FINANCIAL ASPECTS OF TAKING INTO ACCOUNT OF NEW ECONOMIC RISKS IN THE ACTIVITY OF ENTERPRISES

Authors

DOI:

https://doi.org/10.18371/fcaptp.v4i39.241330

Abstract

Abstract. The economic development of enterprises in the world and in Ukraine in 2020 and in the future will increasingly depend on taking into account new economic risks, among which it is appropriate to note the following: climate, epidemiological (especially coronavirus), deglobalization, protectionist, populist, inequality income.

Against the background of the coronavirus pandemic and the resulting economic crisis, the sector of domestic small and medium-sized businesses focused on the provision of offline services has suffered the most. In fact, the demand for the services of catering, entertainment, tourism, hospitality, as well as the beauty industry and non-food retail in quarantine has fallen several times. At the same time, the need to pay wages, taxes, social security contributions, rents, loans to banks and counterparties for supplies and other services remained. At the same time, all types of businesses that have not had time to switch to providing goods and services online or adhere to business models related exclusively to the provision of personal offline services are at risk of bankruptcy in the future.

The consequence of quarantine will be an economic crisis, and, consequently, a reduction in purchasing power and a change in consumer behavior. In general, there has been a violation of the traditional seasonality of sales, changing trends due to falling consumer incomes. At the same time, digital services are accelerating e-commerce, payment systems, online ordering, and delivery services. Also, among other economic risks in the activities of enterprises, special attention is paid to the need to identify and assess financial and climatic risks that arise due to restrictions imposed by international organizations and individual countries on business.

Accordingly, companies engaged in climate-hazardous activities must calculate their financial losses in the future if they continue such business. Another problem is the fact that financial and climatic risks and other new economic risks have not been sufficiently studied and systematized, and their impact on the financial condition of enterprises in the world and in Ukraine has not been studied.

Keywords: new economic risks, enterprise, deglobalization, protectionism, economic populism, economic inequality, Ukraine.

JEL Classification D21, E44, G30, Q32

Formulas: 0; fig.: 2; tabl.: 0; bibl.: 14.

Published

2021-09-10

How to Cite

Karlin М. ., Stashchuk О. ., & Borysiuk О. . (2021). FINANCIAL ASPECTS OF TAKING INTO ACCOUNT OF NEW ECONOMIC RISKS IN THE ACTIVITY OF ENTERPRISES. Financial and Credit Activity: Problems of Theory and Practice, 4(39), 376–386. https://doi.org/10.18371/fcaptp.v4i39.241330

Issue

Section

Economic-theoretical aspect of Financial Credit System's development

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