Risk-oriented management of relocated business as a catalyst for the development of regional ecosystems

Introduction. The full-scale military invasion has triggered a mass relocation of enterprises from active combat zones to safer regions of Ukraine. This has resulted in significant changes in business operations, necessitating risk management, adaptation to new economic conditions, and integration into regional economies. The relocation process has strongly impacted the economic dynamics of host regions by stimulating local infrastructure development, labor market expansion, and business environment transformation. At the same time, it presents considerable challenges, thus requiring scientific analysis to design effective managerial solutions and support relocated enterprises in their new regional settings. Problem Statement. Business relocation involves a range of serious risks that not only complicate operational activities but also pose threats to the economic stability of host regions. The most critical of these include financial difficulties, workforce shortages, operational disruptions, legal challenges, and cyber threats. The purpose is to analyze the specific risks faced by relocated businesses and to substantiate a comprehensive model of risk-oriented management aimed at ensuring the resilience of such enterprises and stimulating economic development in host regions. Methods. The research employs a combination of quantitative and qualitative methods. It is based on an online survey of 606 entrepreneurs and company executives conducted via the “SunFlowerSociology” platform. The data were analyzed using statistical processing, comparative analysis, and expert evaluation. Results. The study identified the main risks encountered by relocated enterprises: financial (76% of respondents), human resource (46%), security (46%), operational (24%), legal (18%), and cyber risks (15%). It was found that companies in new regions particularly struggle with specific operational and market risks, such as logistical challenges, market adaptation, and difficulties in attracting personnel. A comprehensive six-step model of risk-oriented management was developed to systematically identify, assess, and address relocation-related risks. Conclusions. The full-scale Russian invasion has profoundly impacted Ukrainian businesses, forcing them to adapt to the realities of wartime conditions. To support relocated enterprises and strengthen regional economies, it is crucial to implement a comprehensive risk-oriented management approach. This includes expanding state programs for financial and non-financial support, creating conditions for effective integration into local economies, and providing consulting services, access to infrastructure, and opportunities for cooperation with local businesses. Practical measures include the development of regional support programs, dissemination of information on available assistance tools, and the establishment of advisory centres for legal and marketing support. Preferential taxation and subsidies for relocated enterprises are also essential. These initiatives will enhance business adaptability, stimulate regional economic activity, increase employment, and contribute to the long-term economic resilience of both enterprises and regional ecosystems in Ukraine.

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Publication Details

Journal
Fìnansi Ukraïni
Published
2025-06-30
DOI
https://doi.org/10.33763/finukr2025.06.101
Primary Topic
Economic and Technological Developments in Russia
Type
article
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article

Risk-oriented management of relocated business as a catalyst for the development of regional ecosystems

Yevheniia Polishchuk, Vladyslav Lavreniuk, Юлія Гернего, Гліб Алексін et al.
1 links
Fìnansi Ukraïni
Economic and Technological Developments in Russia
article

Risk-oriented management of relocated business as a catalyst for the development of regional ecosystems

Yevheniia Polishchuk, Vladyslav Lavreniuk, Юлія Гернего, Гліб Алексін, Vladyslav Horbov
article en

Abstract

Introduction. The full-scale military invasion has triggered a mass relocation of enterprises from active combat zones to safer regions of Ukraine. This has resulted in significant changes in business operations, necessitating risk management, adaptation to new economic conditions, and integration into regional economies. The relocation process has strongly impacted the economic dynamics of host regions by stimulating local infrastructure development, labor market expansion, and business environment transformation. At the same time, it presents considerable challenges, thus requiring scientific analysis to design effective managerial solutions and support relocated enterprises in their new regional settings. Problem Statement. Business relocation involves a range of serious risks that not only complicate operational activities but also pose threats to the economic stability of host regions. The most critical of these include financial difficulties, workforce shortages, operational disruptions, legal challenges, and cyber threats. The purpose is to analyze the specific risks faced by relocated businesses and to substantiate a comprehensive model of risk-oriented management aimed at ensuring the resilience of such enterprises and stimulating economic development in host regions. Methods. The research employs a combination of quantitative and qualitative methods. It is based on an online survey of 606 entrepreneurs and company executives conducted via the “SunFlowerSociology” platform. The data were analyzed using statistical processing, comparative analysis, and expert evaluation. Results. The study identified the main risks encountered by relocated enterprises: financial (76% of respondents), human resource (46%), security (46%), operational (24%), legal (18%), and cyber risks (15%). It was found that companies in new regions particularly struggle with specific operational and market risks, such as logistical challenges, market adaptation, and difficulties in attracting personnel. A comprehensive six-step model of risk-oriented management was developed to systematically identify, assess, and address relocation-related risks. Conclusions. The full-scale Russian invasion has profoundly impacted Ukrainian businesses, forcing them to adapt to the realities of wartime conditions. To support relocated enterprises and strengthen regional economies, it is crucial to implement a comprehensive risk-oriented management approach. This includes expanding state programs for financial and non-financial support, creating conditions for effective integration into local economies, and providing consulting services, access to infrastructure, and opportunities for cooperation with local businesses. Practical measures include the development of regional support programs, dissemination of information on available assistance tools, and the establishment of advisory centres for legal and marketing support. Preferential taxation and subsidies for relocated enterprises are also essential. These initiatives will enhance business adaptability, stimulate regional economic activity, increase employment, and contribute to the long-term economic resilience of both enterprises and regional ecosystems in Ukraine.

Fìnansi UkraïniVol. 2025(6)
Kyiv National Economic University named after Vadym Hetman (UA)
Openalex Percentile: Top 63%
Economic and Technological Developments in Russia
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