Hryhorian Oleksandra, PhD student of the Banking and Financial Services Department, S.Kuznets Kharkiv National University of Economics, Kharkiv, Ukraine

ORCID ID: 0000-0001-9530-6042
e-mail: aleksandra.gry.jee@gmail.com

Gradual Development of  Concept of Term «Innovation»

       Abstract. Innovation activity is a powerful catalyst for economic development, modernization of technology, production technology, improvement of management system that allow the enterprise to adapt its products, services to market demands, as well as reorganize the peacetime production economy into economy in special conditions, such as unpredictable military actions to preserve achievements of Ukraine, reduce costs, stabilize and improve financial and economic results and survive. Before the imposition of martial law, our country, together with the world, entered the era of the Fourth Industrial Revolution, where the technologies of  IKT era were introduced. After the introduction, logistical problems were created, transport infrastructure was destroyed, and production processes were disrupted. An important part of the state social and economic policy is innovation policy. It is reflected in the various stages of the innovation revolution. This will solve the problems of the economic situation that arose after the war.

       Purpose. The aim of  the article is  consists of :

• assessment of scientific approaches to the definition of the concept «innovation»
• revealing the essence and interconnection of the concepts of novelty, newness, innovation;
• consideration of the main stages of the innovation life cycle.

       Results. Today, the world is at the crossroads of systems, both social and political, and if half a century ago policy was directed at saving millions of people from hunger, begging and was supported by the state and global politics, today it works against humanity[17]. Theoretical and methodological foundations for the study of innovations were laid by such world-renowned scientists – economists as P. Drucker [3] and leading domestic researchers Yu. M. Bazhal [1], Yu. A. Danilenko [2], M. I. Krupka [5], M. I. Tugan-Baranovsky [13], who did considerable payment not only for World economy  but also for native economy.

       Conclusions. Analyzing various definitions of innovations, we can conclude that innovations are of paramount importance for economic and social development of the state; we can claim that foreign and domestic scientists pay much attention to research on various aspects of innovation sphere.

Innovation is the end result of innovative activity, which is embodied in the form of a new or improved product launched on the market or an improved technological result used in the practice of the enterprise.

Ukraine’s economy has a budget deficit, declining national income, disrupted balance of payments and trade, relocation of business activity, which together determine the state’s capabilities, both financial and legal, which needs to address many complex issues and implement both national and regional programs that require intellectual and material costs. The main aim of economic policy of our state is to increase the welfare of the population and increase national competitive goods. This requires the maintenance of stable relationships between education, science and business, which directs the direction of innovation. Ukraine’s economy is experiencing a decline in GDP, imbalances in the balance of payments. It determines the financial and legal capabilities of the state, helps to implement national and regional programs. Ukraine is a strong state that has the scientific, resource potential and desire to live.

Keywords: innovation; novelty; newness; innovation activity; investments; strategy; creativity; implementation; profitability; innovation life cycle.

References:

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