Sharmanska S. Profit and features for it's formation and use in transition economy

This thesis is analyzing evolution and scientific approaches to defining profit. The growing role of the profit for the process of societal recreation, along with the strengthening of an influence of formation and using of the profit on market transformation of Ukraine's economy is described. The definition of the profit as a category of economics through definite characteristics and functions is introduced. The influence of the model of economic development on creating institutional environment that enables market participants to get the profit is analyzed. The contradictions of the profit formation in transition economy are revealed. The suggestions to utilize financial and motivational mechanisms for boosting profit, increasing effectiveness of cost management and price formation are proposed. The approaches for the net profit distribution are considered. The contradictions in profit distribution at dividends payments and investing are revealed. The necessity to advance the stimulating role of profit in a motivational mechanism is justified, while the ways to improve the dividends policy and encourage market participants to apply innovation and institutional approaches in their activities are proposed.