Enterprises’ competitive behaviour assessment in industrial markets in manufacturing

• Main Author: N. Yu. Yaroshevich
• Format: Article
• Language: Russian
• Published: Ural State University of Economics 2020-07-01
• Series: Journal of New Economy
• Subjects: industrial markets; competitive behaviour; competition; assessment of competitive behaviour; differentiation; innovations; expenses; correlation
• Online Access: http://jne.usue.ru/ru/2020/877

Under the stagnating economy and turbulence in global and national markets, coun tries face a thorny question of establishing the strategic priorities of the state policy and maintaining sustainable growth of individual industrial companies. It is impossible to determine the parameters of the sustainable development strategy without the understanding of principles and specifics of competitive behaviour in industrial markets. The paper centres on the methodological development and empirical assessment of enterprises’ competitive behaviour in industrial markets. The theoretical basis of the study includes the system approach enriched with the new empirical theory, the theory of strategic behaviour, theories of competition and several others. The study of theoretical approaches to the definition of the concept “competitive behaviour” made it possible to identify the main parameters of its assessment, such as market structure, intensity of competition, development of differentiation and innovations. The suggested methodological approach encompasses a consequent assessment of the intensity of competition with the use of the concentration and turbulence indicators and the analysis of the tightness of cor relation dependence between market shares and expenses related to commercial and innovative activities of industrial enterprises. The author takes eight industrial markets in Russia to test the developed approach. The findings reveal there are only four markets with an active competitive behaviour, where enterprises take advantage of product differentiation and innovations.