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World of scientific research. Issue 30

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DIGITALIZATION OF THE ECONOMY: WAY OF DIGITALIZATION, ADVANTAGES, DISADVANTAGES

 
17.02.2023 19:59
Author: Darya Oleksandrivna Markova, student of the Faculty of International Trade and Law, State University of Trade and Economics
[1. Economic sciences;]

At the moment, namely February 12, 2023, Ukraine is one of the digital states on the European continent. To achieve such progress, the country had to go through a very difficult and long way, which will be written later.

The first and strongest test is the 2020 COVID-19 pandemic. The rapid spread of the virus around the world led to the reduction and closure of tourist routes, restrictions on the movement of the population not only within the country, but also in cities due to the introduction of quarantine. Such measures from the government became the reasons for the decline of some economic sectors and the development of others.

For example, entertainment (cinemas, theaters, entertainment complexes, etc.), trade (shopping centers, markets, trade with other countries, etc.), hotel and restaurant, manufacturing and other industries found themselves in a very difficult economic situation, closing small and most medium-sized businesses. On the other hand, the demand for products and services of such industries as pharmaceuticals (masks, medicines, vaccines, etc.), game industry (sales of game products increased), design (development of designs and models of interior, environment, game locations and characters, etc.), technological (computers and their components, etc.) led to their development. This helped to maintain and restore the functioning of the Ukrainian economy.

Subsequently, accelerated global digitization of most industries took place, which accelerated the recovery of Ukraine's economy after the sharp wave of the pandemic.

The second test, which changed the entire civilized world, is the armed aggression of the russian federation. In the first months of the full-scale invasion, experience during the quarantine helped to avoid the closure of a large number of businesses and organizations, except for those under occupation, as they were able to reorient themselves to remote work. Unfortunately, the damage to Ukraine's energy system and the seizure of ZAP (Zaporizhka Nuclear Power Plant) highlighted the downsides of digitalization. The lack of sufficient energy capacity led to periodic power outages, communication and Internet problems, which made remote work difficult and even impossible.

To adapt to the new realities, foreign partners began to buy and transfer power generators, which made it possible to stabilize the economy of Ukraine, and step by step, businesses began to resume work in conditions of blackouts.

The development of joint projects with developed countries in the field of economy and IT technologies will help Ukraine make a morable impression on economic partners, which will lead to an increase in economic offers and interaction with foreign partners. Having overcome obstacles, Ukraine will be able to reach the top in the field of IT technologies and achieve recognition by the countries of the EU (European Union) and the USA (United States of America).

_________________


Scientific supervisor: Oksana Oleksandrivna Khmyl, State University of Trade and Economics




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