The Evaluation of Strategic Management Implementation in Agricultural Enterprises in the Slovak Republic
Journal Title: Delhi Business Review: An International Journal of SHTR - Year 2015, Vol 16, Issue 1
Abstract
Purpose: The main objective of this paper is to evaluate the implementation of strategic management in selected agricultural enterprises in the Slovak Republic. Design /Methodology/Approach: Qualitative data have been collected from a questionnaire survey. Furthermore, using Porter’s model of five forces, an evaluation has been made of managers’ perception of choosing opportunities, threats and success factors. The presence of statistically significant differences in the perception of these ‘parameters’ in disparate production zones and between diverse groups of agricultural enterprises according to the number of employees and to the area of agricultural land in their ownership was tested using the Kruskal-Wallis test, with post-hoc testing employing the Steel- Dwass-Critchlow-Fligner testing procedure. The presence of a trend in the perception of these ‘parameters’ of the competitive environment was tested using the Jonckheere-Terpstra test with respect to the number of employees and the area of agricultural land belonging to the enterprise. The exact pvalue, in the case of the Kruskal-Wallis test and the Jonckheere-Terpstra test, was calculated utilizing Monte Carlo simulation (Mehta and Patel, 1996). We used the Steel-Dwass-Critchlow-Fligner testing procedure (Critchlow and Fligner, 1991) as a post-hoc test in the instance that null hypothesis can be rejected of the Kruskal-Wallis test. Findings: Eighty-one individual holdings and agricultural farms have been included in the survey. From the group surveyed, only 38.9 per cent of farms elaborated their vision and only 12.3 per cent of farms prepared a strategy in written form. The enterprise strategies are predominantly oriented towards growth, survival, development, and innovation. The most significant opportunities listed include subsidies, favourable weather conditions, the Common Agricultural Policy (CAP), a functioning land market and economic accessibility to modern technologies. Conversely, the most serious threats mentioned comprise adverse government decisions, the import of cheap and low quality foodstuffs, volatile food prices, the evolving CAP, and the financial and economic crises. With respect to business success factors, the agro-managers identified the following: subsidies, inputs, and farm gate prices, management knowledge and experience, weather, European Union policy, and the quality of the agro-commodities produced. Research Limitation/Implications: There had been following three limitations on the research: 1. Collection of the qualitative data was focused on the agricultural holdings with major orientation
Authors and Affiliations
Mária Kadleèíková, Michal Filo, Zuzana Kapsdorferová
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