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Journal section "Territorial economy"

Analyzing the Condition of Competitive Environment in Economic Sectors of the Vologda Oblast

Vokhmyanin I.A.

4 (34), 2016

Vokhmyanin I.A. Analyzing the Condition of Competitive Environment in Economic Sectors of the Vologda Oblast. Territorial development issues, 2016, no. 4 (34). URL: http://vtr.isert-ran.ru/article/1974?_lang=en

Abstract   |   Authors   |   References
At present, the theory of comparative advantage (R. Torrens, D. Ricardo) and the theory of relative factor endowments (E. Heckscher, B. Ohlin) can no longer clearly determine the reasons for competitive advantage in the economy. However, competitive advantage in economic sectors, regions and countries largely depends on the development of competitive environment in the economy. This determines the rationale behind the study of this phenomenon. Taking into account the ideas of M. Porter on the study of competitive advantage in terms of sectoral coverage, the article analyzes the condition of competitive environment of the economic sectors of the region. The main difficulty of the analysis lies in the fact that it is almost impossible to measure the level of competitive environment development at the stage of its formation due to a large number of factors and conditions influencing this phenomenon, as well as lack of necessary statistical indicators. In this regard, an attempt has been made to assess the competitive environment on the basis of competitive relations of economic agents. For this purpose, it is proposed to study the indicators characterizing the activity of sectoral enterprises and reflecting the processes inherent in competitive behavior: investment in fixed capital, expenses on information and communication technologies, labor remuneration expenses, the formation of the value of production purchase orders in subsequent periods. As a result of the analysis conducted on branches of economy of the Vologda Oblast, it has been revealed that most of the indicators of a competitive environment are better developed in the industry production, distribution of electricity, gas and water industries, transport and communication, and are less developed in activities such as mining and fishing, fish farming. The authors make the conclusion about the need for an integrated assessment of the competitive environment and define further directions for the study of the competitive environment of the industries in the region to the practical application of research results. The analysis conducted within various economic sectors of the Vologda Oblast has revealed that for most of the indicators competitive environment is more developed in the generation and distribution of electricity, gas and water, transportation and communication. It is the least developed in economic sectors such as mineral extraction, fishery and fish farming. The authors conclude that a comprehensive assessment of the condition of competitive environment is necessary, along with the need to set further directions of work on the study of competitive environment of the economic sectors of the region or the practical use of the research results

Keywords

investment, vologda oblast, competitive environment, economic sectors, market barriers

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