The attractiveness of Serbian market in attracting international companies in tourism sector

Abstract

The entry of international companies in the field of tourism in the domestic market creates a huge potential for its growth, greater involvement in the international tourism, flow of people and information as well as transfer of new technologies. Furthermore, international companies in the field of tourism develop tourism in the country they enter and it is therefore necessary to prepare the domestic market for their entry. Controlled and uncontrolled factors both have impact on the attractiveness of a country as a potential market and consequently affect its business operations. Various barriers to entry may be administrative and real (actual), thus affecting the development of market for entry and business operations of companies interested in internationalization in the field of tourism. The subject of this paper is to analyze the market entry barriers of Serbia faced by international companies in the field of tourism. The main objective of this paper is to evaluate if the Serbian market is attractive for entry of international companies in the field of tourism by analysis of its market entry barriers. The results show that the Serbian market still has to work to reduce market entry barriers, in order to become more attractive for entry of international companies in tourism. Manifold advantages of the global companies' entry in the market are that they are perceived as strong incentives for countries such as Serbia to develop their market and make it more accessible to enter.