The Problems of Economy

12-18

Authors: Polyakov M. V., Bilozubenko V. S.

The peculiarity of the current development stage of the world economy is manifested in the growing level of internationalization in research and innovation, as well as in deepening international scientific and technological cooperation and exchange. This is especially true for Europe, where a holistic innovation system (IS) of the European Union (EU) has been formed. The integration in the EU IS is of strategic importance for Ukraine and requires appropriate scientific, practical and conceptual foundations. The article aims at presenting the strategic principles of Ukraine's integration into the EU innovation system. The peculiarities of the EU IS formation, its boundaries and main elements (participants; organizations supporting innovation; trans-European "chains" of knowledge generation and transformation, etc.) are considered. The necessity to choose the convergent vector of development for Ukraine’s national innovation system and the relevant advantages of this direction while reforming the R&D sector, supporting research and innovation are substantiated. The conceptual basis for including Ukraine’s science and technology complex in the EU IS is spelled out. It is determined that the main point here is the development of cooperation in science and technology between Ukraine and the EU in such a way that a number of principles are observed (taking into account the uniqueness of the EU IS, its advantages and disadvantages; the use of the European paradigm to support innovation, etc.). The preconditions for integration into the EU IS are identified, in particular, ensuring high-level protection of rights and intellectual property. It is also important to develop a mechanism for deepening international cooperation in science and technology between Ukraine and the EU, which should implement special measures of state support. The principle of cumulation, as well as differentiated approach, should become the grounds for stimulating cooperation. The necessity for Ukraine to participate in the EU programs is proven, and general preconditions for it are substantiated. The process of strengthening scientific and technological ties should be based on new information platforms. To stimulate international partnership, it is also advisable to create various infrastructure organizations (technology transfer centers, project expertise, training and research centers).

29-34

Authors: Husakovska T. O., Kuzhel N. L.

The article aims at identifying topical problems in designing and successfully managing innovative projects for small and medium enterprises in Ukraine and finding effective ways to solve them. The following general and special research methods were used to solve the tasks set in the article: analysis and synthesis, generalization, comparison and systematization. The stages of startups development have been considered as well as the types of funding sources for enterprises that are just starting their activities. The role of the state in supporting small and medium-sized businesses under risk and the importance of encouraging the promotion of innovative projects in order to increase the competitiveness of both enterprises and the country as a whole have been identified. The global ecosystem of startups has been analyzed as to its theoretical representation. The reasons for the low innovative activity of Ukrainian enterprises have been identified and ways to overcome them have been suggested helping startup projects to achieve ultimate success despite the imperfect legal system and unfavorable investment climate. The authors have designed some measures guaranteeing that domestic business ideas will have sufficient potential for development. The experience of the most promising cities in Ukraine, which have been developing and implementing startups in recent years, has been studied. The necessity not only to support the development of startups at the initial stage, but also to mentor and coordinate them throughout the project life cycle has been proven. The main results of the research can be used in practice while designing and implementing of innovative business ideas at an enterprise.

42-47

Authors: Krasnonosova O. M., Kharchenko R. V.

The definition of state policy on business regulation is understood here in accordance with the current Commercial Code of Ukraine, namely: it is a system of economic, social, organizational, legal and political support of a favorable business climate so as to form and develop small business. This understanding allows us to distinguish three blocks within state policy. The first block includes fiscal components of economic relations, primarily related to financing (this block includes monetary policy, investment policy, antitrust policy, depreciation policy, innovation policy); the second block includes organizational measures, in particular, support for small businesses, domestic banks and funds financing small businesses; the third block includes legal measures, namely: a simplified system of registration and licensing, improved tax legislation as for the implementation of international accounting standards, simplification of the accounting system for small businesses, etc. The classification of the system of state policy tools in the field of supporting and stimulating small business development is considered. Unlike others, it provides systematizing state influence tools in two main vector directions: state regulation tools and state policy tools of support and stimulation of small and medium business entities, which makes it possible to clarify the composition of each group. The composition of the state regulation mechanism of small business development has been clarified as one including functions, methods, means and tools, thus allowing us to single out the tools of state regulatory and coordination influence. The concept of state support for small business has been specified as a component of public policy, which is interpreted in the work as a set of methods and forms of promoting small business, taking into account the interests of the state and businesses, allowing us to formulate its purpose, directions and tools. The latter are divided into three groups by their features: state forecasting and planning of small business development by type of economic activity; tax and financial and investment support; information, advisory and institutional support for the development of small business entities.

58-66

Authors: Obolentseva L. V.

The article aims at formulating a concept for the social tourism development strategy in Ukraine, taking into account the European experience and national realities. The article proves that the main function of social tourism is to create and maintain appropriate conditions that allow people to participate in the tourism process, i.e. provide them with access to recreation and the effective recovery of physical, emotional and spiritual strength. The study presents a generalized structure of the social tourism system in Europe, enumerating the supply and demand factors together with their key elements. Based on foreign experience, the work identifies three main systems of social tourism services, such as: specialized accommodation; holiday checks; charitable donations. The article suggests a concept for social tourism development strategy in Ukraine, providing for a number of measures to form social tourism in Ukraine. To specify the measures needed, it is necessary to use the SWOT-analysis data and results. It has been found out that these measures comprise several groups, such as: organizational measures; measure related to participants’ work in social tourism; specific steps for social tourism promotion. The author comes to conclusion that social tourism can be considered the basis for domestic tourism development in a country, because a high development rate of domestic tourist flows will provide a new qualitative level of development for the national tourism industry, which, in turn, will contribute to placing the focus of tourism on tourists, both domestic and foreign ones.

75-81

Authors: Pavlov A. I., Didukh S. M.

The purpose of the article is to improve the scientific understanding of the essence of the categorical apparatus of inclusiveness and define the inclusive development of Ukraine as a system in its spatial dimension, sectoral and sectoral sections, political, economic, social and spiritual manifestations. It is determined that the systemic challenge caused by the global economic crisis, exacerbated by the epidemic of coronavirus infection, has focused on the problem of overcoming poverty and socio-economic inequality at both global and national levels, which in turn raises the issue of society's transition to principles. inclusiveness. It is substantiated that the issue of transformation of the model of development of society has become important against the background of the contradictory development of globalization, associated with the widening gap between the countries of the center of the world system and countries on its periphery. The scientific novelty of the study lies in the definition of stages, directions of creating the preconditions for inclusiveness, and in substantiating the systemic idea of inclusive development of Ukraine. To reveal the essence and structure of inclusive development of Ukraine, an analysis of the scientific discourse related to the categorical apparatus of research was carried out. An analysis of inclusive development was conducted based on the identification of paired dichotomies that reveal the essence and direction of this process. The rating of Ukraine according to the index of inclusive development among the developing country is presented. A systematic idea of inclusive development of Ukraine is formed, the components of which are inclusion as a social phenomenon, inclusive development as a process, its elements (objects) and result. Problems that have their manifestation at the national level, in the spatial dimension, sectoral and sectoral sections, in the political, economic, social, spiritual spheres of public life, and are certain obstacles to the formation of an inclusive society, prospects for social development based on inclusiveness. Prospects for further scientific research are in the plane of substantiation of the domestic model of inclusive development, which would take into account the specifics and current state of Ukrainian society.

98-105

Authors: Bielikova N. V., Bekker M. L., Kriachko Y. M.

The relevance of the article is confirmed by the need to develop scientific and methodological support for determining the development goals system in a region.It is one of the priorities for both the scientific community and public authorities. In particular, scientific basis, which coulddesign the development goals system in a region, requires further development and improvement. It should be based onboth the traditional and non-traditional methods of system analysis. The purpose of the article is to suggest recommendations for improving the scientific and methodological support for determining the development goals system in a region through using specific tools of fuzzy cognitive modeling. It has been proved that comprehensive assessment of regional socio-economic systems is impossible without the application of systemic approach, which allows interconnecting a large number of processes occurring in the economic, social and environmental systems in a region. Such researchis successfully carried outusing a cognitive approach to study complex systems of different nature. The authors of the article have considered peculiarities of drawing fuzzy cognitive maps, the latter being used as a tool for displaying real dynamic systems in a form that corresponds to human perception of such processes. A logical patternfor carrying out structural analysis of the socio-economic development of the region has been suggested.The patterncomprises five interrelated stages and includes constructing a fuzzy cognitive model of socio-economic development in the Ukrainian regions.The systemic indicators of fuzzy cognitive models of socio-economic development in the Ukrainian regions have beensuggested, and the analysis of their influence on the development of in the Ukrainian regions has been carried out.

113-118

Authors: Romaniuk R. V.

Innovation and investment development is an important pre-requisite, to form competitive environment, improve the efficiency of economic entities and the liberalization process, in general. Foreign experience convincingly shows that liberalization processes in terms of radical adaptation of legislation, as well as stability, reliability and continuity of power supply (provided that the energy sector is demonopolized) are considered efficient if causing synergistic effect, making the performance of power supply business entities by times better than it used to be. The article studies the features of the transformation processes in the energy markets in the advanced countries and in Europe. A review of the criteria that formed the basis for the study has been carried out. The author identifies some consequences of the abovementioned reform of the regional energy sector markets, carried out by integrating the country’s industrial sector development. It is also mentioned that the specificity of territorial and climatic conditions should promote the search for and implementation of a model that would ensure the continuity and multi-functionality of national and regional energy markets. The stages of the reform have been monitored. The analysis of the implementation of the regulatory framework was focused on the following points: the differentiation of certain activities related to the transportation, production, purchase and sale of energy; unification of the single tariff for using energy resources on all the EU territories. It has been found out that the process of reforming the energy markets has no universal scenario that could accelerate these processes, as the transformation is only carried out under special conditions specific to a particular country. The experience of the advanced countries has shown that the consequences of the reform differ despite the application of the same models. It is noted that during the liberalization of energy markets, the EU countries primarily aimed at implementing regulatory instruments, and structurally divided them into 3 stages for the entire reformation period. The future scenario of reforming Ukraine’s energy market is outlined, taking into account the experience of the advanced countries with an emphasis on the following sectors: «the market of direct bilateral agreements», «futures market», «balancing market», «related market». The industry reform and its structural support have been monitored. The measures to be taken to reform the energy market are systematized in 4 groups: regulatory and legal, organizational and structural, financial and investment, technical and innovative measures.

126-133

Authors: Arefyeva O. V., Kovalchuk A. M.

Strategic changes involve new challenges and threats to the economic security of an enterprise. Resource components of economic security, i.e., the staff and finances, remain particularly sensitive to such changes. The staff as a resource of an enterprise, its professionalism and skills is one of the main factors influencing economic security, so it is advisable to form a motivational system for staff management as a component of economic security management in the context of the enterprise strategic development. The article aims at studying the staff’s motivation to strategic change and development in the context of providing the economic security of an enterprise. The interdependence of strategic economic interests of an enterprise and the provision of economic security, the methods of motivation and its role in economic security, and the motivational mechanism of staff management have been analyzed using the methods of analysis, comparison and generalization. The article has resulted in analyzing the strategic, tactical and operational methods of staff motivation, and identifying their relationship. Strategic directions of staff motivation in the security system facing strategic changes are offered. Specific measures for staff motivation in the context of strategic changes are also suggested, including mainly intangible measures aimed at raising self-motivation of an employee. Staff motivation in the face of strategic changes can provide the optimal level of protection of both personal interests and the interests of an enterprise. The development of a motivational mechanism for staff management will allow the economic security system to be restructured in accordance with strategic changes.

146-154

Authors: Grynko T. V., Androsova I. O.

The current situation in the commercial sector of Ukraine’s economy and changes that have taken place in commercial enterprises in Ukraine have been analyzed. The principles and methodical approaches have been suggested to introduce a system of strategic planning at enterprises functioning under conditions of developed market relations and unsteady economic environment; and to reveal the most effective tools of planning economic activity in the modern economic system. Factors of external and internal environment influencing the activity of enterprises have been defined. Today, the trade industry is undergoing significant changes due to the introduction of restrictions caused by the pandemic. The trade turnover indices of wholesale and retail enterprises in Ukraine for 2018–2020 show that wholesale trade has decreased in many sales areas. The growth of wholesale trade has only occurred in the following categories: trade in food, beverages and tobacco products (+9.75 %), trade in household goods (+6.57 %) and non-specialized wholesale trade (+0.73 %). Other areas had to reduce their turnover due to declining demand during the pandemic constraints. Retail trade, in its turn, increased its performance and brought income to enterprises, the Transcarpathian region being the only one to reduce (-9.49 %) the indices compared to the same period in 2019. The activity of commercial enterprises has also been analyzed, and approaches to introducing strategic planning at modern Ukrainian enterprises have been substantiated. The external and internal environment factors for the trade sector have been determined, and recommendations for implementing changes have been given. To solve these problems, it is necessary to develop a set of strategic planning measures to improve the state of Ukraine's trade sector. One of the first steps should be changing the development strategy for wholesale and retail enterprises, which will ensure the maintenance and development of an enterprise. Given the unstable situation in Ukraine’s economy and politics, alternative business development options should be designed, with consideration to possible changes.

164-170

Authors: Zalutska K. Y.

The effective development of an enterprise depends on the effective management of this development. Management of enterprise development is based on known paradigms and concepts of management, which change depending on changes in the business environment. Accordingly, the conceptual aspects of enterprise development management change depending on the changing business environment. The article aims at forming the concept of managing the diversification and integration development of enterprises in the conditions of neo-technological reproduction. The peculiarities of modern conditions of enterprise development, characterized by manufacturability, innovation, and creativity, are analyzed. The main priorities in enterprise management in this environment are analyzed. It is proved that the activities of modern enterprises take place in the conditions of neo-technological reproduction. It is established that diversification and integration development is an effective direction of development for enterprises in the specified environment. The elements and the necessity of applying the corresponding aspects of the concept of managing the diversification and integration development of enterprises in the conditions of neo-technological reproduction are outlined. The article suggests a sketch of the concept based on the delimitation and identification of objective trends in the interaction between the following economic categories: "business process reengineering", "management innovation" and "resource allocation." The author takes into account the multidisciplinary paradigm of spreading creative ideas taken from scientific theories, and the results of successful implementation of specific knowledge into various aspects of society activity. The concept is aimed at providing the successful development of an enterprise, taking into account the main external and internal incentives for such development. It is proved that the proposed concept forms a theoretical and methodological basis for improving the management system of diversification and integration development in terms of neo-technological reproduction, as its observance provides the ability to produce cumulative neo-technological effects, and to activate qualitative and quantitative changes. As a result, it promotes the effective development of an enterprise and forms the innovative development management through the prism of three conceptual areas: the technological effectiveness of the process, knowledge creativity, and resource innovativeness.

177-186

Authors: Lebedynets V. O., Prokhorenko O. V.

The purpose of the article is to substantiate a sound plan to design and implement a quality management system (QMS) at a typical domestic industrial enterprise: from the pre-design phase to obtaining a conformity certificate; to highlight problems that arise during the implementation of QMS, and to suggest sound recommendations for their solution. The introduction of QMS is considered as a project with the appropriate stages: the initiation stage, which means making decision on introducing QMS and appointing the project manager and task group; the planning stage, which means training the task group, defining the mission, vision, and policy in the field of the company quality, and designing the structure of QMS processes; the implementation stage, which means creating and publishing QMS documents and those of the pre-certification internal audit cycle; the completion stage, which means implementing all the documented procedures designed, and obtaining a certificate of their compliance with the requirements of ISO 9001 standart. The stages of such a project, their sequence, the estimated duration and distribution of responsibilities between the persons involved are offered. Possible problems arising at various stages of such a project are considered, namely: the conflict of QMS processes structure with the existing organizational set-up; unification of terms in the QMS processes structure due to the terminology already existing in the internal documentation; vague definition or lack of performance indicators; difficulties with the creation of the documentation system. Among the causes of these problems are: lack of motivation, unprofessionalism and / or lack of time among the developers, attempts to adapt to the existing system, the inconsistency of the actual goals of the organization head with the declared ones. It is recommended to divide the problem areas into three groups: by the performers (personal ones), by the system (systemic ones) and by the management of the company (administrative or leadership ones). A number of measures to eliminate or minimize the risks of problems arising during the introduction of QMS are suggested, and the responsibility areas as for taking these measures are determined.

195-200

Authors: Polenkova M. V.

The article substantiates the necessity to introduce modern mechanisms of interaction between the state and business, and between business and society as well in order to ensure sustainable economic growth in Ukraine. Today agricultural enterprises more and more often appear under pressure to solve social problems, realize the harm they do to the environment in their supply chains, and need to find ways to solve critical socio-economic and environmental challenges set in accordance with the goals of sustainable development. The evolution of schools of thought developing the concept of corporate social responsibility is studied, as well as those of the economic system and industrial transformations, which were actively developing in the twentieth century society. It has been found out that the impact of social responsibility on the welfare of the population was considered through the prism of three areas: business ethics, business and society, and social aspects of management. It is substantiated that corporate social responsibility is an umbrella term for various theories and practices, admitting that corporations are responsible for their impact on society and the environment, sometimes even beyond compliance with the law and the responsibility of individuals; companies are responsible for the behavior of others with whom they do business (for example, suppliers in the supply chain); companies should handle their relationships with society at large. The peculiarities of the approaches of large farms (collective farms) to the socio-economic development of rural areas in the planned economy in Soviet times are outlined. It has been found out that collective farms provided a wide range of support to rural communities and household plot owners, namely, by providing the following: full employment, rural social infrastructure, resources and services on homesteads. The peculiarities of European approaches to the development of social responsibility have been studied. The relationship between the social responsibility of agricultural enterprises and the revival of rural areas has been established.

210-216

Authors: Prokhorova V. V., Bozhanova O. V., Yukhman Y. V.

The actual value of the topic lies in the fact that nowadays the development of the world economic system is accompanied by innovative processes. Innovative development of enterprises is the only possible way to steer a country’s economy out of crisis. For most domestic industrial enterprises it is necessary to completely abandon the traditional enterprise management system or, at least, to transform it. Thus, it is becoming more and more actual to use methods and tools, which can foster innovative development in various activity areas at an enterprise, and the importance of reengineering as an innovative basis for the reconstruction of the enterprise management system is growing. The article aims at designing a conceptual foundation for reengineering as an innovative basis for the reconstruction of the enterprise management system. The authors reveal the content of reengineering and demonstrate its importance as the innovative basis for reconstructing the enterprise management system. The advantages of using reengineering are highlighted, the essence of reengineering as an economic process is identified. It is stated that reengineering allows providing a systematic and comprehensive approach to the innovative refocusing and restructuring of the enterprise management system as a whole, or of its individual functional components. The authors’ own definition of "reengineering" is offered. It is substantiated that reengineering allows reconstructing the enterprise management system in an innovative way. The need for the reengineering of the enterprise management system is shown. The conceptual basis of reengineering as an innovative basis for reconstructing the enterprise management system is proposed. The basis contains the principles, on which reengineering is grounded as an innovative basis for reconstructing the enterprise management system; and the main stages of reengineering. Reengineering as an innovative basis for reconstructing the enterprise management system involves holistic and systematic modeling and fundamentally changes the enterprise information flow; as a result, the organization structure is simplified, resources are redistributed, individual resources consumption is minimized, product life is reduced, the service quality and image are improved.

224-230

Authors: Sekirozh Y. V.

Machine-building enterprises have been proven to play the main role in ensuring the sustainable development of Ukraine’s machine-building industry, as the latter is the main component of Ukraine’s economic complex. The state and prospects of the further development of machine-building enterprises is an important research area dealing with the current transformation processes in Ukraine, as implementing innovations at machine-building enterprises is problematic due to the difficult financial and economic situation in the country. It is concluded that the scientific and methodological approach to assessing the sustainable development of machine-building enterprises covers the full range of the constantly changing financial and economic information, and takes into account all the possibilities for enterprise development, as the current situation, being characterized by rapid economic changes at machine-building enterprises, requires new methodological approaches to its studying. The suggested scientific and methodological approach should become that very tool in the strategic management system of an enterprise, which would take into account the existing objectives and, relying on the analysis of financial and economic situation and statistics data on the sustainable development of the enterprise, would allow timely adjustment of the entire management activity, as the main purpose of the approach is to identify, at the earliest possible time, the difference between the actual results of the sustainable development of enterprises and the forecasted ones; to identify the reasons that caused this difference; to suggest actions to properly adjust particular areas of financial and economic activity in order to normalize them and enhance the general enterprise development.

241-248

Authors: Khlevytska T. B., Plevako N. O.

The market transformation processes of Ukraine’s economy have determined the need for new approaches to managing the activities of domestic enterprises, ensuring their financial stability and competitiveness, especially when facing difficulties both in generating their own financial resources and raising funds from outside. Under such conditions, the issues of ensuring the strategic development of enterprises become especially relevant, requiring the search for optimum procedures of choosing such strategies, taking into account numerous criteria and alternatives. The purpose of the article is to substantiate a scientific and methodological approach to choosing a financial strategy for an enterprise, the choice being based on multi-vector and sound calculations. The approach is based on the hierarchy analysis method as one that helps to make decisions in complex, structured, multi-criteria and multi-alternative situations. The article substantiates the need for a profound analysis of the coordination of experts’ opinions, which would increase the argumentativeness and reasonableness of the strategy selection process. The expediency of extensively using mathematical methods while developing particular strategies and estimating the quality of their implementation is proven. The practical value of this approach lies in raising the validity level of the strategic decisions taken, and making it possible to provide their early and timely adjustment by differentiating criteria for decision-making and changing strategic alternatives. The proposed approach can be used to form a strategic portfolio for any enterprise, regardless of its scope of activity and form of ownership. Its end result is seen in improving the quality of strategic management at domestic enterprises.

256-264

Authors: Shkreben R. P., Kharnam M. V., Otenko I. P.

The development of information economy, Ukraine’s integration into the world economic space, globalization processes and the resulting increase in competition exacerbate the problem of high-quality and efficient management of business processes at industrial enterprises. The necessity to increase the scale of high-tech production, to expand the range of innovative products and new requirements for their quality, cause attention focusing on the processes of forming the strategic potential of enterprises, namely, learning and finding new strategic opportunities, implementing organizational forms and tools, creating conditions for sustainable innovation and security-oriented development of domestic enterprises. The formation of strategic potential as an object of development management begins at the stage of intentions emergence and goals selection. Strategies, mechanisms (coordination, training, regulation, preservation and protection), organizational methods, forms of strategic management of economic security, as well as methods of selecting and coordinating adaptive measures that meet the guidelines of enterprise development are the strategic tools for security-oriented enterprise development. The division of development security strategies into types includes, first of all, the types of passive and active strategic behavior of an enterprise in the market. Passive survival strategies use available opportunities and are a typical course of action for a company in a stable and predictable environment; this "passivity" is determined by the fact that a company does not try to influence the external environment. Active survival strategies are aimed at actively searching for enterprise opportunities and effectively using them, and are implemented through transforming the internal structure of an enterprise and using complex strategic forms of behavior in the market. Strategies of actively influencing the external environment are realized through actively searching for new opportunities for innovative enterprise development and creating them.

273-278

Authors: Dubiei Y. V.

The features of knowledge and technology as factors of modern economic development have been analyzed, as well as their essential characteristics in the public goods theory. It has been proven that knowledge and the results of fundamental scientific research are characterized by the properties of non-competitiveness and indivisibility in consumption, as their consumption by one subject does not reduce their consumption by others. It is substantiated that knowledge of applied nature and the results of applied research lose the properties of public goods due to the recording of intellectual property rights. The expenditure budget on scientific research in some countries has been analyzed. It has been found out that constant reduction of the R&D expenditures share in the GDP and significant reduction of fundamental research funding preserves Ukraine’s scientific and technological lag behind the world’s leading countries and makes rapid technological renewal of the domestic economy impossible. It has been found out that economic entities receive the innovation rent at the first lifecycle phase of the technology, given the existence of a mechanism for patenting research and development results and the monopoly rights of the owners of new technologies for their exclusive use. However, the monopoly on new technologies is not an absolute one due to the threat of information leakage in the process of interaction with potential buyers and copying or imitation of new products or new processes at the stage of getting them into actual practical use. It has also been proven that at the accelerated diffusion phase, such technologies acquire the features of a mixed public good.

294-304

Authors: Hrebenikova O. V., Tatar M. S., Koval M. I.

The purpose of the article is to analyze the reasons, principles and configurations of interaction between banks and insurance companies in order to ensure their sustainable development in the face of escalating global challenges; and to suggest practical guidance for the further development of cooperation between banks and insurance companies in Ukraine. Factors that hinder this interaction and factors that stimulate it are analyzed, including the customers’ growing need in comprehensive services both in banks and insurance companies; banks' understanding of the necessity to provide comprehensive insurance protection, development and active implementation of new products in the new sphere etc. The preconditions, principles, forms and types of interaction between banks and insurance companies, in particular, mutual investment in capital, customer relations, partnerships, integration, etc. are studied, the peculiarities of the relationship between banks and insurance companies at different levels of integration are analyzed. The ways to intensify and modernize interaction between banks and insurance companies in Ukraine in the face of the escalating global challenges are defined. The analysis of diagnostic indices of banks and insurance companies shows that the financial indicators of banks are not strongly affected by the presence of an insurance company, and as for insurance companies, the presence of banks as a part of financial conglomerates allows such companies to increase the volume of insurance contracts and receive gross insurance premiums. Prospects for further research in this area can be the following: to carry out correlation and regression analysis of the relations between the financial performance of banks subject to the presence of an insurance company in the financial conglomerate, on the one hand, and the financial performance of insurers subject to their interaction with a banking institution, on the other; to analyze the formation of an organizational mechanism in banks and insurance companies; to analyze the ways of improving the system of state supervision over the relations and cooperation between the abovementioned entities.

312-319

Authors: Zhytar M. O., Yaroshchuk T. Y.

The article aims at analyzing the current situation with the sustainable development of an enterprise, which is reached by increasing the credit resources efficiency. The correlation between sustainable development of an enterprise and its creditworthiness has been proved. The level of the Global Competitiveness Index of Ukrainian enterprises in the world economy has been studied. The line of business analyses of the current industrial environment has been carried out, thus sketching the general situation in Ukraine. Features hindering the sustainable development of business have been analyzed. Research has been provided as for the ratings of the most popular banks for business. The main advantages and disadvantages of loans to business persons have been suggested taking into account the average interest rates on such loans. It has been found out that the main factor for obtaining loans by business persons is their financial standing. Therefore, if a business person or company can repay their loans and interest on existing liabilities on time in full, this fact becomes a favorable and important factor for creditors. It has been found out that current loan rates are too high and thus become too expensive for many companies to attract additional funds for their business, the reason being the non-repayment of loans to banks. It is concluded that one of the central problems Ukraine is now facing is the mismanagement of sustainable development of enterprises, and problems in using credit resources suggested by banks are among the main factors here. It is determined that Ukrainian enterprises have all the chances to become the main carrier of technical progress and a source of growth of national competitiveness, but in order for it to start approaching the development level of the world's leading countries, significant financial resources are required. It has been proved that attention should mainly be focused on developing and improving strategic directions of sustainable development management related to attracting credit resources, namely suggesting the rules for and implementing the process of selecting and providing further state support for the best possible investment projects, which could improve the sustainable development of entrepreneurship and increase the efficiency of using credit resources in long-term business projects.

326-333

Authors: Lupenko A. Y.

The article aims at systematizing the theoretical and methodological foundations of using credit default swaps in the external public debt management. Theoretical principles of using credit default swaps in the external public debt management are studied. The advantages and disadvantages of credit default swaps as derivative financial instruments are generalized. It is shown that the main disadvantages of credit default swaps are their speculative character and dependence on international rating agencies, as well as lack of proper regulation in the synthetic securitization of debt-based assets. The mechanism of credit default swap functioning in the risk management system in external state borrowings is conceptualized. The factors influencing the value of the credit default swap in the risk management system in external government borrowing are identified. It is shown that the main factors are the sovereign credit rating, the maturity of debt securities, liquidity and yield of external government bonds, market demand and supply of debt securities and default swaps. The dynamics of the value of credit default swaps on Ukraine’s debt securities is analyzed. The relationship between the swap value and geopolitical factors in the formation of the international investment position of the state is shown. In order to increase the efficiency of credit default swaps in external public debt management and minimize the interest rate risks of external government borrowings, it is suggested to amend norms and regulations, providing for the essence of default swap, the composition of the parties, accounting and value formation peculiarities.

342-350

Authors: Rudyk N. V.

The article aims at forming a roadmap for self-reliant control of the absence of tax debt for small and medium-sized businesses in Ukraine. The necessity of conducting tax audits for small and medium-sized businesses in terms of preventing tax evasion has been studied. The article systematizes the types of tax audits provided by the Tax Code of Ukraine (hereinafter referred to as TCU) amid the COVID pandemic. The peculiarities of these audits and their key features are detailed. The necessity to conduct self-reliant control of the absence of tax debt among small and medium-sized enterprises (hereinafter referred to as SMEs) is substantiated based on the analysis of the ratio dynamics of tax debt to tax revenues to the Consolidated Budget of Ukraine. The Roadmap for independent tax control as for the absence of tax debt due from SMEs is suggested. Its structure includes three stages with step-by-step detailing of the taxpayer’s actions at each step. The practical aspect of the roadmap is based on preventive control of taxpayers’ honesty and financial literacy. The implementation of the Roadmap is carried out on the example of SMEs on the simplified system of taxation, and SMEs as single tax payers, using the taxpayer account, which is the key software in the lockdown, as the basis for calculations. The principles of work in the specified electronic resource are visualized. The article considers the tax authorities’ possible areas of work to prevent violations of tax legislation by SMEs. Such areas of work are grouped into 3 fields: taxpayers training, simplification of the taxpayer account, transparency of the uses of taxes paid by a definite SME.

357-363

Authors: Mykhailenko D. H., Hrypich O. V.

One of the important tasks of social policy is to ensure the social security and development of a state. Protection of the individual, society and the state from internal and external threats is ensured by social security. Social development is reflected in the effective implementation of social programs aimed at improving social welfare and the well-being of citizens. The article is aimed at suggesting some approaches to define social policy as a basis for the formation of social security of a state. Legal documents regulating security formation in the social sphere are considered. The components of social security are identified. Approaches to define the social policy of a state in the context of social security formation are offered. The types and models for carrying out social policies in the view of forming the social security of a state are analyzed. Ukraine’s social policy needs to be transformed, as it is characterized by low economic efficiency, this being the reason for the state’s inability to ensure a high level of well-being for all its citizens. Domestic social policy is characterized by a low level of security and limited social benefits for ordinary citizens, but the elite can use a whole system of social benefits and privileges. All this threatens the social security of the state. The ideology of domestic social policy makes the citizens highly dependent on the state, instead of promoting the citizens’ initiatives. However, the social security formation is impossible without improving life quality and bringing in social welfare, and without reforming and developing the social sphere. It can only become possible if social consensus is reached between different groups of political and economic interests and the state.