Health resorts as a social enterprise in Ukraine’s economic development

Modern economic development is highly dependent on sustainable community development. In Ukraine, the tourism sector is one of the driving forces of economic development. The main aim of the paper is to study health recovery tourism in Ukraine, on the case of creating social enterprises in a health resort network. The paper is oriented on the managerial and value creation issues. The aim is to describe the business idea of a health resort (Lviv region of Ukraine) as an innovative economic agent with social goals and value added to the local community in general and on the example of three existing spas. Taking into consideration the amount of tourists in Lviv region and the key indicators of small businesses in the sector, the social enterprise is an alternative to the for-profit entities. The study findings suggest that starting the social enterprise in health resort services may become a good practice for the local development strategies. The health resort social enterprise may add value to the Lviv region by supporting the employment of local population and social value provision to groups of the society. The main contribution of the paper is in applying the social entrepreneurship model in the sector of health resort services. As the current political and social issues and problems in Ukraine are concerned, the non-profit entity project has potential for implementation.