Modeling the innovation component of competitive development of industrial enterprises

The paper simulated the production function of the Cobb-Douglas based on innovative component for each cluster group of industrial enterprises. Accounting innovation component to enhance the competitive development of modern industry is urgent and requires a simulation based on the function selected for further application in the activities of the investigated companies. Proposed to introduce a basic production function Cobb-Douglas innovative component of competitive development of mechanical engineering - the integral gain of innovative activity, taking into account the extensive and intensive factors of innovation. The analysis of the efficiency of production factors with an innovative component to assess their impact on gross income, as well as the type of economic growth enterprises in clusters. Constructed models of resource efficiency based on the Cobb-Douglas allowed predicting gross revenue engineering enterprises for the next three years. As a result, prognostic assessment of factors of production shows an increase in the volume of capital and payroll for all businesses of all clusters. Integral coefficient of innovation activity also increased in all clusters. These trends entail an increase in the gross income of engineering enterprises of Ukraine within the confidence interval in all clusters. The proposed research results should be used in the practice of engineering enterprises of Ukraine to increase innovative activity innovative development and financial performance of enterprises in general.