Financial Model of Digital Cooperation in Business

Abstract

AbstractThis study aims to develop promising financial models of digital cooperation in business for different world regions through a comparative analysis of European-American and Asian-Pacific business practices. We sampled the top 10 countries by the turnover of the largest cooperative association in 2020 for the experimental part of the study. The main methods of this study are correlation and regression analysis. The results demonstrated a strong correlation between the turnover of the cooperative business structure of the Asian-Pacific region and funding for technological development (−86.31%). We identified the key factors and fields for financing, which were different for the European-American (country credit rating: −9.13%; venture capital: −3.75%) and the Asian-Pacific (funding for technological development: −86.31%) practice. We established that, at the maximum level of the key elements of financial support, the turnover of cooperative enterprises would rise by 708.49% in the Asian-Pacific region and only by 8.96% in the European-American region. The created financial models of digital cooperation in different regions of the world can be used to take into account the specifics of geography and business practices for the most effective financial management of digital cooperation development.KeywordsFinancial modelDigital cooperationEntrepreneurshipEuropean-American modelAsian-Pacific modelJEL CodesC71F12F15J54L13L24L26L41P13Q01