Stimulation of Innovation Activities in Service Areas

First of all, I would like to note that the realization of huge opportunities in the service sector makes them an important and intensively growing sector of the economy in the current conditions of agriculture. Representing an extremely important element and driving force of the world economic syst...

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Опубліковано в: :Управління економікою: теорія та практика
Дата:2022
Автор: Hasanova, S.
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Мова:Англійська
Опубліковано: Інститут економіки промисловості НАН України 2022
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Цитувати:Stimulation of Innovation Activities in Service Areas / S. Hasanova // Управління економікою: теорія та практика: Зб. наук. пр. — К: ІЕП НАНУ, 2022. — С. 198-203. — Бібліогр.: 10 назв. — англ.

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Digital Library of Periodicals of National Academy of Sciences of Ukraine
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author Hasanova, S.
author_facet Hasanova, S.
citation_txt Stimulation of Innovation Activities in Service Areas / S. Hasanova // Управління економікою: теорія та практика: Зб. наук. пр. — К: ІЕП НАНУ, 2022. — С. 198-203. — Бібліогр.: 10 назв. — англ.
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container_title Управління економікою: теорія та практика
description First of all, I would like to note that the realization of huge opportunities in the service sector makes them an important and intensively growing sector of the economy in the current conditions of agriculture. Representing an extremely important element and driving force of the world economic system, increasing opportunities for structuring social and economic development, the service sphere has become one of the strongest developing sectors of the economy, and currently contributes significantly to the creation of the country's GDP and the income of the population. Increasing its role in the local economy is a necessary priority of national development, a factor of maintaining the political and economic stability of the state in market conditions. A significant part of the service area is tourism, which is considered one of the largest, highly profitable and extremely dynamic sectors of the economy. Acting as an important factor of sustainable development and a business area against the background of globalization and activation of integration processes, tourism activity is formed by a set of numerous complex problematic reasons and management mechanisms and undergoes transformation in interaction. Keywords: stimulation, innovation activities, service areas, mechanisms, transformation, interaction. Lukianov A.I. Application of Integrated Logistics in Foreign Economic Business Processes of Enterprises of the Processing Industry. – Р. 163. The article deals with the problems of efficient management of modern business processes, which require system optimization of interconnected circuits: the process of supply, production process, sales of products, and others. Presented modern concepts of business process management in the processing industry. The information concept of logistics is to formulate the general problem of managing material flows within an industry or a separate business process. The marketing concept of logistics focuses on the organization of the logistics process in the field of distribution and distribution of products. The concept of integrated logistics is to use in the management of a system tool to regulate material flows to achieve business goals. Перш за все, хотілося б відзначити, що реалізація величезних можливостей сфери послуг робить їх важливою та інтенсивно зростаючою сферою економіки в сучасних умовах сільського господарства. Будучи надзвичайно важливим елементом і рушійною силою світової економічної системи, збільшуючи можливості для структурування соціально-економічного розвитку, сфера послуг стала одним із найсильніших секторів економіки, що розвиваються, і на сьогодні робить значний внесок у створення ВВП країни та доходи населення. Підвищення її ролі в місцевій економіці є необхідним пріоритетом національного розвитку, фактором збереження політичної та економічної стабільності держави в ринкових умовах. Значну частину сфери обслуговування займає туризм, який вважається однією з найбільших, високоприбуткових і надзвичайно динамічних галузей економіки. Виступаючи важливим чинником сталого розвитку та бізнес-сферою на тлі глобалізації та активізації інтеграційних процесів, туристична діяльність формується комплексом численних складних проблемних причин і механізмів управління та зазнає трансформації у взаємодії.
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fulltext 198 DOI: https://doi.org/10.37405/2221-1187.2022.198-203 S. Hasanova e-mail: Hesenova1sabina@gmail.com, Azerbaijan Tourism and Management University, Baku, Azerbaijan STIMULATION OF INNOVATION ACTIVITIES IN SERVICE AREAS Introduction Among the challenges of the 21st century and the new millennium, understanding the development potential of nature and society at a new quality level has a special place. Fundamentally renewing the founda- tions of social activity within the framework of stereotypes formed over the centuries in the 20th century has opened opportunities for people to develop in a different quality. As long as those possibilities are realized at the level of the traditional worldview, the threats to humanity will con- tinue: food shortages, exhaustion of non-renewable energy sources, un- desirable urbanization processes, ecological crisis. The consensus of the advanced part of humanity, scientific elite and political decision-makers makes it possible to get out of the mentioned "magical circle". At the same time, the fragmentary development of science in certain periods of history, interruptions and deviations in this development give rise to cri- tical approaches to innovations in their full meaning. What has been men- tioned requires the transformation of the innovative way of thinking into an ordinary way of life, the promotion of the criteria of coexistence, which implies the organic unity of antiquity and innovation, in other words, the wide spread of innovative activity [1]. Main text The concept of "innovation" is taken from the Latin word "inno- vato", although it has been used since the 19th century, it was used mainly in Joseph Schumpeter's "The Theory of Economic Development" (1934) and entered the wide scientific circulation. However, the main concepts related to innovation are still interpreted differently. "Innova- tive activity – new scientific knowledge, ideas, discoveries and inven- tions of the human collective, as well as existing and tested it is a type of systematic activity aimed at the full social realization of innovations based on the use and application of scientific technology, systems and equipment". In the conditions of modern market relations, the competi- © S. Hasanova, 2022 199 tive factor is one of the important factors determining the scale and pace of economic activity. In the conditions where the traditional possibilities of gaining a position in the market are exhausted, one or another participant prefers to search for alternative (new) ways. This way, as a rule, is risky, expen- sive and long. Therefore, prioritizing the innovative development path requires extensive research and complex analysis. As stated in the open encyclopedia, "innovation is the final result of a person's intellectual ac- tivity, discovery, invention, the application of a highly effective innova- tion. The result of innovation activity is considered to be a new or im- proved product (work, service), technological process, as well as orga- nizational-technical, financial-economic and other situations in various areas of social relations. Innovation activity is the application of new ideas, scientific knowledge, technology and products to various fields of production and management to ensure economic development and com- petitiveness [2]. The greater negative impact of the COVID-19 pandemic on the world economy, especially on the hospitality sector, made it necessary to determine the ways to get out of the crisis of the activity of hotel enter- prises in Azerbaijan in the context of the pandemic, as well as the ways to improve the situation. As a result of a significant decrease in the flow of tourists to Azerbaijan, in 2020, Baku's hotel services market saw a 93% decrease in occupancy, and a 96% decrease in room profitability compared to 2019. In general, in 2020, 999.8 thousand tourists spent the night in ho- tels in our country, that is, a 3.3 times decrease was observed in this in- dicator. In addition, the main number of overnight stays fell on the share of hotels located in the capital of Azerbaijan – 58% of the total amount. This indicator is 9.7% in Gabala district, 5.5% in Gusar district, 4.1% in Guba district, 3.2% in Lankaran district, 3.1% in Naftalan city, 2.4% in Nakhchivan Autonomous Republic, Shabran district – 1.9%, Minga- chevir city – 1.2%, Ganja, Khachmaz, Gakh and Shamakhi districts 0.9% each, Masalli and Zagatala districts 0.7% each, and 5.9% it belongs to other regions of the republic. The main consequence of the pandemic was a critical decline in the hotel's financial and operational performance. The only way for hotels to stay afloat in the reality of huge losses is to develop a serious adaptive anti-crisis action program aimed at mitigating the extremely negative consequences of the pandemic and improving the cri- sis situation, and designed to manage their income, which contributes to the stabilization and successful recovery of the hospitality industry in our country – standard innovative solutions are built-in. 200 Based on this, the criteria that significantly increase the degree of vulnerability of all hotel establishments in the context of the coronavirus pandemic were initially determined: the inevitability of the closure of hotels by the decision of the au- thorities; the inevitability of hotels shutting down due to a complete lack of guests; impossibility of providing a comprehensive service complex of hotels; location (megacities have a greater flow of foreign tourists); dependence of hotel occupancy on charter flights; application of fixed rent by the owners of the building, etc. [4]. I would like to note that in the conditions of a pandemic, an entre- preneur should not be concerned about obtaining extreme income, but about the ability to stay afloat and how to prevent business closures. On the basis of mathematical-statistical calculations, I would like to mention the information about determining the correlation relationship between the capacity of hotel establishments, the expenses of foreign tourists who come to our country for tourism purposes, and the income obtained from the activities of hotel establishments in the Republic of Azerbaijan in 2009-2020. As can be seen from Fig. 1, a positive trend was observed in the results of the economic activity of hotel enterprises during 2011-2020 due to management optimization. 201 In modern times, innovation is a provider of stable economic growth in the economy. The purposeful search and application of inno- vations is the basis of innovation-type development. This allows for tech- nological progress and the improvement of society's well-being. The end of Azerbaijan. The economic reforms carried out during the period have created new opportunities for the activation of innovation activities. At the same time, new problems have arisen related to the application of the market mechanism of regulation of the economic-economic system as a whole, as well as the sphere of innovation. In addition to continuing reforms in the field of ownership and organizational-economic relations, these are issues related to the development of appropriate development strategies in order to evaluate and improve the efficiency of innovation activity in the socio-economic economic system [5]. In order to determine the efficiency of innovative production, la- bor productivity, fund yield, profitability, payback, etc. indicators can be used. With their help, various options for organizing innovative produc- tion and solving its structural problems are compared. Evaluating the efficiency of social issues and management of innovation structures requires the use of specific qualitative indicators of the development of each of those spheres. For each sphere, it is important to have specific eligibility criteria for the costs of structures and performance results. As a whole, the efficiency of innovation structures is the sum of the effi- ciency of its operating objects. The efficiency of each object is charac- terized by the ability to spend less on the production of products and ser- vices. It is the ability to produce the maximum amount of a suitable quality product with minimum cost and to sell this product with minimum cost. The economic efficiency of innovation structures also depends on the conformity of its product to the requirements of the market and con- sumers. Since innovation structures are special innovation infrastructure subjects, their creation and evaluation of the degree of efficiency of their activity cannot be based only on the principles of commercial results. Thus, their activity implies the establishment of completely new relations between workers, investors and buyers of scientific and technical pro- ducts. Therefore, taking into account the characteristics of its place, role and purpose in the socio-economic system directly serves as the main basis for evaluating the degree of efficiency of the relevant activity. Formation of favorable environment and conditions for successful operation of innovation structures it is appropriate to offer him a complex of various types of privileges in the first years of his activity. The effec- tiveness of the activity of such structures of an innovative nature depends 202 on a number of factors, which manifest themselves mostly in the socio- psychological field. This is very difficult to measure. Thus, those factors are related to the formation of a certain innovative mood in the society, to the efforts made towards the specialization of labor and living stand- ards, to the formation of positive emotions and ideas towards the future in a certain part of the population. One of the factors affecting the eco- nomic efficiency of innovation structures is their patent activity [6]. Compared to outsiders, embedded firms are typically charac- terized by a higher rate of patent activity. The patent activity of these companies increases the economic efficiency of innovative structures. The presence of a patent is a guarantee of the ability of these or other firms to release new products. The economic effectiveness of innovation structures is determined not only by their scientific production activity, but also by patent licensing, consulting, advertising, marketing, etc. re- lated to the activity. One of the main sources of income for many foreign and domestic structures is the sale of their property, buildings, land, equipment to companies, is to be leased. In addition to these, it can be noted that the socio-economic effect of the activity of innovation struc- tures can be formed due to the following constituent elements: creation of skilled jobs; tax payments and local payments; attraction of investments in the fields of science and entrepreneur- ship; development of additional contractual mechanism; technology export etc. [7]. The result Currently, the national research and development, innovation strategy plan, as well as the official national innovation policy are being formed in Azerbaijan. "Innovation policy" is widely discussed in gov- ernment bodies, and for this purpose, various government organizations are involved in the innovation process. Over the past ten years, innova- tion issues have been included in numerous State Programs. Since each of these programs has its own goals and objectives, some of the goals can be considered government innovation policy goals. At the modern stage of economic development, enterprises have a strong influence on the ge- ography of creation and production of innovations by controlling the main components necessary for the implementation of innovation pro- jects – venture capital, highly qualified personnel, new ideas and re- search. Thus, the innovation policy of enterprises plays an important role in increasing the competitiveness of countries by influencing their posi- tion (leadership or decline) in this process. 203 References 1. "On innovation activity" draft law was prepared. Retrieved from https://azertag.az/xeber. 2. "On the approval of strategic road maps for the national economy and the main sectors of the economy". Decree of the President of the Republic of Azerbaijan. Retrieved from http://www.e-ganun.az/framework/34254. 3. Atakishiyev , M., Suleymanov, G. (2004). Innovation management. Baku. 4. Guliyev, T. A. (2001). Basics of management. Baku. 5. Gasimov, F. H., Najafov, Z. M. (2009). Innovations: emergence, diffusion and development prospects. Baku, Science. 6. Innovation & technology transfer. (2000). Special edition. European Commission publication. 7. Geroski, P. A. (1990). Innovation, Technological Opportunities and Market Structure. Oxford Economic Papers, 42, рр. 582-602. DOI: https://doi.org/10.1093/oxfordjournals.oep.a041965. 8. Harris, R. I. D. and Trainor, M. (1995). Innovation and R&D in Northern Ireland Manufacturing: A Schumpeterian Approach. Regional Studies, 29, рр. 593-604. DOI: https://doi.org/10.1080/00343409512331349213. 9. AZERTAC. Latest News. Retrieved from https://azertag.az/xeber. 10. Retrieved from http://www.e-ganun.az/framework/34254. Надійшла до редакції 28.11.2022 р.
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spelling Hasanova, S.
2023-07-11T16:58:58Z
2023-07-11T16:58:58Z
2022
Stimulation of Innovation Activities in Service Areas / S. Hasanova // Управління економікою: теорія та практика: Зб. наук. пр. — К: ІЕП НАНУ, 2022. — С. 198-203. — Бібліогр.: 10 назв. — англ.
2221-1187
DOI: 10.37405/2221-1187.2022.198-203
https://nasplib.isofts.kiev.ua/handle/123456789/192152
First of all, I would like to note that the realization of huge opportunities in the service sector makes them an important and intensively growing sector of the economy in the current conditions of agriculture. Representing an extremely important element and driving force of the world economic system, increasing opportunities for structuring social and economic development, the service sphere has become one of the strongest developing sectors of the economy, and currently contributes significantly to the creation of the country's GDP and the income of the population. Increasing its role in the local economy is a necessary priority of national development, a factor of maintaining the political and economic stability of the state in market conditions. A significant part of the service area is tourism, which is considered one of the largest, highly profitable and extremely dynamic sectors of the economy. Acting as an important factor of sustainable development and a business area against the background of globalization and activation of integration processes, tourism activity is formed by a set of numerous complex problematic reasons and management mechanisms and undergoes transformation in interaction. Keywords: stimulation, innovation activities, service areas, mechanisms, transformation, interaction. Lukianov A.I. Application of Integrated Logistics in Foreign Economic Business Processes of Enterprises of the Processing Industry. – Р. 163. The article deals with the problems of efficient management of modern business processes, which require system optimization of interconnected circuits: the process of supply, production process, sales of products, and others. Presented modern concepts of business process management in the processing industry. The information concept of logistics is to formulate the general problem of managing material flows within an industry or a separate business process. The marketing concept of logistics focuses on the organization of the logistics process in the field of distribution and distribution of products. The concept of integrated logistics is to use in the management of a system tool to regulate material flows to achieve business goals.
Перш за все, хотілося б відзначити, що реалізація величезних можливостей сфери послуг робить їх важливою та інтенсивно зростаючою сферою економіки в сучасних умовах сільського господарства. Будучи надзвичайно важливим елементом і рушійною силою світової економічної системи, збільшуючи можливості для структурування соціально-економічного розвитку, сфера послуг стала одним із найсильніших секторів економіки, що розвиваються, і на сьогодні робить значний внесок у створення ВВП країни та доходи населення. Підвищення її ролі в місцевій економіці є необхідним пріоритетом національного розвитку, фактором збереження політичної та економічної стабільності держави в ринкових умовах. Значну частину сфери обслуговування займає туризм, який вважається однією з найбільших, високоприбуткових і надзвичайно динамічних галузей економіки. Виступаючи важливим чинником сталого розвитку та бізнес-сферою на тлі глобалізації та активізації інтеграційних процесів, туристична діяльність формується комплексом численних складних проблемних причин і механізмів управління та зазнає трансформації у взаємодії.
en
Інститут економіки промисловості НАН України
Управління економікою: теорія та практика
Stimulation of Innovation Activities in Service Areas
Стимулювання інноваційної діяльності в сферах обслуговування
Article
published earlier
spellingShingle Stimulation of Innovation Activities in Service Areas
Hasanova, S.
title Stimulation of Innovation Activities in Service Areas
title_alt Стимулювання інноваційної діяльності в сферах обслуговування
title_full Stimulation of Innovation Activities in Service Areas
title_fullStr Stimulation of Innovation Activities in Service Areas
title_full_unstemmed Stimulation of Innovation Activities in Service Areas
title_short Stimulation of Innovation Activities in Service Areas
title_sort stimulation of innovation activities in service areas
url https://nasplib.isofts.kiev.ua/handle/123456789/192152
work_keys_str_mv AT hasanovas stimulationofinnovationactivitiesinserviceareas
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