Impact of Innovation on the Economic Efficiency of Power Engineering Enterprises: Assessment of Interdependence

Abstract

This paper assesses the impact of intangible assets on the economic efficiency of an enterprise, considering the power engineering industry as a subject of research. This study aims to assess the influence of individual factors typical of innovation activity in power engineering industries on an enterprise’s performance. In order to do so, both absolute and relative indicators were selected. Conducted on the basis of the Emerging Market Information Service (EMIS) financial statements, this paper provides an analysis and assessment of 159 observations for the period 2017–2019. Correlation and regression analyses were applied as the main research method. The Stata software package served as the primary research platform. Issues such as the potential of energy engineering and development prospects for the industry are currently widely discussed. In this regard, the main goal and topic of this study are relevant. The scientific validity of this paper is established based on the following elements of this study: the sample of analyzed enterprises, the comprehensive range of indicators engaged in modeling, and the obtained results and their scientific interpretation. This paper provides three models that reflect the dependence of return on capital on the indicators of intangible assets, goodwill, and book value. Furthermore, an alternative model was designed to assess the influence of the same factors on the resulting net profit indicator. A comparative analysis of the obtained models was conducted. A regression model built using the least squares method was chosen.