The competitiveness of established entrepreneurs in Balkan countries

Abstract

Research contributes to a better understanding of the different levels of competition and highlights its determinants across Balkan region countries' established entrepreneurs. This paper aims to assess the relationship between companies' innovation activity, international orientation, growth aspirations about future employment and the level of competition they are facing. The data were obtained from the 2013 Global Entrepreneurship Monitor Adult Population Survey. Our analysis is based on a sample of 597 cases from five Balkan countries (Bosnia and Herzegovina, Croatia, Greece, Macedonia and Slovenia). We built a multinomial logistic regression model assuming that the criterion variable is a linear combination of the four predictors and five control variables. The findings show that established entrepreneurs who innovate by means of introducing new or unfamiliar products to all customers and in particular by using new technologies are overrepresented in markets with limited competition (blue oceans). Finally, younger managers and owners of established enterprises are facing with more competitors relative to older counterparts.