Download.pdf

The article examines factors and aspects for improving the mechanism of financial incentives for innovative activities in industrial enterprises in the Republic of Uzbekistan. Industry is a main customer and consumer of innovations, and enterprises strive to produce better and cheaper goods through innovations. However, the desire to innovate can be weaker due to the need to invest in new equipment and technology, and the risk of failure. The state plays a special role in forming the external environment of innovative activities, including subsidies, tax breaks, and legal norms. The mechanism of financial incentives should be linked to the concept of logistics and take into account risks associated with changes in prices and limited resources. Statistics show that the state of science in Uzbekistan is unsatisfactory, hindering the creation of industrial innovations, and government funding for research and development is necessary to overcome challenges. Despite difficulties, market relations emphasize the need for enterprises to consistently innovate to achieve a monopoly position and receive innovation income.