economy

What is a regional market? Formation, management, analysis, problems of regional markets

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What is a regional market? Formation, management, analysis, problems of regional markets
What is a regional market? Formation, management, analysis, problems of regional markets

Video: Winning in developing markets 2024, June

Video: Winning in developing markets 2024, June
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Many people ask, what is the regional market? How does he work? What problems does he have? We will consider these and other questions in the article. The development of the regional economy, the unification of business entities and the division of public work in national and regional production determine the functioning and formation of the regional market.

Definition

The regional market is a territorial sphere of commodity circulation. For example, market analyst A.S. Novosyolov claims that the regional market is a territorial organization of the sphere of circulation, where the interests of consumers and producers are coordinated. Many authors, taking into account the opinions of their predecessors and their personal vision, try to grasp the basic elements that characterize the local market in the definition.

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Analyst S.N. Alpysbaeva believes that the regional market is a geographically limited, open and highly organized system of trade relations and ties, through which bidders and bidders come in contact, supporting the circulation of material, material, credit, financial and cash flows in the region and for its limits, as well as the evolutionary formation of a new institutional environment in the region.

System

Agree, the regional market is a complex system. In the above definitions there are no fundamental parts of the content of the regional market, such as natural relations: relations of competition, property, individual reproduction, conditions of activity, the law of value. Given these comments, we can give the following definition of the regional market: the nature of the local market is expressed by the economic and social relations of purchase and sale, which allow for the distribution and exchange of services and products based on cost analogs, taking into account supply and demand, creating a connection between the appropriation and disposal of property for ensuring private and regional reproduction, subjects of management, consumption and production in conditions of insufficient resources and a competitive environment.

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In this formulation, the regional market as an economic territorial phenomenon refers to an open system with a complex organization. The mesory market (territorial market) is always understood as an open system with an intricate organization, and therefore it is unnecessary to introduce these parameters into its interpretation.

Influence

We will consider the development of the regional market further, and now we will study its structure. It is known that the regional market also affects the superstructure components: the institutional world. However, the local market reveals this process as a factor of influence on foreign economic details, which appears as secondary and does not apply to the content parameters of this economic phenomenon.

The local market is primitively displayed as a group of market relations in a certain area.

If we take it from the point of view of continuous economic action, then such a market is an integral part of the mechanism of market canons: the law of competition, value, supply, demand and others. In this case, the projected correlation of local market relations between demand, price and supply of services and goods will be a facilitated variation.

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The district market (mesory market), based on the size of the terrain, will be divided into such intra-regional markets:

  • micromarket - a type of market on the lands of a metropolis or regional region;

  • mini-market - a market in a metropolitan area or settlement;

  • local market - a market of a certain territory;

  • Nanomarket - commercial relations of sale at the exact place or point of action.

If we analyze the regional division of Russia, then the regional market will include the markets of economic zones, subjects of the republics, and so on.

The development and formation of markets in the region

How is the formation of regional markets? The region can achieve the best results when it actively participates in the regional fragmentation of work and the development on its basis of convenient economic and trade relations both with the outside world and with partners within the region.

At the transitional stage, new economic relations of business entities that own different forms of ownership appear in the regional economy. They are caused by the rupture of eternal economic contacts, the transformation of the economic structure and the creation of new trade relations. A decisive role in the development of these ties belongs to local markets.

With the evolution of regional economies, the emergence of new forms of commercial relations, the deepening of residency in the circulation zone, various types of local markets are being developed: financial, consumer, the market for implements, and others. The subjects of the regional economy have a need for a wide range of both general market and original types of services (credit, financial, intermediary and trade, information, foreign economic, economic and legal).

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The current economy requires the development in each area of ​​effective means of executing cash payments, powerful commercial and warehouse complexes, information and trading networks, and more.

State of the art

When analyzing the regional market, it is necessary to pay attention to its level of development. If it is insufficient, then business activity is reduced, the development of production is weakened, the normal reproduction process is disrupted.

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The institutional structure of the system of regional markets is shown by concretized business entities, a group of economic ties, infrastructure details and distribution channels. The composition of the subjects of local markets and their activities vary depending on the type of market. The connections between different types of markets within the device can be multifaceted and bilateral, while emphasis is placed on relations with the outside world. Regional markets are isolated in the surrounding layers due to the special relationship with these layers.

All local markets are interdependent and cooperate in the interests of subjects of trade relations. In this case, the prerequisites for the regional reproductive process mature. The interaction of local markets is carried out by a self-governing mechanism of regional relations and the coordinating invasion of the state and regional authorities.

Regional markets are formed as an open company, responding to both hidden and external social, economic and political situations. All the processes of creating markets and the actions of subjects of trade relations depend on the qualitative and quantitative characteristics of the economic space.

Economic space

The effectiveness of the economic zone depends on the structure and capacity of consumption within the region and the range and nature of production. This subordination programs the signs of the processes of movement of goods and schemes of financial and economic-trade relations. The open nature of the local economy is generated by an appropriate approach to the economic zone, within which the reproductive process is carried out and local markets operate. In view of this, it is necessary to distinguish between internal and external economic ether, since each occupies an exact place in the formation of dependencies and interconnections between subjects of the regional economy.

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The external economic zone is crucial for the work of all subjects of the regional economy. Domestic economic ether includes the prerequisites and conditions for the operation of the system of regional markets.

To ensure the production of services and products, the details of the economic reserve should be constantly revived as required by scientific and technological progress. This becomes possible on the basis of regional exchange with a mature system of local markets.

The domestic economic zone is the basis of regional reproductive cycles, providing conditions for the active work of manufacturers and the growth of living standards of the population. The presence of these cycles provides horizontal connections in the system of regional markets, taking into account the interests of the subjects of the local reproductive process.

Thus, regional markets are a means for the continuous reproduction of productive forces and economic relations. Markets combine the internal and external economic ether of the regional reproductive process.

Concept specificity

Every specialist should know the features of the regional market. In general, local markets are dynamically modifying systems that own the structure, are divided into several types and perform a number of functions.

The identity of the regional markets lies in the presence of economic and social ties that appear between the producer of the product and the consumer (in the process of transactions).

Mature markets of certain areas are included in the general structure of the national (national) market.

Kinds

It is characteristic that competition, demand, and also a variety of forms of accumulation led to the fragmentation of local markets into the following types:

  • capital investment market;

  • consumer goods;

  • financial market (mortgage, monetary, securities);

  • material production services;

  • residential and commercial real estate;

  • labor market;

  • land objects;

  • innovation and information markets.

Control

Management of regional markets implies the influence of management entities on the object for the achievement of goals planned in advance. The regional authorities set these goals in the framework of the program-targeted method.

The basic goals of control over local markets are a guarantee of balanced markets in the region, ensuring the economic return on the development of the region, and satisfying the needs of residents.

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The objects of the institution are enterprises, population, organizations, agricultural firms, objects of the social market infrastructure of the region.