THE IMPACT OF TECHNOLOGICAL INNOVATIONS ON THE COMPETITIVENESS OF THE TELEMATIC COMPANIES

Abstract

Innovation is an important driver of economic progress, benefiting consumers, business and the economy as whole. However, innovation companies face high risks because innovation requires a lot of resources, and it is difficult to predict a payback period in advance. This is common for all types of innovation, but especially to technological innovation. One of the least researched technological innovations is telematics, innovative transport monitoring and control technology solutions. Those are widely applied in logistics, car-sharing platforms and the public transport sector. These innovations help to achieve the goals of the companies that buy and install them, but question what impact they have on the competitiveness of the companies that create these innovations remains a matter of debate. To fill this gap, the purpose of this article is to determine the impact of technological innovation on the competitiveness of telematics companies. In pursuit of this goal, the concepts of technological innovation and competitiveness are revealed. The definition of telematics innovation and its significance for the competitiveness of enterprises was also formed. The empirical part discusses the telematics market, provides the analysis of the main competitiveness indicators of 8 telematics companies and their changes, as well as the analysis of the research and development (R&D) costs and the impact of innovations on competitiveness. Applied research methods: a critical analysis of scientific literature, generalization, systematization of data, computation, and comparison of relative indicator, data dispersion indicator, and dynamics indicator, correlation, and regression analysis. The research reveals that creation and development innovation are related to competitiveness of telematics companies. However, excessive investment into innovation no longer generates positive return.