Abstract
Innovation accelerates economic growth and becomes the key to success in the new post-industrial paradigm. The more innovation, the more a country's prosperity grows. Innovation is a risky and costly type of activity, so it requires significant financial resources attracted from different sources and by different methods. Traditionally, the entrepreneurial sector, which has sufficient amounts of various resources, is the most innovatively active. At the same time, the innovative activity of companies is under pressure from a number of factors. The purpose of the article is to analyze the factors influencing the innovative activity of industrial enterprises in Ukraine and to identify the relationship between the volume of innovation and economic growth of the country. For the analysis there were used the methods of descriptive, comparative and correlation and regression analysis. The sample is created at the basis of data from statistical reports on the research and development activities of economic entities in Ukraine for the period 2000-2019.It has been revealed that there is a steady decline in the number of workers in the innovation sphere in Ukraine, and compared to European countries, these indicators are much lower and tend to decrease further. This affects the place of Ukraine in the global ranking of innovation in a negative way. It is confirmed that there is a direct positive significant relationship between the costs of innovation and bank loans and foreign direct investment in the capital of Ukrainian companies, confirms the thesis of funding as a driver of innovation. It is confirmed for Ukrainian content that there is a positive relationship between innovation and economic growth.
Highlights
R&D and innovation is an important factor in a country's economic growth and prosperity, and contributes to its competitiveness in the modern world
To answer the questions about the determinants defining the amount of the total innovation expenditure of industrial enterprises, a regression analysis was performed according to the identified Hypotheses 1-4
In describing the results of the regression analysis industrial enterprises is at most 16.6%, which means that with three independent variables for total innovation only every 6th enterprise is engaged in innovation and its expenditure (Table 4), it should be noted that bank loans future development
Summary
R&D and innovation is an important factor in a country's economic growth and prosperity, and contributes to its competitiveness in the modern world. Even small and resource-poor countries achieve a high level of economic development with the introduction of disruptive technologies and organizational and product innovations. In conditions of underdevelopment of stock market in Ukraine, and as a consequence, its inability to absorb financial capital and fulfill its mission of provider of capital, low volumes of business crediting by credit institutions, chronic shortage of own funds of enterprises as a result of permanent economic recession, business suffers from inability to activate and finance innovation activity
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