Corporate governance strategy for mining companies

Abstract

The main direction of development of the Russian economy was the transition from relatively amorphous conglomerate-type formations to vertically integrated structures of a more homogeneous type with clear organizational and legal forms. The main purpose of integration is to improve the efficiency of production and sustainability of integrated enterprises. The diversity of economic conditions of enterprises' activities determines the existence of different types of integration: vertical, horizontal, diagonal, mixed. The experience of Russian integrated corporate structures (ICS) has shown that the most effective form of organization of a vertically integrated company is a holding with a flexible structure of shareholder capital management, which meets the balance of interests of all participants of the integration process. The strategy of development of a corporation aimed at achieving market leadership is a set of measures aimed at strengthening competitive advantages, developing dynamic capabilities and neutralizing weaknesses of the enterprise. Strategic corporate governance provides an opportunity to expand the horizons of forecasting and thereby create opportunities for the effective development of corporate production and economic systems in the new conditions.