# 63 411-415 View full article

УДК 330.88

DOI: https://doi.org/10.36887/2415-8453-2024-4-63

Shaulska Larysa,
Doctor of Science in Economics, Professor, Professor of the Department of Enterprise Economics,
Taras Shevchenko National University of Kyiv,
https://orcid.org/0000-0002-7919-6733
Chornyi Roman,
Doctor of Science in Economics, Professor, Director of the Novovolynsk Educational and Research Institute of Economics and Management,
West Ukrainian National University,
https://orcid.org/0000-0001-8614-9495
Marchuk Vadym O.,
Postgraduate student of the Department of Economics and Trade,
Lesya Ukrainka Volyn National University,
https://orcid.org/0009-0007-6188-964X

JEL classification: D90; L90

Modern economic processes, with their dynamism, complexity, and unpredictability, often surpass the explanatory power of traditional economic theories. These theories, while valuable, can be insufficient in understanding the behavior of business entities and predicting future trends. This inadequacy underscores the growing relevance of behavioral economics, which integrates the achievements of psychology, cognitive sciences, and sociology into economic analysis. Behavioral economics studies how psychological factors, such as emotions, cognitive biases, social norms, and personal values, influence economic decision-making. It reveals that people do not always act rationally, as assumed in classical economic models. Instead, their behavior is often driven by emotional reactions, cognitive limitations, and the influence of the social context. The ongoing transformational shifts, mainly digital transformation, profoundly impact the behavior of business entities and the labor market. Changes in technology, communications, and business organization lead to new forms of employment, new employee requirements, and new consumption patterns. Digital transformation promotes the development of e-commerce, remote work, online education, and other forms of economic activity that change traditional ideas about work, consumption, and human interaction. In this context, traditional management and marketing methods are becoming less effective. Businesses must adapt to new conditions, consider behavioral factors when developing products and services, and use digital tools to interact with customers and partners. Behavioral economics is crucial in understanding and managing economic processes in transformational shifts. It is instrumental in developing more effective economic policies by considering the psychological and social factors influencing human behavior. Further research in the field of behavioral economics is vital for predicting future economic trends and adapting to them.

Keywords: digital transformation, behavioral economics, business entities, interdisciplinary approach, economic science.

Rеferences

  1. Krasnevych, O., Pavlov, K., & Yushchak, A. (2023). Teoretychni aspekty doslidzhen’ rynkhu zhitlovoi nerukhomosti Ukrainy pid chas voyennoyi ekonomiky [Theoretical aspects of studying the housing real estate market in Ukraine during the war economy]. Ekonomika ta Suspilʹstvo, no. 48. DOI: https://doi.org/10.32782/2524-0072/2023-48-34.
  2. Matvyeieva, O. M., Bondarenko, O. M., & Duksenko, O. P. (2021). «Risk analysis in the decision-making process considering the behavioral approach». Biznes Inform, no. 3, pp. 219–225. DOI: https://doi.org/10.32983/2222-4459-2021-3-219-225.
  3. Pavlova, O. M., Pavlov, K. V., Suryak, A. V., & Spas, O. V. (2022). «Theoretical approaches to business process reengineering in food industry enterprises in Ukraine during wartime». Ukrayins’kyi Zhurnal Prykladnoi Ekonomiky ta Tekhniky, Vol. 7, no. 4, pp. 49–55. DOI: https://doi.org/10.36887/2415-8453-2022-4-6.
  4. Vinay, M., Bhaskar, P., & Joshi, A. (2020, August). Paradox of value: Diamond vs Water. EDUCATION POST. Available at: https://www.researchgate.net/publication/343981821_Paradox_of_value_Diamond_vs_Water.
  5. Tatomyr, I. L., & Kvasniy, L. H. (Eds.). (2022). Poviedin’kova ekonomika: vid teoryi do praktyky: mizhdyspyplinarnyi navchal’nyi posibnyk [Behavioral economics: From theory to practice: An interdisciplinary textbook]. Truskavets: POSVIT.
  6. Thaler, R. (2018). Poviedin’kova ekonomika. Yak emotsiï vplyvayut’ na ekonomichni rishennya (S. Krykunenko, Trans.) [Behavioral economics. How emotions influence economic decisions]. Kyiv: Nash Format.
  7. Strishenets, O. M., & Pavlov, K. V. (2016). «Features of competitive relations in regional real estate markets». Naukovi Visti Uzhhorodskogo Universytetu. Seriia “Ekonomika”, no. 1 (47), Vol. 2, С. 35–38.
  8. Trushkina, N. V., & Shkryhun, Y. O. (2021). «Conceptual approaches to defining the essence and content of the term “customer experience”». Věda a perspektivy, no. 4(4) 2, pp. 125–138.
  9. Chernobay, L., & Shiron, Y. (2016). «Behavioral economics: Essence and approaches to definition». Psykholohichni vymiry kultury, ekonomiky, upravlinnya, No. 8, pp. 71–78.
  10. Kahneman, D., & Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica, Vol. 47, no. 2, pp. 263–292. Available at: https://www.jstor.org/stable/1914185.
  11. Birnbaum, M. H. (n.d.). Decision and choice: Paradoxes of choice. California State University, Fullerton and Decision Research Center, Fullerton. Available at: http://psych.fullerton.edu/mbirnbaum/paradox/paradoxes12.htm.
  12. Simon, H. (1987). Behavioral economics. In J. Eatwell, M. Milgate, & P. Newman (Eds.), The New Palgrave: A Dictionary of Economics (pp. 221–225). New York: Stockton Press.
  13. Thaler, R. H. (1985). Mental accounting and consumer choice. Marketing Science, Vol. 4, no. 3, pp. 199–214.
  14. Trushkina, N. (2019). «Development of the information economy under the conditions of global economic transformations: Features, factors and prospects»
  15. Trushkina, N. (2019). «Transformation of customer relationship management in the digital economy». In T. Nestorenko & M. Wierzbik-Stronska (Eds.), Digital economy and digital society: Monograph (pp. 311–316). Katowice: Wydawnictwo Wyzszej Szkoly Technicznej w Katowicach.

The article was received 25.10.2024

Quote article, APA style

Shaulska Larysa, Chornyi Roman, Marchuk Vadym O.. 25.10.2024 . Theoretical and scientific approaches to behavioral economics in the context of social transformation. The journal "Ukrainian Journal of Applied Economics and Technology". 2024 / #4. 411-415pp. https://doi.org/10.36887/2415-8453-2024-4-63

Quote article, MLA style

Shaulska Larysa, Chornyi Roman, Marchuk Vadym O.. "Theoretical and scientific approaches to behavioral economics in the context of social transformation". The journal "Ukrainian Journal of Applied Economics and Technology". 25.10.2024 . https://doi.org/10.36887/2415-8453-2024-4-63

Quote article, translit