the draught beers are mostly
preferred (especially in pubs and restaurants), in other countries the priority would be given to bottled or even
canned beers.
In the Czech Republic, the average annual beer consumption is 160 l per person, which ranks the country
as the first one in the world. In comparison, the annual beer consumption in Slovakia is 86,4 l per consumer, which
in the year 2003 ranked the country among the TOP 10 ones with the highest beer consumption in the world. Next
to the Czech and Slovak Republics, the countries of Ireland, Germany, Austria, Luxemburg, Denmark, Belgium,
Great Britain and Australia ranked among the TOP 10 in the world. Decrease of beer consumption in Germany
(123,1 l per person) caused that the country of Ireland ranked as the second among the TOP 10 with its annual
consumption of more than 150 l per person.
In order to follow the aim of the paper, the methodological strategy was set down. Primary information was
acquired through the realized marketing researches in the Czech and Slovak Republics. The basic research
technique was the face-to-face questioning. The information was recorded in writing in the prepared questionnaires.
The acquired data were analyzed by means of the programmes Excel and Statistics. In order to be able to follow
statistical dependence, the c–2 was used.
RESEARCH RESULTS
In 1993, a marketing research was realized with the aim to find out more about the frequency and popularity
of beer drinking in Brno, the second largest city of the Czech Republic with approximately 400 thousands inhabitants.
The respondents aged over 18 were interviewed. The information resulted from their responses show that only 22%
of the Brno residents do not drink beer at all. On the other hand, nearly the same portion (19%) drinks beer
regularly, one third (34%) rarely and one quarter (25%) hardly ever.
As we can see, beer drinking is a widely spread phenomenon also in Brno, the Capital of more wine
oriented Southern Moravia Region. Otherwise, beer drinking is more typical for the Bohemia Regions. The most
famous local beer brands for the Middle Bohemia and Prague are Staropramen, Krušovice or Bráník, for the West
46
Bohemia and its capital Pilsen these are Pilsner Urquell or Gambrinus and for the South Bohemia and its capital
České Budějovice the most famous local beer brand is Budweiser.
Graph 1
Beer drinking in Brno
Regularly
19%
Not at all
22%
Hardly ever
25%
Rarely
34%
Just to compare, there was realized a similar marketing research of beer consumption in Slovakia in 2003.
This was carried out in the Nitra Region, which is situated in the Western part of Slovakia with approximately 700
thousand inhabitants. The city of Nitra is the capital of this Region as well. Since 1998, the Company Heineken
Slovakia, a stock company, has had its seat here, which is sheltering the activities of the Dutch Company
Heineken N.V. Amsterdam in the country of Slovakia. It entered into the Slovak market through the Brewery
Golden Pheasant Hurbanovo (Zlatý Bažant) in 1995 and it expanded its size gradually through taking other breweries
and maltings as for example Corgoň Nitra in 1997, Martiner (Martin) and Gemer (Rimavská Sobota) in 1999.
Before the Heineken entered into the Slovak market, the market share of the brand Golden Pheasant was only 8
%. With its 15 % share in 2003, it became the leader of the Slovak beer market.
At present, the repositioning of the brand Corgoň is going on, from the region-wide to the nation- wide one.
Keeping the traditional brand formulas, increasing the quality, care of the Slovak consumers, these are the major
priorities of the named brand.
The second most important brewery, which is situated more than 35 km from Nitra, is the Brewery Topvar,
which is operating without any foreign capital share. It offers a broad spectrum of light and dark beers. 454
respondents took part in the realized marketing research, aged over 18. Because 94 (21 %) respondents didn’t
drink beer at all, they were excluded from the further research. Out of 360 respondents, 14 % drink beer regularly,
74 % rarely and 12 % hardly ever.
Graph 2
Beer drinking in Nitra Region
hardly ever
12%
regularly
14%
regularly
rarely
hardly ever
rarely
74%
The brand is understood as one of the decisive factors having a great influence on consumers’ behavior.
The respondents aged over 40 prefer local or regional brands of beer. The young generation, to the contrary, reacts
much more sensibly to fashion trends. In addition to the local brands as Golden Pheasant, Topvar, Šariš, Corgoň,
the Slovak beer consumers like the Czech beers as well, which is well understandable in terms of the 70-year
existence of the Czechoslovak Republic, our mutual traditions, and culture. The most favourit brands are Pilsner
Urquell, Gambrinus, Budweiser, Staropramen, Krušovice and others. Almost one third of the respondents prefer
more than one brand of beer.
The most important findings about beer consumption and consumer habits are:
• The more regularly people drink beer, the more they prefer draught beers in pubs and restaurants, rather
than bottled or even caned one;
• Those who drink beer regularly, they mostly prefer light beers – 10° graded beer;
47
47
• Regular drinkers drink beer mostly at social occasions such as sports events, leisure time activities, etc.,
in comparison with occasional consumers who drink beer mostly with their meals;
• With regulars, the most decisive feature is the quality (36 %) and the price (33 %);
• Three times more men than women drink beer;
• On the average, most consumers drink more than 5 beers („halfliters“) a week.
To sum up, beer is the favourite drink mostly for manual male workers, who have stronger opinions regarding
brand names, quality, grades, etc. in comparison with other consumers.
In the years 1991 and 1993, two marketing researches were realized in the Czech Republic. Both researches
were carried out on the International beer-brewing and malt-making trade fair called PIVEX. There were found out
specific characteristic features of that kind of industry, which were called local beer patriotism. The marketing
researches have shown, that in the region where beer was produced, more beer was distributed either through
shops or pubs (restaurants). This kind of distribution (also lower transportation costs are very important) leads to
the prevalent consumption of the particular local beer brand and thus to its higher popularity. The local drinkers
drink more local beers. The more they drink the local beers, the more they are satisfied with their local brands.
The most popular brand name for the Brno inhabitants is the local brand Starobrno (means the Old Brno –
the name of the district, where the brewery is located) – 41%. The second most frequent brand was the beer from
a small brewery Černá Hora, not very distant from Brno (30 km) – 11%. Pilsner with its 4 % and Gambrinus 3%
ranked among less frequent.
The most favourite beer brand in the Nitra Region is the Golden Pheasant – 38 % consumption. The next
most often bought brands were Corgoň – 16 %, Kelt – 7% and Amstel – 4%. All the mentioned brands have been
produced by the Heineken Company in Slovakia. The brand TOPVAR belongs to the most popular brands not only
in the Nitra Region (23%), but also in the whole country of Slovakia.
In 2000, another marketing research was carried out, which aimed at finding out more about popularity of
beer brands in Brno. The consumers were interviewed immediately after buying beer in different retail stores –
convenience stores, supermarkets as well as hypermarkets. The results have shown that the beer local patriotism
theory is still valid. The most often-bought beer brand was Starobrno (32 %) and the second was Radegast (18 %).
The rest of beer brands appeared at maximum 7 % of the interviewed consumers. Also, the most important factor
of their beer brand choice was the taste of beer (48 %) in the Czech Republic and 43 % in Slovakia. The price was
mentioned as the second most important factor - 14 % of the interviewed consumers in the Czech Republic and 29
% in Slovakia. The third interesting finding was that 15 % of the interviewed consumers had bought two or more
beer brands together in the Czech Republic and 13 % to the interviewed consumers in Slovakia. They were
interested in trying and tasting different beer brands.
THE BEER LOCAL PATRIOTISM AS THE MARKETING STRATEGY
The Beer Local Patriotism has a very practical meaning in the Czech Republic as well as in Slovakia. It was
used by small breweries as a successful marketing defensive strategy to battle out with the leading large breweries.
In the Czech Republic, they are mostly owned by foreign companies from the South Africa, England, Germany,
Belgium etc. The leaders (Pilsner Urquell, Gambrinus, Staropramen, Radegast) attacked the small breweries in
the middle of the 1990´s on low-price platform. They produced light and cheap beers.
Similarly to the Czech Republic, the Slovak breweries are also mostly owned by the foreign companies,
such as Heineken – Holland, Saris – South Africa, ESPERIA Trnava, – Austria, Steiger-European Bank and
others. The leader on the Slovak market is the Company Heineken with more than 40% market share. With 13%
share, according to the results in 2003, the breweries Šariš in the Prešov Region and Topvar in Topoľčany are
ranked as the 2nd ones.
The joint-stock company Plzeňský Prazdroj (Pilsner Urquell) produced ten million hectoliters of beer in
2002 and became one of the world´s largest beer-brewing companies. The brand leader Pilsner Urquell has been
brewing its 12° beer for over 155 years in Plzeň (Pilsen), which is characterized by an inimitable taste and healing
qualities. 30 % of the world-wide production of Pale lagers bear the designation Pils, Pilsner or Pilsener, but only
Pilsner Urquell is the legitimate owner of the original trade name. Its alcohol content is 4.4 vol.%. Another brand of
the Pilsner Urquell Company is Gambrinus. The product name is a proud reference to the Duke of Brabant, the
greatgrandfather of the Czech King Charles IV, regarded as the saint patron of beer brewers. Gambrinus has
been produced as 10° and ranks among the best–selling beer within the Czech Republic. The content of alcohol
is 4.1 vol. %. As an example of the above mentioned light and cheap beers of the Pilsner Urquell Company
produced by the latest technology is the brand Primus.
Many of the small breweries realized that they were not able to compete in the way the big companies did
and started using the mentioned marketing tool of beer local patriotism as a defensive strategy. They offered
unique and valuable product to their customers. Its uniqueness stems from the local traditional technology and
48
utilizing the best quality local raw materials (water, malt and hops), selling beer for higher prices. They mostly
operate on a limited local area of the entire beer market dominated by the above mentioned large companies. They
also used the market niche strategy.
CONCLUSION
Still, there are more than 50 breweries in the Czech Republic, most of them are the small ones, producing
unique and valuable local beers. Very often they are located in attractive areas, especially for foreign tourists. Not
only are they situated in the large cities like Prague, Pilsen, České Budějovice or Brno, but also in the small
villages or towns like Černá Hora, Polička, Protivín, Hanušovice, having a marvelous landscape.
In Slovakia, there are about 10 big breweries and 20 small ones. They are situated within the whole country,
in all parts of Slovakia.
The new perspectives in agrotourism are opening for our project Beer Routes. Let us hope it will become an
international project, solved together with the breweries in Germany, Austria, Slovakia etc. since there already
exists a similar project called Wine Routes. The participants would learn about beer technology, its specific values
and traditions, local cooking habits and meals as well as they would be able to visit local historical buildings,
museums or also use various recreation opportunities.
REFERENCES
FORET, M.: 1993 A co trh? Brno:ESF MU, 1993. P. 42.
FORET, M.: 994Komunikace s veřejností. Brno:ESF MU, 1994. P. 135 – 139.
FORET, M.: 1997 Marketingová komunikace. Brno:MU,1997. P. 132 – 134.
FORET, M.: 2000 Jak komunikovat se zákazníkem.Praha: Computer Press, 2000. P. 81 – 82.
FORET, M.: 2003 Marketingová komunikace. Brno:Computer Press,2003. P. 112.
NAGYOVA,L.:2000 Konkurencieschopnosť slovenského pivovarníckeho priemyslu v procese prípravy pre
vstup do EÚ. In: Sborník v ědeckých prácí z mezinárodní konference “Konkurenční prostředí v zemědělství a
potravinářství”. Brno: MZLU, 2000, s. 170 – 177. ISBN 80-7157-495-3.
PŘÍBOVÁ, M. a kol.: 1996 Marketingovy vyzkum v praxi. Praha: Grada Publishing, 1996, 238 s. ISBN: 807169- 299-9
CONTACT ADDRESS:
prof. PhD. Miroslav Foret, CSc., Mendel University of Agriculture and Forestry, Faculty of Business and
Economics, Department of Marketing and Trade, Zemědělská 5, 613 00 Brno, Czech Republic , phone.: 0420 545 132 028, e-mail: [email protected]
doc.Ing. Ľdmila Nagyová, PhD, Department of Management and Marketing, Faculty of Economics and
Management, Slovak Agricultural University, Tr. A. Hlinku 2, 949 76 Nitra, Slovak Republic, phone: 00421 - 37 6508
102, e-mail: [email protected]
PhDr. Ľudmila Maďarová, Department of Foreign Languages, Faculty of Economics and Management,
Slovak Agricultural University, Tr. A. Hlinku 2, 949 76 Nitra, Slovak Republic, phone: 00421 - 37 6508 102, e-mail:
[email protected]
Мирослав Форет, Людмила Нагиова, Людмила Мадарова
ПАТРИОТИЗМ КАК ФАКТОР РЫНОЧНОЙ СТРАТЕГИИ
Цель данной статьи – представить информацию, необходимую для понимания особенностей
местного патриотизма в употреблении пива в Чешской и Словацкой Республиках; дать общее представление о применении этого инструмента с целью разработки новой маркетинговой стратегии в
пределах двух стран и анализа текущего состояния чешских и словацких рынков пива.
Ключевые слова: рынок, переход, местный патриотизм, маркетинговые исследования, маркетинговая стратегия, частота, марка, распределение, доля на рынке
УДК 316.33 (470)
Alexander NIKOLAEV
PECULIARITIES OF USING "SPORT PATRIOTISM" IN THE REGIONAL POLICY
The aim of the article is to study the role of the so-called local “football patriotism” in some Russian
regions. By using this term we mean the situation, when great importance for the social life of a city or a region is
attached to the success of a football club, which serves the purposes of the elite of the society. The rise of
football patriotism in Russian regions began in the previous decade and it was connected with the disintegration
of the USSR, the independence of the subjects of the Russian Federation and the development of market
economy. Local “football patriotism” has two levels: elite and mass. The specifics of the Russian conditions
become apparent mostly at the elite level. It is a peculiar competition of the local elite groups that sometimes
adds and sometimes substitutes the real achievements in the sphere of socio-economic development of regions.
Lately local “football patriotism” has been used in political processes at the federal level.
Key words: football, patriotism, regions, elite
Sport has been occupying more and more important place in the life of modern society every year. It has
become not only social and cultural but also economic and political phenomenon of the modern society. The
Olympic games and the world championships became major international events long time ago. Outstanding
sportsmen surpass scientists, writers and politicians in popularity. Finally sport nowadays is a branch of economy
where billions of dollars are circulated. Because of that sport attracts a lot of attention of sociologists, political and
cultural scientists studying different aspects of this phenomenon. One of the most significant manifestations of
sport is “”sport patriotism”. It can be observed in almost every country in the world. The essence of “sport patriotism”
is that success of the sportsmen from some region, city or district becomes socially important for all citizens.
Local politicians and businesspeople start using sport victories and sometimes sport events become sources of
disagreement between the neighbours. Very often sport games, especially football, stimulate “sport patriotism”.
This is connected with the fact that football is a massive and popular game and football matches are regularly held.
Local “football patriotism” has only recently become large-scale, although it occurred during the soviet
period. However there were two reasons preventing its development at that time. One of them was purely sport by
nature. In the time of the former USSR there were practically no provincial teams in the top football league. There
were only Moscow clubs or the teams from the other republics of the Soviet Union. The other reason was ideological.
The matter was that the official propaganda did not encourage the “patriotism” of this kind as in a totalitarian
society the accentuation of local or national specific character could be considered as something abnormal
undermining the unity of the regime. Due to the fact that the phenomenon of local “football patriotism” is relatively
new it has not been thoroughly studied by Russian sociologists yet. The behaviour of football fanatics, the conflicts
of youth fan groups and the related events are the exceptions. The activity of football fans is only one side of
“football patriotism”. Other aspects have been discussed only in social and political journalism. No major scientific
research has been done on this topic so far.
From the point of view of collecting and analyzing the data this work has a secondary research character on
the basis of the information, which has been already published. The main source of material has been Russian
press “Sport express”, “Sovietski Sport”, “Football”, “Izvestya”, “Moscow News”, “Volgogradskaya Tribuna”,
“Saratovskie Vesti” (years 2000-2004). Taking into account the nature of the source content analysis of the materials
from press has been chosen.
50
The method of expert poll has been also used. The experts are the administrators of football first league
clubs in Russia (14 people). According to the way of interpreting of the obtained data the research has analytical
nature.
We can draw the following conclusions from the analysis of the sources mentioned above. Local “football
patriotism” has become active since the early 1990s, the time that can be considered the chronological boundary.
As the result of disintegration of the USSR the top league became pure Russian, and provincial teams got access
to it. In 2004 9 of 16 top league clubs represented different regions of Russia (the rest represented Moscow and
Petersburg), 22 more teams played in the first league. The teams of these two leagues are from almost all parts
of Russia from Kaliningrad to Vladivostok. Such new football centers as Perm, Elista, Tomsk and others have
appeared in the country. There are really good skilled teams not only in major cities but also in smaller tows as
Ramenskoe, Himki, Nizhnekamensk, Naberezhnie Chelni. So Russians nowadays have much more opportunities
to support “their own” local team.
The second thing connected with the disintegration of the USSR is the independence of regions. At the
beginning of 1990s the influence of the central state power weakened. Each entity of Russian Federation became
a small state inside a bigger one. It resulted in the development of the local patriotism and nationalism in republics.
This became apparent in different spheres and sport was not an exception. Football victories became a symbol of
superiority over the neighbours. Besides there were no ideological limits for propaganda of this kind of patriotism,
and there were opportunities to organize various informal unions.
One more factor favouring the development of local football patriotism was the switch of Russia to marketing
economy. A lot of rich and very rich people appeared in the country. Fortunes were often made for several months.
Nouveaux riches were at a loss what to spend their money on. Football turned out to be a very prestigious way to
show off their capital. The purchase of famous English football club by a Russian oligarch Roman Abramovich has
recently been discussed all over the world. At the beginning of 1990s a great number of Russian footballers went
off to seek money to different countries in the world, but several years later the reverse process started. Football
legionaries from Western Europe, Latin America and Africa were attracted to country provinces by the money of
“new Russians”.
It is paradoxical that not only the enrichment of few but the impoverishment of many also favoured the
development of local “football patriotism”. In the atmosphere of crisis and decline the victories of local teams
served as psychological compensation. The attending of football matches by young people from poor families
became one of the few available ways of entertainment and an excellent way of getting rid of negative emotions.
The coincidence of the above mentioned factors had already taken place at the beginning of 1990s, however
we can speak about the considerable rise of local “football patriotism” only at the second half of the decade. It can
first of all be explained by the fact that some time had passed before the factors became obvious. Secondly it was
essential to get over the first stage of market reforms. At the beginning “new Russians” were more concentrated on
making money rather than on spending it. The heads of the regions, which had just tried what it was like to be
independent, had a more important task of consolidation and corroboration of their power. They were not really
concerned about the football victories. At last the majority of people shocked by the collapse of the soviet system
were learning to survive in the new conditions. In other words nobody was interested in football. The development
of local “football patriotism” became the evidence of that the most difficult period of formation of a new Russia had
finished. People started to have new interests except trying to survive.
Initially the outbreaks of regional “football patriotism” had incidental character and could be observed in
those places where local teams became rather successful due to some definite (at times casual) circumstances.
Volgograd first showed the example to other regions, their club “Rotor” had been in the top league for several
years. It failed to become champion, but still it proved that provincial teams can gain victory over the teams from
the capital and can play European class football. Football victories started to be considered a popular and effective
way of reinforcement the prestige of a region. After that ambitious businessmen and many heads of federation
entities started sponsoring local football teams actively. Especially this concerned national republics (Tatar republic,
Osetya, Dagestan), where ethnical factor was added to local patriotism. When “Alanya” from Osetya at last
became the champion of Russia, Russian regions started to devote more attention to football.
It is worth mentioning that local “football patriotism” has two levels – mass and elite. At the mass level local
“football patriotism” in Russia is very similar to the same phenomenon in other countries. It has socio-psychological
roots and is connected with the desire of an “unimportant person” to find the basis of self-importance through
participation in achievement of his/her community (national, territorial, corporate, etc.). Forms of manifesting of
mass patriotism are rather traditional – the creation of fan clubs and informal groups of supporters, going to
matches to other cities, clashes with fans of the other teams. The coincidence of regional and ethnical patriotism
51
51
as some entities in Russia were formed according to the nationality of the citizens reflects the specific Russian
character. However local “football nationalism” has not been realized in the extreme forms yet. At least football
fans of Moscow club “Spartak” and the CASC (Central Army Sport Club) have caused more serious problem for the
local authorities and police than football fans from Dagestan, Tatarstan and even Chechnya.
The development of mass “football patriotism” is somewhat deterred at the moment by the massive inflow of
football players from other cities and countries to Russian teams. Fifteen – twenty years ago the local teams were
made up from footballers that had been taught to play in their own clubs. It is the perfect option for stimulating of
the local patriotism. However with the transforming of Russian football into a business the situation has completely
changed. Nowadays the local footballers make up a small part of the top and even the first league teams. Sometimes
there are no local club players in the first team at all. Having many players from abroad in the team is a special
ordeal for the local patriotism. For instance in 2004 from 5 to 7 foreign footballers played every match for the teams
from Vladikavkaz, Krasnodar, Ramenskoe, Rostov, Samara. There were cases of manifesting racism, when football
fans arranged obstruction of African footballers (hissed them). Such attitude prevails among the supporters of
“Zenit” from Saint Petersburg. The coach of “Zenit”(who is Czech) confessed in one of the interviews, that he had
been advised not to invite native African players to the team. But this attitude can hardly be dominating and prevent
the development of “football patriotism”. The international experience proves that it is impossible to stop football
internationalization and globalization. About twenty or thirty years ago football fans from Western Europe used to
show their negative attitude to native African footballers and now they are pride of France, Holland, Portugal. The
clubs counting only on the domestic players cannot be successful. “Rotor” from Volgograd can serve as a good
example. Some time ago the reliance on their own sportsmen helped them to become one of the football leaders
but keeping this tradition has made them the outsider of the premier league. So local football “patriots” will have to
waive the purity of their “patriotism” or resign themselves to being losers.
The elite “football patriotism” has been greater influenced by the Russian circumstances. It is a competition
of the local elite, which is sometimes substituting or sometimes additional to the achievements in the socioeconomic sphere. Mayors and governors in Western Europe try to use sport achievement to their advantage, but
they have little opportunity for that, because football clubs do not depend on them. In 1990s the heads of Russian
regions received considerable independence that provided them with power that could be compared with the power
of feudal lords. The latter boasted about their castles, horses, arms, the Russian governors, mayors and presidents
of republics want to stand out from their colleagues by their football teams. At the same time the heads of Russian
regions have great financial and administrative levels to put pressure on their “own” clubs.
Sports managers were trying to persuade governors, that excellent results could be achieved in case they
bought classy well-paid footballers. Many regions followed that way. As the result the wages of footballers even in
the average teams of the first league have grown and can be compared with the earnings of West European
players. The maintenance of football clubs was becoming more and more expensive. Local budgets did not have
enough money for that. Football in Russia is still an unprofitable business, not every region has a sponsor who can
constantly give enough money to the local clubs. Oil and gas magnates can provide sufficient sponsorship but not
every region of Russia has gas and oil fields. The governors have to put pressure on the local businessmen to
make them finance football clubs. As this money is not usually sufficient elite supporters have to look for more
sources of financing. “Rotor” from Volgograd can serve a good example. At certain time the fact that the club relied
on its own players helped it become one of the best Russian teams, but persistent following that principle has
made the team an outsider. So the local football “patriots” will have to be endue the presence of hired footballers
in their club to succeed in future.
The oblast government is trying to provide the budget of the club using the ways that seem to be rather
dubious. There are a lot of heated arguments about “Rotor’s” financing. There was information about the assignment
of the part of the road fond to the club in the local mass media. Similar problems are typical of many Russian
republics and oblasts.
There is a certain ritual in those regions where the governors pay a lot of attention to local football. One of
the high-ranking parents is usually charged to run the club formally or informally. His main duty is to provide and
control financing. The attending of football matches is becoming a prestigious duty for the representatives of the
local elite especially in the presence of the head of the region. Football matches are turned into high society
events, where local politicians and businessmen unofficially discus their matters. Talking about football is a badge
of belonging to some circle. Playing football is prestigious for officials in some regions. Playing for the mayoralty
team or regional administrative office can help the carrier promotion.
Lately local “football patriotism” has started to be used in political processes at the federal level. And again
Volgograd pioneered this process. The president of “Rotor” V. Gorunov ran for a place in the State Duma during
elections in 2003. In 2004 he participated in the election campaign for the governor post of Volgograd and «Unified
Russia» party officially supported him. Naturally he used his past service in development and making the club
52
famous as one of his main trump cards. The success of “Terek” from Grosny had even greater political resonance.
This first league club managed to win the Cup of Russia defeating more famous representatives of the top league.
As the result the team from Chechnya gained the right to play in the prestigious European tournament. The
Russian government used the victories of “Terek” to demonstrate, that Chechnya was returning to normal way of
live, and Chechnya people were integrating into the country processes. Mass media widely promoted the success
of the team and after the first victory in the European tournament, the president of Russia met the footballers.
To conclude local “football patriotism” has become a more important social and political phenomenon in the
life of Russian regions. Although further development of this tendency is very doubtful as V. Putin runs the policy
of limiting the independence of Russian entities. If the idea about the appointment of the heads of the regions is
supported, the over accentuation of the local specific character will not be encouraged. In this connection local
“football patriotism” will undoubtedly remain as socio-cultural phenomenon although its political value will sufficiently
decrease.
CONTACT ADDRESS:
Alexander Nikolaev, Professor of History, the head of the Department of Philosophy and Political Science of
Saratov State Socio-Economic University, 89 Radischeva St, 410003, Saratov, Russia
tel.: +7 (8452)756394,
Александр НИКОЛАЕВ
ОСОБЕННОСТИ ИСПОЛЬЗОВАНИЯ "СПОРТИВНОГО ПАТРИОТИЗМА"
В РЕГИОНАЛЬНОЙ ПОЛИТИКЕ
Цель публикации – исследовать роль так называемого местного «футбольного патриотизма»
на социально-политическую жизнь в российских регионах. Под данным термином понимается ситуация,
когда успехи футбольного клуба приобретают повышенное значение для общественной жизни города
или региона и используются местной элитой в своих целях. Подъем местного футбольного патриотизма в российских регионах начался в минувшем десятилетии и связан с распадом СССР, усилением
самостоятельности субъектов Российской Федерации и развитием рыночной экономики. Местный
«футбольный патриотизм» имеет два уровня: элитный и массовый. Специфика российских условий
проявляется преимущественно на элитном уровне. Это своеобразное соревнование местных элит для
кого-то дополняющее, а для кого-то заменяющее реальные достижения в социально-экономическом
развитии регионов. В последние годы местный «футбольный патриотизм» начинает использоваться
в политических процессах на федеральном уровне.
Ключевые слова: футбол, патриотизм, регионы, элита
УДК 51
Dana ORSZÁGHOVÁ, Radomíra GREGÁŇOVÁ
APPLIED MATHEMATICAL TASKS IN ENGINEERING STUDY
AT THE SLOVAK UNIVERSITY OF AGRICULTURE IN NITRA
The main aim of the paper is to analyze present tasks and aims of the mathematical education in the
training of students of the Slovak University of Agriculture in Nitra with regard to their professional assertion. The
solution of applied tasks represents one of the possible ways of the content innovation and the teaching methods
of mathematics at universities. The samples illustrate the usage of the mathematical apparatus of the calculus of
the function of one real variable and linear algebra. We explore the ability of students to use the graphic description
to solve the applied examples. The usage of graphic interpretation improves students‘ imagination, supports their
creativity and develops interdisciplinary relations.
Key words: mathematics, applied tasks, the mathematical apparatus, the teaching of mathematics
The subject mathematics is taught at all faculties of the Slovak University of Agriculture in Nitra: at the Faculty
of Biotechnology and Food Sciences, the Faculty of Agrobiology and Food Resources, the Faculty of Horticulture
and Landscape Engineering and at the Faculty of European Studies and Regional Development for one term; at the
Faculty of Economics and Management and the Faculty of Agricultural Engineering for two terms. Its aim is to
provide basic knowledge from higher mathematics with the emphasis on the applications in other branches of
science. The names of subjects at individual faculties and the number of terms are given in the table 1.
The important task of mathematics at all faculties is to teach the students basic knowledge from higher
mathematics and to point out the possibilities of the application of the mathematical apparatus in professional
subjects and in practice. Mathematics also develops and forms logical thinking of every human being, which is
necessary when solving the difficult situations and problems even in the ordinary life (GREGÁŇOVÁ, 2001).
Table 1
The teaching of the subject mathematics at the faculties of the Slovak University of Agriculture in Nitra
The faculty
The subject
The number
of terms
The Faculty of Biotechnology and Food Sciences
The Basis of Higher Mathematics
1 term
The Faculty of Agrobiology and Food Resources
1 term
The Faculty of European studies and Regional Development
1 term
The Faculty of Horticulture and Landscape Engineering
The Basis of Mathematics
1 term
The Faculty of Economics and Management
The Mathematics for Economists I, II
2 term
The Faculty of Agricultural Engineering
The Mathematics I, II
2 term
If we show the extent of subjects according to the faculties at the Slovak University of Agriculture on
a graph, we can see the overlapping of individual fields. From the graphic illustration (Fig.1) follows, that the largest
extent have subjects at the Faculty of Agricultural Engineering. The smallest extent of mathematical fields have
subjects at the Faculty of Biotechnology and Food Sciences and the Faculty of Agrobiology and Food Resources.
54
Figure 1. The graphic illustration of the extent of mathematical subjects
MF
FE M
F Z K I, FE Š R R
FB P, FA PZ
MF – the Faculty of Agricultural Engineering,
FEM – the Faculty of Economics and Management,
FZKI – the Faculty of Horticulture and Landscape Engineering,
FEŠaRR – the Faculty of European Studies and Regional Development,
FBP – the Faculty of Biotechnology and Food Sciences,
FAPZ – the Faculty of Agrobiology and Food Resources
In the teaching of mathematics it is necessary to mediate to students not only the theoretical knowledge but
also the possibilities of the application in practice. We can improve and raise the knowledge level of mathematics by
including applied problems into the educational process. Nowadays the quality of education, the permanency of
educational outputs and their measurement become an important task (ORSZÁGHOVÁ, POKRIVČÁKOVÁ, 2003).
The ability of a teacher to inspire students for a teaching subject is a great pedagogical art. The separate
category among teachers create the teachers of mathematics. It is the strict logical stucture of mathematics
which does not enable this subject to be popular. It belongs to the less popular ones, generally called „hard
subjects“. And because of the lack of interest in mathematics from students’ point of view, it is demanding to
inspire them for this subject. At first, it is necessary for the students to adopt the basic concepts and knowledge
from higher mathematics. Then they will be able to use them the applications in various engineering fields and in
practice in the future.
The teacher task is to arouse the students‘ interest in mathematics and motivate them to form a positive
attitude to it. It is important for student to realize that acquired mathematical knowledge is very useful for them,
when they want to manage various methods in professional subjects. One of the possibilities, how to motivate the
students, is to point out the need to manage mathematics and subsequently its introduction into applications, in
which its usage results in the simplification and solution to most situations and problems in various branches of
science.
The incorporation of applications into the teaching of mathematics at universities is of a big importance as
well as the suitable choice of examples and problems. Simple, intelligible and time unpretentious tasks are the
most suitable. In these tasks the usage of the mathematical apparatus will lead students to the result and solution
to the problem. The usage of mathematics in professional subjects is very frequent and essential. That is why we
focus only on some applications in this contribution. After the student manages the study of mathematics in the
stipulated extent of one or two terms successfully, which are concerned with higher mathematics in the first year
of study, he is able to solve the professional problems. However, the choice of suitable applied tasks depends on
the type of a faculty, its further specialization which determine other professional subjects contained in higher
forms. It is a big difference to include into the content of the subject mathematics applied tasks regarding either
economics, biotechnology and food sciences, horticulture and landscape engineering or technology and
mechanization.
In the contribution is it used the material we gained when we solved the research projects of the Department
of Mathematics at the Faculty of Economics and Management of the Slovak University of Agriculture in Nitra at
present and when we taught compulsory and optional mathematical subjects. We analyze the ability of students
to use the mathematical methods for solving of the applied tasks and their graphic illustration. We focused on the
kinds of tasks for individual faculties of the Slovak University of Agriculture in Nitra. We used the data from the
particular teaching of mathematical subjects by doing the analysis.
55
55
We evaluated the level of students’ secondary school mathematical knowledge and their ability to utilize
the mathematical apparatus in the framework of solving the research project E – XVIII: The mathematical apparatus
used in the engineering fields at the Slovak University of Agriculture and its support through the computing
technology (solved in the years 2000 – 2002). A partial task of the project was to summarize the applied tasks and
their implementation into the teaching of mathematics (ORSZÁGHOVÁ and col., 2002).
The main aim of the research project, which was carried out in the years 2002 – 2003, was to work out and
publish the educational texts bearing the name Applied tasks from mathematics in economics, that:
– will be the actual study material for the students of economic branches,
– will increase the motivation of students to educate themselves in the sphere of mathematics and its
applications,
– will improve the quality of pedagogico-didactical work of the teachers of mathematics,
– will support the individual active study of the mathematical applications,
– will support the innovation of a model of the mathematical education of the future engineering study
graduates (ORSZÁGHOVÁ and col., 2004).
The effort to bring the mathematical methods used in professional subjects and in practice close, led to the
expansion of an offer of optional subjects from mathematics. The credit study system enables students to choose
from optional subjects according to their individual interest. The optional subjects are orientated, firstly, to set
a balanced level in students’ high school mathematical knowledge, e.g. Supplementary Mathematics,
Recommended Mathematics. Secondly, optional subjects can widen students’ basic knowledge, e.g. Mathematics
in Economics, Mathematics at the Computer, Applied Mathematics. The interest of students is ranging from 15 to
20% of the total number of students in the first year.
The aim of the teaching of optional subjects is to refer to many mathematical applications used in the
economic, financial, insurance, banking, agricultural, agrofoodstuff sector, etc. Except for increasing the interest
in the study of mathematics, optional subjects are an effective mean for the quality improvement of the mathematical
education.
The graphic interpretation of applied tasks
We considered the conditions and the possibilities of students for the graphic description of applied examples
in the specialized economic subjects. In table 2 are mentioned the numbers of students according to the kinds of
secondary schools, the average mark at mathematics in the final year, number of students who passed the school
leaving exam in mathematics and their average mark at mathematics in the schol leaving exam. We can see from
the data that 55 % of the total number of students participating in the test, took the school leaving exam in
mathematics. The average school leaving exam’s mark at mathematics is even better than the average mark at
mathematics in the final year at secondary schools. From the data we found out, we can draw the conclusion that
approximately 50 % of students who sit for the entrance exams at university in mathematics, will choose mathematics
as the subject to pass the school leavig exam in. This state positively influences their future study at university
and the situation can be assessed as a satisfactory one.
Table 2
The description of the tested file of students
The kind of
secondary school
The
number of
students
The
per cent
share
The average
mark at
mathematics
The school leaving
exam in mathematics
(number)
The
per cent
share
The average
mark at school
leaving exam
Grammar school
48
50,53%
1,96
36
75,00%
1,85
Business school
38
40,00%
1,74
14
36,84%
1,33
9
9,47%
1,62
3
33,33%
1,66
95
100,0 %
1,82
53
55,79%
1,69
Other schools
Total:
The test contained five tasks from applied mathematics which were orientated on the utilization of the
mathematical apparatus in economics and the graphic illustration of the used function of one real variable and the
56
function of two real variables. In table 3 the percentual assessment of individual samples is given (the scale from
0 to 100 %) and the results are again sorted by the kind of secondary school and in the connection with passing
the school leaving exam in mathematics. We can see from the data that students who sat for the school leaving
exam in mathematics (not regarding the kind of secondary school) achieve better results in solving the individual
tasks. The results can be evaluated as the satisfactory ones because students were not specially prepared for the
test and had to pump knowledge out of the secondary school or eventually express their own creativity and
intuition (ORSZÁGHOVÁ, 2003).
Table 3
The percentual evaluation of the test tasks
1st example
2nd example
3rd example
4th example
5th example
Total:
Grammar school
SLEM
92,50%
44,04%
88,04%
52,38%
46,59%
64,71%
WSLEM
87,50%
10,00%
60,00%
37,50%
10,00%
41,90%
SLEM
91,66%
50,00%
72,50%
44,44%
13,88%
55,09%
WSLEM
69,44%
38,23%
61,84%
15,62%
10,29%
39,07%
SLEM
87,50%
62,50%
75,00%
0,00%
37,50%
52,50%
WSLEM
95,83%
33,33%
79,16%
29,16%
12,50%
49,99%
Total:
86,84%
39,99%
74,61%
35,83%
25,00%
52,45%
Business school
akademia
Other schools
SLEM – the school leaving exam in mathematics, WSLEM – without passing the school leaving exam in mathematics
The samples of applied tasks
The applied task in the subject mathematics at the Faculty of Economics and Management:
It is given the function of total costs:
ТС(x) = 0,05x3 + 15x + 120.
and the price of a commodity:
p(x) = 200 – 0,03x2.
Calculate the marginal cost, marginal revenue and marginal profit in the point x0 = 10.
The chosen applied task is connected with the further orientation and specialization of students in economic
subjects, therefore the example focuses on the usage of the mathematical apparatus in an economic problem.
This utilization leads to the simplification and the solution consequently.
The applied task in the subject mathematics at the Faculty of European Studies and Regional Development:
Let the function of total costs have the expression:
1 3 19 2
x −
x − 20 x + 1550 ,
3
2
where x means the level of production in thousands. Find out, for which level of production x0 will the costs be
minimal, i.e. find out the local minimum of the function TC(x).
The task is concerned with the comprehension of the method of finding out the local extrems of the function
of one real variable and its usage in various economic fields.
The applied task in the subject mathematics at the Faculty of Biotechnology and Food Sciences, the
Faculty of Agrobiology and Food Resources and at the Faculty of Horticulture and Landscape Engineering:
The optimal nutritious food prescribed by the veterinary doctor should contain 15% of albumen and 20% of
fat. Commercially available feeds A1, A2 contain:
TC (x ) =
57
57
• the feed A1 25% of albumen and 20% of fat,
• the feed A2 10% of albumen and 5% of fat.
The task is to find out the amount of feeds A1, A2 that are necessary to mix in order to gain 40 kg of the
optimal nutritious food.
The utilization of algebra, particularly linear algebra (vector and matrix calculus) in practice is multifarious.
Matrix calculus is intelligible for students and its usage in examples does not make students serious problems.
The mentioned example shows the application of matrix calculus in agriculture.
The applied task in the subject mathematics at the Faculty of Agricultural Engineering:
How much of each alloy A, B, C is needed for the production of a 100 kg of the alloy D, which would contain
1% of silicon, 2% of manganese, 0,4% of phosphorus and 0,5% of sulphur? The composition of alloys A, B, C is
in the table:
The fragmentary alloy
A
B
C
Si [in %]
1,4
1,6
0,5
Mn [in %]
1,5
0,5
3
P [in %]
0,4
0,2
0,5
S [in %]
0,3
0,2
0,05
Si – silicon, Mn – manganese, P – phosphorus, S – sulphur
The mentioned task can be solved by the system of linear equations with the utilization of matrix calculus.
The students of the Faculty of Agricultural Engineering meet with similar examples in the specialized subject
Technology of Materials.
CONCLUSION
Nowadays scientific research of relations and processes uses theoretical mathematics. Mathematical
knowledge and methods are from the field of differential and integral calculus of real functions, discrete and
continuous methods from financial and insurance mathematics, from the probability theory, mathematical statistics
and other. We use quantitative methods to form general relations and laws. The theoretical part is usually completed
with numeral calculations which are in more difficult cases carried out through computing technology and topical
results are accessed through information and communication technologies.
The students of the Slovak University of Agriculture gain fundamental knowledge of higher mathematics in
the first year of their study after passing the compulsory subjects. In connection with the professional assertion
of the university graduates the applications of mathematics are an important part of the teaching process. They
are a direct tool for matching the theory with practical samples and are the answer to the students’ question, how
to apply acquired knowledge of mathematics.
Mathematics is a part of life of every person and accompanies him/her all his/her life long. The sense of the
mathematics teacher‘s work is to persuade the student about the need of mathematics. The applications designed
for the needs of profile subjects and practice represent the important part of this process. It is possible to improve
the teaching process and to increase the level of students’ knowledge by the incorporation of applications into the
teaching process and by the teaching of optional subjects focused on the applications of the mathematical
apparatus. Suitable applications are a gateway to bring the mathematics close to students.
REFERENCES
GREGÁŇOVÁ, R. 2001. The Position of the Subject Mathematics in the Engineering Study at the Slovak
University of Agriculture in Nitra. In: Proceedings of the international conference „Mechanical Engineering 2001 –
the 3rd part“. Bratislava: STU, 2001, p. 676 – 679. ISBN 80-227-1616-2
ORSZÁGHOVÁ, D. 2003. The Graphic Interpretation of the Mathematical Tasks with the Applications in
Economics. In: Proceedings of the 2nd international scientific conference Aplimat 2003. Bratislava: STU, 2003,
p. 551 – 556. ISBN 80-227-1813-0
ORSZÁGHOVÁ, D. a kol. 2004. Applied Tasks from Mathematics in Economics. Nitra: the publishing
house of the Slovak University of Agriculture in Nitra, 2004, 131 p. ISBN 80-8069-333-1
ORSZÁGHOVÁ, D. – PECHOČIAK, T. – TRENČIANSKA, A. – KMEŤ, F. 2002. Mathematics 1. Nitra: the
Slovak University of Agriculture, 2002, 337 p. ISBN 80-7137-985-9
ORSZÁGHOVÁ, D. – POKRIVČÁKOVÁ, S. 2003. To the Quality of Education in the Mathematical Subjects.
In: Proceedings of the International Seminar Quality Education in European Context and the Dakar Follow-up.
Nitra: University of Constantine the Philosopher, 2003, p. 122 – 127. ISBN 80-8050-636-1
58
CONTACT ADDRESS:
RNDr. Dana Országhová, CSc.
The Department of Mathematics, The Faculty of Economics and Management, the Slovak University of
Agriculture in Nitra, 949 76 Nitra, the Slovak Republic
Mgr. Radomíra Gregáňová,
The Department of Mathematics, The Faculty of Economics and Management, the Slovak University of
Agriculture in Nitra, 949 76 Nitra, the Slovak Republic
Дана ОРЗАГОВА, Радомира ГРЕГАНОВА
ПРИКЛАДНЫЕ МАТЕМАТИЧЕСКИЕ ЗАДАЧИ В ИНЖЕНЕРНЫХ НАУКАХ
В СЛОВАЦКОМ СЕЛЬСКОХОЗЯЙСТВЕННОМ УНИВЕРСИТЕТЕ (Г. НИТРА)
Главная цель данной статьи – проанализировать современные задачи и цели математического
образования в подготовке студентов Словацкого сельскохозяйственного университета г. Нитра, учитывая их профессиональную принадлежность. Решение прикладных задач представляет один из возможных путей модернизации содержания и методов преподавания математики в университетах. Примеры иллюстрируют использование математических инструментов исчисления функции одной вещественной переменной и линейной алгебры. Мы анализируем способность студентов применять графическое описание для решения прикладных примеров. Использование графического объяснения улучшает
воображение студентов, способствует их креативности и развивает междисциплинарные связи.
Ключевые слова: математика, прикладные задачи, математические инструменты, преподава-
ние математики
УДК
33:518/519
Vladimir BALASH, Dmitry PAVLYUK
STOCHASTIC FRONTIER ANALYSIS OF RUSSIAN BANKS’ EFFICIENCY
This work uses the stochastic econometric frontier approach to investigate the efficiency of Russian banks.
We apply stochastic frontier techniques to data of banking system in Russia for selecting an appropriate model
specification and comparing the results of estimation with the existing research for world banking systems. We
pay special attention to specification of the stochastic frontier model. Models with Cobb-Douglas, translog and
Fourier-Flexible functional forms of production frontier and different forms of inefficiency distributions (half-normal,
truncated normal) are compared. The estimation of frontier parameters and bank-specific inefficiency values is
made with the use of panel data of items of bank’s balance sheets (deposits and loans values and structure) and
another indexes of bank’s activity (branch structure, employed staff characteristics). The model is estimated with
assumption of time-varying inefficiency. Estimated values of bank inefficiency and corresponding efficiency ranking
are compared with bank reliability ratings given by experts and high correlation values are found. Besides, we
examine the dynamics of bank inefficiencies during the considered period (2000 – 2003). Finally, we analyze the
influence of factors, included into the model specification, on bank efficiency and draw some conclusions about
strengths and weaknesses of Russian banks.
Keywords: Russian banks, efficiency, data envelopment analysis, stochastic frontier
This research is based on the application of the stochastic econometric frontier approach to investigate the
efficiency of Russian banks. We apply stochastic frontier techniques to data of banking system in Russia for
selecting an appropriate model specification and comparing the results of estimating with existing research of
world banking systems.
There are three characteristics of bank efficiency that have an influence on its measurement:
• multiple-factor nature of efficiency. In practice it’s impossible to describe efficiency of bank activity quite
precisely using only one aggregate index. The efficiency can be described through the set of indexes, some of
which can’t be present by numbers;
• relativity nature of efficiency. The most interesting part for analysts is measurement bank’s efficiency with
regards to other banks and it’s own potential;
• stochastic nature of efficiency. The estimation of bank’s efficiency measured in one moment can deviate
from its true value as affected by random factors.
The main goal of our research is to estimate Russian bank efficiency on the basis of stochastic frontier. The
efficiency is examined as relative, stochastic index that aggregate quality of internal bank activity and random
influence of external factors. The Stochastic Frontier Analysis (SFA) is used for estimation of an efficiency level.
On the basis of the model constructed in our work we tried to defined factors, which have an influence on
efficiency level and evaluated the power on this influence. Bank size indexes, bank organization structure, structure
of bank assets play the main role to define bank’s efficiency and was included into the model as explanation
variables.
We concentrate special attention on the result’s robustness for different model specifications and sets of
parameters.
We carry out the efficiency analysis using panel data. It allows us to estimate the dynamics of Russian
bank efficiency during last years and give possibility to separate the efficiency by the reason of it’s appearing
(technical and allocative).
At present time there are several methods of construction the efficiency frontier. Our researching is based
on the using of Stochastic Frontier Analysis.
60
SFA originated in 1977 with two papers, published nearly simultaneously by two independent teams of
researchers – Aigner, Lovell, and Schmidt (1977) and Meeusen, and van den Broeck (1977). In both investigations
the researchers used the production function as frontier and proposed the composite type of error term. According
to these models the error term is the sum of two stochastic values – normal distributed component and nonnegative component that shows the inefficiency. Aigner, Lovell, and Schmidt examined the exponential and halfnormal distributions of inefficiencies, later Greene (1990) examined model with gamma-distributed inefficiencies.
Johdrow et al. (1982) developed the method of estimation of individual values of inefficiencies for each firm
included into analysis. This research allows next researcher to use these values in further works in own researching
goals.
The important part of the modern SFA-method is the possibility of it’s application to panel data analysis.
Schmidt and Sickles (1984) show three main problems of basic stochastic frontier analysis, which can be resolved
by using panel data (with special estimation methods):
The method of maximum likelihood estimation demands the definition of strong distribution form of both
error term component. This is very strong limitation, especially because the results of efficiency estimation don’t
very firmness with variation of distribution forms.
Maximum likelihood estimator demands the strictly independence of explanation variables.
The Johdrow method gives inconsistent estimates of individual inefficiencies on simple cross-sectional data.
Besides these problems resolving the using of panel data allows to monitor dynamic of efficiency estimates
in time. Kumbhakar, Lovell (2000) and Greene (2002) examine the extensions of SFA models for panel data in
details. Both works contains analysis of – with fixed and random effects and with time-variant and time-invariant
inefficiency.
Berger and Humphey (1997) show the main advantages of SFA-analysis - the possibility of separating
(inside model specification) the inefficiency into two components – the internal inefficiency of bank process
organisation and the inefficiency determinates by external random circumstances. The alternative methods of
efficiency frontier construction (Data Envelopment Analysis and it’s modifications) don’t take into consideration
the stochastic nature of efficiency.
The key concept of SFA-analysis is X-inefficiency. This conception was developed in 1966 by Leibenstein,
which noted that firms usually works not on the limit of its possibilities, by the set of reasons. X-inefficiency
defines the possibilities of bank to minimise costs and maximise revenues on the basis of more regular using and
allocation of resources. In the most of analysis the X-inefficiency described as composition of two types of
inefficiencies. The first type, technical inefficiency, defines the possibility of bank to reduce the resource using and
save the same level of outputs (input-orientation) or to increase output values with invariable costs (output-orientation).
The second component of X-inefficiency is allocative inefficiency, which shows the possibility of increasing outputs
by changing the proportion of used resources.
Besides the development of SFA-analysis theory during last years there are many practical applications of
SFA-analysis, and many of them are dealing with researching bank sector of economy. In 1997 Berger and
Humphey published the analysis of more than 130 researching of banking systems in different countries, based on
construction of efficiency frontiers. The majority of analysed researching was published from 1992 to 1997 that
shows the increasing necessity of this kind of analysis.
In their research Berger and Humphey analyzed the results of efficiency estimation for 21 countries, more
than half of which concentrate on USA banking system. During last decades many countries reorganised their
economics, made it closer to market economy, and many new frontier analyses carried out on the banking
system of these countries. On the base of SFA-analysis was investigated the efficiency of banking system in
Turkey (Kasman (2002)), Hong Kong (Kwan (2001)), Croatia (Kraft, Hofler, Payne (2002)), Kuwait (Limam (2001)),
Estonia (Jones, Mygind, Sinani (2003)).
First of all for construction SFA model we need to define the set of factors and variables that serve as input
and outputs of system and also define the goal of system activity. There are two main approaches for analysis of
financial organization (Freixas, Rochet (1997)):
Production approach. In this case bank is examined as organization, which “produce” transactions with
clients. These transactions are given credits, received deposits, the number of serviced obligations and other
operations.
Intermediation approach (Allen, and Santomero (1996)). By this approach bank realizes the intermediation
between agents, which have spare assets and agents, which have possibilities of its profitable investments.
By virtue of chosen approach researchers mark out the set of input and output parameters – indexes of
capital structure, bank size, organization form of bank. Also additional parameters are included into the model very
often. Usually these parameters depend on the direction of analysis. For example, it can be ownership of the
bank, time of bank functioning, level of modern technologies using.
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61
Stochastic frontier analysis based on probabilistic approach to constructing of efficiency frontier. The
mathematical formalisation of stochastic frontier model can be presented as (Aigner, Lovell, and Schmidt):
y = g ( X , β ) + ε,
ε = v − u,
u ~ N + (µ, σ u2 ), v ~ N (0, σv2 ),
where y – output parameter, X – vector of input parameters, g – production function, β – vector of unknown
coefficients, ε – error term.
The model describes the dependence output parameters (y) from the set of input parameters (X). The
dependence is defined by production function (g). The choice of production function type is very critical moment of
model specification. We need to choose very flexible form of function, which don’t include too many parameters at
the same time. Usual researchers use modifications of next three functional forms:
• Cobb-Douglas production function
• Translog function
• Fourier-Flexible functional form (combination of standard translog with Fourier trigonometric terms).
In our research we compared some models with different production functions and found out the considerable
dependence of the estimated parameters on functional form. This result is obtained in other researches of banking
efficiency based on stochastic frontier analysis.
The main feature of stochastic frontier model is the form of its error term ε. In contrast to standard linear
regression the error term consists of two components. The first component (v) – normal identically distributed
variate with zero mean; characterized the random efficiency frontier fluctuations. The second component (u) – nonnegative variate describes the deviation of the bank from the frontier, shows inefficiency. The deviation of bank
efficiency from its own optimal value can be described by influence of random factors, which don’t included into
efficiency frontier definition.
The distributive law of u can be chosen arbitrarily (subject to its non-negative values). Usually researchers
use the next distribution laws:
• half-normal, u ~ N + (0, σu2 ) ;
• truncated normal, u ~ N + (µ, σ u2 ) ;
• exponential, u ~ θe − θu .
The estimates of presented distributions parameters are calculated using values of additional factors.
On the base of comparing of different distribution functions we chose the frontier model with truncated
normal distribution of u. For determination of that distribution we need to estimate two parameters – mean and
standard deviation. The mean describes the power of influence of all factors, which don’t, included into frontier
definition and nevertheless have an affect on bank efficiency. The estimates of mean and standard deviation can be
accounted together with other unknown model parameters (Battese and Coelli (1997) method).
So we have the specification of regression model which error term is the combination of two stochastic
components with certain frequency functions. It is enough for estimation of unknown parameters of model using,
for example, maximum likelihood estimator or generalized least square method.
Actually, to construct stochastic frontier model we need to separate all factors, affected on efficiency of
bank activity, into two groups – described the frontier (X) and influenced on bank’s deviation from this frontier (Z).
The main source of information for our research was Information Centre “Rating” reports, which contain the
list of 100 largest Russian banks with the main indexes of their activity. The information is enlarged every six
months, so we have the unbalanced panel with seven time points (January 2000 – July 2003) with data of 160
banks.
On the base of available data we defined the list factors included into SFA-model:
Output:
y – balance sheet profit;
Inputs:
X1 – deposited funds (both from citizens and companies);
X2 – bank’s deposited funds;
X3 – loans (RUB);
X4 – loans (foreign currency);
X5 – deposits in banks;
X6 – funds on banking cards;
62
X7 – deposits in government-paper;
X8 – trust assets.
Additional parameters influenced on individual inefficiency:
Z1 – own capital;
Z2 – total assets;
Z3 – manning level;
Z4 – number of bank branches;
Z5 – dummy, registered in Moscow;
Z6 – dummy, registered in St. Petersburg.
Consequently the SFA-model for panel data with Cobb-Douglass production function, truncated normal
distribution of inefficiencies is given by equation below:
ln y it = β 0 +
8
∑β
j
ln X jit + ε it ,
j =1
ε it = v it − u it ,
u it ~ N + (
6
∏δ Z
j
jit
, σ u2 ), v ~ N (0, σv2 ).
j =1
After estimation procedures we receive the next estimation of model parameters.
The estimation results
Coefficient
Standard error
t – ratio
Const
4.678***
0.541
β1
β2
β3
β4
β5
β6
β7
β8
0.193***
0.032
6.002
– 0.015
0.016
–0.924
0.060**
0.024
2.436
0.137***
0.026
5.181
0.123***
0.029
4.273
– 0.001
0.013
– 0.092
0.042***
0.010
4.158
0.0002
0.010
0.020
Const
0.683***
0.171
δ1
δ2
δ3
δ4
δ5
δ6
–5*10 ***
0.357***
0.116
3.060
0.041
0.516
0.080
sigma – squared
1.336***
0.077
17.269
γ
0.031***
0.007
4.018
–8
8.641
3.988
–8
– 1*10
–8
– 1*10 ***
– 5.097
0.000
– 6.316
– 0.001***
1.677*10
–4
0.0002***
2.286*10
–5
– 8.920
8.821
Log likelihood function = – 1068.6661
***, **, * – significant at 1%, 5% и 10% correspondingly
CONCLUSION
The basic hypothesis “SFA vs. OLS regression” was tested with γ-test using. The γ-level = 0.031 is significantly
different from zero that testify the advantage of SFA-model over standard regression with ordinary least square
estimations.
The first group of parameters (X) describes the location of an efficiency frontier. Deposits (from persons and
companies) (X1), loans in roubles(X3) and foreign currencies(X4), holdings into other bank’s assets (X5) and into
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government-paper (X7) have significant influence on efficiency frontier. These results show the main directions of
Russian banks activity.
The influence of second group of factors (Z) is very interesting as the source of Russian banks inefficiency.
All factors in this group, besides registration in St. Petersburg (Z6), are significant with confidence level 99%.
The coefficients for values of own banks capital and total banks assets (δ1, δ2) show the influence of bank
size to its efficiency. We found the significant positive return of scale, the bigger banks working more efficiently in
average. This result can be described by availability of considerable resources for professional management staff
hiring, possibilities of wider number of customer services.
The coefficient δ3= – 0.001 shows that the amount of banking staff have the significant negative influence on
bank efficiency. It can be ride on insufficient professional skills or excessive bureaucracy level, but for betterfounded conclusion we need to separate the staff into different groups, such as managerial staff, business executives,
operating and maintenance staff.
Also we discovered the significant positive influence of the number of branches (Z4). The bigger number of
branches allows to improve the accessibility of bank services, make the service more adapted to real customer’s
needs, and also to increase the competition inside the bank.
The registration of the head office in Moscow (Z5) surprisingly contributes for bank inefficiency. The only
thing that can explain it is the huge concentration of the banks in Moscow (We have 435 banks registered in
Moscow of total 700 sample size).
After the analysis of different factors we estimated the individual banks inefficiency values. The mean bank
efficiency over the sample comes to 48,6%, but we have some top banks with efficiencies near 100%.
Usually the bank efficiency has a good correlation with other important characteristic, such as reliability
and bankruptcy risk. We investigate the correlation between the estimated individual efficiencies and expert’s level
of reliability showed by IC ”Rating” and found great positive dependence (the banks with highest level of reliability
have relatively high values of efficiency).
REFERENCES
AIGNER D.J., LOVELL C.A.K, SCHMIDT P. 1977. Formulation and Estimation of Frontier Production Function
Models, Journal of Econometrics, 6, 21-37.
ALLEN F., SANTOMERO A.M 1996. The Theory of Financial Intermediation, Working paper, The Wharton
School, University of Pennsylvania.
BERGER A.N., HUMPHREY D.B. 1997. Efficiency of Financial Institutions: International Survey and Directions
for Future Research, European Journal of Operational Research.
COELLI T. 1996. A Guide to FRONTIER Version 4.1: A Computer Program for Stochastic Frontier Production
and Cost Function Estimation.
FREIXAS, X., ROCHET J.-C. 1997. Microeconomics of Banking, The MIT Press, Cambridge.
GREENE W. 1990. A Gamma Distributed Stochastic Frontier Model, Journal of Econometrics, 46, 1,
pp. 141 – 164.
GREENE W. 2002. Alternative Panel Data Estimators for Stochastic Frontier Models, materials of conference
“Current Developments in Productivity and Efficiency Measurement”, University of Georgia.
JOHDROW J., LOVELL C.A.K, MATEROV I.S., SCHMIDT P. 1982. On the Estimation of Technical Inefficiency
in the Stochastic Frontier Production Function Model, Journal of Econometrics 19, 233 – 238.
JONES D.C., MYGIND N., SINANI E. 2003. Estimating Firm Efficiency in Estonia: A Stochastic Frontier
Approach, University of Patras, Department of Economics, Draft.
KASMAN A. 2002. Cost Efficiency, Scale Economies, and Technological Progress in Turkish Banking,
Turkish Central Bank Review, 2:1
KRAFT E., HOFLER R., PAYNE J. 2002. Privatization, Foreign Bank Entry and Bank Efficiency in Croatia:
A Fourier-Flexible Function Stochastic Cost Frontier Analysis, Croatian National Bank, Zagreb, CNB working
papers, 9.
KUMBHAKAR S.C., LOVELL C.A.K 2000. Stochastic Frontier Analysis, Cambridge University Press.
KWAN S.H. 2001. The X-Efficiency of Commercial Banks in Hong Kong, Federal Reserve Bank of San
Francisco, Working Paper 2002-14.
LEIBENSTEIN H. 1966. Allocative Efficiency Versus ‘X-Efficiency’, American Economic Review 56, 392 – 415.
LIMAM I. 2001. Measuring technical efficiency of Kuwaiti banks, Arab Planning Institute, Lonely Planet
Publications.
MEEUSEN W., VAN DEN BROECK J. 1977. Efficiency Estimation from Cobb-Douglas Production Functions
with Composed Error, International Economic Review, Vol. 18 (2) pp. 435 – 44.
SCHMIDT P., SICKLES R.C. 1984. Production Frontier and Panel Data Journal of Business and Economic
Statistics 2:4, 367 – 374
64
CONTACT ADDRESS:
Vladimir Alekseevich Balash, Doctor of Economy, professor, Department of Applied Mathematics, Saratov
State Socio-Economic University,
89 Radishcheva St., Saratov, Russia
Dmitry Vyacheslavovich Pavlyuk, post-graduate student, Department of Applied Mathematics, Saratov State
Socio-Economic University
email: [email protected]
Владимир БАЛАШ, Дмитрий ПАВЛЮК
ПРИМЕНЕНИЕ МЕТОДИКИ СТОХАСТИЧЕСКОЙ ГРАНИЦЫ ЭФФЕКТИВНОСТИ
К АНАЛИЗУ ПОКАЗАТЕЛЕЙ РОССИЙСКИХ БАНКОВ
В статье описаны результаты эконометрического моделирования эффективности российских
банков. Применение методики стохастической границы эффективности к анализу показателей российских банков позволило выбрать наиболее адекватную спецификацию модели и сопоставить полученные результаты с аналогичными исследованиями, выполненными для банковских систем зарубежных стран. Особое внимание уделено спецификации эконометрической модели. Сравнены результаты
моделирования для трех способов расчета границы эффективности: Кобба-Дугласа, транслогарифмической и Фурье, а также для разных законов распределения случайной погрешности. Использование
данных за несколько лет позволило провести оценку границы эффективности и неэффективности
конкретного банка при предположении об их непостоянстве во времени. Полученные оценки неэффективности позволили ранжировать банки по использованию ресурсного потенциала. Результаты ранжирования сопоставлены с существующими рейтингами российских банков. Кроме этого, проведен
анализ изменения неэффективности банков за анализируемый период (2000 – 2003 годы). Также нами
проанализированы факторы, включенные в модельную спецификацию, влияющие на эффективность
банков, и сделаны выводы о слабых и сильных сторонах российских банков.
Ключевые слова: российские банки, эффективность, анализ данных, стохастическая граница

âåñòíèê - Саратовский социально

Transcription

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