Is increasing a share of R&D expenditure in GDP a factor in strengthening the level of innovation development in Ukraine compared with GII’s top countries?
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Received October 29, 2023;Accepted December 20, 2023;Published December 27, 2023
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Author(s)Link to ORCID Index: https://orcid.org/0000-0002-4159-8446Link to ORCID Index: https://orcid.org/0000-0003-1976-4775Link to ORCID Index: https://orcid.org/0000-0001-6445-806XLink to ORCID Index: https://orcid.org/0000-0002-8500-0362Link to ORCID Index: https://orcid.org/0000-0002-3156-6790
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DOIhttp://dx.doi.org/10.21511/ppm.21(4).2023.53
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Article InfoVolume 21 2023, Issue #4, pp. 713-723
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Cited by1 articlesJournal title: Green, Blue and Digital Economy JournalArticle title: SELECTION AND IMPLEMENTATION ALTERNATIVES FOR THE MARKETING STRATEGY OF ENTERPRISE MANAGEMENTDOI: 10.30525/2661-5169/2024-1-1Volume: 1 / Issue: 1 / First page: 1 / Year: 2024Contributors: Mariia Bahorka, Tetiana Ustik, Liudmila Kvasova
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The study aims to test whether increasing a share of R&D expenditure in GDP strengthens the level of innovation development in Ukraine compared with top countries in the Global Innovation Index. It models the impact of changing a share of R&D expenditure in GDP on the level of innovation development based on 10 countries-leaders in GII 2022 and Ukraine. Correlation analysis proved the existence of a relationship between the levels of R&D expenditure (as percent of GDP) and innovation development (the overall score of GII); its strength and direction are characterized (for 2011–2020). The results show that in GII’s top countries, the relationship between innovation development and R&D expenditure is direct in 70% of the sample’s countries, mostly with high and very high relationship power without time lag or 1-2-year time lag. This relationship is inverse in Ukraine, with high relationship power and a 1-year time lag. The system dynamic linear panel-data model is built to determine and formalize the impact of changing a share of R&D expenditure in GDP on the level of innovation development for GII’s top countries and the linear regression model – for Ukraine. For GII’s top countries, it is confirmed that with an increase in R&D expenditures by 1%, innovation development potentially increases by an average of 2.71%, and in Ukraine – it decreases by an average of 4.8%. This discrepancy is explained by the need to improve state policy and regulatory framework in innovation development and its financing in Ukraine.
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JEL Classification (Paper profile tab)H72, O32
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References54
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Tables4
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Figures0
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- Table 1. Checking the normal distribution of the data for R&D expenditure based on the Shapiro-Wilk test
- Table 2. Confirmation of the relationship between the level of innovation development and R&D expenditure based on Pearson and Spearman correlation analysis
- Table 3. The results of the system dynamic linear panel-data model to formalize the influence of the factor of R&D expenditures on the level of innovation development in GII’s top countries
- Table 4. The results of the linear regression model to formalize the influence of R&D expenditures on the level of innovation development in Ukraine
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Conceptualization
Olena Dobrovolska, Ralph Sonntag
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Data curation
Olena Dobrovolska, Mariia Bahorka , Nataliiа Yurchenko
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Formal Analysis
Olena Dobrovolska, Ralph Sonntag, Yuliia Masiuk, Mariia Bahorka
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Funding acquisition
Olena Dobrovolska
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Investigation
Olena Dobrovolska, Nataliiа Yurchenko
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Methodology
Olena Dobrovolska, Yuliia Masiuk
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Project administration
Olena Dobrovolska, Ralph Sonntag, Yuliia Masiuk
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Resources
Olena Dobrovolska
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Software
Olena Dobrovolska
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Supervision
Olena Dobrovolska, Mariia Bahorka
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Validation
Olena Dobrovolska, Nataliiа Yurchenko
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Visualization
Olena Dobrovolska, Yuliia Masiuk, Mariia Bahorka , Nataliiа Yurchenko
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Writing – original draft
Olena Dobrovolska, Ralph Sonntag, Yuliia Masiuk, Mariia Bahorka , Nataliiа Yurchenko
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Writing – review & editing
Olena Dobrovolska, Ralph Sonntag, Yuliia Masiuk, Mariia Bahorka , Nataliiа Yurchenko
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Conceptualization
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Exploring fast moving consumer goods (FMCG) small, medium and micro enterprises manufacturers’ need for innovation to achieve growth
Lawrence Mpele Lekhanya , Nze Grace Olajumoke , Dorasamy Nirmala doi: http://dx.doi.org/10.21511/ee.08(2).2017.01Environmental Economics Volume 8, 2017 Issue #2 pp. 8-16 Views: 4890 Downloads: 1051 TO CITE АНОТАЦІЯThe purpose of this paper is to investigate the problems of the sustainable development, to explore the level of innovation in the fast moving consumer goods (FMCG) manufacturing SMMEs sectors, which most affects on the state of the environment, to identify the causes of low innovation in the industry and to examine these factors influence on the effectiveness of SMMEs manufacturers innovation strategies, as well as to invent a new innovation strategic approach to overcome innovation problems in the economic growth of fast moving consumer goods SMMEs manufacturers. The study is aimed to determine the level of innovation and factors contributing to low innovation in fast moving consumer goods (FMCG) SMMEs manufacturers, which hinder their economic performance. Mixed approach of quantitative and qualitative questionnaire is used for primary data collection. Sample consists of 120 SMMEs. Statistical Package for Social Sciences (SPSS) (23.0) was employed for data analysis. The study results are presented with figures and diagrams. This study will be a useful tool for general public and relevant stakeholders in this sector.
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Challenges of small and medium enterprises during the COVID-19 pandemic: Case of Georgia
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