STUDYING THE EXTERNAL BUSINESS ENVIRONMENT DYNAMICS IN THE MACHINERY INDUSTRY TO ENSURE ITS ECONOMIC STABILITY

Abstract

The development of Ukraine’s economy is followed by the transformation processes that create certain challenges for business entities in the machinery industry, since it is characterized by a long operational and financial cycles that triggers investment risks and hampers the reproduction processes as well as provides barriers to ensuring the relevant level of science and technology development in the sector. Apparently, the external environment tends to damper the product quality in the machinery manufacturing industry. The lack of relevant economic background to enhance the implementation of innovative means of production hinders both the process of supplying enterprises in other industries with their own means of production and their productive forces development. Economic stability of enterprises is critical for ensuring the effective functioning and development of industries in the national economy as well as for attaining current and perspective goals which are largely affected by the competition level within domestic and foreign markets. The paper focuses on studying the external business environment dynamics in the machinery industry to ensure its economic stability. The methodological framework of the paper covers the study of classical economics research, scholarly publications of scientists and specialists in enterprise management, along with application of combined research methods: analysis and synthesis, theoretical and logical generalization and modelling. The research findings on exploring the external environment effects on enterprise performance in the machinery sector have revealed the current reasons for the decline in their economic stability. Rationale is provided for the need to implement the mechanism of economic stability management in the machinery industry under the dynamic settings of the modern economy which is an important tool in building and managing the overall enterprise economic security strategy. The research results might have significant implications for further development of the theory and practice of economic security management in the area of enhancing the capacity of machinery industry enterprises.