Vertical agro-industrial integration as a mechanism for the effective development of agricultural enterprises

Authors

DOI:

https://doi.org/10.5281/zenodo.16976176

Keywords:

vertical agro-industrial integration, agricultural enterprise, synergistic approach, integrated structures, agro-industrial complex

Abstract

Constant changes in the agrarian economy require further development of integration forms of agricultural enterprises and related branches of the agro-industrial complex. The purpose of the article is to study the essence of vertical agro-industrial integration of agricultural enterprises for their effective development in conditions of scientific and technical cooperation. Research methods include general scientific methods of abstraction, analysis and synthesis. In order to achieve research objectives, the dialectical method of scientific knowledge was applied in the work. The abstract-logical method of theoretical and factual generalizations was used to formulate conclusions and proposals. The information base of the study was the scientific works of Ukrainian scientists on the topic under consideration, the results of the authors' own research, etc. The results of the study revealed that agro-industrial integration is considered as the creation of a new, more general supersystem, which is formed taking into account the unification of a number of subsystems, as a purposeful process of convergence of interests, strengthening of production and economic ties and relations of participants in the reproduction of agricultural products, unification into a single technological process of stages and phases, which is carried out using certain organizational, economic and legal mechanisms, which ultimately leads to a complete or partial organizational merger. Scientific approaches to the study of theoretical and conceptual aspects of the development of integration processes in the agro-industrial complex for the effective development of agricultural enterprises and their scientific and technical cooperation have been developed. A classification scheme for integration in the agricultural sector has been developed and substantiated, and types of modern integrated structures characteristic of the domestic agro-industrial complex have been identified. A mechanism for selecting the most effective form of agro-industrial integration is proposed, which is carried out on the basis of an appropriate criterion, which is determined on the basis of an analysis of the main organizational, economic and legal forms of integration, on the one hand, and the goals and objectives of the created integrated structure, on the other hand. Conclusions. Based on the research conducted, we can state that in the process of vertical agro-industrial integration, measures to improve the financial situation of agricultural enterprises should be combined with institutional and structural transformations based on the possibility of concentrating ownership through the purchase, exchange, lease of real estate, land, appropriation and merger, as well as other methods of creating effectively and sustainably operating structures.

Published

2025-08-28

How to Cite

Hrymak, O., Ostafiichuk, A., & Tabatskova, G. (2025). Vertical agro-industrial integration as a mechanism for the effective development of agricultural enterprises. Current Issues of Economic Sciences, (14). https://doi.org/10.5281/zenodo.16976176