Socio-economic development of Ukraine

PROSPECTS FOR REFORMATION OF ECONOMIC AND LEGAL MECHANISMS OF SUBSOIL USE IN UKRAINE

Semenikhina Viktoriya Viktorovna

Assistant of Management Department

Kremenchuk Mykhailo Ostrohradskyi National University, Ukraine

The article deals with the process of reformation of mining industry and intense subsoil use, which requires constant improvement of legal support, rationalization and ecologization of subsoil use. The more intensely natural resources are used, the more carefully they should be exploited, especially, it concerns the nonrenewable resources: recently the world community has been lacking in nonrenewable natural resources. The author offers to consider the balanced use of natural resources as the state economic function including management and regulation of ecological and economic relations.

Keywords: mining industry, mineral-raw resources, subsoil use, economic and legal mechanisms, license for extraction, concession.

Problem statement. Nowadays the interaction of society and nature in the sector of natural resources use is of great importance. Mankind faces two basic problems that are closely related to the environmental management in general and to the use of mineral resources in particular: the influence of natural resource scarcity on their use and social production development, the negative and increasing environmental pollution and the necessity of creation of measures on liquidation of this threat for the further development of society.

Alongside with the above-defined global issues, the environmental issues and rational use of natural resources have a strongly pronounced regional character and perform a particular role in the intensification of production, based on the achievements in the scientific and technological progress. Therefore, the only alternative to solve these problems may be reformation of economic and legal mechanisms for the mineral resources use.

Analysis of recent researches and publications. The problems of conceptual design of productive forces harmonious development are concentrated in the national policy of natural management. These issues have been studied by many Ukrainian scientists: I. Andrievskiy [1], B. Danilishin, M. Korzhnev [2], V. Mishchenko [4], V. Kosterin, V. Ostroveskyi. For example, Andrievskiy I. pointed out that at present there is no clear differentiation of powers of authorities on the regulation of relations in the subsoil use; as a result it is impossible to determine the degree of responsibility of each of them based on the analysis of existing economic and legal mechanisms of subsoil use regulation. Mishchenko V. argues that despite the relatively long period of market reforms in Ukraine the relationship of centralized economy has remained, as the government continues its policy of unaddressed custody of exploration work based on inadequate market environment of economic and legal mechanisms subsoil use.

Previously unsettled problem constituent. The current situation requires a radical and coherent approach to the existing national ecological and economic problems solutions. The interest to the problems of effectiveness increase of mineral resources use in Ukraine by the authorities, the scientific community in recent years has increased significantly. Some factors of market economy require a reassessment of traditional natural resources of Ukraine and the prospects for their effective use. Unfortunately, the system of state regulation of mineral resources use in our country does not currently meet the requirements of a market economy and has a bulky structure; its separate elements are duplicated.

It is also should be noted that the out-of-date techno-economic equipment of Ukrainian mineral resources users and economic problems stipulate the necessity of liberalization process of natural resources use concerning possible investment by domestic and foreign investors in the modernization of mining equipment, the introduction of high-tech and energy-saving technologies.

Main purpose of the article. The conducted research is based on the scientific concepts and theoretical developments by scientists of our country and foreign scholars in the direction of environmental management, namely, in the organization of rational mineral resources use. The information base of the research consists of legislative and normative documents on economic and state administration issues in the sector of mineral resources use, materials of publications by leading scientists on this issue, the statistical data.

Results and discussions. In the process of economic development of Ukraine the rational use of natural resources, in particular, land and source of raw materials has always been and remains significant. According to the Council on Productive Forces Study of NAS experts' views the total cost of natural resources of Ukraine in world prices in 1996 were about $ 5.002 trillion, while land resources were 72% and mineral resources — 26%, other resources — almost 2% of the total cost, so for the Ukrainian economy the land and mineral resources are fundamental ones. However, this does not diminish the role of water, forest, recreational resources, resources of flora and fauna in creation of the necessary conditions for life activity of the Ukrainian people and sustainable development of the country as a whole.

In the Soviet government times, the natural resources were in the so-called «national property», but it did not become the basis of their rational use. All the natural resources of Ukraine, except part of farmland transferred into private ownership, are the property of the Ukrainian people. This is a constitutional right fixed in number of normative legal acts creating a legal system for natural resources use [1, p. 105).

Ukraine belongs to the regions with a high level of geological explored areas, significant reserves of mineral resources and the capacity of their involvement in the economy. Today in its interior there are about 20,000 deposits of 114 kinds of minerals of natural and anthropogenic origin. In the past, the share of the mineral complex of Ukraine was one third of productive assets, almost 40% of annual funding, a third of foreign exchange earnings, producing about 5% of global mineral resources, while territory is only 0.4% of the world territory [2, p. 38].

The basic normative document regulating relations in the sector of mineral use is Code of Ukraine «On Subsurface» consolidated the state control over the use of mineral resources. The basic requirements of subsoil geological exploration, accounting, public examination and evaluation of mineral resources reserves, the state control are regulated within the Code.

Cabinet of Ministers of Ukraine adopted a number of regulatory acts. In addition, the use of mineral resources, including geological exploration is governed by the Laws of Ukraine «On state regulation of mine, production and use of precious metals, precious stones and control over the operations with them», «Mining law», «On oil and gas», «On mining and processing of uranium ores» .

At the same time, the current legislation of Ukraine is behind the needs of market regulation in the economic conditions, that is, there are no unambiguous economic and legal mechanisms to facilitate broad investment in the mining sector. It is easy to explain a low level of foreign investment, if for the industry in Ukraine in 2007 it was attracted to 49.8% of foreign investments of their total volume, the mining sector attracted only 3.2% [6, p.90].

There are two basic systems of provision the right for mineral resources use: administrative (licensing) and the contractual system. Within the administrative system the right of use of mineral resources is based on state resolution issued in the form of licenses, patents, permits and other documents. In this case, the state acts as an authoritarian entity granting the right of subsoil use in the administrative order determining the fundamental conditions for subsoil use. Within the contractual system the right for mineral resources use is provided by means of the conclusion of contracts between the state and the investor, within the scope of civil law. The main forms of the contractual relations are the concessions, agreements on the distribution of products, lease, and various forms of contracts.

However, the contractual and administrative systems for provision of subsoil actually do not exist in their pure form. In most countries there is a process of mutual influence and additional administrative and contractual systems use of subsoil.

In many countries, the provision of subsoil use for exploration of mineral resources takes place on the basis of permits, while mining can be carried out on a contractual basis. In countries where the provision of mineral resources mining can be carried out on the basis of the administrative system, the minerals are also available for use by national companies under state control, which in their turn in order to attract investment contracts conclude the contracts with investors for joint development of mineral deposits, and the distribution of the finished products in natural and in money terms. In fact, this mechanism is an agreement on the distribution of products and is typical for countries such as China, Azerbaijan, Egypt, Indonesia and Nigeria, where the national oil companies were established. Russia is the only country where the agreements on the distribution of products are regulated by a separate federal law and a party to the agreement appears not specifically authorized company but the state directly.

Ukraine uses only one rental form of mineral resources use. Unfortunately, production contracts are not being used, and laws restrict access of concessionaires to natural resources that is surprising as the concession of subsoil use is normal international practice.

Ukraine is among the top ten countries in terms of volume of natural resources mining. Every year we have extracted mineral resources at about $ 28 billion. Our country could additionally receive about $ 8 billion by means of the active use of the latest global technologies, even not taking into account an increase in mineral resource mining.

According to the author one of the ways to solve this problem is the implementation in practice of concession relations. Concession is a provision by the authorized government body to a foreign investor for a particular price and for a specified period of exclusive rights to the special use of natural resources, carrying out of economic activities related to the use of objects owned by the state. Concession facilities are land, mineral resources, forests, water; selection of concessionaires usually takes place on a competitive basis. Concession form of raising capital is widely used in developed countries, and the beneficiary will be the one who passes the object to the concession and the concessionaire itself. So, in 80s of XX century the legislation of more than 120 countries provided the granting of the concessions. They included the USA, Great Britain, China, Mexico and Norway. Even such leading states were not able to allocate the necessary capital to explore the field of the World Ocean.

Adoption of the law «On Concessions» makes it possible to speed up the process of foreign capital attraction in order to strengthen the scientific and industrial potential, tends to stabilize the economy. The problem of concession has not been settled by the national legislation and the necessity for this law is increasing every day. For example, in Ukraine it has been explored the deposits of metals, and for which there is no domestic production technology. World practice shows that in such a case it is advisable to transfer the natural resources in the concession. At this stage it is impossible, as there is no defined procedure of transmission of natural resources into the concession: there is no law defining the responsibilities of the parties, the terms of the contract, providing the order, the procedure of distribution of property after the termination of the concession.

Concession remains one of the fastest and «painless» for the state kind of investments attractions. By its means the state for a certain period passes the investor (concessionaire) its right to ownership of the facility. In turn, the concessionaire (subject to the signing of the concession contract and the payment of concession) disposes of the object of state or municipal property without permission and gets some profit from it. Suppose the investor takes a certain company to the concession, completes it or arranges the production, while during the concession agreement all profits belong to the concessionaire. On expiration of the concession, the investor returns everything (including the purchase of equipment) to the state. Thus, the state, which itself is not able to «bump» the company is doing so at the expense of the investor, providing time for the right to manage a specific enterprise. However, concession is somewhat different from the lease. First, the concession objects are passed to the state or municipal ownership, they are uninsurable for privatization. In addition, the concession contract is for a longer period (according to Ukrainian legislation, the lease is for not more than three years, the term of the concession is not less than 10 and not more than 50 years). On the expiration of the lease contract the entrepreneur must return to the state only leased property, the concessionaire — the object of the concession with the basic means of production.

Law of Ukraine «On Concessions» has its own history. In 1993, the Verkhovna Rada of Ukraine made the attempts to accept it, but to no avail as the Communist faction blocked the process, their argument was «concession will lead to the plundering of the national wealth». In 1999, the Law «On concessions» was adopted, however, it should be stated the fact that there is practically no rule to implement in similar legislation in other countries as a concession «in Ukrainian» does not provide access to natural resources. Although the history of Ukraine concession has also left its mark: at the end of the nineteenth century it was founded modern Donbas region by Englishman John Hughes who signed the concession agreement with the government of Russian Empire at 24,000 pounds.

Imperfection of national legislation in the sector of mineral resources use creates some artificial problems for subsoil users of all forms of ownership. That is why in Ukraine the industrial development of new mineral deposits, except ornamental stones, has practically been suspended.

Conclusions and further researches directions. Functioning of economic mechanisms of subsoil use and conservation activities are only possible in the legislative framework in order to ensure the rational use of mineral resources. Reformation of economic and legal mechanisms for subsoil use should be based on the establishment of such economic relations in the mineral resource sector, in which the national economy would have developed steadily, the state budget was replenished in the planned volumes with simultaneous and compulsory provision of the mineral resources rational use, balance of the interests of mining companies, regions and the state.

The objective necessity for further research in this area naturally arises taking into account the regulation of environmental aspects of mineral resources use, as mining process lasts for decades and the impact on the natural environment has been already shown at present and continues to accumulate in many years.

APPLICATION OF CYCLICALLY ORIENTED FORECASTING: MODERN APPROACHES TO BUSINESS MANAGEMENT

forecasting ukrainian energy economic

Kologryvov Yaroslav Igorovych

Post-graduate of Management Department,

Faculty of Management and Marketing, National Technical University of Ukraine

«Kyiv Polytechnic Institute», Ukraine

We have identified the necessity to use cyclical forecasting in business and a sequence of development of this method based on innovation and expertise. We have further determined possible transitions between innovations which implies that technological advancement significantly facilitates growth. We have analyzed functional dependence of S-curve with the learning curve in identifying the zones with most potential growth, accelerated growth, and zone closest to asymptote.

Keywords: management, recurrence, prediction, energy.

• Problem statement. Business management based on cyclically oriented forecasting is an integral part of the process of business organizations operation at the present stage of economic development, special attention should be paid to the effect of «periodicity in development» on management and technological processes. A significant effect over5 recent years was caused by the global economic crisis. This crisis forced business owners and top managers to solve some tasks that required substantial revision of both the processes used in their business and business technologies. After all, these types of crises cause the transition from one technological structure to another and use of a new paradigm in business. The success of industrial and commercial activities in the current development of economic relations is possible under the condition that the expected changes are quite significant and global. Important objectives are set for both the owners of business entities of various levels, and for scientists dealing with retrospective analysis, study of the current state of the economy and forecasting problems.
• Analysis of recent researches and publications. The study of business processes for significant period of time is marked by the presence of cyclical changes in their basic characteristics and parameters [1, 2, 3, 4]. In particular, for majority of industry fields one of the main factors that significantly affects this cycle, are the technical and technological innovations, that in turn cause changes.
• Moreover, in literature there are different approaches to definition of the enterprise life cycle, starting from. The author [9, p. 374] notes that «the life cycle of the enterprise» is a period of time from its foundation and to the time when it stops operating or is updated on new foundations. S.V. Koryahina believes that «the life cycle of the enterprise is a set of steps that form a complete development circle during a certain evolution period of the company, after which its values?? and activities can absolutely change» [10, p. 26]. The definitions mentioned, and other definitions describe the process of cycling in business itself, but there are still a number of issues left concerning the problems of forecasting on the basis of periodic processes.
• Previously unsettled problem constituent. However, a number of issues remain unresolved and they are directly related to the process of business management based on cyclically oriented forecasting.
• Main purpose of the article. The objective of this paper is to determine the characteristics of business operation in modern conditions (effect of global economic crisis, operation in the «knowledge economy»). Research methodology is based on scientifically-oriented approaches to the study of cyclical processes and prediction of business development options. System approach to forming sequence of developmental stages based on production of basic innovations with the use of knowledge is applied.
• Results and discussions. In the first place, forecasting has a significant impact on the development of high-tech business areas. These areas are the most dynamic. In particular, the use of achievements in business lead to the emergence of fundamentally new areas. Thus, the emergence of knowledge about nature of electric charge and magnetic field led to the discovery of electricity, knowledge about nature of nucleus led to the further development of nuclear power. In future it is possible (hypothetically) to develop this energy sector at the level of quarks and quanta, etc. In this series of transition from one basic innovation to another the most impact is caused by the category of «knowledge». Fig. 1 conventionally represents this process.

In our case, the process of transition to the next fundamentally new basic innovation is directly related to the use of certain knowledge, accumulated over a certain period of research. Today it can be explained with the term «knowledge economy», which is specific for the present stage of humankind development, and is especially popular for highly developed countries, newly industrialized countries and the so-called, smart-countries.

Fig. 1. The sequence of development of science and technology direction based on the basic innovations production with the use of knowledge

Efforts towards the development of selected technologies enable to intensify business activity of specific industry field, they can contribute to increasing of competitiveness level, and eventually to formation of a new industry. So, today in the field of energy it is possible to make significant breakthrough on the basis of achievements of cold fusion and elementary particles (basic research on hadron collider). By the way, the important part is state support for the development of knowledge-based and innovative business that needs to be implemented by the following ways:

1) adoption of relevant legislation;

2) resources provision for enforcement of fundamentals stipulated by law;

3) support for international cooperation, especially in the process at the stage of basic research.

The Laws of Ukraine «On scientific and technical activities» [5, p. 2 — 31] «On priority directions of innovative activity in Ukraine» [6, p. 2 — 93] for a significant period of time help to increase the efficiency of business and research activities.

These laws identify the priority areas of knowledge-intensive industries of information technology, computers, aircraft, aerospace technology, radioelectronics and others.

Business structures whose main activity is the realization of innovations constitute the basis of industrial complex in innovation directed economy, including «knowledge economy», the economy based on the latest knowledge. It should be noted that at the beginning of the intensive development of «knowledge economy «, namely in 2000, the world high technologies included biotechnology, medical technology, optoelectronics, computers and telecommunications, electronics and flexible automated production modules, new materials, aerospace technology, weaponry, nuclear technology [7, p. 314, 481 — 540]. At the moment nanotechnology, information and communication technologies (or infocommunication) were included to the list.

Technological factor significantly contributes to the development of practically all industries, opens the possibility to achieve higher values of financial indicators. This, in turn, helps to move the industry to a higher stage of development, and consumers get absolutely new products and services. However, one element of forecasting worth considering is such effect of increase as saturation region. In science, this functional dependence is characterized by Sshaped curve. Thus, the rate of indicator growth at some point starts to be limited by asymptote.

Fig. 2. Zoning of «learning curve» function and its derivative

Particular attention in this aspect should be paid to consideration of «learning curve», which involves identifying the following three zones 1) zonewith most potential growth; 2) zone of accelerated growth; 3) zone closest to asymptote.

Fig. 2 conventionally represents the learning curve function and its derivative, and typical zones for this function are shown.

Based on the information about possible development of a given area it is suggested to form specific requirements for certain elements of the management process. Fig. 3 shows the structure of the interrelation between certain elements included into business process.

Basis that starts the business process is the emergence of a specific basic innovation. This innovation generates a number of derivatives, which, in turn, have an impact on other components of the business process. Thus, the process of technological forecasting should include tracking of basic innovations.

Conclusions and further researches directions. The scientific research has shown that the incorporation of the cycling concept in forecasting of possible variants in business development can properly reflect management and technological processes. Based on the logical generalization the sequence of development of science and technology direction on the basis of production of basic innovations with the use of knowledge was figured out. This sequence defined transitions from one innovation base to another. In this case the use of a basic innovation is associated with a term of «knowledge economy» .

Fig. 3. Structure of interrelation between certain elements included into business process

It is shown that the technology factor significantly contributes to the development, opens up additional opportunities and helps to transfer the industry to a higher stage of development. A separate study is conducted in the field of application and analysis of the functional dependence of S-shaped curve with the «learning curve» and identifying the zones with most potential growth, accelerated growth, and zone closest to asymptote.

The analysis of power industry production activities on the basis of S-shaped curve and the «learning curve» principles requires further research.

• ROLE OF JUDICIAL PRINCIPLES AT CONSIDERATION OF BUSINESSES ABOUT OFFENCE OF COMPETITION LEGISLATION
• Prokopov Oleksiy Anatoliyovych
• PhD in economics,
• Ukrainian University of Finance and International Trade, Ukraine
• Antimonopoly Committee of Ukraine, Ukraine
• Legal norms stipulate application of and compliance with the procedural fundamentals. This is an important element of the participants equality principle during investigations and considerations of cases on competition law violation. Therefore the article describes basic legal norms that are applied by the bodies of the Antimonopoly Committee of Ukraine about the regulation of competition.
• Keywords: Antimonopoly Committee of Ukraine, competition law, violation, judicial principles.
• Introductіon. In Ukraine there is rapid development of market economy and competitive. State (represented by competent authorities and officials) must provide high-quality development, in particular through the development and implementation of government competition policy, actions and regulations of the competition. Competitive policy in our country is a complex of organizational and legal measures aimed at the development and protection of competition, monopolistic tendencies and overcome the unfair competition in Ukraine, the regulation of natural monopolies, promotion of financial, technical, information, innovation, advisory and other support entities that provide competition and development is carried out by authorized state bodies, local authorities and bodies of administrative management and control. State regulation of economic competition is carried out through a system of measures taken by the Antimonopoly Committee of Ukraine.
• Analysіs of recent researches and publіcatіons. Implementation research the substantive direction necessitated recourse to developments of scientists who studied some aspects of the Antimonopoly Committee of Ukraine. In particular, protection of competitive relationships studied L. Bila, A. Bakalinska, Y. Zhuryk, N. Korczak, S. Kuzimina, A. Chernelevska, I. Shumilo and others; general problems of regulatory impact on the state 's economy looked A. Andriiko, L. Voronov, T. Kravtsov, A. Oleschenko and others. Thus, in the present research on administrative law issues of administrative and legal status of the Antimonopoly Committee of Ukraine studied fragments, hence the need for the implementation of a comprehensive scientific analysis. In addition, the contradictions in the existing antitrust law determines the need for systemic changes in the formation of laws and regulations.
• Prevіously unsettled problem constіtuent. The organs of the Antimonopoly committee (farther — to Committee) begin consideration of businesses about violation of legislation about defence of economic competition after grounds certain the article of a 36 Law of Ukraine" About defence of economic competition" (farther is Law). The process of realization in matters about violation of competition legislation consists of such stages: raising action, investigation in business, decision-making, implementation of decision, verification of decision and second thought.
• Maіn purpose of the artіcle. In this scientific article it is identified the basic legal norms that are applied by the bodies of the Antimonopoly Committee of Ukraine about the regulation of competition. Legal norms stipulate application of and compliance with the procedural fundamentals. This is an important element of the participants equality principle during investigations and considerations of cases on competition law violation.
• Results and dіscussіons. A legislation about defence of economic competition, in accordance with the article of 3 Laws, consists of Laws of Ukraine «About defence of economic competition» [1], «About the Antimonopoly committee of Ukraine» [2], «About protecting from an unfair competition» [3]etc. Judicial norms of divisions of VI-IX of Law regulate realization in matters about violation of legislation about defence of economic competition, that is statutory and by Law «About defence of economic competition» [1], «About protecting from an unfair competition». At the same timethe law" About protecting from an unfair competition" contains the separate special judicial norms that set the features of realization in matters about an unfair competition.
• Separate judicial norms, that explain the judicial norms of the marked Laws, set by Rules of consideration of businesses about violation of legislation about defence of economic competition [4], ratified by the order of the Antimonopoly committee of Ukraine from April, 19, 1994 № 5, registered in Ministry of Justice of Ukraine on May, 6, 1944 after № 90/299, in the release, ratified by the order of the Antimonopoly committee of Ukraine from June, 29, 1998 № 169-р. with next changes and additions. Article 35. Consideration of businesses is about violation of legislation about defence of economic competition.
• 1. Consideration of businesses is about violation of legislation about defence of economic competitionbegun with the acceptance of order about beginning of trial of business and closesby a decision-making in business.
• 2.At the trial of business about violationof legislationabout defenceof economicto the competition organs of the Antimonopoly committee of Ukraine: collect and analyse documents, conclusions of experts, explanation of persons, other information that is proof in business, and make decision in business within the limits of the plenary powers; get explanations of persons, that participate in business, or any persons, after their solicitor or on own initiative.
• An order about beginning of trial of business about violation of legislation about defence of economic competition is a judicial document (by a judicial form), is the initial stage of competition process, the aim of that is to define the subjects of corresponding law-enforcement relations — participants of process — defendant, declarant, third persons, organ of the Antimonopoly committee, define an object and article of these relations (corresponding qualification of actions). From the moment of acceptance of order about beginning of trial of business the participants of process have judicial rights and judicial duties.
• Trial of business has for an object complete, exact and objective establishment of all circumstances that matter for the correct competition-legal estimation of certain act and him consequences, establishment of fact of violation of legislation about defence of economic competition, bringing in of violators to responsibility and removal of negative consequences of perfect violation.
• Realization in business about violation of legislation about defence of economic competition closed by a decision-making in business in accordance with the article of a 48 Law from the moment of closing of realization the judicial right and duties, related to the trial of business cease in business.
• During the trial of business about violation of legislation about defence of economic competition the organs of the Antimonopoly committee conduct judicial actions. sent to establishment of actual circumstances of business.
• A law does not conduct a clear limit between prosecuting an inquiry in business and by an acceptance a decision in business, including these two judicial stages of trial of business in a term «trial of business». At the same time, differentiation of these stages of the masses important value, taking into account that. that a decision-making on results the trial of business Law mainly attributes to the competense of collective organs, in what realized, though not fully (in the separate categories of businesses made decision the state authorized agents of the Antimonopoly committee individually), principle of collective nature at making decision in business. On the stage of investigation of business judicial actions in relation to collection and analysis of proofs are conducted by the office workers of the Antimonopoly committee, him territorial separations, what authorized agents on it by those organs of the Antimonopoly committee, that began the trial of business, about what registers in an order about beginning of trial of business. In accordance with points 20' and 20 Rules of consideration of businesses about violation of legislation about defence of economic competition of order about beginning of trial of business are accepted by such organs of the Antimonopoly committee — state authorized agent of the Antimonopoly committee and administrative college of territorial separation of the Antimonopoly committee.
• An order about beginning of trial of business about violation of legislation about defence of economic competition can be accepted only at presence of signs of violation of legislation about defence of economic competition, including consequences of such violation.
• Violation of legislation about defence of economic competition is acts that encroach on by legislation about defence of economic competition public relations. The types of such протиправних acts are envisaged in the article of a 50 Law, articles of a 4 — 19 Law of Ukraine «About protecting from an unfair competition». Fixing in the law of offences means determination of them legally meaningful signs inherent all offence of certain kind. Mostly there are the envisaged signs of objective side of offence in the marked Laws.
• Founding for raising action is sufficientness of data that specify in the presence of signs of violation of legislation about defence of economic competition. Sufficient are such data, that testify to the presence of certain actions the signs of that are envisaged in the article of a 50 Law, articles of a 4- 19 Law of Ukraine «About protecting from an unfair competition». Thus not necessarily, that they represented an act full and all-round. Establishment of these circumstances is the task of the next stage of realization in matters about violation of legislation about defence of economic competition.
• Raising action means bringing in to responsibility of person, the acts of that have signs of statutory violation, id est person in relation to that raised action. From the moment of acceptance of order about beginning trial of business about violation of legislation about defence of economic competition this person acquires judicial status of defendant. From this moment such person is right to know in which one violation legislations about defence of economic competition she is accused, acquires other rights for a defendant, that can avail in compliance with the legislation for the defence, and duties of defendant, that be under an obligation to execute. From the moment of raising action in relation to this person — a defendant is pulled down also corresponding judicial rights and duties corresponding organs of the Antimonopoly committee.
• From the moment of raising action a declarant acquires corresponding judicial status. An order about beginning of trial of business is sent during three working days term from the day of his acceptance.
• In an order about beginning of trial of business those circumstances (data) that testify to the presence of signs of concrete violation of legislation about defence of economic competition must be marked.
• The article of a 39 Law of Ukraine «About defence of economic competition» determines the circle of those persons, that participate in business and have the corresponding judicial status envisaged, in particular, in the article of a 40 Law, articles 25, 26. 29, 31 and to 32 Laws of Ukraine «About protecting from an unfair competition» [3], separate norms and rules of consideration of businesses about violation of legislation about defence of economic competition.
• A defendant in business is a person the acts of that contain the signs of violation of legislation about defence of economic competition. A person, that is marked in an order about beginning of trial of business about violation of legislation about defence of economic competition the acts of that contain such signs, confesses a defendant.
• During realization in business at presence of corresponding circumstances a defendant can be transferable. In case of establishment during realization in business, that to responsibility must be attracted another or a few persons, they are attracted as defendants in business.
• About replacement or bringing in of defendant disposing of is accepted that organ of the Antimonopoly committee, that jurisdiction question about raising action.
• Replacement or bringing in of defendant can come true only within the limits of signs of that violation and after those actions after that begun on the right. In another cases in relation to these persons other business must be excited in the set order, and instead of replacement of defendant — new business is excited in relation to other person and, if necessary, already broken in relation to a person business is subject to closing in accordance with the article of a 49 Law. Replacement of defendant is possible in case of his reorganization — change of legal form of defendant, joining of him to other person, confluence with other person.
• A declarant is a person that gave to the organs of the Antimonopoly committee in the set order statement about violation of legislation about defence of economic competition. In the cases when in accordance with an indention fifth of part of the first article of a 36 Law on the right broken on own initiative of organ of the Antimonopoly committee on the basis of corresponding statements and solicitors, person that handed in an application also is a declarant.
• A declarant public authority, organ of local self-government, is considered also, the organ of administrative management and control brought in that idea about violation of legislation about defence of economic competition.
• If a decision in business can substantially brush against rights and interests, охоронювані by this Law. Other person, these persons are brought over to participating of person in quality of the third persons. About confession the third person the organs of the Antimonopoly committee of Ukraine are accept an order, about what it is reported to the persons that participate in business, including person confessed by the third person.
• About confession the third person, disposing of is accepted that organ of the Antimonopoly committee, that jurisdiction question about raising action.
• Persons that participate in business have a right with the aim of defence of the interests to meet with materials of business. At the same time this right for the marked persons does not arise up from the moment of raising action, as to prosecuting an inquiry in business, to establishment of circumstances necessary for the all-round, complete and objective decision of business, the possible actions of persons that participate in business must not prevent the assembly of necessary proofs, what of them can accomplish (for example, to destroy possible proofs), knowing yet on the initial stage of investigation in business about the yet not set circumstances, about facilities and methods of investigation, source of receipt of proofs and others like that. On the stage of investigation of business to establishment of all necessary circumstances the secret of investigation is in business kept.
• All necessary for a correct decision matters of circumstance are set by means of proofs. By proofs in business there can be any fact sheets that give an opportunity to set a presence or absence of violation.
• The article of a 41 Law of Ukraine «About defence of economic competition» regulates the duty of finishing telling
• Under fact sheets it is necessary to understand not facts, but information about them. Facts are events, phenomena of reality, that can not be added to business. Therefore at finishing telling of presence or absence of these facts office workers and organs of the Antimonopoly committee, persons that participate in business, even if they perceived these events and phenomena directly, operate information about these facts, that get from explanations of parties and third persons, explanations of official persons and citizens, conclusions of experts and others like that. Information about circumstances is fixed in corresponding documents in the order set by Law.
• Explanation is: verbal or writing report by the face of information about any circumstances that is subject to establishment in business. Verbal explanations of parties, third persons, that contain data, that testify to the presence or absence of violation, fixed in protocol.
• Proofs in business are also explanations of persons, that does not participate in business and are not the judicial figures of process of realization in business, — official or post persons and citizens, that contain data that testify to the presence or absence of violation. These verbal explanations are reported. Protocol must be signed by a person that gives explanation, and at the refuse of person to sign protocol, about it registers in protocol.
• Before the grant of explanations a person that must give them is warned of responsibility at a grant in an incomplete volume or unreliable information. Organs of the Antimonopoly committee, authorized agents persons have a right to require the grant of verbal or writing explanations by them. In this case persons it is required from that are warned of responsibility for backing-away of information.
• Organs of the Antimonopoly committee of Ukraine on own initiative or after the solicitor of person that participates in business, have a right to appoint examination, what an order (The article of 43 Laws of Ukraine is «About defence of economic competition» [1]) is accepted about.
• Appointing examination and setting the circle of questions, that it follows to put before experts, the corresponding organ of the Antimonopoly committee of Ukraine has a right to ask suggestions of parties and other persons that participate in business. In an order about setting of examination questions are marked, on what necessary conclusions of experts, and person that will examine.
• Realization of examination is one of judicial facilities, necessary for establishment actual circumstances of business and comes true only under the Law.
• An expert is a person that owns scientific, technical, sociological, economic or other knowledge, that for the order of organ of the Antimonopoly committee it is incumbent to conduct examination and dates on her results conclusion.
• Examination is research on the basis of the special knowledge of material objects, phenomena And processes, that contain information about circumstances that is subject to establishment in business.
• Conclusions are on results investigation and research of businesses. In the process of trial of business about violation of legislation about defence of economic competition the organs of Committee, in accordance with the article of a 46 Law of Ukraine «About defence of economic competition» [1], have a right to give recommendations. Recommendations of organs of Committee are subject to obligatory consideration organs or persons that they are given.
• Recommendations are given by those organs of Committee, that jurisdiction business about violations in relation to those actions, concerning that recommendations are given. On condition of implementation of positions of recommendations in case if violation: did not result in substantial limitation or distortion of competition, did not inflict considerable losses to the individuals or society and it is used corresponding measures for the removal of consequences of violation, — the organs of Committee make decision about closing of realization in business on the basis of sex 46, 48 and indention seventh of the article of a 49 Law of Ukraine «About defence of economic competition» .
• On completion of collection and analysis of proofs the office workers of Committee, separation is presentation with previous conclusions, that is introduced organs of Committee, that jurisdiction business.
• As a rule, the office workers of Committee, separation is one idea about previous conclusions in business — regardless of amount of defendants. A previous decision can be appealed in the order certain the article 60 of this Law, in fifteen daily term from the day of his receipt. This term can not be renewed. In case of closing of trial of business in connection with unleading to of feasance of violation a defendant can appeal to the economic court about a compensation by the subject of menage, that handed in an application in accordance with part first it to become, him, losses inflicted in connection with the acceptance of previous decision.
• A previous decision, if more short space is not marked in him, loses an action from the day of receipt of the decision accepted on results the trial of business a defendant. Previous decision in business by с means for the distraction (non-admission) of negative consequences that can come for the subjects of menage as a result of perfect violation. Initiative in relation to the acceptance of previous decision in business belongs to the subjects of menage, that can test such negative consequences. At the same time, determination of expediency of application of such judicial means depends upon the organs of the Antimonopoly committee depending on validity of requirements of declarant.
• A previous decision in business it can be accepted only in relation to a defendant in business about violation of legislation about defence of economic competition. If the feasance of violation of legislation will not be well-proven a defendant about defence of economic competition, he is right to appeal to the set order in a court about the compensation of menage the losses, inflicted by implementation of previous decision of organ of the Antimonopoly committee accepted on the statement of this subject of menage, a subject.
• A law does not envisage the compensation of losses a defendant from the subject of menage on the statement of that a previous decision is accepted, in case if decision in business about confession of defendant such, that violated a legislation about defence of economic competition, cramps it is confessed by invalid. In this case the inflicted damages are subject to the compensation the Antimonopoly committee or him a territorial separation, depending on that, whose organ made decision in business. On results consideration of businesses about violation of legislation about defence of economic competition the organs of the Antimonopoly committee of Ukraine make decision.
• Examining business about violation of legislation about defence of economic competition, for that on the subjects of menage — legal or physical entities, or on the group of subjects of menage, that confess the only subject of menage, a fine can be imposed in accordance with the article of 52 Laws of Ukraine «About defence of economic competition» and article of a 21 Law of Ukraine «About protecting from an unfair competition» [3], organs of Committee, that jurisdiction business, obliged to summon data about the profit (profit yield) of subject of menage from realization of products (commodities, works, services) for the last financial year, that was preceded to the year a fine is laid on in that.
• Observance of judicial principles about investigation of businesses: association two or anymore businesses, bringing in of new defendants, stop of realization on business and his renewal and others like that.
• The article of a 38 Law of Ukraine «About defence of economic competition» envisages: an association and selection of businesses, stop of trial of business and his renewal. This article envisages possibility of association a few the businesses in one, if it is expedient to carry out their consideration in one realization that assists a judicial economy. In particular, hook expediency magician place if in different businesses in relation to different defendants the the same circumstances of feasance of violation are set the legislations about defence of economic competition, related to the feasance by them the same concrete violation, for example — the anticompetition concerted actions, or violations are perfect by them closely constrained inter se, for example, when it is perfect one defendant of violation it is conditioned by perfect violation by the second defendant. Businesses can unite in relation to one defendant, though after different violations, if it is related to the necessity of establishment of far of circumstances that matter for leading to of both violations.
• A question about the selection of business for separate consideration appears in the cases when
• а)realization of investigation and decision-making in business in relation to одною from a few violations or one of defendants it is more expedient to carry out in other (territorial or judicial) organ of the Antimonopoly committee;
• б)realizationof investigation and decision-making in relation to one of defendants it is expedient to carry out separately with the aim of defence at his interests, for example, in relation to a declarant in relation to perfect to them and by other subjects of menage the anticompetition concerted actions;
• с)in business after a few violations one of them is well-proven, and leading to needs other additional investigation;
• d)in business after a few violations of leading to of all circumstances of one of them is the impossible to the decision economic court of constrained and by them by the circumstances of business or to the decision a public organ related to these circumstances ofother question that змушує to stop realization at part of investigation of these circumstances;
• e)investigation of violations it is expedient to carry out in the process of realizationother business that needs the association of realizations;
• f) it is set during completion of realization or decision-making on business signs of new violation or in relation to new defendants, and the proofs collected in business are necessary for leading to of this violation.
• In particular, the article 49 determines grounds at that realization is in business closed without bringing in of person to responsibility.
• It is necessary also to mark that limitation of bringing in is to responsibility for violation of legislation about defence of economic competition. (The article of 42 Laws of Ukraine is «About defence of economic competition» [1]).
• Under limitation of bringing in to responsibility register understands from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation term after completion that responsibility and application of approvals are eliminated.
• A law is set two limitations of bringing in to responsibility, depending on degrees of public harm of violations — general and special. General limitation of bringing in to responsibility presents five years from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation.
• General limitation of bringing in to responsibility is used in the cases of bringing in to responsibility for the violations envisaged by the points of a 1 — 12. 17−20 article of a 50 Law of Ukraine «About defence of economic competition» .
• The special limitation of bringing in is to responsibility for the violations envisaged by the points of a 13−16 article of a 50 Law presents three years from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation.
• Limitation of bringing in is to responsibility for violations statutory Ukraine «About protecting from an unfair competition» straight not set. It is considered that in relation to these violations also operates general five-year term of bringing in to responsibility, despite on the step is set a six-month term for an appeal after the protection of the broken rights (what can be continued by the organs of the Antimonopoly committee on a corresponding statement).
• Limitation of bringing in to responsibility means a term during that a person can be attracted to responsibility — id est, when in relation to a person the trial of business will be begun about violation of legislation about defence of economic competition.
• In a time of trial of such business motion of limitation of bringing in of responsibility is stopped. Motion of limitation begins after closing the case about violation on the basis of the article of a 49 Law.
• With the aim of realization of state control after inhibition of legislation about defence of economic competition, legislations about protecting from an unfair competition organs the Antimonopoly committee of Ukraine is conducted by planed and not provided for by the plan departure verifications of inhibition of legislation about defence of economic competition during realization of economic activity by the subjects of menage and during realization of plenary powers by government bodies, organs of local self-government, organs of administrative management and control in relation to the subjects of menage.
• During 2007 the organs of Committee are conduct 798 verifications of observance of requirements of legislation about defence of economic competition (in 2006 — 810), including 589 verifications of subjects of menage and 209 verifications of public organs. On results these verifications consideration is begun 269 businesses about violation of legislation about defence of economic competition and 415 recommendations are given in relation to stopping of actions (to inactivity) that contained the signs of such offences.
• Judicial practice as has a source of competitive of right outstanding value for the home system of defence of competition, as swims out from the decisions accepted by courts on results consideration of spores in the field of competitive relations. Thus, the norms of competitive legislation are used courts system, in intercommunication with other norms of legislation of Ukraine. Judicial practice presents a base for further development and improvement of competitive legislation and is one of instruments of realization of competition politics of the state.
• It is without an overstatement possible to establish, that decisions, that was accepted by the Higher economic court and economic courts of Autonomous Republic of Crimea, regional and bridge of Kyiv and Sevastopol the concrete businesses constrained from adjusting spores in the field of a competition, allowed to shut out destruction form for the last seven years of the organizational and legal system of defence of economic competition in Ukraine, to prevent the attempts of separate subjects of menage, by the decision of spores in economic courts, practically to stop activity of Committee and do impossible the job of realization of state control fixed on Committee processing after the observance of antitrust legislation.
• 2007 witnessed the mutual understanding between the organs of Committee and courts in relation to prevention and stopping of violations of legislation about defence of economic competition, that found the reflection in a number of made decision courts from the questions of application of competitivness legislation.
• The formed is certain positive practice at consideration in the courts of businesses about confession invalid decisions of organs of Committee.
• During 2007 in 269 cases applied in a court with lawsuits in accordance with the article of a 25 Law of Ukraine «About Antimonopoly Committee of Ukraine». During a financial year 148 decisions of АМC of Ukraine that folds a 10.4% made decision for a year are appealed in courts.
• Conclusіons and further researches dіrectіons. Development of competitive legislation and completion of forming of the integral system of defence of economic competition in Ukraine are a process that is indissolubly related to the increase of legal and enterprise culture of society. The most perfect legal norms, state and law mechanisms are not able to provide effective enough defence and development of competition, if ideas and values of market economy (similarly as ideas and values of democracy, legal state and others like that) are not perceived by society on the whole.
• Therefore we must attain the that state, when every participant of competitive relations (both businessman and official) will realize a necessity to operate in this process only honestly and legitimately, straight binding the conscientious competition behavior and high competition of market economy to the increase of own and public welfare, when it is inalienable part of his civil position.
• INTERNAL MARKETING AND TALENT MANAGEMENT AS INTEGRAL ELEMENTS OF EMPLOYER BRANDING STRATEGIES
• Katarzyna Lazorko
• PhD, Head of Market Research and Segmentation Department,
• Marketing Institute, Faculty of Management
• Czestochowa University of Technology, Poland
• Marta Zajac
• MA, PhD student, Faculty of Management
• Czestochowa University of Technology, Poland
• The paper presents internal marketing and talent management as key elements determining effective introduction of employer branding strategy. Nowadays tendencies to interdisciplinarity force organizations to search for concepts from different areas of science and combine them for most effective market performance. That is the reason for presentation of two aspects of employer branding — from HRM and marketing perspectives, in the paper. The paper is aimed at presentation and discussion of internal marketing and talent management as elements of overall strategy of organisation in the scope of its competitive advantage gaining.
• Keywords: employer branding, internal marketing, talent management, competitive advantage, HRM.
• Introduction. In the current market situation it is crucial to look closer, predict and fulfill expectations and needs of employers within organisations and try to maintain relations with them at the level satisfactory for both sides. Qualified and satisfied personnel directly determines effectiveness of external marketing strategy introduction. As Zakrzewska indicates everything may be copied now — business strategies, processes, procedures, distribution channels but human intellect, that is the most significant element of creation of competitive advantage, cannot be copied. At the same time Kevin P. Ryan, the Founder and the Chairman of Gilt Groupe, indicates that managing talents is the most important task that managers must face nowadays. It can be assumed, basing on market experience of different enterprises, that not the idea or innovative concept have determined their success but people who have deployed them in force. Consequently the effective process of internal marketing and managing talents should be perceived as key element of modern management strategy.
• Management of talents (their acquisition and retention) is indicated by the Deloitte as the one of 5 key HR trends for 2014. It is strongly argued that creation of an organization as a workplace should be coherent with corporative brand of an organization. Building strong bonds between them should help to retain talents and attract new ones, however it requires introduction of methods in areas of talent management, internal marketing and their communication in effective and consequent way. If performed adequately the potential of a brand may result in attracting talents and influence company’s competitive advantage in wider perspective.
• The process of employer branding is the concept that require effort and planning from all units of an organization, not only HR units. As indicated above, the strategy of employer branding (EB) should be derived from external brand strategy, that is a result of overall marketing strategy of an organization. This way it may be indicated that crucial role in the process of EB implementation is played by internal marketing strategy that bases on the assumption of perceiving employees as the first customers of an organization, as their satisfaction is determining external marketing effectiveness.
• The literature of management presents different approaches towards management of organisation potential located in its employers. The number of approaches and definition causes the situation of misunderstanding their role and meaning for an organisation.
• The authors present internal management and talent management concepts and place them within a strategy of employer branding as well as indicate their role in the competitive advantage winning process in changing market environment.
• Employer branding in the strategy of image creation
• Many definitions of employer brand may be found in the literature. According to Rosethorn its «a two-way deal between an organisation and people», while Randstad indicate that it’s a complex concept based on various intangible factors, including perception, image versus identity, and the ability to differentiate between them. The process of employer branding is defined as all the actions that are undertaken by organisation aimed at present and potential employees to create image of an attractive employer to support strategic business goals in wider perspective. According to G. Martin EB is aimed at creation of adequate image of an organisation to attract talented candidates and to make all employees (present and potential ones) identifying themselves with an organisation — its mission, goals and brands to provide an organisation with expected results. Thus employer branding can significantly influence and support process of talent management in an organisation. It also affects the process of organisation’s external image creation — not only among key candidates but also among clients and other stakeholders. To sum up the following can be indicated as goals and object of employer branding:

— creation of the image of ideal employer,

— creation of the image of socially responsible and ethical organisation,

— creation of organisation identity,

— attracting the most qualified and desired candidates,

— creation of a climate for employees' identification with an organisation and its goals to increase their involvement in achievement of requested results.

As indicated, employer branding includes wide and interdisciplinary range of areas. It relates to: marketing, personal marketing, human resource management (HRM) and public relations (PR). One of the indicated areas, that in the authors, determines effectiveness of employer branding introduction is internal marketing.

Table 1. Goals, tools and links of employer branding concept

Internal marketing in the process of employer branding

«PR begin at home» so creation of an organisation image as an ideal employer should also be started with actions focused on internal part of an organisation. Organization’s employees should be treated as first customers of an organisation. The level of their satisfaction from marketing actions should be a base to introduce the strategy externally. This attitude, to treat employees as the first customers of an organization, is called internal marketing (IM).

It can be observed that in Polish and in the world marketing literature the concept of internal marketing have been changing when areas it covers are discussed. In the first concepts their authors indicated that employees should be treated as internal customers and jobs should be interpreted as offers for that group. In 1991 Berry and Parasuraman stated that «internal marketing is attracting, developing, motivating and retaining qualified employees through job-products that satisfy their needs (…) it is the strategy of shaping job-products to fit human needs». Kozielski described internal marketing as a process of motivating and integrating employees to effective realisation of the corporation’s strategy and its functions aimed at customer satisfaction. Otto indicated that internal marketing results from alternative and integrated way of HR and marketing and its description must be based on assumption that an organisation is a specific market, and so marketing actions are directed inside it, concentrating on internal clients and jobs providers to improve relations in an organisation and in result customer service to increase organisation’s effectiveness. Piercy and Morgan pointed out that external marketing programs should be introduced internally as an adaptation of external programs. Cooper and Cronin though postulated that IM should include motivating and training to perform more effectively. In the latest concepts the opinion that internal marketing bases on the exchange between employees and organisation is presented.

Olsztynska, indicated that former definitions of IM had stressed the impact of personnel on customers satisfaction and loyalty as a result of relationship marketing theory recommendations. Nowadays internal marketing is interpreted wider as a tool supporting strategy changes introduction, knowledge management and ways to integrate staff in customer service effort. Another change can be observed in widening possibilities of internal marketing implementation in other sectors, apart from services providers — previously indicated as the only one where IM solutions can be introduced.

The internal marketing introduction though requires answering to many questions considering the following issues: responsibility matters, internal marketing range in a organisation, its position in an organisational structure and its results measurement. Very often internal marketing actions are introduced intuitively. To make the IM introduction more effective the following steps should be taken and decisions made considering the following aspects: preparation of efficient internal and external communication systems; creation of organisation culture stimulating employees' involvement and collaboration; creation of joint responsibility and cooperation in the process of personnel needs satisfying and external customers' expectations fulfilling; provoking a perception of internal marketing as a complex process; treating external and internal customers as verifying utility of marketing actions.

All the mentioned actions are also integral in the strategy of employer branding should be perceived as actions that determine effectiveness of overal strategies, especially that marketing orientation presumes preparation of startegies basing on needs of adresees, staff in that case.

Talent management in the process of employer branding

Talent management is indicated as one of challenges for modern organisations. This attitude towards the concept can be confirmed by the following tendencies:

— ability to compete in economy based on knowledge depends on quality of skills obtained by talented employees;

— key competences are created by outstanding employees;

— demand for outstanding employees, who can combine professionalism and creativity, is increasing;

— increasing mobility of employees, ability to move from one labour market to another, especially in case of high competence specialists, force organisations to introduce new personal programs adjusted to needs, aspirations and expectations of the staff members;

— costs of obtaining qualified employers are increasing;

— indexes of fluctuation in the groups of qualifies employees are increasing[12].

It can be assumed that the process of attracting and maintaining relations with most talented employees is more and more demanding. That situation results also from changes that has been occurring in demands of employees, especially the ones from the Y generation. The group of employees who are entering the labour market are highly demanding towards employers. They are strongly concentrated on their own development, aimed at professionalism in their work environment, aware of their potential and self-conscious. As employees they are highly literate in new technological solutions and they can use them at their work. They are mobile, speaking foreign languages and not loyal — frequent changes of employers are not problematic to them. They are focused at permanent education and vocational development. They are strongly orientated on keeping the balance between private and professional life. People from the Y generation appreciate friendly atmosphere at work, they like feeling of appreciation and being praised. If employers do not meet that expectations they do not hesitate to consider changing the job.

Considering: demographic changes, ageing society, economy development in directions in which the lack of talents may be observed (IT for example) the assumption that employers should begin to search for adequate candidates, recognising and fulfilling their expectations is reasonable. Introduction of talent management is a key issue when attracting and keeping ideal employees is considered. Also employer branding activities may be useful in that aspect, especially the ones aimed at communicating different initiatives undertaken by organisation towards present and potential employees.

Employer branding process that completes the process of talent management requires introduction of following actions:

1. Image creation efforts placed where ideal, qualified and talented employees may be found — maintain relations with universities, research centers, alumni associations, career centers, professional associations, and organizing trainings and apprentices.

2. Attracting talents by activities aimed at implementing image of an organisation as employer. Informing public opinion about introduction of talent management strategy. Constant communication with stakeholders — potential employees. Involving employees (by usage of new technologies, social media, chats, video conferences, etc.). Video transmissions to present production processes, etc. to make stakeholders aware of technologies used within organisation to create image of open, innovative and sustainable organisation, also among potential employees. Organisation of meetings in organisation’s premises for students, graduates, members of professional association, etc.

3. Encourage outstanding talents to participate in recruitment and selection as a key goal of employer branding. The process of creation the image of employer may meet that goal. Nevertheless implementation of recruitment and selection may also support employer branding activities aimed at creation of employer image since the way organizations conduct the procedures in this area may influence and even create their perception among candidates. The way the candidates are treated during the process (respectful or not attitude, keeping promises concerning feedback from the process, etc.) may result in positive or negative opinions about employer that they will spread among other people in their environment.

4. Maintain talents is important also in the aspect of managing employers. It supports work friendly atmosphere that influences effectiveness, creativity, satisfaction and involvement. It can be obtained by effective internal communication. Each employer should know what are the expectations towards him/her and should be aware of organisation goals. Feedback and freedom definitely affect relations with superiors (immediate supervisors may reveal potential of subordinates or, oppositely, eliminate it). Employers satisfaction, including talents retain, may also be affected by motivation system, team spirit building, career planning and others (indicated in table 1). Each activity should be elaborated basing on goals and expectations of employees). All actions aimed at retaining of satisfied talents affect creation of organisation’s identity as an employer.

5. Managing retreatment and contacts with talents (monitoring of satisfaction level) and outplacement since high level of staff fluctuation and unfair dismissals influence internal and external image of an organization. The way organisations cooperate with their employers may be perceived as a type of exam of its corporate culture. Looking after dismissed employers should not be considered only in ethical dimension but also as a kind of investment in image and an organisation’s market position and motivations of employers. Therefore outplacement may affect image of an employer significantly and its perception by employers (supporting their sense of security, creation of atmosphere of respect and trust), among dismissed employers who may affect perception of an organization outside (as organization that looks after employers, even in case they are dismissed, or organization that careless about its employers) as well as other stakeholder (information that an organization looks after employers even in situation of their dismissal causes its more positive perception in the uncomfortable situation).

Talent management affects image of an organisation significantly. It may be perceived as employer that is worth to cooperate with as well as ethical and fulfilling its duties enterprise that influence its environment (through affecting local societies). That all elements compose the holistic image of an organization among its internal and external stakeholders.

Employer branding and internal marketing in Poland

Baruk indicates that Polish entrepreneurs are not very eager to introduce internal marketing because of two main reasons. She claims that the first cause may be found in the economical situation for many years price was a main tool of competitiveness in Poland because of limited incomes of customers but at the end of 90s in the 20th century changes could be observed in Polish customer' behaviour including needs differentiations. At this point more sophisticated marketing actions were invested in. As in the last few years economic slowdown took place, also entrepreneurs reacted by aiming at price strategies again. Baruk reckons lack of adequate theoretical and practical knowledge as the second cause of limited usage of internal marketing concept in Polish enterprises — interdisciplinary character of IM requires specialist knowledge covering issues as sociology, marketing, HR, management and the theory of organisations.

At the same time research revealed that Polish organisations perceive employer branding as important element of their strategies. The report prepared by HRM Institute in 2013 contains results of research conducted among 145 Polish companies (representing mainly: FMCG sector — 11%, production — 11%, IT — 11%, consulting — 10%). They perceive upcoming years as challenging for employers and indicate economy factors (32%), lack of talents (17%), as well as technological issues and skills of employers, as forces influencing their situation in near future. They have problems with attracting experienced and skilled candidates (39%), people who are involved in their work (22%), candidates who fit in organisation’s culture (20%) and who are willing cooperate longer with their organisations (16%). Moreover when asked if a company may lose market shares if does not employ appropriate people — most of respondent (55%) confirmed the statement, at the same time 30% contradicted it.

Indicated problems, as well as increasing awareness of the need for talent management, and internal marketing and in result employer branding cause augmented demand for knowledge and good practices examples. In the quoted research 24% declared disposal of clear EB strategy that is the number more than 100% higher than a year earlier. 30% have a strategy under reconstruction and development, 25% is preparing the strategy. Employer branding strategies are mainly placed in competences of HR department (54%) or marketing departments (18%), at the same time in some organizations new departments dedicated to employer branding and talent management are established more and more often.

Polish employers perceive employer branding as strongly beneficially for organizations, especially in the following aspects (indicated by their significance): abilities to attract talents, unified communication system, higher level of employers involvement, lowering costs of recruitment, lower staff rotation, better adjustment of candidates to corporate culture, perception as an ideal employer, enhancement of market of talents awareness.

Reputation of an organisation is one it’s the most valuable sources. There are many factors that affect it. One of them is it’s perception as an employer. As research indicate customers expect that providers of products they purchase create new jobs and treat their employees respectfully and fair.

Employer branding is a strategy that can affect functioning of an organization as a whole as it involves actions qualifies as talent management, internal marketing, PR, CSR and other elements of marketing and communication. This multidisciplinary attitude of employer branding require combining different efforts undertaken by organization — not only HRM but also marketing. Only well planned and unified strategies implemented in the indicated areas may support employer branding and competitive advantage gaining.

PRECONDITIONS AND PERSPECTIVES OF UKRAINIAN ENERGY MARKET DEVELOPMENT

Kuznietsova Katerina Oleksandrivna

Postgraduate student,

National Technical University of Ukraine «Kyiv Politecnic Institute», Ukraine

In this article it was examined the Ukrainian united energy system (UES) history formation, it was defined the preconditions of development. It was analyzed the global experience of the electricity markets functioning, also it is determined that the current trend of energy markets characterized by the monopolization and the deregulation. The rate of transition (evolution) from a monopoly to a competitive model of the electricity market is different for otherwise countries. In the context of global integration processes, Ukraine should develop and choose for themselves the electricity market model, according to its capacity and needs. The adopted Ukrainian Law, that regulates the functioning of the electricity market, involves the shift from model of «single buyer» to the model of bilateral contracts and balancing market.

Keywords: energy balance, model, united power system (UPS), electricity market.

Introductіon. Social and economic stability of society, the quality ensuring and improving of life is largely depend on the reliability and efficiency of the energy market of Ukraine. Ukraine’s power sector has sufficient power generation and advanced network for supply of electricity to consumers, but the current problems due to outdated technologies, depreciation of fixed assets, imperfect governance, transparent legal framework and others, bring it to the crisis. Thus, the urgent issue of reforming Ukraine’s energy market based on liberalization in order to create a full and competitive environment, incentives for investment, improve the financial and economic performance. An important aspect in this regard is also the definition of the perspectives of the Ukrainianenergy market.

Analysіs of recent researches and publіcatіons. In-depth study of energy systems, the reasons for their formation, the technological features of electricity as a commodity that determine the features of the energy companies studied in the works of Zerkalov D., Kuznetsova I., Gitelman L., Papkova B., O. Suhodolia, V. Tochilin, A. Tukenov, V. Fortov, I. Franchuk, V. Tsaplin and others. However, at the present stage of the electricity sector development in Ukraine as a whole and its individual businesses in times of profound structural chang, these issues, in our view, require in-depth study.

Prevіously unsettled problem constіtuent. Recently, because of the special importance of the energy problem in the world today, not only engineers but also economists, historians, philosophers began to refer to the chronological features of mastering the power of humanity. Given the increasing restrictions on the use of energy is not reproducible is imperative to investigate further the development of society. Energy sector and in particular the activities of energy companies is an important link in the chain of development and functioning of the economy of any country in the world. At the same time, it is characterized by considerable complexity, riskiness and social responsibility. In this regard, the state energy strategy should focus on finding the optimal value process of liberalization of the electricity market of Ukraine and state involvement in the regulation of the market.

Maіn purpose of the artіcle. In the process of writing a scientific article were asked the following research objectives as: the definition of the prerequisites of a modern unified power system of Ukraine by studying the history of its development; analysis of the global experience of the electricity markets for proposals to change the model of the market in Ukraine.

Results and dіscussіons. Unified Energy System (UES) is a rational structure of electricityproduction and use in large areas where locatedvarious typesofthe power source, with centralized operational and technological management.

The law determines the IPS of Ukraine as «the totality of power, electrical and heating systems and other energy facilities, which share a common mode of production, transmission and distribution of electricity and heat at the centralized management of this regime». The components of the electric power system shown in figure 1.

Figure 1. Subjects of electricity system

In general, the UPS is formed by the «fusion» of local energy systems in a particular area. In the territory of modern Ukraine in the first half of XX century it was formed 5 local grids: Donbasenergo (1926); Kievenergo, Krymenergoand grid of Kharkov city (1930); Dneprenergo (1931). The first step to creating IPS was the construction of the transmission line (TL) 220 kV length of 87 km between Donbasenergo and Dneprenergo.

In 1978, development of the internal electrical grid UES of Ukraine allowed to include it in the Western grid parallel operation with the rest of the UES of USSR.

By this time, Ukraine has taken, on the UES world energy map, a strong place of powerful system with an installed capacity — 55.4 GW, the electricity in the amount of 296.3 billion kW•h, the amount of power consumption — 268.2 billion kW•hand exports — 28.1 billion kW•h. After 1990 it was started a period of deep recession in the development of Ukraineelectric power industry.

Today, UPS Ukraine includes 4 nuclear power plants (15 operating reactors), 14 thermal power plants, 7hydroelectric power stations, wind electricity power stations and others; 23 thousand km of main and cross-border electrical networks and 996thousandkm of distribution networks. The installed capacity of power plants in 2012 is 53.8 GW (thermal — 57%, nuclear power — 25.7%, hydro — 10.2%, other — 7.1%).

The operator of the Wholesale Electricity Market (WEM) of Ukraine is State Enterprise «Energorynok» actively tryto improvethe relations with the neighboring states enterprises that are responsible for providing parallel operation of power systems. The existing contractual framework to ensure parallel operation of power grids with Ukrainian neighbors in need of modernization, based on practical experience and in order to realize the benefits of parallel operation of systems anddue to changes in the Ukraine and neighboring countries associated with the reform of energy markets.

The role and place of Ukrainian energy sector on the world stage can be determined by comparing key indicators of energy balance (Table 1).

Analyzing and comparing the statistics of the energy balance of Ukraine according to the world, EU, USA and Russia, we can conclude that the Ukrainian energy sector is «weaker». However, it has considerable potential in this area, the development of which would lead to significant positive changes. In addition, comparison data were taken in Bulgaria — close neighbor of Ukraine and new member of EU — note that the energy sector of Bulgaria lags far behind Ukrainian and trying to modernize and liberalize its energy market in accordance with EU Directives.

Modern trends in energy markets characterized by monopolization and deregulation. The question is only in the pace of its implementation and in depth market reforms. The rate of transition (evolution) from a monopoly to a competitive model of the electricity market is different for different countries. In addition, there are various models of market functioning, which differ not only in degree of competition, but the terms of promiscuity models together. None of the electricity market models does not exist in practice in its purest form. Country select of a electricity market model depends on many factors — both managed and unmanaged.

Table 1

Key indicators of energy balance, 2012

Compiled by the author [4−6]

In electricity sector of many countries still remain vertically integrated state-owned monopoly companies. Developed countries such as France and Japan do not make rapid reform of the electricity sector. Also in the U.S., half of the states, where electricity prices are relatively low, with no hurry reforms, keeping the regulated monopoly. They limited the access to electricity independent power producers with providing separate cost accounting for areas of generation, transmission, distribution and sale of electricity.

In the context of global integration processes Ukraine should develop and choose for themselves (according to its capacity and needs) electricity market model. Conceptual decision to shift from the «single buyer» model to bilateral agreements and balancing market (DDBR) was adopted by the Cabinet of Ministers in 2002 at the beginning of the privatization of generating companies in Ukraine. Legislation implementing the decision has become only recently — by the Law of Ukraine «On Principles of the electricity market of Ukraine» dated 24.10.2013. The transition to the new electricity market model in Ukraine will result in significant changes in comprehensive legislation relating to this area; in organizational mechanism functioning electricity; the regulation and management of IPS of Ukraine and others. In addition, the direction of development cooperation of Ukraine to the EU or Russia will also identify additional vectors of changes in the energy sector.

Conclusіons and further researches dіrectіons. The modern world has a way of time characterized by the rapid development of globalization processes, which aim to achieve a safe, stable, predictable state of the economy and society around the world. Strategically important role in this process belongs to a reliable power supply. In this area around the UPS merger goes through appropriate transnational and transcontinental grids. In the context of global integration of energy processes Ukraine has unique geographical and geopolitical position between Europe and Asia, providing very favorable conditions for the establishment of transit routes for electricity power.

ROLE OF JUDICIAL PRINCIPLES AT CONSIDERATION OF BUSINESSES ABOUT OFFENCE OF COMPETITION LEGISLATION

Prokopov Oleksiy Anatoliyovych

PhD in economics,

Ukrainian University of Finance and International Trade, Ukraine

Antimonopoly Committee of Ukraine, Ukraine

Legal norms stipulate application of and compliance with the procedural fundamentals. This is an important element of the participants equality principle during investigations and considerations of cases on competition law violation. Therefore the article describes basic legal norms that are applied by the bodies of the Antimonopoly Committee of Ukraine about the regulation of competition.

Keywords: Antimonopoly Committee of Ukraine, competition law, violation, judicial principles.

Introductіon. In Ukraine there is rapid development of market economy and competitive. State (represented by competent authorities and officials) must provide high-quality development, in particular through the development and implementation of government competition policy, actions and regulations of the competition. Competitive policy in our country is a complex of organizational and legal measures aimed at the development and protection of competition, monopolistic tendencies and overcome the unfair competition in Ukraine, the regulation of natural monopolies, promotion of financial, technical, information, innovation, advisory and other support entities that provide competition and development is carried out by authorized state bodies, local authorities and bodies of administrative management and control. State regulation of economic competition is carried out through a system of measures taken by the Antimonopoly Committee of Ukraine.

Analysіs of recent researches and publіcatіons. Implementation research the substantive direction necessitated recourse to developments of scientists who studied some aspects of the Antimonopoly Committee of Ukraine. In particular, protection of competitive relationships studied L. Bila, A. Bakalinska, Y. Zhuryk, N. Korczak, S. Kuzimina, A. Chernelevska, I. Shumilo and others; general problems of regulatory impact on the state 's economy looked A. Andriiko, L. Voronov, T. Kravtsov, A. Oleschenko and others. Thus, in the present research on administrative law issues of administrative and legal status of the Antimonopoly Committee of Ukraine studied fragments, hence the need for the implementation of a comprehensive scientific analysis. In addition, the contradictions in the existing antitrust law determines the need for systemic changes in the formation of laws and regulations.

Prevіously unsettled problem constіtuent. The organs of the Antimonopoly committee (farther — to Committee) begin consideration of businesses about violation of legislation about defence of economic competition after grounds certain the article of a 36 Law of Ukraine" About defence of economic competition" (farther is Law). The process of realization in matters about violation of competition legislation consists of such stages: raising action, investigation in business, decision-making, implementation of decision, verification of decision and second thought.

Maіn purpose of the artіcle. In this scientific article it is identified the basic legal norms that are applied by the bodies of the Antimonopoly Committee of Ukraine about the regulation of competition. Legal norms stipulate application of and compliance with the procedural fundamentals. This is an important element of the participants equality principle during investigations and considerations of cases on competition law violation.

Results and dіscussіons. A legislation about defence of economic competition, in accordance with the article of 3 Laws, consists of Laws of Ukraine «About defence of economic competition» [1], «About the Antimonopoly committee of Ukraine» [2], «About protecting from an unfair competition» [3]etc. Judicial norms of divisions of VI-IX of Law regulate realization in matters about violation of legislation about defence of economic competition, that is statutory and by Law «About defence of economic competition» [1], «About protecting from an unfair competition». At the same timethe law" About protecting from an unfair competition" contains the separate special judicial norms that set the features of realization in matters about an unfair competition.

Separate judicial norms, that explain the judicial norms of the marked Laws, set by Rules of consideration of businesses about violation of legislation about defence of economic competition [4], ratified by the order of the Antimonopoly committee of Ukraine from April, 19, 1994 № 5, registered in Ministry of Justice of Ukraine on May, 6, 1944 after № 90/299, in the release, ratified by the order of the Antimonopoly committee of Ukraine from June, 29, 1998 № 169-р. with next changes and additions. Article 35. Consideration of businesses is about violation of legislation about defence of economic competition.

1. Consideration of businesses is about violation of legislation about defence of economic competitionbegun with the acceptance of order about beginning of trial of business and closesby a decision-making in business.

2.At the trial of business about violationof legislationabout defenceof economicto the competition organs of the Antimonopoly committee of Ukraine: collect and analyse documents, conclusions of experts, explanation of persons, other information that is proof in business, and make decision in business within the limits of the plenary powers; get explanations of persons, that participate in business, or any persons, after their solicitor or on own initiative.

An order about beginning of trial of business about violation of legislation about defence of economic competition is a judicial document (by a judicial form), is the initial stage of competition process, the aim of that is to define the subjects of corresponding law-enforcement relations — participants of process — defendant, declarant, third persons, organ of the Antimonopoly committee, define an object and article of these relations (corresponding qualification of actions). From the moment of acceptance of order about beginning of trial of business the participants of process have judicial rights and judicial duties.

Trial of business has for an object complete, exact and objective establishment of all circumstances that matter for the correct competition-legal estimation of certain act and him consequences, establishment of fact of violation of legislation about defence of economic competition, bringing in of violators to responsibility and removal of negative consequences of perfect violation.

Realization in business about violation of legislation about defence of economic competition closed by a decision-making in business in accordance with the article of a 48 Law from the moment of closing of realization the judicial right and duties, related to the trial of business cease in business.

During the trial of business about violation of legislation about defence of economic competition the organs of the Antimonopoly committee conduct judicial actions. sent to establishment of actual circumstances of business.

A law does not conduct a clear limit between prosecuting an inquiry in business and by an acceptance a decision in business, including these two judicial stages of trial of business in a term «trial of business». At the same time, differentiation of these stages of the masses important value, taking into account that. that a decision-making on results the trial of business Law mainly attributes to the competense of collective organs, in what realized, though not fully (in the separate categories of businesses made decision the state authorized agents of the Antimonopoly committee individually), principle of collective nature at making decision in business. On the stage of investigation of business judicial actions in relation to collection and analysis of proofs are conducted by the office workers of the Antimonopoly committee, him territorial separations, what authorized agents on it by those organs of the Antimonopoly committee, that began the trial of business, about what registers in an order about beginning of trial of business. In accordance with points 20' and 20 Rules of consideration of businesses about violation of legislation about defence of economic competition of order about beginning of trial of business are accepted by such organs of the Antimonopoly committee — state authorized agent of the Antimonopoly committee and administrative college of territorial separation of the Antimonopoly committee.

An order about beginning of trial of business about violation of legislation about defence of economic competition can be accepted only at presence of signs of violation of legislation about defence of economic competition, including consequences of such violation.

Violation of legislation about defence of economic competition is acts that encroach on by legislation about defence of economic competition public relations. The types of such протиправних acts are envisaged in the article of a 50 Law, articles of a 4 — 19 Law of Ukraine «About protecting from an unfair competition». Fixing in the law of offences means determination of them legally meaningful signs inherent all offence of certain kind. Mostly there are the envisaged signs of objective side of offence in the marked Laws.

Founding for raising action is sufficientness of data that specify in the presence of signs of violation of legislation about defence of economic competition. Sufficient are such data, that testify to the presence of certain actions the signs of that are envisaged in the article of a 50 Law, articles of a 4- 19 Law of Ukraine «About protecting from an unfair competition». Thus not necessarily, that they represented an act full and all-round. Establishment of these circumstances is the task of the next stage of realization in matters about violation of legislation about defence of economic competition.

Raising action means bringing in to responsibility of person, the acts of that have signs of statutory violation, id est person in relation to that raised action. From the moment of acceptance of order about beginning trial of business about violation of legislation about defence of economic competition this person acquires judicial status of defendant. From this moment such person is right to know in which one violation legislations about defence of economic competition she is accused, acquires other rights for a defendant, that can avail in compliance with the legislation for the defence, and duties of defendant, that be under an obligation to execute. From the moment of raising action in relation to this person — a defendant is pulled down also corresponding judicial rights and duties corresponding organs of the Antimonopoly committee.

From the moment of raising action a declarant acquires corresponding judicial status. An order about beginning of trial of business is sent during three working days term from the day of his acceptance.

In an order about beginning of trial of business those circumstances (data) that testify to the presence of signs of concrete violation of legislation about defence of economic competition must be marked.

The article of a 39 Law of Ukraine «About defence of economic competition» determines the circle of those persons, that participate in business and have the corresponding judicial status envisaged, in particular, in the article of a 40 Law, articles 25, 26. 29, 31 and to 32 Laws of Ukraine «About protecting from an unfair competition» [3], separate norms and rules of consideration of businesses about violation of legislation about defence of economic competition.

A defendant in business is a person the acts of that contain the signs of violation of legislation about defence of economic competition. A person, that is marked in an order about beginning of trial of business about violation of legislation about defence of economic competition the acts of that contain such signs, confesses a defendant.

During realization in business at presence of corresponding circumstances a defendant can be transferable. In case of establishment during realization in business, that to responsibility must be attracted another or a few persons, they are attracted as defendants in business.

About replacement or bringing in of defendant disposing of is accepted that organ of the Antimonopoly committee, that jurisdiction question about raising action.

Replacement or bringing in of defendant can come true only within the limits of signs of that violation and after those actions after that begun on the right. In another cases in relation to these persons other business must be excited in the set order, and instead of replacement of defendant — new business is excited in relation to other person and, if necessary, already broken in relation to a person business is subject to closing in accordance with the article of a 49 Law. Replacement of defendant is possible in case of his reorganization — change of legal form of defendant, joining of him to other person, confluence with other person.

A declarant is a person that gave to the organs of the Antimonopoly committee in the set order statement about violation of legislation about defence of economic competition. In the cases when in accordance with an indention fifth of part of the first article of a 36 Law on the right broken on own initiative of organ of the Antimonopoly committee on the basis of corresponding statements and solicitors, person that handed in an application also is a declarant.

A declarant public authority, organ of local self-government, is considered also, the organ of administrative management and control brought in that idea about violation of legislation about defence of economic competition.

If a decision in business can substantially brush against rights and interests, охоронювані by this Law. Other person, these persons are brought over to participating of person in quality of the third persons. About confession the third person the organs of the Antimonopoly committee of Ukraine are accept an order, about what it is reported to the persons that participate in business, including person confessed by the third person.

About confession the third person, disposing of is accepted that organ of the Antimonopoly committee, that jurisdiction question about raising action.

Persons that participate in business have a right with the aim of defence of the interests to meet with materials of business. At the same time this right for the marked persons does not arise up from the moment of raising action, as to prosecuting an inquiry in business, to establishment of circumstances necessary for the all-round, complete and objective decision of business, the possible actions of persons that participate in business must not prevent the assembly of necessary proofs, what of them can accomplish (for example, to destroy possible proofs), knowing yet on the initial stage of investigation in business about the yet not set circumstances, about facilities and methods of investigation, source of receipt of proofs and others like that. On the stage of investigation of business to establishment of all necessary circumstances the secret of investigation is in business kept.

All necessary for a correct decision matters of circumstance are set by means of proofs. By proofs in business there can be any fact sheets that give an opportunity to set a presence or absence of violation.

The article of a 41 Law of Ukraine «About defence of economic competition» regulates the duty of finishing telling

Under fact sheets it is necessary to understand not facts, but information about them. Facts are events, phenomena of reality, that can not be added to business. Therefore at finishing telling of presence or absence of these facts office workers and organs of the Antimonopoly committee, persons that participate in business, even if they perceived these events and phenomena directly, operate information about these facts, that get from explanations of parties and third persons, explanations of official persons and citizens, conclusions of experts and others like that. Information about circumstances is fixed in corresponding documents in the order set by Law.

Explanation is: verbal or writing report by the face of information about any circumstances that is subject to establishment in business. Verbal explanations of parties, third persons, that contain data, that testify to the presence or absence of violation, fixed in protocol.

Proofs in business are also explanations of persons, that does not participate in business and are not the judicial figures of process of realization in business, — official or post persons and citizens, that contain data that testify to the presence or absence of violation. These verbal explanations are reported. Protocol must be signed by a person that gives explanation, and at the refuse of person to sign protocol, about it registers in protocol.

Before the grant of explanations a person that must give them is warned of responsibility at a grant in an incomplete volume or unreliable information. Organs of the Antimonopoly committee, authorized agents persons have a right to require the grant of verbal or writing explanations by them. In this case persons it is required from that are warned of responsibility for backing-away of information.

Organs of the Antimonopoly committee of Ukraine on own initiative or after the solicitor of person that participates in business, have a right to appoint examination, what an order (The article of 43 Laws of Ukraine is «About defence of economic competition» [1]) is accepted about.

Appointing examination and setting the circle of questions, that it follows to put before experts, the corresponding organ of the Antimonopoly committee of Ukraine has a right to ask suggestions of parties and other persons that participate in business. In an order about setting of examination questions are marked, on what necessary conclusions of experts, and person that will examine.

Realization of examination is one of judicial facilities, necessary for establishment actual circumstances of business and comes true only under the Law.

An expert is a person that owns scientific, technical, sociological, economic or other knowledge, that for the order of organ of the Antimonopoly committee it is incumbent to conduct examination and dates on her results conclusion.

Examination is research on the basis of the special knowledge of material objects, phenomena And processes, that contain information about circumstances that is subject to establishment in business.

Conclusions are on results investigation and research of businesses. In the process of trial of business about violation of legislation about defence of economic competition the organs of Committee, in accordance with the article of a 46 Law of Ukraine «About defence of economic competition» [1], have a right to give recommendations. Recommendations of organs of Committee are subject to obligatory consideration organs or persons that they are given.

Recommendations are given by those organs of Committee, that jurisdiction business about violations in relation to those actions, concerning that recommendations are given. On condition of implementation of positions of recommendations in case if violation: did not result in substantial limitation or distortion of competition, did not inflict considerable losses to the individuals or society and it is used corresponding measures for the removal of consequences of violation, — the organs of Committee make decision about closing of realization in business on the basis of sex 46, 48 and indention seventh of the article of a 49 Law of Ukraine «About defence of economic competition» .

On completion of collection and analysis of proofs the office workers of Committee, separation is presentation with previous conclusions, that is introduced organs of Committee, that jurisdiction business.

As a rule, the office workers of Committee, separation is one idea about previous conclusions in business — regardless of amount of defendants. A previous decision can be appealed in the order certain the article 60 of this Law, in fifteen daily term from the day of his receipt. This term can not be renewed. In case of closing of trial of business in connection with unleading to of feasance of violation a defendant can appeal to the economic court about a compensation by the subject of menage, that handed in an application in accordance with part first it to become, him, losses inflicted in connection with the acceptance of previous decision.

A previous decision, if more short space is not marked in him, loses an action from the day of receipt of the decision accepted on results the trial of business a defendant. Previous decision in business by с means for the distraction (non-admission) of negative consequences that can come for the subjects of menage as a result of perfect violation. Initiative in relation to the acceptance of previous decision in business belongs to the subjects of menage, that can test such negative consequences. At the same time, determination of expediency of application of such judicial means depends upon the organs of the Antimonopoly committee depending on validity of requirements of declarant.

A previous decision in business it can be accepted only in relation to a defendant in business about violation of legislation about defence of economic competition. If the feasance of violation of legislation will not be well-proven a defendant about defence of economic competition, he is right to appeal to the set order in a court about the compensation of menage the losses, inflicted by implementation of previous decision of organ of the Antimonopoly committee accepted on the statement of this subject of menage, a subject.

A law does not envisage the compensation of losses a defendant from the subject of menage on the statement of that a previous decision is accepted, in case if decision in business about confession of defendant such, that violated a legislation about defence of economic competition, cramps it is confessed by invalid. In this case the inflicted damages are subject to the compensation the Antimonopoly committee or him a territorial separation, depending on that, whose organ made decision in business. On results consideration of businesses about violation of legislation about defence of economic competition the organs of the Antimonopoly committee of Ukraine make decision.

Examining business about violation of legislation about defence of economic competition, for that on the subjects of menage — legal or physical entities, or on the group of subjects of menage, that confess the only subject of menage, a fine can be imposed in accordance with the article of 52 Laws of Ukraine «About defence of economic competition» and article of a 21 Law of Ukraine «About protecting from an unfair competition» [3], organs of Committee, that jurisdiction business, obliged to summon data about the profit (profit yield) of subject of menage from realization of products (commodities, works, services) for the last financial year, that was preceded to the year a fine is laid on in that.

Observance of judicial principles about investigation of businesses: association two or anymore businesses, bringing in of new defendants, stop of realization on business and his renewal and others like that.

The article of a 38 Law of Ukraine «About defence of economic competition» envisages: an association and selection of businesses, stop of trial of business and his renewal. This article envisages possibility of association a few the businesses in one, if it is expedient to carry out their consideration in one realization that assists a judicial economy. In particular, hook expediency magician place if in different businesses in relation to different defendants the the same circumstances of feasance of violation are set the legislations about defence of economic competition, related to the feasance by them the same concrete violation, for example — the anticompetition concerted actions, or violations are perfect by them closely constrained inter se, for example, when it is perfect one defendant of violation it is conditioned by perfect violation by the second defendant. Businesses can unite in relation to one defendant, though after different violations, if it is related to the necessity of establishment of far of circumstances that matter for leading to of both violations.

A question about the selection of business for separate consideration appears in the cases when

а)realization of investigation and decision-making in business in relation to одною from a few violations or one of defendants it is more expedient to carry out in other (territorial or judicial) organ of the Antimonopoly committee;

б)realizationof investigation and decision-making in relation to one of defendants it is expedient to carry out separately with the aim of defence at his interests, for example, in relation to a declarant in relation to perfect to them and by other subjects of menage the anticompetition concerted actions;

с)in business after a few violations one of them is well-proven, and leading to needs other additional investigation;

d)in business after a few violations of leading to of all circumstances of one of them is the impossible to the decision economic court of constrained and by them by the circumstances of business or to the decision a public organ related to these circumstances ofother question that змушує to stop realization at part of investigation of these circumstances;

e)investigation of violations it is expedient to carry out in the process of realizationother business that needs the association of realizations;

f) it is set during completion of realization or decision-making on business signs of new violation or in relation to new defendants, and the proofs collected in business are necessary for leading to of this violation.

In particular, the article 49 determines grounds at that realization is in business closed without bringing in of person to responsibility.

It is necessary also to mark that limitation of bringing in is to responsibility for violation of legislation about defence of economic competition. (The article of 42 Laws of Ukraine is «About defence of economic competition» [1]).

Under limitation of bringing in to responsibility register understands from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation term after completion that responsibility and application of approvals are eliminated.

A law is set two limitations of bringing in to responsibility, depending on degrees of public harm of violations — general and special. General limitation of bringing in to responsibility presents five years from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation.

General limitation of bringing in to responsibility is used in the cases of bringing in to responsibility for the violations envisaged by the points of a 1 — 12. 17−20 article of a 50 Law of Ukraine «About defence of economic competition» .

The special limitation of bringing in is to responsibility for the violations envisaged by the points of a 13−16 article of a 50 Law presents three years from the moment of feasance of violation of legislation about defence of economic competition or from the moment of completion of триваючого violation.

Limitation of bringing in is to responsibility for violations statutory Ukraine «About protecting from an unfair competition» straight not set. It is considered that in relation to these violations also operates general five-year term of bringing in to responsibility, despite on the step is set a six-month term for an appeal after the protection of the broken rights (what can be continued by the organs of the Antimonopoly committee on a corresponding statement).

Limitation of bringing in to responsibility means a term during that a person can be attracted to responsibility — id est, when in relation to a person the trial of business will be begun about violation of legislation about defence of economic competition.

In a time of trial of such business motion of limitation of bringing in of responsibility is stopped. Motion of limitation begins after closing the case about violation on the basis of the article of a 49 Law.

With the aim of realization of state control after inhibition of legislation about defence of economic competition, legislations about protecting from an unfair competition organs the Antimonopoly committee of Ukraine is conducted by planed and not provided for by the plan departure verifications of inhibition of legislation about defence of economic competition during realization of economic activity by the subjects of menage and during realization of plenary powers by government bodies, organs of local self-government, organs of administrative management and control in relation to the subjects of menage.

During 2007 the organs of Committee are conduct 798 verifications of observance of requirements of legislation about defence of economic competition (in 2006 — 810), including 589 verifications of subjects of menage and 209 verifications of public organs. On results these verifications consideration is begun 269 businesses about violation of legislation about defence of economic competition and 415 recommendations are given in relation to stopping of actions (to inactivity) that contained the signs of such offences.

Judicial practice as has a source of competitive of right outstanding value for the home system of defence of competition, as swims out from the decisions accepted by courts on results consideration of spores in the field of competitive relations. Thus, the norms of competitive legislation are used courts system, in intercommunication with other norms of legislation of Ukraine. Judicial practice presents a base for further development and improvement of competitive legislation and is one of instruments of realization of competition politics of the state.

It is without an overstatement possible to establish, that decisions, that was accepted by the Higher economic court and economic courts of Autonomous Republic of Crimea, regional and bridge of Kyiv and Sevastopol the concrete businesses constrained from adjusting spores in the field of a competition, allowed to shut out destruction form for the last seven years of the organizational and legal system of defence of economic competition in Ukraine, to prevent the attempts of separate subjects of menage, by the decision of spores in economic courts, practically to stop activity of Committee and do impossible the job of realization of state control fixed on Committee processing after the observance of antitrust legislation.

2007 witnessed the mutual understanding between the organs of Committee and courts in relation to prevention and stopping of violations of legislation about defence of economic competition, that found the reflection in a number of made decision courts from the questions of application of competitivness legislation.

The formed is certain positive practice at consideration in the courts of businesses about confession invalid decisions of organs of Committee.

During 2007 in 269 cases applied in a court with lawsuits in accordance with the article of a 25 Law of Ukraine «About Antimonopoly Committee of Ukraine». During a financial year 148 decisions of АМC of Ukraine that folds a 10.4% made decision for a year are appealed in courts.

Conclusіons and further researches dіrectіons. Development of competitive legislation and completion of forming of the integral system of defence of economic competition in Ukraine are a process that is indissolubly related to the increase of legal and enterprise culture of society. The most perfect legal norms, state and law mechanisms are not able to provide effective enough defence and development of competition, if ideas and values of market economy (similarly as ideas and values of democracy, legal state and others like that) are not perceived by society on the whole.

Therefore we must attain the that state, when every participant of competitive relations (both businessman and official) will realize a necessity to operate in this process only honestly and legitimately, straight binding the conscientious competition behavior and high competition of market economy to the increase of own and public welfare, when it is inalienable part of his civil position.

ECONOMIC AND ENVIRONMENTAL EVALUATION OF RECREATION UNITS IN RESIDENTIAL DISTRICTS OF SAMARA BY USING TOTAL ECONOMIC VALUE METHOD

Shabanov Vsevolod Alexandrovich

Ph.D, Prof.,

Samara State University of Architecture and Civil Engineering, Russian Federation

Shabanovа Anna Vsevolodovna

Ph.D., Associate Prof.,

Samara State University of Architecture and Civil Engineering, Russian Federation

One of the conditions of human life in the city is a sufficient number of recreational facilities. Among them an important place is occupied by recreation units in residential districts, which are used for daily and weekly resource types of recreation, especially by inhabitants relating to the category of citizens with limited mobility. This paper presents the economic evaluation of recreation units in residential districts by using the method of total economic value. The objects include a water body (pond) and as well as green area. There were determined the direct use value (cost of wood), as well as indirect use. There were taken into account the following functions of recreational facility components: water treatment, carbon dioxide sequestration and dust removing. There were compared the costs of direct and indirect use of recreational facilities. It was also shown the necessity to keep the visual impact of the recreational landscape with his assessment.

Keywords: recreation units in residential districts, pond, ecological and economic assessment.

Introduction. Urban recreational facilities represent an important resource for daily and weekly cycles of recreation. Their value becomes particularly evident during the crisis, when many citizens are deprived of the possibility of outbound tourism as the annual cycle of recreation. Moreover the city authorities are often burdened with recreation facilities due to their low yield. However they are rarely considered as the object of investigation and management. In recent years, many cities set up their program for the development and conservation of parks and other recreational facilities as elements of ecological framework of the city. On growing anthropogenic load on the one hand, and the lack of control on the other reduce the capacity and attractiveness of these very valuable for the city objects. The attempts to perform any valuations of urban recreational facilities are often reduced to the determination of their cadastral value, thus indicating the lack of methodological base in this sphere.

Analysis of recent researches and publications. Model of sustainable development of recreational facility is a model of development in which a certain level of life quality can be assured. The process of forming of recreational facility development strategy includes as one of the stages diagnosis and follow up studies of economic, environmental and social factors. The objects of the ecological and economic assessments in the published works of recent years are typically suburban recreational forests [2], or protected areas.

Previously unsettled problem constituent. At the present there are three methods of assessment of recreation facilities: general economic valuable method, replacement cost method and hedonic pricing method. However in relation to the city’s recreational facilities, especially characterizing by little space and a modest variety of natural resources, they acquire some features.

Main purpose of the article. The purpose of this paper is to attempt to apply the total economic value method to the environmental and economic assessment of recreation units in residential districts on the example of Samara.

Results and discussions. For the study we selected two recreational facilities, including ponds and green spaces. Both ponds were established on ravines on similar technologies. This allows one to assume conditionally equal to their replacement cost.

First of research facilities located on the Novovokzalnaya Str./ Karl Marx Str.(Samara). Pond has a length of 60 m, width 35 m, average depth — 1.5 m. Green areas are presented poplars (3 pc.), willows (9 pc.), maples (26 pc.), elms (15 pc.). The pond was created in the XIX century aiming to supply with water villagers of Tomashev Kolok. It is Located among low-rise housing.

The second object is located in the town of Zhiguliovsk (Samara region) on the territory of the park 40th anniversary of the Komsomol. Pond has a length of 105 m, width 42 m. Green plantings are presented with poplars (174 pc.) and birch (13 pc.).

General method involves taking account of the economic value of the cost of direct use, indirect use and non-use.

Table 1 — Characteristics of recreational facilities

Baseline:

— calculating the direct use of the price of 1 m3 of firewood is taken to be 1.4 thousand rubles (according to open sources in 2013);

— calculating the annual carbon sequestration: sequestration of carbon dioxide 1 hectare green space — 8 kg/h, the duration of the growing season — 5 months, the price of the deposit of carbon dioxide — 10 EUR/t, 1 euro = 45.8 rubles. (data of the Moscow Interbank Currency Exchange on 30.06.2014);

— calculating the water treatment functions: construction cost of artificial wetland assumed equal to 2 mil. rubles/ha;

— cleaning the air (dust removal): The number of captured dust for 1 hectare of green space — 50 t, cost of 1 t of dust removing by using industrial equipment such as cyclone — 1.5 thousand rubles/t.

Results are presented in Table 2.

Table 2 — To the calculation of the total economic value of recreational facilities

We also found it interesting to make a comparison of the structure of general economic value for these two objects. The results are shown in figure 1 and 2. Noteworthy is the fact that in both cases, a substantial share — from 71 to 84% - is the cost of the direct use of green space as firewood! Two environmental functions — annual deposition of carbon dioxide and dust removing — in both cases amounted to 4−5%. In the conditions of the city the last feature is of particular value. To increase its contribution to the overall value of the object some changes in the species composition of plantings should be made. Now they are represented only by deciduous species, which limits the deposition of carbon dioxide and dust removing by five months a year. Partly, within 50%, replacing them with evergreen, sustainable urban species [8], will make it possible to fulfill this function all the year round.

Water treatment function is 19% for the pond on the Novovokalnaya Str. and only 8% - for pond in Zhiguliovsk. The ability of higher aquatic vegetation (bulrush, cattail, etc.) to reduce the amount of suspended substances, oil and other pollutants is used in constructed. In urban settings, the attitude to the overgrown pond is negative. Therefore, the situation becomes paradoxical: the more effort are invested in landscaping of the pond and its surrounding area, the less water treatment capacity and, consequently, the more intense the process of pollution pond are achieved.

Figure 1 — Structure of the total economic value. Pond Novovokzalnaya Str./Karl Marx Str., Samara

Among the functions that make up the cost of indirect use, we have not been taken into account improving function, i.e. a temporary reduction in days of disability for 3.5 days under the condition of outdoor recreation for 20 days.

Figure 2 — Structure of the total economic value. Pond in Zhigulyovsk

City recreational facilities are important for the city and citizens not only for the functions named above. As part of the approach were not taken into account the pleasure of communicating with nature, eco-educational and environmental education functions of such objects.

Conclusions and further researches directions. There were made environmental and economic assessments of urban recreation facilities that can become a part of the strategy of forming sustainable development of recreation units in residential districts. A necessary condition for obtaining adequate results is also taking into account the visual impact strength of recreational landscape, for example, using the rating scale of landscape expression [9], adapted to urban conditions.