ANALYSIS OF SPECIALISATION FACTORS AND MODELING OF SMART DEVELOPMENT PROSPECTS FOR REGIONS OF UKRAINE

Abstract

The modern world is characterised by a multitude of trends that exert a significant influence on the necessity for the development of regions according to the principles of smart specialisation. This approach is predicated on the notion that it will engender cost reductions and concomitant benefits. The significance of this study lies in its identification of the most suitable tool for modelling the prospects for smart development of regions of Ukraine. The present study constitutes an analytical investigation into extant forms of smart specialisation. In addition, it identifies the factors that influence the formation of regional specialisation. These factors will serve as the basis for the selection of the optimal model of regional smart development for each individual region in the future. A study was conducted to identify the factors influencing the smart development of regions. In addition, the principles of smart specialisation of regions were studied, with consideration given to global experience. Following a thorough analysis of the available information sources, the following types of smart specialisation were determined: raw material, agricultural, industrial, infrastructure, financial, cultural and tourist, and universal. The primary factor influencing the specialisation of smart development of regions is the proximity to military threats (to regions where active hostilities are ongoing). In the context of examining the factors that contribute to the development of smart cities, a range of factors have been identified as being of significance. These include natural resources, agricultural potential, the presence of an industrial base, the quality of human capital, the presence of educational infrastructure, logistical accessibility, digital infrastructure, export orientation, innovation and investment climate, and cultural and tourism potential. Each of the factors is assessed in the context of the economic effect, which is defined as the costs and revenues. When modelling, it is imperative that these factors are given due consideration. Furthermore, when modelling smart specialisation of regions, it is necessary to take the following principles into account: focus on innovations, partnership between science and business, involvement of local governments, use of advanced technologies. The transition to smart development of regions is clearly indicated by world experience, and the feasibility of modelling the development prospects of regions of Ukraine is therefore justified. The author proposes a model for the smart development of regions of Ukraine, which is to be implemented using the following tools: economic and mathematical modelling, system-dynamic modelling, SWOT-TAI modelling and geoinformation modelling. For each of the proposed models, examples are given of the feasibility of application, indicating specific regions, methods and scenarios. It has been determined that the implementation of particular modelling tools should be informed by considerations of human potential, resource base and expertise of employees.