O. Khadzhynova. Network associations as a method of activization of entrepreneurial activity in Ukraine.

Abstract

For the transition of domestic enterprises to a group of highly competitive ones, it is necessary to activate the processes of economic entities integration of similar industries, as well as to concentrate on the innovative component. Ensuring these processes through corporate structures is not complete and sufficient. More flexible forms of integration associations and inter-organizational relations are needed. The article examines the advantages of network enterprises. The article substantiates that network forms of inter-firm cooperation are important sources of increasing competitiveness and efficiency of enterprises, enhancing their innovative activity and strengthening market status. The main purpose of creating a network enterprise is to gain access to partner resources, to ensure more efficient use of resources available to all participants of the entrepreneurial network on the basis of collective access to them. The network form of enterprise integration is able to provide more efficient use of resources in comparison with traditional enterprises. Network associations of industrial enterprises in the form of an entrepreneurial network will quickly and innovatively adapt internal structures and external relationship to the rapidly changing uncertainty of the external environment; whey will optimize inter-firm contacts, establish effective cooperation, and coordinate plans of business entities. Thanks to this, the merger of enterprises in a networked form will become more widespread, and firms built on a hierarchical model, will increasingly introduce network management elements into their activities.