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Section 4. Regional economy
Hajiyeva Sevda Tofig, Assoc. prof. Ph.D., in Economics Azerbaijan State Agrarian University E-mail: [email protected]
FACTORS iNFLUENCING THE DEVELOPMENT OF ENTREPRENEURS' PRODUCTION AND SALES RELATIONSHIPS IN THE AGRIBUSINESS SECTOR OF THE REPUBLIC OF AZERBAIJAN
Abstract. At present, special attention should be paid to the expansion of production and sales links in the field of development of the non-oil sector in the Republic ofAzerbaijan. Efforts should be made to ensure efficient deployment of productive forces and to prevent tensions in the demographic situation in line with their balance and regional policy when creating new production and sales facilities. Cross-sectoral relationships and entrepreneurship should be ensured so that the economy can function normally in the social division of labor. At the same time, the products produced should be competitive, and the domestic market should be protected against external influences.
Keywords: price, sales channels, export, competitive product, exchange, production infrastructure.
Over the past fifteen years, the basis of the state's particular, the further development and expansion
economic policy has been the organization of effec- of the processing industry in Azerbaijan is largely
tive measures aimed at socio-economic develop- dependent on the development of the agrarian sec-
ment of the regions. Thus, after a number of State tor. There are numerous agricultural firms, combines,
Programs on the socio-economic development of limited liability societies, individual peasant farms in
the regions have been adopted, a great progress has our country, and their competitiveness increases day
been made in the production and social infrastruc- by day and meets domestic demand. ture system in the regions. At the same time the At present, special attention is paid to the expan-
establishment of enterprises capable of producing sion of industry and inter-regional production rela-
competitive products is a priority of the state's re- tions in the development of the non-oil sector. From
gional policy. As it is known, the creation of local this point of view, when creating new production
competitive enterprises in the country pays great at- and processing enterprises, efforts should be made
tention to the domestic demand and also affects the to ensure their balanced distribution and the effec-
growth of export potential. tive deployment of productive forces on the territo-
One of the main directions of the state's regional rial basis and to prevent tension in the demographic
policy is the comprehensive development of the situation in accordance with their regional policies.
agrarian sector. The agrarian sector plays an impor- Cross-sectoral relationships and entrepreneurship
tant role in meeting the country's demand for ag- should be ensured so that the economy can function
ricultural products, raw materials and industry. In normally in the social division of labor. At the same
time, the products produced should be competitive, and the domestic market should be protected against external influences.
Research shows that the diversity of production conditions in a particular kind of agriculture also creates individual realistic opportunities for the product unit to reduce the cost of the product. It can be achieved in several ways. Thus, improving soil fertility, improving water and energy supply, increasing production and labor stock levels, improving production technologies, improving agrotechnical regulations, increasing production stimulation, efficient labor arrangements and so on. growth of productivity can be achieved by applying other factors, which, as a result, are the decisive and perspective directions of the cost reduction; the second factor is to clarify the factors affecting the cost value by analyzing the activities of farms with different production conditions and to justify the possibility of achieving a low cost of product unit at the expense of what factor; third, the most important factor is the correct solution of the issue, the specialization and concentration of production in a more reliable environment, taking into account objective and subjective factors where the particular product is cheap.
Product producers could sell their products directly or indirectly to their customers without any hindrance. Through direct channel - potatoes, vegetables, melons, fruits, grapes (dairy, meat, eggs, wool etc.), the wholesale and retail sales system was organized in markets, in the manufacturer's own shop, in sales markets, in exchanges.
Intermediate mediators are used to deliver products from the producers to the consumer through the indirect channel. Intermediary agents include government agencies, specialized firms specialized in buying and selling products, consumer cooperatives, commercial and industrial enterprises, marketing service providers, and so on.
In general, the sale of products on different channels is a bit complicated process for a particular agricultural enterprise both from economic and institu-
tional points ofview. The final results of the business activities of the farmers depend on the work of the service sectors, which, to a certain extent, provide the supply of goods, their short-term storage, transportation and sorting. Presently, in the agrarian sector these types of services do not correspond to the conditions of new economic relations and they develop very poorly in the field of sales of commodities.
Surveys show that one of the challenges entrepreneurs face in the agrarian sector is the formation of price and the multidimensional factors affecting it. Thus, market prices for agricultural and food products are rising faster than other types of prices. The main reason for this is the participation of numerous intermediaries in the implementation of products. More precisely, most vendors of agricultural products do not have the opportunity to realize their products in favorable markets. They have to give the intermediate mediators the products from producers to consumers, which ultimately leads to higher prices.
Undoubtedly, product producers are more likely to make their products available to consumers in the direct market, in terms of increasing their income. However, consumers can not realize what's happening in the market because of the lack of opportunity to sell their products over the course of the day.
The freedom of the villagers to sell their products is legal, but there are still many difficulties from the organizational point of view. This is more prominent in the formation of the infrastructure of the agricultural products market. Agricultural products exchanges such as infrastructure elements, wholesale food markets, fairs and so on. There is a great need for regular organization.
One of the main challenges facing the agrarian sector is the elimination of price differences in the markets of different products and the formation of optimal prices.
It should be noted that the commodity markets in the private farms are currently composed of four groups. Markets for commodity products in processing enterprises; markets for markets and trading;
selling on the roadside and direct sales in the farm; direct sales to consumers by households, channel sales and barter sales to direct consumers.
In these markets, there is a sale of plant and livestock products, products manufactured in farms, livestock and poultry in live weight. Statistical data show that the sale of plant products is mainly sold to consumers in the markets and trade networks, along the roadside, directly on the farm. Through these trading networks, 60-100 percent of commodity products prefer sales to market and trading networks, to consumers and buyers on the roadside farms. As a result of our survey, it is clear that sales of commodity products through these channels will help to save transportation costs for transportation of goods to the markets, costs for maintenance services, storage, sorting, saving costs for infrastructure use, which plays a crucial role in preventing losses.
Cotton, tobacco, sugar beet, grape, green tea leaf, partially cereals and cereals, vegetables, fruits and etc. are sold in processing enterprises. It should be noted that at present, a significant portion of economic entities sell 1.02.0% of plant products to individual and legal entities engaged in the sale of separate products, wholesale and outsourcing organizations.
2-16% of agricultural producers change the sale of plant products in households and 1-18% by raw materials and other materials that need to be met by other means, or by barter. Most private households are forced to sell 45.3% of their tobacco through other channels. Of these, 2.3% said they were selling at processing facilities, 13% in road sections and 17.4% in farmland. 70% of cotton-producing farms have changed 89.1% of cotton, to 10.7% in the roadside, 4.2% to farm yard and 0.2% to barter. Such a situation has existed in the sale of tea leaf and sale of wheat.
Table 1.
Indicators Total cost, thousand manats Income Thousand manats Income and loss (+,-), thousand manats Net income (loss), penalties
total livestock 3107.0 4720.2 1613 51.9
Total of plant cultivation 5098.5 7642.5 2544 49.9
Total sale 8362.1 12560 4198 50.2
Investigations show that in the private entrepre-neurship economies, revenues from sales of crops in 2017 amounted to 4720.2 thousand, and the profit was 1613 thousand manats. Growth in crop production was 7642.5 thousand manats, profit - 2544 thousand manats. In 2014, the level of productivity in productivity in private entrepreneurships was 51.9%, in plant growing - 49.9%, and the total efficiency of farm activity - 50.2%.
We believe that special attention should be paid to the issues of development ofproduction and sales of entrepreneurs:
- State support for the development and financing of production enterprises in all economic regions of the republic should be strengthened;
- agricultural producers should use the marketing elements more effectively in the development of production and sales relationships;
- Provide access to a single market for agricultural producers in the regions; monopoly initiatives of trade intermediaries should be avoided;
- stimulating mechanisms to encourage producers to produce competitive products;
- A favorable investment climate should be created to attract investors to regions and to use their potential opportunities efficiently;
- Particular attention should be paid to the establishment of Free Economic Zones (EADs) in order to stimulate the development of regional en-trepreneurship;
References:
1. Abbasov A. B. "Bases of business",- Baku, 2005.
2. imanov A. Sh. Small entrepreneurship.- Baku, 2009.
3. Guliyev E. A. Reliable Food Supply System: Cooperations and Integration Problems.- Baku, "Science", 2013.- 308 p.
4. Jafarov N. A. Stimulation of industrial production development in the conditions of market relations.-Baku, Azerneshr, 2010.- 196 p.
5. URL: http://www.anfes.gov.az - Website of the National Fund for Entrepreneurship Support
6. URL: http://www.azstat.gov.az - Website of the State Statistical Committee of the Republic ofAzerbaijan
7. URL: http://www.stat.gov.az
Yutong Han, The Bullis School City Bethesda, United States E-mail: [email protected]
FAN ECONOMY OF ONLINE NOVELS
Abstract. This paper examines the increasing TV and movie productions that are based on online-novels. Producers choose specific novels to turn into productions because the book fans would be watching them. This audience base of book fans bring fame to the productions and provide higher chances of successful TV series or movie being watched. This paper investigates explicitly in how novels are selected through data collection of various aspects of different works. The results of the research show that the theme, topic, setting, author, and popularity of the novel influence the producers' choices.
Keywords: Fan economy, Online novels.
Online-novels have become increasingly popu- years novels that have interstellar settings have gained lar in recent decades. People have easy access to the Internet through all kinds of electronic devices, and readings are no longer limited to printed books. In China, with online-novels gaining fame, many of them are made into a television series or movies. Many readers even bring the novels publicities and attract companies to make them into TV productions. From a producer's perspective, creating these novels into films ensure high ratings because of the book fans who would be watching them. The success of early productions has now brought more companies into the market, and a fan-based economy of putting online-novels on the screen proliferates. The field of online-novel based media production is relatively new. Ultimately, with more works turning into screen adaptations, these productions occupy increasing space in people's lives.
Researchers have studied these productions, and they proposed various reasons why online-novels are made into productions. The most popular and widely accepted reason is that these novels can ensure profits because of their fame. Researchers discovered that productions could be divided into two categories: historical and modern. However, recent theories suggest that new categories may be added because in recent
increasing fame and many have signed contracts for production. Problems with these productions are also analyzed - the most significant is that the levels of production are not equal. Every time a piece of work signs a contract for production, fans are worried that the production will ruin their favorite novel. Experts hypothesized that in the future these TV series and movies based on online-novels will continuously be made, but there is no clue how much better these productions can get. By collecting data about the various productions, the dominant theme and the influence of settings and topics of the novels on their popularities have been discovered.
Research shows that the dominant theme of online-novel productions is love. Love stories are the mainstream of the industry, and most productions involve romantic elements. Romance has always attracted people from William Shakespeare's Romeo and Juliet to today's Titanic. Of the collected data, 68.9% of the productions mainly describes love stories. These novels may be set in all kinds of different settings from a traditional high school to a fictional world, but all the stories describe how a male and a female fall in love with each other and become a loving couple after various challenges.
