Improvement of Mechanisms for Increasing the Competitiveness of Pharmaceutical Industries

In the modern pharmaceutical industry, characterised by a high degree of competition and rapid technological development, the relevance of the study of mechanisms to enhance the competitiveness of production is obvious. The purpose of this study was to analyse the financial and operational aspects of the activities of the Sultan Limited Liability Partnership (LLP) for the period from 2020 to 2023 to identify potential reserves for improving competitiveness.

To achieve this goal, quantitative analysis methods were applied, including multiple linear regression using R analysis software, which allowed assessing the relationship between depreciation charges and the residual value of fixed assets, and analysing the dynamics of sales and procurement turnover and the balance of changes in financial results, cash flows of Sultan LLP for the period from 2020 to 2023. In addition to the analysis of depreciation processes, an assessment of the liquidity and profitability of Sultan LLP was carried out.

The analysis of liquidity and profitability ratios revealed the company’s ability to cover short-term liabilities and its effectiveness in generating profits. During the study of Sultan LLP for the period 2020-2023, it was revealed that the dynamics of turnover and changes in the balance of the company reflect key aspects of its operational efficiency and financial stability. Especially significant was the discovery that 84% of the balance variations at the end of the period can be explained through turnover, emphasising the critical role of effective working capital management. Regression analysis in R showed that debit turnover increased from KZT 2.04 billion in 2020 to KZT 2.42 billion in 2022, while credit turnover peaked at 2.55 billion in 2022, indicating significant fluctuations in operating activities. A significant increase in the balance from KZT 81.3 million in 2020 to KZT 274.4 million in 2021 indicates a potential improvement in the financial situation.

These results highlight the importance of strategic financial management, including diversifying income sources and optimising inventory management to strengthen financial sustainability and maintain market competitiveness.