Business social responsibility in Ukraine

UDC 338.43:005.35

N. Sirenko, A. Burkovska, T. Lunkinа
Mykolayiv National Agrarian University

In modern conditions the economic development of Ukraine is faced with an actual problem of business social responsibility. The concept of social responsibility though is raised in the business environment, but still has a chaotic, fragmentary and selective character. The development of the corporate social responsibility is still, unfortunately, very slow.
The concept of social responsibility consists of businesses additional commitments which the enterprises voluntarily take producing goods and services of high quality.  [3, p 216-217]. We believe that the social responsibility of business involves meeting the economic, legal, environmental and social needs. Note that the higher the level of society’s development, the more demanding the evaluation of the business social responsibility criteria is.
We believe that the strategic goal of socially responsible businesses should be primarily social investment programs for their own employees. It should provide educational programs and retraining, and the stability of wages, safety, organization of additional medical and social security workers, assistance in some critical situations.
A special feature of the social responsibility of domestic enterprises is a range of stakeholders (owners and employees of these companies) and other members of the business environment enterprises (customers, suppliers, non-profit organizations, local governments) which are not actually the subject to its social interests.
Thus, the social responsibility of business in Ukraine has not received proper distribution and has a number of peculiarities. There is a strong necessity in motivation in the field of business socially responsibility.  It is advisable to develop cooperation of businesses with the important area of social work as a professional education. This will increase the efficiency of educational services, and business revitalization process of socialization will provide a number of benefits for our country in the social, environmental and economic spheres.

Key words: social responsibility, socialization of business stakeholders, partnerships, businesses, vocational education.

Business social responsibility in Ukraine

Issue №3 (91), 2016

Corporate social responsibility development in Ukraine

UDC 338.43:005.35

A.V. Burkovskaya, Candidate of Economics, Associate professor of Finance and Credit Department,
T. I. Lunkina, Candidate of Economics, Associate professor of Finance and Credit Department,
Mykolayiv National Agrarian University

In recent years in most countries there was intensification of research on social responsibility in general and corporate social responsibility in particular.
Corporate social responsibility is a responsibility of business to society, which is manifested in the performance of enterprises’ obligations. This practice is widely used by foreign entrepreneurs in their activities, and in Ukraine unfortunately, it is still not widely available. Domestic entrepreneurs in corporate social responsibility sometimes understand charity, taxation, social programs and so on. A global experience objectively demonstrates the existence of a common standard, which provides a three-pronged approach to defining the essence of corporate social responsibility. Therefore, in our view, corporate social responsibility in Ukraine should provide simultaneous implementation of measures in the following fields: economic activity, environment of companies and social performance of companies.
During the study it was found that a feature of business in modern conditions is the need to invest financial resources in intangible assets. Business operating is considered by community not only as the largest economic indicators, but also as the ethical standard. The dominant are those companies which guarantee transparency, environmental friendliness and quality of activities dealing with employees, partners and society in general.
The world experience had proved that social programs (their development must comply with current legislation of the country) affect the capitalization of companies. After all, if a business entity is socially responsible, it is competitive and attractive to investors. As a result, the free access to more capital becomes possible, which is a significant competitive advantage for any company. If a business entity is not socially oriented, it’s not business. We believe that when a person earns enough he should help others. That is why corporate social responsibility, in our opinion, is one of the operating levers of real competition.
The social orientation of business development in Ukraine should be intended to subordinate the production to consumer interests, applying new technologies to use the funds within the country, creating jobs, diversifying and enriching the work’s content and accelerating its motivation in order to provide the appropriate level of remuneration, increase accountability and discipline of workers  with equal opportunities to realize their intellectual and creative abilities in the conditions of appropriate working quality, welfare and recreation. After solving social issues there is another important task for modern enterprises such as profit and growth of companies.

Keywords: corporate social responsibility, business, social investment, social activities, social (benefits) package

Corporate social responsibility development in Ukraine

1. Bukovyns’ka M. P. Povernutysya oblychchyam do lyudey: sotsial’na vidpovidal’nist’ orhanizatsiy APK / M. P. Bukovyns’ka // Suchasni problemy ta perspektyvy mizhnarodnoyi intehratsiyi ahrarnoho sektoru ekonomiky Ukrayiny : Zbirnyk materialiv Mizhnarodnoyi naukovo-praktychnoyi konferentsiyi ta P”yatnadtsyatykh richnykh zboriv Vseukrayins’koho konhresu vchenykh ekonomistiv-ahrarnykiv, Kyyiv, 14 travnya 2015 r. / Redkol. : Y. O. Lupenko, Y. M. Hadzalo, M. Y. Dem”yanenko ta in. — K. : NNTs «IAE», 2015. — s. 454-458 (596 s.).
2. Myroshnychenko A. Petr Poroshenko : «Na takykh kompanyyakh, kak «NYBULON», i derzhytsya sehodnya Ukrayna» / A. Myroshnychenko // Yuzhnaya pravda. — 2015. — № 117(23443). — s.1-2.
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5. Tsaryk I. M. Osoblyvosti rynkovoho i derzhavnoho rehulyuvannya sotsial’noyi vidpovidal’nosti biznesu v umovakh tsyklichnosti ekonomiky / I. M. Tsaryk // Aktual’ni problemy ekonomiky. — 2011. — # 1 (115). —s. 155—159.
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Investments of the agricultural sector of the Ukrainian economy

Номер, рік
4(81), 2014
UNC 330.322:338.43(477)

V. Burkovska, PhD, Associate Professor
I. Lunkina, PhD, Associate Professor
Mykolaiv National Agrarian University

This article proves the necessity of investment in the agricultural sector of Ukraine. The essence and value of investments for the intensification of economic development of domestic agricultural enterprises are reviewed. The nature and components of investment attractiveness of domestic enterprises are showed. The priority lines of the implementation of investment resources in the Mykolaiv region are researched. Deterrents of the inflowing of investments are established and directions how to overcome them are offered.

Problem. Domestic enterprises of the agricultural sector in practice constantly feel the lack of financial resources for the reconstruction of fixed and current assets, the implementation of innovation, the use of new resource-efficient low-cost and environmentally sound technologies, which in a competitive environment are impossible for their effective functioning.

The specifics of the agrarian sector of Ukraine causes the objective necessity of its urgently providing of investment resources; without an increasing in their volume the way out of the deep socio-economic crisis is quite problematic.

We have to admit that the actual amount of investment in the agricultural sector of the economy of our country compared with the required is not enough. Therefore first of all need to be resolved issues of attracting investment to Ukraine amounts of investment resources.

Objectives of the study is to show the results of our analysis of the process of investment companies of Ukraine’s economy, detection of defects and suggest ways to overcome them.

Conclusions. In our opinion, Ukraine needs a more active introduction of modern, environmentally friendly, low-cost and resource-saving technologies by national and foreign investors.

For foreign investors the level of investment attractiveness of the agricultural sector is heavily dependent on cheap labor and the possibility of exports to foreign markets. To convince investors of the need to finance the agricultural sector of Ukraine is necessary to reduce domestic investment risks.

To ensure the reliability of the investment partnership is necessary to see in the contracts, not only the volume of investment, but also events to protect them. If an investor has applied all the necessary permits should be fill in a short time. (more…)