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Usage of the dynamic calculation methods in the process of making managerial decisions about investment directions in the commercial enterprises of small and medium businesses


Oleg Pototsky
(about the author)

Pototsky Oleg V. –

Applicant for the degree of Candidate of Science, Economics, Business Consultant of the company «Leader Team»

Published in:
Russian Journal of Entrepreneurship
– Volume 16, Number 24 (December, 2015)



Keywords: fast-moving consumer goods, FMCG, investments, management of the enterprise, payback period, small and medium business, strategical management, turnover


Citation:
Oleg Pototsky (2015). Usage of the dynamic calculation methods in the process of making managerial decisions about investment directions in the commercial enterprises of small and medium businesses. Russian Journal of Entrepreneurship, 16(24), 4419-4434. doi: 10.18334/rp.16.24.2145


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Abstract:

The article reviews the issue of usage of such retail business indices as the commodity stock turnover and the average trade margin for calculation of effectiveness of investments in new businesses or in development of the existing one. The example for calculation of NPV and the investment payback period on markets of fast-moving consumer goods with the high turnover speed (so-called FMCG markets) by the dynamic method via entry of the commodity stock and the average trade margin into the formula for the turnover coefficient.The conclusion is made of practicability of such approach for commercial enterprises of small and medium business. This study will be of interest for owners of small and medium business enterprises, their general and financial directors, as well as for researches who study issues of the administrative analysis and forecasting. 








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