Competitive climate and conditions in the region: the role and impact on company behavior

Article presents the findings of a study on the impact of competitive conditions in Omsk Region on the competitive landscape of regional markets. All regions are faced with the challenge of promoting competition in their respective markets, as supported by the "Standard of Development of Competition in Entities of the Russian Federation", the National Competition Development Plan (2021-2025) and the Federal Law "On Protection of Competition". The primary regulatory objective is to prevent violations of the Federal Competition Law, ensuring compliance with its prohibitions and implementation of the action plans outlined in the Competition Development Standards and National Plan. These measures are aimed at influencing the behavior and numbers of private producers in priority and socially significant markets. Therefore, in order to achieve the objectives of competition development, it is essential for regions to not only assess the existing conditions in terms of growth in the number of market players, but also to monitor the formation of strategic producer behavior and how companies adapt to long-term competitive circumstances by evaluating their readiness to compete and the characteristics of the competitive environment (intensity of competitive rivalry). The conducted study confirms the hypothesis that the competitive environment influences the intensity of competition, although there is not always a linear relationship between these variables. A survey of experts in the industry revealed that the intensity of competitive rivalry is more influenced by the use of innovation, pricing strategies, and digital transformation than by the sheer number of market actors. Based on the findings, recommendations have been developed to support small and medium-sized businesses, implement digital platforms, and promote innovation, which could be incorporated into state programs in the Omsk region in order to foster a more competitive environment. These measures are generic in nature and could be implemented by municipal and regional authorities in other areas.