Digitalization and its influence on service innovation

Abstract

Problem setting. In today’s context, there is a digitalization of society, that is, the transition from offline to the online mode of existence of all spheres of humanity. The development of information technology and the deep penetration of the Internet into all areas of activity are deforming the markets for goods and services in their usual sense, affecting both consumers and business. The increase in the share of services is related to the increase in devices and applications with artificial intelligence that synthesize large amounts of data.

Target of research. Research of innovative services in the prism of digitization and digitization of information, review of types of innovations and identification of varieties of innovative services by criteria. Life-cycle analysis of innovation in general and innovative services in particular.

Analysis of recent researches and publications. Features of innovative development of the country, objects of innovative sphere were investigated by such legal scientists and economists as Atamanova Y., Zablotskaya R., Zadykhaylo D., Milash V., Shevchuk S.

Article’s main body. In today’s economic environment, services related to the use of innovative processes are gaining ground. The impact of the innovation processes that occur when changing the technology from the fifth to the sixth on the services sector is to some extent greater than the impact on the material production. The Fourth Industrial Revolution is stepping up the provision of innovative services through the introduction of new innovation processes and the production of new high-tech goods.

Economists distinguish four types of innovation: product, process, marketing and organizational. Innovative services can be provided in the application of product, process, marketing and organizational innovations and can be of two or more types.

Conclusion and prospects for the development. The concept of economic and legal category “innovative service” is legally defined only as a kind of innovative products and has no fixed definition in any legal act. Therefore, in the light of the above, we propose to introduce changes in the current legislation and under innovative services as a kind of innovative products to understand the new competitive services that are provided in the application of innovation by the subjects of innovation and correspond to the life cycle of innovation.