Entrepreneurship development in the digital economy



Keywords: entrepreneurship, digitalization, business, economy.

Under the leadership of Honorable President of Turkmenistan, the country materializes these measures in accordance with the national development programs, including those concerning the formation of core infrastructure. The national respective legal base undergoes further perfection. These are, for instance, the laws of Turkmenistan «On Communications» (2019 as amended), «On legal regulation of development of the Internet and provision of Internet services in Turkmenistan», «On information security», «On cybersecurity», «On electronic document, electronic document management and digital services», other basic legislative acts. The national economy undergoes structural reform strictly for diversified development, for industrialization, establishment of full-cycle production of finished goods with a high share of value added.

The process of privatization of the state property is going on. The foundations of high-tech, inherently innovative industries, including the electronics industry, begin to appear in the national economy. The development of private entrepreneurship in Turkmenistan is of the multi-vector nature. Along with the small, medium and large enterprises, various forms of family and individual business are successfully functioning. Among the factors influencing the calibration of private enterprises, it is necessary to indicate the economic branch peculiarities, as well as the dynamics of technological progress. In particular, the intensification of a number of economic sectors and segments requires large investment injections and establishment of large production capacities, while others, by their nature, require a greater degree of adaptability, and the relatively small volumes of the existing and newly created productions promote it.

Currently, the process of privatization of the state property is going on in the country, the scale of private entrepreneurship and business is expanding, all required conditions begin to appear to improve the quality of products through active introduction of the advanced technologies. In general, the trend of sectorial structuring of the economy and further development of the sphere of administration is distinctive in a big number of the countries. The digital economy indeed enriches and transforms the sense and content of the traditional economic principles and directives.

Digitalization of the business sphere implies directly the active introduction of technological innovations at enterprises to renew significantly the mix and the quality of products. This approach stipulates radical reform of the production cycle, the important criteria of which include the purchase and installation of fundamentally new equipment, improvement of corporate culture, modernization of external communication and management segments. The stages of digitalization of business within the framework of transformation of an enterprise of the traditional administrative model into a new, large, innovative and high-tech company include:

1. Traditional business. It stipulates implementation of all procedures for the client base and operations while using modern technologies.
2. Digitalization. Improvement of professional literacy and practical skills of employees in matters of digitalization; purposeful activation of business operations in all segments and units of the enterprise.
3. Common digitalization. Effective involvement of advanced technologies and resource base, identification of perspective areas of the activity.
4. Strategic stage. The work plans and schedules of an enterprise are transformed. Improvement of productivity of the employees and effectiveness of the scientific research.
5. Digitalization convergence. Creation of a special working group on digitalization of the business sphere.

The group works up new strategies for the administrative staff, actively participates in the formation of system models. 6. Introduction of innovations. The range of application of new opportunities due to the process of forming a new infrastructure, introducing new technologies is purposefully expanding. Digitalization of the economy opens new optimal opportunities for the development of private entrepreneurship, and namely: — the possibility of more active and intensive interaction with the client audience, of radical transformation of the content, methods and approaches of private business, and as a result, there is an additional potential for expanding the range and improving the quality of products.

The evident success of the reforms initiated in this direction becomes a weighty argument for strengthening of customer’s confidence in the company. Digital technologies help the individuals and legal entities make independent, verified decisions on the most pressing issues and problems, including those directly related to the employees of the enterprise, with significant savings in time and in money spent for these purposes; — the degree of flexibility, adaptability and speed of operations visibly increases, thus providing higher economic efficiency and final profitability of enterprises; — new opportunities for making profits are emerging, when, for example, a number of enterprises, as part of the study and development of innovative technologies within their own production cycle, collect and analyze data based on the results of which they often attempt to establish comprehensive maintenance of the latest technical and technological processes.

1. Improvement of the quality of analytical research and monitoring. New technologies make it possible to efficiently collect and store information data, contributing to a more in-depth personification of the client audience.
2. Emergence of new opportunities for business activation. The skillful use of digital technologies makes it possible to quickly and effectively establish and develop fruitful interaction between individuals and legal entities of private entrepreneurship, regardless of their mutual remoteness and vast distances, ensuring reliable protection of data and financial resources.
3. The range of possibilities for using cloud technologies is expanding: all available and newly received information is uploaded to the «cloud».

This technology provides users with the opportunity to join the worldwide information network using almost any equipment that allows them to work with information data. In other words, this technology allows you to work efficiently and greatly facilitates working conditions, regardless of where in the world a person is. Digitalization of the economy intensifies the processes of automation of relevant processing operations, while simultaneously causing the emergence of new professions and qualifications against the background of gradual decline and complete disappearance of some specialties.

The demand grows for certain types of work not related to the established algorithms but requiring creative initiatives and creative abilities. A significant part of labor relations and employment comes to the virtual format (against the background of increase of non-traditional forms of labor, partial, one-time and other forms of employment). Digitalization fundamentally transforms the traditional sectors of the economy, defines the main vectors of formation of new markets and economically active spaces.

The newly emerging business models focus explicitly on satisfaction of needs and interests of the users (customer centric), including the whole range of measures — beginning with good price offer for timely delivery (just in time) within the framework of meeting the consumer demand up to regulation of cash flows in the context of receipt of the requested product (service).

Taking into account the fact that the operational processing of big data occurs simultaneously and in real time, it is itself the source of pricing. Big data and digital technologies help a lot to the successful search for new sources of pricing. Thus, information related to the user audience becomes the object of main activity of the digital companies. The provision of complete, overall consideration of the needed data leads to increase in market prices. The rapid development of digital platforms, transparent data stimulating the emergence and spread of innovative business models in the economic space should be considered as a reality of the modern era of digitalization.

References:

1. «Conception for Digital Economy Development in Turkmenistan in 2019–2025» — Ashgabat, 2018
2. Abdrakhmanova G. I., Vishnevsky K. O., Gokhberg L. M. «What is the digital economy? Trends, competencies, measurement» — Moscow, 2019
3. https://severstalssc.com/services/czifrovizacziya-biznes-proczessov/