Ensuring Competitiveness of the State Economy Based on the Principles of Its Modernization

The article analyzes the existing approaches of scholars to identifying the factors which impact on the competitiveness level of the state. The factors affecting the level of the country’s competitiveness formation as well as those that ensure competitiveness and contribute to its improvement are determined. It is established that future efficiency, stability of the state development, and a possibility of gaining competitive positions in the international market depend on determination of the impact factors. The factors of impact and success of the country’s competitiveness are characterized and expanded. It is proved that the critical threats to competitiveness involve irrationality of capital reallocation and use; increased competition between countries; reduction in demand for goods which are inconsistent with international standards; reduction in innovation activities, which is associated with deceleration of economic modernization and innovation; decreased number of competitive advantages, irrational use of resources; application of outdated technologies and obsolete equipment. All the above processes are directly related to the need of economy modernization as a whole, which will ensure a high competitiveness level of the state, regions, and business entities. Given the latest trends, blocking access to markets due to technological restrictions on modernization and regulations, monopolization of certification and quality confirmation tools as well as unequal conditions of access to them, etc. are referred to as risks. The prerequisites for increasing the competitiveness of the state are its institutional and infrastructural readiness, openness to investment and innovation. The state should create a favorable environment for human capital development and favorable conditions for restructuring the national economy.