Research of innovation activity influence on return of stocks in industrial enterprises

Abstract

The paper investigates the possibility of using the Fama-French Three Factor Model to determine the effect of innovation on the market value of the enterprise's securities, and the regulation of index that characterizes excessive equity returns is proposed to register. The structure of determinated influencing factor to model the connection of innovation and market value of the enterprise's securities was fixed. The methods of calculating the parameters which are the part of the Fama-French Model are given considering their adaptation to the economic conditions of developing countries. The indicators of innovation activity of enterprises, the index of economic development and innovation of the country are proposed to use as a variable component of the model. With the help of software complex Stata 12 the results of structural modeling impact of the innovations on the characteristics of profitableness and risk in assessing the market value of securities of Ukrainian enterprises are received.

Trust crisis in the financial sector and macroeconomic stability: a structural equation modelling approach

“…In order to estimate the model parameters, several discrepancy functions could be used. Publications that concentrate on SEM in social science more frequently use maximum likelihood (Ohunakin et al, 2018), generalised (Ejdys et al, 2019;Indartono & Faraz, 2019;Obidjon et al, 2017), partial (Nor Zainal & Kuppusamy, 2017;Alnsour, 2018;Hu et al, 2019;Victor et al, 2019) and weighted least squares (Suifan, 2019).…”

Quality of scientific activity as a determinant of socio-economic development

“…The role of public procurement is significant when allocating financial resources to the education sector (Wach & Bilan, 2021). The influence of the activities of financial institutions (Kozmenko & Vasyl'yeva, 2008;Obidjon et al, 2017), which take part in redirecting the necessary financial flows, cannot be rejected either. The concept of "autonomy" of higher education institutions is raised in the scientific community precisely in terms of financial support (Fadilah et al, 2021;Dzionek-Kozlowska, & Neneman, 2022).…”

Readiness for implementing innovations in banking in advanced and emerging economies

“…Second, transformational changes in banking activities (Didenko et al, 2018), namely the reduction of departments and staff involved in customer service and communication, lead to a reduction in bank costs (Dovha and Boychenko, 2017) and the number of direct customer contacts with bank staff, thus limiting the impact of the "human" factor in relationships with customers (Naroș, 2019;Székely et al, 2020). Third, innovations provide a significant competitive advantage for a banking institution in the financial services market (Kozmenko and Vasyl'yeva, 2008;Vasylieva et al, 2014;Adeyinka et al, 2019;Karaoulanis, 2018;Liu et al, 2019), contribute to increase in its profitability (Adeyinka et al, 2019;Goncharenko and Lopa;2020) and the capitalization level (Obidjon, 2017), etc. Fourth, modern technologies provide an opportunity to expand service geography and increase customer base since customers have access to many banking services without visiting a bank branch.…”