DEVELOPMENT AND COMPARATIVE ANALYSIS OF NATIONAL AND FOREIGN ASPECTS OF BEHAVIORAL CORPORATE FINANCE

The study examines the development and formation of behavioral corporate finance based on various theories and the work of scholars, highlighting the key stages and their distinctive features. A comparative analysis of different behavioral economic approaches has been conducted. The paper analyzes the current state of national and foreign achievements, as well as the conceptual foundations for the development of behavioral corporate finance. Currently, behavioral sciences have become one of the key tools for predicting economic behavior at the micro, meso, and macro levels. Behavioral corporate finance has emerged as a distinct field at the intersection of finance, economics, neuroscience, and psychology. It explains corporate managers’ decision-making processes and forecasts irrational behavior influenced by emotions and cognitive biases, which affect corporate strategy and capital structure. The relevance of the study increases, particularly during critical economic periods when the level of irrational corporate behavior rises and the level of objective analysis decreases due to uncertainty. An analysis of corporate governance and financial decision-making shows that managerial behavior often deviates from the traditional rational decision-making model due to emotional and cognitive factors. Loss aversion, overconfidence, the status quo effect, and irrational optimism are the key factors influencing financial decisions. The key factors for studying behavioral corporate finance in Ukraine include: 1. The impact of globalization processes and the complexity of corporate processes. 2. Deviations from the rational model in corporate decision-making. 3. The lack of clear forecasting in investment and dividend policies due to the influence of social and psychological biases. 4. The low level of implementation of behavioral approaches in Ukraine. Behavioral corporate finance is actively applied in developed countries, especially in the United States, the United Kingdom, and Western European countries. This enhances the profitability of mergers and acquisitions, encourages the closure of low-profit business segments, and increases the use of internal financing (e.g., share buybacks by Apple and Microsoft). It also reduces debt financing (e.g., Tesla), ensures stability in dividend policies (e.g., Johnson & Johnson, Coca-Cola), promotes investment conservatism (e.g., Berkshire Hathaway), and reduces the risk of underestimating the management of target companies during acquisitions. In conclusion, the development and implementation of behavioral corporate finance at the national level are essential for further improving corporate governance and enhancing the quality of corporate financial strategies during periods of economic instability.