Financial stability - the basis of economic development of individual enterprise and the state as a whole

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Security and stability - is the foundation of society.Permanent Revolution and the revolutions that lead to a change of policy, rarely contribute to raising the economy to a new level.And even if it happens, it is only after years of gradual evolution.Therefore, the internal stability of the state determines what the future of its citizens in both the short and long term.

Micro- and macro

This rule applies to the individual.If you keep changing interests, the result is hardly possible to learn something.Achieving these goals both at the individual and at the state level always takes place in two stages: choosing the right strategy and the immediate execution of the agenda for a sufficiently long period of time.

Political stability

image of the state is influenced by a number of factors.One of the most important of these is its ability to maintain its policy for a long time and to ensure a high level of public confidence in the current government.Legal aspects of farming in the country largely determine the stability of the financial component, so it is important to understand what parameters affect it.Among them, the main ones are:

  • effective political system.
  • Coordination of actions of public organizations and desires of the population.
  • high level of confidence in the government.
  • legitimacy and democratic regime.
  • clear legal framework.
  • proper distribution of power.
  • protection of human rights.
  • Harmonization of formal and informal rules.
  • lack of a strong class stratification and conflicts between different groups.

financial stability of

survival in market conditions due to the constant desire to improve the efficiency of production.This is achieved through the introduction of advanced science and technology, more rational organization of labor, motivation of staff activity.But in order to be able to implement these positive changes, the company must be financially sustainable.Otherwise, every bad step or sudden change in market conditions - and it is on the verge of bankruptcy.Therefore, financial stability - is the main object of the analysis of the current state of the enterprise.

Assessment of the current situation

enterprise financial condition is characterized by the resources which ensure the normal functioning and solvency.It is a crisis, unstable and stable.To estimate used a number of indicators:

  • structure of assets and liabilities.
  • capital efficiency.
  • company's creditworthiness.
  • solvency.
  • provision of financial stability.

The stability of the company influence a combination of factors: the position in the market, product quality, capacity, degree of dependence on investors and creditors of insolvent debtors, efficiency and staff productivity.

pillar of sustainable business

variety of factors that affect the current situation at the plant, it is determined that stability - a combination of three main components.The internal resistance is the financial condition, which will ensure consistently high results of operation.Overall system stability reflects a cash flow in the company, which provides a surplus.Financial stability allows you to maneuver in the market and contribute to the smooth process of production and sale of goods.These factors in the evaluation compared with the average or normal values, which allows you to set the current state of the enterprise.

factor of stability in the financial stability of the parameters affect both the internal and external environment.The first group in the first place is the amount of profit, if it is sufficient to cover expenses and provide equipment upgrades.Sufficiency of earnings depends on the quality and range of products, the company reserves, reserves the right strategy and objectives, sound financial management.External stability is defined by the enterprise economic environment in which it operates.Its components are the level of development of the national economy, in the industry, competitive advantages, relations with local and state authorities, as well as customers, investors and creditors.In addition, the financial stability provides financial, political and non-marketable, surface and other factors.

problem of insufficient resources

Crisis or unstable state enterprises appears to reduce the solvency and liquidity, increasing receivables and costs.Current and future financial security - is the object of analysis of any enterprise.On the basis of its assessment of the strategic plans are built and shaped the agenda.In addition to insufficient stability, sometimes in the company there is excess stability.It is also bad for the operation, because this state of affairs means that the available financial resources are used effectively.

thus objectively necessary to ensure the stability of the enterprise - is the main task of management.It depends on the performance of its bright future and prospects for business expansion.