Private and State Entrepreneurship: Functional Interaction

World experience shows that without freemarket economy, without an independent producer, without entrepreneurial activity, the prosperity of society is impossible. The formation of small and medium-sized structures in various sectors corresponds to the world economic trends in the formation of such economies, where a significant number of small enterprises of a diverse profile operate and complement public enterprise.

State enterprise is the most important element of the market economy, which significantly contributes to the growth of GNP.

At the moment in the country this sector is70% of all enterprises and it accounts for approximately 35-40% of the number employed in public production. Consequently, it can be argued that entrepreneurship, in its economic nature, is a product of a market economy and is dialectically associated with it.

In order to consider the role ofentrepreneurship in the development of the country's economy, it is advisable to determine its main functions in the economic mechanism and the forms of state support for small businesses that are being implemented in our country today. It should be noted that the functions of entrepreneurship can be supplemented depending on the real situation, the specific economic situation in the country and the world economy and on what methods of state support for small business dominate at the moment of development.

For harmonious development, the private andstate entrepreneurship should be considered taking into account all the features of the development of entrepreneurship. In this context, we mean the autonomy of private enterprise, on the one hand, and its dependence on state institutions.

Autonomy is manifested through its basicfunctions (gaining profitability and innovativeness of activities) and determines what is common, which is typical for entrepreneurship in any socio-economic environment. And the dependence of private enterprise is expressed through its interaction with the system of state economy through competition and the mechanism for its regulation. In this dialectical development of entrepreneurship, there is an internal mechanism for stimulating entrepreneurial activity.

At the same time, entrepreneurial activity shoulddevelop in all directions. In this regard, the state must take into account the autonomy of entrepreneurship, and at the same time regulate its activities. It is advisable to develop state entrepreneurship in those segments of the economy where private business is simply not able to fulfill tasks determined by public needs.

In science, several areas have been developed, whereprivate entrepreneurship can become an important factor in economic life, both in the structural context of the country's economic mechanism and in the regional one.

World experience shows that effective developmentthe most diverse forms of entrepreneurship is an objective sign of the development of the entire system of management. Entrepreneurship has a number of specific properties that contribute to the acceleration of economic processes and distinguish it from other elements of the market economy. Entrepreneurship is a "troublemaker" and all the time, as it were, transforms the economy into a new qualitative state. It is in the field of entrepreneurial activity that a lot of resources are generated that are factors of economic growth. The system of functions of entrepreneurship from this point of view can be represented as follows:

Increasing the wealth of society - the production of goods as a constant increment of the total wealth of society; Increment of the intellect as the development of the most important factor of the economy;

Participation in national programs - deduction of funds for the implementation of social development programs of the society;

Participation in the state policy of employment of the population - the opening of new industries, or expansion of production;

Ensuring environmental safety of goods and services and taking responsibility for causing environmental damage to their goods and services;

Expansion of production opportunities and the conclusion to a new level - improvement of technologies and methods of production management;

Receiving profit - ensuring breakeven operation of your company;

Innovative activity is the constant search for new solutions in production, organization and management and orientation to scientific and technical progress;

Reducing costs - identifying the internal costs of their business, the use of opportunities presented by external factors.

Competitive struggle in the market - determination of tactics and strategy of behavior in the market;

Reduction of losses - development of wasteless production;

Carrying risk and responsibility - the desire to hedge against risks or, if possible, distribute them.

Thus, the functions of the quotient andstate entrepreneurship are not only compatible, but also can effectively complement each other and replace, with the corresponding need to develop the economic system of society.