SHIPBUILDING OF SOUTHERN UKRAINE: FROM STATE MONOPOLY TO CLUSTER INTEGRATION

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Published: Nov 15, 2024

  Volodymyr Parsyak

  Оlena Zhukova

Abstract

The purpose of this article is to determine the prospects of Ukrainian shipbuilding, based on a review of its historical development. Methodology. In this study, the authors used a mix of methods for collecting, systematising and processing information. Primary data was collected through a review of thematic publications and research conducted by predecessors. Retrospective analysis was used to identify trends in the historical development of the shipbuilding sector of the domestic economy. Statistical analysis was used to determine its current state and foreseeable future. Results. Since Porter's introduction of the cluster theory, the Ukrainian shipbuilding business has failed to take advantage of the benefits it has offered. It has been reckless in building cluster potential as a tool for local economic development and community (hromada) management. While most shipbuilding and related enterprises are concentrated in the areas limited by the administrative boundaries of the country's Black Sea regions. Pessimists insist that the chances of success have been lost completely and irrevocably. The authors, on the other hand, based on a generalisation of current practice, observe the Phoenix effect. The authors illustrate it empirically. In particular, on the example of the Ukrainian Maritime Cluster (UMC). Practical implications. The first part of the article explores the former power of Ukrainian shipyards. The second part discusses the constructive initiatives of the modern shipbuilding business. The third part highlights the initiative to create the UMC. Value / Originality. This paper adds to the existing understanding and provides empirical evidence of the strong and untapped potential of the country's shipbuilding cluster. It also focuses on its attractiveness for cooperation with foreign investors after the onset of peace. The originality of this study lies in the holistic study of shipbuilding practice in the context of development. The authors are optimistic despite the war and the tragic consequences that accompany it.

How to Cite

Parsyak, V., & ZhukovaО. (2024). SHIPBUILDING OF SOUTHERN UKRAINE: FROM STATE MONOPOLY TO CLUSTER INTEGRATION. Three Seas Economic Journal, 5(3), 51-60. https://doi.org/10.30525/2661-5150/2024-3-7
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Keywords

shipbuilding, ship repair, ship engineering, cluster, maritime cluster, small and medium business, Ukraine

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