Conceptual Foundations for Managing the Financial Potential of a Business Entity under Conditions of Strategic Uncertainty

Abstract

The purpose of the article is to further develop the theoretical foundations of financial potential management for business entities and to design a model of the financial potential management system under conditions of strategic uncertainty. In the course of the study and to achieve the defined goal, both general scientific and special methods were applied: the dialectical method of scientific cognition, analysis and synthesis, comparative method, abstraction, systems approach, formal logic, and data generalization. As a result of the research, conceptual foundations for managing the formation of financial potential under conditions of strategic uncertainty were generated. To build an effective management system and apply corporate governance tools, the stakeholders of the financial potential management system and their interests, which require harmonization through the application of corporate technologies, were identified. A goal tree for the financial potential management system under conditions of strategic uncertainty was developed, focusing on ensuring financial sustainability, adapting to unforeseen events, and fostering business development in unstable external environments. Based on the reviewed scientific literature, theoretical provisions regarding the essence of the generic concepts of financial potential of a business entity and strategic uncertainty, grounded in the resource-based approach, were explored. The business process of managing the formation of financial potential under conditions of uncertainty was structured. The components of the financial mechanism for managing the financial potential of a business entity—principles, functions, tools, methods, and procedures—were identified and substantiated. Approaches to the formation of such an important structural element of the financial potential management system under conditions of strategic uncertainty, namely, support subsystems that facilitate the implementation of adaptive strategies for business entities, were summarized. The conceptual foundations for financial potential management under conditions of uncertainty are aimed at the effective utilization of an enterprise's financial resources in an unstable external environment.