MODERNIZATION OF BUSINESS ORIENTATION AND PROSPECTS FOR DOMESTIC TRADE IN UKRAINE

Abstract

The study substantiates a comprehensive approach to modernizing the business orientation of domestic trade in Ukraine amid major shifts in the national economy, increasing market uncertainty, and changes in the institutional environment. The aim of the study is to advance the conceptual foundations for modernizing business orientation in domestic trade and to substantiate strategic directions for its transformation into a high-tech ecosystem integrated with the production, logistics, and regulatory spheres. Based on a systems approach, an interconnected set of technological, institutional, value-based, and organizational components has been identified, the alignment of which creates the prerequisites for enhancing the adaptive capacity, competitiveness, and systemic resilience of the trade sector. An analysis of trade turnover dynamics and the share of products supplied by domestic producers indicates structural asymmetry in domestic trade, reflected in the growth of trade turnover alongside a simultaneous decline in the presence of domestically produced goods in the wholesale segment. This trend highlights the need to reorient trade activities from a predominantly transactional-sales model toward intersectoral integration, localization of value chains, and stronger production–trade linkages. A development model for domestic trade is proposed based on three-level coordination at the macro-, meso-, and micro-levels, integrating government regulation, intersectoral partnership mechanisms, and the adaptive capacity of business entities. An implementation toolkit for the proposed model is developed, encompassing the digitalization of business processes, the development of domestic supply chains, clustering of “production – trade – logistics” interactions, optimization of goods flows, and improvement of product assortment policy. The practical significance of the study lies in providing a scientific basis for strengthening the role of domestic trade as a catalyst for the development of national production, reducing import dependence, and ensuring the resilience of Ukraine’s domestic market.