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Abstract
Ukrainian agriculture is currently in a growth phase, but it is yet not clear
whether this growth is sustainable. The contrast between the potential of
agricultural enterprises and their present desolate condition remains very
striking. At the same time, the role of individual subsidiary holdings in
agricultural production has increased substantially. The general economic crisis
in agriculture encouraged growth in the number of individual subsidiary
holdings (ISH) and made them the most important agricultural producers in
Ukraine.
The goals of this dissertation are (1) to analyse the development of
organisational forms in Ukrainian agriculture, taking into account historical
factors, (2) to determine differences between successful and unsuccessful
enterprises, and (3) to determine the relationships (linkages) between ISHs and
large agricultural enterprises.
To fulfill the goals of the dissertation data from 78 large agricultural enterprises
for 1995-1999 was examined. Moreover, in 2000 and 2002, 90 ISHs from 17
large agricultural enterprises were surveyed. The results of all interviews were
summarized, including those that significantly deviated from the average, in
order to present both norms and extremes.
The study found a considerable divergence among restructured farm enterprises,
both in terms of internal reorganisation and efficiency and in terms of
managerial attitudes of new farm managers. Also various historical, economic
and other reasons had an impact on the structure of reformed enterprises; these
factors differ significantly by region in the Ukraine. These differences in
agricultural development have their origins in property rights development as
well as in differences of geopolitical position, and, therefore, in the influence of
different cultures. The study emphasizes that in Ukraine there exists a clear
tendency to establish agricultural enterprises with many owners and employees.
The future development of large agricultural enterprises is entirely depended on
setting up of adequate general economic conditions, consequential internal
restructuring of agricultural enterprises and essential changes in the enterprise’s
management.
The efficiency of ISHs is very strongly affected by how and where they receive
their production inputs. It may be expected that since there are no income
alternatives and employment possibilities in the rural areas, the ISHs will
continue to specialize in labor-intensive production such as livestock and
vegetable production.