Paradigm of Modeling a Business Development in Agro-Industrial Region

Abstract

The specificity of agro-industrial regions in depression is manifested in lagging behind the average growth rates of the economy, the quality of life and employment of population, subsidized dependence, insufficient use of production factors, technology, innovation, low potential of small, medium and large businesses. The development of state and regional entrepreneurship support programs does not ensure the complete activation of business, which increases the relevance of the search for paradigms and the modeling strategies for getting out of the situation. Systems theory and systematic analysis, matrix modeling of industrial and entrepreneurial activities, systemic dynamic modeling, statistical analysis, theories of uneven economic development and spatial business projections, conceptual methodological approaches to the formation of an entrepreneurship development strategy were used in the study. Formation of the paradigm of modeling a business strategy in an agro-industrial region is based on the study of theories, methods and analysis of the role and trends of changes in the position of small and medium-sized enterprises (“SMEs”) in the economic system of a region. As a strategic priority for overcoming the depressive phase by regions of the North Caucasus Federal District, researchers call an integrated strategic business management system based on the combination of institutional factors: regional authority and entrepreneurship. The use of a matrix modeling model in the SME development planning strategy allows removing the imbalance between production and consumption and improving the results of functioning of SMEs as part of the economic system of the region.