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The Cascade-Circular Model of Innovative Transformation of Regional Economic Complexes: Fundamental Principles, Priorities, the Wartime and Post-War Challenges
Vakhovych I. M., Matrunchyk D. M., Nedopad H. V.

Vakhovych, Iryna M., Matrunchyk, Dmytro M., and Nedopad, Hryhorii V. (2023) “The Cascade-Circular Model of Innovative Transformation of Regional Economic Complexes: Fundamental Principles, Priorities, the Wartime and Post-War Challenges.” Business Inform 8:65–72.
https://doi.org/10.32983/2222-4459-2023-8-65-72

Section: Regional Economy

UDC 33.332.338

Abstract:
It is substantiated that the cascade-circular model of innovative transformation of regional economic complexes should be based on a combination of the cascade principle of attracting material resources in the reproduction process and the principle of maximizing closed cycles in product chains. It is determined that the cascade principle is a sequential transition from one phase of production to another, based on the priority of formation of value chains and features of extracting the resource value of primary and secondary raw materials; the principle of maximizing closed cycles in product chains is a principle that provides for the minimization of unit costs and losses of the material substance of raw materials on the basis of the integrated use of primary raw materials through the use of waste-free and low-waste technologies and the most complete utilization of secondary raw materials in order to maximize the value added in food chains. It is identified that the key point in the formation of the cascade-circular model of innovative transformation of regional economic complexes is the formation of the structure-establishing innovation core (a complex of types of production and economic activity with appropriate supporting subsystems), which will be differentiated in the context of economic regions of Ukraine, based on: the existing production and technical base of material production; the level of infrastructural arrangement; available and projected reserves of natural raw materials; scientific and scientific-technical potential; opportunities for establishing inter-regional cooperative relations; participation of the region in the national division of labor and in ensuring national security. It is substantiated that the cascade-circular model of innovative transformation of the economy of the regions of Ukraine should be aimed at more effective use of secondary material resources in the reproduction process and at increasing the assimilation potential as a basic prerequisite for the transition to the rails of low-carbon development.

Keywords: circular-cascade model, innovative transformation, regional economic complex, resource conservation, carbon neutrality, secondary raw materials.

Fig.: 1. Bibl.: 10.

Vakhovych Iryna M. – Doctor of Sciences (Economics), Professor, Rector, Lutsk National Technical University (75 Lvіvska Str., Lutsk, Volyn region, 43018, Ukraine)
Email: [email protected]
Matrunchyk Dmytro M. – Candidate of Sciences (Engineering), Candidate on Doctor Degree, Department of Finance, Banking and Insurance, Lutsk National Technical University (75 Lvіvska Str., Lutsk, Volyn region, 43018, Ukraine)
Email: [email protected]
Nedopad Hryhorii V. – PhD, Associate Professor, Department of Finance, Banking and Insurance, Lutsk National Technical University (75 Lvіvska Str., Lutsk, Volyn region, 43018, Ukraine)
Email: [email protected]

List of references in article

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Hrynyov, V. B., Bubenko, P. T., and Husiev, V. A. “Problemy formuvannia innovatsiinoi systemy v Ukraini“ [Problems of Forming an Innovation System in Ukraine]. Ekonomika i prohnozuvannia. 2004. http://eip.org.ua/docs/EP_04_3_127
Mykytenko, V. V., and Demeshok, O. O. “Kaskadni formy orhanizatsii vyrobnycho-hospodarskoi vzaiemodii: metodolohichni osnovy upravlinnia zabezpechenniam rezultatyvnosti funktsionuvannia“ [Cascading Forms of Organization of Production and Economic Interaction: Methodological Foundations of Management Ensuring Efficiency in the Functioning]. Ekonomika pryrodokorystuvannia i okhorony dovkillia. 2015. http://dspace.nbuv.gov.ua/bitstream/handle/123456789/163498/22-Mykytenko.pdf?sequence=1
Nyzhnyk, O. M. “Suchasni problemy sotsialno-ekonomichnoho rozvytku rehioniv Ukrainy“ [Modern Problems of Socio-economic Development of the Regions of Ukraine]. Stratehiia ekonomichnoho rozvytku Ukrainy, no. 7 (2001): 577-589.
Pikulyk, O. B. “Rehionalna innovatsiina polityka yak faktor rozvytku produktyvnykh syl krain YeS“ [Regional Innovation Policy as a Factor in the Development of Productive Forces of the EU]. Efektyvna ekonomika. 2018. http://www.economy.nayka.com.ua/pdf/9_2018/35.pdf
Chukhrai, N. I. “Mekhanizmy innovatsiinykh peretvoren v krainakh YeS ta mozhlyvosti yikh transformatsii v ekonomiku Ukrainy“ [Mechanisms of Innovative Transformations in the EU Countries and the Possibilities of Their Transformation Into the Economy of Ukraine]. Ekonomika i prohnozuvannia. 2003. http://eip.org.ua/docs/EP_03_1_23_uk.pdf
Shvets, A. I. “Tsyrkuliarna ekonomika yak nova model rozvytku ekonomiky Ukrainy v protsesi yevrointehratsii“ [Circular Economy as a New Model of Ukrainian Economy Development in the European Integration Process]. Ekonomichnyi visnyk, no. 1 (2022): 43-49. DOI: https://doi.org/10.33271/ebdut/77.043
Shkurenko, O. V. “Tsyrkuliarna ekonomika yak peredumova formuvannia innovatsiinykh platform staloho rozvytku subiektiv pidpryiemnytskoi diialnosti“ [Circular Economy as a Prerequisite for the Formation of Innovative Platforms in the Sustainable Development of Entrepreneurs]. Biznes Inform, no. 4 (2021): 323-330. DOI: https://doi.org/10.32983/2222-4459-2021-4-323-330
Yarema, T. V. “Rehionalna innovatsiina systema YeS“ [EU Regional Innovation System]. Naukovyi visnyk Uzhhorodskoho natsionalnoho universytetu. Seriia «Mizhnarodni ekonomichni vidnosyny ta svitove hospodarstvo», no. 42 (2022): 150-154. DOI: https://doi.org/10.32782/2413-9971/2022-42-26

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