COMPETITION FACTORS IN THE MOBILE COMMUNICATION MARKET

Abstract

One of the most important areas of study of the features of an enterprise's economic activity, especially in conditions when the market is constantly evolving and changing, is the analysis of the enterprise's competitiveness. The importance of research on this topic is that a high level of competitiveness of the company is a guarantee of high profits. In today's conditions, competition is a determining factor in price ordering, an incentive for innovative processes (the introduction of new inventions and technologies into production). It contributes to the crowding out of production of inefficient enterprises, the rational use of resources. Therefore, a constant competitiveness study is necessary both for the enterprise (in order to improve and maintain its position) and for the state (to control the relevant industry). The purpose of this article is a practical study of the competitiveness of Kyivstar JSC in the mobile communications market, namely, the identification of the competitive advantages of the company and the formation of the general condition of this market on the basis of a study of the activities of leaders providing mobile communications services in Ukraine. To cover the situation on the market of mobile operators, in addition to Kyivstar, we briefly analyze the activities of the main competitors of MTS (Vodafone) and Lifecell. The article explores the competitiveness of Kyivstar JSC, considers the main methods for researching competitiveness, defines indicators of market share, relative market share, Herfindahl-Hirschman Index, and builds a competitiveness polygon. An analytical study of Kyivstar’s competitiveness in the mobile services market in Ukraine revealed the existence of a number of problems. The Kyivstar company itself is actively engaged in economic activities and every year increases the number of its customers by positioning itself as a leading mobile operator with the best coverage throughout Ukraine. Keywords: competitiveness, market capacity, market concentration, market share, relative market share