In the conditions of permanent changes caused by instability as a result of the war and an increase in the uncertainty of the business environment, the development of enterprises is changing dramatically. The article elaborates an interpretation of the development of enterprise as a process of quantitative, qualitative and structural changes in its state (potential) and functional activity to achieve the established vision and goals (effectiveness), which are determined by an immanent tendency to improve, in conditions of permanent changes in the business environment. The concepts of both innovation and development are considered. The main tendencies in changes in macroeconomic indicators of Ukraine are analyzed. When analyzing the balance of enterprises, it was noted that the rapid deterioration of non-current assets at enterprises is caused by unsatisfactory depreciation of fixed assets. Problems with the sale of products lead to an increase in the share of current assets in the balance of enterprises. The unsatisfactory state of the balance of enterprises leads to a slowdown in the development of industry in Ukraine. The level of wages in industry branches is not the same, differing from the type of activity. The development of the economy and society are in constant interaction and interconnection. The carried out study of domestic practical experience of industrial production indicates a high intellectual and human potential, while the number of enterprises implementing innovations in 2020 amounted to only 14.9% of the total number of industrial enterprises, which is 4 times less than in developed countries. It is determined that the main problems affecting the development of the industrial complex of Ukraine are associated with: insufficient innovative activity of enterprises; loss of established markets for products; technical obsolescence and poor product quality; insufficient internal funding; inefficient use of depreciation funds by enterprises.