EFFECTIVENESS COMPARATIVE ANALYSIS OF APPLYING SPECIALIZATION AND DIVERSIFICATION IN AN INDUSTRIAL ENTERPRISE
Today it is getting harder and harder for companies from all over the world to stay in the market, as doing business is associated with great risks. It is especially difficult for young enterprises that have just opened or are at this stage. When a certain group of people make a decision to open an enterprise and run a business, then one of the main questions that, as a rule, should first of all arise for them - what the company will do and according to what strategy it will carry out its main activities. There are a great many development strategies, but the most common of them are two, diversification and specialization. One strategy involves production and trade concentration on one type of goods, while the other strategy is its absolute opposite, as it involves the creation of several product lines that are in no way connected with each other, and the sale of these goods is done to different sales markets. In this article, a comparative analysis of using diversification and specialization strategies was carried out; the analysis was fulfilled on the basis of considering the positive and negative aspects of these strategies. The result of the research was the conclusion that diversification strategy is the more effective than the specialization strategy, since the number of positive and negative aspects of using the diversification strategy is the same, in the case of the specialization strategy, it was found that the number of its disadvantages exceeds the number of advantages from its use. Based on this information, the conclusion of the study was made.