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THE ADVANCED SCIENCE JOURNAL
ECONOMICS / BUSINESS / ADMINISTRATION
RECEIVED 10.04.2015 ACCEPTED 20.05.2015 PUBLISHED 01.06.2015
DOI: 10.15550/ASJ.2015.03.103
THE DETERMINATION OF THE CREATIVE
ACTIVITY PLACE IN THE PROCESS OF
INNOVATIVE DEVELOPMENT OF
UKRAINIAN REGIONS
O. Diakiv
Vasyl Stefanyk Precarpathian National University
57, Shevchenko Str., Ivano-Frankivsk 76018 Ukraine
[email protected]
Abstract: The article analyses the features and components of innovation processes, which are typical of the
present stage of economic development of regions in Ukraine. They are associated with innovation
introduction as the result of the creative activity that serves as a tool to create favourable conditions for
regional development and the provision of quality growth of efficiency of economic processes.
Keywords: creativity, innovative development, Ukrainian regions, competitiveness, rating.
Introduction
A feature of the modern stage of development of Ukraine is connected with the processes of
decentralisation of power by distribution or dispersion of functions and powers from the central
administration at the regional level. The government approved “The Concept of Reforming of Local Selfgovernment and Territorial Organization of Power in Ukraine”. Innovation introduction must become one of
the priorities of regional development on this path, and science becomes the production sector of the
economy, the primary factor that ensures the competitiveness.
The aim of this work is to analyse the impact of innovation processes on the development of the world
economies and the economy of Ukraine, and to determine the place of creative activity in the processes of
innovation development of the economic system of each region.
Results
The importance of this problem is due to the fact that today innovations become one of the key factors
that ensure the competitiveness of the economic system in the world. By the global competitiveness index (the
most comprehensive measure, which generalizes the expert evaluation of more than 1,300 independent
experts from different countries and activity fields and the data of the official statistics of the countries)
Switzerland, Sweden, Singapore, USA, Germany are the leaders among 142 countries in 2011–2012.
During 2009–2010 in consequence of economic and political problems, Ukraine lost 16 positions, but in
2011–2012 the state of the economy improved, and the country climbed in the ranking the 7 positions.
According to a report of The World Economic Forum about global competitiveness in 2012–2013, Ukraine
climbed another 9 positions, while continuing to demonstrate its key competitive advantages – education and
market capacity. We should note that Ukraine in this ranking was on 82nd place (in 2009–2010 among 133
countries) and on the 89th place (among 139 countries in 2010–2011).
According to the results of this study, our country has such advantages as highly educated specialists
among population, a significant market capacity, which is a good basis for further economic growth. But on
the other hand, despite economic reforms in Ukraine the system of institutions remains weak (132nd place) and
market of goods and services remains inefficient (117th place).
Experts have identified that among the major not exhausted opportunities, special attention should be paid
to subindexes: “Innovations” and “Technological readiness”. Ukraine's “Innovations” ranking in 2012–2013
corresponds to 71st place. The change of such components had the greatest impact on increasing of the value of
this rating in 2012–2013 compared to the previous period: the quality of scientific and research institutions (+8
positions), government procurement of advanced technologies and products (+15 positions), availability of
scientists and engineers (+26 positions), the number of patents per 1 million of population (+20 positions).
According to “innovation capacity” Ukraine has shifted down to 16 positions, because domestic
industries mainly use foreign technologies by obtaining licenses rather than their own researches and
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ISSN 2219-746X EISSN 2219-7478
development. Despite the fact that this is the best indicator for the 2009–2012 period, the Ukrainian rating
remains not high, which indicates serious problems that our country faced during the global economic crisis.
According to the analysis of this study we can conclude that the economic processes in the regions of
Ukraine correspond to distinct modern global trends and have a positive dynamics, but in terms of
competitiveness they are far behind the leading European countries.
A clear definition of priorities of economic development of each region of Ukraine must ensure its
competitiveness in the global space. On this way one of the main systemic problems of the regional economy
is the effectiveness and quality of the functioning and structure of the creative part of the innovation system –
sectors of research and development, education, invention, they all do not fully meet the potential needs of
intensive development of the economy (Danylyshyn and Chizhova, 2004).
Functioning and development of innovative activities in different spheres were researched by native
scientists: Amosha A.I., Danylyshyn B.M., Kuzneczova A.Y., Comelina O.V., Krupka M.I., Lapko O.O.,
Mykytyuk P.P., Solovyov V.P. and others. The terms “innovation”, “creation”, “creativity” become
synonymous with “competitiveness support” in the scientists` researches as a reflection of the current
situation, in which the creation of individuals and the associated innovations purchase value for the economy
(Bushuev et al., 2010).
“The main factor in industry is creativity”, – claimed the former President of “Sony” A. Morita. New
ideas and knowledge take capital place in the “new economy” and largely replace it. The main causes of the
growing economic role of creativity are the following:
At first, dynamism of the modern economy is constantly growing. The cycles of innovation development
are reducing, in particular the duration of the period from the invention of the new technology to its output on
the market and replacing by other technologies. In connection with the acceleration of the transformational
changes in social, economic and technological conditions of production, the number of non-standard problems
and challenges is growing all the time and it consequently requires the non-stop production of new ideas for
their solution.
Secondly, the continuously growing competition (hypercompetition). Creative finds of companies, that
are introduced to the market, strengthen its position. Competitors are forced to present a “creative counterattack” in answer, which increases the competitive pressure at this market, and the cycle repeats. External
factors (including the development of information technologies and the world globalization) complement,
accelerate and complicate these processes.
Thirdly, significant changes in work motivation and reorientation of the system of values of the
employees. Studies (Bushuev et al., 2010).confirm the reduction of employees` interest in work, replacing the
material guidelines of labour activity with “postmaterial ones”, the transition from seeking a livelihood means
to participation in the decision-making process, self-realization, creation.
Fourthly, the role of private production of goods and services is growing in contrast to the mass and
serial production, which necessitates a fast and flexible design of products and services in accordance with the
characteristics of each market, constant updating of the goods.
Fifthly, a significant change in employment structure, in which the role of “creative resource” in the
spheres of production is growing. Structural displacements in employment structure are associated with the
formation of new high-tech industries, automation of production, using of flexible technology and flexible
forms of production organization, integration of science and production, the formation of scientific-production
and sales systems. Florida R. justifies the emergence of a “creative class”, which economic functions are in
the production of new ideas, new technologies, new knowledge.
Creativity (lat. creatio – creation) – creative, innovative activity, innovative term, which defines “creative
abilities of the individual, characterized by the ability to produce essentially innovative ideas and included in
the structure of talent as an independent factor”. Previously the term “creative abilities” had been used in the
literature, but later it was supplanted by the English loanword (creativity, creative). According to Professor I.
Miloslavskij, the term “creative” denotes creativity, which not only suggests ideas, but also brings them to the
practical result. And the word “creative” remains with its original meaning, which does not distinguish
effective and, conversely, ineffective activity”.
In modern conditions generating processes of new ideas and their implementation should be put on
stream for successful business. According to experts, a competitive advantage in the twenty-first century is
not only the idea, but mechanism for constant reproduction and personification of new ideas. If the key to
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successful entrepreneurship in the first half of the twentieth century is considered conveyor for mass
reproduction of unified goods, than in the XXI century a symbol of a successful production is the conveyor
for the production of innovations (the principle of "mass production" of new ideas). One of the variants of the
“strategy of continuous creativity” is “Kaizen” – the development principle of many Japanese companies
through continuous changes and improvements.
There is in table 1 analyzed statistics of the protection of native attestation scientific works, which
studied creative activities for the period 2000–2014. Analyses were stratified by the levels of economic
system of the country, by the scale and in accordance with the immanent subjects.
Table 1
A number of scientific studies (defended dissertations),
devoted to the definition of the category “creativity”, for the period 2000–2014
Level
Subject of definition
A number of scientific dissertations
General
general definition
7
philosophical
subject
9
Microlevel
enterprise
1
field
0
Mesolevel
region
2
Macrolevel
state, union of states
1
We can conclude from the data analysis of table 1 that most of the works are devoted to the microlevel or
to a study of general philosophical plan. Researches of creative impact on economic processes at the regional
or national levels are single and poorly explored.
According to Ukrainian experts, in modern conditions the instruments of regional management will
provide the ability to effectively formulate and implement the strategic priorities of socio-economic
development of separate administrative areas and the whole country. Consequently the constitutional basis of
local self-government has been laid in Ukraine, the European Charter of local self-government has been
ratified, the number of basic normative legal acts has been adopted, which provide the legal and financial
basis for the activity of local authorities.
Discussion
In conditions of ever growing technological and socio-economic dynamism, increased market
competition and uncertainty, creative and innovative activity becomes a stabilizing element of
competitiveness. The growth of the role of creative and innovative activity means that creative potential and
organizational terms and mechanisms of its implementation are one of the key factors of economic
development. Formation of comfortable conditions for this process requires the establishment at the regional
level of the relevant organizational and motivational environment, mechanisms of support for creative
activity, and all this which, in its turn, requires further research.
References
The Concept of Reforming of Local Self-government and Territorial Organization of Power in Ukraine
[Online] Available from: http://zakon4.rada.gov.ua/laws/show/333-2014-р [Accessed 07 Apr. 2015].
Valdajczev, S.V. (1997) Assessment of Business and Innovations. Moscow: Flint.
World Economic Forum: The Global Competitiveness Ranking (2012–2013) [Online] Available from:
http://gtmarket.ru/news/2012/09/05/4949 [Accessed 07 Apr. 2015].
Scientific and Innovation Activities (1990–2010) [Online] Available from: http://www.ukrstat.gov.ua/
[Accessed 07 Apr. 2015].
Danylyshyn, B. and Chizhova, V. (2004) Scientific and Innovative Supply of Economic Development of
Ukraine. Economy of Ukraine, (3), pp. 4–11.
Bushuev, S.D. et al. (2010) Creative Management Technologies of Projects and Programs. Kyiv: Summit Book.
The Law of Ukraine “About Innovative Activity”. Bulletin of the Verkhovna Rada of Ukraine. 2002. No. 36.
p. 266.
Verkhovna Rada of Ukraine (1999) About the Concept of Scientific-technical and Innovation Development of
Ukraine, No. 37, pp. 770–775.
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