Digitalization as a tool for innovative economic development

Abstract

Under modern economic conditions, digitalization of the economy is a strategic development priority in many countries. The introduction of technologies that promote digitalization of the economy allows the state, businesses and society to interact effectively in order to increasingly large-scale and dynamic process. Digital economy is becoming a critical driver of innovation, economic growth and competitiveness. Introduction of digital technologies opens up new opportunities for cooperation at all stages of the innovation process. The constant exchange of ideas and data sharing accelerate the innovation process fast and make it sustainable. A model of innovative development based on digitalization tools has been proposed. The authors have identified opportunities, detected threats in view of the pandemics events of 2020, revealed constraints of economic activity under lockdown, developed support measures by taking into account the specifics of digital transformation, summarized the results and focused on improving the ICT infrastructure and integrating digital technologies into the real sector of the economy. The conclusions and generalizations made in the course of the research, aswell as the model of innovative development and recommendations for increasing the efficiency of the implementation of measures to support innovation in the context of digital transformation can be used to develop plans and programs for the development of territories.