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Region: Economics and Sociology

2019 year, number 2

Economic interests of subjects of regional reproduction: contradictions and problems of their resolution in the management system

A.S. NOVOSELOV, A.S. MARSHALOVA
Institute of Economics and Industrial Engineering, Siberian Branch of the Russian Academy of Sciences, Novosibirsk, Russia
Keywords: region, system of management, economic interests, conflicts, regional reproduction, socioeconomic development, strategy, planning, regional policy, efficiency, management mechanisms

Abstract

The article states primary approaches to analyzing problems of regional management, identifies economic interests of economics agents in regions and conflicts of regional reproduction and possibilities of considering them in strategic management. We base our research on the reproductive approach and a new matrix of institutional structures’ interests used for examining economic contradictions among subjects of regional and municipal economy, as well as justifying possible impacts of management activities on the processes of regional development. Using the socio-economic interest matrix, we have uncovered the key challenges and contradictions of socio-economic development that emerged at a meeting point for the interests of various institutional structures. Resolving conflicts between the interests and capacities of socio-economic structures and attaining the desired goals comprise the subject of strategic management. The article determines that differences in economic interests among regional reproduction subjects are of objective nature. Being a reproductive system, any region is a set of interacting structures - agents of socio-economic activity, which include federal structures representing public authorities, interregional structures (associations, networks of regions), and regional structure (local authorities managing regional socio-economic development, business structures, public organizations, etc.). We identify main contradictions in the regional reproduction process and propose methodological approaches to their solution. It is shown that the conflict of interest among subjects is based on the scantiness of regional resources: land, energy, infrastructure, labor, and finance. We examine the role of strategic management in preventing and resolving conflict of economic interest of various structures within the regional reproduction process and achieving equity. The research results may be used to draft guidelines for federal and regional authorities on improving legal framework of strategic management with regard to the economic interests of regional reproduction subjects and conflicts among them.