THE MANAGEMENT ENTERPRISE DEVELOPMENT BASED ON SUSTAINABILITY PRINCIPLES

Abstract

The article examines the problem of managing the development of agricultural enterprises based on the principles of sustainable development under current global and national challenges, including European integration, climate change and the post-war recovery of Ukraine’s economy. The purpose of the study is to provide an empirical substantiation and demonstration of the consideration of environmental, social and governance principles when developing a strategy for further enterprise development, taking into account foreign and domestic experience. The authors’ contribution consists in the systematization of specific practices and financial instruments that transform these principles into effective mechanisms for managing the development of agricultural businesses. The paper provides a detailed analysis of European eco-schemes within the Common Agricultural Policy, sustainability-linked loans, carbon farming mechanisms and programmes of international financial institutions. The scientific novelty of the research lies in revealing the mechanisms of transforming environmental, social and governance requirements into direct financial advantages for agricultural enterprises. It is shown how the implementation of sustainable practices ensures access to preferential financing, reduction of the cost of capital, additional income from carbon certificates and increased investment attractiveness. The practical significance of the obtained results consists in the possibility for Ukrainian agricultural enterprises to use the identified instruments to strengthen competitiveness, increase resilience and adapt to the requirements of the European market. Based on the analysis of the experience of European Union countries and the activities of leading Ukrainian companies, it is substantiated that the systemic implementation of environmental, social and governance principles ensures a transition from fragmented corporate responsibility measures to a holistic system of strategic management. The conducted research indicates that the integration of these principles into the activities of agricultural enterprises is an effective tool for forming long-term competitive advantages and an important factor in ensuring the sustainable development of the national economy under conditions of institutional transformations.