Philosophy and Governance

WORLD INNOVATION RATINGS AND THEIR IMPACT ON THE ECONOMIC DEVELOPMENT OF UKRAINE

TRANSFORMATION OF UKRAINE'S INNOVATION POTENTIAL IN THE SYSTEM OF ECONOMIC SECURITY AND EUROPEAN INTEGRATION

The article presents a comprehensive comparative analysis of innovation development in Ukraine and selected European Union countries based on the European Innovation Scoreboard methodology for the period 2018–2025. It is substantiated that innovative development serves not only as a driver of competitiveness but also as a system-forming element of a state’s economic security, as it determines the economy’s capacity to withstand internal and external threats, ensure technological sovereignty, and maintain resilience to crisis shocks. It is established that Ukraine significantly lags EU countries in most innovation indicators, which is due to both chronic structural imbalances (low levels of funding for research and development, weak innovation activity of businesses, and limited commercialization of research results) and the consequences of the full-scale war. Such a gap creates critical risks to economic security, particularly due to dependence on imported technologies, limited recovery capacity, and a low level of innovation autonomy. The study analyses the dynamics of the Summary Innovation Index and its components, including human capital, public and private R&D financing, patent activity, collaboration among small and medium-sized enterprises, innovation expenditures, and export potential. It is found that Ukraine’s innovation system is characterized by structural asymmetry: a relatively preserved human capital is combined with a critically low capacity for innovation commercialization and the formation of a closed innovation cycle. This reduces the effectiveness of transforming knowledge into drivers of economic security and increases the economy’s vulnerability to structural and wartime shocks. Therefore, martial law has not only exacerbated existing imbalances but also led to the destruction of certain segments of the innovation ecosystem that previously ensured relative competitive advantages. It is shown that Ukraine’s lag is predominantly structural in nature and does not diminish even during periods of economic stabilization. At the same time, potential growth directions are identified, associated with preserved human capital and the partial resilience of high-tech exports. On this basis, key priorities of state innovation policy are defined, aimed at increasing R&D funding, stimulating business innovation activity, developing institutional infrastructure, and integrating into the European Research Area.

SOCIAL DEVELOPMENT: Economic and Legal Issues

Developing the concept of a regional innovation system and assessing the level of its development

Introduction. In the context of the reformatting of systemic principles for economic development under the influence of scientific and technological progress based on the digital transition and current economic realities, the regional economy serves as the primary unit. Collective success in adapting Russia's regional economies to the current long-term economic environment will signify the successful reformatting of the entire national economy. The choice of the regional economy as the primary unit of study for the digital transformation of the technological foundation is due to the fact that this level meets all the criteria of an economic system capable of a closed innovation and investment cycle. A national economy, especially one as large as Russia, has a complex structure, and standardized recommendations cannot be applied to it. On the contrary, a region, at the level of administrative-territorial division, is distinguished as homogeneous, including economically. By definition, a region possesses homogeneity and systemically similar demands from stakeholders in economic relations. Russia is characterized by the problem of uneven development and systemic backwardness of its regions, which hinders the realization of their innovative potential. The situation has worsened with the emergence of artificial intelligence as the basis for the formation of a new platform-based economy. While regional economies developed on the previously established infrastructural basis, often created during the Soviet era, until the early 2000s, a large-scale restructuring is now required. A different approach to the current situation carries the risk of degrading the innovation process in the regions, with its subsequent transition to the digital economies of the country's megacities. Materials and Methods. In preparing this article, I analyzed data presented in official statistics and the works of Russian scholars published in open sources. Considerable attention is given to the factors driving the dynamics of innovation and the evolution of the innovation economy itself, as applied to its regional aspects. After collecting and processing the information, when formulating conclusions, particular attention is paid to the algorithmic application of the author's recommendations to all regions and the categorization of non-universal recommendations by type of region with similar types of innovation systems. To collect and analyze the diverse experience of domestic and foreign innovation policies at the regional level, I used a synthesis method. At the same time, the author avoids the practice of universal generalizations and tailors them to the specific needs of innovation and investment systems. Results and key findings. As a result of the conducted research, a concept for a regional innovation system is proposed. This concept has two levels and is applicable both to specific regions and to the level of economic interaction between individual regions and the federal center. The following criteria are adopted in the proposed study to ensure the balancing of regional investment and innovation systems: ensuring the fundamental feasibility of restructuring regional innovation systems based on the technological foundation; balancing the innovation and investment components within the regional socio-economic system through the population's propensity for entrepre-neurial initiatives; ensuring the integration of regions into the trajectories of achieving the goals of innovative development of the economy at the federal level in such a way as to maximize the gains of participants at all levels while maintain-ing material interest for each participant (or category of participants with similar interests) involved in the proposed interaction algorithm. Based on the development of a balanced development roadmap, an algorithmic sequence of economic and organizational innovations is proposed to harmonize the proposed initiatives at the regional level. Discussion. Further consideration of the proposed framework initiatives for specific application to address specific challenges, all other things being equal, deserves special attention. Thus, the possibility of using proprietary initiatives after stabilizing the digital framework of regional innovation and investment systems and the spread of innovation processes beyond the regional economy is of interest for a more in-depth study.

ANALYSIS OF INDICATORS OF THE EFFECTIVENESS OF INNOVATIVE MANAGEMENT OF ENTERPRISES IN THE CONTEXT OF SECURITY CHALLENGES

The article considers the problems of assessing the effectiveness of innovation management of enterprises in the context of security challenges, in particular under the influence of a full-scale war in Ukraine and increased risks for the national economy. It is determined that human resources are a key mode of generating and implementing innovations, and personnel incentive systems increase the level of innovative activity and adaptability of organizations to crisis conditions. An analysis of international and national experience is carried out, which allows us to outline the strengths and weaknesses of modern approaches to managing innovation activities and emphasize the need for an integrated assessment of the effectiveness of innovation management, taking into account human resources, incentive systems, security factors and modern practices of leading countries in the world. Particular attention is paid to the use of international innovation ratings, such as the European Innovation Scoreboard and the Bloomberg Innovation Index, as well as the Global Innovation Index, for a comparative analysis of the state of innovative development of Ukraine and determining the priorities for the modernization of the scientific and technical sphere. The paper provides a detailed analysis of Ukraine's innovation indicators in the categories of "Framework Conditions", "Investments", "Innovative Activity" and "Impact", and also presents Ukraine's ranking positions according to the criteria "Global Knowledge" and structural components of innovative development, which demonstrate a low level of competitiveness and the need to form a systematic approach to stimulating innovations. Using the example of agricultural enterprises, a taxonomic analysis of the incentive system in the innovation management mode was conducted, which allows for a comprehensive assessment of the results of the functioning of enterprises and to identify key areas for improving the efficiency of innovative activity. The results of the study indicate the feasibility of using multidimensional methods of assessing and forecasting the development of the innovative potential of enterprises in crisis and post-conflict conditions, which can become the basis for developing strategies for stimulating personnel, increasing innovative activity and ensuring the sustainability and competitiveness of Ukrainian enterprises in the international market.

Global development trends and their impact on the Ukrainian economy and business in 2025

In recent years, the continuous and rapid development of technological innovations, and above all digital innovations, has been radically transforming established processes in global production of goods and services, as well as production and supply chains. This is leading to flexible yet unstable development at all levels of the global economy, changing the nature of relationships among economic actors at the micro-, macro-, and meso-levels, and affecting all spheres of citizens’ lives. In this context, global crises are becoming a permanent feature and require public administration and business management systems to promptly identify and control manifestations of such disruptions in the socioeconomic environment and to select scientifically sound and relevant tools to ensure governability toward the sustainable development of society. This article identifies and substantiates the hypothesis that timely identified and well-founded trends lay the foundation for rethinking the nature of ongoing processes and analyzing the strategic behavior of both economic entities and authorized government bodies. It is argued that the key factor influencing socio-economic processes today is the war in Ukraine, as its consequences affect various regions of the world, causing serious problems for the global economy, characterized by a slowdown in growth, rapid inflation, and recession. It has been established that artificial intelligence (AI) technologies will have a key impact; therefore, the effective use of AI should be aimed at remaining flexible, understanding market needs, and constantly adapting to technological progress. Furthermore, investments in artificial intelligence solutions will enable companies not only to optimize business operations and reduce costs but also to provide customers with the expected value and experience. A proposal has been substantiated regarding the need for broad involvement of the domestic scientific community, with mandatory collaboration with European partners within the framework of European integration programs, to analyze and forecast identified trends with the aim of making them systematic and scientifically sound. Key objectives of state economic policy have been developed and proposed as a response to the challenges posed by global development trends. Keywords: global trends, economic development, state economic policy, threats and challenges.