WSEAS Transactions on Business and Economics
Print ISSN: 1109-9526, E-ISSN: 2224-2899
Volume 21, 2024
Innovation and Investment Potential of the Digital Entrepreneurship Support Mechanism under the Conditions of Institutional and Structural Changes
Authors: , , , ,
Abstract: The purpose of scientific research is to presentation of the features of investment processes and directions of investment in the conditions of institutional transformation of the national economy as a foundation on which the development of digital entrepreneurship and innovations that change business in the direction of its digitization and virtual mobility are built. The object of scientific research is the process of innovation and investment support for the development of digital entrepreneurship in the conditions of institutional transformation and systemic modernization of business in various sectors of the economy, which can be implemented due to the new quality of functioning of the organizational and economic mechanism of support for entrepreneurship in terms of its digitalization and informatization. Tools contributing to the development of digital entrepreneurship are presented; the author’s vision of the content of the work of the organizational and economic mechanism for supporting business processes of enterprises that are at the stage of digital transformation and system modernization is provided. The dependence of the interest rate and the volume of investments in digital entrepreneurship is graphically presented and revealed with arguments. The practical significance of the research results is that the main postulates of the mechanism of practical support of digital entrepreneurship are explained in an argumentative manner. The factors that depend on the quality of support for the digital entrepreneurship of a virtual business are presented. Features of digital initiatives taking place in the economic system are indicated. The value of the presented research is that it is proposed to include the following regulators in the organizational-economic mechanism of support for digital entrepreneurship: fiscal, political-legal, organizational-technological, financial-economic, and institutional. Pursuing the goal of attracting investments into the economy of Ukraine as soon as possible, it is proposed to implement the mechanism of accelerating digitalization and informatization of entrepreneurship within the framework of the work of the ‘institutional-structural changes – investment potential – innovative and digital development’. The author’s vision of the content of the practical work of the mechanism for supporting digital entrepreneurship is presented and thoroughly disclosed through the use of functions (encouragement, prohibition, support, restriction, inducement, coercion) and tools (‘tax holiday’, preferences for digital business, tax benefits, subsidies, subventions, investment incentives).
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Keywords: organizational and economic support mechanism, digital entrepreneurship, investment potential, institutional transformations, innovative development, capital investment, interest rate, industry
Pages: 2626-2639
DOI: 10.37394/23207.2024.21.215