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ALFRED NOBEL UNIVERSITYALFRED NOBEL UNIVERSITY DNIPROPETROVSKDNIPROPETROVSK

DEPARTMENT OF INTERNATIONAL FINANCE AND DEPARTMENT OF INTERNATIONAL FINANCE AND BANKINGBANKING

Student: K. Harus

Scientific supervision: S. Kuznetsova, Doctor of Economics, Full Professor

Management of financial Management of financial resources of trade resources of trade company with Paul company with Paul

Krugman's model Krugman's model (based on (based on

materials LLC “MWM-GROUP")materials LLC “MWM-GROUP")

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SECTION 1. THEORETICAL FRAMEWORK FINANCIAL RESOURCES ENTERPRISE AND MODEL Paul Krugman1.1 The essence of financial resources1.2 Theoretical aspects of financial management of the company1.3 Model Paul Krugman as a tool for financial management1.4. Assessment of financial management of commercial enterprises in Ukraine

SECTION 2. ASSESSMENT FINANCIAL RESOURCES LTD LLC "MWM-GROUP"2.1 Organizational and economic characteristics of LLC "MWM-GROUP"2.2. Assessment of the financial resources of LLC "MWM-GROUP"2.3 Critical analysis of the financial management of LLC "MWM-GROUP"

SECTION 3. IMPROVING FINANCIAL RESOURCES LTD LLC "MWM-GROUP"3.1 Improving the financial management of LLC "MWM-GROUP" through the introduction of the Balanced Scorecard3.2 Testing the model Paul Krugman in the management of financial resources in terms of randomly-structured economy of Ukraine (data for 2012).3.3. Adaptation and use of financial management model to Paul Krugman in low economic activity in 2013

SECTION 4. HEALTH AND SAFETY SITUATION IN NADZVYCHANYY of LLC "MWM-GROUP"4.1. Occupational safety and health at the LLC "MWM-GROUP"4.2. Safety in emergencies at the LLC "MWM-GROUP"

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The purpose of the study is a theoretical synthesis and development of practical recommendations for the management of financial resources and adaptation to use Paul Krugman model

The object of the investigation is financial resources and the macroeconomic indicators used for analysis

The subject of the investigation is the management of financial resources and the Paul Krugman model “Analysis of trade patterns and location of economic activity”

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The relevance of the study. Efficient operations of any

business structure depends on the quality of its financial management. This necessitates the development and

improvement of the theoretical foundations of financial resources for their implementation in solving practical

problems. An important direction of improvement is just financial management. Background research identified the fact

that in today's competitive any business entity can only provide effective financial management.

The development of a market economy in Ukraine under randomly structured economy requires finding new ideas in

financial management, because the study of the formation and distribution of financial resources as an important factor in

increasing the efficiency of enterprises is of particular relevance.

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Elements of financial resourcesElements of financial resources

Authorized capitalAuthorized capital

Additional capitalAdditional capital

Reserve capitalReserve capital

Ensuring the future paymentsEnsuring the future payments

Undistributed profitUndistributed profit

Bank creditsBank credits

PayablesPayables

Borrowings from the sale of bonds of its own Borrowings from the sale of bonds of its own emissionemission

Figure 1. The main components of financial resources

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Y – Urban population X 1 – Rural population X 2 – Exports X 3 – Imports X 4 – Financial results of enterprises in regionsХ 5 – Capital investmentsX 6 – Indices of industrial production in regions

Macroeconomic Indicators of Macroeconomic Indicators of Ukraine in 2012 and 2013Ukraine in 2012 and 2013

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Correlation Coefficients of Macroeconomic Indicators

Population 2012 (Ukraine)

Urban

population Rural

population Export Import Profit Investments Price

Urban 1 Rural -0,18 1 Export 0,94 -0,29 1 Import 0,56 -0,43 0,53 1 Profit 0,69 - 0,26 0,83 0,23 1 Investments 0,76 -0,30 0,68 0,93 0,34 1 Price -0,16 0,14 -0,27 - 0,06 - 0,27 -0,10 1

Population 2013 (Ukraine) Urban

population Rural

population Export Import Profit Investments Price

Urban 1 Rural -0,17 1 Export 0,91 -0,33 1 Import 0,49 -0,42 0,59 1 Profit -0,28 -0,15 -0,12 0,53 1 Investments 0,82 -0,25 0,83 0,83 0,21 1 Price -0,36 0,24 -0,3 -0,04 0,23 -0,24 1

Table 1. Correlation Coefficients of Macroeconomic Indicators of Ukraine 2012

Table 2. Correlation Coefficients of Macroeconomic Indicators of Ukraine 2013

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Regression Analysis of Macroeconomic Indicators

R2 2012 – 0,96 after the re-calculation of model – 0,95Value F – 0% after the re-calculation of model – 0%P- Value: The number of the rural population 84%, Profit (financial results

of enterprises) – 29%, Price (indices of industrial production) – 14% after the re-calculation of modelExport – 0% Import – 0% Investments – 0%

R2 2013 – 0,93 after the re-calculation of model – 0,93Value F – 0% after the re-calculation of model - 0%P- Value: The number of the rural population – 61% Import – 43%, Price –

75% after the re-calculation of modelExport – 0%, Profit – 0%, Investments – 0%

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Regression Analysis Results of Macroeconomic Indicators of

Ukraine in 2012 and 2013

Y = 286,11 + 0,151 Х1 – 0,077 Х2 + 0,070 Х3 where Х1 – Exports 2008, Х2 – Import 2008), Х3 – Capital investments in 2008

Y = 383,1 + 0,239 Х1 – 0,241 Х2 + 0,212 Х3

where Х1 – Exports in January - September 2009, Х2 – Profit (financial result from activities before

taxation in 2009), Х3 – Capital investments in January-June 2009

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Hence, we can see confirmation of Paul Krugman's theory that in regions with large populations there are a greater concentration of industry and lower commodity prices, so that the function can be regarded as proven.

Thus, we can make a conclusion that the tendency suggested in Paul Krugman's model gains wide scope in Ukraine as well.

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The report is finished

 Thank you for your attention!