Business Environment In Serbia Research Articles

The Relationship Between Corporate Social Responsibility and Corporate Reputation in Serbia

Corporate social responsibility (CSR) is a concept that is based on the idea of a balance between economic, social, and environmental goals of companies. In contemporary business, companies need to be responsible not just to their shareholders, but to broader stakeholders, where employees, customers, investors, suppliers, local community, and natural environment are mostly affected. Also, CSR is seen as a concept that can enhance different financial and market performances, where corporate reputation is gaining more and more attention. Corporate reputation is seen as one of the most important companies’ assets, and it has a great influence on business success. Based on the stakeholder theory and resource-based theory, the authors of this paper investigated both concepts to increase the body of knowledge and provide some practical implications for companies. The paper aims to investigate the relationship between CSR and corporate reputation. The problem of the research is defining of a relationship between CSR and corporate reputation in companies in Serbia, and between specific dimensions of CSR and corporate reputation. The methodology used in the research obtained the analysis of available literature and the empirical analysis of the data on CSR and reputation. The sample was created from 73 large private processing companies in the Republic of Serbia. The authors used PLS-SEM method to investigate the proposed relations, i.e., that CSR has a positive relation with corporate reputation. This methodology was for the first time conducted in the business environment in Serbia, which will enhance the possibility of comparison with the results from other countries. The results pointed that CSR, as a higher-order construct, has a positive relation with corporate reputation, like all dimensions of CSR (responsibility to employees, customers, local community, environment, suppliers). At the end, the authors proposed theoretical and practical implications and limitations of the research.

The Potential of The Big Data Implementation, in Serbia, in the context of Marketing Research

Research question: Big Data represents a true business revolution in many areas, and, as such, in marketing research, as well. The subject of this study is the analysis of the existing stage, as well as of the achieved results in the implementation of the Big Data Technology in Serbia. Motivation: The success in managing the company depends on the ability to provide quality and comprehensive information by establishing personalized (1:1) communication with consumers on the global market in real or near real-time. This form of communication has become an imperative of the modern business decision-making process. Advanced Internet technologies, Cloud Computing (Cloud Technology), Big Data and Artificial Intelligence open a significant business potential for companies in Serbia to emerge on global markets. Idea: of this study is to perceive current business environment in Serbia through the prism of research development based on the Big Data technologies. Relevant hypotheses and conducted research have been set up with the aim of pointing to the potential of applying modern information-communication technologies, with an emphasis on artificial intelligence and the Big Data concept. Data: The survey was conducted on 154 business entities from the Serbian Business Register Agency’s database. The applied sampling method was a random analysis (selection was made randomly from the total number of selected companies, with the same probability of choice). Tools: An online survey was used, and respondents were contacted via e-mail. Findings: Research results, opinions and attitudes of managers, experts in the fields of marketing research and information technology, indicate a significant degree of justifiability of investments in new technologies in the Republic of Serbia and result in several proposals of certain measures and recommendations of incentives that should be conducted by the State. Contribution: The solutions in this paper are based upon the implementation of standardized procedures and advanced tools that could be used to overcome a "bottleneck" in the existing IT infrastructure, in order to enable a rapid collection and implementation of enabled data.

Uticaj poslovnog okruženja na performanse sektora MSPP u Srbiji

The paper analyzes the quality of the business environment in Serbia and its impact on business performance of small and medium enterprises and entrepreneurs - SME. The aim of this paper is to identify critical factors from the external environment which have a crucial influence on the operations of SME and to explore influence of the development of this sector on Serbian economy. The paper also analyzes internal factors (strengths and weaknesses) faced by companies in Serbia. Taking into account, the effect of the identified exogenous and endogenous factors on the company's business, the authors propose some solutions for the improvement of the SME sector. Key elements of the model are based on adequate and proper diagnosis of the problem, respecting the elements of strategic thinking and quality implementation of defined strategic decisions.

Demographic changes in gender and age of population and their impact on contemporary business environment in Serbia

Demographic changes are caused by different factors - economic, political, environmental, health, migration, etc. Demographic changes, observed through changes in gender and age of the population, largely affect changes of the business environment and work in modern organizations. The former organizational structure, business rules, norms of behaviour, work processes and behaviour of people are no longer adequate, that is, they cannot be automatically implemented in the new conditions. In order to prepare societies, states and business organizations for this new situation, it is important to explore and became familiar with the changes that are happening and with possible impact they could have on the business surrounding on particular levels of management. The aim of this paper is to explore the most significant changes that have occurred in business surroundings in terms of population by sex and age, and to explain the most important possible impacts of these changes on a global, national and organizational level. The authors have paid special attention to the analysis of long term structural changes, these impacts at the organizational level, and how organizations can change their structures and processes to more successfully manage the new workforce contingent.

English

The main objective of the paper is to identify the sources of competitive advantage of small and medium-sized enterprises in Serbia. Gaining a competitive advantage is the key priority of market-oriented enterprises regardless of their size and sector. Since business environment in Serbia is not stimulating enough for enterprises’ growth and development, the paper highlights the role of strategic orientation in business promotion and development. In order to identify the sources of competitive advantage, the empirical research is conducted by using the survey method. The research sample is created by using a selective approach, namely, the sample includes enterprises with more than ten employees, and enterprises identified to have the potential for growth and development. The research results indicate that small and medium-sized enterprises in Serbia are generally focused on costs as a source of competitive advantage, i.e., they gain competitive advantage in a selected market segment by offering low price and average quality products/services. In addition, the results of the research point out that the Serbian small and medium-sized enterprises are innovation-oriented. Organizations qualifying as middle-sized enterprises are predominantly focused on process innovations, while small businesses are primarily oriented towards product innovations. One of the limitations of the research refers to the small presence of the research sample within the category of middle-sized enterprises. The smaller sample presence than it was previously planned is mostly due to the lack of managers’ willingness to participate in the research, as well as to the fact that these enterprises account for the smaller share in the total number of enterprises in the small-and medium-sized enterprises’ sector. Taking into account that the sector of small and medium-sized enterprises generates around 30% of the country’s GDP, we consider the research results to be beneficial for both scientific and professional communities, as well as for economic policy makers in Serbia.

The importance of bank guarantees in modern business (business environment in Serbia)

In contemporary international payment transactions, there takes place frequent use of bank guarantees as collateral payment in commercial transactions. The bank guarantee is usually required when it comes to specific business agreements that require stronger commitment and assurance that all contractual obligations will be implemented exactly as indicated. Knowledge of the use of bank guarantees allows better negotiating position in making business, quicker response to the demands of public calls for tenders and the provision of their own claims. Because of its rapid and efficient implementation, the bank guarantee is one of the most commonly used collateral in international business. Keywords: bank guarantee, business environment in Serbia, legal framework of bank guarantees. JEL Classification: G21, M16, M21

Cyber procedures for a business environment in Serbia

Through a practical experience, it is getting clear that medium and small enterprises as well as some foreign companies in Serbia suffer the serious lack of cyber security procedures. In a business environment of our country, there is a strong need for a comprehensive and systematized document that would suggest how to resolve any cyber situation from the practice. The document would comply with employer's interests and assure a secure working process of employees, at same glance. In this overview, we will attempt to define basic guidelines in sense of cyber procedures.

Implementation of international standards in Serbian contract law: An overview of solutions offered by the future civil code of Serbia

The paper presents a brief analysis of the most important issues related to the implementation of international standards in Serbian contract law. In that respect, the paper examines main transnational documents relevant for contract law - international conventions and other sources of uniform contract law, the UN Convention on Contracts for the International Sale of Goods (CISG), the sphere of its application, the main differences between the CISG and the Serbian Law of Obligations, the application of the CISG by Serbian courts and arbitrations and the advantages of its application in business practice. Furthermore, it provides readers with an overview of the future Civil Code of Serbia, its central principles, solutions and reforms in the field of contract law, particularly with regard to the acceptance of international standards and principles. The analysis has lead the authors to the conclusion that the future codification in the form of Civil Code is a continuation of the process of full harmonization of Serbian contract law with the internationally accepted standards and achievements of European legal civilization, which can strongly contribute to the overall improvement of business environment in Serbia.

Risks of lending to small enterprises in the Republic of Serbia

Bearing in mind the major risks of lending to small enterprises and entrepreneurs in Serbia, this paper analyzes this problem and presents the concrete activities that commercial banks should undertake to mitigate these risks. After analyzing the business environment in Serbia and the current lending practice, we have concluded that in the process of approving loan applications, without exception, the following analyses and activities need to be undertaken: verification of the client's status, financial analysis of the entrepreneurial business, analysis of the entrepreneur's business operations, assessment of how regularly the entrepreneur settles his liabilities, analysis of risks entailed by the bank's offer (i.e. the set of products), evaluation of loan collaterals, currency risk of lending to the business, and risks of lending to a start-up entrepreneurial business. Similar studies were conducted in the United States, yet this particular analysis focuses on the needs and practices of the banking sector in Serbia, with the aim of suggesting to commercial banks to implement the above stated activities and analyses persistently and comprehensively, putting them ahead of accelerated lending procedures, acquisitions and sound, short-term business results.

Evaluation of Local Business Environment in The Republic of Serbia

Certification of Business Friendly Municipalities (BFC process) is a process which promotes standards of efficient and transparent local administration and enables evaluation of the quality of the services that municipalities offer to businesses. Business friendly certification developed in 2007 in Serbia has been successfully tested in Croatia, FYROM and Bosnia and Herzegovina. The regional label Business Friendly Certification in South East Europe (BFC SEE) and a regional network of certification bodies have been established in 2013. The problem that is going to be concerned in the paper is based on the fact that local business environment is still marred by many impediments that reduce its attractiveness for investment.Assessment of local business environment in Serbia on the basis of twelve criteria used under the NALED methodology and seventeen certified cities and municipalities in Serbia can be obtained using different statistical methods. For the purposes of the present paper we applied cluster analysis and analysis of variance (ANOVA). Using cluster analysis, selected municipalities were clustered into three homogenous clusters according to the level of compliance with the given criteria. The analysis of variance was applied to determine the significance of differences in the average fulfillment of the criteria between previously determined clusters of cities and municipalities.

Improving the business environment in cities and municipalities in Serbia

One of the ways to determine the benefits of a particular municipality and indicate its readiness to cooperate with potential investors is to promote standards of effective and transparent local administration. This task can be realized through the certification of cities and municipalities with a favorable business environment. Certification is a process that, among other things, allows the assessment of quality of services and information that municipalities provide for investors and businessmen. It is a process aiming at improvement of business environment in Serbia through institutional reforms with the active participation and cooperation of industry, municipalities and citizens. One of the key questions is to determine the importance of the criteria relevant for evaluating the attractiveness of municipality in terms of potential investors. Analysis of criteria importance for certification of cities and municipalities with a favorable business environment, shown in this paper, aims to identify those who have played a key role in the efficiency of municipalities and cities in attracting foreign direct investment. This paper presents three alternative ways of determining the importance of the criteria. The results of this analysis should indicate to the authorities of cities and municipalities possible ways of improving their position at the list of those with a favorable business environment.

Resolution of commercial disputes through arbitration as a contributor to improvement of business environment in Serbia

The paper presents a brief overview of selected arbitration-related issues (legal framework for arbitration, different types of arbitration, arbitration agreement, arbitrators, seat of arbitration, law applicable to the arbitration proceedings and merits, arbitration award, costs), in light of contemporary arbitration trends and practices and with special emphasis on Serbian legislation and existing arbitral practice in Serbia. Furthermore, it provides readers with drafting considerations when agreeing to arbitration, and comparative analyses of advantages and disadvantages of arbitration, as dispute resolution mechanism which can, in authors' view, significantly contribute to reduction of transaction costs and overall improvement of business environment in Serbia.

Impact of value added tax on management and performance of enterprises in Serbia

The aim of this paper is to show that in the recession economic conditions, and current business environment in Serbia can be regarded as that, due to the impact of the global economic crisis, market, social, political and other factors, Value Added Tax is not neutral on the business results of the company. Namely, because of lower economic activity and lower GDP, companies on the market have problems with collecting receivables. Therefore their liquidity position is deteriorated. In this situation, collecting VAT, not VAT itself, even more contributes to the current problems. So the way in which the VAT is collected by the tax authorities indirectly affects companies cash flow, operational management and overall performance of the company. Also, the aim of the study is to present the managerial tactics by which these negative effects can be overcome or at least reduced. These tactics largely rely on the detailed planning and enhanced control of cash flow.