Restructuring and marketing strategies at macro and micro levels: The case of Slovenia

Europe - Asia Studies

Volumn 52, Issue 7, 2000, Pages 1331-1348

  Bojnec, Štefan ^b  

^a UNIVERSITY OF LJUBLJANA   (Slovenia)

^b NONE

Author keywords

[No Author keywords available]

Indexed keywords

INDUSTRIAL RESTRUCTURING; MARKETING; PRIVATIZATION; STRUCTURAL CHANGE;

SLOVENIA;

EID: 0034538868     PISSN: 09668136     EISSN: None     Source Type: Journal    
DOI: 10.1080/713663129     Document Type: Article

References (14)

1. G. Schüsselbauer, 'Privatisation and Restructuring in Economies in Transition: Theory and Evidence Revisited', Europe-Asia Studies, 51, 1, 1999, pp. 65-83.
2. Advantages in foreign economic relations were associated with a special cooperation agreement with the European Union (EU) with preferential trade status allowing non-reciprocal preferential treatment, special treatment under the General reement on Tariffs and Trade (GATT) with developing country status, trade benefits from a position as a founding member of the Nonaligned Movement, and a certain preferential status in relations with the Council for Mutual Economic Assistance (CMEA) countries. The initial advantage of the early experience with economic openness that the former Yugoslav economy possessed over other former socialist economies in the region was eroded during the economic and political stalemates of the 1980s and the military conflicts of the 1990s. For more detail see B. Dallago & M. Uvalic, 'The Distributive Consequences of Nationalism: The Case of Former Yugoslavia', Europe-Asia Studies, 50, 1, 1998, pp. 71-90. Their negative consequences were less important for the Slovenian economy than for other former Yugoslav republics. Slovenia's western geographical location, trade reorientation towards Western Europe and less important historical claims by any other former Yugoslav republics can explain this less damaging Slovenian exit from the deep crisis in the rest of former Yugoslavia.
3. Slovenian enterprises seem to be more aware of the importance of skilled labour and of employees as a company's strategic asset, particularly for business with the developed Western economies. They have exported to Western markets for a longer time and are quite familiar with the rules of international trade, which seems to represent an important factor for export-led growth during transition.
4. The inflation rate, expressed as the increase in retail prices, was 117.7% in 1991, 201.3% in 1992, 32.3% in 1993 and 6.6% in 1999.
5. See, for example, V. Bilsen & J. Konings, 'Job Creation, Job Destruction and Growth of Newly Established, Privatized and State-owned Enterprises in Transition Economies: Survey Evidence from Bulgaria, Hungary and Romania', Journal of Comparative Economics, 26, 3, 1998, pp. 429-445.
6. Bank of Slovenia, Monthly Bulletin, and Urad Republike Slovenije za makroekonomske analize in razvoj (UMAR) (Institute of Macroeconomic Analysis and Development), Slovenia: Autumn Report 1999, Foreign borrowing has been a major source of inflow of foreign capital in Slovenia during transition. The foreign debt of Slovenia increased from about $1.5 billion in 1992 to about $5.5 billion in 1999 (Bank of Slovenia, Bulletin, February 1995 and April 2000).
7. In January 2000 the Slovenian government proposed measures with the aim of attracting foreign investors to the process of privatisation. However, it is still too early to judge their effectiveness for FDI inflows and development of entrepreneurship.
8. Unlike any other former Yugoslav Republic, most Slovenian foreign trade (excluding trade with the former Yugoslav Republics) was with developed Western economies. See M.L. Wyzan, 'Macedonian and Slovenian Trade: Contrasting Patterns and Focus on the European Union', Post-Soviet Geography and Economics, 40, 5, 1999, pp. 309-334. The degree of economic openness varied substantially among the former Yugoslav republics. Croatia, which was the second most developed economy, had a much higher proportion of trade with former CMEA countries (about 40%) on the basis of inter-state agreements. See S. Radosevic, 'The Generic Problems of Competitiveness at Company Level in the Former Socialist Economies: The Case of Croatia', Europe-Asia Studies, 46, 3, 1994, pp. 489-503.
9. Unlike any other former Yugoslav Republic, most Slovenian foreign trade (excluding trade with the former Yugoslav Republics) was with developed Western economies. See M.L. Wyzan, 'Macedonian and Slovenian Trade: Contrasting Patterns and Focus on the European Union', Post-Soviet Geography and Economics, 40, 5, 1999, pp. 309-334. The degree of economic openness varied substantially among the former Yugoslav republics. Croatia, which was the second most developed economy, had a much higher proportion of trade with former CMEA countries (about 40%) on the basis of inter-state agreements. See S. Radosevic, 'The Generic Problems of Competitiveness at Company Level in the Former Socialist Economies: The Case of Croatia', Europe-Asia Studies, 46, 3, 1994, pp. 489-503.
10. The questionnaire was prepared and the surveys were carried out within the Phare-ACE project coordinated by the Leuven Institute for Central and East European Studies - Centre for Transition Economies.
11. See Schüsselbauer, 'Privatisation and Restructuring ...'.
12. For the importance of FDI in industrial development see J.R. Markusen & A.J. Venables, 'Foreign Direct Investment as a Catalyst for Industrial Development', European Economic Review, 43, 2, 1999, pp. 335-356, while for the role of FDI in selected transition countries see V. Bilsen & W. Lagae, 'Foreign Capital Inflow and Private Enterprise Development in Poland: A Survey', Communist Economies & Economic Transformation, 9, 4, 1997, pp. 449-461.
13. For the importance of FDI in industrial development see J.R. Markusen & A.J. Venables, 'Foreign Direct Investment as a Catalyst for Industrial Development', European Economic Review, 43, 2, 1999, pp. 335-356, while for the role of FDI in selected transition countries see V. Bilsen & W. Lagae, 'Foreign Capital Inflow and Private Enterprise Development in Poland: A Survey', Communist Economies & Economic Transformation, 9, 4, 1997, pp. 449-461.
14. See also J. Konings, 'Competition and Firm Performance in Transition Economies: Evidence from Firm Level Surveys in Slovenia, Hungary and Romania', CEPR Discussion Paper Series No. 1770, London, 1997.