INNOVATION-DRIVEN GROWTH MODEL IN THE PRESENT CONTEXT OF BUSINESS PERFORMANCE

Abstract

Over the last decade, domestic enterprises have faced serious problems in the sphere of innovative development. Government’s reluctance to finance innovations has become the major obstacle leading to temporary freezing of innovation activity of enterprises. The study aims at investigating the theoretical foundation of innovative modelling of entrepreneurship and elaborating business development model of modern industrial enterprises, taking into account innovation components and the current state of the country’s economy. The theoretical and methodological basis of the research is the conceptual provisions and scientific developments of experts in innovative development and issues relating to the management of innovation processes, published in monographs, periodicals, proceedings of scientific and practical conferences on the problem. In spite of the significant contribution of domestic scholars in research and elaboration of the theoretical background of the country’s innovative development, there are a number of aspects regarding the innovations in performance modelling of industrial enterprises, which remain unclear. Results. At the present stage of development, industrial enterprises are bound to seek internal financial resources for innovative development or carry out modernization involving both domestic and foreign investments. In addition, managers of industrial enterprises have realized that innovation activity is the key to the company’s successful performance in competitive business environment. Although a significant part of domestic investment has been forwarded to innovative business development, there is a problem with the integral planning of innovative activity. Conclusions and directions for further researches. The authors have developed and proposed the basic model of innovative development of Ukrainian industrial enterprises. The model is based on the above-mentioned models of innovative development taking into account specific characteristics and factors in business model elaboration. This model envisages the development of innovation-oriented enterprise consistent with the context of economic performance. The results of the research can be used for modelling and comprehensive assessment of the model implementation in the enterprises in Dnipro region.