THE IMPACT OF E-GOVERNMENT ON THE DEVELOPMENT OF SMALL AND MEDIUM-SIZED BUSINESSES
Abstract
The aim of this paper is to investigate the impact of e-governance on the development of small and medium-sized enterprises (SMEs) in Ukraine. The relevance of this topic lies in the growing role of digital transformation in public administration, which can significantly enhance the business environment by reducing administrative barriers, promoting transparency, and minimizing corruption. Given the ongoing reforms in Ukraine and the need for economic recovery, particularly in the SME sector, the research addresses key challenges and opportunities related to the digitalization of governance. The study employs a combination of qualitative and quantitative research methods, including a review of existing literature, analysis of government reports, and case studies of key e-governance platforms such as Diia and Prozorro. Additionally, data from surveys and interviews with SME representatives are used to assess the effectiveness of these platforms in improving access to government services and facilitating business processes. The findings reveal that e-governance has had a positive impact on the SME sector by simplifying administrative procedures, enhancing transparency in public procurement, and reducing corruption risks. However, the research also identifies several unresolved issues, such as digital inequality, insufficient digital literacy among entrepreneurs, and cybersecurity vulnerabilities. These challenges limit the full potential of e-governance for SMEs, particularly in underserved regions. The practical value of this study lies in its recommendations for further development of e-governance in Ukraine. It suggests policy measures to expand access to digital technologies, improve digital skills among entrepreneurs, and strengthen cybersecurity. These findings can inform policymakers and business leaders on how to enhance the effectiveness of e-governance tools, ultimately supporting the growth and competitiveness of SMEs in Ukraine's economy.
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