Investments In Innovative Projects Research Articles

Exploring the competitiveness of Central Asian economies: a comparative analysis

Relevance. In Central Asia, growing economic and infrastructural challenges require urgent solutions and a shift from resource-dependent economies. Although each Central Asian country is following its own independent path, regional integration processes are crucial for enhancing competitiveness at both individual and regional levels. Research Objective. The study aims to conduct a comparative analysis of the competitiveness of Central Asian economies, identifying both their weaknesses and opportunities for sustainable development in the region. Data and Methods. The study relies on both secondary qualitative and quantitative data, drawing on international research on competitiveness and methodological provisions developed by the World Economic Forum. Identical indicators from the World Bank database are analyzed for an indirect assessment of the global competitiveness of Central Asian economies. Results. The study's findings reveal varying levels of competitiveness among the economies in question. Kazakhstan and Uzbekistan, in particular, have shown progress in this sphere due to the availability of natural resources, economic reforms, investments in infrastructure, and the development of human capital. Conclusions. In order to improve the quality of life for their citizens, Central Asian countries need to enhance their competitiveness, which can be accomplished by implementing measures such as diversifying economies, strengthening institutions, and attracting investment in innovative projects.

The Real Effects of Analyst Research Quality: Evidence from the Adoption of the Broker Protocol

AbstractI provide empirical evidence that labour market frictions have an adverse effect on the quality of analyst research. Using the staggered, voluntary adoption of the Protocol for Broker Recruiting (Protocol) since 2004, I show that, without non‐compete agreements, financial analysts produce more accurate forecasts and exert greater efforts in updating their research more frequently. Consistent with the notion that information asymmetry in the capital market are lower in the post‐Protocol period, I provide empirical evidence and argue that the research coverage by Protocol members enables managers to access capital and extend their investment opportunities. My findings suggest that analyst coverage by Protocol members has a favourable effect on investment in innovative projects, production capacity and acquisitions.

Cooperation and innovation under production risk: evidence from a lab-in-the-field experiment

PurposeThis study analyzes the role of cooperative behavior in facing the risk of encouraging innovative agricultural production projects by small-scale farmers in the context of farmers in developing countries.Design/methodology/approachA within-subjects field experiment was conducted with small-scale Colombian panela cane farmers. The authors used the collected data to run the regression analyses.FindingsThe results suggest that when small farmers can follow cooperative behavior by joining a group and pooling resources to face risk, they are more willing to invest in a novel and profitable alternative, albeit riskier. However, the possibility of cooperating with a group to invest in a novel production project depends on its expected risk level.Research limitations/implicationsThese results will help develop agricultural policies for sustainable development. Establishing informal networks for small-scale farmers to deal with unpredictable risks may aid in developing innovative systems.Social implicationsAgriculture is highly vulnerable to climatic impacts, which, combined with the inherent risk of innovation, may reduce small farmers' willingness to adopt innovation. Cooperation appears to be a mechanism for pooling resources and facing risk.Originality/valueResearch has focused on experimentally testing the effect of cooperative behavior when facing risk. The authors contribute to the literature by demonstrating the impact of the ability of small-scale farmers in rural areas to collectively manage risk on investment in innovative projects.

ПРОБЛЕМЫ ИННОВАЦИОННОГО РАЗВИТИЯ В РЕГИОНАЛЬНОЙ ЭКОНОМИЧЕСКОЙ СИСТЕМЕ

The article identifies the problems of innovative development in the regional economic system, which consist in an insufficient level of investment in innovative projects, insufficient interaction between scientific institutions and business, a low level of qualification of employees in the regions, the lack of a system of state support for innovation in the regions. The author analyzes and suggests a solution to the identified problems of innovative development in order to increase the level of development of regions, for example, by creating favorable conditions for attracting investment in innovation, developing interaction between scientific institutions and enterprises, improving the education system and professional development of employees, as well as creating a system of state support for innovation in the regions.

SIMULATION MODELING OF INVESTMENT EFFICIENCY IN THE INNOVATIVE ACTIVITY OF THE ENTERPRISE

In this article we will consider the main problems we face in determining the effectiveness of attracting investment in innovation activities of the enterprise. Many researchers have long been developing better mechanisms for evaluating the effectiveness of investment activities. These include simulation techniques and a multi-step approach. As part of this study, we adapt these techniques for the process of evaluating the economic efficiency of innovation, taking into account the identified features. The methods of evaluating the effectiveness of innovation activity in relation to the investment aspect are proposed, the peculiarity of which is the fact that the amount of project money flows and the amount of investment costs, in particular working capital, needed for introducing the assets of an innovative project into for the production with the use of the newest technologies and innovations are taken into consideration. It is proved that the evaluation of the efficiency of investments in the innovation project predetermines processing of expert assessments applying special tools, which involves checking the conditions of consistency and consensus of experts’ ideas. The final stage of the expertise involves making a decision on selection of one or several innovation projects for implementation in the conditions of the enterprise under consideration. It is established that the basis of selection should be the rating of the innovation project, the cost of its implementation and the budget of the enterprise’s innovation development. The final decision on the appropriateness of introduction of the innovation project does not require rigid formalization, but should be taken by senior management board of the enterprise as a result of qualitative assessment of the efficiency of investment in innovation projects. Simulation modeling is proposed, which will allow to make a decision on the effectiveness of attracting investment in an innovative project.

Tax tools with innovative functionality: practice and possibilities of application in Ukraine

Methods. The methodological basis of the study are general and special methods of scientific knowledge, in particular: methods of interdisciplinary, institutional, comparative and statistical analysis with the use of tabular and graphical methods of data visualization to formulate theoretical foundations of research tax tools with innovative functionality. Results. The essence of tax tools with innovation functionality is determined, the goals of which are the formation of a competitive environment with prerequisites and focus on innovation, support for innovation, intersectoral and public-private cooperation in innovation, state guarantee of investment in innovation projects. The current practices of tax policy in Ukraine with an emphasis on innovative results are analyzed, which allowed the author to divide them into investment, subjective and innovation-resuscitation areas. Novelty. Taking into account the satisfactory situation with regard to innovation in Ukraine, a flowchart of the scientific substantiation of the concept of state regulation of innovative transformations of the economy is proposed, where tax tools occupy an important place. Practical value. The system of measures on the way of effective application of tax tools with innovative functionality in Ukraine is determined. In the short term, measures aimed at overcoming the current destructive effects of tax benefits have been identified, namely: disclosure and public control of their institutional orientation, reduction of tax benefits to resource-intensive sectors of the economy with low innovation efficiency, introduction of profitability criteria for entities. with the prospect of innovation, providing tax benefits for the renewal of fixed assets.

Системи управління ризиками підприємств на основі форсайтно-інноваційних технологій в умовах соціально-економічної нестабільності

The purpose of the article is to form a risk management system for enterprises based on foresight and innovative technologies in conditions of socioeconomic instability. The article stipulates that certain external and internal obstacles that occur on the territory of Ukraine have a negative impact on the development of the national economy, which causes an economic crisis. One of the main conditions for the economy to emerge from the long financial and economic crisis is, first of all, the solution of such a strategic problem as the efficiency of investing in the innovative projects. Its solution will allow industrial enterprises to quickly respond to external and internal changes that constantly arise, in particular, in accordance with the needs of the market to timely update the range of products, the park of technological devices. In turn, the fastest possible satisfaction of market needs will allow enterprises to achieve strategic goals that will eventually solve a number of important socioeconomic tasks of a national scale, namely: strengthening the competitiveness of the country's economy, creating additional jobs, etc. However, one of the significant obstacles in solving the problem of the efficiency of investments in innovative projects and the increase in the number of innovative enterprises is the increased riskiness in conditions of socioeconomic instability.

FINANCING STARTUPS USING CROWDFUNDING PLATFORMS IN UKRAINE AND WORLD

The article examines the development of startups as one of the progressive forms of innovative entrepreneurship, as well as the search for new methods of capital accumulation. The essence of the concept of crowdfunding, prospects of its application for financing of innovative projects are defined. Examples of modern crowdfunding platforms, which are one of the methods of attracting investment to finance startups, are given. The main sources of funding for startup projects are considered, and an attempt is made to characterize the business models of crowdfunding. The classification of types of crowdfunding on the basis of approaches of scientists concerning definition of its kind is offered. A review analysis of the success of the use of international crowdfunding platforms in the context of attracting investment in innovative projects. A number of problems that exist in the development, dissemination and implementation of foreign experience in the implementation and effectiveness of crowdfunding platforms in Ukraine are outlined. Modern globalization processes and the competitive environment necessitate the transfer of Ukraine’s economy to an innovative path of development, which requires significant financial resources. Without the use of the latest tools of the financial and investment system, it is impossible to improve the state of entrepreneurial activity and the implementation of innovative, social and business projects in the domestic economic realities. In the developed world, crowdfunding has already established itself as an innovative high-tech financial tool for raising funds to implement projects and support startups. This method of financing has a number of advantages, but its application in Ukraine is somewhat limited due to certain technological, economic and social barriers. The existence of these problematic aspects necessitates a detailed study of the concept of “crowdfunding”, its features and operating conditions. In general, the development of economic entities depends on many factors, where it is important to attract financial resources for the development of innovative areas of the economy. As a result of the development of information technologies, new forms of financing are created, which are based on public participation. Potential investors may be ordinary citizens, but due to the difficult economic situation, lack of funds and risk, they are still refraining from investing. Understanding that self-financing is an important way to find resources for the company’s own development determines the development of crowdfunding, which today needs to intensify its development in our country.

Evaluation of innovative activity of enterprises in the conditions of European integration

The processes of globalization and integration pose new challenges to the economy of any country, in particular, the issues of assessing and stimulating the innovative activity of enterprises in the context of constant transformation arise. Therefore, the purpose of this study was to substantiate the methodology for assessing the safety of the country's innovative environment, based on stimulating the innovative activity of enterprises in the context of European integration. The result of the study is the formation of methods for calculating the relative indicator of the country's innovativeness and the general indicator of the safety of the innovative environment, which can be used in the future to assess the potential of other countries, they can serve as the basis for making decisions by foreign investors regarding investments in innovative projects. The advantages of using this methodology are taking into account the main factors of influence and conditions on the innovative activity of a particular country, and the simplicity of calculations. As a research result, an assessment of the innovative activity of enterprises in the studied country in the context of European integration was obtained. To do this, first, the calculation of the relative innovation index was justified and performed. The advantage of this index is the visibility and greater accuracy in determining the place of the country, the level of innovativeness of the activities of its enterprises. Justification and recommendations for cooperation with the EU are facilitated by an analysis of the peculiarities of commodity trade with the EU, a detailed analysis of the country's environmental conditions for innovative activities of enterprises using statistical indicators that are easy to find in the public domain. The compilation of a methodology for assessing the state of security of the innovation environment was facilitated by a detailed analysis of the dynamics of GDP and the factors contributing to innovative development, which adds validity to the research results and demonstrates the ease of calculations. The proposed methodology has been tested and can be used to assess the potential of other countries seeking to integrate into the European space

VENTURE BUSINESS EFFICIENCY MANAGEMENT

Purpose. Since the venture business is a catalyst for structural adjustment and technological renewal of the country’s economic complex, small firms with the support of venture capital effectively create and sell innovations that become the basis of new economy sectors. Effective organization of venture activity requires analysis of the main trends in developing organizational forms of venture business and the creation of venture funds. This article aims to form a coherent system of indicators for evaluating the effectiveness of venture projects to manage the energy of venture business and the characteristics of these indicators. Scientists and their features present the analysis of available indicators or systems of indicators for evaluating the effectiveness of venture business. Design/methodology/approach. This study used both general scientific methods, empirical and theoretical, in particular, the process of analysis (in the study of indicators for evaluating the effectiveness of venture business), synthesis (in the formation of a coherent system of indicatorsfor assessing the effectiveness of venture business), generalization and explanation, classification, and also system (for coordination of the system of hands). Also, unique research methods were used, in particular, formal-logical and comparative forms ofscientific knowledge. Findings. The article’s indicators of evaluating the effectiveness of venture investments in innovative projects have been investigated and analyzed. A critical analysis of methodological approaches to assessing the effectiveness of venture capital has been done. It is proposed to evaluate the effectiveness of venture projects on such indicators as internal rate of return, modified internal rate of return, net present value, payback period, discounted payback period, the profitability of sales, average rate of return, discounted profitability index, and contribution index-adequate assessment of the balance of indicators for assessing the effectiveness of venture investments. Practical implications. The article proposes to evaluate the effectiveness of venture projects on such indicators as internal rate of return, modified internal rate of return, net present value, payback period, discounted payback period, the profitability of sales, average rate of return, discounted profit index and profit income which will contribute to obtaining a comprehensive and adequate assessment of the balance of indicators for assessing the effectiveness of venture investments. The formation of a coherent system of indicators for evaluating the effectiveness of venture projects will manage venture business efficiency. The intensification of venture activity in Ukraine requires developing an integrated approach, covering institutional development, legislation, and macroeconomic regulation. The story of venture business will contribute to achieving the most critical state goals: the improvement of the innovation sphere and increasing the competitiveness of the domestic economy by entering world markets. The practical application of methods for assessing investment effectiveness is carried out using indicators NPV, IRR, PP, and others. The formation of a portfolio of innovative projects based on linear programming’s classical problem can not be applied in full. That is why today, it is essential to solving issues related to the development and improvement of methods and models of venture risk analysis, assessing the attractiveness of innovative projects, and forming a creative portfolio by a venture company. The participation of venture investors in the capital ofstartups is attractive for several reasons: the presence of venture funds in shareholders tells partners and potential employees that the audit of the company means that the business is transparent and the funds risked their money in terms of growth prospects; venture capitalists help in management. After all, they have experience supporting and developing similar startups; you can use the fund’s companies’ expertise, for example, in organizing sales or preparing for an IPO. Finally, investor connections open up partnerships with other companies, attracting experienced professionals, such as marketing, commercial, financial, executive director. But experts go only to projects with a clear business structure, and venture funds guarantee its presence. Because venture investors, as mentioned above, have a foundational approach to the companies they finance and are initially focused on leaving the company by selling their stake to a strategic investor, company management, or the stock market, the key to success for them, in our view, is a growth company value.

Product Market Competition and the Economic Value of Innovation

The economic value of innovation, defined as the expected present value of incremental future cash flow associated with the innovation, is a primary incentive for firms' investment in innovative projects. This paper investigates how product market competition affects the economic gain firms can obtain from innovation. Empirical evidence is lacking because the innovation value is not observable, and the innovation-competition relationship is endogenous. This paper adopts a stock market value based estimate of patent value proposed by Kogan et al. (2017) and a quasi-experiment design to address these empirical challenges. Empirical analyses suggest a negative relationship between market competition and patent value and that a decrease in market competition increases patent value. This paper contributes to the competition-innovation literature by providing causal evidence of how competition affects innovation value from firms' perspectives while previous literature focuses on aggregate technological advancement.

Влияние цифровых технологий на развитие экономики регионов Российской Федерации

The article analyzes the indicators of digital technologies and the digital economy, as well as their unevenness in the context of the subject of the Russian Federation. The object of the research is digital technologies; the subject of the research is the directions of the digital technologies’ influence on the development of the country regions’ economy. The purpose of the study is to determine the features and directions of the digital technologies’ influence on the economy development of the regions in the Russian Federation. The objectives of the study are determined by the situational assessment of statistical data on digitalization of various areas of the socio-economic structure of the regions, as well as in the context of subjects: population, business. Research methods are the following: analysis of statistics of expenditures on the digital technologies’ introduction, the level and pace of digitalization of society, modeling of socio-economic processes. The dynamics of the development of expenditures on digital technologies and indicators of the use of electronic document management in organizations, the level of access to the Internet among the population are analyzed. High growth rates and indicators of digitalization development in individual areas of the service sector related to the functioning of e-government are identified. Uneven rates of introduction of digital technologies in the economy of the regions are determined. The study allowed us to identify the main socio-economic areas that are dynamically developing under the influence of digitalization: finance, services, and public administration. The main directions of the digitalization impact on the economy of the regions are identified, which include financial and economic indicators of industries, clusters, and large businesses; coefficients of modernization and investment in innovative projects, including those designed for internal development. High rates of implementation of digital solutions and technologies contribute to improving the regional management quality, increasing the standard of living and improving the financial and economic results of enterprises of various types of activity

A Bayesian approach to investment in innovation projects with the presence of fake innovators

The paper proposes a game-theoretic model of interaction between investors and innovators, taking into account the existence of so-called “fake” innovators offering knowingly unprofitable projects. The model is a Bayesian non-cooperative, repetitive game with recalculated payments and partly unobservable ex interim player types. It allows quantifying the parameters of the strategy for all player types to find equilibrium solutions. The model describes rational modes for screening “fake” innovators based on adjusting players' probabilistic estimates.

Does short selling affect the investment of Chinese firms? An external financing perspective

ABSTRACT The objective of this paper is to explore the effect of short selling on firm investment from the perspective of external financing. We find that short selling makes it more difficult for firms to finance investment projects with external funds, and firms react to this exogenous shock by reducing their investment. The effect is more obvious in firms with lower stock price synchronicity, more investment in innovation projects and more severe internal financing constraints. Moreover, we find that after removing short selling constraints, the value-added effect of firm investment on firm value is enhanced.

ОСНОВНІ ПРИНЦИПИ АКТИВІЗАЦІЇ ІННОВАЦІЙНОЇ ДІЯЛЬНОСТІ ПІДПРИЄМСТВА

The article considers the basic principles of activating the innovative activity of the enterprise. It is noted that innovation is the most important means of structural changes in production, ensuring the competitiveness of products and providing conditions for modern enterprises to enter the foreign market. Incomplete use of own domestic investment sources and reasons of socio-economic, legal and political nature necessitate the intensification of innovative activities of enterprises. The essence of the management of innovation processes at the enterprise is that in the modern market the enterprise can be positioned only with a high level of technical or qualitative characteristics of products. In addition, the economic essence of innovation is manifested in the unity of all its components, properties, internal processes, relationships, contradictions, trends and is a set of economic, financial, commercial and organizational measures taken by participants in the innovation and investment process to finding the necessary investment resources, rational formation of their structure and selection of the most effective objects for investment. The effective implementation of innovations in the enterprise depends on the available resource potential of the enterprise and the efficiency of its use. It is noted that the innovation and investment activities of the enterprise is a purposeful process of implementing a set of measures to obtain the appropriate effect, requiring justification of investment, search and selection of investment resources aimed at using research, innovation, fundamentally new products for further implementation. domestic and foreign markets. The intensification of innovative activities will provide the company with technological changes that determine scientific and technological progress, improve product quality, its competitiveness and enable access to the international market with manufactured products. It is argued that the implementation of the basic principles of innovation in a modern enterprise will introduce an investment and innovation management system, based on the actions of levers, expressed in the organization, planning and promotion of efficient use of investment resources and their successful investment in innovation projects to achieve effect.

Механізм активізації готовності до сприйняття інновацій в Україні

The basic directions of innovative development in formation of the Industry 4.0 have been analyzed. It has been given reason that readiness for innovations perception becomes the basic indicator which will define new positioning of national economic systems in the world labour division in a global cycle change. Preconditions have been formulated and the basic stages of the state mechanism of activation of readiness for innovations perception in Ukraine have been defined. We propose the mechanism of activation of readiness for innovations perception, which is implemented in the short-term and long-term scenarios. The first option guarantees investments in innovative projects in the “here and now” mode, and the second one is aimed at the long-term formation of an institutional environment that supports the innovative activity of economic agents. The short-term scenario of implementing the mechanism of activation of readiness for innovations perception includes the following steps: probe of current conditions, laying the groundwork, project implementation. The long-term scenario of implementing the mechanism of activation of readiness for innovations perception includes the use of a conceptual and methodological basis aimed at transforming informal institutions in order to create a new identity of economic agents and ways of their interaction that support innovative activity.

A model of network portfolio investment in innovative projects of the regional economic system of petrochemical industry cluster

A model of network portfolio investment in innovative projects of the regional economic system of petrochemical industry cluster

Institutional factors of infrastructure provision of innovative development of Ukrainian agrarian sector

The current state and trends of the agrarian sector of Ukraine's economy, as well as the institutional conditionality of innovation processes, determine the need for substantiation of the institutional mechanism of the infrastructure support of innovative development in the context of the implementation of the state innovation policy. The purpose of the article is to substantiate theoretical and methodical principles of formation of an effective institutional system of infrastructure support for innovative development of the agrarian sector of the Ukrainian economy. The main tasks of the study include: the disclosure of the prerequisites for the institutional conditionality of innovation processes; research on the establishment of regulatory rules of political economic and legal institutions; definition of directions of institutional manifestation in the innovative development of the agrarian sector of the Ukrainian economy. The article explores the problem of institutional factors of providing the innovative development on the basis of system approach and synthesis of mechanisms of infrastructure support of innovation development. The issues of influence of institutional factors on the level of economic growth through political, economic and legal institutions are considered. The directions of institutional manifestation in the innovative development of the agrarian sector are revealed. It is proved that the formation of the effective institutional system of infrastructure support for innovation development is due to the need of giving the impetus to the economic growth of the agricultural sector in Ukraine. It is determined that political and legal institutes create regulatory mechanisms and form the preconditions for the implementation of an innovative type of development of the agrarian sector. The author considers that on the basis of development institutes the strategic development of the national economy of the state should be created, and it should be done through infrastructure design aimed at ensuring effective innovation development and can be examined at the macro, meso and micro levels. Accordingly, the main direction of stimulating the development of innovation infrastructure should be the complex and systematic improvement of the institutional environment to ensure the continuous flow of innovation process. Institutional impact on the innovative development of the agrarian sector is manifested through: the formation of institutional infrastructure; increase and focus on the innovative development of budget and extrabudgetary funds; stimulating the participation of commercial banks to invest in innovation, creating mechanisms for risk insurance of investment in innovative projects; the creation of conditions for innovative entrepreneurship; improvement of the system of legal protection of intellectual property and commercialization of objects; the intensification of activity of informational consultative structures and others.

The simulation of optimal financing of the investment projects portfolio based on the mechanism of minimum optimum deviations

The article deals with the problem of planning the distribution of investments in innovative projects. The dynamic analysis of efficiency of projects of OJSC "MegaFon" for 2013-2016 by regression analysis of the resulting profit function of projects from investment, which calculated the potential profitability of projects to determine the actual allocation of investments. On the basis of the mechanism of minimum deviations of Optima, the method of optimal allocation of investment resources between projects is developed. With the optimal distribution of investments, the values of the potential profit of each project are calculated, the increase in the profit for each project every year confirms the effectiveness of the mechanism.

КОНЦЕПТУАЛЬНІ ПІДХОДИ ДО ОЦІНКИ ЕФЕКТИВНОСТІ ІННОВАЦІЙНИХ ПРОЕКТІВ ЗАЛІЗНИЧНОГО ТРАНСПОРТУ

Currently, the issues of innovation development are the objects of attention, both at the level of state regulation, and at the level of individual enterprises. One of the methods of increase of innovative activity is the financing of innovation. Investments in innovative projects determine the degree of development, and in consequence of the success of the structures at different levels. Naturally, it is impossible to completely commercialize all innovation projects. In this regard, increased responsibility in the adoption of competent management decisions on the effectiveness and selection of innovative projects based on the methodological principles and evaluation criteria of the projects selected subject to assessment. In contrast to investment, to innovation projects, specific risks and uncertainties due to technological backwardness and market novelty of innovation. Therefore there is a need for new approaches to the assessment of the effectiveness of any innovation project.The article is devoted to approaches to evaluation of efficiency of innovative projects. The evaluation results are the basis for making management decisions about the implementation of the project, both at the level of state power, and at the level of the entity. The article notes the relevance of innovative design, including the introduction of innovative projects at the enterprises of railway transport. The results of theoretical investigation of the essence of the innovative project. Identifies the General features and characteristics of the essence of the innovation project, such as deadlines, performers, etc. are Marked features causing the efficiency of the innovative project. Factors that determine the conditions for decision-making on project implementation. A review of approaches and methods of economic estimation of efficiency of innovative projects and compare methods such as static, dynamic and special. The comparison describes their advantages and disadvantages regarding the application of the innovative project. The advantage of application of a method of evaluation of the effectiveness of advocates simplicity and ease of calculations. When assessing the effectiveness of various methods vary depending on the indicators and criteria of effectiveness of these indicators of efficiency of the innovative project. Each indicator is given a short characteristic. Highlights specific features that contribute to the future development of the innovation project. The conclusion is formulated about the lack of research results concerning approaches to the evaluation of efficiency of the innovative project, and the need for further research.