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DOI: https://doi.org/10.34069/AI/2022.53.05.29
How to Cite:
Lukianova, V., Dykha, M., Bakay, V., Polozova, V., & Ivanov, M. (2022). Innovation-digital direction of the development in the
context of the regional asymmetry. Amazonia Investiga, 11(53), 298-307. https://doi.org/10.34069/AI/2022.53.05.29
Innovation-digital direction of the development in the context of the
regional asymmetry
Інноваційно-цифровий напрям розвитку в контексті регіональної асиметрії
Received: April 1, 2022 Accepted: May 16, 2022
Written by:
Valentyna Lukianova123
https://orcid.org/0000-0003-0036-3138
Mariia Dykha124
https://orcid.org/0000-0003-4405-9429
Vitaliy Bakay125
https://orcid.org/0000-0001-5865-227X
Valentina Polozova126
https://orcid.org/0000-0002-2528-587X
Maksym Ivanov127
https://orcid.org/0000-0003-4456-7562
Abstract
The purpose of the article is to substantiate the
directions of state regulation of the processes of
information and digital development, which will
contribute to the reduction of the processes of
differentiation of the development of regional
economic systems. The study used an
institutional approach that allows with a high
degree of subordination, logic and consistency to
study the diverse phenomena and processes
associated with innovation and digital
development, to take into account not only
changes in formal and informal institutions, but
also changes in global economic processes. self-
identification of regions. The tools of state
regulation of innovation and digital development
of the regions should be singled out. The role and
importance of informal institutions of innovation
and digital development of regions are outlined.
Direct and indirect methods of supporting
scientific, technical and innovative activities are
identified. The necessity of formation of strategic
directions of innovation and digital development
of regions is proved.
123
Doctor of Economic Sciences, Professor, Head of the Department of Economy of Enterprise and Entrepreneurship, Khmelnytskyi
National University, Ukraine.
124
Doctor of Economic Sciences, Professor, Professor of the Department of Economics of Enterprise and Entrepreneurship,
Khmelnytskyi National University, Ukraine.
125
PhD in Economics, Associate Professor, Associate Professor of the Department of Economics of Enterprise and Entrepreneurship,
Khmelnytskyi National University, Ukraine.
126
PhD in Economics, Associate Professor, Associate Professor of the Department of Economics of Enterprise and Entrepreneurship,
Khmelnytskyi National University, Ukraine.
127
PhD in Economics, Associate Professor of the Department of Economics of Enterprise and Entrepreneurship, Khmelnytskyi
National University, Ukraine.
Lukianova, V., Dykha, M., Bakay, V., Polozova, V., Ivanov, M. / Volume 11 - Issue 53: 298-307 / May, 2022
Volume 11 - Issue 53
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Keywords: state regulation, regional
development, region, asymmetry of regional
development, innovation and digital
development, digitalization.
Introduction
Current trends in socio-economic development
of regions at different levels demonstrate the
deepening asymmetry of their development. The
asymmetry of socio-economic development is
seen as an urgent issue of regulating the
development of regions and modernizing their
structural adjustment. One of the ways to
overcome the asymmetry of regional
development is innovation and digital
development aimed at providing more efficient
conditions for economic activity in all areas,
including depressed, rational use of production
and resource potential and non-renewable
resources, achieving sustainable development
goals, improving living standards and quality of
life. regions, cities and towns. Globalization
trends in the world economy show that today the
future of the country and its development
depends on two main factors: the direct
development of high technology, and secondly,
the implementation of high technology in all
other areas of economic activity.
Also, it should be noted that despite the available
scientific, innovative and intellectual potential of
Ukraine in the country there is a slow formation
of modern and large-scale market of innovative
products and infrastructure of innovative
activities. There is an inefficiency of the
administrative and organizational structure of
innovation and digital development management
and the lack of a clear strategy for the country's
transition to post-industrial development based
on the innovation and digital platform.
This and other reasons determine the relevance
of the study of state regulation of innovation and
digital development as a way to overcome the
asymmetry of regional development.
The purpose of the article is to substantiate the
areas of state regulation of information and
digital development processes that will help
reduce the processes of differentiation of
regional economic systems. To achieve this goal,
the following tasks were solved: the relevance of
this study and the work of scientists in this area
of research; the application of the institutional
approach to the object of research is
substantiated; identification of tools for state
regulation of innovation and digital development
of regions; the role and importance of informal
institutions of innovation and digital
development of regions are outlined; identified
direct and indirect methods of supporting
scientific, technical and innovative activities; the
necessity of formation of strategic directions of
innovation and digital development of regions is
proved.
The methodological basis for studying the
regulatory aspects of innovation and digital
development as a way to overcome the
asymmetry of regional development is the
institutional approach, which allows with a high
degree of subordination, logic and consistency to
explore diverse phenomena and processes related
to innovation and digital development. Its
application makes it possible not only to clarify
the current state of regulatory support for
innovation and digital processes as a determinant
of development and reduce the asymmetry of
regions, but also to identify areas for
optimization and direction of regulatory changes
in this area.
Literature Review
Many leading research projects are devoted to
regional development issues, including
innovation and digital aspects. Among domestic
and foreign authors should be noted: Alraja,
M.N., et al, (2020); Andriushchenko, K., et al,
(2022); da Rocha Teixeira, F., et al, (2022); De
Silva, I. (2019); Deineko, L., et al, (2022);
Djakona, A., et al, (2020); Garafonova, O., et al,
(2021); Khadzhynov, I., et al, (2022); Khanin, S.,
et al, (2022); Khodakivska, O., et al, (2022);
Kholiavko, N., et al, (2021); Kholiavko, N., et al,
(2022); Klymenko, E.Y. & Alpeissova, S.E
(2021); Krasnonosova, O., et al, (2022);
Popadynets, N., et al, (2021); Popelo, O., et al,
(2021); Samiilenko, H., et al, (2021);
Samoilovych, A., et al, (2021); Tulchinskiy, R.,
et al, (2021); Tulchynska, S., et al, (2022);
Vakhovych, I., et al, (2021); Wang, P., & Cen, C.
(2022) and other.
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The aim of the article (Khadzhynov et al., 2022)
is to study the impact of digitalization on the
potential-creating space of regions in the context
of sustainable development. The study
(Samiilenko et al., 2021) analyzes the innovative
development of regions in the digital economy.
Scientists (Tulchinskiy et al., 2021) reveal the
strategic guidelines for the intensification of
regional development under the influence of
potential determinants in the context of
digitalization. Within the limits of article
(Khanin et al., 2022) the organizational and
economic mechanism of maintenance of
sustainability of development of region on the
basis of influence of potential-creating space in
the conditions of formation of creative economy
is offered.
Scientists (Krasnonosova et al., 2022) have
developed an organizational and economic
mechanism for attracting investment resources in
the innovative development of regions in
sustainable development teams. Article (da
Rocha Teixeira et al., 2022) considers the impact
of higher education institutions on the digital
development of regions. The authors (Kholiavko
et al., 2021, 2022) analyze the role of higher
education and ways to increase the adaptability
of universities to the digital economy.
Article (Djakona et al., 2020) demonstrates the
adaptability of higher education to the digital
economy. Scientists (De Silva, 2019) consider
the problems caused by the digitalization of the
economy based on the experience of the French
antitrust authority. Article (Klymenko &
Alpeissova, 2021) considers the experience of
Ukraine and Kazakhstan in digitizing education
in quarantine. Article (Myovella et al., 2020) is
devoted to the comparative analysis of
digitalization and economic growth. A study by
scientists (Alraja et al., 2020) analyzes the
process of digitization in developing countries.
The authors of the study (Khodakivska et al.,
2022) developed a methodological approach to
assessing the level of economic security of
innovative enterprises based on the use of
taxonomic analysis of key indicators of their
institutional support for optimal management and
forecasting of economic development of regions.
Researchers claim that the proposed evaluation
indicator is universal and its interpretation makes
it possible to identify the relationship between
the main integrated indicators for the regions,
taking into account the unevenness of their
economic development.
Researchers (Popadynets et al., 2021) analyzed
the main trends in the development and
management of eco-innovation in the EU and the
role of environmentally friendly innovation for
business and society. Taking into account the
experience of the European Union, the authors
outline the main trends and prospects for
strengthening the competitiveness of the regional
economy.
The authors (Wang & Cen, 2022) argue that
digital technologies play a key role in improving
the efficiency of innovation. Researchers have
investigated that innovation efficiency has
significant positive spatial externalities, and the
digital economy has significant positive direct
effects and spatial side effects on innovation
efficiency, but the above effects are
heterogeneous across regions and innovation
actors.
The article (Deineko et al., 2022) examines that
digital inequality of regions is considered one of
the urgent problems of sustainable development
in less developed countries. The authors analyze
the relationship between the regional digital
divide and the level of economic development in
Ukraine and the generalization of international
practices to promote digitalization in lagging
regions.
The authors of the article (Samoilovych et al.,
2021) outline the components of digital
transformation of the regions of Ukraine, among
which the emphasis is on creating an effective
digital infrastructure; introduction of Industry 4.0
technologies in industry; e-government and
training of the workforce according to the
requirements of the digital economy. Scholars
argue that the digitization process should be
systemic at both the national and regional levels.
The aim of the research (Popelo et al., 2021) is to
develop a methodological approach to modeling
and forecasting the innovative activities of
regional economic systems, as well as its testing
on the example of Polish provinces. The authors
argue that the developed methodological
approach to forecasting the innovation activity of
regions will help focus the efforts of regional
authorities on the most influential factors of
innovation of specific regional economic
systems.
Within the framework of scientific work
(Garafonova et al., 2021), a methodological
approach to determining the impact of public
administration on regional development in the
context of digital transformation is proposed. The
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authors have developed a methodological
approach based on the model of a system of
differential equations to determine the social,
reproductive and mobilization functions of
public administration of regional development in
the context of digital transformation.
Scientists (Tulchynska et al., 2022) have
developed a methodological approach to the
qualimetric calculation of innovation activities of
regional economic systems, taking into account
the processes of digitization. The authors
performed a cartographic analysis and identified
the leading regions, outsider regions and regions
with the average value of the integrated index of
innovation activity.
The authors' article (Andriushchenko et al.,
2022) is based on the development of tools for
managing the innovation potential of the region
based on the use of the mapping process.
Scientists have proposed a scheme for forming a
roadmap for the development of innovation
potential of the region, which includes a SWOT-
analysis of the development of innovation
potential of the region, as well as an algorithm for
assessing regional innovation potential.
The aim of the article (Vakhovych et al., 2021) is
to analyze the European unity policy and EU
regional policy and substantiate the feasibility of
implementing a model of smart specialization of
regions to ensure sustainable regional
development on an innovative basis and improve
the living conditions of households. The authors
offer recommendations for improving the
processes of forming innovative regional
strategies taking into account the principles of the
concept of "smart specialization", substantiated
the need to form a map of unique, innovative
competencies of regions and clusters of the
country.
Despite the significant number of publications on
innovation and digital regional development, the
issues of regulatory aspects of innovation and
digital development and the problem of
overcoming the asymmetry of regional
development need further research and analysis.
Methodology
The methodology of the institutional approach to
the regulatory aspects of innovation and digital
development makes it possible to highlight the
functioning of institutions and their role in
reducing the asymmetry of regional development
through innovation and digital development.
Such institutions include both formal rules
enshrined in official regulations and regulations,
and informal institutions in the form of certain
mechanisms of coercion, restrictions, traditions,
mentality, rules, and so on. In addition to formal
and informal institutions, the methodology of this
approach makes it possible to take into account
regional multifunctional institutions, which
under the policy of decentralization act as a
platform for innovation and digital development,
forming a certain institutional set. The validity of
the institutional approach to the regulatory
aspects of innovation and digital development to
overcome the asymmetry of regional
development is due to the fact that driving
changes in socio-economic development to
overcome asymmetry and innovation and digital
progress is impossible without institutional
change. and the most effective use of local
potential to achieve the goals of improving the
quality of life, socio-economic and
environmental development, gaining competitive
advantage in the world market, improving
economic security, etc.
The importance of institutions is to reduce
uncertainty in the innovation and digital direction
of regional economic systems by establishing a
stable structure of interaction between regional
actors, which contributes to sustainable economic
growth and reduce the asymmetry of development
between regions. The methodology of using the
institutional approach makes it possible to take
into account not only changes in formal and
informal institutions, but also changes in
globalization economic processes, processes of
self-identification of regions and so on.
Results and Discussion
The current stage of social development involves
the formation of the digital economy and the
implementation of digitalization in all spheres of
life, it raises the issue of not only state but also
regional regulation of digitalization processes.
Digital "inequality" between regions is one of the
reasons for the deepening asymmetry of regional
development. Some regions are actively involved
in the processes of formation and implementation
of tasks of digitalization of the economic space,
which helps them to use resources more
efficiently, to provide competitive advantages.
Other regions that are more inertly involved in
digitalization processes are losing some
opportunities to boost economic growth and
increase social development. This requires state
regional management of the processes of
digitalization of regional economies and their
inclusion in the priorities of state regional policy.
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To date, taking into account the implementation
of world best practices in Ukraine, the basic
principles of digitalization of economic
processes and social development in general
have been established, which includes the
development of information and communication
technologies and economics, education, science,
health care, public administration, etc.
The tools of state regulation of innovation and
digital development of the regions should include
(Fig. 1):
Firstly, the institutional and legal tools that
provide for the adoption of a number of laws on
digital innovation, strategies and targeted
programs aimed at digitalization and innovation
development of regions, implementation of
concepts for transformation and formation of a
single digital space with the European Union,
intellectual property rights and stimulation of
scientific and innovative activity;
Secondly, economic tools that provide for the
improvement of tax, customs, investment,
innovation policy in the direction of intensifying
innovation development and digitization of the
economy. Introduction of concession models for
financing innovation projects in the regions,
development of innovation infrastructure and
information and communication technology
systems, state support for digitalization
development projects. Intensifying the use of
public-private partnership models by
establishing close cooperation between
government and business;
Thirdly, the administrative and organizational
tools provide for the transition to e-government;
providing access to broadband Internet; licensing
of technologies and digital services,
standardization and certification of technologies
in accordance with international standards;
development of innovation-industrial and digital
infrastructure; cyber security; implementation of
regulations for the transition to electronic
document management and digitization of
technical and other documentation, etc.;
Fourthly, information tools, providing wide
access to broadband Internet connections,
intensifying the use of digital platforms, means
and devices of communication and information
transfer, spreading awareness of the population
of the regions about the possibilities of
digitalization;
Fifthly, socio-psychological tools, the formation
of new educational programs and competencies
of higher education in the direction of innovation
and digital development; advanced training and
ensuring the acquisition of new competencies of
employees in all spheres of economic activity;
development of digital culture and digital skills
of ordinary citizens; introduction of digitalization
processes in the social sphere and public
administration;
Sixthly, technical and technological tools,
stimulating the introduction of devices of mobile
technology for control and operational
management of business processes; introduction
of cloud technologies; digitalization of the real
sector of the economy and public administration;
development of e-commerce technologies and e-
business processes.
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Figure 1. Tools for state regulation of innovation and digital development of regions.
Source: suggested by the authors
The use of the tools of state regulation will help
to intensify the development of the regions,
taking into account the existing potential
opportunities in the innovation and digital
direction, which will reduce the asymmetry of
regional development.
The creation of an institutional and legal field
will help ensure favorable conditions for the
development of digital networks and the
introduction of innovations through the adoption
of legislative changes and the development of the
necessary public institutions that will promote
innovation and digital development of the
regions. The use of economic methods to
improve tax and other policies, as evidenced by
world practice, promotes innovation, for
example, through the operation of industrial
parks and other types of innovation
infrastructure, which allows to intensify
economic processes in backward regions. This is
facilitated by the processes of digitalization of
the economy using a wide range of economic
tools aimed at maximizing the growth potential
of digitalization of economic processes in
accordance with the principles of creating a
single digital space. Of great importance for
economic development is the introduction of
digital technologies in production processes in
accordance with the principles of the program
"Industry 4.0". Administrative methods make it
possible to provide better conditions for all
economic entities to digital goods and services,
which stimulates consumption and has a positive
effect on stimulating production processes.
Forecasting and diagnosing problems and needs
in knowledge and skills of digitalization makes it
possible to focus on the formation of skills,
knowledge and competencies in this area and
provide the necessary changes in education and
training to provide certain necessary knowledge
of employees, which improves staff quality
TOOLS OF STATE REGULATION OF INNOVATIVE-DIGITAL DEVELOPMENT OF REGIONS
Institutional and legal
adoption of laws on innovation and digital development, strategies and targeted
programs aimed at digitalization and innovation development of regions,
implementation of concepts for transformation and formation of a single digital
space with the European Union, ensuring intellectual property rights and
promoting research and innovation
Economic
improvement of tax, customs, investment, innovation policy; introduction of
concession models for financing innovation projects in the regions, development
of innovation infrastructure and information and communication technology
systems, state support for digitization development projects; use of public-private
partnership models
Administrative and
organizational
transition to the system of electronic self-government; licensing of technologies
and digital services, standardization and certification of technologies;
development of innovation-industrial and digital infrastructure; cyber security;
implementation of regulations for the transition to electronic document
management and digitization of technical and other documentation
Informative
providing access to broadband Internet; intensification of the use of digital
platforms, means and devices of communication and information transfer,
dissemination of awareness of the population of the regions about the
possibilities of digitalization
Technical and
technological
stimulating the introduction of mobile technology devices for control and
operational management of business processes; introduction of cloud
technologies; digitalization of the real sector of the economy and public
administration; development of e-commerce technologies and e-business
processes
Socio-psychological
formation of new educational programs and competencies of higher education
seekers; advanced training and ensuring the acquisition of new competencies of
employees in all spheres of economic activity; development of digital culture
and digital skills of ordinary citizens; introduction of digitalization processes in
the social sphere and public administration
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capacity and reducing the backlog of demand in
the labor market and the supply of specialists
with relevant digital competencies.
In addition to formal institutions that provide
innovation and digital development, which
include various legislative acts, regional,
departmental, instructional, administrative and
other documents important for overcoming the
asymmetry of regional development using
innovation and digital base are informal
institutions of social development. Such informal
institutions of innovation and digital
development of regional economic systems
should include customs, values, traditions, rules
of conduct of economic entities, etc. Directing
informal institutions towards the need and
promoting innovation and digital principles of
economic development is very important because
they form values and mentality, create an internal
component of the scientist and innovator, form
an attitude to the environment and promote
digitalization and information. Thus, in addition
to the development of formal institutions in the
direction of innovation and digital development
of regions to reduce their asymmetry in
development, it is important to develop informal
institutions that will promote the mental
acceptance of innovation and digital
development.
In turn, to obtain a positive effect from
digitalization requires intensifying the innovative
development of regions. Traditionally, state
regulation of innovation development involves
direct and indirect methods. Direct regulation is
designed to directly influence the processes of
scientific and technological development and
innovation, which provides (Fig. 2):
− determination in accordance with world
trends of scientific and technical
development of priorities for the
development of science and technology, as
well as the direction of state scientific and
technical programs;
− direct state order in the field of science and
technology and innovation;
− formation of measures to encourage
scientific and technical personnel and young
scientists;
− conducting state scientific and scientific-
technical examination, and state policy in
the field of patents and licenses;
− budget funding of research and scientific
works in accordance with the priorities of
scientific and innovative activities.
Indirect methods of regulation have a significant
impact on the innovative development of regions.
These include:
− tax benefits and other preferences for
innovative projects and innovative
enterprises and their associations;
stimulating financial and credit and
depreciation policy in relation to the subjects
of innovation activity;
stimulating international scientific and
technical cooperation;
legal protection of intellectual property, etc.
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Figure 2. Regulatory aspects of innovation and digital development as a direction of overcoming the
asymmetry of regional development
Source: developed by the authors
Comprehensive use of direct and indirect
methods of state regulation stimulates innovation
in the regions. State regulation of the innovation
sphere is conditioned by the need to direct
scientific research from the raw material type of
development to innovation, taking into account
the digitalization of economic processes.
Inclusion of the intellectual and innovative
component in the production potential, which
makes it possible to increase resource efficiency
and competitiveness of production and regions in
general, both in domestic and foreign markets.
In turn, the innovation and digital development
of the regions requires the formation of strategic
directions for the development of the regions in
relation to:
− increasing the rational use of resources on an
innovative basis;
REGULATORY ASPECTS OF INNOVATIVE-DIGITAL DEVELOPMENT AS A DIRECTION OF
OVERCOMING THE ASYMMETRICITY OF REGIONAL DEVELOPMENT
Tools for state regulation of innovation and digital development
Institutional and legal
Economic
Administrative and
organizational
Informative
Socio-psychological
Institutions for innovation and digital development of regions
Formal institutions
Informal institutions
legislative acts, regional, departmental,
instructive-methodical, administrative and
other documents important for overcoming the
asymmetry of regional development using the
innovation-digital base
customs, values, traditions, rules of conduct of
economic entities, form values and mentality, create an
internal component of the scientist and innovator,
attitude to the environment and promote the
digitalization of the population
Technical and
technological
Methods of regulating scientific, technical and innovative activities
Direct
Indirect
Strategic directions of innovation and digital development of regions
determination of priorities for the development of
science and technology; direct state order, budget
financing; encouragement of scientific and
technical personnel and young scientists;
conducting state scientific and scientific-technical
expertise, and state policy in the field of patents
and licenses
tax benefits and other preferences for innovative
projects and innovative enterprises; stimulating
financial and credit and depreciation policy;
stimulating international scientific and technical
cooperation; legal protection of intellectual property
- increasing the rational use of resources on an innovative basis;
- creating conditions for closer cooperation between authorities, institutions, business structures;
- intensifying the development of enterprises that meet the internal needs of the regions;
- preservation of existing and creation of new jobs;
- intensification of knowledge generation and implementation of research and production potential;
- minimization of social negative consequences of modernization and restructuring of the economy of the
regions;
- development of informal institutions in the direction of perception of innovation and digital development;
- development of infrastructure of regions; attracting investment resources;
- ensuring economic security of the region's development;
- organization of regional markets and their promotion of products and services at the international level
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− creating conditions for closer cooperation
between regional and local authorities,
institutions, business structures using digital
technologies, which allows more timely
receipt of necessary information and use it to
ensure economic development;
− intensifying the development of enterprises
that meet the internal needs of the regions,
which will increase employment;
− preservation of existing and creation of new
jobs using digital technologies, especially in
relation to the population in rural areas and
depressed areas;
− intensification of knowledge generation and
implementation of research and production
potential of the region;
− minimization of social negative
consequences of modernization and
restructuring of the economy of the regions;
− development of informal institutions in the
direction of perception of innovation and
digital development;
− development of infrastructure of regions;
− attracting investment resources, including
through public-private partnerships to
ensure socio-economic development of the
region;
− ensuring economic security of the region's
development;
− organization of regional markets and their
promotion of products and services at the
international level, etc.
Conclusions
The study provided an opportunity to
substantiate the tools of state regulation of
innovation and digital development of regions as
a way to overcome the asymmetry of regional
development, which includes institutional, legal,
economic, administrative, organizational,
informational and socio-psychological tools.
innovation and digital direction, which will
reduce the asymmetry of regional development.
The scientific novelty of the study is the
substantiation of regulatory aspects of innovation
and circular development as a way to overcome
the asymmetry of regional development, which
involves the use of an institutional approach to
identify tools for state regulation of innovation
and digital development of regions; outlining the
role and importance of informal institutions,
defining direct and indirect methods of
supporting scientific, technical and innovative
activities; as well as the formation of strategic
directions of innovation and digital development
of the regions.
Further research is required on the development
of informal institutions for the development of
innovation and digital space, which will help
overcome the growing trends of asymmetry of
regional development.
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