Competitive advantages of the IT sector of Ukraine
DOI:
https://doi.org/10.31617/3.2023(126)04Keywords:
IT sector, IT export, compe¬ti¬tiveness, competitive advantages.Abstract
Introduction. The application of achievements in the field of information technologies in the business model of companies from the United States, Great Britain, and Western European countries qualitatively and quantitatively improves the indicators of entrepreneurial activity. However, the provision of IT personnel in these countries is significantly less than the rising demand of the economic sectors for such specialists, forcing businesses to search for qualified IT personnel abroad.
Problem. In view of the export orientation of domestic IT sector and increasing demand for IT specialists from Eastern European countries by businesses in the United States, the United Kingdom, and Western European countries, it is essential to conduct a thorough comparative analysis of the Ukrainian IT sector and the major IT exporters in the region with the determination of factors influencing competitiveness in order to strengthen the competitive position of the IT sector of Ukraine.
The aim of the article is to identify the factors influencing the formation of competitive advantages of Ukraine’s IT sector among other countries of the region, the place and prospects of the functioning of the domestic IT sector.
Methods are general scientific and special methods.
Results. The dynamics of the positions of Ukraine’s IT sector in the export of Eastern European countries during 2014-2021 were considered, the factors influencing the competitiveness of the IT sector of Ukraine among the countries of Eastern Europe were identified and investigated, the main problems that inhibit the development of Ukraine’s IT sector were identified.
Conclusions. The key competitive advantages of Ukraine’s IT sector are the significant human potential and the speed of its replenishment, the cost of access to the Internet, and the services of IT specialists as well as their professional experience and motivation. The main factors inhibiting the development of the IT sector of Ukraine are macroeconomic and political uncertainty, which has a considerable impact on investment attractiveness and the migration of highly qualified specialists.
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