Innovation and Structural Transformation of Industry

Abstract

The innovative activity of the production system is the most important component of its successful adaptation to rapidly changing market conditions, expressed in the increasing competition in the domestic and foreign markets. Innovation is one of the main structure-forming factors in micro-, meso-, and macroeconomic levels, which finds its practical embodiment in the evolution of structural changes in the industrial and post-industrial economy. At the same time, at the industry (mesoeconomic) level, innovations are formed due to such important components as strategic planning, scientific and design activities, and marketing research. The paper focuses on the main factors of innovative development of industrial production. A comparative analysis of the components of innovation activity of developed and developing countries (BRICS countries) is carried out. The paper shows both weak and strong competitive positions of the Russian economy in the innovation sphere, reveals its features. The criteria for classifying the industry as a knowledge-intensive one are defined and disclosed. Characteristic features of knowledge-intensive industries and knowledge-intensive manufacturing, the growth of the share of which leads to progressive structural transformations of industry, increase its competitiveness. Particular attention is paid to structural transformations at the microeconomic level, where the liquidation of inefficiently operating enterprises, the creation of new knowledge-intensive companies, as well as the restructuring of existing ones, allow the implementation of a whole range of progressive transformations, such as financial, industrial, property, managerial, and legal ones.