“Экономические науки”/6.Маркетинг и менеджмент

Antoniv Oleksandra

postgraduate student of Lviv Commerce Academy, Ukraine

 

RESERVES INCREASING EFFICIENCY OF EXHIBITION AND TRADE FAIR ACTIVITIES

The processes taking place in the exhibition and trade fair sector of Ukraine indicate not only new but also qualitative state of its development. Despite the objective and subjective difficulties this sector of the economy becomes one of the most promising and profitable in the structure of the developing sectors. Accordingly, the issue of detecting and usage of reserves to increase efficiency of exhibition and trade fair activities is of high importance.

It should be noted, that the reserves as an economic category is part of the conceptual framework of economic efficiency, and therefore - is a comprehensive concept that includes opportunities for growth and possibilities to reduce costs based on improvement of resource potential usage. Idea is to not only reduce overheads when using resources and energy saving mode, but also prevent various losses and misallocation waste as one of the ways to reveal reserves. No less important is another way connected with the use of achievements of scientific and technological progress. Although reserves are a quantitative value, it is important not only to determine their quantitative characteristics, which may be very difficult sometimes, but to detect the qualitative composition of impact factor on the exhibition and trade fair activities. This is accomplished by specifying the direction of search of reserves, based on its allotment, distribution according to its type. Each of them is a part of the system of measures to improve the efficiency and therefore requires a separate detailed study.

Despite the fact that the discovery of reserves and their engaging in the exhibition and trade fair activity is one of the main preconditions for the effective functioning of the market, identifying and usage of all available reserves will be extremely difficult, almost impossible task. However there are techniques that allow making it much easier, if not completely solving them. Among them we shall highlight the following: definition of main unit in finding reserves that shall improve the efficiency of exhibition and trade fair activities, and shall influence most on the economy; allocation of “bottlenecks” , meaning those areas of management that hinder or limit the growth rate of efficiency; simultaneous search for reserves in all stages of management; following principle of reserve complexity in order that detecting one type of reserves was accompanied by the discovery of another, combining of which shall provide an additional effect.

It is recognized that search of reserves should take place at the place of its forming: country, region, sector and companies – entities of exhibition and trade fair activities. The core groups of search of reserves for efficiency increase of exhibition and trade fair activities as a system of generalization are presented in Fig. 1. This scheme outlines in general terms the categories of analysis.

In our opinion, the proposed reserves search system contains synergies that show the relationship between individual entities of exhibition and trade fair market and direct and indirect impact on the industry sector as a whole.

As can be seen from Figure 1 the majority of concealed and available reserves of efficiency increase of exhibition and trade fair activity is concentrated at the national level. Thus, it is evident that exhibition and trade fair sector has a significant unused potential, the use of which shall provide an additional effect.

Therefore, when looking for reserves at the national level, we believe, one should be guided by the following conditions: extensively detect reserves in all areas of the exhibition and trade fair sector taking into account the relationship and subordination of the studied parameters; take into account the real possibilities of the country and company economy – entities of exhibition and trade fair process; reduce the time between discovery and development of reserves; search of reserves must be carried out systematically and regularly; reach a large scale of reserves search.


 

Подпись: exhibition and trade fair activities Fig.1. The system of search of backlogs is for the increase of efficiency of exhibition-fair activity .


We consider it expedient to give an example of obvious benefits from detecting and usage of proposed reserves: implementation into exhibition and trade fair industry strong innovation potential; strengthening the role of cross-border cooperation; attracting investments in the sector of exhibition and trade fair activity; enhancement of Ukrainian exhibition and trade fair infrastructure; increase of Gross Regional Product and Gross Domestic Product of the country generally; enhance international relations and cooperation between enterprises in this sector; enhance the competitiveness of the exhibition and trade fair industry; levelling the imbalance of regional development;

Analyzing Fig. 1, we note that one of the key provisions to increase the efficiency of exhibition and fair activities at the regional level of management is the implementation of regional development programs. Therefore, analysis of these programs is of high importance. However, it was revealed that in the majority of regions of the country (15) a development program of exhibition and trade fair activities does not exist. And in those regions where they are found, it is not carried out to the full extend.

We believe that the implementation of the Program will provide quality informing management of regional council and regional state administration about processes taking place in the economic sector of the region. This in its turn shall enable prompt respond and detect deviations from targets figures of socio-economic development of the region.

Implementation of the Program will also ensure introduction of measures under the main national priorities in the sector of exhibition and trade fair activities, organization of which shall provide appropriate efficiency.

Therefore, we believe that this development Program shall accelerate the development of exhibition and trade fair activities, full use of its potential, promotion to the products and technology markets, strengthening and development of interregional economic cooperation and cooperation of enterprises and organizations, establishing new business relationships and strengthening the economic base of the region, the increase in exports of goods and services from local manufacturers.

In our opinion, precisely the organizers and participants of exhibition and trade fairs activities are the main element even may be called the driving force in the search for reserves. Since they are the only one who possess reliable information on the status of exhibition and trade fair market and on barriers that currently exist on the market. Thus, the results of sociological research we undertook to identify local reserves to increase the efficiency of exhibition and trade fair activities we take as a basis.

The questionnaire survey done among experts (specialists working in the sector of exhibition and trade fair (374 respondents) on the expected effect of the introduction of the industry cluster of exhibition and trade fair activities, and determined that the most significant impact such association shall make on activation of market activity of domestic entities of exhibition and trade fair activity on domestic and foreign markets, development of sector infrastructure, introducing innovations etc. (Fig. 2).

 

Fig.2. Expert evaluation of prospective effectiveness of implementation of exhibition and trade fair activities industry cluster in Ukraine. The author composed it basing on the results of sociological survey.

 

In our opinion, forming industry cluster will significantly reduce the expenditure of domestic entities of exhibition and trade fair activity both in domestic and foreign markets due to increased efficiency of interaction, close long-term cooperation between all participants of exhibition and trade fair services on the market.

Experts emphasize that in today's underfunding and lack of stimulation of exhibition and trade fair industry cluster to form exhibition and trade fair activity is an effective mechanism to stimulate the development and competitiveness of the industry as whole and individual enterprises.

As can be seen from the above, the economic nature of the reserves search to improve efficiency of exhibition and trade fair activity is expressed in the most complete and rational use of available and hidden potential in every level of management. We assert that further effective development of the sector in the context of globalization of commodity markets is possible only in the presence of a coherent organizational and economic mechanism of cooperation between state authorities and entities of exhibition and trade fair activity.

References

Clustering concept in Ukraine as of 29.08.2008 (draft) / Ministry of Economic Affairs of Ukraine. – Access mode : http://www.me.gov.ua/control/uk/publish/printable_article?art_id=121164

L.V. Lukashova.  Organization of exhibition activities: educational guidance. / L.V. Lukashova. -  К.: КНТЕУ, 2009. -  372 p.

Regional program of development and monitoring exhibition activities. Strategies of Lviv region development  till year 2015 – 17 p.  loda.gov.ua/wp-content/uploads/2012/09/програма-виставки.doc‎