Dynamics of the activities of construction sector enterprises

The paper characterizes the features of the activities of construction sector enterprises. Structural shifts in the construction sector reflect the complex economic, political, and social processes occurring in the country. In the current conditions, characterized by economic instability, constant changes in the regulatory and legal environment, integration into the European economic space, and the impact of military actions, construction enterprises are forced to adapt to new challenges and transform their approaches to business operations. The dynamics of the volumes of construction products produced by type from 2014 to 2023 have been determined. Given the importance of the construction sector for the restoration of infrastructure and housing stock, the government is actively implementing support programs, including funding large infrastructure projects, subsidizing housing construction for internally displaced persons, and restoring critical infrastructure facilities, which was reflected in the growth of volumes in 2023. There is also a strengthening of regulatory control to ensure transparency in public procurement and the licensing of construction activities. The distribution of the volumes of construction products produced by the type of construction has been carried out. Changes in the indices of construction products by types have been analyzed, particularly residential, non-residential buildings, and engineering structures. From 2011 to 2023, significant fluctuations in the construction product indices were observed. The largest decline in building construction occurred in 2022, which is related to the full-scale invasion of the Russian Federation into Ukraine, active combat operations, and a decrease in investment activity. It has been established that the adaptation of construction enterprises to changes in demand is based on flexible responses to the needs of infrastructure construction, the use of government programs, while maintaining activity depends on further economic stabilization, investment support, and security.

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Publication Details

Journal
Economics Finances Law
Published
2024-12-27
DOI
https://doi.org/10.37634/efp.2024.12.16
Primary Topic
Engineering and Environmental Studies
Type
article
Field-Weighted Citation Impact
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Dynamics of the activities of construction sector enterprises

Serhii Lopatka
Economics Finances Law
Engineering and Environmental Studies
article

Dynamics of the activities of construction sector enterprises

Serhii Lopatka
article en

Abstract

The paper characterizes the features of the activities of construction sector enterprises. Structural shifts in the construction sector reflect the complex economic, political, and social processes occurring in the country. In the current conditions, characterized by economic instability, constant changes in the regulatory and legal environment, integration into the European economic space, and the impact of military actions, construction enterprises are forced to adapt to new challenges and transform their approaches to business operations. The dynamics of the volumes of construction products produced by type from 2014 to 2023 have been determined. Given the importance of the construction sector for the restoration of infrastructure and housing stock, the government is actively implementing support programs, including funding large infrastructure projects, subsidizing housing construction for internally displaced persons, and restoring critical infrastructure facilities, which was reflected in the growth of volumes in 2023. There is also a strengthening of regulatory control to ensure transparency in public procurement and the licensing of construction activities. The distribution of the volumes of construction products produced by the type of construction has been carried out. Changes in the indices of construction products by types have been analyzed, particularly residential, non-residential buildings, and engineering structures. From 2011 to 2023, significant fluctuations in the construction product indices were observed. The largest decline in building construction occurred in 2022, which is related to the full-scale invasion of the Russian Federation into Ukraine, active combat operations, and a decrease in investment activity. It has been established that the adaptation of construction enterprises to changes in demand is based on flexible responses to the needs of infrastructure construction, the use of government programs, while maintaining activity depends on further economic stabilization, investment support, and security.

Economics Finances LawVol. 12/2024(-)
Lviv University (UA), Lviv University of Business and Law
Openalex Percentile: Top 66%
Engineering and Environmental Studies
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