Tashkent University of Humanitarian
Sciences 2nd-year student
Sobirova Iroda Аbdulaziz qizi
Innovative Directions for Entrepreneurship Development: Theoretical Foundations and Practical Strategies
Abstract
The article reveals the essence and significance of innovative entrepreneurship as a key factor in economic development. It analyzes the main innovative directions for the development of entrepreneurship, including digitalization, technological, and social innovations. Based on the mechanisms of state support for the innovative activity of small and medium-sized businesses and world experience (for example, Japan), proposals and recommendations have been developed.
Keywords: Innovative Entrepreneurship, Digital Economy, Product Innovation, Technological Innovation, Social Innovation, Venture Capital, Technoparks.
Introduction
In the transition to an innovative path of economic development, entrepreneurship, especially small business, plays a crucial role. Success in modern market conditions is not limited to effective management of existing resources, but also requires the search for new ideas and their implementation in practice (innovative activity) (Source 1.1). The objective of the article is to scientifically and theoretically substantiate the innovative directions for entrepreneurship development and to propose effective strategies for their implementation.
Essence and Types of Innovative Entrepreneurship
One of the main tasks of entrepreneurship is creativity and the pursuit of creating new products (services) (Source 1.1). Innovative entrepreneurship is the initiative that introduces new products to the market, implements new production technologies, or brings in new forms of business organization.
There are three main types of innovative entrepreneurship, aimed at different goals (Source 2.3):
Product Innovations: Renewal of the company’s sales potential, expansion of market share, and creation of new jobs.
Technology Innovations: Saving energy and raw materials, increasing labor productivity, and renewing production capacity.
Social Innovations: Improving the social environment of the enterprise, mobilizing employees towards a common goal, and enhancing the organization’s reputation.
Priority Innovative Directions for Entrepreneurship Development
The main directions for the development of modern entrepreneurship include:
Digital Technologies and Digitalization
In the context of the digital economy, creating a favorable business environment for the development of innovative entrepreneurship is highly relevant. This includes the application of technologies such as Artificial Intelligence (AI), Cloud technologies, Big Data, and the Internet of Things (IoT) into business processes. Digitalization also enables the development of remote work forms, which serves to increase work efficiency (Sources 1.5, 1.6).
Innovative Development of Education and Human Resources Potential
Modern approaches to preparing for entrepreneurial activity, especially the use of business simulation programs (training for the future), are important. This helps young people gain interest and practical skills for starting their own business. The government’s intention to integrate entrepreneurship holistically into the entire education system also indicates the priority of this direction (Sources 1.3, 2.5).
Institutional Support and Infrastructure
The role of the state in regulating and stimulating the development of innovative entrepreneurial activity is significant. Key directions include:
Developing the venture capital market.
Establishing technoparks, innovation centers, and clusters (Sources 2.1, 2.4).
Improving the system of tax incentives for entrepreneurs engaged in innovative activities (Source 1.5).
Conclusion and Recommendations
The innovative development of entrepreneurship is a prerequisite for ensuring the country’s economic progress. This process should primarily be aimed at the commercialization of new ideas and increasing the innovative activity of small businesses.
Practical Recommendations
Expanding Innovative Infrastructure: It is advisable to increase the number of innovation centers in the regions and support local industrial enterprises involved in technological innovations (Source 2.6).
Stimulating Demand for Innovations: Ensuring a comprehensive system for the creation of new types of products and innovative technologies from the idea stage to the final consumer.
Implementing Foreign Experience: Deeply studying and implementing the experience of developed countries, such as Japan, in developing regional innovative entrepreneurship (technopolises, research centers) (Source 2.7).
List of References (Bibliography)
Textbooks, Monographs, and Publications
Schumpeter, J. A. (2007). The Theory of Economic Development: An Inquiry into Profits, Capital, Credit, Interest, and the Business Cycle. Moscow: Eksmo. (For the theoretical foundations of innovative entrepreneurship).
Freeman, C. (2011). The Economics of Industrial Innovation. Moscow: Infra-M. (To cover the impact of technological innovation on the economy).
Porter, M. E. (2011). Competitive Strategy: Techniques for Analyzing Industries and Competitors. Moscow: Alpina Publisher. (For analyzing competition and innovative advantage).
Scientific Articles and Journals
Kadirov, A. Z. (2020). The role of innovations in the development of small business and private entrepreneurship. Iqtisodiyot va innovatsion texnologiyalar (Economics and Innovative Technologies), (1), 240–255. (To include local experience).
Nabiev, N. N. (2021). Directions for the development of innovative entrepreneurial activity in the conditions of the digital economy. Moliya va bank ishi (Finance and Banking), (3), 78–85. (To cover the digitalization direction).
Saidov, M. A. (2019). Mechanisms for increasing the innovative activity of business entities. Bozor, pul va kredit (Market, Money, and Credit), (6), 55–63.
Statistical Compilations, Reports, and Internet Sources
Decree of the President of the Republic of Uzbekistan No. PF-60 of January 28, 2022, “On the Development Strategy of New Uzbekistan for 2022–2026”. National Database of Legislation. (To substantiate state strategic directions).
OECD. (2021). Entrepreneurship at a Glance 2021. Paris: OECD Publishing. (For international experience and statistical data).
World Bank. (2020). Digital Economy for Development (DE4D) Project Report. Washington, D.C.: World Bank Group. (To analyze the impact of digital technologies).
World Intellectual Property Organization (WIPO). (2023). Global Innovation Index 2023 Report. Geneva: WIPO. (To include global innovation ranking data).