PROBLEM ASPECTS OF MANAGEMENT OF ECONOMIC DEVELOPMENT OF TERRITORIAL COMMUNITIES

Authors

DOI:

https://doi.org/10.31891/mdes/2025-18-1

Keywords:

territorial communities, problems of development of territorial communities, management of economic development of territorial communities, strategic management of territorial communities

Abstract

The study is devoted to examining the problematic aspects of managing the economic development of territorial communities in Ukraine and exploring the modern approaches that determine their sustainable functioning. The paper emphasizes that, at the current stage of the institutionalization of territorial communities, there is an urgent need for interdisciplinary research aimed at understanding their role in ensuring effective local self-government, strengthening regional economic capacity, and promoting social cohesion and integration at the local level. Territorial communities have become central actors in regional transformation processes, serving as key platforms for implementing state decentralization reforms and fostering inclusive growth.

Particular attention is paid to the challenges that have intensified since the beginning of the full-scale invasion of Ukraine, which placed territorial communities at the epicenter of a complex socio-economic, security, and humanitarian crisis. These circumstances have revealed significant weaknesses in the existing system of community management and economic planning. A comprehensive analysis demonstrates that communities face numerous threats, including the destruction of infrastructure, population displacement, loss of human capital, limited financial resources, and disrupted economic linkages. These challenges critically affect the functioning of local governments, the stability of public services, and the overall resilience of local economies.

The primary purpose of the article is to generalize the problematic aspects of managing economic development within territorial communities and to identify the main strategic directions for their recovery and long-term growth. The study identifies several essential areas of management activity — including production and economic, organizational and administrative, social and humanitarian, territorial and spatial, and sectoral dimensions — that collectively determine the effectiveness of local development policies.

Furthermore, the research highlights key problems such as insufficient coordination between community institutions, weak investment attractiveness, limited innovation potential, and the need for adaptive management tools that align with post-war recovery strategies. The paper also identifies exemplary territorial communities that have successfully implemented innovative management practices, such as participatory budgeting, public-private partnerships, digital governance tools, and local entrepreneurship support programs. These examples illustrate how the adoption of modern management approaches contributes to enhancing the competitiveness, sustainability, and social resilience of territorial communities.

In conclusion, the study underscores the importance of developing a systematic framework for managing the economic development of territorial communities, one that integrates strategic planning, stakeholder participation, and effective resource allocation. Strengthening local governance capacity and promoting economic diversification are crucial for building resilient communities capable of responding to contemporary challenges and ensuring sustainable regional development in Ukraine.

Published

2025-11-27

How to Cite

AVHUSTYN Р., DEMKIV І., & STRUMETSKYI О. (2025). PROBLEM ASPECTS OF MANAGEMENT OF ECONOMIC DEVELOPMENT OF TERRITORIAL COMMUNITIES. MODELING THE DEVELOPMENT OF THE ECONOMIC SYSTEMS, (4), 8–13. https://doi.org/10.31891/mdes/2025-18-1