Investment attractiveness of the port industry in crisis conditions

  • Received August 4, 2017;
    Accepted October 3, 2017;
    Published November 13, 2017
  • Author(s)
  • DOI
    http://dx.doi.org/10.21511/imfi.14(3-1).2017.09
  • Article Info
    Volume 14 2017, Issue #3, pp. 251-260
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Historically, the maritime industry in Ukraine, which previously was subordinated to the Ministry of Transport of Ukraine and whose successor is the Ministry of Infrastructure of Ukraine, was complex of different organizations (shipping companies, ports, ship-repairing and shipbuilding factories and other related and auxiliary enterprises). They had their own organizational structures, goals and tasks and in some way interacted with each other. Such organization was aimed, first of all, at achieving target production indicators formed by the state authorities. In fact, such structure of maritime industry can be regarded as vertically integrated. When the issue of increasing the economic efficiency of the main component of the maritime industry (of the ports) was raised, the main efforts were aimed at minimizing the costs of their functioning. This led to the creation of horizontally integrated (in whole or in part) companies in the maritime industry. The driving factor for their implementation should be the transformation of organizational and economic mechanisms of regulation of the port’s activity from the point of view of a clearly defined anti-crisis character.
Therefore, the goal of the study was to develop and justify the feasibility of using a model that will determine the effectiveness of the strategy of investment into the development of the organizational and economic mechanism of regulation of the port activity. The calculations of determining the best variant of an investment project under different external conditions are presented. In calculations based on certain criteria (appropriate levels of capitalization and effective dividend policies), we took into account the factors related to the expectations of the crisis in Ukraine, Ukraine’s unpreparedness to enter the new technological phase, the loss of scientific and technical personnel, inflationary phenomena and instability of the national and world currencies.
In addition, within the framework of the developed model, the authors propose an algorithm that makes it possible to select the characteristics and determine the parameters of optimization of the organizational and economic mechanism of regulation of the port activity under the conditions of long-term continuation of the crisis situation.

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    • Figure 1. The value of the payback period on investment projects depending on the annual cargo turnover and the rate of taxation on dividends
    • Figure 2. Capital expenditures of ports during the crisis period
    • Figure 3. The impact of capitalization on the value of ports
    • Table 1. The results of calculations of the indicators of economic effect from investment projects at the rate of dividend tax 75%d= and the values of cargo turnover from 1600000 to 2000000 tons