FACTORS AFFECTING THE DEVELOPMENT OF ECONOMIC ENTITIES FOR THE ECONOMY OF THE CROSS-BORDER REGIONS OF UKRAINE IN GLOBAL VALUE CHAINS

Abstract

The importance of development of economic entities for the economy of the border regions of Ukraine is defined. It makes the most of the potential of cooperation to accelerate the socio-economic development of the region. The development of economic entities in the border regions of Ukraine is a complex, long-term process, the success of which is largely determined by the sequence of actions of the central and regional authorities of Ukraine and coordination with neighboring territories of neighboring countries. Therefore, their development depends on many factors of influence.

Internal factors include: the legal field; the level of economic development of the region; the level of infrastructure development of the region; demographic characteristics of the region; the level of investment, criminogenic and other risks.

The factors of influence on the attitude to the development of business entities are: staffing factor: unemployment, working conditions, availability and adequacy of skilled workers; a stable legal framework; stable economic conditions under which it is carried out: realization of development of economic entities, management of economy, which determines its quality and economic efficiency; stable advertising and information conditions.

Therefore, the development of economic entities in the region is formed by these two characteristic features. At the same time, it is interdependent in the relations «subject of economic activity - investor - region - state». Accordingly, each of the regions has the potential, its features, development opportunities.

It should be noted that the factors affecting the development of business entities need to be constantly monitored, data collection updated and information analyzed.

It is extremely important to study the influence of factors on increasing the development of economic entities for the economy of the region using the regression­correlation method, the essence of which is to analyze the statistics to identify the mathematical relationship between the input variables and the output indicators, which most fully reflect the density of influence to enhance the development of economic entities by means of a correlation coefficient.

In addition to the calculated values of the pair correlation coefficients (kcor) and the coefficient of determination (dter) of the relationships between the set parameters of the regression model parameters, their significance was verified by the Student's t-distribution, Fisher's F-statistics, Darbin-Watson (DWe) and coefficients (DW) correlation (Rsquare).

The pair of indicators that influence the economic development of the region's economy by using the regression-correlation method are analyzed. Applied recommendations for building a series of regression models of corresponding dependencies are considered, which testify to the adequacy of expression of the main processes and trends, high dependence between the selected factors and the result indicators, which are quite capable of influencing the development of the entities of the border region in general.