Efficiency of innovation-oriented development of businesses in the conditions of digital transformations
Abstract
The article determines that in the modern conditions of the development of the fourth industrial revolution, the emergence of cyber-physical complexes combined into one digital ecosystem, a significant role in economic growth is assigned to scientific and technological progress and the intellectualization of production processes. The introduction of innovative technologies is the main factor in market competition, by increasing production efficiency and improving the quality of goods and services. By creating favorable conditions for the development of scientific and technological progress, the constant introduction of innovative equipment, technologies and material resources into production, it is possible to achieve high development of economic entities and the country as a whole, which will increase the level of gross domestic product (GDP). Innovation-oriented development of business entities plays a major role in the modern economy and is an objective element of its functioning. Without the development and implementation of innovations, it is impossible to ensure the growth of productive forces and create conditions for the effective development of production taking into account digital technologies. The article determines that the issue of innovation-oriented development of business entities, taking into account digital transformations, is a detailed concretization of the task of developing methods for managing competitiveness with the help of an innovative component. Economic crises, the unstable position of the majority of domestic business entities, insufficient financial resources, the lack of an effective system for motivating human capital and an inflexible management system have formed dubious guidelines for the implementation of the innovation process. For the effective innovation-oriented development of business entities in the context of digital transformations, it is necessary to create organizational and economic mechanisms that will stimulate the entire process of creating an innovative product or service. We need an interest in the innovation-oriented development of institutional bodies of state and local self-government, as well as business structures that will finance innovative projects, form and implement effective innovative development strategies and create conditions for their implementation.
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