InnoVATIVeneSS OF THE UKRAINIAN EConoMY on THE WAY to THE EU

The research goal of this paper is to study the impact of innovation in an economy. This has an effect not only on the economy in general, but particularly on entrepreneurism. To narrow the focus of the study, the Middle East and North Africa (MENA) region was chosen and two countries were selected: Egypt, which is mainly in North Africa but partially in West Asia; and Qatar, which is in the most eastern portion of the Arabian Peninsula. Egypt is the most populated country in MENA, while Qatar has one of the smallest populations. Numerical taxonomy was applied to secondary data from Global Innovation Index (GII) for 2008–2017 for Egypt, Qatar and Switzerland, which was chosen as the benchmark country. Egypt has an efficiency-driven economy while Qatar and Switzerland have innovation-driven economies. Data from these three countries formed the compound distance matrices (i.e. primary data) of the research; the GII’s annual country reports were used to specify the innovation distances within all three countries (i.e. secondary data). The results of the paper demonstrated that while emulating Switzerland’s innovation success remains a long-term goal for many countries, Qatar is far more innovative than Egypt.

National level innovation has been studied prominently. Global indices are utilized while evaluating country level innovation. Global Innovation Index (GII) is one of the most commonly used indices in this context. Moreover, cultural dynamics also affect innovation level. Hofstede’s Cultural Dimensions (HCD) is one of the outstanding guidelines on cultural dynamics of countries. In this study, infrastructure, institutions, and human capital and research are designated input indicators of GII while knowledge and technology output and creativity output are chosen output indicators of GII. Moreover, indulgence is considered as a moderator variable from HCD. Our main aim is to examine the relationships among global innovation index factors and investigate the moderating effect of indulgence on these relationships. For this purpose, we proposed a conceptual model to explore these relationships. Structural Equation Modeling (SEM) was employed in order to conduct path analysis with data from official web sites. The results show that all hypotheses related to GII factors are supported, and a moderating effect of indulgence is observed on some of the relationships. These findings indicate that countries with sufficient innovation input make the transformation to innovation outputs. Furthermore, innovation leaders should be aware of societies have more indulgent score moderate several relationships.

Several global indices have been used to classify and to analyze the states of countries. Comparison can be performed not only based on country but also annually for each country. In this study, three prominent indices, the Global Competitiveness Index (GCI), the Global Innovation Index (GII) and the Human Development Index (HDI) were investigated to examine the relationships between them by employing the PLS-SEM method. According to the results, HDI has an influence on GII while GCI is affected by GII. The results also demonstrated that GII has a full mediating effect on the relationship between HDI and GCI. Moreover, findings indicated that countries should improve their innovativeness by taking human capital into consideration to gain competitive advantages.

The relationship between the innovative development of enterprises and the processes of economic digitalization has been explored, focusing on the analysis of two global indices: the Global Innovation Index (GII) and the Network Readiness Index (NRI). Innovations are considered a key driver of economic growth, particularly in the context of digital transformations. Digitalization serves as the foundation for modern innovative development, aiming to optimize business models, automate processes, and improve customer communication. The article substantiates that digital tools, such as artificial intelligence, big data, blockchain, and the Internet of Things, create prerequisites for enhancing the competitiveness of enterprises. The authors analyze Ukraine’s position in global rankings such as Global Innovation Index and Network Readiness Index. According to the Global Innovation Index, Ukraine ranks 54th in output performance, demonstrating efficiency in using limited resources, but only 78th in input resources due to low funding, lack of infrastructure, and political obstacles. This highlights the country’s high innovative potential but limited opportunities for its realization. In the context of the Network Readiness Index, Ukraine achieved 43rd place among 133 countries in 2024, indicating progress in digital readiness despite economic challenges. However, gaps remain in the «Technology» and «Impact» categories, pointing to the need for further investments and improvements in regulatory frameworks. The study results show a weak inverse relationship between the dynamics of the Global Innovation Index and Network Readiness Index, emphasizing the presence of sufficient digital infrastructure but its insufficient utilization for the innovative development of enterprises. To enhance Ukraine’s innovation activity, it is necessary to improve resource management, attract investments, and strengthen digitalization efforts.

Introduction. The relationship between the Human Development Index, life expectancy and the level of innovative development of the economy as a whole for the countries of the world and separately for 85 subjects of the Russian Federation is considered. Materials and methods. The source of information for assessing the level of development of the innovative economy in the countries of the world was the Global Innovation Index for 2019, and in the regions of Russia – the data of the Association of Innovative Regions of Russia. The Human Development Report 2020 published by the United Nations Development Program was used to obtain information on Human Development Indices in the countries of the world. The source of information on Human Development Indices in the regions of Russia was the Analytical Note “Human Development Index in Russia: Regional Differences”, published by the Analytical Center under the Government of the Russian Federation in 2021. The source of information on the life expectancy of the population of 85 regions of Russia is the collections of Rosstat. Correlation and non-parametric analysis of variance was used to assess the relationship between the studied indicators. Results. It is shown that the Spearman correlation coefficient between the Global Innovation Index (GII) and the Human Development Index (HDI) according to the data for the countries of the world is 0.905 (significance level – <0.0001), the correlation coefficients between GII and life expectancy, both average and separately for men and women, are quite high: 0.834; 0.794 and 0.852 respectively. The correlation coefficient between the Innovative Economy Development Index (IEDI) and the HDI according to data for 85 regions of the Russian Federation is 0.578 (significance level is < 0.0001), the correlation coefficients between the IEDI and average life expectancy and separately for men are not statistically significant, but for the female population – 0.233 (significance level – 0.033). Conclusion. In the world, with the development of an innovative economy, the Human Development Index is growing, which, in turn, accelerates the development of the economy. In the world, with the growth of the level of development of the innovative economy, the average life expectancy is growing. In Russia, the relationship between the Human Development Index and the level of development of the innovative economy is rather linear, and the correlation coefficient between these indicators is much lower compared to the correlation coefficient for the countries of the world. In Russia, there is a significant positive correlation between the Innovative Economy Development Index and life expectancy only for the female population.

At this stage of development of the world economy, all countries, business and scientific organizations are engaged in the issue of quality monitoring of innovative development of society and the economy, inventing for this various indicators that could most comprehensively assess the level and quality of innovative development of an economic unit. Currently, the global innovation index is used to assess the level of the country's innovative development. The Global Innovation Index (GII) stimulates and supports innovation during this critical period. The Global Innovation Index is a global study and its accompanying ranking of countries in the world in terms of the level of innovation development. This article has reviewed the Global Innovation Index from 2015 to 2020 for the Russian Federation and the first 10 in the rating, based on the 2020 rating. We also analyzed the indicators that make up the main components of the global innovation index in Russia for 2020, and identified the strengths and weaknesses of 7 main components. The author proposes the main directions of development in terms of problem indicators of the global innovation index of the Russian Federation.

Purpose: Solving the problem of uncertainty of the economic consequences of the traditional and innovative societies, which hinders justified decisions in the sphere of traditions and innovations during state and corporate management, through specification of the economic essence and notions of innovations and traditions, as well as opposing traditional and innovative societiees from the positions of economic consequences depending on the economic systems’ financial position. Design/methodology/approach: Comparative analysis and correlation analysis are used for finding the differences in the value of the Global Competitiveness Index 4.0, happiness index, and sustainable development index, as well as differences in their correlation with the Global Innovation Index in innovative economies (developed and developing countries with the highest values of the Global Innovation Index) and traditional economies (developing countries with low values of the Global Innovation Index). The research is performed based on the data as of early 2020. Findings: The authors find substantial differences in the consequences of innovations management in the traditional and innovative economies by the level of The Global Competitiveness Index 4.0, level of society’s happiness, and sustainability of development depending on the economic systems’ financial position. Also, differences in dependence of these characteristics on innovations management are found. Originality/value: It is determined that innovations in economics (unlike other socio-humanitarian sciences) are not directly opposite to traditions, but have a lot of common features. In particular, traditions and innovations are the strategic tools of state and corporate management socio-economic systems’ management.KeywordsInnovationsTraditionsNotionEssenceOppositionTraditional economyInnovative economyJEL CodesG31G32G34H12M11M15M38O31O32O33O38

The article presents a comprehensive argument for introducing modern integrated management technologies. This introduction is contingent not only upon assessing internal enterprise environments and their capability to utilize such technologies but also necessitates the consideration of various readiness components at the national level. These components include personnel, digital, financial, and institutional readiness. It is recommended that international indices such as the Global Innovation Index, Global Talent Competitiveness Index, Network Readiness Index, and Financial Development Index be analyzed to assess a country's readiness for adopting integrated management technologies. The case study was conducted using China as an example, evaluating its readiness to adopt integrated management technologies. It was discovered that China exhibits a commendable level of personnel readiness, as evidenced by its improved rankings in both the Global Innovation Index and the Global Talent Competitiveness Index. Furthermore, China demonstrates a high degree of accessibility to Information and Communication Technology (ICT) and effective utilization of these technologies. This contributes significantly to developing a digital society, fostering enhanced government, citizens, and business interactions. It is worth noting that areas requiring attention include enhancing legislative safeguards for privacy and further developing the regulatory framework for ICT. China exhibits positive trends in its financial institutions and financial markets, indicating substantial efforts towards establishing an efficient and stable financial system. However, challenges persist regarding access to financial markets and institutions, warranting focused management interventions to bolster this aspect. Additionally, there are favorable developments in the institutional and business environment, albeit specific regulatory and legal issues remain to be addressed. Simultaneously, the business climate is improving, evidenced by simplified startup procedures and bankruptcy processes. These improvements are poised to stimulate entrepreneurial activity and attract investments to the country. The proposed assessment methodology enables determining the country's readiness level in supporting business entities' integration of modern management technologies. Keywords: integrated management technologies, personnel readiness, digital readiness, financial readiness, institutional readiness, Global Innovation Index, Global Talent Competitiveness Index, Network Readiness Index, Financial Development Index.

Purpose. To analyze the state and trends of innovative development of the countries of the world, to define the place of Ukraine in the international arena and forecast its innovation. Methodology. The methodological basis was formed by general scientific theoretical methods: generalization, explanation, grouping; statistical method (for a comprehensive assessment of the state and trends of innovative activity of the economies of the countries of the world and Ukraine); methods of analysis and synthesis, economic and mathematical methods of forecasting, methods of abstraction and visualization (for a visual demonstration of the actual data and the results of the study). Findings. The level of innovativeness of the world’s economies and Ukraine’s position in the ranking of the Global Innovation Index (GII) are analyzed. The positive/stimulating influence of globalization processes on the spread of innovations, as well as discriminatory methods of innovative development (“dumping” of second-order technologies in developing countries) are noted. The GII forecast is determined using a regression model of the dependence of this indicator on the specific weight of innovation-active enterprises in the total number of industrial enterprises and innovation costs. The forecasting results showed a slight downward trend in the value of the GII of Ukraine. It is argued that in order to increase the level of innovativeness of the national economy, to strengthen Ukraine’s competitive position, and taking into account the fact that the economies of other countries do not stop in their development, it is necessary to significantly intensify innovative activity in Ukraine. Originality. A scientific-methodical approach to predicting the innovativeness of economic development is proposed depending on the specific weight of innovatively active enterprises in the total number of industrial enterprises and innovation costs. There is an opportunity to carry out predictive and planning calculations of the selected forecasting object, to investigate the behavior of the macroeconomic system in the context of the innovativeness of its development, to make adjustments to the strategic management system at the state level in order to stimulate innovative processes and influence the results of the innovative development of Ukraine in the global dimension. Practical value. The proposed scientific-methodical approach makes it possible to assess the trends of the level of innovativeness of development in the future and becomes an informative basis for developing a system of measures for the activation of innovative activity.

In the context of globalization and dynamic integration processes, the problem of the development of the competitiveness of state remains one of the conditions for its successful functioning on the international scene. At the present stage, the level of technological development and innovative potential of the country, which shape its competitiveness, is becoming increasingly significant. Despite European integration processes, an increase in exports and an increase in the IT sector's share in GDP, Ukraine loses its position in competitiveness ratings. Therefore, the purpose of this article is to investigate the factors that shape the competitiveness of Ukraine in the world economic space. Accordingly, a review of recent studies was conducted to clarify the interpretation of the category of competitiveness of state, and a profound analysis of factors that affect competitiveness of Ukraine using factor analysis of the Global Competitiveness Index was made. As a result of the analysis, the interpretation of the competitiveness of state was expanded by identifying the importance of human capital in its formation. On the basis of the conducted factor analysis of the Global Competitiveness Index of Ukraine in 2014-2018, significant human capital and innovative potential have been identified, what created the basis for the further investigation of these factors using the Global Innovation Index by a similar method and for the same period. The analysis showed that the innovative results of Ukraine are more efficient than innovative resources. In view of this, it was proposed to ensure the implementation of the results of the innovation process to the development of innovative resources, in particular for development of infrastructure and experience in business and in the market, what will increase the level of innovation of the country's economy and living standards of the population in future. In addition, it was established that the management of the implementation of innovative results for the development of Ukraine's competitiveness should take place at all its stages through a functional approach within the framework of the state program of development of the competitiveness of state on an innovative basis.

Human capital is a crucial determinator of economic development because of the rapid pace of scientific and technological progress. The objective of the research is to define the state of human capital in manufacturing and to find the link between human capital and innovation. The correlation and regression analysis of the Human Capital Index designed and calculated by World Bank and Global Innovation Index was designed and calculated by WIPO of 127 countries in the year 2020. The second part of the analysis was the human capital in the manufacturing sector. The secondary data from the Bureau of National statistics were taken from the year 1991 to the year 2020. We analyzed the composition of workers by gender composition, gender pay gap, the number of bachelors graduated of technical major, aging, and education. HCI of Kazakhstan in 2020 is dropped; a possible reason for this is the COVID-19 pandemic’s side effect on the health and education of the population. The correlation between Global Innovation Index and Human Capital Index is 0,86. The 50% gender gap is revealed in the manufacturing sector employees, which shows an upward trend. Most workers in the manufacturing industry do not have a bachelor’s degree, which means that they perform hand labor rather than mental. Probably increasing the innovation used in the country may decrease the number of employees without proper education, while the productivity of the manufacturing sector will increase. However, we should consider that unemployment will increase either.

Purpose: In today's world; where technology, capital and workforce are in a rapid flow across borders; quantitative indicators, that provide insight into the economic and innovative performance of countries, are of key importance for decision makers. One of these indicators is Foreign Direct Investment (FDI); which is not only a mechanism that drives competition and economic development, but is also an international capital flow. This paper investigates whether FDI has a mediator role in the relationship between Global Innovation Index (GII) and Gross Domestic Product (GDP). Design/Methodology/Approach: The mediator variable analysis was conducted based on the secondary data of FDI, GII and GDP of 43 countries which has been obtained from the World Bank between 2014 and 2018. Findings: As a result of the analysis, all hypotheses were accepted. Consequently, a positive and significant relationship was found between the Global Innovation Index (GII) and Gross Domestic Product (GDP), and it was found statistically significant that Foreign Direct Investment (FDI) has a mediator role in this relationship. Originality: In the literature, there is not any research that explains the role of FDI in the relation between Global Innovation Index (GII) and Gross Domestic Product (GDP). In order to address the gap, this study investigates whether FDI has a mediator role in the relationship between GII and GDP.

Trends focused on the Global Innovation Index (GII) as a measure for progress of nanochemistry. This paper provides projections of recent developments in the word in nanochemistry based on the Global Innovation Index as a predictor for certain Arab countries. The GII is an annual ranking of countries by its ability and performance in innovation and is calculated on a basic average from five and two pillars in two sub-indexes, the Innovation Input Index and the Innovation Output Index. Each pillar represents a trait of creativity and consists of up to five measures, with a weighted average formula for measuring their ranking. In 2008, the GII rose to 36.3 in 2016 from 0.5. The GII is smaller than the GII in Arabic countries worldwide. During the years 2013-2016, the worldwide GII was increasing while for the same period, for Arabic countries, this decline could be explained by economic and industrial wars in the Arab region.

Analysis of Global Innovation Index by structural qualitative association

Trends focused on the Global Innovation Index (GII) as a measure for progress of nanochemistry. This paper provides projections of recent developments in the word in nanochemistry based on the Global Innovation Index as a predictor for certain Arab countries. The GII is an annual ranking of countries by its ability and performance in innovation and is calculated on a basic average from five and two pillars in two sub-indexes, the Innovation Input Index and the Innovation Output Index. Each pillar represents a trait of creativity and consists of up to five measures, with a weighted average formula for measuring their ranking. In 2008, the GII rose to 36.3 in 2016 from 0.5. The GII is smaller than the GII in Arabic countries worldwide. During the years 2013-2016, the worldwide GII was increasing while for the same period, for Arabic countries, this decline could be explained by economic and industrial wars in the Arab region.