Serhiienko Yuliia, PhD student of the Department of Economics and Business, Kharkiv National University of Civil Engineering and Architecture, Kharkiv, Ukraine

ORCID ID: 0000-0001-9957-3631
e-mail: sergiienko.science@gmail.com

Concept and Essence of the Enterprise as a Socio-economic Institution

Abstract. Introduction. The article is devoted to the study of the essence of the concept of “enterprise” as a socio-economic and legal institution that has a set of economic, organizational and legal features. The article describes the category of “enterprise” as a complex, dynamic, open system in terms of different approaches, industries and areas of activity.

Purpose. The purpose of this article is to determine the role of the enterprise, its function and consider its integration into the economic system of the highest level – the region and the country.

Results. The author presents the definition of the concept of enterprise from the point of view of the legislation of different countries of the world and gives the characteristic of development of domestic enterprises. It is found that the enterprise as a socio-economic and legal institution has a certain set of economic, organizational and legal characteristics, which qualify it as a business entity and a subject of law. With the help of these features, we can unify the legal status of enterprises of all forms of ownership and branches of the national economy. Characteristics of development of domestic enterprises are also presented in the article. It is established that today in Ukraine there are more medium and small enterprises than large ones.
The driving force of the creation, operation and development of the enterprise is the activity that is always related to the interests, the coordination degree of which forms its economic freedom, reaching a certain level of economic security. In the broadest sense, the concept of economic activity is used in relation to enterprises, which means any activity, including entrepreneurial, related to the production and exchange of tangible and intangible goods.

Conclusions. It is determined that the activity of the enterprise can be diversified by types and it is concluded that the enterprise is a statutory economic entity, which is a complex, dynamic, open system, the functioning of which is probable. The obtained results and their practical significance lie in the fact that they can become the theoretical basis for further research of the activity and functioning of Ukrainian enterprises.

Keywords: enterprise; security; economic security; management; enterprise management.

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