DEVELOPMENT OF ELECTRONIC COMMERCE IN UKRAINE AND ITS IMPACT ON THE ECONOMY

Abstract

The development of electronic commerce positively impacts the national economy by transforming business processes and consumer experience. eCommerce provides convenient access to goods and services from anywhere in the world, reducing costs and time spent on purchases, and facilitates the expansion of market opportunities. The aim of this study is to analyze the various characteristics and dimensions of eCommerce development in Ukraine, both before and after the full-scale war, and to examine its profound impact on the economy and broader society. This investigation will consider the shifting trends, challenges, and opportunities within the digital marketplace, offering insights into how these changes influence economic performance and social dynamics. The paper presents an analysis of eCommerce in Ukraine, including the legislative definition of «electronic commerce» and the positive aspects of digitalization on the economy. It examines the effects of global and local factors on the development of eCommerce in Ukraine and provides an overview of the dynamics of Ukrainian eCommerce from 2017 to 2023 in terms of major retailers. A forecast of significant growth in eCommerce revenues by 2029 in Ukraine is provided, based on the adoption of new technologies, including artificial intelligence and blockchain solutions, as well as improvements in digital literacy, expansion of eCommerce infrastructure, changes in consumer habits, and support for small and medium-sized businesses. Based on the analysis, recommendations for post-war recovery of the eCommerce sector are proposed. Conclusions are drawn regarding the positive impact of eCommerce on businesses, the state, and consumers. Further development of eCommerce in Ukraine requires adaptation to new conditions and technological innovations, increased digital literacy, and support for small and medium enterprises in their transition to online platforms