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{"id":20784,"date":"2025-10-01T18:40:24","date_gmt":"2025-10-01T15:40:24","guid":{"rendered":"https:\/\/modecon.mnau.edu.ua\/?p=20784"},"modified":"2025-10-01T18:40:24","modified_gmt":"2025-10-01T15:40:24","slug":"export-of-ict-services-as","status":"publish","type":"post","link":"https:\/\/modecon.mnau.edu.ua\/en\/export-of-ict-services-as\/","title":{"rendered":"Shuba M. Export of ICT services as a factor of economic development in the Baltic States: lessons for Ukraine"},"content":{"rendered":"<section class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_column_text]<\/p>\n<table style=\"height: auto; border: solid 1px white!important;\" width=\"100%\">\n<tbody>\n<tr>\n<td style=\"border: solid 1px white!important;\"><strong>JEL Classification:<\/strong> F14; O33; O52; L86<\/td>\n<td style=\"text-align: right; border: solid 1px white!important;\"><b>DOI<\/b><span style=\"font-weight: 400;\">: <a href=\"https:\/\/doi.org\/10.31521\/modecon.V52(2025)-38\" target=\"_blank\" rel=\"nofollow noopener\">https:\/\/doi.org\/10.31521\/modecon.V52(2025)-38<\/a><\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>[\/vc_column_text][vc_column_text]<b>Shuba Maryna<\/b><b><i>, <\/i><\/b><span style=\"font-weight: 400;\">PhD in Economics, Associate Professor, Associate Professor of the Department of International Economic Relations and Logistics, V.\u00a0N. Karazin Kharkiv National University, Kharkiv, Ukraine<\/span><\/p>\n<p><strong>ORCID ID:<\/strong> <a href=\"https:\/\/orcid.org\/0000-0003-2581-6914\"><span style=\"font-weight: 400;\">0000-0003-2581-6914<\/span><\/a><br \/>\n<strong>e-mail: <\/strong><a href=\"mailto:marinashuba@karazin.ua\"><span style=\"font-weight: 400;\">marinashuba@karazin.ua<\/span><\/a><\/p>\n<p>&nbsp;<\/p>\n<h2 style=\"text-align: center;\"><b>Export of ICT services as a factor of economic development in the Baltic States: lessons for Ukraine<\/b><\/h2>\n<p><b><i>Abstract. Introduction<\/i><\/b><i><span style=\"font-weight: 400;\">.\u00a0<\/span><\/i><i><span style=\"font-weight: 400;\">The export of information and communication technology (ICT) services has become a critical driver of national economic growth, particularly for small, open economies. While the Baltic States \u2013 Lithuania, Latvia, and Estonia \u2013 are often cited as examples of successful digital transformation, Ukraine has emerged as an important exporter of ICT service, demonstrating higher absolute export volumes than any individual Baltic country. However, these countries&#8217; achievements are based on fundamentally different development models, creating an opportunity for comparative analysis and the identification of transferable best practices.<\/span><\/i><\/p>\n<p><b><i>Purpose. <\/i><\/b><i><span style=\"font-weight: 400;\">This study aims to analyze the experience of the Baltic States in developing ICT service exports as an economic growth factor and to identify opportunities for adapting this model to Ukraine&#8217;s national context.<\/span><\/i><\/p>\n<p><b><i>Results. <\/i><\/b><i><span style=\"font-weight: 400;\">The dynamics of ICT services exports, the structure of the ICT industry, the institutional environment, and innovative activity were analyzed in Lithuania, Latvia, Estonia, and Ukraine. Ukraine\u2019s ICT export performance is primarily driven by large-scale outsourcing. This is supported by an abundant pool of highly skilled professionals, competitive pricing, and advantageous geographical positioning. In contrast, the Baltic States&#8217; model centers on developing innovative product solutions. This model is enabled by institutional excellence, robust start-up ecosystems, access to venture capital, and a strategic focus on high-tech niches. Two distinct but effective growth paths were identified: (1) the Ukrainian large-scale outsourcing model and (2) the Baltic product innovation model. The research revealed substantial potential for mutual learning. Ukraine could benefit from the experience of the Baltic States in creating and scaling product-based companies, and the Baltic States could adopt Ukrainian expertise in expanding IT outsourcing services.<\/span><\/i><\/p>\n<p><b><i>Conclusions. <\/i><\/b><i><span style=\"font-weight: 400;\">The findings emphasize the importance of accounting for specific institutional, human capital, and market conditions in national digital development strategies. Proposed areas of future research include analyzing the impact of the war on Ukraine\u2019s IT transformation, assessing the feasibility of establishing a Ukrainian-Baltic technological partnership, exploring the replicability of the identified models in other Central and Eastern European countries, and evaluating the long-term resilience of ICT sector strategies amid global technological shifts. These results provide valuable guidance for policymakers, industry stakeholders, and international partners in developing sustainable and competitive ICT policies.<\/span><\/i><\/p>\n<p><i><span style=\"font-weight: 400;\"><b>Keywords:<\/b> ICT services; export; economic development; Baltic states; Ukraine; information technology sector; foreign trade relations.<\/span><\/i><\/p>\n<p style=\"text-align: center;\"><strong><b>References<\/b>:<\/strong><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\">Drucker, P. F. (1969). <\/span><i><span style=\"font-weight: 400;\">The age of discontinuity: Guidelines to our changing society<\/span><\/i><span style=\"font-weight: 400;\">. Harper &amp; Row.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Castells, M. (2010). <\/span><i><span style=\"font-weight: 400;\">The rise of the network society<\/span><\/i><span style=\"font-weight: 400;\"> (2nd ed.). Wiley-Blackwell.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Stiglitz, J. E., &amp; Greenwald, B. (2014). <\/span><i><span style=\"font-weight: 400;\">Creating a learning society: A new approach to growth, development, and social progress<\/span><\/i><span style=\"font-weight: 400;\">. Columbia University Press.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Alekseievska, H., &amp; Chaikovska, M. (2024). Transformation of the ICT Sector in Ukraine: Analysis of Trends and Strategies for Sustainable Development. <\/span><i><span style=\"font-weight: 400;\">Economy and Society<\/span><\/i><span style=\"font-weight: 400;\">, 60. https:\/\/doi.org\/10.32782\/2524-0072\/2024-60-98<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Makarchuk, I., &amp; Fedulova, I. (2023). IT-sphere in the structure of Ukraine\u2019s economy. <\/span><i><span style=\"font-weight: 400;\">International Scientific-Practical Journal Commodities and Markets, 46(<\/span><\/i><span style=\"font-weight: 400;\">2), 30-44. https:\/\/doi.org\/10.31617\/2.2023(46)03<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Khaustova, V. Y., Reshetnyak, O. I., Khaustov, M. M., &amp; Zinchenko V. A. (2022). Analyzing the ICT-Sphere Development in Ukraine According to International Indices and Rankings. <\/span><i><span style=\"font-weight: 400;\">Business Inform<\/span><\/i><span style=\"font-weight: 400;\">, 5, 40-56. https:\/\/doi.org\/10.32983\/2222-4459-2022-5-40-56<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Himma-Kadakas, M., &amp; K\u00f5uts-Klemm, R. (2023). Developing an advanced digital society: An Estonian case study. In S. Davydov (Ed.), <\/span><i><span style=\"font-weight: 400;\">Internet in the post-Soviet area: Societies and political orders in transition<\/span><\/i><span style=\"font-weight: 400;\">. Springer, 109-133. https:\/\/doi.org\/10.1007\/978-3-031-32507-6_6<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Kerner, R. (2022). Service exporters in ICT-industries: Measuring digital service trade of Estonia. <\/span><i><span style=\"font-weight: 400;\">Estonian Discussions on Economic Policy<\/span><\/i><span style=\"font-weight: 400;\">, 30(1-2), 109-133. https:\/\/doi.org\/10.2139\/ssrn.4662484.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Koutsogeorgopoulou, V. (2023). <\/span><i><span style=\"font-weight: 400;\">Unleashing the productive potential of digitalisation in Lithuania<\/span><\/i><span style=\"font-weight: 400;\"> (OECD Economics Department Working Papers No. 1753). OECD Publishing. https:\/\/doi.org\/10.1787\/7965209f-en.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Baskar, S. K. (2024, March 27). <\/span><i><span style=\"font-weight: 400;\">The development of digitalization in Latvia<\/span><\/i><span style=\"font-weight: 400;\"> [Conference presentation abstract]. XXV Turiba University Conference: The Age of Insecurity: From Risks to Growth, SIA Biznesa augstskola Tur\u012bba, Riga, Latvia. https:\/\/www.turiba.lv\/storage\/files\/konference-2024_2.pdf.\u00a0<\/span><\/li>\n<li><span style=\"font-weight: 400;\">CEE Digital Coalition. (2024). T<\/span><i><span style=\"font-weight: 400;\">he ICT sector in the CEE countries as a regional driver of growth<\/span><\/i><span style=\"font-weight: 400;\">. PwC &amp; CEE Digital Coalition. https:\/\/ceedigital.org\/assets\/pdf\/CEE_Digital_Coalition_Report_2024.pdf.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">World Bank Group. (n.d.). <\/span><i><span style=\"font-weight: 400;\">ICT service exports (BoP, current US$) &#8211; World<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/data.worldbank.org\/indicator\/BX.GSR.CCIS.CD?end=2024&amp;locations=1W&amp;name_desc=false&amp;start=2010&amp;view=chart<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">World Bank Group. (n.d.). <\/span><i><span style=\"font-weight: 400;\">ICT service exports (% of service exports, BoP) &#8211; World<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/data.worldbank.org\/indicator\/BX.GSR.CCIS.ZS?end=2024&amp;locations=1W&amp;name_desc=false&amp;start=2010&amp;view=chart<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Estonian Research Council. (2023). <\/span><i><span style=\"font-weight: 400;\">Overview of the Estonian ICT sector<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/etag.ee\/wp-content\/uploads\/2022\/07\/Overview-of-the-Estonian-ICT-sector-_2023.pdf<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Invest Lithuania. (2025). <\/span><i><span style=\"font-weight: 400;\">Lithuania\u2019s business services report 2025<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/investlithuania.com\/report\/gbs-report<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">IT Ukraine Association. (n.d.). <\/span><i><span style=\"font-weight: 400;\">IT Ukraine Association<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/itukraine.org.ua\/<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">IT Ukraine Association &amp; Top Lead. (2025). <\/span><i><span style=\"font-weight: 400;\">Digital Tiger 2024: Ukrainian IT industry overview<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/itukraine.org.ua\/files\/DigitalTiger2024.pdf.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Investment and Development Agency of Latvia (LIAA). (n.d.). <\/span><i><span style=\"font-weight: 400;\">Information and communications technologies: Smart city<\/span><\/i><span style=\"font-weight: 400;\">. https:\/\/investinlatvia.org\/en\/key-sectors\/sectors\/ict-smart-city<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">Lviv IT Cluster. (n.d.). IT Research Ukraine. https:\/\/itcluster.lviv.ua\/projects\/it-research-ukraine\/.<\/span><\/li>\n<\/ol>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<strong>Received: <\/strong>13 August <span style=\"font-weight: 400;\">2025<\/span><\/p>\n<div class=\"sdm_download_item \"><div class=\"sdm_download_item_top\"><div class=\"sdm_download_thumbnail\"><img decoding=\"async\" class=\"sdm_download_thumbnail_image\" src=\"https:\/\/modecon.mnau.edu.ua\/wp-content\/uploads\/2017\/08\/pdf.jpg\" alt = \"shuba.pdf\" \/><\/div><div class=\"sdm_download_title\">shuba.pdf<\/div><\/div><div style=\"clear:both;\"><\/div><div class=\"sdm_download_description\"><\/div><div class=\"sdm_download_size\"><span class=\"sdm_download_size_label\">Size: <\/span><span class=\"sdm_download_size_value\">1,35<\/span><\/div><div class=\"sdm_download_link\"><span class=\"sdm_download_button\"><a href=\"https:\/\/modecon.mnau.edu.ua\/en\/?sdm_process_download=1&download_id=20667\" class=\"sdm_download blue\" title=\"shuba.pdf\" target=\"_blank\">Download Now!<\/a><\/span><span class=\"sdm_download_item_count\"><span class=\"sdm_item_count_number\">381<\/span><span class=\"sdm_item_count_string\"> Downloads<\/span><\/span><\/div><\/div><div class=\"sdm_clear_float\"><\/div>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<table style=\"height: auto;\" width=\"100%\">\n<tbody>\n<tr>\n<td style=\"background-color: #1abc9c; text-transform: uppercase;\">\n<p style=\"text-align: center; color: white; font-size: 14px; font-weight: 900; text-transform: uppercase; margin: 0; padding: 13.5px;\">How to quote this article?<\/p>\n<\/td>\n<\/tr>\n<tr>\n<td><span data-sheets-root=\"1\">Shuba M. (2025). Export of ICT services as a factor of economic development in the Baltic States: lessons for Ukraine. Modern Economics, 52(2025), 269-274. DOI: https:\/\/doi.org\/10.31521\/modecon.V52(2025)-38.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&#8221;.vc_custom_1657628632157{margin-top: 10px !important;}&#8221;]<a href=\"https:\/\/modecon.mnau.edu.ua\/issue-47-2024\/\">&lt;&lt; \u041f\u043e\u0432\u0435\u0440\u043d\u0443\u0442\u0438\u0441\u044f \u0434\u043e \u0437\u043c\u0456\u0441\u0442\u0443<\/a>[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/section>","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_column_text] JEL Classification: F14; O33; O52; L86 DOI: https:\/\/doi.org\/10.31521\/modecon.V52(2025)-38 [\/vc_column_text][vc_column_text]Shuba Maryna, PhD in Economics, Associate Professor, Associate Professor of the Department of International Economic Relations and Logistics, V.\u00a0N. Karazin Kharkiv National University, Kharkiv, Ukraine ORCID ID: 0000-0003-2581-6914 e-mail: marinashuba@karazin.ua &nbsp; Export of ICT services as a factor of economic development in the Baltic States: lessons<br \/><a href=\"https:\/\/modecon.mnau.edu.ua\/en\/export-of-ict-services-as\/\" class=\"more\">Read more<\/a><\/p>\n","protected":false},"author":10,"featured_media":13475,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[238],"tags":[239],"class_list":["post-20784","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-52-2025","tag-52-2025"],"_links":{"self":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/20784","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/comments?post=20784"}],"version-history":[{"count":3,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/20784\/revisions"}],"predecessor-version":[{"id":20802,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/20784\/revisions\/20802"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/media\/13475"}],"wp:attachment":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/media?parent=20784"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/categories?post=20784"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/tags?post=20784"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}