ANALYSIS OF INNOVATIVE ACTIVITIES OF SMALL AND MEDIUM-SIZED ENTERPRISES AS FUNDAMENTALS OF THEIR SUSTAINABLE ECONOMIC DEVELOPMENT

Abstract

This article seeks to address the pressing issue of developing the innovative activity of the domestic economy
through the use of the potential of small and medium-sized enterprises, which has to do with the possibility
of application of existing experience of the more developed foreign countries in order to achieve economic
success. The purpose of this study is to examine the trends in the development of innovative activity of small and
medium-sized enterprises in Ukraine, as well as to determine the distribution of the total amount of expenditures
by areas of innovation. Analysis of the literature on this issue has shown that the economic development
of a country depends on many factors, and the use of intellectual potential is quite a significant factor in modern
society. The relevance of this issue is supported by the fact that the majority of developed countries that have
high levels of national income and are distinguished by the quality of life of the population are introducing the
latest innovative inventions and using them appropriately in: production, agriculture, trade and other fields
of activity. The research of the development of innovation activity of small and medium-sized enterprises in the
article is carried out in the following logical sequence: analysis of small and medium-sized enterprises in Ukraine,
analysis of small and medium-sized enterprises of EU countries, evaluation and comparison of innovation activity
of Ukraine and EU countries. The methodical tools of the study included methods of statistical analysis. The study
period was 2010-2018. The object of analysis is the process of development of innovation activity of small and
medium-sized enterprises, as they are the majority of enterprises in Ukraine. The article presents the results
of the analysis of the state of innovation the activity of small and medium-sized enterprises, which showed that
our country needs significant transformation in this direction. Studies show that increasing the turnover and the
production of small and medium-sized enterprises depends on the level of innovative development. The results
of the study may be useful for small and medium-sized enterprises.