Economy of the organization in the conditions of market relations

The main economic agent in a market economy is an organization. It uses resources to produce goods and services for profit. The organization's economy is aimed at maximizing its profits. This is her main goal, but she also pursues many tasks subordinate to her:

- increase market share ;

- Lead in scientific and technical progress;

- effectively produce goods and services;

- adequately pay staff to reduce staff turnover and increase production efficiency ;

- perform social duties to employees, etc.

The economy of an organization depends on the conditions of its internal and external environment. The following factors influence the state of the internal environment:

- the purposes of the enterprise;

- management structure;

- technologies used;

- qualification and productivity of personnel;

- financial factor;

- activity planning;

- marketing events;

- control and analysis.

In addition to factors of the internal environment, the organization's economy includes the product and the stages of its production. This area the enterprise forms, and then develops itself, being guided by the tasks and goals set.

The following factors influence the state of the environment:

- macroeconomics (competitiveness, inflation, tax collection, etc.);

- legal;

- international;

- political

- social.

These are the conditions that the enterprise can not control. The organization enters the external environment through marketing solutions. The goals of this output include the satisfaction of needs, growth in profits, sales, the acquisition of a positive image, increasing competitiveness, etc.

The economy of organizations, enterprises in the external environment must meet the relevant requirements for this industry. If the firm does not take this into account, the results of its activities may be negative.

The task of entrepreneurs is to influence the external environment through the internal environment of the organization in order to achieve their goals. To solve this problem helps the management system that operates in the enterprise.

The economy of organizations assumes the existence of its own strategy of functioning in the market. It can be defensive or offensive. The first is the behavior of the firm when it is in standby mode: it monitors competitors and the market as a whole, waits for a new product to appear, to abandon its efforts to create a prototype. Offensive is characterized by an active renewal of production due to innovations, innovations, filling and development of the market.

Rational behavior of an enterprise in the conditions of market relations is to ensure the maximum possible profit. And how the firm will behave depends mainly on the time factor and the type of competition in the market.

Also, the organization's economy provides for updating information about the market. For the successful functioning of the company, the entrepreneur must have complete and reliable information about the niche that he occupies and wants to master.