IMPROVING THE MANAGEMENT SYSTEM OF HOLDING COMPANIES AND FINANCIAL-INDUSTRIAL GROUPS IN AZERBAIJAN

Holdings first appeared in world practice at the end of the 19th century and the beginning of the 20th century as a result of the prohibition of the trust system in the United States with "antitrust laws". In Azerbaijan, it can be said that the holding system began to gain importance after gaining independence in the 1990s. Recently, the constantly occurring processes of creation of new companies in Azerbaijan, organizational and legal restructuring of existing companies (mergers, joints, separation of independent companies), their destruction, and bankruptcy are accompanied by directing capital to such a sphere of the economy where its more profitable use is expected. One of the effective forms of capital centralization is the creation and functioning of complex economic systems that represent a group of interconnected organizations with a certain internal structure. That is why in the economic environment of Azerbaijan, the spread of consolidation of enterprises in the form of consolidated (holding) groups in large, medium, and small businesses has expanded. There are many reasons for this: the multi-profile business of the majority of medium and small enterprises, territorial and field divisions of enterprises, and trying to appear as a consolidated taxpayer. On the one hand, operational activity related to the market (marketing policy, market strategy) and financial independence is the need of the period. On the other hand, a single center of general management is still required [1,79].