Evaluation of the Products Supplied by an Economic Interest Group: Big, Small and Medium Business Approach
Evaluation of the Products Supplied by an Economic Interest Group: Big, Small and Medium Business Approach

Summary/Abstract: Taking part in the activity of an economic interest group and creating collective products, business enterprises suffer material and non-material costs. Therefore there arises the wish to use collective products without any effort to create them, i. e. to apply “parasitic” strategy. The product supply strategy is worked out according to Paret’s effectiveness condition when big, medium and small enterprises take part in the activity of an economic interest group. The article presents the results of the analysis of an economic interest group based on the research by foreign economist in the aspect of the benefit and costs in participating in a collective activity and distributing economy subject according to economic capacity into big, medium and small business enterprises. The article distinguishes the main factors conditioning the stimulation and hindrance of the activity of an economic interest group. In order to better define the effectiveness of the activity of an economic interest group, the factors reducing the effectiveness of group activity are classified into interior and exterior destructive factors.

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