Regulatory Support and Institutions for the Transformation of Enterprises to the Digital Economy

Abstract

Regulatory support and institutions for the transformation of enterprises to the digital economy are considered. In particular, the basic institutions of the transformation of enterprises to the digital economy, inherent in any society: social (or socio-cultural), economic, political, were studied, and their structure was summarized. It is substantiated that it is the state that is entrusted with the task of ensuring the effective functioning of institutional and legal foundations and long-term development vectors of the country and enterprises in Ukraine. In the conditions of wartime and the development of the digital economy, it is necessary to create a structure of incentives and motivations for digitalization at the enterprises themselves. The institutional and legal foundations of the digital transformation of enterprises by the institutions of state power are considered. The main legislative support for the formation and development of the digital economy in Ukraine is presented, the policy directions of the Ministry of Digital Transformation, its implementation of projects for the development of the digital economy, which create conditions for the development of business in Ukraine, the transformation of enterprises to new operating conditions, the development of human capital, and the preservation of labor potential are considered. The impact of supranational institutions and European integration on the establishment of institutional and legal foundations for the transformation of enterprises to the digital economy is outlined. The main directions of Ukraine’s cooperation with the European Union in the development of the digital economy, which are among the priorities in cooperation, were considered. Proposals regarding the improvement of institutions for the transformation of industrial enterprises to the digital economy are substantiated and relevant recommendations are provided. In particular, it was noted that Ukraine needs a modern industrial policy with defined principles and a vision. A strategy of industrial development is necessary, taking into account the digital economy, martial law, losses of industrial and labor potential, the need for post-war recovery and the adoption of the Law of Ukraine «On State Industrial Policy». The state industrial policy must meet the requirements of the times, therefore it should include the tasks of digital transformation of industrial enterprises and stimulating mechanisms of digital transformation.