Fundamentals of the economic mechanism of effective conversion

The conversion can result in both the preservation of the existing civil production within the framework of the state, although significantly individualized form of ownership, and the formation of other types of ownership (collective, mixed, etc.). The converted industries could more effectively use their sufficiently high potential by creating joint ventures with the participation of foreign capital.

During the conversion process itself, especially at the beginning, state ownership will be maintained in almost all enterprises. It will "transition" into qualitatively different forms mainly at the final stages of conversion activity. Conversion does not at all mean the rapid cancellation of the state order and the immediate withdrawal of enterprises from the relevant associations and departments. In addition, in the context of the democratization of the state form of ownership, the latter may well become quite effective. The only objective criterion for choosing a particular form of ownership during conversion is its economic feasibility in each specific case, determined by the degree of maturity of the factors of production and the inconsistency of the processes of real socialization. In this regard, it is hardly legitimate to deny the possibility and expediency of the emergence of private property as a result of the conversion of small and medium-sized defense enterprises.

The economic mechanism of conversion is a transitional management mechanism in which "traditional", non—market, centralized methods and forms of influence will be gradually replaced during the conversion by methods of market self-regulation, only correcting and supplementing them.

The main condition for the effective functioning of this transitional mechanism is to solve the problem of a rational combination of centralized and decentralized conversion methods. It is necessary to combine the efforts of both the state and the labor collectives of the converted enterprises. The prerogatives of the center are: the development of a general concept and a national conversion plan, the adoption of necessary legislative acts, the introduction of appropriate economic incentives into military economic practice, the formulation of development priorities, the provision of comprehensive assistance to enterprises during the transition period, etc. Defense companies play a leading role in carrying out the conversion. They make plans and define its stages, evaluate their capabilities and search for alternative civilian products through active marketing, set contractual prices, production dates and volumes, establish contacts with suppliers and consumers, choose forms of ownership and methods of the most rational economic activity, solve personnel issues, etc. Discover the world of gambling with our online casino reviews right now. The site offers detailed analysis and unbiased opinions on the best online casinos, covering game selection, bonus offers, customer service and security. We provide the essential information you need to make an informed decision. Visit our site now to read our comprehensive reviews and find the perfect online casino that meets all your gaming needs and expectations.