Economics Ecology Socium

Assessment of Economic Greening Efficiency in Water Resource Management

Nina Khumarova — 2025-03-31

Introduction. Climate change, water depletion, environmental pollution, and rising economic activities in water use demand greener production. This emphasises the need for efficient methods and the assessment of economic greening in water use for sustainable development by advancing a sustainable blue economy.

Aim and tasks. The study assesses the environmental efficiency of water use in Ukraine by analysing economic and environmental indicators. This study seeks to develop scientifically grounded methodological recommendations for improving enterprises' water use management.

Results. This study conducted an economic and environmental analysis of water use across Ukraine’s economic sectors based on statistical data for 2022. The analysis utilised indicators such as water productivity by sector, economic productivity per unit of polluted wastewater, and share of capital investments in wastewater treatment within the total environmental protection investments. The results show that water, sewerage and waste management companies, which are natural monopolies, impact pollution, water abstraction and water resources. These enterprises were responsible for 72% of all the volume of polluted wastewater emitted and 35.28% of all water abstraction. The water productivity (USD 0.29/m³) and economic productivity (USD 1.85/m³) per unit of polluted wastewater were the lowest among all sectors. This indicates that the sector consumes a large volume of water relative to its economic contribution and exerts a significant adverse environmental impact owing to the high level of wastewater pollution. However, the sector’s share of capital investments in wastewater treatment within its total environmental protection investments was 59.76%.

Conclusions. Based on the economic and environmental analysis of water use in the sectors of the Ukrainian economy, it is recommended that the level of influence of each enterprise in the sector on the state of water resources be assessed. Methodological recommendations for assessing the level of greening of economic activity in water use have been developed, consisting of four blocks: (i) assessment of water consumption efficiency; (ii) efficiency of wastewater management; (iii) compliance with regulatory requirements and social responsibility; (iv) assessment of innovations in the sphere of water use. Additionally, the calculation of an integrated indicator has been proposed, along with its interpretation according to an evaluation scale.

Cyber Resilience Key Metrics in Small and Medium-Sized Enterprises

Sintija Deruma — 2025-03-31

Introduction. Cyber security is a dynamic, human-made environment where information, processes, and technologies converge, making cyber resilience essential for sustainable economic development. Cyber security incidents impede national security, economic stability, and digital transformation, underscoring the need to strengthen cyber capacity globally, especially among small and medium enterprises (SMEs), where each participant’s responsibility is essential in the cyber security landscape. Cyber security, being transdisciplinary, necessitates effectively managing the risks, compliance, and socioeconomic impact of cyber security incidents.

Aim and tasks. This study introduces a cyber resilience metrics framework that consolidates security controls by functional areas, aligns them with incident lifecycle stages, and clarifies the purpose and tasks of each stage.

Results. This study offers an approach for implementing and validating a comprehensive set of cyber security measures, emphasising continuous testing and proactive updates. The cyber resilience metrics framework makes compliance in the evolving cyber security landscape mandatory using a reliability assessment based on Cronbach’s alpha, which measures internal consistency reliability and the credibility of the item set. Frameworks confirm a significant correlation observed in the process of resolving cyber incidents, which means that the more accurate the information acquisition (based on metrics data), the less time is required to resolve the overall incident. Expert validation confirmed that these metrics promote compliance, competitiveness, and effective risk mitigation within a cost-effective framework. The cyber security exercise was conducted in five stages. Cyber simulation exercises and analytical hierarchy processes (AHP) are interconnected as they use a hands-on approach to the hierarchical analysis of cyber security requirements as critical elements.

Conclusions. This study identified key areas of cyber resilience based on the protection of critical infrastructure and the financial sector, using both regular testing of business continuity plans and assessments of cyber capabilities. Experimental studies adopt quantitative and qualitative data to create reliable metrics and frameworks for enhancing SMEs' cyber resilience. Thus, using the optimal cyber resilience metric framework and experiment, cyber resilience metrics can help identify organisational weaknesses in decision-making and resolve cyber incidents.

Financial Market Regulation and Monetary Policy on Financial Stress Management in the National Economy

Iryna Kononova — 2025-03-31

Introduction. Neutralising the dynamic threats of war and economic crises and reducing the stress index for the country's financial system requires prompt action from the regulator. This allows financial market participants to reduce the stress index of the country's financial system. However, dynamic changes and the lag in time for the introduction of regulatory actions create challenging conditions for the activities of financial market participants, which determines the relevance of studying the functioning of Ukrainian financial markets.

Aim and tasks. This study aims to identify the key indicators of financial market conditions and the level of effectiveness of regulatory influence on these indicators.

Results. It is indicated that changes in the conditions for the functioning of the Ukrainian financial market in 2022-2023, with a reduction in the profitability of financial market participants by 152%, an increase in the share of non-performing loans by 19%, and a reduction in funds in banks’ correspondent accounts only for the first quarter of 2022 by 30%, led to an urgent need for regulatory action. These actions increased the liquidity coverage ratio by 3.27 times and reduced the Financial Stress Index by 59.79%. Simultaneously, the long-term liquidity ratio increased by only 7%, indicating uneven liquidity dynamics. A cumulative negative effect is noted, even when using the regulator's monetary policy instruments for 2022-2023. The money supply increased by 21.03%, the monetary base increased by 25.77%, and the volume of cash outside banks increased by 8.24%. This necessitates strict control over capital movements, taking into account the impact of this factor on the reduction in the activity of market participants.

Conclusions. The directions of the monetary policy of the regulator of Ukraine are indicated, in particular, increasing the level of lending to financial market participants, solving the problem of liquidity surplus in banks, and regulating relative prices, which contributes to reducing the level of financial stress. This indicates that the activities of financial intermediaries in martial law conditions acquire new significance as a damper of fluctuations in financial market risks, particularly the risks of financial transactions. This indicates that the financial market has not acquired a proper level of stability, and the stress index fluctuated up to 65% of the average value for the study period.

Statistical Analysis of Employment and Health Impacts on Demographic Trends in the Kakheti Region of Georgia

Nino Dokhturishvili — 2025-03-31

Introduction. The demographic situation in Georgia and its regions, particularly in Kakheti, remains tense and manifests in a decrease in the birth rate, a negative natural increase, a decrease in marriage and an increase in divorce, and high migration rates. In this regard, there is a need for an in-depth analysis of these factors that reflect serious demographic challenges, to predict future changes in the population structure. Understanding these processes can help develop effective strategies to improve the demographic situation and create conditions for sustainable socioeconomic development in the region.

Aim and tasks. The study aims to conduct a comprehensive analysis of the demographic expectations and existing variations within Kakheti region of Georgia.

Results. The demographic situation in Kakheti region of Georgia was analysed based on the results of a survey conducted monthly from 2023 to 2024 among residents of the region aged 15 to 50 years. The empirical analysis showed that economic conditions and the health of one of the spouses were the main reasons for the decline in the birth rate. For most respondents, the primary source of income was employment in the public sector and private business, with a significant portion of respondents (72.7%) assessing their financial situation as satisfactory. Among the factors influencing health and life expectancy, the respondents highlighted economic well-being (22%) and environmental conditions (21.4%) as the most significant. Families with stable incomes prefer having two or three children, while low-income families are not prepared to have four or more children. The role of economic (income) and educational factors (education level) influencing the demographic attitudes of respondents was emphasised.

Conclusions. There is an apparent discrepancy between the ideal and actual number of children in families. A balance between the desired and actual number of children is lacking n many families. There has been a change in the demographic behaviour of different generations. The main reasons for having fewer children than desired were economic conditions and the health of one of the spouses. For most respondents, the primary source of income was employment in the public sector and private businesses.

Strategic Audit of Resource Utilisation and Management Efficiency in the National Economy

Nadiia Shmygol — 2025-03-31

Introduction. The decisive role of strategic audits is revealed in optimising the use of national resources in the Republic of Kazakhstan and promoting sustainable economic development through detailed and systematic analysis of strategic audit processes. This involves improving resource management methods and promoting sustainable economic development through a detailed and systematic analysis of the strategic audit processes. A comprehensive analysis of strategic audits will help identify reserves for sustainable economic growth based on assessing its impact on resource use efficiency.

Aim and tasks. This study evaluated the influence of strategic audit methodologies on the efficiency of national resource use in Republic of Kazakhstan. This study aims to develop and evaluate strategic audit methodologies that improve the efficiency of national resource use in the Republic of Kazakhstan and optimise resource management.

Results. The study focuses on key indicators such as GDP growth, export-import ratio, and investment in technology based on secondary data. The study demonstrated the importance of these procedures for effective industrial and resource management by assessing the impact of strategic audits on resource consumption, industrial production forecasts, and gross regional product (GRP) estimates using time series, regression and correlation analyses. Correlation analysis between the volumes of industrial production and economic indicators shows a strong relationship, which is confirmed by the multiple correlation coefficient (R) of 0.989134 and the determination coefficient (R²) of 0.978386. This means that fluctuations in such key economic factors as GDP growth and technological investment can explain 97.84% of the changes in industrial production. The regression model shows statistical significance with an F-statistic of 407.3994 and a p-value of 8.37E-09, confirming its reliability and strong predictive ability in predicting the development of the Republic of Kazakhstan economy.

Conclusions. This study highlights the importance of establishing and implementing a strategic audit methodology in public administration and lays the foundation for future resource management and policymaking research. A strategic audit is critical to effective resource management in the Republic of Kazakhstan and can accelerate economic growth and industrial competitiveness. Strategic audits support sustainable development by providing data for rational resource management and contribute to improved environmental sustainability.

Agritourism Management in Sustainable Rural Development and Cultural Heritage Preservation

Reis Mulita — 2025-03-31

Introduction. Sustainable rural tourism drives economic growth while respecting nature and preserving cultural traditions. Tourism has become a key driver of national, social, and economic development in Albania. It has emerged as a significant contributor to income generation for the government, businesses, and households, with statistics indicating that tourism plays a central role in a country’s economic growth each year.

Aim and tasks. This study examines how agritourism succeeded in Albania by examining its economic, social, and environmental impacts using real-world data. It investigates the relationship between agritourism growth and broader sustainable development in rural areas, testing the hypothesis that enhancing agritourism contributes to sustainability at the territorial level.

Results. This study analyses case studies of 110 agritourism sites in Albania that promote tourism without endangering the environment or local lifestyles. The data collection involved direct observation of agritourism websites and online and phone communications with agritourism operators. The research spans the years 2022-2023 and 2023-2024. Quantitative and qualitative research methods were employed with analysis, comparisons, and generalisations based on evaluations across the country. The target population consists of participants from Albania's tourism sector, focusing on agritourism organisations in rural areas. A diverse sample of agritouristic subjects from various administrative districts was selected. The findings demonstrate that agritourism boosts economic gains and supports social cohesion and environmental preservation, making it a vital element of sustainable rural development in Albania.

Conclusions. The study concludes with suggestions for improving Albanian agritourism, highlighting the importance of social and cultural values, environmental conservation, and economic progress for a sustainable model. It is also to highlight that incorporating traditional building materials and cultural elements enhances the distinctiveness of agritourism and aids in preserving local cultures. Rural tourism is vital and receives strong backing from local and national governments.

Strategic Innovative Management and Sustainable Development of Industrial Enterprises

Teodora Dimitrova — 2025-03-31

Introduction. Amidst the dynamic changes in the competitive environment, strategic management of innovative development is a decisive factor in ensuring the stability and sustainable development of industrial enterprises. Despite the importance of innovative development, many enterprises face problems implementing an effective innovation strategy and lacking an innovative culture due to successfully managing projects with a high share of research and development (R&D).

Aim and tasks. This study aims to analyse the factors that influence the effectiveness of strategic management in the innovative development of industrial enterprises and to form a case for modelling business processes by assessing the cost component of R&D and its components.

Results. The results of the study show that sustainable development of an industrial enterprise is possible under conditions of high-quality strategic management (“Technology Roadmapping” of industrial innovations and the “Open Innovation” model). The effectiveness of strategic management in the development of an industrial enterprise depends on factors such as the development of an innovation culture, investments in innovation processes, the ability of the enterprise to adapt, and the availability of information necessary for making strategic decisions. According to the results obtained in Ukraine, there is an increase in the volume of spending on scientific experiments and developments by 2.1% in 2022 compared to 2018, while spending on applied research increased by 35.3%, with a decrease in spending on scientific experimental developments by 13.1%. According to the results of calculating the correlation coefficient, it was found that there is a close relationship (0.913) between the cost of implementing innovations in production and the cost of R&D, which is the basis for coordinating the modelling of scientific and technical activities and business processes at the regional economy level.

Conclusions. During this research, the features of creating a technological map of innovation at an industrial enterprise were considered, and the open innovation model was adapted to the operating conditions of an industrial enterprise. Considering that the innovative basis of industrial content is formed in different regions of Ukraine with different dynamics, a recommendation was made regarding using interregional cooperation tools to form economic models for the sustainable development of industrial enterprises.

Corporate Social Responsibility Management and Business Strategies in Sustainable Economic Development

Oleksii Hutsaliuk — 2025-03-31

Introduction. Corporate social responsibility (CSR) management is pivotal for the strategic development of the national economy and the sustainability of companies. Considering the intensification of environmental and social issues, companies that integrate the principles of sustainable development into their activities can enhance their image and ensure long-term economic efficiency.

Aim and tasks. This study examines the key principles of corporate social responsibility management and their impact on the economic, social, and environmental development of companies. It also examines the role of CSR in sustainable economic development and its significance in establishing a socially responsible business environment.

Results. The adoption of CSR principles enhances business positions, as proven by the increase in the number of companies publishing CSR reports from 20% in 2011 to over 90% of S&P 500 companies in 2022. This contributes to positive economic dynamics, with the annual growth of legal entities reaching 8.5% between 2020 and 2023, while the number of private enterprises decreased by 0.2%. The key components of corporate reputational capital included product and service quality (20.2%), management quality (14.9%), citizenship (14.6%), financial success (13.4%), and innovation (13.3%). In 2023, the distribution of companies by CSR type was as follows: large Ukrainian enterprises (67%) and enterprises with foreign capital (18%) were the most common, while multinational corporations accounted for 13%, and medium-sized enterprises accounted for 2%. CSR has a positive impact on company performance, reflected in reputation (93.6%), quality (85.3%), innovation (83%), customer satisfaction (81.7%), productivity (80.4%), and market accessibility (71.3%).

Conclusions. CSR management is crucial for sustainable development and promotes responsible economic practices. The analysis of CSR projects of domestic companies in the context of sustainable development and social responsibility has identified key activities of the most socially responsible companies in Ukraine that provide charitable assistance to the population (74%), support medical services (54%), and organise leisure activities and resettlement (47%). The implementation of corporate social responsibility through innovations, social programs, and environmental initiatives not only adds value to businesses but also fosters favourable changes in the community and the environment.

Management and Cost Analysis of Insurance-Based Social Benefits in the Republic of Azerbaijan

Emin Alirzayev — 2025-03-31

Introduction. Mechanisms for strengthening social protection in the Republic of Azerbaijan are important to improve social payments within the state’s social insurance (insurance-pension) system. The relevance lies in establishing a theoretical and conceptual framework for making informed decisions on improvements at the management level based on the optimal use of the state social insurance system’s financial and resource capabilities for social protection.

Aim and tasks. This study aims to substantiate management decisions and analyse the cost of social protection within the current state of the social insurance system in Azerbaijan. The study also analyses the importance of implementing this benefit scheme in the Republic of Azerbaijan, its role in social protection, and the need to increase its amount.

Results. The analysis of social protection costs within Azerbaijan's current state social insurance system highlights the need to increase childcare benefits by 57.1% for children under 1.5 years of age and 59.1% for children aged 1.5 to 3 years. This need is driven by demographic changes (from 5.2 children per woman in the 1970s to 1.825 in the 2020s), increasing life expectancy (from 69.8 years in the 1970s to 76 years in 2023), and a shrinking working-age population (the share of children aged 0-14 years fell from 32.6% in 1995 to 21.2% in 2024). This trans poses long-term risks to the pension system's financial sustainability and social protection. Currently, the benefit is only 16.29% of the subsistence minimum and less than 3.5% of the monthly food expenses, which is insufficient for the needs of families. The State Social Protection Fund (hereinafter – Fund) has sufficient resources for an increase, which is confirmed by the analysis of the budget and the dynamics of income from mandatory contributions. The share of childcare benefits in the fund's total expenses is only 0.14%, and its share in GDP is less than 0.01%. International experience confirms that increasing benefits can increase birth rates and reduce poverty.

Conclusions. This study strengthens the foundation for making prospective socio-economically effective decisions in the field of social protection based on a grounded approach, as well as international experience. Currently, there are unused economic and financial opportunities to revise (increase) the amount of childcare benefits that are of public interest in the Republic of Azerbaijan. Moreover, sufficient motives exist for introducing these increases, which would be acceptable as management tools for improvement.

Marketing and Controlling in Strategic Forecasting of Innovative Industrial Development

Nataliia Kuzmynchuk — 2025-03-31

Introduction. Outlining the strategic vision of alternatives regarding the innovation development of industrial enterprises implies a multifunctional load on marketing and controlling support systems aimed at increasing the effectiveness of managerial influence to ensure the long-term sustainability and competitiveness of enterprises. Marketing and controlling support decision-making in developing the innovation potential of industrial enterprises to ensure their competitiveness in recovering and strengthening the national economy.

Aim and tasks. This study aims to develop and substantiate approaches to strategic forecasting regarding the innovation development of industrial enterprises in marketing and controlling support to modernise and accelerate national economy recovery.

Results. The study uses an economic and mathematical model to forecast industrial competitiveness by adjusting key innovation potential components. The model reveals that innovation potential depends significantly on prior investments in innovation made in the previous period, which requires sound management decisions regarding the choice of strategic alternatives for innovation development based on marketing and controlling support. An analysis of the forecasted competitiveness of industrial enterprises in 2023-2024 shows that innovative potential has the most significant impact on competitiveness, with R₃ parameter equal to 0.5472, which exceeds the value of R₂ parameter of 0.1180 for the competitiveness in the previous period. The proposed ADL model with fixed effects for panel data confirms the dependence of industrial competitiveness on innovation. In particular, a conditional increase in innovation potential of 10% leads to a 5.4% increase in the competitiveness of industrial enterprises during the forecast period.

Conclusions. Creating a marketing support system for the innovation development of industrial enterprises contributes to the adaptation of industrial enterprises to conditions of rapid technological processes within the industrial paradigm and enhances resilience to external challenges. Controlling makes it possible to optimise processes and increase the efficiency of management decisions to achieve innovation development’s strategic goals and accelerate industrial enterprises’ competitiveness. Analysing strategic alternatives for innovation development based on marketing and controlling enabled the formulation of strategies to increase industrial enterprises’ development innovativeness and effectiveness.