OPTIMIZING STRATEGIC DEVELOPMENT IN TRADING ENTERPRISES VIA KEY PERFORMANCE INDICATORS

Abstract

This research explores the role of key performance indicators in optimizing strategic development within trading enterprises. Using a non-linear regression econometric model, the study analyzes data from 50 companies across five countries — Germany, Japan, USA, UK, and Canada — over the period 2019 to 2023. The KPIs studied include Sales growth (SG), Customer satisfaction index (CSI), Inventory turnover ratio (ITR), Return on investment (ROI), and Employee productivity (EP), with the Strategic development outcome (SDO) serving as the dependent variable. The findings reveal intricate relationships between these KPIs and SDO, highlighting varying impacts across different countries and sectors. For instance, in Germany, companies like Volkswagen and Siemens demonstrate strong correlations between CSI and ROI with SDO, emphasizing the importance of customer satisfaction and efficient resource management. Similarly, in Japan, Toyota and Sony illustrate significant influences of EP and ITR on SDO, underscoring the role of operational efficiency and employee productivity in strategic success. The study identifies common challenges in KPI implementation, such as data integration complexities and resistance to change, and proposes solutions like strategic alignment, robust data governance, and fostering a culture of transparency. Implications for trading enterprises include enhanced strategic decision-making, improved operational efficiency, and sustained competitive advantage.