STRATEGIC APPROACH TO INFORMATION ACCOUNTING SUPPORT OF FINANCIAL-ECONOMIC SECURITY IN THE CONTEXT OF CIRCULAR ECONOMY
Abstract
The research aims to characterize the strategic approach to information accounting support of financial-economic security in the context of circular economy. It is identified that circular economy is a concept of an economic system aimed at maximal resource preservation and waste minimization through reuse, regeneration, and recycling of materials and products. It is established that information accounting support is a system of collecting, processing, analyzing, and presenting information regarding the financial and economic aspects of enterprise activities. It is proven that ensuring financial-economic security in the conditions of a circular economy becomes pivotal, as it requires the establishment of resilient income sources and job provision while reducing dependency on fluctuations in raw material prices and external economic shocks. It is established that information accounting support plays a crucial role in the context of financial-economic security of an enterprise, especially in the conditions of a circular economy. Primarily, this system provides comprehensive and reliable information about the financial position of the enterprise, its assets, liabilities, profits, and expenses. This enables management to make well-founded decisions regarding resource provision, investment projects, and development strategies. Additionally, it pertains to the external environment. Therefore, with access to this data, management can devise strategies to mitigate the negative impact of economic threats and promptly respond to market fluctuations or legislative changes. The transition to circular business models may require significant initial investments in new technologies and processes. However, such a transition opens doors to new markets and customer segments, ensuring long-term benefits from reduced material costs and waste management. Furthermore, financial-economic security in the context of a circular economy is crucial for the overall stability of the country's economy.
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