Diversification Strategy and Sustainable Development of Mining Companies in the Eurasian Mining Region

¹ Management Department, Economics and Management Faculty, Kyiv National Economic University, Kyiv, 03057, Ukraine
² Management Department, Economics and Management Faculty, Kyiv National Economic University, Kyiv, 03057, Ukraine
³ Kyiv National University of Culture and Arts, Kyiv, Ukraine, 01601, Kyiv, Evgena Konovalca, 36
⁴ Private Higher Educational Institution “Kyiv University of Culture”, Kyiv, Ukraine, 01601, Kyiv, Evgena Konovalca, 36

^* Corresponding author: ogarafonova@ukr.net

Abstract

The aim of this study is to examine the relationship between diversification strategies implementation and sustainable development goals of mining companies of Eurasian mining region in modern conditions. Today Eurasia is very rich region with minerals-driven sustainable development goals and challenges. In this case it is important to improve strategies of mining companies of Eurasia and to listen to the biggest companies` experience. Diversification strategy is one of the most progressive way to develop mining companies wherein Global Sustainable Development Goals must be considered. Diversification of the enterprise could be realized in such ways: as the extension of its business activities to new areas or as the capital diversification — diversification of assets in company’s investment portfolio. Over the past two years, from 2017 to the beginning of 2019, the number of diversified companies in the TOP 30 Mining companies of the world, according to the PWC consulting company and the Mining[dot]com resource, increased from 8 to 13. Thus, it is important to study the possibilities and features of implementing diversification strategies for mining enterprises of Eurasian mining region. In research it is presented the algorithm of the model, compiled on the basis of the development as applied to solving the problem of diversification of a mining enterprise.