Impact Assessment of Non-Radical Innovations on the Efficiency of a Higher Educational Institution (on the Example of Southwest State University)

Abstract

Relevance. Growing competition, including in the field of higher education, generates a demand for economic models that explain the factors in the formation of competitive advantages and predict the impact of non-radical innovations on prices, student recruitment and financial results.The purpose is development of a Cournot model of oligopoly competition in conditions of constant price elasticity of demand and its application to the regional higher education marketObjectives: development of a Cournot oligopoly model with constant elasticity of demand; computer modeling at different values of the marginal costs of oligopolists; application of the model to the higher education market and finding the value of the marginal cost of training an additional student; calculation of the value of the market elasticity of the training of architects; finding the expected forecast values of prices, the number of enrolled students and financial results.Methodology. The article was prepared within the framework of the positivist paradigm and the adductive approach, using the methods of mathematical modeling, comparative statics and economic analysis.Results. A model of oligopolistic competition in terms of output volumes for a situation of constant elasticity of market demand has been built; shows the impact of the introduction of non-radical innovations on economic efficiency in the context of changes in exogenous variables; calculated the value of elasticity in the regional market of educational services in the direction of "Architecture", and also the marginal costs of training a student in the direction of "Architecture"; forecasted changes in financial results in SWSU and KSU as a result of the introduction of nonradical innovation.Conclusions. Application of the model to the regional market of higher education (admission of bachelors in faculty "Architecture" at SWSU and KSU in 2020) showed the planned increase in the market share from 10,3% to 12,4% as a result of the introduction of non-radical innovations, which led to a 13% decrease radical costs. The projected increase in the net income of the innovator's organization will be from 21,2% to 49,2% in the regional higher education market ("Architecture").