Ways of attainment of the competitiveness are different for each enterprise, but, at the same time, they have a mutual feature, i.e. an
enterprise cannot become a competitive one without the implementation of strategic plans of its development. Despite the diversity of
strategies enterprises frequently choose the strategy of external increase, which includes a type such as the vertical integration strategy.
A purpose of the research is the determination of the main priorities of development of vertically integrated structures and the
examination of the main directions of enhancement of their efficiency.
The vertically integrated structures creating the complete technological cycle “production — processing — realization” is the most
effective and adjusted to modern conditions of the market economy.
The application of vertical integration enables to overcome the apartness of producers of raw materials and processing companies,
trade and other companies, to eliminate the competition between producers and distributors of products of the same type. All of this
is very important for the formation of the single price policy. Moreover, the application of vertical integration allows the optimization
of prices and conditions of production and distribution of products, taking into consideration the application of damping policy
regarding the foreign competitors. Due to the creation of vertically integrated structures a system of taxation of final products may
be put in order. Simultaneously, the practice of double or triple taxation in the process of movement of products from suppliers of
raw materials to processing and distribution companies is eliminated.
The incentive reason of the vertical integration is, firstly, the savings in transactional costs related to, in particular, the preparation
and drawing up a treaty. The decrease of transactional costs also occurs in the process of usage of highly specialized resources,
since the market of these assets is factually monopolized, and a company-producer deals with the uncertainty regarding the timely
delivery of such resources.
The vertically integrated structures is an important element of the company development, which enables to significantly decrease
costs for additional legal aspects of a commercial activity, to save resources, to enhance the quality of a finished product due to the
deeper specialization of some treads of a structure, and to completely detect the economic potential of a state. The advantages of
these integrations together with the incentive reasons of vertical integration create a synergic interconnection, which prevent disproportions
of production and provide a maximally possible income under the high quality of products.
Natalja Chorna The Priorities of Development of Vertically Integrated Structures // The Russian Academic Journal, Vol. 29, Issue 3, 2014, pp. 0-0

Ways of attainment of the competitiveness are different for each enterprise, but, at the same time, they have a mutual feature, i.e. an enterprise cannot become a competitive one without the implementation of strategic plans of its development. Despite the diversity of strategies enterprises frequently choose the strategy of external increase, which includes a type such as the vertical integration strategy. A purpose of the research is the determination of the main priorities of development of vertically integrated structures and the examination of the main directions of enhancement of their efficiency. The vertically integrated structures creating the complete technological cycle “production — processing — realization” is the most effective and adjusted to modern conditions of the market economy. The application of vertical integration enables to overcome the apartness of producers of raw materials and processing companies, trade and other companies, to eliminate the competition between producers and distributors of products of the same type. All of this is very important for the formation of the single price policy. Moreover, the application of vertical integration allows the optimization of prices and conditions of production and distribution of products, taking into consideration the application of damping policy regarding the foreign competitors. Due to the creation of vertically integrated structures a system of taxation of final products may be put in order. Simultaneously, the practice of double or triple taxation in the process of movement of products from suppliers of raw materials to processing and distribution companies is eliminated. The incentive reason of the vertical integration is, firstly, the savings in transactional costs related to, in particular, the preparation and drawing up a treaty. The decrease of transactional costs also occurs in the process of usage of highly specialized resources, since the market of these assets is factually monopolized, and a company-producer deals with the uncertainty regarding the timely delivery of such resources. The vertically integrated structures is an important element of the company development, which enables to significantly decrease costs for additional legal aspects of a commercial activity, to save resources, to enhance the quality of a finished product due to the deeper specialization of some treads of a structure, and to completely detect the economic potential of a state. The advantages of these integrations together with the incentive reasons of vertical integration create a synergic interconnection, which prevent disproportions of production and provide a maximally possible income under the high quality of products.