Changing Business Environment Research Articles

УПРАВЛІННЯ ПЕРСОНАЛОМ В БІЗНЕС-СТРУКТУРАХ

The article delves into the critical aspects of human resource management within contemporary organizations. The strategic importance of effective personnel management for success in a competitive business environment is analyzed. Personnel management helps to organize the process of selecting candidates in order to obtain the maximum return from employees. Successful implementation of personnel management with the help of proper adaptation helps to speed up the process of integration of newcomers and ensures their productivity in the future. Personnel management affects the formation of corporate culture and ensures coherence in the work of the team, which is a key success factor. The article addresses topics such as personnel recruitment and hiring, development and retention, employee motivation, and the significance of corporate culture in creating a productive work environment. The article also explores modern approaches to personnel management, including the use of information technology, data analytics, and open communication between leadership and employees. Research results and feedback from experts in the field of personnel management are provided to illustrate concepts and provide practical examples. It also investigates how changes in the modern business environment affect approaches to personnel management and the need for continuous updates in practices in this field. The article analyzes the impact of corporate culture on the work environment and productivity and emphasizes the importance of ensuring employee health and well-being. In addition, the article emphasizes the importance of adapting management approaches to changes in the socio-cultural and economic environment, inclusiveness and diversification of personnel. Modern challenges and trends in the field of personnel management are analyzed, including the introduction of remote work and flexible schedules. This article is intended for business executives, HR professionals, students, and anyone interested in improving the efficiency of personnel management to achieve success in the modern business world.

Innovative Solutions for the Formation of Personnel Security of Online Entrepreneurship

The aim of the article is to study the list of innovative solutions for the formation of personnel security of online entrepreneurship. The article analyzes the current state of conditions and features of the formation of personnel security for online entrepreneurship in Ukraine. The relevance of online entrepreneurship for Ukrainian enterprises is substantiated, indicating both the advantages and disadvantages. A definition of online entrepreneurship has been proposed, its types have been considered. Innovative solutions for the formation of personnel security in online entrepreneurship reflect constant changes in the modern business environment and require an integrated approach to ensuring the efficiency and stability of activities. In the contemporary online enterprises, it is necessary to implement leading digital personnel management systems, which will allow you to effectively monitor work processes and ensure control over access to confidential information. Such systems will also help increase the level of cybersecurity and decrease data leakage, reducing risks for the organization. Active implementation of artificial intelligence and data analysis in the practical activities of organizations allows you to predict risks in the field of personnel relations, identify possible threats and take timely measures to prevent them. Machine learning algorithms can detect unusual patterns or activities that may indicate possible security threats, such as unauthorized access or cyberattacks. In addition, conducting specialized online courses and trainings on cybersecurity and the use of remote work for staff are key elements of ensuring personnel security. Increasing the level of staff awareness of these issues helps to avoid unforeseen situations and ensure the stable operation of the enterprise in the online environment. This approach reduces the risk of leakage of confidential information and ensures security for both the company and its customers. Prospects for further research in this direction are to determine the degree of the most innovative solutions for the formation of personnel security of online entrepreneurship, and at the conceptual level there is a need to closer define some concepts and their logical use in practice. Further development of innovative solutions can lead to an increasingly creative approach to the formation of personnel security of online entrepreneurship.

ОСОБЛИВОСТІ УПРАВЛІННЯ БІЗНЕС-ПРОЦЕСАМИ НА ОСНОВІ РЕФЛЕКСИВНОГО ПІДХОДУ: ТЕОРЕТИКО-МЕТОДОЛОГІЧНІ АСПЕКТИ

In the context of the war in Ukraine and the rapidly changing business environment, the implementation of innovative approaches to business process management has become increasingly relevant. The reflexive approach ensures continuous analysis and optimisation of business processes, enhancing the competitiveness and adaptability of enterprises amidst uncertainty and risks. Thе article examines the theoretical and methodological aspects of managing business processes based on the reflexive approach during the war in Ukraine. The main principles and stages of reflexive management, its impact on the efficiency of business processes, and the organisational structure of enterprises are analysed. The article aims to develop a theoretical and methodological foundation for implementing the reflexive approach to business process management in wartime. It is established that the reflexive approach to business process management during wartime ensures improved process efficiency, cost reduction, and enhanced quality of products and services. Research aims to expand scientific knowledge on new management methods that can enhance the effectiveness of business processes in challenging environments. The development of new management approaches and tools tailored to wartime conditions will enable Ukrainian enterprises to operate effectively, maintain competitiveness, and increase resilience even amidst uncertainty. The research results demonstrate that applying the reflexive approach enables enterprises to adapt to external changes, respond promptly to wartime challenges, and improve their competitiveness. The use of modern reflexive approach tools in business process management in Ukraine is substantiated, allowing for the rapid collection and analysis of data, process modelling and optimisation, effective knowledge and collaboration management, decision support, and performance evaluation, thus maintaining business competitiveness in challenging conditions. The article provides practical recommendations for implementing the reflexive approach in business process management and identifies prospects for further research in this direction.

Reliable exploration of the deposit as the first step in the process of forecasting the quality of commercial coal

The article presents the basics of the deposit exploration process carried out at Jastrzębska Spółka Węglowa, which aims to ensure a rational exploitation of resources while maintaining high product quality. It showcases the problems associated with the small mass of samples coming from the exploration wells, which make determining the key quality parameters of coke impossible and proposes solutions to assess the quality of coals in terms of producing coke with high parameters, as determined by the Nippon Steel Corporation (NSC) test, i.e. coke reactivity (CRI) and post-reaction strength (CSR). Jastrzębska Spółka Węglowa, in initiating the “Quality Program” in 2018, covering the processes of deposit modeling, production planning and scheduling, and commercial product quality monitoring, set the goal of improving production processes by enabling the control of the production planning process. Such efforts are aimed at enabling the dynamic adjustment of product quality to the changing business environment, particularly at a time of increased decarbonization efforts in the European steel industry. Knowing the quality of deposits is a milestone in the process of predicting the quality of a commercial product. The primary tools for exploration of the deposit are both surface and underground drilling and sampling of seam coal during ongoing access and mining operations. In addition, analysis of qualitative data, i.e. physicochemical parameters, coking parameters and petrographic analysis from previous mining operations is carried out for the purpose of assessing coal quality and its suitability for coking.

Digitalization and competitive advantage: Insights from manufacturing sector

The study explores the critical role of digitalization in enhancing the competitive advantage of Albanian manufacturing firms amidst a rapidly changing business environment (Guo et al., 2023). It examines various data sources to understand how digital transformation influences firm performance and strategies in Albania. The findings reveal that digitalization significantly boosts profitability, market share, and innovation in these firms, enabling a faster response to market shifts and customer needs. Key drivers for digital adoption in the Albanian manufacturing sector include market trends, competitive pressures, and technological advancements. However, challenges such as financial constraints, skill gaps in the workforce, and data security issues are also prevalent (Kalaj et al., 2022). The research concludes that digitalization is a strategic necessity for Albanian manufacturing firms aiming to establish themselves as industry leaders. By effectively leveraging digital technologies and overcoming related hurdles, these firms can excel in the global market. This condensed summary presents the essence of the original text, focusing on the main findings and conclusions of the research on digitalization in the Albanian manufacturing industry.

Адаптація інноваційних стратегій та міжнародна експансія бізнесу в умовах війни

The aim of the article is to analyze the existing innovation strategies of Ukrainian enterprises and, on this basis, to identify their shortcomings and develop recommendations for improving and adapting innovative approaches to the international expansion of Ukrainian business during the wartime. It is substantiated that in the current conditions of wartime Ukraine, financial crisis, geopolitical pressure, lack of structural reforms, enterprises should not stop introducing innovative approaches to production processes, because this will negatively affect their international competitiveness and business expansion. On the contrary, the active production of advanced innovative products that meet the needs and requirements of consumers will be the basis for maintaining a stable position of enterprises in the market and will ensure their effective and stable functioning in the future. The negative consequences of the full-scale military invasion in relation to the implementation of business activities are determined, which include: reduction in the volume of business activities, in particular, a decrease in the number of operating enterprises; significant loss of income; reducing the number of orders, in particular due to migration processes, decrease in the competitiveness of the population, reduction of local and central budgets; overall cost reduction; reduction of wages; suspension of investments; increasing the turnover of labor resources due to migration processes and mobilization of the population; destruction of energy infrastructure, which led to the disruption of stable activities; loss of equipment and employees by enterprises located in the occupied territories and near the front line. On the example of specific companies, innovative strategies used by Ukrainian enterprises during the wartime for business expansion are analyzed, and the possibilities of their adaptation to terrible conditions, support of pre-war activities and the introduction of improved strategies that will contribute to the further development of companies and their entry into foreign markets in new realities, are considered. Using the matrix method, the potential opportunities and existing threats to Ukrainian enterprises are researched with the help of SWOT analysis, ways to improve their innovation strategies are proposed, by introducing which, Ukrainian enterprises will be able to adapt to the constantly changing business environment, strengthen competitiveness at the global level, enter new markets and optimize production processes in conditions of micro- and macroeconomic instability.

A Method for Identifying Use Cases in Data-Driven Product Management

In today's rapidly changing business environment, characterized by shifting customer needs, volatile markets, and uncertain competition, product management must gather and synthesize diverse requirements to make informed product decisions and effectively position products in the market. Increasing digitization generates product-related data from diverse sources, such as usage and social media information. Leveraging and analyzing this data has the potential to improve the quality of product decisions. However, the range of data-driven opportunities in product management is vast and varied, requiring companies to identify appropriate starting points for implementation.This paper presents a method for identifying and selecting potential use cases for data-driven product management developed using action design research in five industrial companies. The method includes support for 1) recording the initial situation and tasks of the product management in the given company, 2) the identification of opportunities for beneficial data analysis, 3) the derivation and documentation of potential use cases, and 4) the prioritization of the use cases to derive a possible implementation roadmap. Hence, the methodology provides significant support for an initial exploration of use cases in data-driven product management through a tested approach.

Unifying Educational Theory with Change Management in IT Environments: Empowering Employee Engagement through Educational Strategies

This study investigates the influence of change management on employee engagement and performance in IT organizations located in Chennai. The research emphasizes the importance of effective communication, training, leadership support, and recognition in promoting excellent employee outcomes throughout organizational transformations, based on data gathered from 148 individuals. An analysis demonstrates a robust association between these tactics for managing change and enhanced employee engagement and performance. The results emphasize the importance of tackling resistance to change and fostering a culture that is open to adapting. This study offers useful insights for firms seeking to improve productivity and attain long-term success in a rapidly changing business environment.

The impact of franchisor resources, relational capital, and market responsiveness on franchisee performance: From the dynamic capability perspective

In today’s rapidly changing business environment, franchisees’ market responsiveness is a way to create a sustainable competitive advantage. Drawing on the resource-based view, dynamic capability perspective and relational view, this study examines the relationships between franchisor resources, relational capital, market responsiveness, and franchisee performance. Based on data collected from 152 franchisees in a convenience store chain in Taiwan, the analysis revealed that market responsiveness, franchisor resources and relational capital are all positively related to franchisee performance. Franchisor resources and relational capital positively affect franchisee performance both directly and indirectly through market responsiveness. Furthermore, relational capital has the strongest effect on franchisee performance.

Exploring the Impacts of Knowledge Infrastructure, Dynamic Capability, and Customer Relationship Management Ability on Business Value of a Firm

The dynamic capability of a firm is the ability to combine, develop, and reconfigure the external as well as internal expertise to respond to the changing business environment in a faster manner. A firm's knowledge infrastructure capability includes structural ability, technological ability, and human resource ability to meet the changing business requirements for the firm to manage its knowledge base. Also, the customer relationship management (CRM) ability of a firm helps it to engage with customers to meet their dynamically changing requirements. Studies show how these capabilities can enhance business value. But there is no study which investigated the combined impacts of a firm's knowledge infrastructure, dynamic capability, and CRM capability on creating business value. Therefore, this study aims to close this gap. With the help of dynamic capability view and resource-based view theory along with literature, we prepared a theoretical model. Later, we validated the model using partial least square structural equation modeling technique with 317 responses from India. The study finds that there is a significant and positive combined impact of a firm's knowledge infrastructure, dynamic capability, and CRM capability on the value creation for the firm, which in turn significantly and positively impacts firm performance.

ОРГАНІЗАЦІЙНО-МЕТОДИЧНІ АСПЕКТИ ПОБУДОВИ СИСТЕМИ ВНУТРІШНЬОГО КОНТРОЛЮ ПІДПРИЄМСТВ СТРАХОВОЇ ДІЯЛЬНОСТІ

The article examines the importance of internal control in the insurance sector and its impact on financial stability and customer confidence. Various approaches to the organization of internal control are considered, such as internal audit, control services and outsourcing. The effectiveness of these approaches and their influence on the financial indicators of insurance companies were studied. The results of the analysis confirm that the implementation of an effective internal control system contributes to ensuring financial stability and customer trust, which is critically important for the successful operation of insurance companies. The development and implementation of an effective system of internal control in insurance companies are key aspects of ensuring their stability and reliability in a constantly changing business environment. This system allows not only to minimize the risks of financial losses through effective management of resources and assets, but also ensures compliance with legal requirements and standards. Various methods were used in the research process, such as logical analysis for the evaluation of scientific works, an analytical approach for analyzing the costs and effectiveness of system implementation, as well as a graphic representation of the process of building a controlling system. Therefore, this article highlights the importance of internal control for insurance companies and provides recommendations for optimizing this process. The implementation of an effective internal control system can become a decisive factor for ensuring the sustainability and success of insurance companies in the modern competitive environment. This analysis points to the need for further research in this direction, in particular, the development of new methods of internal control, evaluation of their effectiveness, and the introduction of innovative approaches to the insurance business. Such studies can contribute to the further increase of competitiveness and stability of insurance companies in the conditions of constant changes in the market.

Using modern theories of motivation in the practice of personnel management

In a fast-changing world and a competitive business environment, effective personnel management is becoming a critical element of any organization's success. One of the key components of modern personnel management is motivation, which determines the degree of involvement and commitment of employees to the achievement of the company's goals. The essence and role of motivation determine the success of the management strategy and affect the effectiveness of the organization. The article examines the importance of effective personnel management in today's competitive environment and highlights its key aspect – employee motivation. The authors examine modern theories of motivation, such as Maslow's need theory, McGregor's theory «X» and «Y», Vroom's expectancy theory, and equity theory. It is considered how these theories can be used in personnel management practice to create effective motivation systems. The authors note the importance of recognizing and rewarding employees to ensure their motivation and job satisfaction. Modern motivational theories face several problems. First, the individualization of the needs and values of employees makes it difficult to create universal methods of stimulation. Second, the role of intangible incentives and self-fulfillment is becoming increasingly important, but measuring and managing them is a challenge for organizations. In addition, the rapidly changing business environment requires constant updating of motivation strategies, which is also a time-consuming task. The development of current theories of motivation is the key reason for the successful development of a company and ensuring competitiveness in the market. In modern society, the development of motivational tools is determined by flexibility, individualization and emphasis on the personal and professional growth of employees. Technological innovations, a balanced approach to incentives, reflection of company values and employee participation in management create a complex motivation system. Addressing issues of health and stress resistance emphasize the importance of the psychosocial well-being of employees. These directions define a new approach to personnel management aimed at creating sustainable and effective organizations in the modern business environment.

Бліц-масштабування в стратегічній конфігурації управління транспарентністю розвитку підприємств на основі цифрової когерентності

In the investment environment, which is formed under the influence of management processes in the real sector of the economy, a kind of «vicious circle» arises: the use of outdated, technologically backward production equipment leads to the production of products that lose both price and especially non-price competitiveness, which leads to a decrease in investment attractiveness and complicates the attraction of investment loans. The blitz-scaling strategy has become popular in various industries, including the technology sector. Companies, able to scale their products or services quickly, can find success in the market by means of a rapid gaining of a share. That being said, results may vary depending on the specific industry and market conditions. In recent years, the importance of digital transparency has become even greater due to the demands of society and the growing role of ethical aspects in doing business. Businesses that demonstrate openness and responsibility in the use of digital technologies can expect greater support and trust from customers, investors, and the public. Ensuring transparency and high standards of ethics is crucial to trusting customers and partners because of the ethical aspects of the use of digital technologies. The strategic configuration of enterprise transparency management based on digital coherence is not just a task for enterprises, but also a necessity for their success in the era of digital transformation. Consistent implementation of these principles will allow not only to survive in the face of change, but also to thrive, realizing its existing and hidden potential in a world where digitalization is becoming the norm. Building a model of strategic configuration of enterprise development transparency management based on digital coherence is an important aspect of successful functioning in the modern digital world. This is the basis for the development of strategic plans, which determines the vector of development, avoids differences in the understanding of tasks, contributing to the formation of a common understanding of the goal and ways to achieve it. All these aspects of building transparency in enterprise development through digital technologies pave the way for sustainable success and increased competitiveness in a rapidly changing business environment.

The influence of information technology on supply chain resilience through purchasing strategy, production flexibility, and supply chain responsiveness

In today's rapidly changing business environment, companies need to be dynamic, adapting their internal processes to respond effectively to external changes. Information Technology has become crucial for businesses to enhance their ability to manage and adapt to change. This study examines East Java manufacturing companies that have heavily invested in sustainable IT systems to enhance their supply chain responsiveness and resilience through improved purchasing strategies and production flexibility. The study collected data from companies that had implemented IT for at least three years, with respondents being permanent employees with a minimum of two years' experience. Analysis of 108 survey responses using SmartPLS 4 revealed significant impacts of IT implementation on purchasing strategy (0.610), production flexibility (0.363), and supply chain responsiveness (0.164). Furthermore, purchasing strategy influenced production flexibility (0.367), supply chain responsiveness (0.348), and resilience (0.166). Production flexibility also affected supply chain responsiveness (0.348) and resilience (0.343), while responsiveness impacted resilience by 0.306. These findings provide a practical contribution for functional managers in companies regarding the importance of IT investment in developing effective purchasing, production, and marketing strategies to meet market demands swiftly. The research contributes to supply chain strategy and resilience theory while highlighting the significance of strong collaboration with external partners for top management.

Revenue Relation with VAT in Nepal Government Budget Structure

Taxes are major fiscal policy instruments and important government policy tools have an important role in increasing the rate of capital formation and thereby a high rate of economic growth can be achieved. Globalization, privatization and liberalization have brought the huge change in the country budget and economic environment. The budget management of government is one of the important tasks which play very important role in the nation and international environment which influence the technology and changing business environment has posed many challenges before management. This study aims to find out the Nepal government budget status in economic sectors. Descriptive research has been conducted using annual report of economic survey of ministry of finance. Descriptive analysis suggested that is strong relationship between revenue and expenditure management of Nepal government budget. The main objective of this study is to determine the relationship between revenue and expenditure in the study made over the period 2073/74 to 2077/78 taken as a sample year in this research study among the various fiscal years of Nepal government budget. The statistical methods of trend analysis and descriptive statistics like mean, standard deviation, coefficient of variation and hypothesis test were used to analyze the study outcomes.
 The results of the study indicated the revenue, expenditure and deficits conditions of Nepal government budget. This research articles report sources of revenue and structure of budget heads of Nepalese economic sector. It also reflects the whole revenue and expenditure positions of Nepal government and effective implementation of revenue estimation to manage deficits conditions. The revenue, expenditure and deficits conditions policy and strategies would also helps to manage deficits conditions by research studying.

Identifying Critical Success Factors in Supply Chain Performance

Because of the rapidly changing business environment, companies must have the ability to quickly respond to environmental changes in order to survive. This study explores supply chain critical success factors in supply chain performance. In this paper we review the relevant literature and establish related hypotheses. For the purpose of data collection, a survey form is developed based on the constructs for the study model. The questionnaire is designed using a five point Likert scale and administered to respondents. Total valid responses of 337 are used for this study purpose. Descriptive statistics of independent and dependent variables are identified. A regression analysis is conducted for model parameter estimates of supply chain performance with supply chain critical success factors. Study findings show that management may be in a better position dealing with CEO leadership commitment, customer information sharing, supply stability and flexibility, and supplier operational integration, in order. This study is expected to provide supply chain managers and relevant decision-makers with strategic insights for improving decision-making in a supply chain environment and other similar business settings.

Using financial forecasting as a strategic catalyst for enhancing the financial performance of manufacturing companies in Kigali, Rwanda

Business organizations prioritize their financial performance, channeling significant effort into achieving superior results. This pursuit often involves setting targets, managing quotas, and focusing on crucial key ratios. Financial forecasting emerges as an indispensable tool in plotting the course toward optimal performance. It stands as a strategic asset that assesses strengths and weaknesses, becoming the cornerstone of decisions across production, inventory, personnel, and facilities. In the realm of manufacturing firms, effective financial forecasting isn't just pivotal—it's the linchpin for survival, growth, and sustained success. This study delved into the financial forecasting methods commonly employed by 842 manufacturing firms in Kigali, Rwanda. A sample of 90 firms, involving Directors of Finance and Accounting staff, illuminated insights critical to understanding this landscape. Results revealed that sales and profit forecasting reign supreme, embraced by 37.78% and 38.89% of these manufacturing entities, respectively. Yet, challenges persist, notably in achieving forecast accuracy and managing associated risks. Recommendations stem from this diagnosis, suggesting the establishment of review committees dedicated to enhancing forecasting methodologies. Ensuring the credibility and reliability of this study involved employing the test-retest method to validate and solidify the consistency and accuracy of the data. This approach underpins the findings, indicating that similar research efforts would yield consistent results, reinforcing the authenticity of the depicted ground reality. To bolster financial performance without limiting operational agility in a swiftly changing business environment, the study emphasizes the need for continued improvements in forecasting processes. This includes not only refining methods but also devising strategies to navigate unforeseen challenges effectively. Keywords: Financial performance, Financial forecasting, Strategic financial planning, Accounting staff, Manufacturing firms.

Product Roadmap Planning in Dynamic Markets

In the quickly changing business environment of today, product roadmap planning has become an essential component of organisational strategy. This is especially true in dynamic markets that are characterised by fast technology breakthroughs, altering customer tastes, and strong competitive challenges. This article looks into the complexities of product roadmap planning within such unpredictable marketplaces, analysing the most important tactics, best practices, and obstacles that are encountered by organisations that are attempting to retain a competitive advantage. Product roadmaps are strategic blueprints that explain the vision, direction, and advancement of a product across time. They are used to plan the product's development. For these roadmaps to be effective in dynamic marketplaces, they need to be flexible and forward-looking, able to accommodate developments that are both anticipated and unexpected. The purpose of this article is to investigate the fundamental elements that constitute efficient product roadmap planning, with a particular focus on the importance of adaptability and agility in the face of changes in the market. Finding a way to strike a balance between short-term and long-term aims is one of the most significant issues that dynamic marketplaces provide. Companies have to find a way to negotiate the conflict that exists between the urgent requirements of their customers and their wider strategic goals. The implementation of iterative development, periodic appraisal of market trends, and the inclusion of consumer input into the roadmap are some of the strategies that are discussed in this article as potential methods for striking this balance.

MANAGEMENT CONTROL OVER THE ACTIVITIES OF BUSINESS ENTITIES

The article presents the main aspects of organisation of management control. An a priori analysis of the accounting and analytical support of the process of managing the enterprise's activities has been carried out. The Order on the accounting policy of enterprise is analysed in detail and its main advantages and disadvantages are identified. The article considers the stage-by-stage and object-by-object formation of the accounting policy of enterprise. It emphasises the importance of correct formation of the accounting order and develops and presents main stages of the strategy of efficient functioning of an enterprise. The necessity of organization of management control as a key factor of profitability of enterprise has been proved. An assessment of the activities of a limited liability company for three years has been carried out. The methodical approaches to assessing the analysis of the enterprise's activity have been generalized: a methodology for calculating indicators has been presented and their analytical interpretation has been carried out. The system of indicators for diagnostics of enterprise activity is built on the basis of cause-and-effect relations of their analytical functions. Based on the reliable financial statements, the article evaluates the activities of PROMZIPAKTIV LLC for three years, revealing a long-term trend towards unprofitability and financial difficulties, especially in 2020. Negative profitability and declining equity indicate the need for strategic changes. Positive aspects have been identified, such as the growth of net service income, which is combined with the efficiency of asset use. Problems with liquidity, asset turnover and liquidity efficiency require urgent measures. It is recommended to optimize inventory management, increase liquidity ratios and accelerate the turnover of receivables. increase the financial stability and sustainable development of the enterprise. In the course of the study, it was found that periodic monitoring and adaptation of the strategy is a productive feature for the successful implementation of management control. Hypothetically, it is planned that the development strategy should ensure sustainable growth of a business entity. These steps are aimed at improving financial stability and management efficiency to ensure sustainable development in the face of financial difficulties. It is proved that management control, as a management tool, is indeed crucial for achieving strategic goals and ensuring the stability of an enterprise in a changing business environment.

ФІНАНСОВІ ІНСТРУМЕНТИ В РОЗВИТКУ БІЗНЕС-ІННОВАЦІЙ

This article analyzes the role of financial instruments in supporting and stimulating business innovations, considers venture financing, lending, crowdfunding and other mechanisms as key levers for the development of innovative projects and startups. The purpose of the study is to identify and analyze the factors that make certain financial instruments more effective in supporting innovation. The advantages and disadvantages of each instrument are considered, and their ability to adapt to the changing business environment is discussed. The article utilizes a variety of research methods, including literature review, case studies, and comparative analysis, to provide a comprehensive view of the topic. The study shows that venture capital investments often provide not only capital, but also valuable knowledge, mentoring, and access to a network of contacts. The results indicate that traditional bank lending is often inaccessible or insufficiently flexible for innovation-oriented companies due to the high level of risk. However, specialized loan programs, such as government guarantees and subsidized loans, can increase the availability of credit for innovative projects. Crowdfunding is an effective tool for validating market demand and raising initial funding, especially for projects that go beyond traditional investment models. The results emphasize the importance of financial innovations, such as fintech solutions and digital currencies, which can simplify access to capital and reduce transaction costs for innovative enterprises. One of the key challenges is the divergent understanding of risk between investors and innovators. The article emphasizes that bureaucracy and complexity of processes for obtaining financing can significantly slow down or even stop innovation initiatives, and the flexibility and adaptability of financial instruments are key to effectively supporting innovation, especially in the context of a rapidly changing market and technological progress. These results provide important insights into various aspects of innovation financing and can be used to develop more effective strategies and policies in this area.