IT PRODUCTS MARKET: ANALYSIS FOR BUSINESS ESTABLISHMENT AND DEVELOPMENT

Authors

  • I. A. Roshchyk National University of Water and Environmental Engineering
  • O. S. Ovsiichuk National University of Water and Environmental Engineering

DOI:

https://doi.org/10.31713/ve4202027

Keywords:

Information Technology, IT products market, market capacity, forecasting, the workplace cost.

Abstract

According to the method proposed in the paper, the market capacity of IT products for the period 2010-2018 in Ukraine is estimated. Using statistical methods of time series analysis the development of the IT products market is analyzed. It has grown 15 times over the past 10 years, while exports have grown 26 times.The main IT product sold in Ukraine is computer programming services. Based on the correlation-regression analysis, a model of the IT products market capacity and GDP per capita dependence of Ukraine is made. Based on it, it is projected that the market capacity ranged from 120 to 178 billion UAH due to the fall of the Ukrainian economy in 2020. After structural and dynamic analysis it was found that the main activities which buy software, have their own website, buy cloud computing services, order analysis of «big data» are ICT, trade, processing industry.The biggest reserves for the expansion of IT business should be sought inthe areas of transport, construction and real estate.It is determined that during the analyzed period the competition in themarket of IT products intensified, as the number of their manufacturersincreased more than 5 times. These are mainly natural entitiesentrepreneurs who enjoy tax benefits in the form of a simplified taxation system. The number of employees in the IT business has increased more than 3 times during this period.For assessing the investment needs in the IT sector, a workplace costindicator is proposed. Using the ratio of labor productivity and the workplace cost, it was found that investments in the IT sector pay off almost twice as  fast as in enterprises of other activities. This is confirmed after the profitability analysis of different types of IT business – it is mostly positive and is at the average level in the economy of Ukraine.

Author Biographies

I. A. Roshchyk, National University of Water and Environmental Engineering

Candidate of Economics (Ph.D.), Associate Professor

O. S. Ovsiichuk, National University of Water and Environmental Engineering

Senior Student

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