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Digitalization, Innovation and Artificial Intelligence as Factors of Competitiveness: The Case of Bulgaria

Author

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  • Paolina Krushkina

    (University of National and World Economy, Sofia, Bulgaria)

Abstract

The study examines the interrelationship between digitalization, innovation, and artificial intelligence (AI) as strategic determinants of competitiveness in the context of accelerated technological transformation. The analysis demonstrates that AI is not merely a tool for automation but a catalyst for comprehensive economic reconfiguration, shaping the capacity of enterprises – and national economies as a whole – to adapt to global competition. At the same time, specific characteristics are observed in Bulgaria concerning the pace and depth of digital transformation. The country exhibits both technological and entrepreneurial potential, yet lags behind in key indicators such as digital skills, innovation capacity, and institutional coordination. The analysis underscores the need for an integrated strategy focused on education, human capital development, and investment in AI, in order to achieve genuine economic resilience and enhanced competitiveness within the European Union.

Suggested Citation

  • Paolina Krushkina, 2025. "Digitalization, Innovation and Artificial Intelligence as Factors of Competitiveness: The Case of Bulgaria," Godishnik na UNSS, University of National and World Economy, Sofia, Bulgaria, issue 2, pages 27-44, December.
    • Handle: RePEc:nwe:godish:y:2025:i:2:p:27-44
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    Keywords

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    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development

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