Taurida Scientific Herald. Series: Economics

CROSS-BORDER LABOR MIGRATION: FACTORS, APPROACHES TO REGULATION IN UKRAINE

Larysa Bogush — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the factors of cross-border labour migration in Ukraine, its consequences, as well as approaches to regulating these processes in the context of ensuring the national economy’s resilience, recovery, sustainable development. The progressive long-term demographic crisis, aggravated by the population losses during the martial law period, has extremely exacerbated the need for the formation and consecutive implementation of the systemic socio-economic development strategy, which should contain economic and organizational blocks of the resilient migration policy. The approaches to regulating nation-wide and territorial aspects of the labour and employment in Ukraine, related to the factors of cross-border labour emigration, cover: the increase of the labour remuneration share in the products’ value; implementation of the systemic standards for wages and decent working conditions, including through expanding the relevant State Labour Service’s powers; balancing the system of regulatory, administrative, financial, fiscal regulation of regional economies according to the priorities of their socio-economic recovering, modernizing, diversifying, and progressing in the level of complex formation; targeted regulation of the territorial labour markets’ capacity, including by stimulating entrepreneurial activity in the economy’s real sector, diversifying the sectors of enterprises’ services, IT products, knowledge-intensive technologies and services, preferential taxation of business entities involved in the restoration and development of the economic potential of territorial communities that suffered losses due to the military operations, as well as by promoting territorial mobility of economically active citizens and their families; development of interaction between the State Employment Service and private HR agencies on employment issues for more competitive job applicants and socially vulnerable population categories; improvement of migration policy’s block aimed at the reintegration of forced cross-border refugees and labour migrants.

DEVELOPMENT OF THE DEFENSE-INDUSTRIAL COMPLEX BASED ON INNOVATIVE TECHNOLOGIES AS A DRIVER OF UKRAINE'S ECONOMY DURING THE WAR AND POST-WAR RECONSTRUCTION

Svitlana Bolila — Fri, 14 Feb 2025 00:00:00 +0200

The article is dedicated to analyzing the current state, realities, and development prospects of Ukraine's defense-industrial complex (DIC) based on innovative technologies. The research aims to explore the strategic directions for transforming Ukraine’s defense and military complex through innovation in alignment with the standards of the European security and defense system and NATO standards. The study examines the role of the DIC as a key driver of the state's economy during military actions and in the post-war recovery period. Given the armed aggression against Ukraine, the modernization of the defense sector becomes critically important not only for ensuring national security but also for establishing a foundation for long-term economic growth. The author emphasizes that Ukraine’s modern DIC holds significant potential but faces several challenges, including outdated technologies, insufficient funding, and limited access to advanced developments. At the same time, the research highlights that the war has accelerated the pace of innovative development through the adoption of cutting-edge technologies such as artificial intelligence, drones, additive manufacturing (3D printing), cybersecurity systems, and energy-efficient solutions. These technologies not only enhance the effectiveness of military operations but also lay the groundwork for Ukraine's innovative breakthrough on the international stage. Special attention is given to the role of state policy and international cooperation in the development of the defense sector. Ukraine is actively integrating into international military alliances, gaining access to advanced technologies and participating in global military-technical cooperation programs. Furthermore, the author underlines the importance of exporting Ukrainian defense products as a driver of economic development and examines the potential for converting defense production facilities to civilian use after the war. The author proposes viewing the post-war period as a unique opportunity to create innovative clusters based on defense enterprises. This approach would not only facilitate the country's economic recovery but also ensure sustainable growth. The defense-industrial complex could become a locomotive for the development of high-tech industries such as mechanical engineering, IT, medical equipment, and other related sectors. The article outlines the main challenges facing Ukraine’s defense-industrial complex, including a shortage of skilled personnel, outdated infrastructure, and limited financial resources. To address these issues, the author suggests public-private partnerships, creating favorable conditions for foreign and domestic investors, and attracting international aid and investments. It is emphasized that integrating innovative technologies and modernizing the defense-industrial complex is strategically vital for Ukraine during the war and the post-war recovery. This would ensure not only the country's security but also create a foundation for long-term economic growth and position Ukraine as a competitive player in the global high-tech market.

THE IMPACT OF SELF-ESTEEM AND MENTAL HEALTH QUALITY ON THE ABILITY OF YOUNG PEOPLE TO WORK

Yana Herlovan — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the impact of self-esteem and mental health quality on the mental and working capacity of young people. The author notes that the issue of mental health is relevant in the modern world, as it determines the quality of human life, motivation and ability to work. Self-esteem as a key aspect of mental health affects the perception of oneself, one's capabilities, and interaction with the world around us. It shapes the level of aspirations, sense of success, and mental well-being. Research shows that self-esteem affects a person's productivity, emotional state, and ability to withstand stress. In particular, adequate self-esteem increases self-respect, self-confidence, and productivity, while inadequate self-esteem can lead to stress, anxiety, and depression. We conducted a study that showed that respondents with healthy self-esteem have more stable mental health. The results of the study are shown in percentage terms for easy reference. Developing a healthy self-esteem is one of the most important facts to pay attention to in childhood. Self-esteem shapes the future of a person, determines the further vector in life, allows you to establish healthy social connections, build a career, and arrange a personal life. When the balance of self-esteem is disturbed, when people are not satisfied with the factors we have previously listed, they necessarily face the need to correct their mental health. There is nothing more important to a person than life balance and success in every important area of life. Thus, the study of this topic is a relevant and useful vector for science. This topic needs further research and detailed attention from scientists, and to prevent problems with the mental health of young people in the future, they need to monitor their self-esteem now, to take care of it’s stability and normality. This will help young people achieve all possible benefits in life.

MULTIFUNCTIONALITY OF SMALL AGRICULTURAL ENTERPRISES: FEATURES, PROBLEMS AND PROSPECTS

Viktoriia Hranovska, Lesia Kononenko, Vіra Savchenko — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the essence of multifunctionality of small agricultural enterprises, identifies the key problems that impede the implementation of this concept, and assesses the prospects for their solution. The purpose of the article is to define the essence of multifunctionality of small agricultural enterprises, to identify the problems and to assess the prospects for their development. The author substantiates that agriculture performs not only traditional production functions related to the production of food and raw materials, but also a number of socially important functions, such as preservation of cultural heritage, formation of rural landscapes, ensuring ecological balance and promoting rural tourism. The specifics of the functioning of small agricultural enterprises in the context of achieving the Sustainable Development Goals are analyzed. Attention is focused on the close relationship between multifunctionality and increasing production efficiency, developing cooperation between agricultural producers and implementing the principles of a circular economy, which involves minimizing waste and rational use of resources. The role of various institutions and social groups in the development of multifunctional agriculture is investigated and its importance for the successful implementation of the Sustainable Development Goals in rural areas is determined. Based on a survey of managers and executives of small agricultural enterprises, in particular in Kirovohrad region, the study proved that there is a lack of awareness of the essence and potential of the multifunctionality concept. This indicates the need for outreach and awareness raising among the staff of agricultural producers. The internal contradictions that arise in the system of multifunctional agriculture, in particular conflicts between different functions, between different levels of management and between different stakeholders, are considered. The priority of agricultural production as a basic function that provides the economic basis for the development of other activities in the agricultural sector is emphasized. The necessity of active use of advisory services to solve problems related to the implementation of the concept of multifunctionality of small agricultural enterprises is substantiated.

SOLVING A LOGISTIC PROBLEM BY DEVELOPING AN OPTIMAL PLAN

Hanna Dymova, Oksana Larchenko — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the problem of optimizing logistics processes using the task of developing an optimal plan. A mathematical model of the problem of developing an optimal delivery route has been developed, which is reduced to the classical traveling salesman problem. The proposed model allows taking into account various constraints and optimization criteria typical for real problems. Based on the developed model, a graph was constructed that reflects the structure of the task of delivering windows around the city. To find the optimal route, the MS Excel program was used. The obtained result shows the effectiveness of the proposed approach and its potential for application in other areas where the problem of route optimization is relevant. The conducted research confirms the relevance of the task of creating optimal routes for solving logistics problems. The proposed mathematical model and solution algorithm can be effectively used to optimize delivery processes in various industries. However, there are prospects for further research: expanding the model to take into account dynamic factors such as changes in demand, road conditions and other unpredictable events; integration with geoinformation monitoring systems to obtain more accurate data on distances and travel times; development of interactive web interfaces for convenient use of the developed algorithm by logistics companies.

ASSESSMENT OF REAL AND POTENTIAL VOLUMES OF STUDENT MIGRATION FROM UKRAINEY

Olena Kolotilina, Alina Bukhtiarova — Fri, 14 Feb 2025 00:00:00 +0200

Educational migration is a key socio-economic issue that significantly impacts the development of Ukraine, particularly in terms of the macroeconomic situation, demographic trends, and the preservation of cultural identity. The study examines the main trends in student migration from Ukraine between 2004 and 2022, as well as the forecast for the period 2023–2027. From 2004 to 2013, student migration gradually increased, primarily due to limited opportunities for quality education in Ukraine and economic difficulties. A sharp rise in migration flows occurred after 2014, driven by political and economic instability, particularly due to the war in the east of the country and the annexation of Crimea. After 2015–2016, migration slightly decreased but remained at a high level. The forecast of migration volumes using the ARIMA model for the period 2023–2027 shows a trend of increasing migration flows. This growth is linked to economic, political, and social crises, as well as the expansion of international educational programs. The growing demand for international education and the potential "brain drain" present a significant challenge to Ukraine's economic development, as the loss of qualified personnel could reduce the country's innovative potential and competitiveness. However, students who obtain education abroad may contribute to Ukraine's development if they return with new knowledge and experience. An assessment of the real and potential volumes of student migration will help to develop strategies to minimize negative consequences and stimulate the development of the country's human capital. The findings will be useful for the Ministry of Education and Science of Ukraine (to assess trends and the impact of student migration on the educational system), the Ministry of Economy of Ukraine (to develop strategies for utilizing migration potential for economic development), the Ministry of Foreign Affairs of Ukraine (to assess international relations and cultural exchange in the context of student mobility), and state bodies involved in migration policy (to forecast student migration flows and develop relevant policies).

THE FLOW OF THE DIGITAL ECONOMY INTO THE PRICING MARKET IN EVERY MINDE

Olena Loboda, Natalia Kyrychenko — Fri, 14 Feb 2025 00:00:00 +0200

The article delves into the profound impact of digital transformation on the contemporary consumer goods market, highlighting the significant changes in technological processes. It emphasizes new opportunities for skill development and professional competencies among healthcare professionals, who are increasingly required to adapt to evolving market demands. The author investigates how technologies such as automation, artificial intelligence, and big data are poised to reshape the market structure, necessitating innovative approaches to preparation and the initiation of sales strategies. A particular focus is placed on the pressing issue of a shortage of qualified personnel. As current technological advancements lead to heightened demand for new professions, there is a simultaneous and urgent need for traditional specialties. The study explores key aspects of digital changes through an analysis of recent scientific research and reports from prominent international organizations, including the International Organization of Trade (IOP) and the World Economic Forum (WEF). Regular analyses from various countries illustrate the introduction of digital technologies into the market and the diverse strategies employed to enhance the qualifications of practitioners, adapting them to new paradigms. Furthermore, the article underscores the critical role of educational systems in preparing a workforce equipped to navigate the complexities of the digital age. There is a pressing need to expand knowledge areas, including interdisciplinary competencies and the cultivation of essential "soft" skills, such as critical thinking, adaptability, and lifelong learning. The article also addresses the repercussions of social inequalities, which may be exacerbated by unequal access to modern technologies and opportunities. To address these challenges, specific recommendations are offered for improving social security systems, particularly in light of the increasing number of workers engaged in the gig economy. The article stresses the importance of updating informational programs aimed at fostering sustainable market development and promoting social stability amidst ongoing digital changes.

IDENTIFICATION AND MANAGEMENT OF RISKS IN THE CONSTRUCTION OF ENERGY INFRASTRUCTURE DAMAGED AS A RESULT OF MILITARY ACTIONS

Tetiana Soroka, Yuliia Opanasiuk, Anna Rosokhata, Yuliia Matvieieva — Fri, 14 Feb 2025 00:00:00 +0200

Today's instability, caused by a full-scale war, affects all aspects of life in Ukraine, creating unprecedented challenges and forcing the nation to adapt rapidly. Among the critical aspects essential for ensuring the well-being of the population, energy supply stands out as one of the most vital. In the context of the ongoing military conflict on the territory of Ukraine, energy infrastructure has become a primary target of air and missile attacks, resulting in severe economic, social, and security repercussions. The widespread destruction of energy facilities, particularly since mid-2023, has highlighted the urgent need for their restoration and protection. The rebuilding of energy infrastructure throughout Ukraine has thus emerged as a national priority, requiring innovative management solutions to safeguard these critical assets. Addressing the risks associated with the reconstruction process necessitates a systematic and comprehensive analysis of each stage of decision-making and implementation. Identifying these risks and developing effective strategies to mitigate them is now an urgent issue demanding a structured, multi-faceted approach. This study explores the primary risks that may arise during all phases of reconstruction, ranging from damage assessment and restoration needs to the design and commissioning of new energy facilities. It considers both physical risks, such as continued military aggression, and non-physical risks, including financing challenges, governance decisions, and the influence of social and political stability. Additionally, the paper proposes a range of risk management methods aimed at minimizing potential threats and ensuring successful outcomes. The focus is on the restoration of energy systems in post-conflict zones, with particular emphasis on the importance of efficient organizational processes. By examining practical examples and highlighting key risk management strategies, this research provides actionable recommendations for stakeholders involved in rebuilding Ukraine’s energy infrastructure. These insights aim to contribute to the development of a resilient and secure energy sector capable of supporting the country’s recovery and long-term stability.

TOURIST SMART SPECIALISATION AS A DIRECTION OF STRENGTHENING THE COMPETITIVE ADVANTAGES OF THE COMMUNITIES OF DESTINATION “ALONG THE PATHS OF THE TRYPILLIAN ANCESTRAL MOTHER”

Tetiana Tymoshenko, Oksana Bogoslavets, Nataliia Boiko — Fri, 14 Feb 2025 00:00:00 +0200

The article explores the concept of SMART specialisation as a tool for increasing the competitive advantages of communities within tourist destinations. Considerable attention is paid to using the heritage of Trypillia culture as a basis for the unique tourist product development and local brand formation. The conducted resource analysis revealed a significant difference in the size, weight and degree of readiness of individual resources for their use in tourist product development for a certain purpose. The formed generalisations made it clear that the group of destination communities at the time of the study has the potential for one or two areas of tourism specialisation development, as a rule, related to the main community’s economic activity, namely agriculture and food industry. Such a described mono-profile allowed the mentioned communities to preserve the natural ecosystems and the authentic rural structure of households, which can be considered a unique resource for determining the tourism SMART profile of the region. In addition, the main types of tourism were determined for communities that are part of the destination, taking into account the degree of their readiness for consumption in the field of tour operating. The role of interregional cooperation and community participation in the communication and synergy-making process to ensure effective management of tourist destinations in the context of sustainable development of regions has been determined. SMART specialization is a concept and policy of innovative regional development of the European Union, which contributes to the economic growth of regions through the disclosure of its potential. Instead, the problem of identifying factors of strengthening competitive advantages. Research objective: To reveal the potential of SMART specialisation as a tool for increasing the competitiveness of tourist destinations through their integration based on the unique cultural and historical heritage of Trypillia, their natural and recreational potential and the number of tourist products, which is the basis for sustainable development and cooperation of communities within the destination and local brands development.

FEATURES OF THE INSTITUTIONAL ENVIRONMENT AND INSTITUTIONAL CHANGES IN THE EXISTENCE OF THEIR INTERCONNECTION WITH ECONOMIC POLICY

Yevhen Tkach — Fri, 14 Feb 2025 00:00:00 +0200

The theoretical foundations of the institutional environment in the context of the evolution of economic science and the need to take into account its features when implementing economic policy in modern conditions have been studied. It is noted that the institutional environment and institutional changes are primarily interconnected with state policy, that is, on the one hand, through economic policy in interaction with other types of state policy, an impact is exerted on the change in the institutional environment, and on the other hand, the process of functioning of the economy and economic policy in interaction with other types of state policy are influenced by the existing institutional environment and its evolution. It is noted that the algorithm for implementing institutional changes has the following form: under the influence of the information and knowledge received, the existing environment, cultural characteristics, historical memory, life experience, etc., there is a change in mentality, values, worldview, moral, psychological and emotional states as institutions, which can positively affect the behavior model of people (economic entities) and their activities (actions), and therefore - on the process of functioning of the economic system, socio-economic development in general (improving the functioning of the startup ecosystem and the activities of socially responsible and innovatively active businesses, the formation of civil society, improving the legal system and the system of public administration, the development of culture, education, science, etc.) and the level of well-being of citizens. It is indicated that one of the problems that arise when implementing economic reforms in developing countries is insufficient consideration of the factor of institutional changes and, above all, the influence of informal institutions. Governments, should develop and implement state policy (economic, social, humanitarian, information, marketing and branding policy, etc.) taking into account the characteristics of the institutional environment, the dynamics of institutional changes, and the specifics of the culture of society.

INTEGRATION OF DIRECTIONS OF STRATEGIC AND SPATIAL PLANNING OF TERRITORIAL COMMUNITIES IN THE CONTEXT OF DECENTRALIZATION

Olesia Khokhuliak — Fri, 14 Feb 2025 00:00:00 +0200

The article substantiates the theoretical and methodological principles of integrating the areas of strategic and spatial planning of territorial communities in the context of decentralization. It is studied that the integration of strategic and spatial planning of territorial communities in the context of decentralization is an important component of the development of local self-government, aimed at the efficient use of resources, improving the quality of life of the population and ensuring sustainable development at the local level. Thanks to these changes, communities receive more opportunities for independent planning and decision-making, which contributes to more effective management. The relationship between spatial and strategic planning and budget planning is established, which is a key aspect in ensuring effective management of territorial communities. It is studied that budget planning determines the financial capabilities of implementing strategies, while spatial and strategic planning provides the basis for determining priorities in the distribution of budgetary resources. Close integration of these elements allows for the sustainable development of territorial communities, efficient use of resources, and achievement of set goals. A toolkit for integrating strategic and spatial planning areas is proposed, taking into account the limitations and priorities of budget financing, namely: in urban planning documentation, in addition to the provisions defined by current regulatory legal acts, goals, objectives and measures are also established for the first and, if necessary, subsequent stages of implementation of spatial development plans (the duration of the first stage of implementation of urban planning documentation (comprehensive plan or master plan) must correspond to the duration of the first stage of implementation of the strategy); a comprehensive plan for spatial development of the territories of a territorial community or a master plan of a settlement is implemented through a master plan implementation program approved by a regulatory legal act by a local government body (this document synchronizes the processes of building formation and creation of infrastructure facilities to ensure the functioning of the planned volumes of building, and also includes agreed sections on the development of various types of infrastructure, which serve as the basis for preparing or adjusting programs for the development of the relevant infrastructure); the strategy implementation program defines the tasks that must be performed in the field of spatial planning at the appropriate stage of strategy implementation (preparation of relevant documents, amendments to them in accordance with the strategy), and also contains tasks for the development of these documents.

THEORETICAL AND METHODOLOGICAL APPROACHES TO DETERMINING THE ESSENCE OF FINANCIAL RESOURCES OF AN ENTERPRISE

Maksym Lazaridi — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the main approaches to understanding the essence of financial resources of an enterprise, focusing on different scientific points of view on their classification, sources of formation and functional purpose. Special attention is paid to the management of financial resources in agricultural enterprises, as this industry is characterized by unique features of the structure of income and expenses, which affects the financial sustainability of enterprises. Agriculture is characterized by high dependence on external factors, such as weather conditions, seasonality, fluctuations in market prices and the availability of resources, which makes the management of financial flows difficult and at the same time critically critical for the survival and development of enterprises. Effective management of financial resources in agriculture is a key factor in ensuring not only short-term stability, but also long-term development of the industry. High dependence on external factors creates special problems that require the development of adapted financial strategies and the implementation of innovative approaches to management. The study emphasises that effective financial management practices, adapted to the needs of agribusiness, can contribute to both short-term operational efficiency and long-term strategic growth. 8The article analyses such key aspects as the classification of financial resources by sources of formation (own, borrowed and attracted), functional purpose (operating, investment and reserve), and terms of use (short-term and long-term). By analysing financial flows, the article emphasises the importance of sustainable financial management in the current economic environment, especially for enterprises operating in the volatile agricultural sector. The paper also provides recommendations on optimising the structure and use of financial resources to enhance business development and market competitiveness, which ensures stable economic performance over time. In addition, the study highlights the role of financial resources in investment activities and business modernization, which are critical for the long-term success and sustainable development of agricultural enterprises. The article also highlights the issues of financial planning and forecasting as tools for ensuring the sustainability and adaptability of agricultural enterprises to changes in the external environment. The author emphasizes the need to introduce innovative approaches to financial management in order to maintain the competitive advantages of the enterprise in the context of economic globalization.

ORGANIZATIONAL AND METHODOLOGICAL ASPECTS OF ECONOMIC ANALYSIS IN SMALL ENTERPRISES

Vadym Novikov — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the scientific problem of organizing and methodological providing for economic analysis in small enterprises in the context of digitalization. The purpose of the article is to summarize the organizational and methodological providing of economic analysis and its adaptation for use by small businesses using digital software products. The research was conducted on the basis of a dialectical approach using the methods of induction, deduction, analysis, synthesis, bibliographic and monographic methods. The organizational stages of conducting economic analysis in small enterprises are determined. The content of each of the identified stages and its methodological content are clarified. A list of tasks for economic analysis of a small enterprise is formulated. The suitability of small enterprise reporting for use in economic analysis is assessed. A comparison of applied software solutions for economic analysis is carried out, such as specialized programs, modules of complex digitalization products, controlling program modules and spreadsheets; the most optimal of them for solving the tasks set for the analyst is determined. Worksheets for analysing of the financial conditions of a small enterprise using application software are developed. The features of conducting a deterministic factor analysis of the activities of a small enterprise are explained. An assessment of various methods of economic forecasting of small enterprises' performance indicators during economic analysis and setting target indicators is provided. The application of expert methods for assessing the analysis results is considered. Methodological recommendations are provided for generalizing the analysis results, as well as forming a package of proposals for making management decisions based on it. The possibilities of using the analysis results to increase the efficiency of information work with stakeholders are revealed. Among the promising areas of further research on this topic, research on the use of advanced digital technologies to increase the efficiency of making management decisions, as well as advanced training and educational support for employees of small enterprises are identified.

FEATURES OF THE FUNCTIONING OF THE BANKING SERVICES MARKET OF UKRAINE

Bohdan Brychka, Halyna Brychka — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the main features of the banking services market of Ukraine. The analysis of literary sources showed that the subject of the functioning of the banking system in general and the specifics of the provision of banking services in particular can be traced in the works of many Ukrainian researchers. A significant part of the authors focused their attention on today's popular topic - security, in particular the issue of financial security of the banking sector. There are a number of works devoted to the digitalization of the banking sector of Ukraine. A separate "block" of research can be considered works, the subject of which is the development of the banking sector of Ukraine during the war. The change in the number of branches of commercial banks of Ukraine during the first half of 2024 was analyzed, based on this, a conclusion was made about the decrease in the number of bank branches in Ukraine. Thus, in July there were 53 less branches of commercial banks than at the beginning of 2024. The structure of the country's banking services market is also presented, it is revealed that two commercial banks actually control half of the banking services market (26% belongs to Oschadbank and 25% of the market belongs to Privatbank). The article presented problematic aspects of the functioning of the banking services market in Ukraine. The main problems of the functioning of the Ukrainian banking services market are the high risk of non-repayment of loans, difficult access to banking services in remote regions, low level of public trust in the banking system, risk of currency fluctuations, threats of cyber attacks, instability of the monetary unit and, of course, problems related to military actions. Prospective directions for the development of the banking services market of Ukraine were outlined, in particular, the use of digitalization achievements, improvement of crediting and risk management mechanisms, deepening of cooperation with international financial institutions, increasing the stability and reliability of the banking system, strengthening public confidence, expanding the spectrum of financial instruments, increasing the stability of the monetary unit, increasing the level of competition. In order to attract more customers, in particular in the context of deposits and other banking services, an effective state policy is needed to increase the financial literacy of the population, the stability of the hryvnia, and guaranteeing the safety of deposits.

OPTIMIZATION OF THE TAX BURDEN OF THE BUSINESS ENTITY

Vitalii Kovalov, Olena Muzychuk — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the process related to the optimization of the tax burden of economic entities, namely the theoretical aspect. The tax system of Ukraine is in a constant process of changes and search for optimal efficiency both for budgets of all levels and for stimulating the processes of business activity. The taxation process itself is the interaction of the state with taxpayers. In this process, there is a constant conflict of interests between the state and taxpayers. An important component of fiscal administration in tax administration is the functioning of fiscal bodies that ensure the filling of the revenue part of the country's state budget. Different taxes and fees affect the economic activity of business entities in different ways. Issues related to the optimization of taxation include strategic tasks related to maintaining a certain balance of interests between business entities in the context of tax payment, and the state - filling the revenue part of all levels of budgets. The goal of tax regulation is to achieve and maintain a certain balance of economic interests of all participants in tax relations. Tax regulation in the system of tax administration can be divided into several blocks, namely tax incentives, tax benefits and forms of responsibility for the assignment of tax legislation. Tax optimization involves the process of avoiding tax penalties and minimizing tax payments, both in the short-term and in the long-term. Each business entity in the process of searching for a method of optimizing its tax burden should pay attention to the specifics of its economic activity, as well as take into account the effect of mechanisms of taxes and fees that it pays to the budgets of different levels. Estimating the level of the tax burden is a rather complex procedure that has not yet been fully studied and, as a result, a single methodology has not yet been formed. The process of tax optimization is a special aspect of the financial discipline of economic entities, in order for this process to be effective, it must be properly planned. A distinctive feature of tax burden optimization, tax evasion and fee evasion is that the business entity uses non-prohibited or legally permitted ways to reduce its tax burden.

BEHAVIORAL FINANCE: INTEGRATION WITH CLASSICAL THEORIES FOR EFFECTIVE MANAGEMENT OF INVESTMENT DECISIONS

Tetiana Povod — Fri, 14 Feb 2025 00:00:00 +0200

This article explores the role of behavioral finance in modern financial science, highlighting its practical value, potential applications, advantages, and limitations. The study critically examines key behavioral theories, including prospect theory, investor behavior in stock markets, noise trading theory, and the influence of psychological traits on trader performance. These theories aim to explain the irrationality observed in financial decision-making and its implications for market dynamics, while challenging the fundamental assumptions of classical financial theories. The study emphasizes that behavioral finance, despite its achievements, should not be seen as an independent alternative to classical finance. Instead, it complements traditional financial models by incorporating psychological and behavioral factors into the analysis of market behavior. Behavioral finance provides tools for understanding the cognitive biases, emotional influences, and heuristics that often lead to deviations from rational decision-making. This perspective improves the ability to explain market anomalies such as bubbles, panic selling, and overconfidence, which classical theories struggle to address. In addition, the study highlights the challenges of applying behavioral finance theories in practice. Unlike classical finance theories that offer quantitative models and algorithms for decision-making, behavioral finance lacks universal methods for predicting market outcomes or developing optimal investment strategies. Its findings are largely descriptive in nature and focus on understanding investor behavior rather than prescribing actionable solutions. However, integrating behavioral finance with classical models can help investors develop more adaptive strategies that take into account their own biases and psychological traits. In summary, behavioral finance enriches classical finance theories by incorporating psychological and behavioral aspects into the financial decision-making process. While it does not replace traditional approaches, it serves as an additional basis for addressing the complex conditions of modern financial markets. Using knowledge from behavioral finance, investors and financial professionals can develop more reliable strategies that respond to both market realities and human tendencies.

FINANCIAL SERVICES MARKET AND FINANCIAL INCLUSION: EU EXPERIENCE

Olena Sereda — Fri, 14 Feb 2025 00:00:00 +0200

The financial services market plays a key role in the economy, ensuring interaction between investors and consumers of investment resources, which directly affects economic growth and social stability. The study of the EU experience in the development of financial markets and financial inclusion is relevant for Ukraine, given the European integration aspirations and the need to develop a stable and accessible financial system. The purpose of the article is to study the features of the functioning of the EU financial services market, study the experience of EU countries in increasing the level of financial inclusion, and determine the possibilities of using this experience for the development of the financial sector of Ukraine in the context of European integration aspirations. Methods used in the study: generalization, comparison, analysis, synthesis, methods of economic and statistical analysis. Results obtained. It was found that effective financial supervision, segment development and increased financial inclusion are necessary to create an effective financial services market. The financial supervision system in the EU is considered and the role of supranational regulators in the field of banking, insurance and pension provision, and the securities market is determined. Based on the analysis of indicators, dominant institutions providing financial services were identified. The dynamics of private sector lending were studied and priority areas were identified. Financial inclusion is a key factor in ensuring the population's access to basic financial services, and its development through digital technologies significantly reduces barriers, but requires the development of financial and digital literacy. The practical significance of the results obtained lies in the possibility of their application to improve the national strategy for the development of the financial sector of Ukraine. The identified EU approaches to regulating the financial services market and implementing financial inclusion mechanisms can be used to: increase the availability of financial services for the population and business through the development of digital platforms; harmonization of the regulatory framework in accordance with European standards; building trust in financial institutions.

FORMATION OF A CREDIT RISK MANAGEMENT SYSTEM IN A BANK UNDER MARTIAL LAW

Iryna Khoma, Anna Liashenko, Oleh Lukianskyi — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the formation of an effective credit risk management system in banking institutions of Ukraine under martial law, which is extremely relevant due to significant changes in the financial environment caused by the war. Attention is focused on the main sources of credit risk, which are significantly increased in the context of instability caused by macroeconomic fluctuations, reduced customer solvency and increased probability of loan default. The dynamics of the loan portfolio of the banking system of Ukraine, as well as trends in the share of non-performing loans in the largest banks of Ukraine, are analysed, which allows to assess the overall impact of crisis events on the financial condition of banks. Special attention is paid to the assessment of compliance of Ukrainian banks with credit risk standards, which reflects their ability to comply with regulatory requirements in the crisis period. The article considers main theoretical and methodological aspects of improvement of credit risk management. It emphasises the importance of introducing innovative approaches to risk management, such as diversification of loan portfolios, changing credit risk limits and providing additional guarantees, which help to reduce the overall vulnerability of the banking system. The article also examines the functions of the risk management system of banks and highlights the practical aspects of credit risk management in times of war. Among the risk management tools, the article highlights the automation of monitoring and analysis processes, which allows for prompt identification and assessment of potential risks, as well as quick decision-making to prevent problem situations. The article proposes a comprehensive approach to credit risk management that takes into account current challenges, including macroeconomic and political factors that significantly affect the financial stability of banks. Effective implementation of these measures is critical for maintaining the stability of the banking system and ensuring financial security in Ukraine, especially in the context of a prolonged crisis.

CREATING A SUSTAINABLE SUPPLY CHAIN IN THE FOOD INDUSTRY USING INDUSTRY 4.0 TECHNOLOGIES

Vadym Bagmet — Fri, 14 Feb 2025 00:00:00 +0200

The paper objective the development of a comprehensive approach to building a resilient supply chain in the food industry using Industry 4.0 technologies is underway. This includes identifying key technologies that can enhance efficiency, transparency, and adaptability of supply chains, as well as providing recommendations and developing steps of implementation a sustainable supply chain in the food industry in accordance with Industry 4.0 principles. The following methods were chosen as an approach to achieve the goal of this research: study and systematization of information on innovative technologies and approaches of Industry 4.0, comparative analysis of the components of these technologies, identification of disadvantages and advantages. Study and analysis of national and international experience of using Industry 4.0 technology in the food industry. This methodology will allow for a comprehensive approach to developing a sustainable supply chain in the food industry, considering both technological and economic aspects. The research finding modern integrations of innovative technologies and Industry 4.0 approaches have been identified for creating a sustainable supply chain in the food industry. A list and key components of modern sustainable supply chain technologies in the food industry have been formulated, advantages and disadvantages of modern sustainable supply chain technologies have been discussed, and national and international experiences in creating sustainable supply chains in the food industry have been determined. Recommendations have been developed for implementing a sustainable supply chain in the food industry in line with Industry 4.0 principles, which require a comprehensive approach covering the assessment of the current state and goals, integration of cutting-edge technologies, development of flexibility, ensuring resilience, environmental responsibility, and active collaboration with partners. Steps have been developed to successfully create a sustainable supply chain in the food industry using Industry 4.0 technologies, focused on the effective implementation of digital initiatives.

STRATEGIC MANAGEMENT OF BUSINESS STRUCTURES

Oleksii Hnatiuk, Volodymyr Katana, Mykyta Sakhnatskyi — Fri, 14 Feb 2025 00:00:00 +0200

In the conditions of a modern economy characterized by dynamic changes, high level of competition, globalization and technological innovations, strategic management is a key factor in the successful development of business structures. Enterprises are faced with the need to adapt to changes in the external environment, ensure sustainable growth and optimal use of resources. The topic is of particular relevance for small and medium-sized businesses, which are the basis of the economy of many countries. Effective strategic management helps to increase their viability, form competitive advantages and strengthen the impact on the economic development of regions. Thus, the study of strategic management of business structures is extremely relevant for the theory and practice of modern business, which determines the need to find new approaches and methods for the effective functioning of enterprises in the long term. The work justifies the need to improve the ways of entrepreneurship development by creating an effective management system, including strategic management. An algorithm for strategic management of the development of business structures is presented, the implementation of which will allow formalizing approaches to making appropriate management decisions to achieve the set strategic goals. An analysis of the features of the formation of business structure management systems is considered, which was carried out by highlighting the most key features: the specifics of the development of business structures, the development cycle of business structures with a simultaneous analysis of the impact of the development cycle on the development process of the management system itself and the impact of uncertainty on the development process of the management system. Such a set of features was determined in the presence of under-researched areas in the field of business structure management systems. This makes the work more valuable and significant for science. At the moment, the most common approach is the analysis of business management systems as closed systems, the development process of which is analyzed from the point of view of a static external environment that has a certain degree of certainty. The paper proposes an approach that takes into account the analysis of the impact of environmental life cycle changes on the development process of business structure management systems, taking into account the impact of uncertainty of both external and internal factors.

MANAGEMENT OF COMPETITIVENESS OF HEALTH CARE INSTITUTIONS ON THE MEDICAL SERVICES MARKET

Polina Hurzhyi — Fri, 14 Feb 2025 00:00:00 +0200

The purpose of the article is to develop theoretical principles of competitiveness management and determine the directions of ensuring competitive advantages of healthcare institutions, taking into account the peculiarities of their functioning. The need to develop measures to ensure the competitiveness of a healthcare institution (HCI) is identified. The concept of HCI competitiveness is disclosed. The key principles of competitiveness (patient-orientedness, innovation, quality of service, accessibility, reputation) are characterized. The directions of ensuring competitive advantages of HCI are identified. The main vectors of HCI quality management are considered: quality certification, patient satisfaction monitoring and clinical audit. The definition of quality standards certification is provided and the advantages of its implementation are indicated. The purpose of patient satisfaction monitoring and its main indicators are highlighted. The concept of clinical audit is disclosed and its importance for increasing the competitiveness of HCI is highlighted. The features of implementing innovations and technological modernization as a direction for ensuring the growth of the institution's competitiveness are highlighted. The need for the institution to implement a policy of digitalization and automation of management processes is indicated. The components of effective resource management are described. Ways to optimize the use of financial and material resources and ensure effective personnel management are indicated. The need to optimize time management is emphasized. Directions for staff training are determined. Features of implementing effective marketing policy and reputation management in health care institutions are considered. Directions for marketing communications of the institution are specified. The essence of an individualized approach to patients is revealed. Components of the policy of partnership of health care institutions with international organizations are highlighted. Components of management policy for ensuring competitive advantages are determined (competitor analysis, identification of unique offers, assessment of patient needs, development of a strategy for the development of the institution, promotion of competitive advantages through various communication channels).

MAIN ASPECTS OF THE INVESTMENT POTENTIAL OF HUMAN CAPITAL

Iryna Debela — Fri, 14 Feb 2025 00:00:00 +0200

Modern theories of management interpret human capital as the driving force of economic growth. The development of human capital increases the size of the internal resource, which determines the competitiveness of the organization and ensures sustainable economic growth in the strategic perspective. The assessment of the potential of human capital should be considered as a process of analyzing and measuring the effectiveness of investment infusions with a long payback period. However, there is a problem of choosing a complex criterion - an identifier of the effectiveness of the investment potential of human capital. Methods for assessing the effectiveness of investment projects should be adapted to non-material, qualitative indicators, stochastic parameters related to various aspects of human capital. The purpose of the work is to study the key aspects of human capital as an internal investment resource, the process of movement of the organization's cash flows in the direction of increasing productivity, creativity and competitiveness in a strategic perspective.

RESEARCH ON THE IMPACT OF DIGITAL INNOVATIONS ON THE EFFICIENCY OF FINANCIAL MANAGEMENT IN UKRAINIAN BANKS

Hanna Zhosan, Anastasiia Roshchuk — Fri, 14 Feb 2025 00:00:00 +0200

The article is devoted to the study of modern aspects of the impact of digital innovations on the efficiency of financial management of Ukrainian banks. The article considers the key challenges and opportunities that arise in the banking sector in the context of digital transformation, and provides recommendations for improving the efficiency of financial resources management. The study found that the introduction of digital technologies has a positive impact on improving the quality of customer service and optimising the internal processes of banking institutions. The main challenges remain cybersecurity issues, regulatory restrictions, insufficient digital literacy of the population, and the need for significant investment in technological infrastructure. The authors propose ways to address these challenges, including the development of an innovative ecosystem, analysis of data on banks' adaptation to the rapid development of online banking, improvement of the regulatory framework, creation of public-private partnership mechanisms for financing technology projects, and professional development of banking employees. Particular emphasis is placed on the importance of implementing Open Banking and developing financial technologies (FinTech) to increase the competitiveness of Ukrainian banks in the international market. The article is of significant practical and scientific importance for representatives of the banking industry, regulators and the scientific community, as it provides specific recommendations for the introduction of digital innovations to ensure the sustainable development of financial management. Implementation of the proposed measures will contribute to the modernisation of the banking system of Ukraine, increase its efficiency and sustainability in the context of global digitalisation.

STANDARDIZATION AS A FACTOR IN THE INNOVATION STRATEGY OF MODERN BUSINESS

Nataliya Poliova, Anastasiia Polova, Vitalii Kononenko — Fri, 14 Feb 2025 00:00:00 +0200

In the context of modern globalization and rapid technological progress, business success depends on the ability of companies to adapt to changes and implement innovations. Standardization plays a key role in this process, as it creates a basis for consistency, efficiency and the implementation of new technologies. The increasing importance of standards in business is associated with several factors: acceleration of innovation processes - uniform standards allow companies to integrate new technologies faster, reducing development and implementation costs; harmonization of international markets - thanks to standards, companies can more easily enter foreign markets, reducing barriers to trade and simplifying cooperation; competitiveness - organizations that adhere to standards gain competitive advantages, as their products or services meet consumer expectations and regulatory requirements; ensuring sustainable development - unification of technologies through standards contributes to sustainable development, as it allows companies to optimize the use of resources and implement environmentally friendly solutions. An innovative business strategy today is impossible without taking into account the role of standards in such aspects as digitalization, the introduction of new production methods, automation or the development of artificial intelligence. In addition, standardization acts as a catalyst for cooperation between business, scientific institutions and government organizations. It provides clear rules of the game, which contributes to the transparency and efficiency of the implementation of innovative projects. The topic of standardization as a factor in innovation strategy is relevant because it provides the basis for sustainable business development, integration of innovations, and increased competitiveness in a dynamic global environment. The article examines the concepts of standardization and voluntary certification in modern business, their impact on business development. The main goals and objectives of international standardization are revealed.

THE INTERCONNECTION BETWEEN INTELLECTUAL CAPITAL AND CORPORATE CULTURE

Nataliya Poliova, Oleksii Chernov, Oleksii Luhovyi — Fri, 14 Feb 2025 00:00:00 +0200

The relationship between corporate culture and intellectual capital is an important aspect for the development of modern organizations. Corporate culture forms values, norms and behavioral patterns that determine the interaction of employees and contribute to the effective use of intellectual capital. It creates an environment in which the knowledge, experience and skills of employees can be exchanged and integrated into the strategic processes of the organization. Intellectual capital, in turn, is the basis for innovation and decision-making, providing organizations with competitive advantages. The interaction of these two elements allows for the maximum use of the potential of human resources, promotes the development of innovations and adaptation to a changing market environment. The article substantiates and proves that organizations that successfully integrate corporate culture and intellectual capital demonstrate a higher level of productivity and resilience in the face of globalization and technological change. Research on intellectual capital, corporate culture, creative energy of employees and intangible assets focuses on their impact on the sustainable development and competitiveness of organizations. Intellectual capital consists of human, structural and relational assets that provide the basis for the creation of new knowledge and innovation. Corporate culture acts as a catalyst, forming values and behavioral patterns that support efficiency and adaptability. The creative energy of employees, as an integral part of human capital, stimulates the generation of ideas and contributes to their implementation. Intangible assets, including brands, reputation and knowledge, create unique value that is impossible to copy. An integrated approach to managing these elements contributes to the achievement of strategic goals and innovative development. The relevance of the topics of research on intellectual capital, corporate culture, creative energy of employees, intangible assets, and issues of their valuation is due to the shift in the economy's attention towards intangible values, since in most cases, things that cannot be touched and are often even very difficult to measure have great economic and financial value.

DIGITAL LEADERSHIP AS A PLATFORM FOR ACTIVATING THE DEVELOPMENT OF INTELLECTUAL CAPITAL OF AGRICULTURAL ENTERPRISES

Ivan Cherniavskyi — Fri, 14 Feb 2025 00:00:00 +0200

The purpose of the article is to clarify the essential characteristics of digital leadership of enterprises, determine its criteria (will help in assessing the degree of digitalization of agricultural enterprises, their ability to be a digital leader and identify their intellectual capital), risks and benefits and develop substantiated measures and proposals for ensuring digital leadership as a platform for activating the development of intellectual capital of agricultural enterprises. In particular, it is emphasized that the integration of digital technologies into the activities of agricultural enterprises is key to achieving their sustainable and effective development, for an adequate response to the challenges of modernity, such as the intellectualization of activities, climate change, population growth and globalization of markets. It is argued that the criteria for determining a digital leader among agricultural enterprises should reflect the degree of implementation of digital technologies, the development of intellectual capital, innovations and their impact on the efficiency of the enterprise. Achieving digital leadership requires a systematic approach and the implementation of a number of measures that will help an agricultural enterprise not only improve the efficiency of its processes, but also become a digital leader in its industry, which will positively affect competitiveness and profitability. It is noted that the choice of digital technologies and tools by agricultural enterprises depends on their business needs and digital potential and maturity, but it is worth considering the possibility of using digital twin technology to activate the development of their intellectual capital. Gaining digital leadership for agricultural enterprises in modern conditions becomes a platform for activating the development of their intellectual capital, which requires attention and investment. Digital leaders must be ready for new challenges and requests and develop the necessary competencies, since today, we consider the transition to digital leadership to be an important stage for all agricultural enterprises that strive to achieve economic success and development.

PROSPECTS OF THE PRODUCTION OF NICHE CULTURES IN THE FOOD SUPPLY AND EXPORT POTENTIAL OF THE STATE

Iryna Vlasenko, Olga Vasylyshyna — Fri, 14 Feb 2025 00:00:00 +0200

The article shows that despite the significant difficulties of the martial law and the occupation of a certain part of the territory, Ukraine has a high potential for the development of agriculture and holds the leadership in the world agricultural markets in the production of grain, sugar, honey, and sunflower oil. To date, the trend in agriculture in Ukraine has become the production of niche crops. In this segment, both large agricultural holdings and farms strive to prove themselves. The main characteristics of growing niche crops are a low level of competition, the ability to diversify production risks, high profitability and export orientation. Modern agribusiness is increasingly betting on niche crops. However, the scale of production of niche agricultural products in Ukraine is currently very limited. Today, niche crops in Ukraine are a kind of security cushion that guarantees farmers an additional source of income in case of adverse weather conditions and falling prices for traditional crops, market overcrowding and increased competition. The advantages and disadvantages (risks) of growing niche crops in Ukraine are considered. Niche crops are produced in relatively small volumes, have a low but stable demand, mainly foreign, and are grown to diversify production as an alternative source of income. They are interesting to manufacturers primarily because of their profitability: with low production costs, their purchase prices are consistently high. Production and processing of niche crops can become not only a reliable source of income for farms, but also an export item for the state as a whole. However, for successful integration into the EU market, it is much more promising to go out with ready-made products - canned vegetables and beans, frozen mixes, etc. Cultivation of niche agricultural crops can be considered as one of the most promising directions for strengthening Ukraine's food security, reducing dependence on the import of agricultural products, increasing the stability of the country's agricultural sector and ensuring its sustainable development in the face of modern challenges.

METHODOLOGICAL APPROACHES TO THE MANAGEMENT OF BUSINESS PROCESSES OF RETAIL ENTERPRISES IN THE CONDITIONS OF SYSTEMIC TRANSFORMATIONS

Maksym Klishch — Fri, 14 Feb 2025 00:00:00 +0200

The article identifies the main methodological approaches to managing business processes of retail enterprises in the context of systemic transformations. The main advantages and disadvantages of each of the outlined approaches are highlighted in details. It has been established that in the conditions of doing business which is characterized by systemic transformations, the most effective among the main approaches to managing business processes is the process approach that is focused on achieving the competitiveness of a retail enterprise. Within the framework of the proposed approach and based on the conducted content analysis of the concepts of "adaptation" and "adaptability". It is determined that "adaptability" is used as a characteristic of the socio-economic system, the ability to adapt, structural restructuring, in the context of transformations; while adaptation is a feature of a specific enterprise in order for it to acquire features and properties characteristic of the transformation environment. It has been established that the application of the proposed approaches allows achieving adaptability and efficiency of business processes, which is based on the efficiency of the enterprise as a whole. Among the analyzed approaches to the business process management system of a retail enterprise, the leading place belongs to the process approach. Therefore, the process approach can be combined with functional, strategic or other approaches. Depending on the degree of adaptation of a retail enterprise to the conditions of transformation of the economic system, approaches to business process management can be combined in different variations. Using a process approach in enterprise management, processes are systematically identified, managed, and consistently interacted. The stages of implementation of approaches to business process management were investigated and analyzed in the article. The point of combination of approaches acts as a bifurcation point, on which the choice of the next approach for the purpose of adapting the enterprise depends.

ASSESSMENT OF CONSUMER PROPERTIES AND FURNITURE EXPERTISE

Nadiya Kucheruk, Nina Trishkina — Fri, 14 Feb 2025 00:00:00 +0200

The article is relevant because it raises issues related to the assessment of consumer properties and the examination of furniture products. The group of furniture products includes a large number of items that surround a person in his everyday life. Modern furniture is characterized by high functionality and comfort, polymateriality, serial design based on broad normalization and unification of elements, high manufacturability and cost-effectiveness of production, expansion and updating of the nomenclature, reliability in operation. Special attention is paid to decorative and artistic characteristics and comfortable conditions for the operation of furniture. The furniture market of Ukraine, with the beginning of the full-scale invasion of the Russian Federation into the territory of our country, significantly reduced its volumes due to a sharp drop in the purchasing power of the population. Over the past year, furniture production has been restored. The analysis of literary sources confirmed that there is an insufficient number of publications on the issues of assessing consumer properties and the examination of furniture products. The article examines the basic requirements for furniture, namely: functional, constructive, aesthetic, ergonomic, hygienic, requirements for strength and durability. Factors that shape the quality of furniture products are considered: raw materials, processing and assembly, decoration. Factors that affect the quality of furniture are studied. The algorithm for conducting an examination of furniture products is specified: general requirements are updated, control methods are characterized, and the procedure for drawing up examination results is improved. It is established that the quality of furniture depends on the level of design development, regulatory and technical documentation, technological preparation, production organization, dimensional, technical and economic, aesthetic and other characteristics, as well as on the quality of raw materials and starting materials, all factors are regulated by the State Standard of Ukraine and other documents. As a result of the work carried out, it was concluded that the problem of assessing consumer properties and examination of furniture continues to remain relevant. Conquering the market and consumer loyalty is impossible without creating high-class and quality products, competitive prices and in accordance with the requirements of national standards.

RECREATION FACTORS OF DEVELOPMENT HOTEL AND RESTAURANT BUSINESS IN UKRAINE

Vadym Konashchuk — Fri, 14 Feb 2025 00:00:00 +0200

The article examines the development processes of the hotel and restaurant business in Ukraine over the past 15 years. Their positive dynamics were revealed, with the exception of periods of objective force majeure (war and pandemic). Such a successful development was facilitated by our country's provision of recreational resources. The availability and possibilities of using recreational resources have a positive effect on the development of the hotel and restaurant business. Their role is constantly growing, because in modern conditions, the needs of psychophysiological recovery and full-fledged rest of the population are also constantly growing. This especially applies to the population of Ukraine, which is under permanent stress from February 24, 2022 due to the war unleashed by russia. However, a significant part of recreational resources in Ukraine due to russian aggression are temporarily lost or unavailable for use. The most tangible is the loss of the Azov and Black Sea coasts for recreational use, as well as the destruction of the Kakhov reservoir. Therefore, mass beach tourism actually stopped, with corresponding consequences for the hotel and restaurant business. After the de-occupation, a considerable period of time will be required for demining the coast and the water area and eliminating the consequences of hostilities. Recreational resources of the de-occupied territories will gradually return to economic circulation. At the same time, we should expect a sharp increase in recreational demand due to the return of the population to a peaceful life and the growth of its income. This will cause a shortage of recreational resources and become an inhibiting factor for the development of the hotel and restaurant business. To prevent such a situation, a policy of intensifying the development and use of local recreational resources should be carried out in advance. The common principles of local recreation policy for all regions and communities should be to facilitate access to local infrastructure for hotel and restaurant business entities, their ecologically neutral functioning, and their observance of the principle of inclusiveness in the process of using recreational resources.

WELLNESS TOURISM: NEW HORIZONS FOR BALANCE AND HEALTH UNDER CURRENT CONDITIONS

Viktoriia Boiko — Fri, 14 Feb 2025 00:00:00 +0200

Wellness tourism is becoming an essential aspect of the modern tourism market, offering new horizons for achieving a balance between physical, mental, and social health. In a world where stress and a fast-paced life are increasingly becoming a norm, wellness tourism is a response to peoples’ needs for recovery and harmony. Studies show that wellness tourism not only contributes to physical health but also helps people improve psycho-emotional state, strengthen social connections, and reduce anxiety. The relevance of wellness tourism is determined by the growing demand for healthcare services, particularly during wartime, when health has become a priority for many people. Tourists increasingly choose destinations offering SPA therapy, yoga, meditation, and other practices promoting recovery. In this case, such resorts as those located in the city of Truskavets and the Carpathian Mountains are becoming ideal places for implementing the concept of wellness due to natural resources, clean air, and a variety of healthcare services. Wellness tourism also considers social aspects since many programs contribute to developing interpersonal relationships and creating a supportive atmosphere. Offerings, including group classes and joint activities, allow tourists to make new friends and feel part of a community. The environmental aspect of wellness tourism is also important since many resorts are striving for sustainable development, using environmentally friendly technologies and practices. The article analyzes the current state and main trends in the development of wellness tourism under present conditions and its impact on the transformation of the tourism industry in Ukraine. The study considers the dimensions of the models of human wellbeing and the main reasons for the popularity of wellness tourism during wartime that testify to the importance of integrating health and wellbeing into everyday life, promoting active lifestyles and a conscious approach to health. Wellness tourism not only satisfies modern society’s needs but shapes a new culture of health care in which harmony between body and soul becomes a vital element.

FEATURES OF ORGANIZING SHORT-TERM TRIPS FOR UKRAINIAN TOURISTS IN EUROPE

Nataliia Boiko, Oksana Bogoslavets, Inna Illiashenko — Fri, 14 Feb 2025 00:00:00 +0200

The article discusses the peculiarities of organizing short-term trips of Ukrainian tourists to European countries. An analysis of the main factors influencing the popularity of such types of tours among Ukrainian tourists has been carried out. Particular attention is paid to the study of innovations on the border of Ukraine with the EU, which optimizes customs procedures for visitors to the region for tourism and business purposes. They consist in the implementation of the EES and ETIA systems in European countries, which should ensure accurate accounting of the time spent by third-country nationals in the countries of the region. This precautionary measure will allow Schengen countries to avoid abusing the visa-free regime. It is a means of security and reduces bureaucratic barriers on the way to intensifying tourism and business ties. The study identifies aspects of tourist offers of European countries for the organization of short trips. Recommendations have been developed to improve the quality of preparation of Ukrainian tourists for travel, an assessment of the prospects. Short-term tourist trips of Ukrainians abroad are an important component of international mobility and socio-cultural exchanges. The features of organising excursion activities during short-term trips are considered. However, they face a number of problems that require comprehensive research and solution. Among them are problems with visa requirements and border crossing, the impact of diversification of transport infrastructure on the increase in the number of short-term trips of Ukrainians to Europe, the impact of the economic situation in Ukraine (deflation, decline in incomes, fluctuations in the hryvnia exchange rate) on the ability of citizens to organize short-term trips to Europe, the impact of the war on the choice of tourist destinations for Ukrainians. Under these conditions, it is important to analyze how the structure and dynamics of tourist flows that encourage Ukrainians to travel in Europe are changing, as well as to find out the main factors that affect the choice of destination, duration of trips and their organization in conditions of economic and political instability.

IMAGE AS A TOOL FOR FORMING A COMPETITIVE STRATEGY IN THE HOSPITALITY INDUSTRY

Liudmyla Bondarenko — Fri, 14 Feb 2025 00:00:00 +0200

The article explores the significance of image as a critical factor influencing the competitiveness of hospitality establishments. In an environment of intense competition and growing consumer expectations, building a positive image becomes one of the key tasks for ensuring business success. The authors emphasize that the image of a hospitality establishment is a multidimensional phenomenon formed by aspects such as pricing, service quality, and the level of innovation. The role of each of these components in creating an attractive image for clients is analyzed. Specifically, effective pricing, aimed at balancing the cost of services with their perceived value, enables the attraction of a broader audience without compromising competitive advantages. Service quality, encompassing staff professionalism, process standardization, speed, and a personalized approach to guests, is seen as a foundation for strengthening consumer trust. Innovation, which includes the use of modern technologies, process automation, the implementation of eco-friendly solutions, and digital strategies, ensures that establishments meet contemporary challenges and client expectations. The article also highlights that the image of an establishment plays a strategic role in fostering customer loyalty and strengthening its market position. A positive image contributes to increased brand recognition, the creation of unique competitive advantages, and the achievement of long-term business stability. It has been proven that the successful implementation of an image management strategy enables hospitality establishments not only to adapt to changing market conditions but also to set new standards of service and client perception. It is concluded that an image is not merely an auxiliary tool but a fundamental element in shaping a competitive strategy in the hospitality sector. It allows establishments to adapt to modern market demands, meet customer needs, and maintain a strong reputation even during crises. The approaches proposed in the study can serve as a basis for developing practical solutions aimed at long-term growth and success in the hospitality industry.

THE MAIN TRENDS IN THE DYNAMICS OF THE AVERAGE NUMBER OF FULL-TIME EMPLOYEES OF THE HOTEL INDUSTRY IN UKRAINE

Iryna Herman — Fri, 14 Feb 2025 00:00:00 +0200

The relevance of the study is related to the insufficient level of scientific analysis of the main trends in the dynamics of the average number of full-time employees (AEOE) and the factors that influence the calculation of this indicator. The article is aimed at defining the problems and main trends in the dynamics of the SCS of hotel enterprises in Ukraine in the current economic conditions. The article uses the methods of scientific abstraction and logical generalization, analysis and synthesis, comparison, classification, systematization and visualization. To reveal the topic of the study, the author searched for and analyzed published scientific works and analytical indicators in the field of socio-economic development of the country's hotel industry as a significant segment of the hospitality industry. The author focuses on the essence and peculiarities of calculating the average weekly wage and its differences from other indicators of employee accounting by business entities. The article analyzes the indicators of personnel movement, the calculation of which is influenced by the NGTF indicator, including the system of a number of coefficients. The author emphasizes the current requirements for compliance with the law when preparing and submitting relevant reports to government agencies. A list of indicative indicators to be taken into account when determining the main trends in the dynamics of the indicator of the hotel industry of Ukraine in the current economic conditions and in the post-war period is proposed. One of the priority levers of influence on this indicator should be to take into account the factors of influence of the crisis in the country's economy, conditions of uncertainty in business, the consequences of military aggression by the Russian occupiers and, at the same time, to create motivational factors for enterprises to encourage full-time employees to be interested in stable work in the hotel team. The importance of using timely and relevant analytical data is emphasized in order to forecast demand and, as a result, increase revenues and reduce operating costs. According to the results of the presented scientific research, it is reasonable to assert a sufficient level of positive dynamics and prospects for the development of hotel enterprises in the service market.

PRINCIPLES OF REGENERATIVE TOURISM: ORGANIZATIONAL FOUNDATIONS IN THE SYSTEM OF SUSTAINABLE DEVELOPMENT

Viktoriia Krasnomovets — Fri, 14 Feb 2025 00:00:00 +0200

The article explores the concept of regenerative tourism, emphasizing its role as a transformative approach to sustainable tourism development. Unlike traditional models, regenerative tourism focuses on creating net-positive outcomes for natural environments, local communities, and cultural heritage. This approach integrates ecological, social, and economic dimensions, promoting a systemic perspective aligned with global sustainability goals. The study identifies and analyzes the core principles of regenerative tourism, including environmental restoration, inclusivity, long-term development, and cultural authenticity. These principles are framed as essential for fostering harmonious coexistence between human activities and ecosystems while ensuring the resilience and prosperity of tourist destinations. The principle of environmental restoration underlines efforts to repair and rejuvenate natural landscapes, encouraging activities such as reforestation, biodiversity conservation, and habitat renewal. Inclusivity is presented as central to engaging diverse stakeholders, particularly local communities, in equitable decision-making processes. This fosters social cohesion and economic empowerment while respecting the rights and roles of all participants. The principle of long-term development focuses on creating sustainable systems that balance immediate benefits with future needs, ensuring that tourism projects contribute positively to the environment and society over time. Finally, cultural authenticity emphasizes the preservation of intangible heritage, traditions, and local identities, enriching the tourism experience while safeguarding community values. The author provides an in-depth examination of these principles through international case studies, illustrating their practical implementation and outcomes. Special attention is given to collaborative frameworks that unite governments, businesses, non-governmental organizations, and local populations in achieving shared goals. Regenerative tourism is also highlighted as a model that challenges the traditional emphasis on economic growth by advocating for quality over quantity, prioritizing the health of ecosystems and the well-being of host communities. Moreover, the study emphasizes the transformative potential of regenerative tourism for travelers, offering meaningful experiences that connect them with the natural and cultural fabric of destinations. Tourists are encouraged to actively contribute to conservation efforts and community development, making their journeys purpose-driven and impactful. By aligning with these principles, regenerative tourism not only addresses the challenges of environmental degradation and social inequality but also establishes a roadmap for sustainable and resilient tourism practices globally. Ultimately, this approach redefines the tourism industry, ensuring it serves as a force for renewal and balance in both human and ecological systems.

RESEARCH OF THEORETICAL ASPECTS OF TOURISM INDUSTRY DEVELOPMENT MANAGEMENT

Viktoriia Krykunova, Katerina Nikitenko — Fri, 14 Feb 2025 00:00:00 +0200

The article explores the theoretical and practical aspects of managing the development of the tourism industry in the context of contemporary challenges. At the core of the study lies the concept of "tourism safety management," which integrates physical, economic, social, and informational dimensions of safety. The focus is on creating a comprehensive system that ensures the protection of tourists at all stages of their interaction with tourism products – from trip planning to its realization. The relevance of the study is driven by the growing global challenges such as shifts in tourist behavior patterns, increased safety risks, and the need for tourism enterprises to adapt to uncertain conditions. The proposed concept relies on modern technologies such as digital platforms, artificial intelligence, monitoring systems, and predictive analytics. These tools enable prompt responses to potential threats and minimize risks, ensuring the sustainable operation of the tourism sector. The article analyzes theoretical approaches to tourism management that allow for the integration of different safety aspects into a unified system. Particular attention is given to preventive measures, including risk management, crisis response, and safety planning. The implementation of such measures enhances customer trust in the tourism business, strengthens the competitiveness of tourism enterprises, and ensures their sustainable development. The scientific novelty of the article lies in the development of a unified approach to managing the development of the tourism industry, which accounts for the specifics of interaction between government agencies, the private sector, civil society organizations, and tourists. Proposed management tools such as planning, monitoring, control, and evaluation are designed to optimize resources and ensure the sustainable development of the industry. The practical significance of the research is reflected in its applicability for developing strategies to adapt tourism businesses to crisis conditions and forming policies aimed at enhancing the national tourism product's competitiveness in the international market. The findings highlight the necessity of integrating safety aspects into all levels of tourism management, particularly in strategic planning, infrastructure development, and destination marketing. The article also emphasizes the importance of fostering collaboration among all stakeholders in the tourism ecosystem. This collaboration includes government agencies, private businesses, local communities, and tourists themselves. The integration of innovative mechanisms and approaches can pave the way for a more resilient tourism sector capable of adapting to global and local challenges. Furthermore, the study discusses the need to preserve and enhance local natural and cultural resources, ensuring their sustainable use in tourism. The role of education and training for industry professionals is highlighted as a critical component in addressing contemporary challenges and improving the overall quality of tourism services. The article concludes by outlining prospects for further development of the tourism industry through the introduction of innovative mechanisms and effective collaboration between stakeholders. The proposed approaches are positioned as key factors for achieving sustainable growth, improving customer satisfaction, and enhancing the global competitiveness of national tourism products.

RESEARCH ON SCIENTIFIC APPROACHES TO FORMING THE DEFINITION OF "TOURISM SECURITY MANAGEMENT"

Katerina Nikitenko — Fri, 14 Feb 2025 00:00:00 +0200

The article focuses on the study of scientific approaches to forming a comprehensive concept of "tourism security management," which has become particularly relevant in the context of globalization, growing tourist flows, and increasing national and international threats. Implementing tourism security management is a critical aspect that not only enhances the quality of tourism services but also ensures sustainable development of the tourism sector, one of the significant areas of the economy. This paper highlights current theoretical approaches that form the foundation for establishing an integrated security system in tourism, combining various aspects–physical, economic, social, and informational security. The study emphasizes the importance of preventive measures, such as threat monitoring, risk management, crisis management, and the planning and implementation of security activities, which are essential components of modern tourism management. Special attention is given to the use of advanced technologies–digital platforms, artificial intelligence, monitoring, and forecasting systems–that ensure a prompt response to potential threats, rapid adaptation to changing conditions, and an increased level of customer trust. These technologies are key tools for maintaining high security standards in travel, while simultaneously enhancing the competitiveness of tourism enterprises. The paper proposes a unified approach to tourism security management, encompassing a comprehensive set of measures aimed at planning, organizing, coordinating, and controlling actions to ensure safety at all stages of interaction with the tourism product–from its development and market promotion to delivery and post-sale support. The scientific novelty of the article lies in integrating various aspects of security into a single concept that provides comprehensive protection for tourists and facilitates the adaptation of enterprises to uncertainty, enhancing operational efficiency. The research demonstrates that developing and implementing such an approach promotes the sustainable development of Ukraine's tourism industry, strengthens its competitiveness in domestic and international markets, enhances the country's national image, and supports economic growth. In the context of modern global challenges, tourism security management is not only a timely requirement but also one of the key tools for preserving the sector's resilience and ensuring its further growth.

MECHANISMS OF IMPLEMENTATION OF STRATEGIC APPROACHES TO RISK MANAGERMENT IN THE CONTEXT OF INTERNATIONAL BUSINESS

Olena Zayats, Kateryna Fraityk — Fri, 14 Feb 2025 00:00:00 +0200

The article offers an in-depth exploration of the conceptualization, fundamental characteristics, and unique aspects of risks that international enterprises face, highlighting the complexity and diversity of these risks. It also traces the historical development and transformation of key paradigms in risk management, shedding light on how these approaches have evolved to address the dynamic challenges of the global business environment. By providing a comprehensive overview of the regulatory frameworks for managing risks in major global economies, the article offers valuable insights into the legal and institutional mechanisms that guide international businesses in navigating risks. Furthermore, the article examines the significant impact of global economic turbulence–such as financial crises, geopolitical tensions, and trade disruptions–on the operations of international businesses, underscoring the need for robust and adaptable risk management strategies in these uncertain times. It emphasizes the practical application of various risk management methodologies, evaluating their effectiveness in mitigating the wide range of risks that affect international enterprises, from political and financial to technological and environmental. The study also delves into the mechanisms for the development and optimization of contemporary risk management frameworks, focusing on advanced methodologies like predictive analytics, artificial intelligence, and data-driven decision-making. These cutting-edge approaches enable businesses to anticipate and respond proactively to emerging risks and opportunities in an increasingly volatile and interconnected world. Particular attention is given to the specific challenges faced by businesses operating in the Ukrainian market, especially in the context of ongoing global instability. The article discusses the need for flexibility, resilience, and a deep understanding of both local and global risks in formulating effective risk management strategies for the Ukrainian business landscape, which is heavily influenced by geopolitical and economic turbulence.

ADVANTAGES AND DISADVANTAGES OF THE FRANCHISE BUSINESS MODEL

Maryana Kohut, Yevhen Len — Fri, 14 Feb 2025 00:00:00 +0200

This article explores the effectiveness of franchising as a modern business model that offers advantages to franchisors, franchisees, and the economy as a whole. The study examines the primary benefits of franchising, such as rapid business expansion, reduced financial risks, brand promotion, and access to tested business strategies. Simultaneously, it addresses key drawbacks, including challenges in quality control, dependency on franchisees, and high management costs associated with large networks. Special attention is given to the positive impact of franchising on consumers, who benefit from consistent access to high-quality goods and services, fostering trust and satisfaction. The analysis highlights franchising as a vital tool for the development of small and medium-sized enterprises (SMEs), the creation of new jobs, the attraction of foreign investments, and the implementation of innovative approaches. Furthermore, the article underscores the franchisor’s role in ensuring balanced interactions with franchisees, particularly through the development of optimal placement strategies for franchise outlets. This approach maximizes the productivity of franchise networks while minimizing internal competition. The study also evaluates the broader societal impact of franchising, including its role in enhancing local economies and driving scientific and technological progress. In addition, the article delves into the dual dynamics of franchising, where franchisors benefit from reduced capital investments and franchisees gain reduced risks and operational support. However, the article also reveals challenges, such as ensuring standardization across geographically dispersed franchise outlets and maintaining brand reputation amidst diverse franchisee operations. The findings suggest that franchising provides not only a framework for sustainable business growth but also a platform for economic stability and innovation. By linking theoretical insights with practical observations, this research provides a comprehensive understanding of the mechanisms underpinning franchising. It emphasizes the importance of fostering effective collaboration between franchisors and franchisees while addressing operational challenges. Moreover, the study highlights franchising as a catalyst for broader economic growth, promoting business model sustainability, consumer confidence, and global market integration.

THE CENTERS OF ECONOMIC INFLUENCE AMID THE TRANSFORMATION OF THE REGIONAL DEVELOPMENT IN THE GLOBAL ECONOMIC SYSTEM

Svitlana Radziyevska — Fri, 14 Feb 2025 00:00:00 +0200

It is substantiated that the transformation of the regional development in the global economic system is determined by the actions of the world economy leaders, primarily at the state, regional, transregional, and global levels. The transformation is manifested in the changes of the main actors, their relations, i.e. the modifications in the power of the leading countries, regional blocs, as well as the alterations in the relations between them, which shape the next stage of the world economy development and the prospects for a new transformation. It is revealed that the centers of economic influence in the global economic system are the states, regional groups, transregional coalitions that are able to impact the course of economic processes progression. At the end of the 20th century the leading actors of the world economy are the US, the EU, Japan. However, the system shifts in the global economy in the beginning of the 21st century, the global crisis and the introduction of the latest technologies under the influence of the Fourth Industrial Revolution resulted in the contradictory course of globalization and the formation of the new centers of economic power, the key one among which is China. The goal of the paper is to analyze the dynamics of the nominal GDP of the USA, China, the EU, BRICS, as well as the dynamics of their GDP share in the world GDP between 1970 and 2023. To achieve the goal, various methods have been used, including those of the experts’ assessments, comparative, statistical, graphic analysis, etc. The data for the analysis is taken from the official site of the UNCTAD. During 1970-2023, the US increased its GDP production 25.48 times; China - 191.88; the EU - 24.01; the BRICS countries - 40.24 times. The total share of the GDP of the USA and the EU in the world GDP reached its maximum of 53.91% in the 1990s. Between 1970 and 2023, the share of the US GDP in the world GDP decreased by 5.31%, the share of the EU dropped by 4.87%, while that of China increased by 14.21%, and that of the BRICS group grew by 5.85%. The dynamics of the ratio of China's GDP share in the world GDP to the total share of the US and EU GDP in the world GDP shows that China has been catching up with the USA and EU. The US GDP accounts for about a quarter of the world's GDP: in the 1970s, it was more than a third, while in the 2000s, it reached almost a third again.

ARTIFICIAL INTELLIGENCE AND COMPETITIVENESS IN THE TOURISM BUSINESS: A BIBLIOMETRIC ANALYSIS OF RESEARCH

Natalia Ivanova — Fri, 14 Feb 2025 00:00:00 +0200

The purpose of this study is to conduct a bibliometric analysis of existing research on the impact of artificial intelligence (AI) on the competitiveness of tourism enterprises. Using data from Web of Science and Scopus, this study examines trends in publication activity, the geographical distribution of research, citation levels of key authors, and major thematic directions. The findings indicate that leading research centres in AI applications within tourism are concentrated in China, Spain, India, the USA, the United Kingdom, and Portugal, highlighting the extensive academic interest in this field. The bibliometric analysis reveals that existing research primarily focuses on the application of machine learning for service personalization, the use of big data for forecasting tourism flows, the automation of customer service processes, and the development of smart tourism. Recent studies have also placed significant emphasis on generative artificial intelligence, particularly ChatGPT, examining its potential to influence digital tourism services, reshape business models, enhance operational efficiency, and redefine customer experiences. Furthermore, the reviewed literature highlights the role of AI in market intelligence, real-time analytics, and decision support systems, which allow businesses to adapt to evolving consumer demands and competitive landscapes. The increasing integration of AI in tourism is reflected in studies on chatbots, virtual assistants, and predictive analytics, which collectively contribute to personalized and seamless travel experiences. Despite the noted advancements, the bibliometric analysis identifies key challenges frequently discussed in the literature, including ethical concerns, data security issues, regulatory barriers, and the demand for a specialized workforce to implement AI solutions effectively. Addressing these challenges is essential for the sustainable integration of AI in the tourism sector. The results of this bibliometric study provide valuable insights into the evolving landscape of AI applications in tourism, offering a foundation for future research. The study underscores the importance of continuous academic investigation, interdisciplinary collaboration, and strategic policymaking to ensure the responsible and effective deployment of AI-driven innovations in tourism.