Oeconomica Jadertina publishes research and professional papers in the field of economics and other related scientific fields. Oeconomica Jaderina is primarly oriented on publishing research papers (original scientific papers, preliminary papers and reviews), but professional papers, conference papers and book reviews are also considered for publishing.

Vol. 11 No. 2 (2021)

An alternative view of the relationship between foreign direct investment inflows and economic growth in Central and Eastern European countries

Tino Kusanović

The paper analyses theoretically and empirically the  relationship between foreign direct investments and economic growth on a sample of Central and Eastern European countries. An unambiguous conclusion regarding the direction and intensity of the impact of two subject variables cannot be extrapolated from the available research on this relationship, questioning a priori the positive effects of FDI on the economic growth of the recipient country. The research highlighted that the potential effects of foreign savings on the economy of the recipient country depend both on its level of economic and institutional development and its growth model. Starting from the postulates of postKeynesian economic theory, the paper relies on the assumption that most countries in the research sample have adopted the demand led growth model. The research covers a sample of 15 Central and Eastern European countries for the period from 1995-2016. The empirical research was undertaken in two steps; in the first step, based on the results of Granger causality test, an increase in the GDP growth rate also led to an increase in total FDI inflows, while the opposite did not apply. In the second step, the undertaken panel data analysis tested the impact of economic growth and selected control variables on the total FDI inflow. In the conclusion, the empirical results are theoretically explained in the context of post-Keynesian economic theory based on the assumption that foreign savings (capital) in the case of low and middle-income countries mainly lead to an increase in personal consumption due to real exchange rate appreciation inducing an increase in current account deficit and creating (macro)economic imbalances.

The impact of air transport services on the level of loyalty of passengers

Samira Dedić, Ermin Mujić, Adis Puška

The overall aim of this research is to determine the intensity and direction of the influence of air transport on the level of loyalty of tourist travellers. Four working hypotheses of the research were tested and analysed in detail. The empirical research was conducted on the basis of the collection of primary data by field research, using, using a highly structured survey questionnaire as a data collection form thereby. Likert scale with five levels of agreement was used in the survey questionnaire. The respondents were users of air transport services in Bosnia and Herzegovina. The research was conducted at two international airports; Sarajevo and Tuzla. It covered four low-cost airline companies, specifically Wizz Air, Pegasus Airlines, German wings and Norwegian Air Shuttle. In order to answer the set
research questions related to the intensity study and the direction of air transport influence on the level of loyalty of tourist passengers, different ways and methods of data processing were used, all in accordance with the established research problems.

Intraregional trade and the missing globalization puzzle

Hrvoje Jošić, Berislav Žmuk

Globalization has led to the lowering transportation costs and the expansion of international trade. However, there is evidence of failure in declining trade-related costs as represented through the rising distance coefficient in the standard gravity model. The importance of intraregional trade for the explanation of the globalization puzzle is highlighted in this paper. A panel regression model was constructed using bilateral trade data for EU-15 countries’ imports in the period from the 2001 to 2018. The random effects model was chosen as the most appropriate model considering the time-invariant characteristics of data. The distance effect is presented with the distance variable defined as a distance between trading partner countries’ capital cities. Additional dummy variables included in the analysis are adjacency, the EU-15 dummy and the continent dummy. The results of the analysis have shown that the missing globalization puzzle still applies. Specifically, the values of the regression coefficient of the distance variable in the observed period have grown both for the overall panel model and the individual countries models. Furthermore, the value of the regression coefficient strongly depends on the used sample. For example, when only trade flows in the range of the first 1000 km are observed, the values of the regression coefficient of the distance variable are very large, implying a rising distance effect.

The relationship between innovativeness, export capability and business performance of companies

Helena Šlogar

The necessity of an accelerated economic growth has spurred the researchers’ interest in the relationship among innovativeness and export capability and business performance of companies. The situation in the Croatian economy is highly complex, exhibiting a low growth level of GDP, foreign trade deficit and high external debt. The situation requires major changes in the economic policy of the Republic of Croatia, particularly since foreign trade is an important factor of the economic development of the country and the increase in export capability of Croatian companies is one of the major determinants of a long-term economic growth. Bearing this in mind, scientists have developed a common interest to research the impact of innovativeness, in particular its dimensions regarding the increase in export capability and business performance of companies. The objective of this paper is to examine whether the model of relationship between innovativeness, its dimensions, export capability and business performance in Croatian companies ever changed in the period from 2016-2019. The covariance and regression analyses were performed to analyse the data. The results show that no statistically significant difference existed between innovativeness and exports either in 2016 or in 2019, and these findings have theoretical and practical implications.

Determining the optimal route in the network of tourist attractions of the City of Pula

Katarina Kostelić, Loris Cvek, Marjan Draženović, Luka Drezga, Axel Grbac, Matteo Pajković

This paper evaluates the optimal route of tourist attractions in the City of Pula. By modelling the route over ten chosen tourist attractions in Pula and through application of evolutionary method as travelling salesman problem (TSP), it was proven that such approach can be used for determining optimal routes of tourist attractions. The problem was set as a walking route and modelled from the
perspectives of tour distance minimization and tour time minimization. Model representation and solving using MS Excel points out to the possibility of simple and intuitive data preparation and analysis, as well as relatively quick solution output. The results indicate their possible use in tour organization within touristic destination, the pros and cons of the used method, but also point out to the advantages of using quantitative methods in tourist attraction management. The observed flexibility of the solution application revealed possibilities for further model development, as well as possible integration in the support system based on the quantitative methods for managing destinations with the aim of tourism destination sustainability.

Screen tourism in Croatia – Case Study „Game of Thrones“

Martina Vukašina, Mirela Brechelmacher, Josip Miočić

Screen tourism has associated the development of film, and in the Republic of Croatia it has become an increasingly popular form of tourism thanks to the filming of the series "Game of Thrones" in Dubrovnik, around Split and the surroundings of Sibenik. Filming of the popular series has raised a number of new tourism offerings at filming locations, in a way that numerous national and international agencies offer a variety of different trips and excursions comprising visiting the filming locations of the series. Tourism relieing only on natural beauties, which Croatia hasn't been lacking, is not a model that, in the long run, will contribute to increasing the competitiveness of Croatian tourism compared to other Mediterranean countries. However, investing in the development of the film industry potentially encourages the development of film tourism, which may be an opportunity to reduce the natural beauties and weather dependence of Croatian tourism. The purpose of the research paper is to measure the economic effects of film tourism on the example of the series "Game of Thrones" in the Republic of Croatia. The primary aim of the research is to analyze the characteristics of film tourism on the example of tourism caused by the filming of the series "Game of Thrones". The research paper results should contribute to the creation of a foundation for the development of the audiovisual industry in Croatia, and thus for the development of film tourism.

Marketing as a factor of the Croatian banking sector competitiveness

Nataša Rupčić, Irena Superina Gudelj

Banking system represents a major part of the national  financial system. With its credit and investment activities, it enables national growth and development. With an increase in competition, the offer of banking services is becoming richer and more diversified. In this paper, banking system of the Republic of Croatia is analysed with the purpose of determining factors that could enhance the competitive advantage of banks. Key elements of the banking industry such as the number of banking companies, their size, concentration of the banking industry, entry barriers, investments in infrastructure and regulation of the market behaviour in the banking industry are analysed to assist the banks in making management decisions about their competitive position. Banking market is medium concentrated in the Republic of Croatia and there are substantial entry barriers in terms of capital requirements and business regulation. However, despite relatively intense competition, implicit agreements regarding determination of the capital price or interest margins based on the mutual monitoring of behaviour are
not possible due to a large number of substitutes from other financial institutions. For that reason, Nash equilibrium is determined by establishing low interest margins. That is why marketing, in terms of service marketing, can be determined as an important factor of banking behaviour and contributor to their competitive position.

Strengthening the competitiveness of SMEs by using funds from EU funds on the example of Zadar County

Marina Marasović

Micro, small and medium-sized enterprises (SMEs for short) represent 99% of all enterprises in the EU. They are considered to be the drivers of the European economy. The definition of SMEs is important for access to finance and EU support programs targeted at these companies. In the Republic of Croatia, SMEs make up about 90% of the total number of all companies in which about 48% of persons are employed. The lifespan of SMEs is generally shorter news, and many scientists believe the reason is actually market entry. "With Croatia's accession to the EU, financial resources from European funds have become easier to use. The EU finances projects with funds from centralized and decentralized programs" (Kociper et al. 2014, 90). Centralized programs are managed directly in Brussels and are used to fund EU-wide priorities, while decentralized programs are individual Member State programs, which fund priorities of importance to the Member State in line with strategic objectives at EU level.

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