Baltic Journal of Economic Studies  

231

Vol. 7 No. 4, 2021 

Corresponding author:
1 National Technical University of Ukraine «Igor Sikorsky Kyiv Polytechnic Institute», Ukraine.
E-mail: alsu@i.ua
ORCID: https://orcid.org/0000-0002-8623-4507
ResearcherID: https://publons.com/researcher/2933513/alla-dunska/
2 National Technical University of Ukraine «Igor Sikorsky Kyiv Polytechnic Institute», Ukraine.
E-mail: boyarinovaea@ukr.net 
ORCID: https://orcid.org/0000-0001-5879-2213
3 National Technical University of Ukraine «Igor Sikorsky Kyiv Polytechnic Institute», Ukraine.
E-mail: marina.kravchenko.kpi@gmail.com 
ORCID: http://orcid.org/0000-0001-5405-0159

DOI: https://doi.org/10.30525/2256-0742/2021-7-4-231-242

SCIENTIFIC APPROACH TO DETERMINING THE VECTORS  
OF INNOVATIVE DEVELOPMENT OF INDUSTRIAL ENTERPRISES

Alla Dunska1, Kateryna Boiarynova2, Maryna Kravchenko3

Abstract. The purpose of the paper is to form a scientific and methodological approach to determining the vectors 
of innovative development of industrial enterprises as a tool for establishing the trajectory of innovation in terms of 
development of innovation potential and environmental impact. Correlation analysis of these factors as indicators 
of external (external environment of the enterprise) and internal (innovative potential) environment based on the 
nature and direction of influences allows to establish the vector of development, and the construction of a forecast 
model of economic results confirms its correctness. Methodology. The research used its own methodological 
developments, correlation analysis, formed the parameters of the external environment, innovation potential, 
the results of enterprises. The approach was tested at the enterprises of the pulp and paper industry of Ukraine, 
which proved its effectiveness and efficiency. Results. The ideology of the proposed approach on the combination 
of organizational and managerial aspects of innovative development with economic indicators is formed and 
substantiated. The types of target innovation orientation of the enterprise, which is formed into a bipolar matrix, 
are determined. Based on the corresponding trajectory of the transition between the components of the matrix, 
three key vectors of development are formed: innovation-adaptive, innovation-balanced, innovation-concentrated. 
Practical implications. On the example of enterprises of the pulp and paper industry their vectors of development, 
forecast indicators of profit and sales revenues as an economic effect of following the vector direction and the 
trajectory of innovation are designed. Value/originality. The developed scientific and methodological approach 
involves the establishment of the vector of innovative development of the enterprise on the interdependence of 
innovation potential and the nature of the impact of the external environment, which provides an opportunity to 
predict the results of its operation. 

Key words: innovative development, vectors, industrial enterprise, methodical approach.

JEL Classification: O32, M11, L65.

1. Introduction
The slowdown in economic growth of processing 

industries of the national economy, due to changes 
in the foreign economic vector of the country, the 
transformation of the nature and growth of competitive 
and economic relations, the need to revise innovation 
policy, is critical to ensure the efficiency of innovation 
of industrial enterprises. The implementation of 
progressive changes requires the systematic use of 
knowledge, the latest technologies, intangible assets, 
which determines innovation by the primary activators 
of the development of such enterprises. This stimulates 

them to reconsider the principles of development 
management, especially in the context of paradigmatic 
changes in management theory in the direction of 
using innovative approaches, opportunities and  
mechanisms, rethinking classical development theories 
and forming a new methodological basis on the basis of 
modern concepts.

The problems of innovative development of 
enterprises today are considered through the prism of 
two main theories: the theory of development, which is 
based on the integrity of the enterprise as an economic 
system and focuses on the transformation of the  
system as a whole, and systems theory, which takes into 



Baltic Journal of Economic Studies  

232

Vol. 7 No. 4, 2021
account structural features, processes that ensure the 
functioning of the enterprise as an economic system 
aimed at achieving the goal in the external environment, 
which is also determined by a certain structure and 
features.

The scientific basis of the theory of development  
and, in particular, the theory of innovative develop-
ment is laid in the works of many domestic and 
foreign scientists, including M. Kondratieff (long  
wave theory) (Kondratieff, 2003), J. D. Bernal, 
G. Mensha (technological stalemate), A. Kleiknecht, 
S. Kuznets, B. Twiss, С. Freeman, J. Clark, L. Soete 
(Freeman, Clark, Soete, 1982), N. Nelson (the concept 
of the national innovation system), L. Leidesdorf 
(triple helix theory). In this direction it should be 
noted the works of J. Schumpeter (theory of economic 
development) (Schumpete, 1934), P. Drucker (theory 
of innovative economics of entrepreneurial type) 
(Drucker, 1993), who explored the entrepreneurial 
approach to development as an activator of innovation 
processes; discrete development on an innovative basis 
over time; the primacy of innovation compared to 
other activators of development, which form not only 
innovation but also business potential and develop 
new forms of business. Yu. Yakovets, S. Glazyeva 
(Yakovets, 2004; Glazyev, 2012), which identified the 
factors of innovative development of the enterprise 
within the fifth, sixth or seventh technological modes 
and innovation capacity of each of the factors of 
economic development. Acquisition of competitive 
advantages of development on the basis of innovations, 
formation of a policy of protection of large enterprises 
from competition of subversive innovations were 
devoted to works of M. Porter (theory of competitive 
advantages) (Porter, 1980), K. Christensen (concept 
of "subversive" innovations) (Christensen, 1997). 
Among the scientists developing the latest theories 
of innovative development are F. Jansen, F. Hayek 
(theory of intellectual technology) ( Jansen, 2000; 
Hayek, 2001), G. Itzkowitz (triple helix theory) 
(Itskowitz, 2010), H. Chesbrough (the concept of open  
innovation) (Chesbrough, 2003; 2006), P. Gloor  
(model of innovation collaboration networks) (Gloor, 
2006 ), V. Hwang, G. Horowitt (concept "Tropical  
Forest of Innovations") (Hwang, Horowitt, 2012), 
which defined a set of patterns of innovative 
development: cyclical acquisition of innovative 
experience, the need for economic relations to 
accumulate intellectual potential and use it as a resource 
for innovative development; implementation of 
innovative development in the ecosystem at parity of 
economic interests of the enterprise with the subjects 
of interaction; use of the model of open innovations 
for formation of policy of economic behavior; 
creating innovations in the process of collaborative 
relationships with stakeholders. The scientific works of 
I. Ansoff, M. Zgurovsky (Zgurovsky, 2003), G. Kleiner 

(Kleiner, 2012), J. Kornai (Kornai, 2002), G. Milner, 
M. Kravchenko (Kravchenko, 2017) are devoted  
to the problems of the system approach. and others.

Paying tribute to the significant contribution of  
these scientists, it should be noted that Ukrainian 
industry has a number of features, including lack 
of capital resources, obsolescence of technical and 
technological base, deformed management structure, 
which complicate, and sometimes impossible, the 
use of classical theories of enterprise development. 
approach to the transformation of economic systems. 
This necessitates a revision of the theoretical and 
methodological basis, which should be used in the 
management of industrial enterprises, based on the 
ontological connection of development theory and 
systems theory. This determines the objective need 
to form a scientific and methodological approach to 
determining the vectors of innovative development 
of industrial enterprises as a tool for establishing 
the trajectory of innovation in the development of 
innovation potential and environmental impact.

2. Organizational and managerial approach  
to ensuring innovative development

Ensuring the development of industrial enterprises 
should be based on the definition of a certain  
trajectory. At the same time, the formation of such 
a trajectory should take into account the external 
influences on the enterprise, the level of development 
of innovation potential, targets and orientation  
of the enterprise, which is set out in detail by the 
author in the works (Gavrysh, Dunska, Zhygalkevich, 
Kravchenko, 2019). In addition, the regulation  
of the trajectory in accordance with the targets of 
development should be based on the use of the results 
of systematic economic and managerial diagnostics,  
in the existing conditions, which allows to establish 
their inconsistency with the target level for  
management decisions to eliminate negative trends 
(Boiarynova, Kopishynska, Hryhorska, 2019; Gavrysh, 
Boiarynova, 2017).

The development of an industrial enterprise can 
be conditionally represented as the transition of the 
production and commercial system from one state 
to another, and the new state should have more 
progressive, qualitative and quantitative characteristics  
(Figure 1). The incentive to initiate the process of 
qualitative changes in the system and its transition to 
a new state are management decisions that are made 
at the industrial enterprise, and take into account the 
disturbances that occur in the external environment of 
enterprises.

To ensure the effective innovative development of an 
industrial enterprise, it is important to determine the 
conditions under which the system of goal-setting of 
the enterprise is formed: the economy is in a declining 



Baltic Journal of Economic Studies  

233

Vol. 7 No. 4, 2021 
or growing wave of market conditions. Trends in 
the external environment determine the nature of 
innovative development of an individual enterprise, 
in particular in terms of determining the predominant 
type of innovation that forms the basis of innovative 
development of the enterprise.

With this in mind in industrial enterprises under 
different environmental conditions, given the type of 
innovation that prevails, it is advisable to determine 
the set of organizational and functional subsystems  
that play a key role in innovation transformations – 
let's call it "enhanced action unit". This unit covers the 
functional units of the industrial enterprise, which  
are the main generators and consumers of innovation.

Thus, during the downturn of the economy, it is 
advisable for industrial enterprises to focus on active 
innovation on the basis of technical and technological, 
production innovations, which should result in new 
products, technologies, technical and technological 
solutions (Figure 2). At the peak of the economic 
situation on the growing wave of enterprises will try 
to maintain their position, and therefore they need 
to focus more on organizational and managerial and 
marketing innovations, which result in new approaches 
to managing the company or its departments, new 
methods of organization works, marketing innovations, 
market innovations, etc. (Figure 3).

At the same time, the role of processes that ensure 
consistency and implementation of innovative 
development is changing. In the declining wave, 
innovation development occurs through diagnostic and 
interaction processes, as technical and technological 
innovations involve a sufficiently high level of 
innovation potential of the enterprise, conducting 
its own research or attracting external sources of  

innovative ideas, effective implementation of which 
depends on relationships between functional units.

From the given figures it is possible to draw a  
conclusion that at different stages of economic 
development it is expedient for the industrial  
enterprises to concentrate the efforts on various 
functional subsystems in structure of organizational 
maintenance of innovative development.

3. Types of targeted innovation orientation  
of the enterprise

Effective management of functional subsystems is 
carried out under the conditions of clear definition of 
the purposes which the enterprise aspires to reach, that 
is for maintenance of development at the enterprise  
its target innovative orientation should be specified.

Depending on the level of development of the 
innovative potential of the enterprise and the strength 
of the impact of the external environment in which 
the enterprise operates, we propose to identify seven 
types of targeted innovation orientation of industrial 
enterprises, namely:

1. Supportive – involves the operation of the  
enterprise in conditions of low level of innovation 
potential and low level of turbulence of the  
environment. Innovations do not have a high level of 
novelty, they have an improving character.

2. Preventive – appropriate for an enterprise that 
has an innovation potential below average, given the 
average level of turbulence in the environment and 
involves tracking adverse changes in certain parameters 
of the innovation potential of the enterprise and its 
environment.

3. Synergetic – takes place under the condition 
of strong stimulating influence of the external 

Parameters of the enterprise development 
environment. External disturbances

y1, y2, …yN

Production and commercial
system

Condition 1

Indicators of innovation 
potential

x1, x2, … xN

Виробничо-комерційна
система

Condition 1

Indicators of innovation 
potential

x1
`, x2`, … xN

`

Management decisions
r1, r2, …rN

Figure 1. Schematic representation of the process of industrial enterprise development

Source: generated by the author



Baltic Journal of Economic Studies  

234

Vol. 7 No. 4, 2021

Targeting system of industrial enterprises
on the downward wave of the economic cycle

Functional subsystems

Research and 
development

Marketing

Production

Foreign economic 
activity

Finances Personnel

Information Technology

Logistics

Provisioning process

The process of 
influence

Th
e 

pr
ed

om
in

an
t t

yp
e 

of
 in

no
va

tio
n:

te
ch

ni
ca

l a
nd

 te
ch

no
lo

gi
ca

l, 
pr

od
uc

tio
n

Innovative development
enterprises

The process of 
interaction

The block 
of the 

strengthen
ed action

Support 
systems

Diagnostic process

The process of 
transformation

Targeting system of an industrial enterprise
on the rising tide

Diagnostic process

Functional subsystems 

Marketing

Research and 
development

Production

Finances

Foreign economic 
activity

Logistics

Information Technology

Personnel

Provisioning process

The process of 
influence

Th
e 

pr
ed

om
in

an
t t

yp
e 

of
 in

no
va

tio
n:

 
O

rg
an

iz
at

io
na

l a
nd

 m
an

ag
er

ia
l, 

m
ar

ke
tin

g

Innovative development of an industrial 
enterprise

The process of 
transformation

The process of 
interaction

The block 
of the 

strengthen
ed action

Support 
systems

Figure 2. Organizational support of innovative development  
of an industrial enterprise in the declining wave of economic conditions

Source: developed by the author

Figure 3. Organizational support of innovative development  
of an industrial enterprise in terms of ensuring sustainable development

Source: developed by the author



Baltic Journal of Economic Studies  

235

Vol. 7 No. 4, 2021 
environment on the development of the enterprise  
and is recommended for those enterprises that have 
a high level of innovation potential, which allows to 
react in time to changes in the external environment.

4. Protective – provides an opportunity to operate in 
a high level of turbulence of the external environment 
and a low level of innovation potential of the enterprise, 
which necessitates the company to take immediate 
measures to resist external pressure by increasing the 
level of innovation potential.

5. Balanced – provides an opportunity for the 
company to be in equilibrium and choose the  
direction of its development in terms of the average  
level of development of innovation potential and the 
average level of environmental impact.

6. Absorbent – provides an opportunity to respond 
and "mitigate" the negative impact of the external 
environment due to a sufficiently high level of  
innovation potential.

7. Niche – focuses the company on the accumulation 
of resources for radical change, as it provides 
a strong innovative potential of the enterprise in a weak 
environment.

Each of the above types of innovation focuses on 
the need to identify appropriate strategies, programs 
and projects that are tools to ensure the development  
of the enterprise under a certain level of environmental 
impact and the level of development of innovation 
potential. In fig. 4 specifies which innovation strategies, 
programs and projects should be used to ensure  
effective innovative development of industrial 
enterprises within each of the identified types of 
targeted innovation.

It should be noted that the development of the 
enterprise is through the transformation of functional 
subsystems based on a set of processes of interaction, 
diagnosis, impact and provision. Therefore, for 
each type of targeted innovation, key processes and 
subsystems have been identified, which will primarily 
be involved in the process of innovation development  
(Figure 4).

In general, taking into account changes in the 
external environment and the innovative potential 
of the enterprise provides an opportunity to identify 
three vectors of development of the industrial  
enterprise:

1. Innovation-adaptive vector, which describes 
the company 's intentions to adapt to the growing  
influence of the external environment without  
spending efforts to increase capacity.

2. Innovation-balanced vector, which characterizes  
the company 's efforts to ensure its sustainable 
development in terms of increasing environmental 
impact.

3. Innovation-concentrated vector, which involves  
the concentration of efforts of the enterprise primarily 
on the development of its innovation potential. 

4. Survey methodology
We propose to base the determination of the 

appropriate vector of development for industrial 
enterprises and the subsequent forecasting of the results 
of the introduction of innovative development on the 
results of correlation analysis.

To analyze the relationship between the parameters 
of the external and internal environment, we have 
formed the appropriate groups of parameters, taking 
into account the possibility of obtaining the necessary 
reliable data for analysis.

The parameters of the external environment  
included factors that characterize the state of innovation 
in industry, as industry-wide trends in innovation  
affect the nature of innovation in an individual 
enterprise, as well as expert assessments of direct 
environmental factors of industrial enterprises, which 
we identified and described in work (Dunska, 2013). 
The list of environmental parameters is given in table 1.

In the table 2 and 3 respectively show the  
composition of the parameters of the innovation 
potential of the enterprise and the composition of the 
parameters that characterize the results of the enterprise.

5. Finding
The study was tested on the example of leading 

enterprises of pulp and paper enterprises of Ukraine: 
PJSC "Malyn Paper Factory-Weidmann", PJSC "Kyiv 
Cardboard and Paper Mill", PJSC "Rubizhansky 
Cardboard and Packaging Plant", Banknote Paper 
Factory of the National Bank of Ukraine. Specific 
information materials were the data of economic 
reporting for the period from 2009 to 2020 and the 
results of expert assessments.

Correlation methods of analysis have a number of 
limitations, as they provide averaged dependences of 
the interaction of the parameters of the external and 
internal environments of enterprises and poorly take 
into account the specifics of an individual enterprise. 
However, the calculation of correlations makes it 
possible to determine the strength and nature of the 
mutual influence of parameters that characterize the 
external and internal environment of the enterprise, 
and, accordingly, to identify the most important 
of them to choose to ensure the development of  
individual enterprises.

A key point in the analysis of the calculated  
correlation coefficients is to determine the importance 
or non-importance of the relationships between 
the parameters by setting the threshold of statistical 
significance ρn. Determining the quantitative  
threshold of statistical significance is not a clearly 
formalized task and largely depends on experience 
and intuition. In the general case, the values of the 
correlation coefficient range from -1 to +1. Negative 
values of the coefficient indicate the inverse relationship 



Baltic Journal of Economic Studies  

236

Vol. 7 No. 4, 2021
T

he
 le

ve
l o

f e
nv

ir
on

m
en

ta
l i

m
pa

ct

The level of development of innovation 
potential

lo
w

low

m
ed

ia
l

medial

hi
gh

high
P

R
O

T
E

C
T

IV
E

In
no

va
ti

on
s:

 re
ac

tiv
e,

 m
ar

ke
tin

g
St

ra
te

gi
es

: p
ro

te
ct

iv
e,

 d
ep

en
de

nt
P

ro
gr

am
s:

 u
pd

at
in

g 
th

e 
m

at
er

ia
l a

nd
 te

ch
ni

ca
l b

as
e;

 
im

pr
ov

em
en

t o
f r

es
ou

rc
e 

pr
ov

is
io

n;
 a

da
pt

iv
e 

m
an

ag
em

en
t

P
ro

je
ct

s:
 e

qu
ip

m
en

t r
ec

on
st

ru
ct

io
n;

 c
ha

ng
es

 in
 th

e 
su

pp
lie

r a
nd

 c
ou

nt
ry

 o
f o

ri
gi

n 
of

 ra
w

 m
at

er
ia

ls
; s

ys
te

m
im

pr
ov

em
en

t; 
en

te
ri

ng
 th

e 
fo

re
ig

n 
m

ar
ke

t
Su

bs
ys

te
m

s:
 m

ar
ke

tin
g,

 lo
gi

st
ic

s,
 fo

re
ig

n
ec

on
om

ic
 

ac
tiv

ity
P

ro
ce

ss
es

:i
nf

lu
en

ce
, i

nt
er

ac
tio

n

P
R

E
C

A
U

T
IO

N
A

R
Y

In
no

va
ti

on
s:

ps
eu

do
-i

nn
ov

at
io

ns
, p

ro
du

ct
 in

no
va

tio
ns

-
fo

llo
w

er
s,

 n
on

-t
ec

hn
ol

og
ic

al
 in

no
va

tio
ns

St
ra

te
gi

es
:s

im
ul

at
io

n
P

ro
gr

am
s:

 in
vo

lv
em

en
t o

f e
xt

er
na

l i
nn

ov
at

iv
e 

de
ve

lo
pm

en
ts

; i
nc

re
as

in
g 

th
e 

le
ve

l o
f h

um
an

 re
so

ur
ce

s;
 

op
tim

iz
at

io
n 

of
 re

so
ur

ce
 p

ro
vi

si
on

P
ro

je
ct

s:
 a

cq
ui

si
tio

n 
of

 a
 li

ce
ns

e;
 s

ta
ff

 tr
ai

ni
ng

; u
se

 o
f 

al
te

rn
at

iv
e 

ra
w

 m
at

er
ia

ls
Su

bs
ys

te
m

s:
m

ar
ke

tin
g,

 lo
gi

st
ic

s,
 fi

na
nc

eП
ро

це
си

: 
вп

ли
ву

, з
аб

ез
пе

че
нн

я

S
U

P
P

O
R

T
IN

G
 

 
In

no
va

ti
on

s:
im

pr
ov

in
g,

 te
ch

no
lo

gi
ca

l, 
ad

ap
tiv

e
St

ra
te

gi
es

:t
ra

di
tio

na
l, 

re
si

du
al

P
ro

gr
am

s:
 te

ch
ni

ca
l r

e-
eq

ui
pm

en
t; 

im
pr

ov
in

g 
pr

od
uc

t 
qu

al
ity

; i
nn

ov
at

iv
e 

ad
ap

ta
tio

n
P

ro
je

ct
s:

in
tr

od
uc

tio
n 

of
 a

dv
an

ce
d 

m
ec

ha
ni

sm
s,

 e
le

m
en

ts
 

of
 e

qu
ip

m
en

t; 
op

tim
iz

at
io

n 
of

 te
ch

no
lo

gi
ca

l m
od

es
 o

f 
pr

od
uc

tio
n;

 in
tr

od
uc

tio
n 

of
 a

 m
od

if
ie

d 
ty

pe
 o

f p
ro

du
ct

Su
bs

ys
te

m
s:

pr
od

uc
tio

n,
 fi

na
nc

e
P

ro
ce

ss
es

:i
nf

lu
en

ce
, p

ro
vi

si
on

W
A

R
N

IN
G

In
no

va
ti

on
s:

fo
llo

w
er

s,
 b

or
ro

w
ed

, r
ea

ct
iv

e
St

ra
te

gi
es

:o
pp

or
tu

ni
st

ic
P

ro
gr

am
s:

as
so

rt
m

en
t p

ol
ic

y 
up

da
te

; d
ev

el
op

m
en

t o
f t

he
 

te
ch

no
lo

gi
ca

l s
ub

sy
st

em
 o

f t
he

 e
nt

er
pr

is
e

P
ro

je
ct

s:
in

tr
od

uc
tio

n 
of

 a
 n

ew
 ty

pe
 o

f p
ro

du
ct

; 
im

pr
ov

em
en

t o
f p

ro
du

ct
io

n 
te

ch
no

lo
gy

; t
ec

hn
ic

al
 re

-
eq

ui
pm

en
t o

f p
ro

du
ct

io
n 

pr
oc

es
se

s
Su

bs
ys

te
m

s:
pr

od
uc

tio
n

P
ro

ce
ss

es
:d

ia
gn

os
tic

s,
 s

up
po

rt

B
A

L
A

N
C

E
D

 
 

In
no

va
ti

on
s:

st
ra

te
gi

c,
 m

ar
ke

tin
g,

 te
ch

no
lo

gi
ca

l, 
re

ac
tiv

e
St

ra
te

gi
es

:i
nt

er
m

ed
ia

te
P

ro
gr

am
s:

in
no

va
tiv

e 
m

od
er

ni
za

tio
n

P
ro

je
ct

s:
 in

tr
od

uc
tio

n 
of

 a
 n

ew
 o

rg
an

iz
at

io
na

l f
or

m
 o

f 
in

no
va

tio
n 

m
an

ag
em

en
t; 

in
tr

od
uc

tio
n 

of
 n

ew
 p

ro
du

ct
io

n 
te

ch
no

lo
gy

; i
nv

ol
ve

m
en

t o
f t

ec
hn

ol
og

ie
s

Su
bs

ys
te

m
s:

 p
ro

du
ct

io
n

P
ro

ce
ss

es
:i

nt
er

ac
tio

ns
, t

ra
ns

fo
rm

at
io

ns

0,330,67

0
,3

3
0
,6

7

1

1

N
IC

H
E

In
no

va
ti

on
s:

br
ea

kt
hr

ou
gh

, s
tr

at
eg

ic
, i

nn
ov

at
io

ns
 th

at
 

cr
ea

te
 n

ew
 n

ee
ds

, i
nn

ov
at

io
ns

 th
at

 "
co

m
e 

ou
t o

f t
he

 
la

bo
ra

to
ry

",
 m

ar
ke

t
St

ra
te

gi
es

: c
re

at
in

g 
a 

ne
w

 m
ar

ke
t

P
ro

gr
am

s:
In

no
va

tiv
e 

B
re

ak
th

ro
ug

h
P

ro
je

ct
s:

la
un

ch
 o

f a
 n

ew
 u

ni
qu

e 
pr

od
uc

t; 
cr

ea
tin

g 
a 

st
ar

tu
p 

ba
se

d 
on

 a
n 

in
no

va
tiv

e 
id

ea
; c

re
at

io
n 

of
 a

 v
en

tu
re

 
st

ru
ct

ur
e

Su
bs

ys
te

m
s:

re
se

ar
ch

 a
nd

 d
ev

el
op

m
en

t, 
pr

od
uc

tio
n

P
ro

ce
ss

es
:i

nf
lu

en
ce

, d
ia

gn
os

tic
s,

 in
te

ra
ct

io
n

A
B

S
O

R
B

IN
G

 

In
no

va
ti

on
s:

co
m

pl
em

en
ta

ry
, r

ea
ct

iv
e,

 fo
llo

w
-u

p
in

no
va

tio
ns

, t
ec

hn
ol

og
ic

al
 in

no
va

tio
ns

St
ra

te
gi

es
:d

ep
en

de
nt

P
ro

gr
am

s:
de

ve
lo

pm
en

t o
f c

om
pe

tit
iv

e 
ad

va
nt

ag
es

; 
ad

ap
tiv

e 
m

an
ag

em
en

t
P

ro
je

ct
s:

 o
pt

im
iz

at
io

n 
of

 o
rg

an
iz

at
io

na
l s

tr
uc

tu
re

; c
ha

ng
es

 
in

 th
e 

pr
ic

in
g 

po
lic

y 
of

 th
e 

en
te

rp
ri

se
; c

re
at

io
n 

of
 s

tr
at

eg
ic

 
m

an
ag

em
en

t z
on

es
Su

bs
ys

te
m

s:
m

ar
ke

tin
g,

 lo
gi

st
ic

s,
P

ro
ce

ss
es

:i
nf

lu
en

ce
, i

nt
er

ac
tio

n

A
B

S
O

R
B

IN
G

 
In

no
va

ti
on

s:
 a

 c
om

bi
na

tio
n 

of
 s

tr
at

eg
ic

 a
nd

 re
ac

tiv
e 

in
no

va
tio

ns
, m

ar
ke

tin
g 

in
no

va
tio

ns
St

ra
te

gi
es

: s
lo

w
 o

ff
en

si
ve

P
ro

gr
am

s:
co

st
 m

an
ag

em
en

t o
pt

im
iz

at
io

n;
 d

ev
el

op
m

en
t o

f 
in

no
va

tiv
e 

re
ce

pt
iv

ity
; s

al
es

 d
iv

er
si

fi
ca

tio
n

P
ro

je
ct

s:
in

tr
od

uc
tio

n 
of

 e
co

no
m

ic
al

 p
ro

du
ct

io
n;

 
in

cr
ea

si
ng

 th
e 

le
ve

l o
f e

nv
ir

on
m

en
ta

l s
af

et
y 

of
 th

e 
en

te
rp

ri
se

; s
ta

ff
 d

ev
el

op
m

en
t; 

op
tim

iz
at

io
n 

of
 s

al
es

 
ge

og
ra

ph
y

Su
bs

ys
te

m
s:

pe
rs

on
ne

l, 
re

se
ar

ch
 a

nd
 d

ev
el

op
m

en
t

P
ro

ce
ss

es
: d

ia
gn

os
tic

s,
 in

te
ra

ct
io

ns

S
Y

N
E

R
G

E
T

IC
 

In
no

va
ti

on
s:

 b
re

ak
th

ro
ug

hs
, t

ho
se

 th
at

 c
re

at
e 

ne
w

 n
ee

ds
, 

m
ar

ke
tin

g 
an

d 
m

an
ag

em
en

t i
nn

ov
at

io
ns

St
ra

te
gi

es
:a

ct
iv

el
y 

of
fe

ns
iv

e
P

ro
gr

am
s:

de
ve

lo
pm

en
t o

f i
nn

ov
at

io
n 

in
te

ra
ct

io
n;

 
de

ve
lo

pm
en

t o
f s

oc
ia

l c
ap

ita
l o

f t
he

 e
nt

er
pr

is
e

P
ro

je
ct

s:
 p

ar
tic

ip
at

io
n 

of
 th

e 
en

te
rp

ri
se

 in
 th

e 
in

no
va

tio
n 

cl
us

te
r;

 te
ch

no
lo

gy
 tr

an
sf

er
; d

ev
el

op
m

en
t o

f i
nt

er
na

l s
oc

ia
l 

ca
pi

ta
l

Su
bs

ys
te

m
s:

re
se

ar
ch

 a
nd

 d
ev

el
op

m
en

t, 
m

ar
ke

tin
g,

 s
ta

ff
P

ro
ce

ss
es

: t
ra

ns
fo

rm
at

io
ns

, d
ia

gn
os

tic
s,

 in
fl

ue
nc

es

Fi
gu

re
 4

. M
at

ri
x 

of
 ty

pe
s 

of
 in

no
va

ti
on

 o
ri

en
ta

ti
on

 o
f i

nd
us

tr
ia

l e
nt

er
pr

is
es

 in
 b

ip
ol

ar
it

y:
 d

ev
el

op
m

en
t o

f i
nn

ov
at

io
n 

po
te

nt
ia

l a
nd

 in
fl

ue
nc

e 
of

 th
e 

ex
te

rn
al

 e
nv

ir
on

m
en

t 

So
ur

ce
: p

ro
po

se
d 

by
 th

e a
ut

ho
rs



Baltic Journal of Economic Studies  

237

Vol. 7 No. 4, 2021 

a) without taking into account the nature of the impact of the external environment

NICHE SYNERGETIC

SUPPORTING BALANCED

SUPPORTING

PRECAUTION

PRECAUTION

PROTECTIVE

SUPPORTING

SYNERGETIC

SYNERGETIC

NICHE

PRECAUTION

PROTECTIVE

ABSOR BI NG 

 AB SOR B I NG 

PROTECTIVE  AB SOR B I NG 

Positive influence 
of the external 

Negative 
influence of the 
external 

Levels of 
development 
of innovative 

Innovation-
adaptive 
vector

Innovatively 
balanced 

Innovation-
concentrated 

vector

Innovatively 
balanced 

ow

low

low

medium

medium

medium

б) з урахуванням характеру впливу зовнішнього середовища

Innovative 
adaptive 
vector

Innovative
balanced

vector

Innovative
concentrated 

vector

The level of development of 
innovation potential

Level of influence
external
environment

high

high

high

vector

vector

potential of 

b) taking into account the nature of the impact of the outdoor environment
Figure 5. Vectors of innovative development of enterprises

Source: suggested by the authors

a) without taking into account the nature of the impact of the external environmenta) without taking into account the nature of the impact of the external environment

NICHE SYNERGETIC

SUPPORTING BALANCED

SUPPORTING

PRECAUTION

PRECAUTION

PROTECTIVE

SUPPORTING

SYNERGETIC

SYNERGETIC

NICHE

PRECAUTION

PROTECTIVE

ABSOR BI NG 

 AB SOR B I NG 

PROTECTIVE  AB SOR B I NG 

Positive influence 
of the external 

Negative 
influence of the 
external 

Levels of 
development 
of innovative 

Innovation-
adaptive 
vector

Innovatively 
balanced 

Innovation-
concentrated 

vector

Innovatively 
balanced 

ow

low

low

medium

medium

medium

б) з урахуванням характеру впливу зовнішнього середовища

Innovative 
adaptive 
vector

Innovative
balanced

vector

Innovative
concentrated 

vector

The level of development of 
innovation potential

Level of influence
external
environment

high

high

high

vector

vector

potential of 

between the parameters. In (Glass and Stanley, 1976), 
the following interpretation of correlation coefficients  
is proposed, which will be used by us to analyze the 
results of calculations: +1,00 – deterministic (direct 
close) relationship; about +0.50 – weak connection; 
0.00 – no connection; about -0.50 – weak connection; 
-1.00 – deterministic (inverse close) connection.

As a result of processing the collected data, we 
built matrices of pairwise correlation coefficients 

for environmental parameters, innovation potential, 
performance and environmental parameters and 
parameters of innovation potential and performance  
of enterprises.

Based on the logical analysis of the nature and 
nature of the relationships of the studied parameters, 
we chose the threshold of statistical significance  
ρn = ± 0.5. The obtained calculations make it possible  
to conclude that there is a direct relationship between 



Baltic Journal of Economic Studies  

238

Vol. 7 No. 4, 2021
Table 1
List of parameters of the external environment of industrial enterprises

Designation 
(environment)

Parameters of the external environment of the enterprise Units of measurement

E1 Volumes of financing of innovative activity in branch UAH million
E2 Number of enterprises in the industry that have implemented innovations pcs
E3 The number of introduced innovative types of products at the enterprises of the branch units
E4 The number of implemented advanced technological processes at the enterprises of the branch units

E5
The number of implemented low-waste, resource-saving or non-waste technologies at the 
enterprises of the branch

units

E6 Number of inventors, authors of industrial designs and innovation proposals person
E7 Number of applications for inventions, utility models and industrial designs filed in the field units
E8 The volume of sold innovative products of CPP outside Ukraine UAH thousand 
E9 The strength of the impact of changing conditions on the activities of enterprises in the industry points
E10 Intensity of technological changes in the industry points
E11 The degree of consumer influence on the activities of enterprises in the industry points
E12 The degree of influence of state regulation on the activities of enterprises in the industry points
E13 The degree of influence of the resource base of the industry points
E14 The degree of influence of environmental factors on the activities of enterprises in the industry points

Source: compiled by the authors.

Table 2
List of parameters of innovation potential of industrial enterprises

Designation 
(innovative 
potential)

Parameters of innovation potential of the enterprise Units of measurement

IP1 Costs of acquisition of non-current assets UAH thousand
IP2 The degree of depreciation of fixed assets %
IP3 Capacity utilization level %
IP4 Return on assets %
IP5 The share of electricity costs in the structure of production costs %
IP6 The share of material costs in the structure of production costs %
IP7 The level of provision of the enterprise with material resources. points
IP8 Number of new and modernized technological processes put into operation in the current year units
IP9 The value of the coefficient of maneuverability %
IP10 Coefficient of financial independence %
IP11 Coefficient of financial stability %
IP12 Assessment of the innovative orientation of the enterprise points
IP13 The level of innovative receptivity of staff points
IP14 The growth rate of the average number of employees without measurement 
IP15 The share of labor costs in the structure of production costs %
IP16 Productivity UAH / person
IP17 Research and development costs UAH thousand
IP18 Selling expenses UAH thousand
IP19 The level of use of information technology points
IP20 Efficiency of communication channels points
IP21 The share of exports in total production %
IP22 The share of exports to foreign countries in total production %

Source: compiled by the authors

the degree of influence of the resource base of 
enterprises in the industry (E13) and the assessment of 
the impact of changes in environmental conditions on 
the activities of enterprises (E9), the degree of influence 
of state regulation (E12). the degree of influence of 
environmental factors (E14) and the share of enterprises 
in the industry that have implemented innovations (E2). 

Feedback is present between the impact of government 
regulation (E12) and the number of new products 
developed in the industry (E3).

When intensifying innovative development, it is 
important to assess the nature and direction of the 
impact of the external environment on the innovative 
potential of the enterprise. The analysis of the obtained 



Baltic Journal of Economic Studies  

239

Vol. 7 No. 4, 2021 
Table 3
List of parameters of results of industrial enterprises

Designation (rezult) Parameters of efficiency of enterprise activity Units of measurement
R1 Production volume UAH thousand
R2 Sales volume UAH thousand
R3 Sales revenue UAH thousand
R4 Net profit (loss) UAH thousand
R5 Product profitability %
R6 Return on assets without measurement
R7 Return on equity without measurement
R8 Total liquidity ratio without measurement
R9 Costs per 1 UAH. sold products pennies
R10 Dynamics of export growth %

Source: compiled by the authors

calculations shows that the most significant factor  
of the external environment is the assessment of 
the degree of consumer influence on the activities 
of enterprises in the industry (E11). The greatest 
closeness of the relationship can be traced between this  
indicator and the following parameters of innovation 
potential: the number of new and modernized 
technological processes put into operation in the 
current year (IP8): the growth of this indicator  
indicates the improvement of the innovative level 
of production and products in accordance with the 
growing demands of consumers;
– the level of innovative receptivity of staff (IP13):  
the adaptation of technological processes to the new 
needs of consumers requires an appropriate level of 
creativity from employees of enterprises;
– costs of research and development (IP17): increasing 
market power of consumers requires companies to 
find new, non-standard solutions to meet the needs of 
consumers, and, consequently, leads to increased costs 
of research and development;
– sales costs (IP18): increasing the number of  
consumers requires higher costs for their supply of 
products, increasing consumer demand requires the 
establishment of efficient operation of sales channels.

It should be noted that the correlation analysis  
showed a close relationship between the amount 
of funding for innovation in the industry (E1) and 
the level of innovation susceptibility of staff in the  
industry (IP13): the correlation coefficient is 0.82  
(according to our research from 2000 to 2005 years, 
the value of this ratio was 0.55). It is obvious that 
the tendencies to increase the volume of funding for 
innovation in the industry will lead to an increase in 
the innovative receptivity of staff at each individual 
enterprise. On the other hand, awareness of the role of 
innovative transformations in enterprises contributes 
to increasing funding for innovation, quantitative and 
qualitative growth of innovation results, increasing  
the number of employees in the innovation sector  
and, consequently, increasing the innovation  
sensitivity of staff in general.

The analysis of the correlations between the 
indicators of innovation potential and the parameters 
that characterize the results of the enterprise,  
provided an opportunity to identify the most 
significant factors of innovation potential on which  
the effectiveness of the enterprise depends. Namely, 
there is a close connection between:
– the level of capacity utilization (IP3) and production 
and sales volumes (R1, R2);
– the number of innovative technological processes  
put into operation (IP8) and the company 's profit (R4);
– costs of research and development (IP17) and sales 
revenue (R3), costs per 1 UAH of sold products (R9), 
and the dynamics of export growth (R3).

There are also correlations in the structure of 
innovation potential parameters. In particular, the 
calculations showed the presence of feedback between 
the level of security of the enterprise with material 
resources (IP7) and the number of new and modernized 
technological processes (IP8); direct links with the 
value of the correlation coefficient greater than 0.95  
are present between the value of the share of  
material costs in the cost structure (IP6) and the 
level of material security of the enterprise, between 
the value of the share of electricity costs in the cost 
structure (IP5) and the number new and modernized 
technological processes (IP8); the growth rate of the 
number of employees (IP14) and labor productivity 
(IP16); the level of innovative susceptibility of  
personnel (IP13) and the share of exports to  
industrialized countries in total production (IP22).

These results of the analysis of the relationship 
between the parameters of innovation potential 
of enterprises, environmental parameters and 
performance of enterprises provide an opportunity 
to build a linear multiple regression equation for each 
vector of development, which allows to analyze the 
relationship between several variables and assess their 
impact on the dependent variable. The equation for 
the innovation-adaptive vector should be based on 
the relationship between corporate profits (R4), the 
number of implemented innovation processes (IP8) 



Baltic Journal of Economic Studies  

240

Vol. 7 No. 4, 2021
Table 4
Design of vectors of development of pulp and paper enterprises 

Selection 
criterion

Development 
vector

Terms of selection Model for forecasting Explanation

M
ax

 (
E

nt
er

pr
is

e 
re

ve
nu

e)

Innovatively 
balanced

Rising costs for 
innovation in the industry

Increasing the level of 
innovation receptivity

YІЗ = А01 + А11 *  
 * X1 + А12 * X2

YІЗ – revenue of enterprises from sales of products (R3),
Х1 – costs of innovation in the industry (Е1)

Х2 – the level of innovative susceptibility of enterprise 
personnel (ІР13)

Innovation-
concentrated

The growth of enterprise 
costs for innovation

Increasing the level of 
innovation receptivity

YІК = А02 + А21 *  
* X3 + А22 * X2

YІК – revenue of enterprises from sales of products (R3), 
Х3 – costs of enterprises for innovation (ІР17)

Х2 – the level of innovative susceptibility of enterprise 
personnel (ІР13)

Innovative-
adaptive

Rising costs for 
innovation in the industry

Growing consumer 
influence

YІА = А03 + А31 * 
* X1 – А2 * X4

YІА – revenue of enterprises from sales of products (R3),  
Х1 – costs of innovation in the industry (Е1) 

Х4 – level of consumer influence (Е11)

Source: developed by the authors

Table 4 
Forecasting the development of pulp and paper enterprises 

Enterprise 
Development 

vector
Model for forecasting

Enterprise revenue forecast,  
thousand UAH

2021 2022 2023

PJSC "Malyn Paper 
Factory-Weidmann"

Innovation-
concentrated 

YІК = 110335,1813 + 49,4127*X3 + 8410,9133*X2,
where YІК – revenue of enterprises from sales of products (R3), 

Х3 – costs of enterprises for innovation (ІР17),
Х2 – the level of innovative susceptibility of enterprise 

personnel (ІР13)

490 436,4 626 740,6 822 148,8

PJSC "Rubizhansky 
Cardboard and 

Packaging Plant"

Innovatively 
balanced 

YІЗ = -140689,5637 + 4029,7835*X1 + 207600,1961*X2,
where YІЗ – revenue of enterprises from sales of products (R3),

Х1 – costs of innovation in the industry (Е1),
Х2 – the level of innovative susceptibility of enterprise 

personnel (ІР13)

2 706 275,167 3 265 620 4 032 056

PJSC "Kyiv 
Cardboard and 

Paper Mill"

Innovative-
adaptive 

YІА = 31821625,3461 + 1286,2602*X1 – 
3354871,9406*X4,

where YІА – revenue of enterprises from sales of products (R3), 
Х1 – costs of innovation in the industry (Е1), 

Х4 – level of consumer influence (Е11)

5 035 822,81 5 866 148 7 097 294

Ukrainian Paper 
LLC

Innovation-
concentrated 

YІК = -90201,4911 + 438,7126*X3 + 24003,5649*X2,
where YІЗ – revenue of enterprises from sales of products (R3),

Х1 – costs of innovation in the industry (Е1),
Х2 – the level of innovative susceptibility of enterprise 

personnel (ІР13)

142 022,47 157 764,8 175 319,2

Source: calculated by the authors

and the strength of consumer influence (E11); the 
equation for the innovation-balanced vector should  
take into account the relationship between the  
revenue of enterprises from sales (R3), the cost of 
innovation in the industry (E1) and the level of 
innovation susceptibility of enterprise personnel (IP13); 
the innovation-focused vector takes into account  
the relationship between the revenue of enterprises  
from sales (R3), the costs of enterprises for innovation 
(IP17) and the level of innovation susceptibility of 
enterprise personnel (IP13).

In the table 5 shows the calculated regression 
equations for alternative development vectors and 

forecast indicators of profit and sales revenue at the 
studied enterprises.

In the case of existing alternative vectors of  
enterprise development, the one that provides the 
opportunity to obtain higher economic results is chosen. 

6. Conclusions
Activation of actions for innovative development 

of industrial enterprises is preceded by the lack 
of a proper trajectory, which is determined by the 
vector. Accordingly, the article forms a scientific 
and methodological approach to the definition of 



Baltic Journal of Economic Studies  

241

Vol. 7 No. 4, 2021 
such vectors. Development depends on the type 
of innovation orientation of the enterprise, due to 
the available innovation potential and the impact of 
the external environment. Therefore, the key types 
of targeted innovation orientation of enterprises 
should be considered: supportive, preventive, 
synergistic, protective, balanced, absorbing, niche. 
Types of orientation are the basis of the developed 
matrix, which has bipolarities: the development of  
innovation potential and the impact of the external 
environment. Its use and application of correlation 
analysis of indicators of external (external environment 
of the enterprise) and internal (innovative potential) 

environment allows to determine vectors of  
innovative development of industrial enterprise.

Based on the approbation of the approach on the 
example of pulp and paper enterprises of Ukraine,  
it was determined that their innovative development 
should be formed on the basis of three vectors: 
innovation-balanced, innovation-concentrated and 
innovation-adaptive, which will provide results 
in increasing sales revenue. This indicates that the 
proposed scientific and methodological approach  
is an effective tool for ensuring the choice of steps 
and means of effective implementation of innovative 
development by industrial enterprises.

References:
Boiarynova, K., Kopishynska, K., & Hryhorska, N. (2019). Economic and management approach to  
defining effective projects for enterprise development under risks and uncertainty. Problems and Perspectives  
in Management, 17(4), 299–313. DOI: https://orcid.org/10.21511/ppm.17(4).2019.25
Chesbrough, H. W. (2003). Open innovation: the new imperative for creating and profiting from technology. 
Boston, Massachusetts: Harvard Business School Press.
Chesbrough, H. W. (2006). Open business models: how to thrive in the new innovation landscape.  
Harvard: Harvard Business School Press.
Christensen, C. M. (1997). The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail.  
Boston, MA: Harvard Business School Press. 
Drucker, P. F. (1993). Post-capitalist society. New York: Harper Business.
Dunska, A. R . (2013). Indicators of evaluation of innovative potential of development of an industrial  
enterprise in the conditions of the world market. Bulletin of the National Technical University «KhPI».  
Series: Technical progress and production efficiency, 44 (1017), 48–58. (in Ukrainian)
Gavrysh, О. A., Dunska, A. R ., Zhygalkevich, Zh. M., & Kravchenko, M. O. (2019). Innovatsiini zasady  
rozvytku promyslovykh pidpryiemstv v umovakh intehratsii v svitovyi ekonomichnyi prostir. Kyiv:  
Politekhnika. (in Ukrainian)
Freeman, C., Clark, J., & Soete, L. (1982). Unemployment and Technical Innovation: A Study of Law. W.L.
Gavrysh, О., & Boiarynova, K. (2017). The methodological approach to monitoring of the economic and  
functional state of innovation-oriented machinery engineering enterprises at the modern technological modes. 
Economic Annals-XXI, 164 (3–4), 65–70. DOI: https://orcid.org/10.21003/ea.V164-15
Glass, J., & Stanley, J. (1976). Statisticheskie metody v pedagogike i psihologii [Statistical methods in pedagogy  
and psychology]. Moscow: Progress. (in Russian)
Glazyev, S. Yu. (2012). Sovremennaya teoriya dlinnykh voln v razvitii ekonomiki [Modern theory of long  
waves in economic development]. Economic science of modern Russia, 2(57), 27–42. (in Russian)
Gloor, P. A. (2006). Swarm creativity: competitive advantage through collaborative innovation networks.  
New York: Oxford University Press.
Hayek, F. A. (2001). Individualism and economic order. Moscow: Izograf.
Hwang, V. W., & Horowitt, G. (2012). The Rainforest: The Secret to Building the Next Silicon Valley;  
Regenwald: Los Altos Hills, CA, USA.
Itskowitz, G. (2010). Triple Helix. Universities – enterprises – state. Innovation in action. Trans. from 
English. Tomsk: Tomsk Publishing House. State University of Control Systems and Radio Electronics.  
(in Russian)
Jansen, F. (2000). The age of innovation. London: Prentice Hall.
Kleiner, G. B. (2012). Sistemnaya ekonomika – novoye napravleniye v ekonomicheskoy teorii [System  
economics – a new direction in economic theory]. Kazan: KFU. Available at: www.kpfu.ru/docs/F722052917/
KazanKFU.ppt (in Russian)
Kondratieff, N. D. (2003). Bol'shiye tsikly kon"yunktury i teoriya predvideniya. Izbrannyye trudy  
[Large Cycles of Conjuncture and the Theory of Foreseeing. Selected Works]. Voprosy еkonomiki, 8, 153–154.  
DOI: https://doi.org/10.32609/0042-8736-2003-8-153-154 
Kornai, J. (2002). Sistemnaya paradigma v ekonomike [System paradigm in economics]. Economic issues, 4, 17–23. 
(in Russian)
Kravchenko, M. (2017). Econometric analysis of machine-building enterprises’ sustainability in the context  
of neo-system paradigm. Scientific Papers of the University of Pardubice. Series D: Faculty of Economics and 
Administration, no. 41, vol. XXIV, pp. 79–89.



Baltic Journal of Economic Studies  

242

Vol. 7 No. 4, 2021
Porter, M. E. (1980). Competitive strategy: techniques for analyzing industries and competitors. Toronto:  
The Free Press.
Schumpeter, J. (1934). Theory of Economic Development: An Inquiry into Profits, Capital, Credit, Interest,  
and the Business Cycle. Cambridge, MA: Harvard University Press.
Yakovets, Yu. V. (2004). Epohalnyie innovatsii XXI veka [Epochal innovations of the XXI century]. Moscow: 
Ekonomika. (in Russian)
Zgurovsky, M. (2003). Suspilstvo znan ta informatsiyi – tendentsiyi, vyklyky, perspektyvy [Society of  
knowledge and information – trends, challenges, prospects]. Dzerkalo tyzhnya. Available at: http://gazeta.dt.ua/
ECONOMICS/suspilstvo_znan_ta_informatsiyi__tendentsiyi,_vikliki,_perspektivi.html (in Ukrainian)