Qualitative criteria for evaluating business activity of autonomous subdivisions

Business activity is connected to the most important characteristics of business and financial performance of the enterprise. Business activity is sensitive enough to fluctuations in various factors of the internal and external environment, the effects of which may have a positive impact on operations but also create factors and conditions for the ‘fading' of business activity. In view of this, analysis of business activity plays an important role in the fiscal review of an economic entity. While analyzing the business activity of the enterprise, the financiers concentrate on the assessment of quantitative indicators, where for multi-business companies, which autonomous subdivisions operate in different geographical markets, it is advisable to begin with the business analysis by qualitative indicators. This analysis will reveal the managerial criteria of the company in order to make strategic decisions. Thus, the analysis of business activity of multi-business companies, by qualitative indicators, will allow us to assess the necessity of market coverage in different geographical areas, to be receptive to customer demand, to support healthy competition among competitors, to have positive business reputation with identifiable brand, and be attractive to loyal customers and suppliers. This article substantiates the need for a detailed analysis of business activity assessment, by qualitative criteria, of each autonomous subdivision as a primary ‘assessment tool' in the business activity analysis group and its impact on the entire company.