Njd 60 1

№60/2021
Norwegian Journal of development of the International Science
ISSN 3453-9875
VOL.1
It was established in November 2016 with support from the Norwegian Academy of Science.
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CONTENT
AGRICULTURAL SCIENCES
Tkachuk O., Vergelis V.
INTENSITY OF LEGUMINAL PERENNIAL GRASSES
GREEN MASS FORMATION DEPENDING ON WEATHER
CONDITIONS OF VEGETATION ....................................3
ECONOMIC SCIENCES
Grigan N.
STRATEGIC ANALYSIS OF XIAOMI IN RUSSIA: SWOT
AND PEST ANALYSIS ..................................................10
Fostolovych V., Hurtovyi O.
INNOVATIVE DEVELOPMENT OF ENTERPRISES IN THE
POST-INDUSTRIAL MANAGEMENT SYSTEM..............17
Shogelbaeva G.K.
HOTEL INDUSTRY IN KAZAKHSTAN: ANALYTICAL
REVIEW......................................................................28
TECHNICAL SCIENCES
Nikolaenko V., Kozin G., Prokopovich M.
HYDRAULIC CONVERTER OF THE VEHICLE ................33
Ovcharuk V., Yushchuk I.
USE OF E-LEARNING TECHNOLOGIES IN THE
EDUCATIOSNAL PROCESS..........................................35
Saptsin V.
CARGO PASSING SPECIAL FACILITIES AS PART OF
HYDRAULIC STRUCTURES..........................................39
Shyshkin A.
FORMATION OF CONCRETE PROPERTIES WHEN
USING FILLED MICELLES OF SURFACE-ACTIVE
SUBSTANCES..............................................................49
Shyshkina А.
FORMATION OF CONCRETE PROPERTIES WITH
STRUCTURED WATER ................................................53

Norwegian Journal of development of the International Science No 60/2021 3
AGRICULTURAL SCIENCES
INTENSITY OF LEGUMINAL PERENNIAL GRASSES GREEN MASS FORMATION DEPENDING
ON WEATHER CONDITIONS OF VEGETATION
Tkachuk O.,
Doctor of Agricultural Sciences,
Associate Professor of Ecology and Environmental Protection
Vinnytsia National Agrarian University
Vinnytsia, Ukraine
Vergelis V.
Assistant of the Department of Ecology and Environmental Protection
Vinnytsia National Agrarian University
Vinnytsia, Ukraine
DOI: 10.24412/3453-9875-2021-60-1-3-9
Abstract
In the first year of the growing season, the largest average daily gains of green mass by the first cut are sand
sainfoin (Onobrychis arenaria Kit.) and white clover (Melilotus albus L.), and by the second cut - in addition to
these species - also Lotus corniculatus L. The most efficient use of natural resources for the formation of the
vegetative mass of the second year of vegetation by the first cut is white clover (Melilotus albus L.) and eastern
goatweed (Galega orientalis Lam.), in the second cut - meadow clover (Trifolium pratense L.) and alfalfa (Medi-
cago) sativa L.), by the third cut - bird's-foot trefoil (Lotus corniculatus L.), in the third year of life - respectively
sand sainfoin (Onobrychis arenaria Kit.) and eastern goatweed (Galega orientalis Lam.); alfalfa (Medicago sativa
L.); bird's-foot trefoil (Lotus corniculatus L.), in the fourth year - sand sainfoin (Onobrychis arenaria Kit.); alfalfa
(Medicago sativa L.) and sainfoin (Onobrychis arenaria Kit.).
Keywords: legumes, perennial grasses, vegetative mass, intensity, vegetation, weather conditions.
Formulation of the problem
Perennial legumes are primarily a balanced and
complete feed for the livestock sector of agricultural
production, so when choosing types of perennial leg-
umes for different soil and climatic conditions of culti-
vation, take into account their yield, suitability for a
particular type of feed, sustainability in the agroecosys-
tem, and their ecological role in relation to the complex
impact on the soil and subsequent crops in crop rotation
[1].
Of particular importance are perennial legumes in
field lands and natural forage lands, which are not only
an important source of feed, but also a major factor in
the biologization of agriculture. With limited resource
provision of agriculture, when the balance of soil or-
ganic matter is unfavorable, the importance of biologi-
zation of agriculture increases, as the annual costs of
humus mineralization are very significant [2].
Leguminous perennial grasses are extremely im-
portant in solving the problem of resource conservation
and stabilization of crop yields, because their cultiva-
tion consumes 2-3 times less energy compared to cere-
als and row crops [3].
Optimizing the structure of sown areas of legumi-
nous perennial grasses and increasing the productivity
of forage crops will reduce the humus deficit by 20-
25%, and the supply of biological nitrogen will increase
by 2 times. Forage production is one of the main stabi-
lizing factors, which can ensure not only productivity
but also the sustainability of agricultural landscapes.
However, due to global warming, it is important to op-
timize the species structure of perennial legumes [4].
Analysis of recent research and publications
In the structure of field fodder crops the largest
share should be occupied by leguminous perennial
grasses, the sown areas of which must be restored to the
norms recommended for the Forest-Steppe zone of 45-
50%. Among perennial legumes, a special place is
given to alfalfa – the most productive and least energy-
intensive high-protein crop. In the Forest-Steppe, it
should occupy 50-60% of all crops of leguminous per-
ennial grasses. On acid soils, meadow clover is prefer-
able. For dry lands you need to use sand sainfoin [5-7].
One of the decisive factors in the choice of grasses
in the conditions of climate change is their adaptability
to periodic during the growing season lack of moisture.
This is facilitated by the deep development of the root
system of herbs, which is primarily characteristic of al-
falfa. It is able to quickly restore growth while improv-
ing moisture supply. In addition, the placement of al-
falfa on poor and acidic soils limits root growth and re-
duces drought resistance. Bird's-foot trefoil has less
resistance to drought than alfalfa. Its root system is well
branched and penetrates to a depth of 1.5 m and is well
adapted to acidic and poor soils. Oriental goatweed is
also drought-resistant, but grows well with neutral acid-
ity and fertile soils with high water holding capacity [8-
10].
Alfalfa has been grown in the Forest-Steppe since
ancient times, is better adapted to soil and climatic fac-
tors and changes in growing conditions, is character-
ized by plasticity, durability, polygamy, high fodder
value and provides the highest yield of leaf mass and
nutrient yield with the highest energy efficiency. There-
fore, today it remains the main legume of the Forest-
Steppe. However, the use of sainfoin, bird's-foot trefoil,

4 Norwegian Journal of development of the International Science No 60/2021
white clover and eastern goatweed should be comple-
mentary with the maximum use of their biological char-
acteristics in specific soil and climatic conditions. In
particular, sand sainfoin has a constant seed productiv-
ity, early achievement of mowing maturity in the first
cut and high biological resistance to adverse growing
conditions. White clover has the ability to form high
yields of green mass on sandy, infertile and saline soils,
high drought resistance and winter hardiness. Bird's-
foot trefoil has productive longevity and the ability to
grow on low-yielding and acidic soils. In the eastern
goatweed - it is productive longevity, high biological
plasticity. The benefits of these herbs will allow you to
get a higher yield than alfalfa [11-13].
Selection of previously unsolved parts of the
overall problem
As to the mentioned above, it is necessary to es-
tablish the intensity of growth of green mass of legumi-
nous perennial grasses taking into account weather fac-
tors, which will allow to choose for the production con-
ditions of the Forest-Steppe Right Bank of Ukraine
those types of leguminous perennial grasses that can
form a high yield of green mass in a short period of
time. minimum amount of natural resources, including
moisture and heat.
The purpose of the article
The aim of the research was to establish the inten-
sity of green mass formation by six species of perennial
legumes: alfalfa (Medicago sativa L.), meadow clover
(Trifolium pratense L.), sand sainfoin (Onobrychis are-
naria Kit.), white clover (Melilotus albus L.), bird's-
foot trefoil (Lotus corniculatus L.) and eastern goat-
weed (Galega orientalis Lam.). The intensity of green
mass formation means the amount of harvest formed by
plants in one day per unit area.
Field research was conducted during 2013-2017 at
the Research Farm (SRF) “Agronomichne” of Vinny-
tsia National Agrarian University. The field of the ex-
perimental plot has a wide undulating relief, the flat
lands are dominated by slopes. The surface of water-
shed plateaus is leveled, its slope does not exceed 2-3
°, so the surface runoff of atmospheric and meltwater is
slow and soil erosion is almost absent. The soil is mois-
tened due to precipitation, the groundwater level is at a
depth of 10-15 m.
The soil at the experimental site is gray podzolic
medium loam. The agrochemical composition of the
soil of the experimental site is characterized by the fol-
lowing indicators: humus content – 2.0%, hydrolyzed
nitrogen (according to Cornfield) – 133 mg / kg of soil
– low, mobile forms of phosphorus (according to Chi-
rikov) – 390 mg / kg of soil – very high, mobile forms
of potassium (according to Chirikov) – 64 mg / kg of
soil – medium, calcium – 130 mg / kg of soil – suffi-
cient, hydrolytic acidity – 2.53 mg.-eq./100 g of soil –
increased, the reaction of the soil solution pH. 5.0 – me-
dium acid. Providing the site with trace elements: cop-
per – 5.4 mg / kg of soil, zinc – 6.0 mg / kg of soil,
heavy metal content: lead – 1.4 mg / kg of soil, cad-
mium – not detected.
One of the important factors influencing the inten-
sity of plant formation of vegetative mass is the weather
conditions in the years of study. During the 2013 calen-
dar year, 652 mm of precipitation, which is 18 mm
more than the average long-term value (634 mm), with
an average annual temperature of 9.0 ºC, which is 2.0
ºC higher than the norm (7.0 ºC). The growing season
began in the first decade of April and ended in the sec-
ond decade of November. During the growing season,
429 mm of precipitation fell. The hydrothermal coeffi-
cient (HTC) for the calendar year was 1.38 with a long-
term value of the hydrothermal coefficient of 1.52 (Ta-
ble 1).
Table 1.
Weather conditions in the years of research
(according to the Vinnytsia Regional Hydrometeorological Center)
Indexes
Long-term
indicator
Years of research
2013 2014 2015 2016 2017
Average annual temperature, ° C 7,0 9,0 8,6 9,3 9,0 9,1
Average temperature during the growing season, ° С 12,4 16,0 13,6 15,8 16,7 14,6
The amount of precipitation per year, mm 634 652 550 368 469 503
The amount of precipitation during the growing season, mm 451 429 379 263 217 315
HTC for the year 1,52 1,38 1,50 0,69 0,54 0,86
In 2014, the amount of precipitation was 550 mm,
which was 86.8% of the long-term average. The aver-
age annual temperature was 8.6 ºC, which is 1.6 ºC
higher than the long-term average. The growing season
began in the second decade of March and lasted until
the end of the first decade of November. During the
growing season the amount of precipitation was 442
mm. HTC was 1.50.
In 2015, 368 mm of precipitation fell, which was
only 58% of the average long-term data. The average
annual temperature was 9.3 ºC, which is 2.3 ºC higher
than the average long-term temperature. The growing
season for the growth and development of perennial
legumes began in the third decade of March and lasted
until the second decade of November. During the grow-
ing season 235 mm of precipitation fell. HTC was 0.69,
which indicates very unfavorable conditions for vege-
tation and crop formation.
In 2016, the average annual temperature was 9.0
ºС, which is 2 ºС above the norm. The amount of pre-
cipitation during the year was 469 mm, which is 26%
less than normal. The growing season began in early
April and lasted until the end of September. The hydro-
thermal coefficient was 0.54, which corresponds to ex-
tremely arid vegetation conditions of plants.
2017 was characterized by an average annual tem-
perature of 9.1 ºC, which is 2.1 ºC above normal. The
amount of precipitation for the year was 503 mm,
which corresponds to 80% of the long-term norm. HTC

was 0.86, which corresponds to unfavorable growing
conditions.
Thus, based on the analysis, it was found that the
most favorable growing conditions, taking into account
the temperature and humidity levels, were in 2014,
which corresponds to the second year of growing per-
ennial legumes. The most unfavorable growing condi-
tions were typical for 2016, when the grasses grew for
the fourth year.
Sowing of perennial legumes was carried out in
2013 in a coverless manner in the early spring with the
introduction of herbicides. To reduce the acidity of the
soil was carried out liming of the experimental site. The
formed crop of green mass of grasses was mowed in the
phase of the beginning of flowering of plants. Perennial
legumes have been grown for four years. Annual mow-
ing was performed up to three times during the growing
season.
Repeated experiments four times. The estimated
area of each field experiment is 50 m2
, the total area of
the area is 70 m2
. Variants in the experiment are placed
systematically in 6 blocks.
The following records and observations were per-
formed: phenological observations - roughly on the ba-
sis of visual observations of the onset of phases of plant
development with counting the number of days from
germination or restoration of plant vegetation to mow-
ing [14]; accounting for the yield of green mass of per-
ennial legumes - in a continuous way by mowing and
weighing all the green mass from the accounting area
[14]; foliage of the vegetative mass - by weighing
plants and their leaves [15]; clogging of the green mass
- a method of analysis and subsequent weighing of
sheaf samples [16].
Presenting the main material
In the formation of the vegetative mass of legumi-
nous perennial grasses, the rate of its growth is of par-
amount importance. After all, crops can generate sig-
nificant yields throughout the growing season, using a
significant amount of natural and climatic resources.
This requires the establishment of average daily gains
in green mass of perennial legumes.
The largest average daily increases in vegetative
mass in the first year of vegetation of perennial grasses
in the first cut were observed in white clover (Melilotus
albus L.) – 483.8 kg / ha per day and in sand sainfoin
(Onobrychis arenaria Kit.) – 483.9 kg / ha per day.
High average daily growth in sand sainfoin (On-
obrychis arenaria Kit.) was observed due to the for-
mation of a significant vegetative mass – 30.0 t / ha in
a short time – 52 days after germination, and white clo-
ver (Melilotus albus L.) – only due to high yield – 38.7
t / ha. 1.3 times lower average daily gains were ob-
served in plants of alfalfa (Medicago sativa L.), 1.58
times – in bird's-foot trefoil (Lotus corniculatus L.) and
1.62 times – in meadow clover (Trifolium pratense L.).
Due to almost no growth in the year of sowing of east-
ern goatweed (Galega orientalis Lam.). Its average
daily gain was only 92.9 kg / ha per day (Table 2).
In the second cut of the first year of vegetation, the
highest average daily gains of green mass were ob-
served in bird’s-foot trefoil (Lotus corniculatus L.),
white clover (Melilotus albus L.) and sand sainfoin
(Onobrychis arenaria Kit.), which amounted to 293.5-
296.9 kg / ha per day. Lotus corniculatus (L.) achieved
this indicator due to the short interval of formation of
the second cut – 13 days after the beginning of re-
growth, white clover (Melilotus albus L.) – due to high
yield - 20.7 t / ha, and sand sainfoin ( Onobrychis are-
naria Kit.) – due to a combination of yield and early
maturity. The average daily gains in alfalfa (Medicago
sativa L.) were 1.24 times less than in bird’s-foot trefoil
(Lotus corniculatus L.), and in meadow clover (Trifo-
lium pratense L.) – 1.62 times less.
Table 2
Average daily growth of green mass of perennial legumes
grasses in the year of sowing (SRF "Agronomichne")
Perennial legumes
grasses
Gains, kg / ha per day, depending on the cut
1 2 3
Alfalfa (Medicago sativa L.) 371,4 239,2 -
Meadow clover (Trifolium pratense L.) 298,8 183,8 -
Sand sainfoin (Onobrychis arenaria Kit.) 483,9 293.5 -
White clover (Melilotus albus L.) 483,8 295,7 -
Bird's-foot trefoil (Lotus corniculatus L.) 306,7 296,9 177,6
Eastern goatweed (Galеga orientаlis Lam.) 92,9 - -
The average daily gain of vegetative mass of per-
ennial legumes in the second cut decreased by 35.6-
39.0%, compared with the first cut in alfalfa (Medicago
sativa L.), clover (Trifolium pratense L.), sand sainfoin
(Onobrychis arenaria Kit .) and white clover (Melilotus
albus L.), and in the bird’s-foot trefoil (Lotus cornicu-
latus L.) remained virtually unchanged. Only in the
third cut the average daily increments of Lotus cornic-
ulatus L. decreased by 40% compared to the first and
second cuts.
Summarizing the results of research to study the
intensity of the yield formation of green mass of peren-
nial legumes in the year of sowing, it should be noted:
- according to the ratio "yield of green mass –
speed of its formation" in the first cut white clover
(Melilotus albus L.) and sand sainfoin (Onobrychis are-
naria Kit.) prevail;
- еastern goat has the lowest average daily gains
(Galega orientalis Lam.);
- in the second cut the largest average daily gains
were observed in sand sainfoin (Onobrychis arenaria
Kit.), white clover (Melilotus albus L.) and bird’s-foot
trefoil (Lotus corniculatus L.);
- high average daily growth of white clover (Mel-
ilotus albus L.) is achieved due to the formation of a
large vegetative mass, bird’s-foot trefoil (Lotus cornic-
ulatus L.) – due to early ripening, and sand sainfoin
(Onobrychis arenaria Kit.) – due to a combination of
both indicators;
- in most leguminous perennial grasses, the aver-
age daily gain in the second cut is reduced by 35–40%,
and in the bird’s-foot trefoil (Lotus corniculatus L.) –
in the third cut.

In the first cut of the first year of vegetation, the
highest foliage is observed in the plants of the eastern
goatweed (Galega orientalis Lam.) – 57.9% and white
clover (Melilotus albus L.) – 51.3%. This is explained
by the fact that these types of leguminous perennial
grasses in the year of sowing form only vegetative
shoots, and the phases of budding and flowering do not
reach (Table 3).
Table 3
Foliage and littering of green mass of perennial legumes
in the year of sowing (SRF "Agronomichne")
Perennial legumes grasses
%, depending on the cut
Average, %
1 2 3
foliage
littering
foliage
littering
foliage
littering
foliage
littering
Alfalfa (Medicago sativa L.) 36,3 11,2 43,4 3,9 - - 39,9 7,6
Meadow clover (Trifolium pratense L.) 36,8 21,0 48,7 2,3 - - 42,8 11,7
Sand sainfoin (Onobrychis arenaria Kit.) 33,0 13,8 32,9 6,1 - - 33,0 10,0
White clover (Melilotus albus L.) 51,3 4,8 53,0 5,7 - - 52,2 5,3
Bird's-foot trefoil (Lotus corniculatus L.) 44,0 8,5 45,5 20,2 50,0 26,7 46,5 18,5
Eastern goatweed (Galеga orientаlis Lam.) 57,9 8,9 - - - - 57,9 8,9
The foliage of the green mass of lotus corniculatus
(Lotus corniculatus L.) was 44.0%, and other types of
perennial legumes – 33.0-36.8%.
In the second cut, the foliage of meadow clover
(Trifolium pratense L.) increases by 11.9% to 48.7%
and alfalfa (Medicago sativa L.) by 7.1% to 43.4%. The
foliage of sainfoin (Onobrychis arenaria Kit.), white
clover (Melilotus albus L.) and bird’s-foot trefoil (Lo-
tus corniculatus L.), almost did not change compared
to the first cut. The highest foliage was observed in
white cranberry (Melilotus albus L.) – 53.0%, which,
compared to other types of leguminous perennial
grasses, does not form peduncles.
The infestation of green mass of perennial leg-
umes with weeds in the first cut is the lowest in white
clover (Melilotus albus L.) – 4.8%, due to the large veg-
etative mass and its intensive growth, which signifi-
cantly suppresses weeds. The largest litter of green
mass of meadow clover (Trifolium pratense L.) –
21.0% – is due to its slow growth.
Contamination of the second cut of leguminous
perennial grasses, except for lovage (Lotus corniculatus
L.) decreased by 2.3-9.1 times, which is facilitated by
faster growth of vegetative mass and dry weather. The
share of weeds in their vegetative mass in the second
cut was 2.3-5.7%. Only in the green mass of Lotus cor-
niculatus L. the litter increases to 20.2% due to low
grass cover in the second and subsequent cuts, which is
not competitive with weeds.
Summarizing the results of studies on the foliage
and litter of green mass of perennial legumes in the year
of sowing, it should be noted:
- perennial grasses that do not form generative
stems have the highest foliage in the first cut
- white clover (Melilotus albus L.) and eastern
goatweed (Galega orientalis Lam.), as well as bird's-
foot trefoil (Lotus corniculatus L.); other types of legu-
minous perennial grasses have a foliage 1.5 times less
than specified;
- in the second cut, due to a significant reduction
of flower shoots, the foliage of alfalfa (Medicago sativa
L.) and meadow clover (Trifolium pratense L.) in-
creases by 7-12%;
- leguminous perennial grasses, which in the sec-
ond cut form the same number of flower shoots with
the first cut – sand sainfoin (Onobrychis arenaria Kit.)
and bird's-foot trefoil (Lotus corniculatus L.) – have the
same foliage in the second cut.
For the second and subsequent years of vegetation
in the first cut, the foliage of perennial legumes in the
early flowering phase was 38.0-45.3% and only sand
sainfoin (Onobrychis arenaria Kit.) – 25.9%. This is
due to the formation of an extremely large yield of sand
sainfoin (Onobrychis arenaria Kit.) and, accordingly,
the coarsening of the green mass. The highest was the
foliage of plants of alfalfa (Medicago sativa L.) and
eastern goatweed (Galega orientalis Lam.) (Table 4).
Table 4.
Foliage and litter of green mass of leguminous perennial grasses in the second or fourth years of the growing
season (SRF "Agronomichne", average 2013-2017)
Perennial legumes grasses
%, depending on the cut
Average, %
1 2 3
foliage
littering
foliage
littering
foliage
littering
foliage
littering
Alfalfa (Medicago sativa L.) 45,3 9,2 48,2 2,9 49,0 2,5 47,5 4,9
Meadow clover (Trifolium pratense L.) 38,0 4,5 39,0 25,0 45,5 1,8 40,8 10,4
Sand sainfoin (Onobrychis arenaria Kit.) 25,9 2,7 38,5 31,7 50,0 9,7 38,1 14,7
White clover (Melilotus albus L.) 39,2 0,4 - - - - 39,2 0,4
Bird's-foot trefoil (Lotus corniculatus L.) 38,7 6,1 45,5 4,0 56,3 5,9 46,8 5,3
Eastern goatweed (Galеga orientаlis Lam.) 41,5 1,0 59,0 2,0 - - 46,8 1,5

In the second cut, the foliage of leguminous per-
ennial grasses increased by 1-17% and amounted to
38.5-59.0%. It was the largest in the eastern goatweed
(Galega orientalis Lam.), which in the second cut
reaches the phase of single flowering and thus well
leafy, and the smallest – in meadow clover (Trifolium
pratense L.) and sand sainfoin (Onobrychis arenaria
Kit.). In the third cut, the foliage of perennial legumes
was 45.5-56.3%, which is 1-12% more than in the sec-
ond cut. The highest was the foliage of plants of bird’s-
foot trefoil (Lotus corniculatus L.), and the lowest – in
clover (Trifolium pratense L.).
The largest increase in foliage of the second cut,
compared to the first – 13.4-17.5%, is characteristic of
plants of sainfoin (Onobrychis arenaria Kit.) and east-
ern goatweed (Galega orientalis Lam.), and the small-
est – 1.0-2.9 %, in plants of meadow clover (Trifolium
pratense L.) and alfalfa (Medicago sativa L.), which
form a uniform crop in both the first and second cut.
The largest increase in foliage of the third cut,
compared to the second – 10.8-11.5%, was observed in
plants of sainfoin (Onobrychis arenaria Kit.) and
bird's-foot trefoil (Lotus corniculatus L.), and the
smallest – 0.8% in alfalfa sowing (Medicago sativa L.).
Comparing the foliage of leguminous perennial
grasses in the first cut in the year of sowing and the sec-
ond and subsequent years of vegetation, it was found
that higher foliage in the year of sowing was observed
in plants of sand sainfoin (Onobrychis arenaria Kit.) –
by 7%, white clover (Melilotus albus L.) – by 12.1%,
the bird’s-foot trefoil (Lotus corniculatus L.) – by 5.3%
and the eastern goat (Galega orientalis Lam.) – by
16.4%. This is partly due to the development in the year
of sowing of perennial legumes by winter type and the
absence of the flowering phase (white clover (Melilotus
albus L.), eastern goatweed (Galega orientalis Lam.)),
as well as coarsening of the leaf and stem mass for the
second and subsequent years vegetation due to the for-
mation of a large crop (sand sainfoin (Onobrychis are-
naria Kit.) and bird’s-foot trefoil (Lotus corniculatus
L.)). By alfalfa (Medicago sativa L.) plants, the foliage
increased by 9.0% in the second and subsequent years
of the growing season, and in meadow clover (Trifo-
lium pratense L.) – by 1.2%.
By the second cut, the foliage in the second and
subsequent years of vegetation increases in alfalfa
(Medicago sativa L.) by 4.8%, sainfoin (Onobrychis
arenaria Kit.) – by 5.6% and decreases in meadow clo-
ver (Trifolium pratense L.) by 9.7%, remains the same
as in the year of sowing in plants of the bird’s-foot tre-
foil (Lotus corniculatus L.).
The clogging of the green mass of leguminous per-
ennial grasses in the first cut was 0.4-9.2%. It was the
smallest in the green mass of white clover (Melilotus
albus L.) due to extremely large biomass, and the larg-
est – in alfalfa (Medicago sativa L.) and bird's-foot tre-
foil (Lotus corniculatus L.) – due to slow initial growth
and predominance in their grassland weeds in wet
weather. The most common weeds by Lotus cornicula-
tus L. were Euphorbia virgata and Capsella bursa-pas-
toris.
By the second cut, there was insignificant littering
of alfalfa (Medicago sativa L.) and eastern goatweed
(Galega orientalis Lam.) – 2.0-2.9%, and significantly
increased in sand sainfoin (Onobrychis arenaria Kit.)
to 31.7% due to falling of grass, its depletion and une-
ven and non-uniform regrowth, as well as meadow clo-
ver (Trifolium pratense L.) – up to 25.0% due to re-
growth in the second cut of shoots that were not mown
in the first. The main mass of weeds consisted of grass
clover (Trifolium pratense L.), milkweed (Euphorbia
virgata), nettle (Urtica dioica L.), horse sorrel (Rumex
confertus Willd.); in the green mass of bird’s-foot tre-
foil (Lotus corniculatus L.) and sand sainfoin (On-
obrychis arenaria Kit.) – Galinsoga small-flowered
(Galinsoga parviflora Cav.), milkweed (Euphorbia vir-
gata), dandelion (Taraxacuma wica). retroflexus).
Summarizing the results of studies on the foliage
and litter of green mass of perennial legumes in the sec-
ond and subsequent years of the growing season, it
should be noted:
- the foliage of leguminous perennial grasses with
each subsequent mowing increases and reaches the
highest level in the third (last) mowing;
- plants of alfalfa (Medicago sativa L.) and
meadow clover (Trifolium pratense L.) develop evenly
during the formation of all cuts, so they have almost the
same foliage in the first or third cuts;
- low foliage of green mass of sand sainfoin (On-
obrychis arenaria Kit.) in the first cut is compensated
by its significant growth in the second or third cuts;
- in the year of sowing, most leguminous perennial
grasses have higher foliage than in the second and sub-
sequent years of vegetation, except for alfalfa (Medi-
cago sativa L.) and meadow clover (Trifolium pratense
L.);
- littering of the green mass of leguminous peren-
nial grasses in the first cut determined.
The average daily gain in the third cut was 84.3-
391.7 kg / ha. They were highest in plants of Lotus cor-
niculatus L., which is 37% more than in the second cut
and similar to the level of the first cut. In other species
of leguminous perennial grasses they were significantly
lower than in the second cut: in alfalfa (Medicago sa-
tiva L.) – by 38.2%, but the same as in the first cut; in
meadow clover (Trifolium pratense L.) – by 84.6%,
sand sainfoin (Onobrychis arenaria Kit.) – by 65.2%
lower.
Comparing the average daily yields of green mass
in the first mowing in the year of sowing and in the sec-
ond year of vegetation of perennial legumes, it was
found that similar growth rates had sand sainfoin (On-
obrychis arenaria Kit.), meadow clover (Trifolium
pratense L.), clover (Melilotus albus L.). Larger
growths than in the year of sowing had plants of eastern
goatweed (Galega orientalis Lam.), and less – alfalfa
(Medicago sativa L.).
By the second cut, the average daily growth of
vegetative mass increases by 1.5-3.0 times in the sec-
ond year of vegetation, compared with the first year of
vegetation, and only in plants of Lotus corniculatus L.
almost coincide with the first year.
In the third year of vegetation by the first cut the
average daily growth of green mass of leguminous per-
ennial grasses was 300.0-466.7 kg / ha. They were the

largest in the crops of Eastern goatweed (Galega orien-
talis Lam.), and the smallest – in alfalfa (Medicago sa-
tiva L.). In the third year of the growing season, the av-
erage daily growth decreased by 2.8-10.4%, compared
to the second year of the growing season, except for al-
falfa grass (Medicago sativa L.), where they increased
by 15.9% (Table 5).
Table 5
Average daily growth of vegetative mass of leguminous perennial grasses for the second-fourth years of vegeta-
tion (SRF "Agronomichne", 2013-2017)
Perennial legumes grasses Vegetation years
Gains, kg / ha per day, depending on the cut
1 2 3
Alfalfa (Medicago sativa L.)
2 252,2 450,0 278,3
3 300,0 200,0 160,0
4 255,6 225,0 -
Meadow clover (Trifolium pratense L.) 2 255,7 548,4 84,3
Sand sainfoin (Onobrychis arenaria Kit.)
2 462,7 425,0 148,1
3 450,0 130,0 -
4 325,0 200,0 -
White clover (Melilotus albus L.) 2 583,9 - -
Bird's-foot trefoil (Lotus corniculatus L.)
2 400,0 246,7 391,7
3 356,3 100,0 250,0
4 150,0 120,0 -
Eastern goatweed (Galеga orientаlis Lam.)
2 520,7 188,1 -
3 466,7 91,7 -
4 250,0 50,0 -
In the second cut, the average daily gain was 91.7-
200.0 kg / ha. They were the smallest on the herbaceous
eastern goatweed (Galega orientalis Lam.), and the
largest – alfalfa (Medicago sativa L.) compared with
the first cut, the average daily increments decreased by
1.5-3.5 times, and compared to the second year of veg-
etation – by 2.1-3.3 times.
The average daily increments of the third cut were
only Lotus corniculatus L. – 250.0 kg / ha and alfalfa
(Medicago sativa L.) – 160.0 kg / ha. Compared to the
second cut, the bird’s-foot trefoil (Lotus corniculatus
L.) had an average daily gain of 2.5 times larger, and
alfalfa (Medicago sativa L.) – 1.3 times less. Compared
to the second year of the growing season, the average
daily gains of green mass of Lotus corniculatus L. were
1.6 times less, and alfalfa (Medicago sativa L.) – 1.7
times less.
In the fourth year of vegetation, the first cut con-
tinued to decrease the value of the average daily in-
crease in green mass, in particular, it amounted to
150.0-325.0 kg / ha. The largest increments were char-
acteristic of sand sainfoin (Onobrychis arenaria Kit.),
And the smallest – for bird's-foot trefoil (Lotus cornic-
ulatus L.). Compared to the previous year of vegetation
of leguminous perennial grasses, the average daily
gains were 1.2-2.4 times less.
By the second cut, the value of average daily in-
crements was 50.0-225.0 kg / ha. The largest incre-
ments were alfalfa (Medicago sativa L.), and the small-
est – eastern goatweed (Galega orientalis Lam.). Com-
pared to the first mowing, the increments decreased by
1.6-5.0 times, and compared to the third year of vege-
tation – increased by 1.1-1.5 times, except for the east-
ern goatweed (Galega orientalis Lam.), where they de-
creased by 1,8 times.
Summarizing the results of research on the aver-
age daily growth of green mass of perennial legumes in
the second and subsequent years of the growing season,
it should be noted:
- all studied grasses in the first cut provide the
highest average daily gains of green mass of the second
year of vegetation, except for alfalfa (Medicago sativa
L.), which provides the highest average daily gains of
the third year of vegetation;
- the lowest average daily gains of green mass in
the first cut have grasses of the fourth year of vegeta-
tion;
- in the second cut all grasses have the highest av-
erage daily increments of the second year of vegetation,
and the smallest – the fourth;
- the highest average daily gains in the third mow-
ing of grasses are observed in the second year of vege-
tation of leguminous perennial grasses.
Conclusions and suggestions
In the first year of the growing season, the largest
average daily increments of green mass in the first cut
are sand sainfoin (Onobrychis arenaria Kit.) and white
clover (Melilotus albus L.), and in the second cut - in
addition to these species - also Lotus corniculatus L.
The most efficient use of natural resources for the for-
mation of the vegetative mass of the second year of
vegetation in the first cut is white clover (Melilotus al-
bus L.) and eastern goatweed (Galega orientalis Lam.),
in the second cut - meadow clover (Trifolium pratense
L.) and alfalfa (Medicago sativa L.), in the third cut -
bird’s-foot trefoil (Lotus corniculatus L.), in the third
year of life – respectively sand sainfoin (Onobrychis
arenaria Kit.) and eastern goatweed (Galega orientalis
Lam.); alfalfa (Medicago sativa L.); bird’s-foot trefoil
(Lotus corniculatus L.), in the fourth year – sand sain-
foin (Onobrychis arenaria Kit.); alfalfa (Medicago sa-
tiva L.) and sainfoin (Onobrychis arenaria Kit.).

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ECONOMIC SCIENCES
STRATEGIC ANALYSIS OF XIAOMI IN RUSSIA: SWOT AND PEST ANALYSIS
Grigan N.
Master’s degree student
Shanghai University, SILC Business School
DOI: 10.24412/3453-9875-2021-60-1-10-17
Abstract
Xiaomi entered the Russian market in 2016 and quickly gained consumer interest with its inexpensive but
high-quality products. The article presents the results of SWOT and PEST analyzes of the company in the Russian
market and offers recommendations for improving the company's work.
Keywords: strategic management, strategic analysis, PEST analysis, SWOT analysis
Modern economic conditions, which are charac-
terized by the dynamism and complexity of the market
environment, increased competition, rapid and unpre-
dictable changes in legislation, have led to the develop-
ment of a strategic approach to the management pro-
cess. This approach enables enterprises to timely and
adequately respond to changes in the environment of
their operation and form competitive advantages,
which in the long term will ensure the growth of the
value of the business unit and the achievement of the
strategic goal.
An integral key part of strategic management is
strategic analysis. Strategic analysis is a way of explor-
ing and transforming a database from the analysis of the
environment into an enterprise strategy.
Effective strategic management is impossible
without strategic analysis. The explanation for such a
categorical statement is the fact that strategic manage-
ment requires knowledge about the strategic position of
the enterprise in the market and the specifics of imple-
menting the strategy. This is due to the fact that changes
in circumstances and their combinations both inside the
enterprise and outside it demand appropriate strategy
adjustments. Strategic analysis helps to choose the di-
rection in which the company will develop. Without a
strategy, an enterprise has no sound business plan and
no single program to achieve the desired results.
Strategic analysis is the initial stage in the devel-
opment of an enterprise activity strategy, which is
based on research and assessment of the internal and
external environment in which the enterprise is located,
and makes it possible to find out what position the en-
terprise occupies in the industry at the moment and in
what direction and how it needs to develop. It is strate-
gic analysis that can help an enterprise realize its stra-
tegic vision. It is a method that enables the management
of an enterprise to formulate a strategy to achieve an
intended goal.
Companies invest huge amounts of resources
(e.g., time, money, intellectual capital) in the acquisi-
tion and implementation of various strategic instru-
ments. Research on the use of strategic analysis tools in
various organizations has shown that managers prefer
to use tools that are flexible, easy to learn and use, well
tested and proven [1]. Moreover, modern tools and
strategy methods promise to make managers more suc-
cessful in the digital age. It is shown in [2] that Chinese
managers in their work prefer to use such strategic anal-
ysis tools as: PEST - analysis (share of use - 59%),
SWOT - analysis (58%), brainstorming (57%) and life
cycle analysis (51%). The study convincingly con-
firmed that managers in China prefer to use strategic
tools to foster creativity and innovation.
Considering the above, we will conduct a strategic
analysis of the Chinese high-tech company Xiaomi in
the Russian market, using the two most commonly used
strategic tools: SWOT analysis and PEST analysis.
PEST - analysis allows a comprehensive assess-
ment of external factors that can significantly affect the
business of the company in question.
Political factors
The extent to which politicians can intervene in
the commercial environment is critical in PEST analy-
sis. Commercial constraints and political stability are
also imperative factors that can determine the success
or failure of a business. There is a wide range of politi-
cal factors that can affect an internet technology com-
pany. The political factors affecting Xiaomi's activities
in Russia are as follows:
1. Xiaomi is a Chinese brand successfully pro-
moted in the Russian market.
Since its appearance in Russia in June 2016, the
company has been constantly expanding the range of
products offered to Russian consumers. The company
manufactures and markets a wide range of products:
smartphones, smart home systems, smart vehicles,
TVs, drones, robots and other goods. The Xiaomi brand
is well known and recognized in Russia. So, in 2019,
Xiaomi was recognized as the fastest growing brand
and received the “Best consumer brand in Russia 2019”
award in the field of consumer electronics. In 2020, the
company was ranked 7th in the top 20 foreign compa-
nies in Russia.
2. Xiaomi has good support from the Chinese po-
litical system.
In China, there is an active state participation in
business through various incentives and regulations.
Xiaomi has benefited greatly from the political factors
in China in general and the protectionist policies of the
Chinese government in particular. The Chinese govern-
ment is protecting local tech companies like Xiaomi by
creating barriers to operating in the country for their in-
ternational competitors. The head of Xiaomi, along
with the heads of other high-tech companies, advises
the government on international business policy. [3]
This gives tech companies an enviable opportunity to
influence local political factors that affect their busi-
ness to some extent. On the other hand, while political
factors benefit Xiaomi in its domestic market, the com-

pany is usually negatively influenced by political fac-
tors outside of China.
3. Tension between the United States and the Eu-
ropean Union, on the one hand, and China, on the other,
is only growing.
In January 2021, the administration of former US
President Donald Trump expanded the blacklist of Chi-
nese companies that, according to the authorities, are
associated with the PRC military industry. Among
them was Xiaomi. Americans are barred from investing
in blacklisted companies because Washington suspects
them of links to the Chinese military-industrial com-
plex. American investors are required to dispose of the
assets of these companies by November 11, 2021. Xia-
omi said it did not agree with the decision. The com-
pany denies any connection with the Chinese military
industry and assures that it will take measures to protect
the interests of its shareholders in response to the sanc-
tions. The inclusion of Xiaomi in the sanctions list led
to a more than 10 percent drop in the company's quotes
in January 2021. Moreover, Europe has joined the US
sanctions, to the detriment of its economic goals.
Therefore, Xiaomi decided to work more actively in the
Russian market [4].
Economic factors
Economic factors have the most obvious impact
on the profitability and overall attractiveness of a mar-
ket or industry.
1. Increasing competition from other international
companies operating in the Russian market.
Competition is intensifying due to the develop-
ment of industry standards, the rapid adoption of tech-
nology and scientific advances in competing products,
short product life cycles and consumer price sensitivity.
In doing so, companies must compete on factors that
include product price, features, relative price and per-
formance, quality and reliability of products and ser-
vices, design innovation, third-party accessories and
software ecosystem, distribution and marketing oppor-
tunities, and corporate reputation [5]. In its competi-
tion, Xiaomi uses a business model that lowers costs
and increases profits. At the same time, costs are re-
duced due to the abandonment of retail sales, the use of
viral marketing and the attraction of partners for the
production of hardware and software. And the profit, in
turn, is created from the sale of mobile services pro-
vided for smartphone users.
2. Xiaomi offers quality at an affordable price for
the price conscious customer.
Currently, the market for electronic devices is very
competitive, there is an active struggle among manu-
facturers, and the focus is either on innovation or on the
optimal ratio of price and quality. Xiaomi has chosen
the golden mean - it produces and sells goods of the
middle price category, using the most demanded seg-
ment of the market. Buyers, in turn, choose the brand's
devices for a reasonable ratio between price and qual-
ity: often Xiaomi products have a better specification
than competitors, and at the same time have a lower
cost. The release of new models is not delayed, old
models are supported for a long time, due to the release
of updates for them. At the same time, the company's
employees follow the following principles: be friends
with consumers, offer them the best prices for products,
prioritize innovation, offer the highest quality devices
and adhere to an entrepreneurial spirit.
3. Decreasing purchasing power of Russian con-
sumers and rising unemployment in Russia
The purchasing power of the population is often
considered as one of the indicators of the well-being of
the country as a whole, since it depends on many fac-
tors. It is influenced by wages, the development of the
economy, and the standard of living of citizens in gen-
eral. Given the economic crisis, which is developing
due to instability in the oil market, as well as due to the
coronavirus pandemic, there cannot be any positive
forecast for the time being. And, naturally, this eco-
nomic situation has the most negative impact on the
purchasing power of the citizens of the country. Also,
due to the pandemic, there is a noticeable increase in
the number of unemployed in Russia. All this, in the
end, can lead to an increase in demand for the compa-
ny's products, which are distinguished by relatively low
prices and high-quality goods.
Social factors (Social)
Social trends dictate work patterns and attitudes,
tastes and preferences of consumers, as well as a spe-
cific type, form and volume of demand for a product or
a service [6]. For Xiaomi, these social determinants will
be:
1. In Russia, there is an increase in the number of
consumers purchasing and using smartphones of vari-
ous classes for various needs.
Russia in terms of population (146.17 million peo-
ple) ranks 9th in the world as of January 1, 2021. It un-
doubtedly has a large purchasing power in the world of
mobile phones, which are now an affordable commod-
ity for the population of the country. And, although
there are various obstacles in terms of social develop-
ment (for example, lower incomes of the population,
unemployment, social inequality), there is an increase
in smartphone users in Russia. So, their number in 2020
was 106.23 million people. Experts predict an increase
in the number of smartphone users in Russia to 114.61
million people in 2025 [7]. The growth in the number
of users is driven by the ease of use of smartphones and
their ability to make life much easier for consumers.
This increases the size of the smartphone market in
Russia and has a positive impact on Xiaomi's opera-
tions in Russia.
2. Western buyers find that almost any product la-
beled "Made in China" does not meet quality standards
and criteria. However, Russian buyers don't think so.
It is possible that someone still has unfounded
prejudices about the quality of goods made in China.
The current state of affairs justifiably refutes this opin-
ion. Xiaomi manufactures its products from high-qual-
ity components, choosing as partners the leading man-
ufacturers, with whom top Western companies also
work - including the leading manufacturer of proces-
sors Qualcomm. One of the factories that produces Mi-
smartphones is famous for its quality and the minimum
defect rate - Foxconn. For this it is appreciated, for ex-
ample, by Apple! Xiaomi's own production is built to
the most modern standards and guarantees perfect build
quality. And one more quality that distinguishes Xia-
omi products from other manufacturers: the company
has been supporting its devices for a very long time,
releasing updates for them. Providing customers with
the highest quality products and services to gain the
trust and loyalty of customers is the main principle of
the company's employees.
Technological factors

Technological changes taking place in a company
are driven by innovations, which, in turn, are developed
by entrepreneurs who seek to go beyond existing con-
straints. Once new frontiers are broken, technologies
become obsolete and competitive advantages are lost.
From a business perspective, technology can be used to
gain a competitive advantage through a variety of fac-
tors. Benefits may include cheaper manufacturing, effi-
cient customer access, improved branding, product
quality, and higher levels of business intelligence [6].
According to the latest report from the Boston Consult-
ing Group (BCG), Xiaomi is ranked 24th among the
most innovative companies on the planet.
1. Xiaomi company offers gadgets for the devel-
opment and use of which the latest technologies are ap-
plied.
The rapid development of the Internet has brought
a new future to the mobile phone industry, transforming
them into miniature pocket computers. The Internet is
becoming more and more accessible. Good access to
technology and more people actively using social me-
dia have contributed to widespread use of smartphones.
For Russia, the Internet penetration index is 76%. The
number of Internet users reached 118.4 million. [8].
The company's developers have implemented all the
advanced technologies in their innovative products to
achieve their efficiency and functionality. The line of
smartphones, even in budget series, is equipped with a
fingerprint sensor, which increases the security of de-
vices. In addition, most smartphones are manufactured
in an aluminum case, which makes them mechanically
resistant to drops. In the mobile phone market, techno-
logical innovation is a key strategy for leading players.
New technological features can give leading players an
edge over their rivals.
2. Now Xiaomi phones are able to work with mo-
bile communications of the fifth generation and partic-
ipate in the work of the “Internet of Things”.
Another key technological innovation for the Chi-
nese mobile phone market to hit in 2019 is the introduc-
tion of 5G technology. Xiaomi Mi 10 and Mi 10 Pro,
the company's flagship devices of the year, come with
a 5G version. Xiaomi continues to promote the hard-
ware & software & internet services model, adheres to
the mobile internet phone development trend, and
builds the smart terminals & mobile internet ecological
chain. The company announced that the company's IoT
platform has more than 800 smart appliances and 400
partners. IoT (Internet of Things) is the interaction of
various devices, objects and systems with each other
using communication technologies for the exchange of
information, its processing and analysis. The Internet of
Things allows you to: reduce operating costs; improve
the level of customer service; receive additional income
by expanding the portfolio of services; optimize the lo-
gistics supply chain; ensure the safety of production,
employees, facilities. The company has recorded 85
million connected devices, making Xiaomi the world's
largest smart hardware manufacturer.
The results of the PEST analysis are shown in
Fig. 1.
Fig. 1. PEST analysis by Xiaomi
Xiaomi
Economic
Political
Xiaomi is a Chinese brand success-
fully promoted in the Russian mar-
ket
Xiaomi has good support from Chi-
na's political system
Tension between the United States
and the European Union, on the one
hand, and China, on the other, is
only growing
Increasing competition from other in-
ternational companies operating in the
Russian market
Xiaomi offers quality at an affordable
price for budget-conscious customers
Declining purchasing power of Rus-
sian consumers and rising unemploy-
ment in Russia
Technological Social
Xiaomi company offers gadgets, for
the development and use of which
the latest technologies are applied
Now Xiaomi phones are able to
work with mobile communication
of the fifth generation and partici-
pate in the work of the "Internet of
Things"
In Russia, there is an increase in the
number of consumers purchasing
and using smartphones of various
classes for various needs.
Western buyers find that virtually
any product labeled "Made in China"
does not meet quality standards and
criteria. However, Russian buyers
don't think so.
P
P
E
T S

After analyzing the external environment of Xia-
omi in the Russian market, it is possible to detail the
results of the PEST analysis and supplement them with
an analysis of the internal environment while conduct-
ing the SWOT analysis. It allows us to assess the inter-
nal environment of the company, its strengths (S) and
weaknesses (W). The SWOT analysis also assesses the
company's external environment, its market opportuni-
ties (O) and threats from the external environment (T).
Let's characterize the main factors studied in the course
of the SWOT analysis.
Company Strengths
1. The presence of a strong leader in the company,
a close-knit leadership team and experienced staff.
According to experts, Xiaomi is the most expen-
sive startup in the world, which was founded in 2010
by an IT specialist Lei Jun and his associates. Given the
company's rapid success in the electronics market, it
has often been compared to Apple, and its founder has
been referred to as "China's Steve Jobs." At the same
time, the effective and forward-looking leadership style
and teamwork of the company's managers have become
one of the main factors in the phenomenal growth of
the Internet technology company. Xiaomi invests a lot
of resources in the training and development of its em-
ployees, resulting in the formation of highly qualified
personnel motivated to achieve high results.
2. A wide range of products produced by the com-
pany.
The main activity of the company is the produc-
tion of smartphones, the models of which cover a wide
range from budget to flagship solutions. The flagship
line is divided into separate groups of basic, modified
and extended smartphones. They can vary significantly
in performance and price, but they have one thing in
common - they are built using the latest technologies
available to Xiaomi. In addition to smartphones, the
company produces tablets, laptops, speakers, TVs and
other electronics, thereby demonstrating a steady
growth trend. Xiaomi produces a wide range of innova-
tive products: smart home systems, gadgets for tracking
human health, smart vehicles, drones and robots.
3. Creation of an effective trading network.
The Chinese company Xiaomi has carried out the
scaling of the retail network in the Russian Federation.
By mid-July 2020, Xiaomi had about 30 own MiS-
tore stores in Moscow, Nizhny Novgorod, Yekaterin-
burg, Novosibirsk and other cities. In addition, the
company has entered into partnership agreements with
major retail players. So, in July 2020, Inventive Retail
Group announced the launch of a network of Xiaomi
stores in agreement with the company. In total, the
company plans to open about 60 Xiaomi stores in Rus-
sia. They will appear in shopping malls with the most
advantageous locations for the brand. These stores will
sell a variety of Xiaomi devices, including
smartphones, tablets, laptops, wearable gadgets such as
watches and bracelets, and various accessories. In the
future, the partner of Xiaomi plans to open mono-brand
stores with a larger area, where products from the
brand's ecosystem will be sold, including products for
the smart home. At the end of February 2021, MTS and
Xiaomi began to open joint stores, which will sell con-
sumer electronics, home appliances, TVs, gadgets and
accessories only from this Chinese manufacturer. In to-
tal, the company plans to open at least 200 branded
stores in Russia.
4. Low price of products with their high quality
due to cost leadership.
The company's products have won users over with
their high performance, reliability and low cost. Even
against the backdrop of a huge number of competitors
in China, Xiaomi clearly wins in terms of cost. If we
compare similar models of the company and other
brands, then the former provides a better and more
powerful product, or it also offers the same option, but
at a lower price.
5. High brand awareness and value.
The Xiaomi brand, which produces inexpensive
high-quality smartphones, is well known in Russia.
Xiaomi is a young, but well-known brand. It is this cus-
tomer focus that allows the company to maintain its
high position in the ranking of global smartphone man-
ufacturers. Most of the users are satisfied with the com-
pany, because it provides an opportunity to get excel-
lent quality for an affordable price. Over the years, Xia-
omi has invested in building a strong portfolio of
brands. One of the solutions aimed at increasing brand
value is the combination of Chinese companies Baidu
and Xiaomi to develop systems based on the Internet of
Things and artificial intelligence. Companies will cre-
ate devices using computer vision, deep learning and
other AI technologies.
Weaknesses
1. Weak competitiveness.
Despite exceptional performance for their prices,
Xiaomi smartphones lag behind their global competi-
tors Apple, Samsung and Huawei in terms of brand per-
ception and customer experience. In Russia, Xiaomi
controls 18% of the smartphone market, while Apple
has 25% of the market and Samsung has 24% of the
market. [9].
2. Lack of an effective marketing strategy.
Marketing of products in the company leaves
much to be desired. Despite the fact that the product is
successful in terms of sales, its positioning and unique
selling proposition are not clearly defined, which can
lead to attacks in this segment from competitors [10].
3. Low level of technical support.
Experts point to poor after-sales service and cus-
tomer support in the Russian market. Xiaomi's services
in Russia, including after-sales support, are currently
provided by third parties and dealers. This is a disad-
vantage in comparison with the global competitors of
the company [8].
4. Weak advertising campaign.
Xiaomi's global advertising strategy is largely
standardized with local specificities based on brand
penetration and country factors. These differences can
be observed in the local implementation of the Xiaomi
advertising complex. The tools that Xiaomi uses in
Russia are digital marketing (social media), sales pro-
motion and direct marketing.
5. Low profitability of the company because of the
pricing adopted in it.

For an internet tech company, low profit margins
expose the brand to certain risks. For Xiaomi, there is a
higher risk that a decline in sales will significantly re-
duce its bottom line, and this could lead to a net loss. In
addition, low margins could limit R&D investment in
an electronics and software company, jeopardizing its
long-term growth prospects.
6. Lack of sufficient experience in the Russian
market
Xiaomi, which is only 10 years old, lacks the nec-
essary experience in the global market and this is a se-
rious weakness for the company. At the same time, its
main competitors, such as Apple and Samsung, have
been operating in the Russian market for decades. This
means that they have solid experience in dealing with
various issues related to working in international mar-
kets, such as intercultural differences, regional charac-
teristics, consumer preferences, access to distribution
channels and international supply chain management.
7. Promotion channels and logistics become bot-
tlenecks with increasing sales.
When planning its work in Russia, Xiaomi has to
take into account the large size of the country, the une-
ven distribution of the retail network, and differences
in consumer priorities. In this case, it is necessary to
take into account the peculiarities of the company's
work in a pandemic. All this creates certain difficulties
for the planning and operation of logistics channels.
Opportunities
1. Formation of strategic cooperation with other
companies in the Russian market
Formation of strategic cooperation with compa-
nies working in the field of e-commerce, information
technology and related industries is a good opportunity
for Xiaomi in the Russian market. This can be cooper-
ation with retail chains present in the market, or com-
panies engaged in R&D. It can also cooperate with lo-
gistics companies that form supply chains. The benefits
that Xiaomi can derive from strategic cooperation re-
main great, and the company needs to take advantage
of such opportunities more actively.
2. Increasing the efficiency of innovation and the
efficiency of implementation of research and develop-
ment results
Xiaomi has the ability to significantly improve the
efficiency of innovation by making effective invest-
ments in research and development. To use this oppor-
tunity, the company needs to attract the best specialists
and motivate them with the complex application of tan-
gible and intangible motivation tools. The effect is also
possible from joining efforts to develop and implement
innovations with other interested companies operating
in the Russian market. Significant efforts are also
needed to improve the efficiency of the introduction of
innovative developments in various areas of the com-
pany's activities.
3. Increase the presence in the cloud segment
This is one of the strategic opportunities for Xia-
omi. The company can focus on products and services
with high growth rates, such as the cloud segment and
artificial intelligence, taking into account the main
trends in the global e-commerce and IT industries [10].
4. Adaptation of the MIUI operating system to the
peculiarities of the Russian market
Most Xiaomi smartphones have a modified An-
droid MIUI Xiaomi user interface that significantly up-
dates Android, includes features to improve battery per-
formance, and is fully customizable. For greater suc-
cess in the Russian market, Xiaomi needs to strengthen
the development of the MIUI system adapted to the
Russian market and accelerate cooperation with related
manufacturers. The advantages of the MIUI system and
the cooperation of manufacturers will create great ben-
efits [11].
5. The ability to bypass competitors OPPO and
Vivo, which have not yet entered the Russian market
Outside of China, few people know about these
two firms, but domestically, they are the fastest grow-
ing companies in the market. The companies are sub-
sidiaries of BBK Electronics and produce not the
cheapest smartphones in China. BBK Electronics plans
to enter the Russian market and expects that Vivo will
occupy about 5-7% of the Russian smartphone market,
while Oppo's share will be 5%.
6. Growth of smartphone penetration
According to the country rating of smartphone
penetration, Russia is among the top ten countries with
the highest penetration rating and is ranked 7th. At the
same time, the distribution of smartphones is 66.3%,
with 95.4 million users [8]. And the numbers character-
izing the penetration of smartphones are only growing.
As the penetration of mobile phones in the country
grows, the leading players are shifting their focus to
selling more expensive high-value goods.
7. Active participation of the company in the de-
velopment and implementation of the Internet of
Things (IoT) and artificial intelligence
Xiaomi, in addition to the usual smartphones, also
sells smart home and lifestyle products in the Russian
market. And although this product is quite new for the
Russian market, more and more consumers are inter-
ested in it. This leads to a steady increase in sales vol-
umes.
8. Implementation of 5G technology in the com-
pany's smartphones
An important technological innovation for the
Chinese mobile phone market, which has gained prom-
inence in 2019, is the introduction of 5G technology.
Xiaomi's flagship devices, the Mi 10 and Mi 10 Pro,
come with the 5G version. At the same time, the de-
mand for 5G phones will grow, which will help to in-
crease their market value. With the arrival of this tech-
nology in Russia, we should expect an increase in sales
of mobile devices using this technology.
9. Increase in the number of specialized stores and
optimization of the retail network.
Xiaomi uses both direct and indirect distribution
channels to effectively reach their customers in the con-
sumer market. In most of its markets, the company sells
its products and resells third-party products directly to
consumers and small and medium-sized businesses
through its retail and online stores, as well as through
direct sales. The company's retail stores are usually lo-
cated in high-traffic locations in shopping malls and ur-
ban shopping areas. Stores are designed to simplify and
improve the presentation and marketing of a company's

products and related solutions. By increasing the num-
ber of specialized stores and optimally placing them in
the sales area, you can influence the volume and effi-
ciency of sales.
Threats
1. Possible saturation of the smartphone market
The saturation of the smartphone market is one of
the biggest threats to Xiaomi. To cope with this threat,
Xiaomi needs to further explore the possibilities of ex-
panding the Russian market. The possibilities for ex-
panding the Russian smartphone market are in good
agreement with the inexpensive prices for Xiaomi
products.
2. Possible increase in the cost of the resources
used
The rise in the cost of the resources used can be
considered a serious threat to Xiaomi. After all, a high-
tech electronics and software company has chosen a
cost-leadership business strategy and operates with a
very low profit margin [12]. Unlike its main competi-
tors, any slight increase in resource costs for Xiaomi
will inevitably affect the cost of products, thereby jeop-
ardizing Xiaomi's competitive advantage.
3. Possibility of scandals related to corporate so-
cial responsibility
For Xiaomi, there is a potential for corporate so-
cial responsibility issues that could jeopardize the long-
term prospects for business growth. Due to the cost
leadership business strategy that Xiaomi is pursuing,
the company is trying to cut costs wherever possible.
Accordingly, there are attempts to reduce costs, includ-
ing the cost of human resources. At the same time, the
company may face ethical problems that can escalate
into scandals.
4. Dangerous competitors OPPO and Vivo may
enter the Russian market
In the event that OPPO and Vivo enter the Russian
market, the existing market equilibrium will be upset
and a possible redistribution of segments between mar-
ket participants will occur. And this may not be in favor
of Xiaomi.
5. Growth of intensity of competition in the indus-
try
Strong profitability in the industry has boosted
player numbers over the past two years, putting down-
ward pressure not only on profitability but also on over-
all sales. New technologies developed by a competitor
or newcomer to the market can pose a serious threat to
the industry in the medium to long term. Competition
is also intensifying due to advancing industry stand-
ards, rapid technology adoption and advances by com-
petitors, shorter product life cycles and consumer price
sensitivity.
6. A high degree of government participation in
the telephone industry
As known, in Russia there is a high degree of state
participation in the telephone industry. In the country,
electronics suppliers are facing this challenge as the
government recently passed a new law requiring Rus-
sian software to be installed on all smartphones from
2021, which is expected to be delayed due to the Covid-
19 crisis.
7. Instability of pricing policy
High quality mobile phone brands have taken over
the domestic mobile phone market thanks to price re-
duction measures. While they cannot sell at low mar-
gins like Xiaomi in the short term, Xiaomi's margins
will continue to weaken in the near future [5]. Since the
company operates in many countries, it is subject to
fluctuations in exchange rates, especially given the un-
stable political climate in a number of markets around
the world, including the Russian one. Xiaomi's pricing
strategy in the Russian market helped Xiaomi to in-
crease its market share, but also led to low margins and
increased foreign exchange risks in the market.
8. Anti-Chinese sentiments in the West and all
kinds of sanctions
The possible growth of anti-Chinese sentiments on
the part of the United States and the European Union,
the introduction of new sanctions may negatively affect
the company's activities. Certain inconveniences will
be created by the ongoing, and even intensifying, coro-
navirus pandemic, which affects consumption, govern-
ment policy and global trade.
Let's summarize the factors discussed above in the
SWOT matrix (Fig. 2).
Based on the results of SWOT and PEST analysis,
the following recommendations can be proposed to im-
prove the efficiency of Xiaomi in the Russian market.
Xiaomi should continue to promote the company's
“hardware and software and Internet services” model,
adhere to the development of mobile Internet phones
and build an ecological chain of “smart terminals and
mobile Internet”.
Continue investing in startups that create smart
home devices in order to create an ecosystem that can
be controlled from a Xiaomi smartphone.
Xiaomi should consider the Russian market geo-
graphically, and not according to general statistics,
which most often characterize only the western part of
Russia. This will create a flexible pricing strategy, tak-
ing into account the specifics of demand and the finan-
cial capabilities of the local population. It will then be
possible to adjust prices for each local market so that it
remains profitable while maintaining price and quality
competitiveness due to the price sensitivity of the mar-
kets studied.
A possible step for Xiaomi could be the moderni-
zation of the operating system, the optimization of
MIUI for applications that are often used by Russian
consumers. Currently, not all owners of Xiaomi
smartphones in Russia are satisfied with the operating
system of the devices.
To ensure brand awareness for Xiaomi, it is advis-
able to develop and effectively implement an advertis-
ing mix that includes: digital marketing, social media,
sales promotion, direct marketing, public relations, per-
sonal selling and traditional advertising. At the same
time, when distributing forces and resources between
various elements of the advertising complex, it is nec-
essary to take into account the peculiarities of the re-
gion where the events are planned. Moreover, if in the
middle and lower segments in Russia there are enough
classic advertising and billboards in places where the
target audience is concentrated, then hidden advertising
is needed for promoting more expensive devices.

Fig. 1. SWOT Matrix for Xiaomi
Xiaomi should focus on offline sales, but at the
same time, it needs to increase its influence on the Rus-
sian Internet, social networks such as VKontakte and
Odnoklassniki, as well as on popular online video chan-
nels. It is advisable to involve popular Instagram blog-
gers for work.
Considering that the majority of Russian consum-
ers are interested in a necessary device with the Internet
connection, but tend to buy a smartphone in offline
stores, it is important for them to personally hold the
device in their hands before paying money. This sug-
gests the need to open offline stores in remote regions
of Russia.
In order to solve the problems that Xiaomi faces
in the Russian market in terms of brand perception and
quality of customer service, differentiated marketing
should be used more widely; as well as to increase the
number of corporate events and giveaways, as well as
expand the number of Mi stores in Russia.
To support the promotion, we can recommend
Xiaomi to create a network of service centers and or-
ganize online technical support in most regional cen-
ters.
The study showed that there is still significant
market potential that can be explored and used by Xia-
omi to improve its performance in the Russian market.
Xiaomi Weaknesses
Strengths
The presence of a strong leader in the com-
pany, a close-knit leadership team and ex-
perienced staff
Wide product line of the company
Creation of an effective trading network
Low product price with high quality due to
cost leadership
High brand awareness and value
Weak competitiveness
Lack of an effective marketing strategy
Low level of technical support
Weak advertising campaign
Low profitability of the company due to the
pricing adopted in it
Lack of sufficient experience in the Russian
market
Promotion channels and logistics become
bottlenecks with increasing sales
Threats Opportunities
Possible saturation of the smartphone mar-
ket
Possible increase in the cost of resources
used
The possibility of scandals related to corpo-
rate social responsibility
Dangerous competitors OPPO and Vivo
may enter the Russian market
Growing intensity of competition in the in-
dustry
High degree of government involvement in
the telephone industry
Instability of pricing policy
Anti-Chinese sentiments in the West and all
kinds of sanctions
Formation of strategic cooperation with
other companies in the Russian market
Improving the efficiency of innovation and
the efficiency of implementation of research
and development results
Increased presence in the cloud segment
Adaptation of the MIUI operating system to
the peculiarities of the Russian market
Opportunity to bypass competitors OPPO
and Vivo, which have not yet entered the
Russian market
Smartphone penetration growth
Active participation of the company in the
development and implementation of the In-
ternet of Things (IoT) and artificial intelli-
gence
Implementation of 5G technology in the
company's smartphones
Increase in the number of specialized stores
and optimization of the retail network
S
P
W
T O

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INNOVATIVE DEVELOPMENT OF ENTERPRISES IN THE POST-INDUSTRIAL MANAGEMENT
SYSTEM
Fostolovych V.,
Dr. PhD, Associate Professor of the Department of Accounting and Taxation in the branches of the econ-
omy Faculty of Accounting and Auditing of Vinnytsia National Agrarian University, Ukraine
Hurtovyi O.
4th year student Faculty of Economics
Vasyl’ Stus Donetsk National University, Ukraine
DOI: 10.24412/3453-9875-2021-60-1-17-28
Abstract
The article examines the place of innovative development of enterprises in the post-industrial management
system of enterprise development. The possibility of realization of the innovative direction of development in the
direction of digitalization of technologies and technological processes in business is investigated. The institutional
environment and its ability to implement an innovative direction of society development in Ukraine are studied.
The intellectual potential and human capital that will guide business activity in the direction of business digitali-
zation are analyzed. An assessment of the rating of doing business according to Eurotablo is presented. The dy-
namics of the index of economic globalization of Ukraine is estimated and the indicators of the rating of the global
index of innovations in 2019 of Ukraine and some other countries are studied. A qualitative assessment of
Ukraine's innovation potential in the dynamics over the years. The place of innovations in modern business is
substantiated.
Keywords: Households, innovations, innovative technologies, digitalization, transformation, human capital
Post-industrial development of society is charac-
terized by the transition of elements of activity, life,
economic activity of enterprises and organizations, or-
ganization and conduct of business, performance of
household functions in digital format. The main func-
tions of physical action can be implemented using de-
vices or elements that work by transforming analog
data into digital format, provoking a "digital revolu-
tion" in the system of society (at the private level), in
the system of organization and implementation of busi-
ness (business level) and in the management system of
all elements of the system at the regional and state lev-
els. It is impossible even today to imagine the activities
of the state and structures of all hierarchical levels of
government without the use of digital technologies that
determine the available resources and take into account
the need for them, allocating the share needed for im-
plementation to accumulate capital. That is, digitaliza-
tion permeated both the activities of individuals, the
functioning of society and the economy as a whole. To-
day, it has become quite acceptable not only to do busi-
ness through the process of organizing and conducting
business in digital format, but also a holistic digital
business. Both the financial crisis and the spatial isola-
tion caused by the pandemic have prompted the whole
world to quickly adapt to integrating elements of digital
technologies into absolutely all spheres of life. That is,
all over the world, and in Ukraine in particular, a rapid

digital transformation has taken place, which has reori-
ented education - into digital education, business be-
comes competitive only when it reorients its activities
to innovative technologies, system methods with max-
imum use of digital elements and digital models of pro-
duction technologies. Therefore, digitalization has be-
come not a manifestation of the future, but a necessity
of the present, ie the only element in the modern way
of life, which gives the opportunity to see the future
only with an active transition to "digital technology".
The future of any company is determined by its
ability to quickly find and select for its activities the
most modern technologies and techniques, and an auto-
mated business management system. Therefore, the
ability of enterprises, society and the state as a whole to
rapid digital transformation encourages the transition
from industrial development that involved the use of
analog technologies to post-industrial - which involves
the widespread use of digital knowledge, digital crea-
tivity, digital technology, digital business innovation.
Our vision is confirmed by research Innolytics.ag
MANAGAMENT SYSTEMS SOFTWARE [1], which
investigated that «Digitalization is the generic term for
the Digital Transformation of society and the economy.
It describes the transition from an industrial age char-
acterized by analogue technologies to an age of
knowledge and creativity characterized by digital tech-
nologies and digital»
We believe that the active digitalization of any en-
terprise should become its development strategy and
lifestyle of the company, because the introduction of
innovations in the field of digitalization determine the
level of long-term digitalization of the company. In the
enterprise management system, it is important to form
a management system so that its management staff has
all the tools to manage innovation. The introduction of
innovations and the orientation of the enterprise to the
innovative direction of development with constant im-
provement involves constant changes not only in the
production process, but also in the organization of the
management system.
The process of constant improvement, renewal,
constant modernization through the introduction of in-
novative tools, instruments, techniques, technologies,
methods and models and processes contribute to the
formation of new values of the enterprise and reaching
a new stage of development.
Continuous improvement involves the analysis of
the current process and control over situations that oc-
cur directly in the production of goods, works or ser-
vices. All this is possible only in the case of having op-
erational information about the process. Full dissemi-
nation of information, its processing, analysis and
decision-making on the basis of the obtained data is a
condition for post-industrial development. The primacy
of information possession has become especially rele-
vant today. Possessing information, its dissemination
makes it possible to stay ahead of the competitor in
terms of user interest in the information or the buyer,
expanding their markets. The formation of an infor-
mation database, which is constantly updated when
changes are made and has a ranked level of user access
to it depending on the level of hierarchy (from user to
manager) with the possibility of expert evaluation and
automated construction of ready-made decision algo-
rithms ensures the transition to post-industrial develop-
ment. In the system of modern business process, infor-
mation becomes important not so much as a resource
for sale, but in its processing, evaluation, structuring,
which contributes to the creation of a new finished
quality product based on itUkraine already has such a
not quite positive practice - to sell not the finished prod-
uct, but raw materials that minimize the economic ef-
fect of the operation. The value added that is formed in
the production cycle according to the closed cycle
scheme is much higher than the cost of the raw material
itself. Therefore, selling the final finished product, the
manufacturer increases the economic effect by several
orders of magnitude higher than when selling the infor-
mation itself (analog - the sale of raw materials). In the
system of post-industrial production, information
should be considered as a raw material that can be sold,
but the effect will be minimal. However, the already
processed information, grouped, analyzed on the basis
of which the algorithm of actions is built and alternative
variants of the decision of problems are developed - act
as the final knowledge and skills which serve as a fin-
ished product. The post-industrial system of develop-
ment is characterized by another feature, which is due
to the fact that the constant application of new
knowledge encourages the company to develop, im-
proving its competitive position in the market. After re-
ceiving the basic information, the user decides which of
the whole array should be chosen for use, and then buys
the product that is most informed, which gives the
clearest, and the one that is most ready and suitable for
use in its conditions. As a result, the dissemination of
information about the company, about the finished
product it produces creates a platform of potential de-
mand and forms a potential consumer.
Quality service, product, work, presented to the
user as a gift, serves as the greatest incentive to become
a regular consumer or customer. Thus, involving ele-
ments of post-industrial development in the technology
of production of the finished product and in the enter-
prise management system, the maximum economic ef-
fect is achieved. However, this can be achieved only on
the basis of relevant data, processed, analyzed and
formed into a finished product in the form of variants
or algorithms of ready-made management decisions.
Full possession of relevant information makes it possi-
ble to disseminate it at the level of the planned segment
of the potential and existing market segment and offer
for implementation a processed version of it trans-
formed into knowledge. Thus, enterprises of various in-
dustries, including agricultural enterprises, will be able
to inform all potential consumers about the quality
characteristics of their product and its own brand, the
quality of which is confirmed by relevant certificates
that ensure recognition not only in domestic but also in
international markets. The efficiency of modern busi-
ness is determined by the primacy of the enterprise in
the possession of information, the primacy in its pro-
cessing and systematization and the primacy in its im-
plementation. Therefore, we believe that economic ac-
tivity in the post-industrial era is the result of a «game
in advance».
The free dissemination of information does not in-
dicate the disclosure of business secrets. Only infor-
mation that is of interest to the end user, indicating the
characteristics of the finished product and technology,
is presented for public review. Information about the

technology itself should also be provided, but its spe-
cific elements should be presented in an encrypted for-
mat and in a language that is understandable to a limited
number of professionals. That is, the encryption of spe-
cial data that constitute a trade secret of the business
process becomes the basis of the information culture of
the post-industrial era of economic development and
states in general.
Multilingualism is an important element in the de-
velopment of enterprises, the economy and the state as
a whole. Knowing the languages of different countries,
it is possible to learn the main principles of successful
companies, to identify the main tools for success in the
development of not only economic prosperity, but also
to learn to form technology combining financial results
with environmental security and social development.
Therefore, documenting business processes in the na-
tive language is one of the elements of unique encryp-
tion of particularly important information and own de-
velopments, and knowledge of other languages reduces
the time to develop innovative approaches to solving
problems set by the enterprise or the state. Therefore,
in the era of post-industrialism, the sphere of infor-
mation resources and services is ahead of the sphere of
material production in need, which leads to a change in
the nature of human activity and directions of its devel-
opment. The type of resources for the effective imple-
mentation of the development strategy has changed,
where the main production resource was information,
which led to the modification of the social structure and
change its needs. The main productive resource of post-
industrial society is information, not the raw materials
or energy that underlie pre-industrial and industrial so-
ciety. . Production activity began to implement technol-
ogies of recycling, recycling or treatment, while in pre-
vious epochs production was based on intensive extrac-
tion and mass production. Modern technologies have
acquired the characteristics of knowledge-intensive, in-
novative and resource-saving, to replace labor-inten-
sive and capital-intensive technologies, which pre-
vailed in pre-industrial and post-industrial production,
respectively.
Thus, the basis of post-industrial development of
society is the information society, which is a phase of
development in which information and the creation of
knowledge based on it are produced in a unified infor-
mation space. The speed of formation and dissemina-
tion of information and its transformation into
knowledge based on the processing, analysis and sys-
tematization of available information depends on the
level of development of information and communica-
tion technologies.
The level of information and communication tech-
nologies and the intensity of their spread is evidenced
by the intensity of the use of computers and computer
networks in enterprises with an estimate of the distribu-
tion by the average number of employees. We analyzed
these indicators during 2018-2019. The study found
that the number of companies that used computers in
2019 increased compared to 2018 data. Thus, if in 2018
44133 enterprises used computers, in 2019 its number
increased to 44532 units. This indicates the production
need to use information and communication technolo-
gies in the process of organizing and conducting busi-
ness. In addition, it should be noted that more than half
of enterprises used a local computer network (LAN) in
the process of their activities (53.5 and 51.9%, respec-
tively, in 2018 and 2019), and even more enterprises
had an Intranet ( 59.2 and 58.05% respectively in 2018
and 2019).
Table 1
The use of computers and computer networks in enterprises with a distribution by the average number of em-
ployees in 2018-2019
№ Indexes
Period
2018 2019 2018 2019
units
in% to the total num-
ber of enterprises
1. Number of enterprises that used computers: of them: 44133 44532 Х Х
1.1 used a local computer network (LAN) 26307 26287 53,5 51,9
1.2 had an intranet 29129 29388 59,2 58,0
1.3 had an Extranet network 4094 4112 8,3 8,1
2. Including with an average number of employees from 10 to 49 people:
2.1 Number of enterprises that used computers. Of them: 33671 33844
2.3 had an intranet 21607 21681 56,7 55,1
3. Including with an average number of employees from 50 to 249 people
3.1 Number of enterprises that used computers: of them: 8310 8511 Х Х
3.3 had an intranet 5888 6042 66,7 66,5
4. Including with an average number of employees of 250 people or more
4.1 Number of enterprises that used computers: of them: 2152 2177 Х Х
4.3 had an intranet 1634 1665 73,0 72,7
Source: [1]

Percentage of enterprises with an average number
of employees of 250 or more use information and com-
munication technologies to a greater extent than enter-
prises with a smaller number of employees. Thus, if the
percentage of enterprises with an average number of
employees over 250 people using a local computer net-
work (LAN) is 87.5 and 86.2%, respectively, in 2018
and 2019, then only 70.2-69.1% respectively in 2018
and in 2019 the company, with an average number of
employees from 50 to 249 people used this network.
This figure is even lower in enterprises with an average
number of employees from 10 to 49 people.
All this indicates that companies with a strong in-
tellectual base, developed management and marketing
system feel the urgent need to use digital intensification
tools and the use of automated systems of information
base formation and analysis and processing for active
use of automated control systems. Important in the sys-
tem of post-industrial development is the system of
«big data», which was presented by Gartner [2] model
«3V» (Volume, Velocity, Variety). Analytical pro-
cessing of a large array of data should provide eco-
nomic benefits for business structures, because without
the result any processed array of information remains a
technological solution. A similar vision is described by
Gartner «… Big data» warrants innovative processing
solutions for a variety of new and existing data to pro-
vide real business benefits. But processing large vol-
umes or wide varieties of data remains merely a tech-
nological solution unless it is tied to business goals and
objectives.» [2].
That is, Big Data is an information source of a sig-
nificant array of data aimed at assisting the manage-
ment of the enterprise in making effective management
decisions. The resource for the formation of the Big
Data network are: information on transactions, which is
a database of customers from existing electronic sys-
tems (transactions carried out by online stores; infor-
mation based on accounting data); data from reading
sensors; data of digital and electronic meters; data of
automated trading networks and systems; social net-
work data (customer reviews, blogs, sites) and more.
Ukrainian enterprises have also to some extent started
to use the «big data» network intensively. However,
during 2018-2019, the share of enterprises that con-
ducted «big data» analysis is quite small (Table 2). Less
than 6% of Ukrainian enterprises conducted big data
analysis. Therefore, business structures of Ukraine
need to take measures and implement innovations in the
management system of the enterprise, which will allow
to obtain maximum effects from the use of the «big
data» network.
Table 2
Analysis of «big data» with the distribution by average number of employees in 2018-2019
№ Indexes Period
2018 2019 2018 2019
units in% to the total number of enterprises
1 Number of enterprises that conducted "big data" analysis, according to "big data" sources
1.1 data obtained from smart devices or sensors 2917 2896 5,9 5,7
1.2 geolocation data obtained from portable devices 1697 1874 3,4 3,7
1.3 data generated from social media 1600 1658 3,3 3,3
other sources 2974 2852 6,0 5,6
2 Number of enterprises in which the analysis of "big data" was conducted
2.1 on ones own 5256 5146 10,7 10,2
2.2 external service providers 2023 2051 4,1 4,0
Source: [3]
In the process of obtaining information and ana-
lyzing «big data», companies used various sources, in
particular: data obtained from smart devices or sensors;
geolocation data obtained from portable devices; data
generated from social media; other sources.
To a greater extent, enterprises analyzed «big
data» based on information obtained from smart de-
vices or sensors (5.9 and 5.7% of enterprises, respec-
tively, in 2018 and 2019) and their other sources (6.0
and 5, 6% respectively in 2018 and 2019). To a lesser
extent, enterprises used for analysis information re-
sources obtained from geolocation data obtained from
portable devices (3.4 and 3.7% of enterprises, respec-
tively, in 2018 and 2019) and data generated on the ba-
sis of social media.
Estimating the number of enterprises where the
analysis of «big data» was conducted, we noted that
more than 10% of enterprises carried it out on their own
both in 2018 (10.7% of enterprises) and in 2019 (10.2%
of enterprises). The analysis of «big data» at the ex-
pense of external service providers was conducted by
4.1% of enterprises in 2018 and 4% of enterprises in
2019. The development of information and communi-
cation technologies enables domestic business struc-
tures and management staff of all institutions to mini-
mize risks and build management decision-making al-
gorithms based on real data with the ability to forecast
future results. Using information resources and per-
forming analysis of "Big Data" companies gain scien-
tific and technological advantages in the process of im-
plementing development strategies and in making man-
agement decisions. Access to information is quite
important to solve social problems. It should be under-
stood that using the old approaches that have not previ-
ously given a positive result to solve problems, to ex-
pect a positive result each time is a futile expectation.
Therefore, information about successful results and op-
portunities should be available not only in the spheres
of big business, but also at the level of the whole soci-
ety. An important element is the exchange of
knowledge and presentation of their own experience in
solving problems using innovative solutions. This ap-
proach will enable the state to solve a significant share
of social problems and provide tools for managing so-
cial impact. Therefore, the application of the method of

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