SYNERGY OF INFORMATION SECURITY AND INNOVATIVE RECOVERY OF BUSINESS ACTIVITY IN THE REGION IN THE FACE OF GLOBAL CHALLENGES

Abstract

The article explores the complex mechanism of interaction between information security measures and the processes of innovative revival of the entrepreneurial sector at the regional level. Amidst contemporary global challenges—ranging from geopolitical instability and military conflicts to the rapid digitalization of the global economy—the security framework is evolving from a mere auxiliary function into a fundamental prerequisite for business survival. The aim of the work is the theoretical substantiation and development of a model of synergy between information security and innovative recovery of entrepreneurship at the regional level as a tool for counteracting global challenges. The scientific novelty of the results lies in the formation of an original approach to understanding information security as a dynamic profit driver rather than just a risk minimization factor. For the first time, a model for optimizing the synergetic effect is proposed, incorporating a digital trust coefficient and probabilistic losses from cyber incidents in correlation with the pace of innovative development. The concept of "cyber resilience" in the context of regional management has been further developed, enabling the substantiation of a complex organizational and managerial mechanism for the implementation of the MIR-model (Model of Innovative Recovery). This model integrates three strategic vectors: technological modernization based on edge computing and blockchain, the creation of Regional Security Operations Centers (R-SOC), and the transformation of regional business processes. The clustering of Ukrainian regions by the Digital Transformation Index (DTI) was conducted, revealing patterns of business adaptation to critical security shocks. The practical significance of the study lies in the applicability of the developed recommendations by regional authorities and business entities to build resilient economic systems. The mathematical framework of the model can be utilized to evaluate the effectiveness of cybersecurity investments, while the proposed MIR-model implementation matrix serves as a roadmap for the digital transformation of local communities. The research findings can be integrated into regional development strategies, business financial support programs, and advanced training courses for senior management.