Showing papers in "The Engineering Economics in 2012"

Cloud–Computing Based Accounting for Small to Medium Sized Business

Abstract: Small to medium sized business enterprises are young and constantly changing their sphere of activities depending on fluctuations of the market. The enterprises daily use accounting information, which is used in enterprise’s financial situation evaluation, correct decisions making, enterprise’s financial situation analysis according to the results received, making plans for future and controlling the whole enterprise. Accounting information systems play a significant role in providing the financial information for decision making within an organization. The systems are simultaneously providing information for a variety of other decision makers in production, human resources, finance, management, marketing, and supply chain logistics. Unfortunately, accounting systems often do not support business properly. The causes may be: systems mostly are too large and complex to comprehend them in entirety and traditional information technologies are not efficient. There is a need to adopt the newest technologies in small to medium sized business. In the paper investigated study showed the newest trends in accounting information systems for small to medium sized business. One of the newest trends in the information technologies world is cloud computing based technology. Accounting transfer to "cloud" is a new and innovative solution that can help save significant funds small and medium-sized enterprises. Small to medium businesses can get a lot of advantages with the newest technology. However, it has its own risks too. The paper indicates advantages and dangers of the newest technology within the business. Investigation of accounting systems for small and medium sized enterprises in Lithuania in the cloud-computing context is a part of the research. Lithuanian companies have a great opportunity to use cloud computing capabilities. But only one developer of accounting systems offered the cloud based accounting program. Results of the research summarized only by main accounting software. Investigation was carried out by using systematic and comparable literature review of accounting information systems faced to small to medium sized business. The investigation also shows that there are not so many scientific papers on the newest cloud computing trends in Lithuania. Accordingly, this research was mostly based on literature review sourced from the internet. DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1220

Equipment Selection Using Fuzzy Multi Criteria Decision Making Model: Key Study of Gole Gohar Iron Min

Abstract: Krovimo ir gabenimo įrenginių pasirinkimas yra vienas svarbiausių etapų projektuojant pavirsiaus kasyklas. Krovimo ir gabenimo darbai sudaro didžiąją dalį (65 proc. ) visų islaidų, esancių pavirsinėse kasyklose, todėl labai svarbu pasirinkti tinkamą įrangą, nes tik taip galima gerokai sumažinti islaidas. Norint pasirinkti tinkamą pavirsiaus kasybos įrangą darbai atliekami trimis etapais. Pirma – nustatomi galimi įrangos tipai kasyklos eksploatavimo sąlygomis. Antra –parenkamos krovimo ir gabenimo įrangos atsižvelgiant į reikalingą kauso talpą ir krovimo įrangos iskrovimo aukstį. Ir trecia – remiantis metinėmis produkcijos prognozėmis nustatoma kokio tipo masinų ir kiek reikia norint atlikti darbus. Įrangos pasirinkimas, kuris gali būti naudojamas pakrauti ir gabenti krovinius pavirsiaus kasyklose , yra gan didelis. Norint pasirinkti geriausią įrangą, turėtų būti isanalizuoti visi galimi jos pasirinkimo variantai. Veiksnius, turincius įtaką įrangos pasirinkimui galima būtų suskirstyti į keturias grupes: technines specifikacijas, veiklos efektyvumo, kapitalo ir veiklos sąnaudas. Kai kurie is sių veiksnių yra kiekybiniai, o kiti – kokybiniai, ( siekiant juos padaryti kiekybiniais, reikalinga matavimo metodika). Norint veiksmingai panaudoti sią įrangą, reikia nemažai žinių ir įgūdžių. Sie dalykai sukuria aplinką, kurioje sunku vienu metu analizuoti visus svarbius veiksnius. Straipsnyje apžvelgtos skirtingos metodikos, kurios naudojamos pasirenkant pavirsinės kasybos įrenginius, įskaitant, bet neapsiribojant ekspertinėmis sistemomis, matematiniu modeliavimu, kompiuteriniu modeliavimu, sekų teorija ir daugiakriteriniu vertinimu. Nagrinėjami procesai nėra tinkamai apibrėžti, efektyvumo parametrai (kriterijai) dažnai priestarauja vieni kitiems. Be to, tenka derinti kiekybinius ir kokybinius kriterijus. Dėl sių priežascių pasirinkti tinkamą pakrovimo sistemą yra sudėtinga problema. Cia visiskai netinka tradiciniai, pasirinkimo pagal vieną kriterijų, metodai. Pagrindinis sio darbo uždavinys – pateikti apytikslį daugiatikslį (daugiakriterį) sprendimų modelį, taikomą nenumatytų, skirtingų tikslų atveju. Taikant sį metodą apytikslis AHP ir ANP (autorius T. L. Saaty) misrus modelis buvo naudojamas siekiant nustatyti parametrų (kriterijų) svorius. AHP metodas yra placiai naudojamas todėl, kad galima efektyviai suderinti kiekybinius ir kokybinius kriterijus. AHP ir fuzzy logikos kombinacija leidžia isspresti esamus neaiskumus, nesuderinamumus ir problemas. Be to, naudojamas ANP, nes yra netiesiniai rysiai tarp hierarchinių lygmenų, kas sudaro problemas įgyvendinant ANP metodą. Nustacius kriterijų svorius, pakrovimo ir transportavimo įranga Gole Gohar pavirsiaus kasyboje buvo atrinkta naudojant TOPSIS metodą ir taikant fuzzy (apytiksle) aplinką. Modelis pasižymi racionalia struktūra, paprastumu, skaiciavimo efektyvumu ir gebėjimu nustatyti santykinio nasumo galimybe paprasta matematine forma. Pritaikyta fuzzy teorija sukurta 1965 m. L. A. Zadeh, o AHP metodas sukurtas 1980 m. T. L. Saaty. Pastaruoju metu, nagrinėjant ekonomikos ir inžinerines problemas, Saaty metodas tapo labai populiarus. Naudojantis sia metodika, asmenys, priimantys sprendimus, įvertine turimas žinias, patirtį, prielaidas gali teikti pirmenybe savo tikslams. AHP suteikia struktūrizuotą pagrindą nustatant prioritetus kiekviename hierarchijos lygyje naudojant porinius palyginimus. Saaty taip pat pasiūlė ANP, apibendrindamas AHP (T. L. Saaty 1996). TOPSIS metodas paskelbtas Hwang ir Yoon (1981) yra jau seniai taikomas nagrinėjant technines problemas (E. K. Zavadskas 1987). Naudojant sią metodiką galima gauti rezultatus, kurie parodo, kada pasirinkta alternatyva turi mažiausią atstumą nuo geriausio racionalaus sprendimo (geriausia įmanoma būklė) ir didžiausią atstumą nuo neigiamo racionalaus sprendimo (blogiausias galimas sprendimas). TOPSIS metodas yra placiai taikomas skirtingiems uždaviniams spresti (Zavadskas ir Antuchevicienė 2006; Lin 2011; Liaudanskiene ir kt. 2009; Rudžianskaitė-Kvaraciejienė ir kt. 2010; Zavadskas ir kt. 2010b; Antucheviciene ir kt. 2010; Cokorilo ir kt. 2010; Lashgari ir kt. 2011; Tupenaitė ir kt. 2011; Han ir Lin 2011; Azimi ir kt. 2011). TOPSIS neapibrėžta aplinka sukurta Chen (2000). Ji yra naudojama kaip patikima priemonė valdyti verbalinius ekspertų sprendimus ir pateikti galutinį veiklos rangą. Anksciau minėti metodai buvo sujungti į hibridinį sprendimų modelį, leidžiantį pasirinkti konkretų įrangos Gole Gohar geležies rūdos kasyklai pavyzdį. Siūlomas modelis įvertina tiek kokybinius, tiek kiekybinius kriterijus. Taip pat įvertinamas esamas neapibrėžtumas, taip pat įveikti trūkumai taikant tradicinius įrangos atrankos metodus. Naudojant hibridinį metodą, buvo pasirinkta optimali alternatyva krovimo ir gabenimo operacijoms Gole Gohar pavirsiaus kasykloje taikant lyninį krautuvą ir sunkvežimius (rango reiksmė 0,3838). Kita krovimo įranga buvo hidraulinis kastuvas, frontalinis krautuvas, ekskavatorius-krautuvas. Draglainas turi mažesnius rangus, todėl ne toks tinkamas siai užduociai. Siūloma pakrovimo ir gabenimo sistema siai kasyklai buvo tinkamiausia. Siūlomas hibridinis sprendimų metodas taip pat gali būti taikomas žemės darbų technikos atrankai kitų atvirų kasyklų projektams vertinti, pries tai įvertinus kriterijus reikalingus tinkamai veiklai. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1544

Team member selecting based on AHP and TOPSIS grey

Abstract: Problem of selecting a person as a new personnel or member of any group is a critical issue in human resource management. Personnel selection is a big challenge in all types of companies, organizations and communities, involving multiple issues that should be evaluated simultaneously. A group as a team should work in the best form to attain its goals. Accordingly, a complex decision support methodology for effective team members’ selection is required. The aim of the current research is to develop the decision model for human resource management that aggregates experts' knowledge and deals with uncertain information. The current paper considers a model based on hybrid Multiple Criteria Decision Making (MCDM) methods as a framework for the challenge of personnel selection. Analytic Hierarchy Process (AHP) and the Technique for Order Preference by Similarity to Ideal Solution with Grey Relations (TOPSIS grey) are applied for this aim. AHP is used for identifying the importance of each criterion when selecting a group member. TOPSIS grey is applied for ranking of alternatives, i.e. particular personnel, characterized by a set of criteria that are determined by grey relations and expressed in intervals. A case study about process of selecting a new drummer for a rock band is presented to demonstrate the applicability and the effectiveness of the proposed model. Criteria as technical ability, ability of accommodation to band and genre, discipline, ability to work with band (teamwork), general issues like age, behavior, ideology and etc., ability of composing and motivation are prioritized from the most important to the least important, respectively, based on AHP results. Four potential candidates are considered. One of them is selected as the best drummer for the band among four applicants based on TOPSIS grey results. The presented hybrid multiple criteria decision making helps to perform personnel selection effectively and objectively when multiple criteria are evaluated simultaneously. The first part of the proposed methodology, i.e. AHP is useful for determining the importance of each criterion and calculating weight of each criterion, while the second part with TOPSIS grey is useful for evaluating alternatives more precisely than usual crisp TOPSIS. The model can be implemented as an effective decision aid to improve human resources management in various areas of economic activities. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.2725

Comovement Dynamics between Central and Eastern European and Developed European Stock Markets during European Integration and Amid Financial Crises – A Wavelet Analysis

Abstract: Bendras akcijų rinkų judėjimas tarp issivysciusių ( Austrija, Prancūzija, Vokietija ir JK biržos) ir besivystancių akcijų rinkų ( trijų Centrinės ir Rytų Europos salių: Slovėnijos, Cekijos respublikos ir Vengrijos) yra labai svarbus tarptautinių investuotojų finansiniams sprendimams. Trumpalaikiai investuotojai yra labiau suinteresuoti dažnesne rinkos bendro judėjimo apyvarta (trumpalaikiu judėjimu), nei ilgalaikiai investuotojai. Pastarieji sutelkia dėmesį į ne tokį dažną bendrą judėjimą. Norint suprasti bendrą judėjimą tam tikruose laiko dažnumo lygiuose (skalėse), reikia panaudoti laiko dažnumo srities analize. Dažniausiai naudojamas akcijų rinkos įvertinimo metodas yra linijinė koreliacija ( Pearson koreliacijos koeficientas). Tai simetriska, linijinė metrika, tinkanti priklausomybei įvertinti įvairiai kintanciuose standartiniuose issidėstymuose. Taciau nustatyta, kad koreliacijos gali būti nelinijinės arba kintancios tam tikrą laiką. Dviejų akcijų rinkų priklausomybė viena nuo kitos priklauso nuo rinkos augimo ir kritimo. Empirinėje literatūroje, nagrinėjancioje Centrinės ir Rytų Europos bei issivysciusių akcijų rinkų tarpusavio priklausomybe, dažniausiai taikoma paprasta (Pearson ) koreliacijos analizė, Granger priežastingumo tyrimai, Bendros integracijos analizė ir GARCH modeliavimas. Nė vienas is jau esancių empirinių darbų netiria laiko skalių bendro judėjimo tarp Centrinės ir Rytų Europos bei issivysciusių akcijų rinkų apyvartų. Taikant maksimalaus dubliavimo pavienio bangelės pakeitimo koreliacijos įvertinimą ir nenutrūkstamos koreliacijos metodą, buvo istirta akcijų rinkos apyvartos bendro judėjimo dinamika tarp atskirų Centrinės ir Rytų Europos salių ir Europos isvystytų akcijų rinkų 1997-2010 m. laikotarpiu. Analizuojant akcijų rinkos bendrojo judėjimo kitimo dinamiką remiantis skale, buvo tirta, kaip svarbiausi įvykiai (finansinės krizės tyrimo laikotarpiu ir įstojimo į Europos Sąjungą metu) paveikė Centrinės ir Rytų Europos akcijų rinkų ir Europos issivysciusių akcijų rinkų bendrą judėjimą. Remiantis ekonometrine metodika, buvo pateikta tam tikra apyvartos „laiko serijas“ apibūdinanti statistika (buvo nagrinėta tokių kasdieninių akcijų indeksų apyvarta: LJSEX (Slovėnijoje), PX (Cekijos respublikoje), BUX (Vengrijoje), ATX (Austrijoje), CAC40 (Prancūzijoje), DAX (Vokietijoje), ir FTSE100 (Didžiojoje Britanijoje)). ADF ir KPSS testai patvirtino, kad „laiko serijos“ yra stacionarios. Pearson (besąlyginės) koreliacijos rezultatai rodo, kad issivysciusių Europos salių: Prancūzijos, JK, Vokietijos ir Austrijos akcijų rinkos stebėjimo metu tarpusavyje buvo labiau susijusios. Centrinės ir Rytų Europos akcijų rinkų bendrasis judėjimas tarpusavyje buvo mažesnis, panasiai kaip ir su Europos issivysciusiomis akcijų rinkomis. Slovėnijos akcijų rinka buvo mažiausiai koreliuota su kitomis akcijų rinkomis. Naudojant svyruojancios bangelės koreliacijos metodą, buvo siekiama atsakyti, kaip koreliacija tarp Centrinės ir Rytų Europos bei issivysciusių salių akcijų rinkų pasikeitė stebėjimo laikotarpiu. Ypac svarbu buvo nustatyti ar svarbiausi ekonominiai finansiniai ir politiniai įvykiai pasaulyje ir Europos salyse (Rusijos finansinė krizė, dot-com finansinė krizė, Pasaulinio prekybos centro „ataka“, Centrinės ir Rytų Europos salių prisijungimas prie Europos Sąjungos, paskutinė pasaulinė finansinė krizė) paveikė Centrinės ir Rytų Europos akcijų rinkos bendro judėjimo su Europos issivysciusiomis akcijų rinkomis dinamiką. Naudojant sį metodą, koreliaciją tarp dviejų akcijų indeksų apyvartos serijų laikui buvo apskaiciuota is stebėjimų (kur yra ekrano dydis dienomis), sukaupta apie laiką t. Ekranas buvo pakreiptas laike viena diena į priekį, dėl to susidarė laiko serijų bangelių koreliacijos. Tokiu būdu mes gavome N-w koreliacijos koeficientus. 200 dienų Ekrano dydis buvo tikrinamas norint sukaupti pakankamai duomenų, kad būtų galima gauti patikimus įvertinimus aukstesnėms skalėms. Svyruojancios bangelių koreliacijos analizės rezultatai rodo, kad akcijų rinkos apyvartos bendras judėjimas tarp Centrinės ir Rytų Europos ir Europos issivysciusių akcijų rinkų keitėsi laiko skalėse ir tam tikru laiku. Viso stebėjimų laikotarpio metu, visose skalėse Vengrijos ir Cekijos akcijų rinkos buvo daugiau tarpusavyje susijusios su Europos issivysciusiomis akcijų rinkomis, nei Slovėnijos akcijų rinka. Auksciausias bendras judėjimas tarp tirtų Centrinės ir Rytų Europos bei Europos issivysciusių akcijų rinkų apyvartų dažniausiai buvo pasiektas auksciausiose skalėse (skalė 5, atitinkanti akcijų rinkos apyvartos dinamiką per 32-64 dienų, ir skalė 6, atitinkanti akcijų rinkos apyvartos dinamiką per 32-64 ir 64-128 dienų). Visose skalėse Vengrijos ir Cekijos akcijų rinkos buvo labiau susietos su Europos issivysciusiomis akcijų rinkomis negu Slovėnijos akcijų rinka. Paaiskėjo, kad Europos integracija turėjo nemažą reiksme didesniam bendram judėjimui, o finansinės krizės stebėjimo metu (Rusijos finansinė krizė, dot-com , ir pasaulinė finansinė krizė) tai buvo tik trumpalaikė (maždaug 100-400 dienų trukmės) įtaka akcijų rinkų bendram judėjimui. Buvo nustatyta, kad rinkos finansinės sumaisties pradžioje Centrinės ir Rytų Europos akcijų rinkų bendras judėjimas su Europos issivysciusiomis rinkomis dažniausiai padidėdavo, o po 100-400 dienų laikotarpio sumažėdavo. Tai buvo labai aiskiai matyti trumpesnėse laiko skalėse (skalės 1, 2, ir 3, atitinkancios 2-4 dienas, 4-8 dienas ir 8-16 dienų). Pasaulinė finansinė krizė didžiausią įtaką padarė Slovėnijos ir Vengrijos akcijų rinkų bendram judėjimui su issivysciusios Europos akcijų rinkomis, ypac trumpalaikių investicijų diapazone (skalės 1, 2, ir 3). Auksciausias tarpusavio rysys tarp Centrinės ir Rytų Europos bei Europos issivysciusių akcijų rinkų per visą stebėtą laikotarpį (1997-2010 metais) buvo nuo 2008 metų pabaigos iki 2009 metų pirmojo pusmecio. Panasiai buvo su ankstesnėmis finansinėmis krizėmis, vėliau bendro judėjimo stiprumas mažėjo, taciau LJSEX ir BUX indeksams jis sumažėjo daugiau, negu PX. DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1221

Implementation of Communication in Social Media by Promoting Studies at Higher Education Institutions

Abstract: New technologies penetrate into all spheres of our lives and shifts personal communication as well as traditional communication between customers and organizations; provide all the participants of communication with more possibilities. Economic crisis promotes internet-based communication and stimulates organizations to look for cheaper possibilities, i. e. to integrate social media into relations building, public relations and other activities. Recent theoretical and practical scientific studies emphasize the importance of the development of social media ideas and its integration into organizations’ communication activities, which used in appropriate way, can help to reach the appointed results: to present and to sell services or goods, to build brand value or to maintain two-way relations with target audiences, etc. Social media is changing the traditional marketing paradigm and stimulates new attitudes toward relations between organizations and consumers, where information flows bilateral, direct and effectively, may be diffused in social networks by consumers’ wishes and can help to strengthen organization positions in the market. Therefore scientists recommend organizations to appraise the value of every member of virtual communities and to communicate in correct way: adding value, helping to solve problems, educating and etc. The article concentrates on the attitude which organizations have to have for successful social media, implementation and achievement of organizational goals. Different departments of organization should be involved in more effective use of social media. Business organizations have to consider both positive and negative social media application aspects in order to avoid certain risks. The negative aspect of social media that is mostly appointed by scientists is the lack of control mechanism: message content, timing and frequency. In order to avoid the risks related with communication in social media organizations have to plan social media implementation process. The main objective of this research is to build up the structural model of communication in social media and to test the application perspectives of the model for study promotion in public higher education institutions. The result of theoretical analysis is an original model of communication in social media. The steps of the model implementation are: environment and competitors’ analysis preparation of communication strategy, selection of appropriate channels, communication process, monitoring, assessment and comparison of results. The theoretical model of communication in social media includes not only the process of communication between the organization and consumers, but also the stages of preparation and assessment that are also important in the evaluation of implementation of the overall communication strategy. A case study of Lithuanian state higher education institutions was used to reveal the possible application of the suggested model of communication in social media in the promotion of higher education studies in social media. The communication of higher education institutions in social media is important since active involvement of prospective students in communication in social media can help prospective students to choose the university where he or she would like to study. Social media presents a university as „live“, communicating and caring about current and prospective students. The study on communication in social media by promoting studies at Lithuanian higher education institutions showed that the suggested model of communication in social media of business organizations can be successfully applied to the communication of universities in social media. The popularization of higher education institutions and involvement of prospective students should originate from environment analysis and planning as well as benefit assessment that may be gained by social media.DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1550

Measurement of Export Competitiveness of the Baltic States by Composite Index

Abstract: Theoretical and practical aspects of the measurement of export competitiveness are analyzed in this article. The relevance and timeliness of analysis of the concept of export competitiveness proves the fact that competition is a very important precondition, which affects the effectiveness of development of national economy under the conditions of globalization. The research of the concept of export competitiveness and the ways of improving competitiveness of national economy are especially relevant for the countries in the period of recovering from the outcomes of economic crisis of 2008 -2009. In the European Union, the worst influence of economics recession was brought on Baltic States – Lithuania, Latvia and Estonia economies. One of the most important factors, which could stimulate the development of national economy, is export. Its development is especially essential for small countries, which are too small to consume all the production made by these countries. Higher export competitiveness could help the country to overcome after-effects of economic recession and stimulate the development of the total national economy. Export is often associated with competitiveness of the country at the international level. While the academic understanding of international competitiveness of the country is still forming, the factors of international competitiveness are still being identified in scientific literature, export competitiveness can be measured in different ways: by analyzing one or several factors of the country's export, creating composite indices, analyzing factors and conditions which stimulate the international trade, etc. As every method has its advantages and disadvantages, the scientists seek to find the most reliable, methodologically justified, understandable, convenient to practical use and objective method, which could be accepted generally and widely used in strategic planning on improving competitiveness of the national export and total national economy. But why the measurement of export competitiveness is so important? The answer to this question is related to the fact, that if competitiveness can not be measured, it can not be improved. As Baltic States and other countries compete directly among each other for the export markets, the identification of the current situations of export competitiveness in comparison with other competitors and its variation in the period of time will provide the information necessary for the government, business and scientist sectors, which are creating, updating, implementing and evaluating efficiency of the export improvement strategy and various means for its stimulation. This article presents the problems related to the increase of export competitiveness in the Baltic States and its measurement. The factors enhancing export development are distinguished, possibilities on application of the basic competitiveness models and methods and their application for measurement of the export competitiveness are analysed. Based on the conducted theoretical analysis, the index of measurement of the Baltic States export competitiveness was established, thus allowing to identify the main factors determining competitiveness of the Baltic States export and quantitative measure the competitiveness of the Baltic States export. The established index is empirically based when assessing competitiveness of the Baltic States export within the period of 2005 – 2010. The article ends by providing strategic proposals regarding increase in export competitiveness of Lithuania. The newly created Baltic States export competitiveness index, presented in the article, is one of the ambitions to promote the methodological background for measurement of export competitiveness and promote establishment of conditions, stimulating national enterprises to export and be competitive within international markets. DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1218

The Impact of Corporate Social Responsibility on the Innovation Climate

Abstract: Research was supported by ETF grant 7537 The purpose of this paper is to investigate connections between innovation climate and corporate social responsibility (CSR). The survey was conducted in Estonian, Chinese, Japanese, Russian, Slovakian, Czech, Finnish and German electric-electronic machine, retail store and machine-building enterprises. The Schumpeterian definition (Shumpeter, 1934) of innovation states that the commercialization of all new combinations is based upon the application of any of the following: new materials and components, the introduction of new processes, the opening of new markets, and the introduction of new organizational forms. According to Janszen (2000) when a change in technology is involved it is termed an "invention" and when the business world is involved, it is an "innovation" (Janszen, 2000). Different organizations have different definitions about CSR, but there is similar ground between them (Ubius & Alas 2009; Tafel-Viia & Alas 2009). Today leaders face a challenge in order to apply societal ethical standards to responsible business practice (Morimoto et al., 2005) during changes triggered by changing environment (Alas 2008; Alas et al 2009a; Alas et al 2009b; Alas et al 2010; Sepper & Alas 2008) and taking place in different cultures (Alas & Edwards 2011; Alas et al 2011). Corporate social responsibility is regarded as a crucially important issue in management nowadays (Cornelius et al., 2008; Humphreys & Brown, 2008). The previous research study’s findings of no significant differences by the entrepreneur’s gender in venture innovation/risk situation, in strategies employed, and in satisfaction with performance support other recent research studies (Sonfield & Lussier, 1997). Recent evidences showed that the relationship between organizational commitment and discretionary measures of corporate social orientation is stronger for women than for men (Peterson, 2004) and that corporate charitable behavior, which is considered to be discretionary (Carroll, 1979) is viewed more favorably by women than men (Roberts, 1993). Linear regression analysis was done in order to analyze connections between innovation climate and corporate social responsibility. Data about three different age groups, two different genders and two different education levels were compared by means of the T-test and ANOVA-test. The total number of respondents was 6094. The results of an empirical study show that corporate social responsibility predicts innovation climate but it depends on the employees` gender, age and education level. From this study corporate social responsibility predicts innovation climate among younger and middle age groups. One facet of corporate social responsibility – the firm performance concerning social issues predicts innovation climate among older age group. Corporate social responsibility predicts also innovation climate among men. Corporate social responsibility predicts innovation climate among respondents with high level of education. One facet of corporate social responsibility - the firm performance concerning social issues predicts innovation climate among respondents with low level of education. Both facets of corporate social responsibility and innovation climate were rated higher among women and lower among men. Both facets of corporate social responsibility and innovation climate were rated higher among younger age group and lower among middle and older age group. There weren’t big differences among respondents with low and high levels of education according to the two facets of corporate social responsibility - the firm performance concerning social issues and the firm respects the interests of agents and innovation climate. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1935

International Evidence on the link between Foreign Direct Investment and Institutional Quality

Abstract: Multinational corporations (MNCs) are known for their huge investments in research and development activity. They are also known for superior patents, trade secrets, brand names, management techniques and marketing strategies. The provision of incentives (i.e., tax incentives and/or subsidies) and the adoption of FDI-stimulating policies stem from the expectations that FDI brings enormous benefits such as the transfer of new technology. Numerous empirical studies have demonstrated FDI has a positive impact on economic growth of the host countries. However, it should be noted that the distribution of FDI across countries is not uniform with some countries receive more FDI than the others. This observation raises the question of whether it is possible to identify a set of policies that might enhance the attractiveness of host countries as destinations for MNCs. In the investigation of factors that influence FDI flows, existing studies have mainly focussed on the traditional factors such as market size, trade openness, infrastructure and human capital. The role of other factors such as the quality of institution in the host country was largely ignored. Institution can be defined as the humanly devised constraints or rules of the game that structure political, economic, and social interaction. Institutions provide the incentive structure of an economy. Specifically, it affects security of property rights, prevalence of corruption, distorted or extractive policies, and thereby affects the incentive to invest in human and physical capital, and hence economic growth. The role of institutional quality in the development process has been extensively examined and economists have reached a consensus on the importance of good domestic institutions in explaining cross-country differences in both growth rates and income per capita. Following recent literature that emphasize on the importance of institution, this paper examines whether domestic institutional quality has any important role in attracting FDI. Instead of investigating the direct effect of institution on growth, this paper focuses on the indirect effect that institution may bring via FDI inflows. Arguably, countries with better institutional quality should be able to attract more investment because it improves productivity prospect, reduces the cost of doing business and uncertainty. In order to test the hypothesis, data from 77 countries over the period of 1981-2005 is utilised. Methodologically, this paper uses a system generalised method-of-moment panel estimator to address some of the weaknesses encountered in the previous literature on FDI-institution link. Specifically, this estimator is able to formally address biases induced by the inclusion of lagged dependent variable, country-specific effects and endogeneity problem. There are several important conclusions emerging from this analysis. First, institution appears to be important determinant of FDI inflows. This finding is a line with the view that improvements in the quality of domestic institution will reduce the cost of doing business, reduce uncertainty, and improve productivity prospect. This will eventually lead to more investments. Second, FDI is also seeking human capital and trade openness. The availability of quality workforce in the host countries is an important pre-condition for the successful operations of MNCs as they need people who are able to understand and work with new technology. Trade openness is important because most FDI is export oriented in nature such that MNC will invest in countries that pursue trade-promotion policies. In addition, MNCs investment decision also depends on the amount of existing FDI invested in the countries. This is consistent with the view that the success of MNCs in the host countries is an important signal for further investments by MNCs. Finally, FDI is not influenced by market size and infrastructure quality. This is not surprising and in fact consistent with recent literature. Importantly, the finding on the important role played by domestic institution in attracting FDI is robust and is not driven by outlier observations, or problems caused by weak instruments and simultaneity bias. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.2569

Interfunctional Coordination at Hi-Tech Firms

Abstract: The paper is focused on the determination of new knowledge about interfunctional coordination. Interfunctional coordination was defined at the beginning of 90s. It is the coordination of all company activities leading to the increase of business performance. Interfunctional coordination is connected with market orientation. It is one of necessary principle of market orientation. It is not possible to use market orientation without interfunctional coordination. Market orientation is based on marketing conception. The first detailed studies were offered by Kohli and Jaworski (1990) and Narver and Slater (1990). Market orientation is described as a method helping to contribute better managing of a company by many researchers. A lot of papers on this topic were publicized during the last two decades. The earliest papers involved the first definitions of market orientation; offered methods for its measuring; and investigated the impact of market orientation on business performance. The last attitudes towards market orientation agree that market orientation enables managers to focus on external and internal elements and activities, which influence the activity of a company leading to its performance increase (Tomaskova, 2009). At present, we have a lot of methods used for the measuring of market orientation. Using a proper method depends on the branch or economic system. The perception of the implementation of market orientation is changing during the period, as well. However, the main principle is still the same – market orientation has a positive impact on business performance. Nowadays, a lot of authors deal with the implementation of market orientation. Because of this reason, we have prepared research “Research on implementation on market orientation in Hi-Tech Firms” (GA 402/07/1493). The goal of the research was to detect barriers of the implementation of market orientation. We divided the barriers of the implementation into three parts according to managers’ influence in an internal, branch and external environment. State, economy and technologies are named as the main elements of external environment. The main barriers connected with the elements of branch environment are quality and quantity of branch stakeholders. Barriers of internal environment involve the barriers connected with the top management and its personality, skills, knowledge and experiences, all employees of a company and interfunctional coordination. The paper deals with the interfunctional coordination at hi-tech firms. The objective of the paper is to define barriers connected with interfunctional coordination and to detect the perception and importance of interfunctional coordination at hi-tech firms. The theoretical knowledge is noticed in some research studies. The data was acquired by means of a questionnaire. New Method measured market orientation in a company. The questionnaire New Method with 7-point Likert scale constituted by Tomaskova (2005) was used for the research. The complete database was analysed by using standard statistical methods (correlation analysis, Spearman correlation coefficient, chi-square) as well as other sophisticated techniques (Cronbach alpha). The main results of the research show that the level of market orientation at the hi-tech firms in the Czech Republic is high and confirm how important is gaining information and using this information inside the company for market orientation. The main results of the research confirm that interfunctional coordination is the base of market orientation. Hi-tech firms in the Czech Republic perceive interfunctional coordination as very necessary presumption for their future development and prosperity. The highest rate for this part received the following statements confirming positive company attitude for innovation, preference for teamwork and mutual cooperation in firms and also effort to be flexible. On the other hand, the lowest average rate had the statement describing relations between superiors and subordinates and their strictness and formalness.DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1224

Synergy of Migration Theories: Theoretical Insights

Abstract: Topic of migration is often discussed in nowadays. However, it is quite complicated phenomenon. Causes of migration can be understandable “deeper” after classifying and summarizing the main theories in an appropriate way. The most of scientists agrees that migration’s theory, which could explain all aspects and reasons of migration, will never be created because of confusing variety of processes included in it. However, the purpose of this article was not to propose such single theory. Various consistent patterns and correlations can be seen in the migration’s movements. After classifying and summarizing these aspects, it is possible to understand the causes of migration “deeper”. Thus, the authors of this paper tried to analyze, sort out migration theories and to put them together. In the first part of this article, Economic equilibrium, Heckscher-Ohlin, Todaro and Harris-Todaro, Human capital, Early decision-making, Dual labor market, Self-selection, Family migration, Relative deprivation, Motivation decisions, Rational expectation, Consumption, Network, Cumulative causation, Migration systems, Zelinsky, Skeldon, Migration hump and Push and pull theories of migration were analyzed. In the second part, all above mentioned theories according to their features, similarities and period were classified in the Neoclassical, New, International movement solvents and Spatio-temporal transition theories groups. It should be noted that not all above mentioned theories could be directly attributed to one group. Some theories, as Early decision-making theory, could be attributed to both Neoclassical theory (because of personal factors) and New theory (because of family characteristics included in personal factors) of migration. Finally, theories groups were associated with interrelationships and summarized in to one integrated Push and pull model. Push and pull model has been developed by a lot of scientists continuously: Ravenstein, (1889), Lee, (1966), Altbach, (1998), Mazzarol & Soutar, (2002), and many others (Wang, 2010). Many theorists have followed footsteps of migration Push and pull model. These theories have been improved and supplemented with new push or/and pull factors. Thus, it can be said that most migration theories can be combined together. Push and pull model of discussed migration theories could be one of suggestions how to integrate theories into one model. This integrated model of theories could reveal the reasons for migration wider and deeper. Proposed model can be used as integrated and complex model seeking to understand migration theories and the main migration reasons based push and pull motives deeper. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.1240

Analysis of Impact Factors on the Real Estate Market: Case Slovenia

Abstract: The real estate market is very important for every country, not merely because it ensures construction structures and infrastructure necessary for life and work, but also because it has a strong, multiple impact on the development of nation’s entire economy. Real estate market trends are strong indicator of trends in the entire economy. Trends on the real estate markets have changed notably in recent years. As early as two years ago, the main characteristics of these real estate markets were domination of demand over offer, quick sales of apartments and a lack of “choosiness” on the part of buyers, all of which was accompanied by rising real estate prices, which has not abated in nearly two decades. Over the past two years, the conditions have changed notably: transactions are few, offer is dominating over demand, buyers are choosy, while apartment prices are falling. In the past, little attention has been paid to the problems we are about to study. Some researches have been conducted; however, none were developed so as to be applicable to the entire territory of Slovenia. For the very facts stated above, we decided to study and present the impact factors on the Slovenian real estate market using a practical example. The answers obtained through a structured survey questionnaire give rise to several questions. One of these questions is also what the primary factors are and how to form the best selection thereof. To determine them, it was our task to monitor the key factors. We obtained some of the information from past research and put them into the time context. Determining the goals and strategies, we elaborated a plan of the system for establishing the factors, and monitored the volatility of the selected indicators. Included into the research were also investors, real estate owners, tenancy right holders, real estate users, administrators, managers, tenants, real estate agencies and companies, design and construction companies, as well as other individuals across Slovenia, with varying durations of work experience and varying education levels. With the research that follows, we wanted to present the factors which most affect the real estate prices on the Slovenian real estate market, resulting in their rise or fall respectively. The role, significance and usage of the assessed parameters on the real estate market are important for efficient operation of construction company. There is a growing interest for modifying and determining the causes of the assessed parameters. Knowledge of conditions on the real estate market is extremely important for efficient and successful operation of an organisation. An analysis of the real estate market and the operation of construction companies represent a starting point for revamping it. The goal of the research is to define the factors that must be taken into account for an analytical forecast of future trends in the fluctuation of real estate prices. We have established that the main group of impact factors is associated with economic growth, interest rates, construction quality, speed of real estate sales and accessibility of funding sources. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.2566

Consumer Attitude of Risk and Benefits toward Genetically Modified (GM) Foods in South Korea: Implications for Food Policy

Abstract: With highly negative publicity, GM food marketing in South Korea has become a major challenge for potential marketers who are interested in entering the South Korean market. Several consumer groups and non-government organizations (NGOs) in South Korea initiated anti-GM food campaigns. South Korean consumers are reported to be more concerned about potential risk associated with GM food compared to counterpart consumers in the U.S and Europe (KFDA, 2009). Many South Korean food processors and marketers are responding to this consumer concern by ignoring the labeling requirement of GM contents in their products. There is apparent lack of coordination in the South Korean food supply chain regarding GM food management with South Korean consumers’ negative attitude toward GM foods and South Korean food suppliers’ avoidance of GM food labeling. Despite the apparent benefits of GM food, GM food may not have sufficient market value in the market if consumers have distrust and insecurity toward such product. This paper develops a quantitative model which identifies major determinants of South Korean consumers’ choice behavior for GM foods. The proposed model elicit constructs which form South Korean consumers’ attitude which in turn affect their willingness to purchase GM foods. Our study developed a socio-cognitive model of South Korean consumers’ behavior, using Fishbein’s framework, which has two attitudinal constructs (Perceived Benefits and Perceived Risk) and one construct that capture effect of individual respondent’s socioeconomic variance (Socio-Economic Status (SES). Consumers’ beliefs and attitudes regarding the risks and benefits of GM foods and their individual socio-demographic status are hypothesized to be linked to consumers’ choice behavior of GM foods. A sample of 360 consumers was drawn from a survey study in the capital city, Seoul. Results reveal that consumers’ Socio-Economic Status (SES) and their Perceived Benefits associated GM food were found to be strong indicators of consumers’ GM food purchase intention. This implies that consumer’s background and diversity in South Korean demographic may have significant effect on their purchase intention for GM food. This suggests that further extensive study on South Korean consumer market need to be conducted in order to fully understand the difference among various South Korean consumer market segments in terms of how they respond to GM food issues. Comprehensive market segmentation on South Korean consumer market should be done in terms of their GM risk appetite, GM food knowledge, information search behavior and food consumption pattern. Our results show that favorable attributes of GM food such as medical benefits and nutritional enhancement were found to have significant influence on consumers’ attitude toward GM food positively. Results show potentials for second generation GM food in South Korea, if specific of consumer benefits can be effectively developed and promoted to South Korean consumers. Regarding Perceived Risk of GM food, uncertainty/ lack of understanding on GM food and potential environmental hazard of GM food were found to affect consumers’ attitude toward GM food negatively. Educating consumers about GM food may be a viable strategy to mitigate their concerns about unknown health risks and adverse environmental effects and the communication of scientific uncertainty is critical to improving consumers’ negative attitude toward GM foods. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1548

Influence of Organizational Factors on Management Tools Usage in Slovenian Organizations

Abstract: Purpose – In the global competitive environment, managers of organizations must permanently rethink and renew their work, especially about the use of different managerial tools. A selection of suitable management tools for organization requires consideration of characteristics of the known tools, comparison of different tools, and consideration of demands and conditions of the organizations. But direct comparison of different management tools is not possible because of their content-related and methodological differences. In management theory, various authors tried to consider the use of management tools more deeply. The main purpose of this paper is to examine the influence of important organizational factors on usage of single management tools in Slovenian organizations. Thus, we consider: 1) usage patterns of management tools in different areas worldwide, 2) the influence of single organizational factors – i.e. education, position, and working years, on the usage of management tools in Slovenian organizations, and 3) the influence of a linear combination of selected factors on usage of management tools in Slovenian organizations. Design/methodology/approach – A qualitative analysis is applied on the basis of the selected cognitions from Management, and Organization. The quantitative analysis includes desk research about the management tools, and analysis of the results from a survey about management tools in Slovenian organizations in 2010. In examining the impact of the considered organizational factors (separately and in combination) on management tools we use linear regression analysis to predict the influence of single factors and linear combination of the selected factors on the use of selected management tools. AMOS 17.0 was used for analysis. Findings – Intensity of management tools usage in Slovenian organizations is similar to the global patterns, while patterns of their usage are rather different. Examination of factors influencing usage of the top five management tools in Slovenian organizations reveal: education has the strongest impact on the usage of management tools, the impact of employees’ position in organization is weaker, and the impact of working years is very weak. When we take into consideration all three predictors simultaneously, the impact of education and position becomes weaker, while the impact of working years becomes insignificant. We apply a deeper approach to gauge the influence of organizational factors on usage of the selected management tools. The impact of other considered factors, we find, is not significant. Research limitations/implications – Research is limited to a hypothesis, broader qualitative aspects encountered during desk research, and some quantitative analysis of results from our survey. We test our hypotheses and the chosen model on the top five management tools most used by employees in Slovenian organizations. Practical implications – Authors try to overcome the prevailing practice of very general consideration of management tools usage, especially regarding organizational factors, which influence the usage of management tools. Authors suggest a new approach, hardly known in the main-stream literature. They propose a more specific and target-oriented approach to consideration of management tools usage in business. Originality/value – Available management literature does not provide a similar solution for considering and researching the usage of management tools in business. This is useful for business practice in organizations, for advancing the usage of management tools, since the most important organizational factors on management tools usage are outlined. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1933

The Specifics of Measurement the Urban Competitiveness at the National and International Level

Abstract: The article involves analysis of urban competitiveness from the national and international perspective. The analysis is focused on possibilities of application of different methods, widely used for the assessment of both the company‘s, national and regional competitiveness, as well as on identification of advantages and disadvantages of such methods. The article also involves introduction of methodological guidelines on the assessment of urban competitiveness from the national and international perspective, based on results of theoretical and empirical analysis. The empirical study is based on analysis of the sample of Kaunas, the second largest city of Lithuania. From the national perspective the assessment of Kaunas city competitiveness is based on comparing it with other major cities of Lithuania – the country‘s capital Vilnius and Klaipeda, by employing statistical data of 2007-2010. The availability of official data at the regional level revealed that the assessment of international competitiveness of the cities, located in regions which, based on the territorial statistics units nomenclature, are attached to the third level (NUTS 3), should be equaled to the regional competitiveness itself. Measurement of Kaunas city and region competitiveness from the international perspective is based on statistical data of 2007-2011. The identification of specifics of measurement the urban competitiveness at the national and international level, presented in the article, is one of the ambitions to promote the methodological background for urban governance and improvement of competitiveness of Lithuanian cities. The article presents the continuity of the research work of the authors in the sphere of urban competitiveness measurement.DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1272

Empirical Evidence on Environmental Management Practices

Abstract: Organizations are paying greater attention to the environmental impact of their business activities, as external stakeholders such as shareholders, customers and policy makers are increasingly demanding improved environmental performance from firms globally. Clean production and green products have become important issues to manufacturers as the International Organization for Standardization (ISO) has produced frameworks such as the ISO14001 series. These standards are intended to provide organizations with the elements of an effective environmental management system (EMS) that can be integrated with other management requirements and assist organizations achieve environmental and economic goals. Firms have adopted environmental management systems (EMS) due to mounting government and industry pressures, yet little data exists in terms of the implementation of and practices within EMS. This paper aims to improve understanding and generate empirical data on firm activities in environmental management practices. This research will examine the nature and levels of environmental management practices within the industrial coatings industry by surveying the primary supply chain within an emerging market context. This paper employs a quantitative cross-sectional survey approach to provide empirical data from a sample of firms which have implemented an EMS. The study is executed in an emerging market country allowing for international comparisons in similar contexts. For the purpose of this study the population comprised suppliers of industrial coatings raw materials and industrial coatings manufacturers operating within the broader chemicals sector in South Africa. This emerging market country context provides a unique environment with opportunities to expand theory. A diverse sample frame ensured heterogeneity in the final sample representing several value chain activities in this industry. The survey was administered electronically to key players in this industry, with a 64 per cent response rate, resulting in a final sample of 84 respondents. The study results confirm that larger organizations and/or multi-nationals that are involved in export markets are committed to higher levels of EMS practices. These companies are securing their long-term survival by ensuring that they meet global sustainability objectives. In addition, these mostly private companies are reassuring internal and external stakeholders with their commitment to environmental protection. Based on a descriptive statistical analysis it is encouraging to note that a significant number of companies in this study have shown commitment to advancing environmental sustainability and have implemented a structured EMS. This EMS formed part of their mission statements and management practices at the corporate, manufacturing and operations levels were implemented. The results also indicate that the majority of organizations surveyed have, to some extent, incorporated environmental management into the strategic process of the organization, which was done by employing environmental experts, ensuring that the environmental function was housed by a separate department and was incorporated into the strategic planning process of the organization. EMS reporting in annual financial reports is also an encouraging trend. This research has contributed to the evolving field of environmental management and has provided valuable insights as to the nature in which firms are practicing EMS. Since the majority of respondents in the present study are multi-national companies it may be beneficial to expand this research to other countries with different regulatory obligations, to be able to compare and contrast EMS practices. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1549

Does Competence-Oriented Higher Education Lead to Students’ Competitiveness?

Abstract: XXI a. būdingi netikrumo sudėtingumo issūkiai, kurie yra postmodernaus gyvenimo ypatumai. Esant pasaulinei ekonomikos krizei labai svarbu turėti aukstąjį issilavinimą, kuris yra didžiulis studentų kompetencijos kėlimo potencialas, o sis sudaro visos tautos kompetencijos pagrindą. Kadangi studentų kompetencijos puoselėjimas glaudžiai susijes su jų verslumo augimu, straipsnyje aptariami kai kurie daktaro disertacijos „Studentų verslumo ugdymas mokymo procese“ (Oganisjana, 2010 b) tyrimai, atkreipiamas dėmesys į siuolaikinio aukstojo mokslo tikslą ugdyti studentų verslumą ir kompetenciją. Verslumo tikslai tradiciskai susije su ekonomika, verslu, vadyba, psichologija, sociologija ir antropologija. Taciau siuolaikiniame Europos svietime su mokymosi visą gyvenimą strategija verslumas ir jo ugdymas tapo ir pedagogikos tyrimo objektais. Literatūros analizė parodė, kad trūksta bendro verslumo supratimo, nes verslumas buvo apibrėžiamas labai įvairiai: procesas, individo savybės ir įvairi elgsena. Atsižvelgiant į problemos įvairove ir naujumą, Latvijos pedagogikoje buvo taikoma kokybinė turinio analizė – isnagrinėtos 50 interpretacijos, susijusios su verslumu, įmone, antrepreneryste, kurios pateiktos Europos, Amerikos, Azijos ir Australijos mokslininkų darbuose. Buvo isskirtos devynios verslumo sudedamosios dalys: asmenybės bruožai, gebėjimai, mokymasis, motyvacija, emocijos, poreikiai, pažinimas, elgsena. Sios sudedamosios dalys rodo, kad verslumas turi daugiau elementų, kurie sudaro individo prigimtį, savybes, patyrimą, motyvaciją, elgseną negu verslumo žinios, gebėjimai, požiūriai. Tyrimas parodė, kad verslumas nėra tik atskirų sudėtinių dalių mechaninis junginys. Tai yra dinaminė sistema, nes jos elementai tarp saves susije ir remiasi sudėtinėmis funkcijomis. Rysys tarp verslumo elementų buvo tiriamas remiantis ekonomikos, vadybos, pedagogikos ir psichologijos teorijomis. Kadangi tyrimo tikslas buvo sukurti verslumo pedagogine viziją, kai kurių aspektų analizė rėmėsi pedagogikos teorijomis. Buvo sukurtas holistinis struktūrinis funkcinis modelis, kuriame atskleidžiami sie aspektai: 1) verslumo struktūra; 2) mechanizmas, kaip verslumo elementai veikia kaip sistema; 3) kaip kuriama nauja ekonominė vertė, kuri yra pagrindinis verslumo veiksnys; 4) kaip galima ugdyti studentų verslumą vykstant studijų procesui remiantis jų patyrimu ir žiniomis apie realaus gyvenimo problemas. Į modelį įeina sesiolika uždarų mokymosi ciklų, kurie sudaro bet kurio eksperimentinio mokymosi pagrindą. Trumpiausias mokymosi ciklas yra „Elgsena“ → „Rezultatas“ → „Elgsena“. Sis ciklas rodo, kad studentų elgsena skatina rezultatą, kuris sukelia naują elgseną, o elgsenos skirtumas yra tai, ką jie tuo metu ismoko. Didžiausias mokymosi ciklas yra sis: „Kontekstas“ → („Pažinimas“ → „Poreikiai“ → „Jausmai“) → „Motyvacija“ → „Elgsena“ → „Rezultatai“ → „Kontekstas“. Sį ciklą sudaro visi verslumo komponentai. Jį galima interpretuoti taip: kai kontekstu suteikiama galimybė, studentai gali būti motyvuoti ją įgyvendinti: pirmiausia įvertina idėją remdamiesi savo pažinimu, po to lygina potencialo rezultatus su savo poreikiais ir pagaliau priima tą idėją. Tada atliekami tam tikri veiksmai (elgsena), kurie, kaip jau minėta, grindžiami gebėjimais. Studentų elgesys sukuria tam tikrus rezultatus, kurie turi tapti naujomis ekonominėmis vertybėmis. Sie rezultatai bandomi ir įvertinami realaus gyvenimo sąlygomis. Dėl sio proceso gali atsirasti nauja motyvacija, pažinimas, poreikiai ir emocijos. Tai ir yra eksperimentinis mokymasis, kuris gali isugdyti naujus gebėjimus ir žinias. Visa tai skatina kitas mokymosi formas. Holistinis verslumo modelis yra universalus, nes jį galima taikyti lavinant įvairaus amžiaus studentus. Taciau tyrimas susijes su aukstuoju mokslu, todėl modelis buvo taikytas sprendžiant sios srities problemas. Tiriant aukstojo mokslo galimybes ugdyti studentų verslumą, buvo taikytas Greg Light ir Roy Cox penkiais mokymosi etapais auksciausiame mokymosi cikle: „Kontekstas“ → („Pažinimas“ → „Poreikiai“ → „Emocijos“) → „Motyvacija“ → „Elgsena“ → „Rezultatai“ → „Kontekstas“. Pirmasis mokymosi etapas susijes su žiniomis. Jis atitinka segmentą „Kontekstas“ → „Pažinimas“. Antrasis mokymosi etapas susijes su gebėjimais ir paremtas „Pažinimo“ → „Gebėjimų“ pagrindu. Treciasis mokymosi etapas susijes su požiūriu ir planuojamas pagal pereinamąjį santykį „Gebėjimai“ → „Derinimo taskas 3“. Ketvirtasis mokymosi etapas susijes su elgsena. Jis atitinka segmentą „Motyvacija“, paremtą santykiu „Gebėjimai“ → „Elgsena“. Penktasis mokymosi etapas susijes su besitesianciais pokyciais ir planuojamas kaip pereinamoji grandis „Elgsena“ → „Rezultatas“ → „Kontekstas“. Siame etape ugdoma nauja vertybė, kuri yra pagrindinis verslumo požymis. Taigi, jeigu aukstasis mokslas orientuojasi į studentų kompetencijų ugdymą (kaip kompetencija yra suvokiama siuolaikinėje visuomenėje, t. y. žinių gebėjimų ir požiūrio derinys), toks aukstasis mokslas apima pirmuosius tris etapus ir mažai prisideda prie studentų verslumo ugdymo. Jis tiesiog nerodo veiksmų, kurie sukeltų naujų rezultatų, naujų ekonominių vertybių. Pagrindinių mokymosi visą gyvenimą kompetencijų sąvoką pakeitė ir naujus sudedamuosius elementus įvedė Arne Carlsen (2009), kuris savo mintis isdėstė „Mokymosi visą gyvenimą nacionalinėje strategijoje“. Elgsenos svarba – tai nuolatinių požiūrių era aukstajame moksle, kuris turi ne tik daryti įtaką pokyciams ir prisitaikyti prie jų, bet ir gebėti kurti naujus. DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1228

How Does Management Perceive Exporting? An Empirical Study of SMEs

Abstract: Suvokimas apie eksporto svarbą verslo valdymo srityje gali daryti didele įtaką mažų ir vidutinių įmonių (MVĮ) eksportui. Jis gali nulemti sprendimą: diegti eksporto strategiją ir kitas strategijas, taikomas siekiant įtvirtinti eksportą ar ne. Siame darbe nagrinėjami du pagrindiniai aspektai. Pirmasis – tai laikas, per kurį vadovo supratimas apie eksportą daro įtaką sprendimui eksportuoti, o antrasis yra taikomas toms MVĮ, kurios jau yra eksportuotojos. Siame straipsnyje nagrinėjamas vadovo supratimas, turintis reiksme įsipareigojimui dėl eksporto. Siam tikslui buvo patobulintos ir patvirtintos kai kurios pakopos, pagrįstos struktūrinėmis lygtimis, skirtomis įvertinti eksportavimo privalumų ir trūkūmų suvokimą. Abi analizės atliktos atsižvelgiant į tai, ar MVĮ yra privatus verslas ar ne, todėl gauti rezultatai gali paaiskinti galimą sio fakto įtaką. Siame tyrime analizuojami du aspektai: eksporto privalumų ir barjerų suvokimas, taip pat siekiama issiaiskinti kaip juos suvokia vadovas. Kuo geriau vadovybė suvokia kliūtis, tuo mažesnė bus neigiama įtaka eksporto veiklai ir atvirksciai. Kartu su organizaciniais aspektais taip pat apžvelgti ir pažintiniai organizacijos aspektai, kurie įgyjami kompanijoje. Sie du aspektai bus analizuojami remiantis privacia nuosavybe, kuri valdo kompaniją, taip pat ir strategija, naudojama užmegzti rysius su isoriniu pasauliu (būsena pries tampant eksportuotoju ar esant eksportuotoju; ir eksportuotojo eksporto įsipareigojimų laipsnis). Esminiai įmonės vadovybės suvokti barjerai ar kliūtys daugiausiai yra informatyvūs ir vidiniai barjerai. Informatyvūs barjerai atskleidžia nemažai informacijos apie trūkumus eksportuojant mažose ir vidutinėse įmonėse. Vidiniai barjerai aiskiai parodo faktą, kad nustatytas vidinių resursų trūkumas labai stabdo MVĮ eksportą. Egzistuoja didelis skirtumas tarp to, kaip verslo vadovai suvokia eksporto privalumus. Sį faktą patvirtina ne apskritai įvairus eksporto barjerų suvokimas, o labiau pacių privalumų suvokimas. Tokiu būdu galima daryti isvadą, kad eksporto barjerų suvokimas nepriklauso nuo įmonės dydžio. Mažesnių, mažiau patyrusių MVĮ vadovai suvokia didesnius eksporto barjerus, susijusius su resursų trūkumu, kartu ir didesnius eksporto proceso privalumus. Tokių barjerų, taip pat privalumų tyrimas neatskleidė didesnių skirtumų tarp privacių ir neprivacių įmonių. Kita empirinė isvada yra ta, kad pleciantis nacionalinei veiklos sriciai, vadovai suvokia, kad trūkstant resursams ir ignoruojant užsienio rinkas, susidaro daug kliūcių eksportui, todėl potencialių privalumų suvokimas tuo metu tampa ypac pozityvus. Eksporto siūlomus potencialius privalumus daugiau suvokia jau ilgesnį laiką eksportuojancios įmonės, nei tos, kurios dar neeksportavo. Be to, kai įmonė laikosi strategijoje numatytų tarptautinių įsipareigojimų, pries tai paminėtos kliūtys nėra lemiamos, trukdancios eksportą. Nustatyta, kad sios kliūtys labiau suvokiamos įmonėse, kurių eksporto intensyvumas yra nedidelis. Suvokimas kaip organizuoti eksportą ir valdyti patį jo procesą yra viena is svarbiausių funkcijų kalbant apie eksportą. Sis suvokimas remiasi veiksnių, kurie gali paskatinti tam tikrų programų, skirtų internacionalizacijos paramai sukūrimas ir plėtra, deriniu. Tokias funkcijas galincių atlikti organizacijų yra daug ir įvairių, pradedant nuo pacios įmonės iki Viesųjų administratorių, Nacionalinių ar regioninių eksporto rėmimo agentūrų, Komercijos rūmų, Verslo federacijų, vietinės plėtros agentūrų, Sektoriaus asociacijų ir kitų. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1547

Fiscal Policy Interaction with Private Investment: the Case of the Baltic States

Abstract: Government's role in promoting the country's economy remains a relevant issue both in academics and politicians debates. Not only for individual countries but also for the European Union as a whole the promotion of high value-added activities, in particular in lower development small open economies which hardly recover from external economic shocks and experience significant social problems due to high unemployment level remains a relevant issue. The country's competitiveness and level of development, as well as the country's economy growth, depend on high value-added investment growth, and both private and public investments play a significant role in economy of each country. Government's role, in particular through the fiscal policy, in the promotion of these activities is crucial. The prevailing view in the scientific literature is that in developed countries public investment crowds out private investment, while in developing – crowds in, but it is not clear under what conditions these effects occur because the countries are very different. Also the effect of the taxes revenues and the government expenditure indicators on private investment is unclear because the effect of these variables on private investment has not been studied comprehensively. So the aim of the research is to evaluate the relationship between fiscal policy indicators, such as the government revenues from taxes and the government expenditure, and private investment comprehensively including indicators of macroeconomic environment in the Baltic States, by applying correlation and regression analysis. The conducted research revealed the existence of strong direct relationship between the fiscal policy indicators and private investment in the Baltic States, showing the importance of fiscal policy to private investment. During the analysis of detailed tax and expenditure indicators it has been established that the strongest relationship exists between the current taxes on income, wealth, etc and public investment with private investment. The current taxes on income, wealth, etc indicator explains about 86 percent of the private investment fluctuations and the gross fixed capital formation by public sector indicator explains about 80 percent of the private investment fluctuations in the Baltic States, whereas the effect of these indicators on private investment is analyzed separately, while macroeconomic indicators of a country explain only about 8-13 percent of the private investment fluctuations. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1934

Portfolio Size and Diversification Effect in Lithuanian Stock Exchange Market

Abstract: Recently scientists have increasingly focused on measuring the effect of diversification rather than portfolio efficiency evaluation, motivating that return is more variable economic phenomenon than the risk. Portfolios in different size financial markets are formed from different numbers of stocks in order to get the same non-systemic risk elimination effect. In most cases scientists agree about naive portfolio diversification effect. Scientific debates on the measurement of diversification effect of differently-weighted stocks portfolios are still in progress. Therefore, authors of the article solve the scientific problem assessing the possibilities for diversification when portfolios are made of different weight stocks and compare the diversification effect of naive and differently-weighted stocks portfolios. The research is done in Lithuanian Stock Exchange Market and based on daily stock market prices during 2009–2010. The research methodology is original because the selection of shares to portfolios is carried out under the following criteria in order of priority: 1) the largest negative correlation coefficient values, 2) the quantitative characteristics of the negative correlations with the other stocks in pairs, and 3) stocks of companies from different industry sectors. The diversification effect is evaluated by three indicators: percentage of diversifiable risk elimination, depending on the number of stocks in portfolio, regressions of standard deviations of portfolios against number and concentration of stocks. The results showed that in all cases greater diversification effect is obtained in naive portfolios. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.2565

Evaluation of Investment in Human Capital Economical Effectiveness

Abstract: According to human capital theory the higher education is considered as an investment decision. In order to be beneficial from economic point of view and in comparison with other investment opportunities, investment in education should give a higher rate of return on investment. Knowledge about the return on investment can help to make competent decisions, which would have an economic benefit in the future. Evaluating the investment in human capital (education) as an individual decision, since the vast majority of individuals for gained education should pay themselves and only a part of the price shall be covered by the state, the rate of return on investment becomes an increasingly important evaluation criterion. Making an investment decision it is very important to allocate resources properly. For the individual the costs of this investment include poor wages and direct costs. It can be assumed that individuals with higher education will be paid more than the others without education. Thus, the investment in higher education (human capital) is useful as long as there is a positive difference between marginal benefit and marginal costs. Higher education is a guarantee of a higher life quality. But, in order to ensure the higher life quality, such main factors as individual skills and labour productivity should be eximined. Investment in human and physical capital doesn’t only promote the growth of labour market. The investment such as lower inflation rates and freer trade (lower limits) also stimulates the economic growth. The ability to absorb easily technological change increases labour productivity and efficiency. Education, lifelong learning and health are very important investment in human capital. The foreign scientists performed researches and proved that income growth of individuals depends on the level or degree of education the individual has gained. Rate of return on investment in human capital is positive even after direct and indirect costs estimation. The individuals with higher education have higher incomes in comparison with individuals with college education. Education is one of the most important development factors of the modern knowledge based economy. However, educational and scientific development requires the long-term and huge investment. This investment also should be assessed from the social aspect. On the one hand investment in human capital should be stimulated; on the other aspect it should assess their effectiveness. As the investment in human capital is a complex problem from both practical and scientific aspect, so the practice of such evaluation and applied methods do not give an unambiguous answer. It is very important to evaluate the effectiveness of this investment, to estimate the detention of the time, the money flows: incomes (revenues) and outcomes (expenditures).DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1541

Measurement of Entrepreneurship Macro Surrounding Advantages: Country’s Economic Competitiveness Approach

Abstract: The economic development in the newly EU countries is oriented to the restructuring of economy also reduction of the differences in the economic development level of various regions. The enlargement of country’s competitive ability and creation of a modern knowledge-based economy are the priorities of the development. This paper concerns the measurement backgrounds of entrepreneurship macro surrounding advantages as a country’s economic competitiveness determinant that applicable for reasoning of the attitudes and decisions of economic development strategy using multi-attribute decision making methods. In principle, the assumption is made that the measurement must be performed according to the approach to every key determinant as a partial economic competitiveness which is subject of essential primary competitiveness macro factors. The conceptual provisions are foremost focused on the measurement of a totality of the national macro surrounding advantages based on the generalized model which reflects the interdependencies of primary macro factors in a system with account of the impact (vector) of each of them. This study is intended to reveal the deterministic measurement possibilities oriented to the reasoned multiple criteria evaluation methods on the basis adopted for the particular task models. The technique supposes the following procedures: the identification of essential primary macro factors, their quantifiable assessment (in points) as primary criteria allowing the different weights of the impact on economic competitiveness and the composition of task pillars. When examining the primary macro factors, the indicators of global country’s competitiveness index established by the World Economic Forum were taken into account. The whole of the typical primary macrofactors selected by three task pillars (those of specific business infrastructure, common economic surroundings, fiscal and monetary policy macrofactors) is presented. The favorability indexes of each pillar (as partially integrated criteria having different significance) and, in its turn, the generalized measure – macro surroundings favorability index have been determined by applying, in particular, Simple Additive Weighting method. Lithuania‘s macro surrounding advantages were evaluated according to the proposed technique: they may be scored at 54 point (in 100 point system).DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1219

Consumer Ethnocentricity within the Environment of Economic Crisis

Abstract: The purpose of this study is to examine consumer tendencies within the economic crisis, to examine consumer ethnocentrism (CE) among CEE consumers and its character and influence on buying domestic and foreign products. Based on broad existing theoretical and empirical knowledge, we constructed measures for this research derived from existing literature. The hypotheses were tested through structural equation modeling. The analyzed sample consisted of 199 Czech respondents. The results confirm effect of CE on buying behavior as well as national identity influence on CE. In the Czech context, CE significantly and positively influenced domestic purchase behavior. Alternatively, there was only a marginal influence of CE supported its negative effect on foreign purchase behavior. Cosmopolitanism did not affect CE in the Czech context. Therefore, the research findings suggest a prevalent influence of CE on buying behavior under conditions of economic crisis. The paper concentrates on ignored area that was very hard hit by economic crisis in Central and Eastern Europe. The findings provide useful information to marketing specialists in designing their marketing strategies for local “made-in” communication campaigns. In addition, implications for retailers to evaluate their merchandise assortment portfolio are implied from the findings. We build on the positive influence of CE on buying behavior of domestic products versus foreign, and infer preference for freshness and quality of goods. This suggest implications for public policy implications related to local job creation and employment, especially within the area of small local producers, self-employment, development of local agriculture, as well as countryside maintenance. This issue seems to gain more importance and attention given the nature of the global economic crisis for consumers, producers, retailers and government. Potentially, there appears to be significant carryover effect related to the present and future integration processes of the CEE economies. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1932

The Evolvent of Criteria for Assessment of Innovation Expression in the State Level

Abstract: Valstybei, norinciai efektyviai skatinti inovacijų raiską salyje, būtinas nuoseklus inovacijų raiskos stebėjimas, sio proceso koordinavimas ir tikslingas skatinimas. Valstybė, nustaciusi jautriausius kriterijus, atskleidžiancius inovacijų raiską salyje, gali istirti inovacijų raiskos priežastis bei spragas. Inovacijų samprata, jų turinys bei raiska įvairių aplinkų nagrinėjama daugelyje mokslinių darbų (Freeman, 1995; Lundvall, 1985; Metcalfe, 1995; Nelson, 1993; Patel, Pavitt, 1998; Kriaucionienė, Jucevicius, 2000; Kalvet, 2001; Nauwelaers, Veugelers, Looy, 2003; Ringland, 2003; Johnson, Edquist, Lundavll, 2003; Paterson, Adam, Mullin, 2003; Balzat, Pyka, 2005; Roos, Ferstrom, Gupta, 2005; Herstatt, Tiwari, Buse, 2008; Krisciūnas, Daugėlienė, 2006; Daugėlienė, 2008). Teigiama, kad inovacijos – nuolat kintantis procesas, kurio raiskos efektyvumas priklauso nuo daugelio veiksnių, o ypac nuo valstybėje vykdomos politikos bei aplinkos, palankios veiklai ir skirtingų subjektų (įmonių, valdžios institucijų, finansine ir informacine paramą teikiancių organizacijų, svietimo ir mokslo institucijų) komunikavimo. Efektyvus minėtų subjektų bendradarbiavimas gali būti užtikrintas pasitelkiant inovacijų sistemas. Nacionalinių inovacijų sistemų (NIS) pagrindinė funkcija yra skatinti inovacijų raiską valstybėje. Už inovacijų kūrimą bei diegimą yra atsakingos valstybinės institucijos, privatus sektorius bei svietimo ir tyrimo institucijos. Verslo sektorius atsakingas už inovatyvaus produkto ar paslaugos kūrimą ir diegimą salyje. Viesojo sektoriaus atsakomybės apsiriboja politikos formavimu bei įstatyminės bazės paruosimu. Valstybėje, inovacijų raiskai stebėti, naudojami skirtingi indeksai bei modeliai. Inovacijų indeksai atskleidžia inovacijų raiską kiekybiniais rodikliais (tokiais, kaip moksliniai tyrimai, rinkos liberalumas, socialinė sanglauda) (Lisabonos indeksas) ir kokybiniais rodikliais (vykdomi nestruktūruoti interviu apie verslo investicijas kuriant, diegiant ir plėtojant inovacijas ) (Inovacijų Barometras). Taip pat pastebėta, kad egzistuoja inovacijų raiskos indeksai, kurie inovacijų skverbtį nagrinėja valstybės lygmeniu (Lisabonos indeksas), kiti – įgalina palyginti pasaulio regionus (Globalus inovacijų indeksas), tretieji nagrinėja atskirų valstybės sektorių (pvz.: verslo) investicijas diegiant inovacijas (Inovacijų Barometras). Nei moksliniuose, nei praktiniuose ekspertų darbuose neteko rasti visuminės inovacijų indeksų klasifikacijos, kuri įgalintų tyrėją pasirinkti tinkamiausią metodą inovacijų raiskai salyje ar sektoriuje nustatyti. Daugelyje egzistuojancių indeksų neanalizuojami tyrimų panaudojimo rezultatai. Dėl to tikslinga yra sudaryti kriterijų isklotine inovacijų raiskai nustatyti valstybės lygmeniu. Atsižvelgiant į isdėstytas mintis darbo autoriai iskėlė tikslą – panaudojant sisteminius (teorinius) bei empirinius metodus, susisteminti kriterijų isklotine inovacijų raiskai salyje nustatyti (Lietuvos atvejis). Tikslui pasiekti straipsnyje iskelti tokie uždaviniai: isryskinti pagrindinius egzistuojancius indeksus, kurie naudojami siekiant nustatyti inovacijų raiskos valstybėje ypatumus; susisteminti kiekybinių ir kokybinių kriterijų grupes bei atlikti empirinį tyrimą, kuris leistų patikrinti bei adaptuoti Lietuvai kriterijų isklotine inovacijų raiskai nustatyti valstybės lygmeniu; pasiūlyti galimus kriterijų isklotinės inovacijų raiskai nustatyti taikymo metodus bei sritis. Analizei buvo pasirinkti pagrindiniai pasaulyje naudojami inovacijas nustatantys Lisabonos, Suminis inovatyvumo, Inovacijų Barometro bei Globalaus inovacijų indeksai. Isgrynintos pagrindinių indeksų tyrimo metodikos, kompleksiniai rodikliai, kurie dažniausiai pasikartoja ir yra svarbūs nustatant inovacijų kūrimą ir diegimą, taip pat inovacijų raiską salies lygmeniu. Atrinktieji rodikliai buvo suskirstyti į 14 kiekybinių ir 11 kokybinių rodiklių. Is jų isgrynintos ir nagrinėjimui parinktos 7 kiekybinių ir kokybinių rodiklių grupės Tai – ekonomikos poveikis, politinė padėtis, viesųjų įstaigų įtaka, sąlygos verslui, eksportas - importas, rinkos užimtumas, bendroji infrastruktūra, kompetencijos. Sias rodiklių grupes atspindi skirtingų kriterijų visuma: apskaiciuojama Bendrojo vidaus produkto (BVP) dalis naujoms informacinėms technologijoms, infliacijos lygis, tiesioginės užsienio investicijos salyje, salies investicijos užsienyje, nedarbo lygis, eksporto ir importo lygis, smulkaus ir vidutinio verslo situacija, užpatentuotų paslaugų ir produktų skaicius, aukstųjų mokyklų skaicius, turinciųjų aukstąjį issilavinimą skaicius, investicijos į aukstąjį mokslą, nustatymas kaip greitai viesasis sektorius aptarnauja verslą, mokslinių tyrimo įstaigų, akademinio ir verslo sektorių tarpusavio bendradarbiavimas, islaidos infrastruktūrai gerinti, kuriamos ir diegiamos inovacijos. Straipsnyje pateiktas naujas požiūris į inovacijų raiskos salyje nustatymo galimybes. Siekiant isgryninti dažniausiai pasikartojancias kriterijų grupes, susisteminti egzistuojantys inovacijų raiskos vertinimo indeksai. Galimybės suskirstytos į dvi specifines (kokybinių ir kiekybinių) kriterijų grupes. Kaip teorinio ir empirio tyrimo rezultatas, sudaryta ir pritaikyta Lietuvai kriterijų isklotinė inovacijų raiskai salyje nustatyti. Pastebėta, kad inovacijų raiska Lietuvoje nustatoma tik pagal patentų registro bei eksporto statistikos duomenis. Pasaulyje taikomi indeksai netinkami, sudėtingi taikyti dėl greitai besikeiciancios metodologijos bei tyrimų rezultatų taikymo problemiskumo. Empirinis tyrimas taip pat leido isgryninti sesias jautriausias kriterijų grupes ir taip patobulinti teorine kriterijų isklotine. Sias rodiklių grupes atspindi: mokesciai, lengvatos patentams, paruosta teisinė bazė inovacinei veiklai, R&D plėtra, aukstąjį issilavinimą turincių asmenų skaicius, darbuotojų skaicius pagal issilavinimą, rizikos kapitalas (proc. nuo BVP), universitetų, tyrimo centrų bendradarbiavimas su verslu, mokescių sistema inovatyvioms įmonėms, vyriausybės politikos efektyvumas, inovacijų centrų, mokslo verslo parkų efektyvumas, aukstojo mokslo kokybė, svietimas ir ugdymas apie antrepreneriskumą, inovatyvių patentų, produktų, paslaugų skaicius, eksportas, politinė parama inovacijoms, tyrimo centrų veiklos sritys, islaidos darbuotojų kvalifikacijai kelti, „purpurinių“ įmonių skaicius bei jų veiklos kryptys, inovatyvaus verslo savybės, infliacija, nedarbo lygis, verslo likvidumo laikas, islaidų dalis naujoms informacinėms technologijoms, islaidos aukstajam mokslui (nuo BVP), inovacinės veiklos įgyvendinimas ir atsipirkimas, BVP, infrastruktūros aplinka salyje, socialinė gerovė. Straipsnyje taip pat pasiūlyti isklotinės naudojimo metodai bei sritys (susistemintas kriterijų isklotinės taikymo algoritmas). Teigiama, kad kriterijų isklotinės panaudojimo metodai tiesiogiai priklauso nuo inovacijų raiskos valstybės lygmeniu tyrimo tikslo (sis gali būti konstatuojamasis arba analitinis). Priklausomai tuo tikslo pobūdžio galima rinktis koncentruotą (mažai kriterijų apimantį) arba isplėstinį (daug kriterijų apimantį) tyrimo metodą. Pirmasis leis pateikti kiekybines isvadas, o antrasis – ir kiekybines, ir kokybines. Kriterijų isklotinės panaudojimo sritys – valstybės makroekonomika. Inovacijų raiska taip pat gali būti nustatyta ir atskiruose ekonomikos sektoriuose. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1540

Modern Model of Interconnection of Inflation and Unemployment in Latvia

Abstract: Globalisation contributes to stabilisation of monetary policy of countries, achievement of price stability and decrease rates of inflation. There is no clear generally accepted concept for “inflation”. A number of experts consider inflation to be a complicated multisided process, which depends not only on economical but also on social and political reasons. One of the main aims of state governments and central banks of the majority of world countries is the decrease of inflation due to its negative effect on the economy. Researches have shown that in developed countries inflation higher than 3% leads to substantial slowdown of economy growth rate. A. Phillips determined the presence of negative correlation between the rate of inflation and the rate of unemployment. On the basis of so called Phillips curve a wrong conclusion was done that by increasing inflation it is possible to decrease unemployment. It wasn't confirmed in practice. There is a hypothesis stating that unemployment has a certain “natural” Not Accelerating Inflation Rate of Unemployment (NAIRU). Nowadays Phillips curve (1958) is considered in a wider sense as a complicated event, developing in the absence of neutrality of money in economic processes. The object of the research is interconnection of inflation and unemployment in Latvia. The goal of the research – analysis of interconnection between inflation and unemployment in Latvia, estimation of the “natural” rate of unemployment. All these researches have not been done before. By using the statistical data of Latvia and analysis thereof show the possibility of using modern mathematical regression models for researches of macroeconomic indicators. Methods of the research are mathematical modelling, correlation and regression analysis. In Latvia systematic accounting of unemployment is done from 1996. For analysis of the interconnection between time series of inflation rate and unemployment a non-linear regression equation - a quadratic parabola was computed and estimated. The considered period is from the year 1996 until 2008. The negative correlation between inflation and unemployment occurs within the whole considered time length. Classical Phillips curve is missing. However, within the period from the year 1999 until 2008 negative correlation occurs, as it is with Phillips curve. Such change of correlation between inflation and unemployment from positive to negative value at the turn of 1998-99 is obviously explained by macroeconomic changes and development peculiarities in Latvia. To identify peculiarities of inflation in Latvia the period from 1999 to 2008 has been analysed separately. To check the quality of the regression models the correlation and regression analysis was done. The calculated index and coefficient of determination in both cases point at quite good quality of regression models: with the help thereof it is possible to explain 70 % and 60 % of inflation respectively. It is possible to say that both models of regression adequately fit empirical data and are appropriate for use. As long as analysis of dynamics time series is fulfilled, a check has been done for the presence of autocorrelation in residuals, which is subjected to autoregressive process of the first order. For the check of the main hypothesis Н о : ρ = 0 Durbin-Watson test statistics has been used. Analysis showed that in these models there is no autocorrelation, econometric models can be used for analyses. A multiple linear equation of inflation autoregression model was obtained and analysed also. To determine the “natural” rate of unemployment in Latvia (NAIRU) the last equation is changed. As a result it is obtained that the estimate of the “natural” rate of unemployment for Latvia's economy is quite large 16%. In developed market economies NAIRU is much less. This denotes existence of disproportions and drawbacks of macroeconomic development. This is confirmed by very adverse consequences of the financial and economic crisis for Latvia. A number of macroeconomic experts believe that Latvia needs an "industrial revolution": accent on development of the priority branches of industry, export. Changes in the structure of government, education, as well as creation of attractive environment for investments are necessary also. The analysis of interconnection between inflation and unemployment in Latvia, which was done according to mathematical regression models quite sufficiently corresponding to empirical data, points to the possibility of successful application of such models for analysis and researches of macroeconomic indicators. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1543

Innovation – Globalization – Growth (Selected Relations)

Abstract: Both types of socio-economic processes are strongly influenced by dynamics of technical and technological progress connected with science, research and innovation. It is undisputed that all of these aspects are affected not only by market forces, but they also are significantly influenced by political and other microeconomic parameters including so-called soft factors of growth. On the whole, it influences directly or indirectly behaviour of individual economic actors, especially private businesses which can cause government interference by return and all together provoke the macroeconomic impact sui generis. However, national economies are not isolated economic islands, but they are part of geographically defined economic units, as well as they may be part of institutionalized economic groupings. This article focuses on the development of investment efficiency in the globalized world including the role of technical and technological progress. The aim of the article is to capture differences in the development of wealth creation and allocated investments on continents with higher intensity of globalization processes i.e. after 1970. It will also assess the context of the sector structure of economies, particularly the global impact of intensive development of the tertiary sector and especially by continents. Particular attention is devoted to comparing the situation of two relatively small open economies the Czech Republic and Japan. They differ from each other by their relationship to integration groupings. The Czech economy is a small open economy and a part of the integration grouping - the European Union - since spring 2004. Japan is an island country, open in particular "way out", but still outside the integration grouping with a strong focus on its historical and cultural traditions. The authors are trying to answer the question to what extent and whether the integration of national economy affects positively its integration into higher integration units in the reality of the globalized world. Furthermore, they are trying to answer the question to what extent the dynamics of economic growth is affected by the ability of creation and use of science, research and innovation outcomes. Both of these two main streams of reasoning are interconnected in a subsequent assessment of the effect of economic growth and competitiveness of both countries. Each country is related to other continent with different expected characteristics of sector structures and investment activities, while there also is a perception of non-economic factors affecting the achievement of prosperity in the background. The fundamental basis is the holistic approach, which enables to perceive economic issues from taking a bird's-eye view, look away from specific details and enable them to subsequent return, especially since they affect the integrity in the result. It is possible to draw useful conclusions for potential acceleration of economic growth from these relevant facts. As a tool to achieve goals is the application of standard methods of economic research - abstraction, induction, deduction, comparison, analysis, synthesis, as well as appropriate statistical methods and graphical analysis.DOI: http://dx.doi.org/10.5755/j01.ee.23.4.2568

Internal Audit of Compensations and Benefits: Tasks and Risks in Production Systems

Abstract: Compensations and benefits have always been very sensitive and complex activity of HRM process in production systems. Model of compensations presents financial and non-financial rewards linked to efforts and performances of employees and executives. Since this activity is understood as very important from two main reasons, that compensations are motivation factor for employees and operational costs for the company, there is a demand of making rewarding process highly effective and efficient for reaching employees and shareholders satisfaction. Besides this, many frauds, risks and problems related to amounts of executive compensations in the past initiate the need of appropriate management and control of this process. One possible way of reaching the effectiveness and efficiency of compensation process in terms of appropriate governance, risk management and control is the internal audit. Main objective of this paper was to explore reasons for, the processes involved in and risks of internal audit in HRM area of compensation and benefits. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.1143

Behavioural Finance Efficiency Under the Influence of Country’s Economic Cycle

Abstract: Today’s practice and society habits declare the importance of personal finance management. Latest research confirms the necessity of investment timing strategies based on generated returns which keeps savings work more efficient. Earlier studies involved countries economical cycle and well timed investment decisions according to cycle period. But the main constraint was defined - the decision to purchase security can be difficult since there are many attributes to consider and can include the necessary examination of these attributes, it also can be thought of as a multi-criteria decision-making problem. The purpose of this article is to demonstrate created personal investment decisions model, which allows private investor to make effective investment decisions during different countries economical cycle periods. Research methods used are based on systematic literature analysis, mathematical statistics methods, logical comparative and generalization analysis. After the systemized literature studies, model of evaluating efficiency of private investor’s decisions created and it consists of five stages: (1) investor behaviour analysis (survey), (2) the determination of the economic cycle stages (Hodrick-Prescott filter method), (3) private investor’s behavioural performance assessment, (4) investment instruments selection (Data Envelopment Analysis Method - multi-criteria decision-making technique) and allocation of savings analysis, (5) the investor's behaviour in performance assessment. This model allows evaluating efficiency of private investor’s investment decisions during different country’s economic cycle phases. Created model application is performed during different stages of Lithuania's economic cycle. Also there is a summary of adaptive model results, in which financial return of investment was compared to effectiveness of average statistical Lithuanian’s residents financial decisions (18 investment portfolios are summarized). It was found that created model could be relatively simply adapted to practice and also could empower private investor to make effective personal finance decisions on the influence of country’s economic cycle. It should be noted, that studies show the amount of average Lithuanian’s revenue loss on the impact of inefficient personal finance management decisions. DOI: http://dx.doi.org/10.5755/j01.ee.23.4.1416

Services in the EU Productive Systems: a Comparative Study of the New and Old Member States

Abstract: The continuous tertiarisation process of developed economies can be appreciated not only by means of growth of the share of services within the value added and employment, but also through the more intensive use of services inputs by all the activities forming part of productive system. The essential importance of services, and especially of some of their activities, consists of positive impact they produce on user activities. In this work the tertiarisation of productive systems of several European Union (EU) new and old member states, employing the input-output tables, is analyzed. To be precise, the tertiarisation effects obtained using technical coefficients and Leontief inverse matrix coefficients are thoroughly examined. Our attention is focused only on the direct and total effects. Direct effects comprise the immediate intermediate demand of each productive sector necessary to produce an additional unit of its product. On the other hand, total effects measure all the direct and indirect inputs needed to produce an additional unit of output. The main characteristics of the selected countries refers to their reduced size that can be compared to the NUTS 2 regions. The EU, establishing its regional policy, which main goal consists in the achievement of a higher level of the economic, social and territorial cohesion, takes into account regions precisely of this level. So, this analysis enables not only to compare the state of tertiarisation in the new and old European member countries, but also to approach this analysis to the territory level similar to NUTS 2 regions. The study carried out in this work, enables us, on the one hand, to appreciate the differences existing between countries from the point of view of the share of the tertiary sector in total gross value added (GVA) and from the point of view of the use of services by whole of the productive systems. On the other hand, the activities that introduce tertiary inputs into their productive processes with greater intensity are indentified. Furthermore an attempt to check if there is any relation between the activities’ tertiarisation degree and their importance for national productive systems is made. The results of this work may be of great interest from the point of view of the new member states as they highlight the current situation concerning the services sector which development is essential for the achievement of Europe 2020 strategy objectives. Namely, enhancing the services performance, these countries could improve their situation concerning employment, their relation with innovation and general economic background. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1931

A Monte Carlo Analysis for Stochastic Distance Function Frontier

Abstract: Being different from a Data Envelopment Analysis (DEA) whose results can be decomposed, the parametric stochastic frontier method can not deal with multiple outputs and multiple inputs easily and directly. Although stochastic cost frontier and stochastic revenue frontier can potentially be used to describe a multi-output, multi-input production, these functions only allow the possibility of specifying a multi-product technology when price information is available and some required behavioral assumptions are satisfied. An alternative for cost or revenue function called distance functions was developed by Shephard (1953). Fare et al. (1993) first used parametric linear programming (PLP) approach to estimate a translog distance function. In 1996, Tim Coelli and Sergio Perelman (1996) applied this approach (called stochastic distance function frontier) to adjust the function form of stochastic frontier and make it suitable for multi-product analysis. Since then, the stochastic distance function frontier has begun to be widely used in particular applications. But, in all these studies, the stochastic distance function frontier approach required changing the function form and thus it made the influence of function assumption on results stronger. Some econometricians proposed that the distance function approach in handling multi-product stochastic frontier might introduce regressor endogeneity and induce estimator inconsistency in estimation. It is also proposed that Multi-output stochastic distance functions suffer from input-output separability and linear homogeneity in outputs. However, we can not observe any studies on Monte Carlo test of stochastic distance function frontier. The principle purpose of this study is to contribute to the methodology discussion of stochastic distance function frontier using Monte Carlo analysis for multi-product efficiency measurement. Thus, a Monte Carlo analysis for stochastic distance function frontier model was developed to test the asymptotic properties. The technology for the framework of stochastic distance function, used to overcome the criticisms related to the stochastic frontier approach, is specified as a translog function. Then, the basic method to estimate the stochastic frontier is provided and the maximum likelihood function is also given. In the Monte Carlo experiment, 1000 replications are set for analysis. The results show that, except for the scenario with equal outputs, stochastic distance function frontier will yield biased estimators even with large sample size. The 2-output model will give better estimators than 3-output model. An increasing sample size will improve the relative performance of ML estimations for stochastic distance function frontier. Therefore, the Monte Carlo analysis indicates the result that the stochastic distance function frontier is probably biased for multi-output production. DOI: http://dx.doi.org/10.5755/j01.ee.23.3.1937

Going Green versus Economic Performance

Abstract: The purpose of this paper is to elucidate some information on what impact pro environmental actions have on countries’ global economic performances. Is there really a trade-off on a macro scale between “going green” and economic performance? The world economy has significantly expanded within the last four decades and started to exceed the Earth’s resources capacity. Many forms of environmental degeneration such as soil erosion, aquifer deficiency, rangeland deterioration, air pollution, and climate change have huge negative impact on the ecosystem. If the world continues to move in this direction, it will eventually destroy its natural support system. The long-term solution to this problem is to apply ecological principles of sustainable economic development. It is commonly known that factors such as decreasing CO2 emission, water maintenance, forestry and agriculture preservation as well as properly managed production processes help preserve our planet’s natural habitat and its climate, but how these activities are related to businesses? During 1960s and 1970s, organizations have mostly rejected their impact on the environment. However, after experiencing international ecological problems, countries came up with a variety of regulations to prevent further environment degradation. Many organizations were forced to accept the responsibility to protect the surroundings they were operating in. Therefore, prevailing assumption appeared that there is a fixed trade-off between ecology and economy. Social benefits that come from strict environmental regulations are placed versus private costs, which are spent for prevention and cleanup activities. Succeeding in one field has to result in other’s failure. In the last decade, however, this view has been increasingly challenged. Moreover, in recent years there has been an increasing advocacy towards a notion that turning green is actually good for the business and thus for the whole economy. By preserving natural resources and creating new quality of environmentally aware management systems, a given country increases its productivity. This in turn allows achieving higher production output given inputs in relation to its less environmentally aware neighbour. In order to check the validity of this theory we apply Bayesian frontier analysis to macroeconomic production function, and incorporate key environmental indicators as explanatory variables of productivity distribution. Our model is estimated based on data from 13 EU countries over the period of 1998-2007. The use of Bayesian inference allows us to check straightforward what explanatory power those indicators have on countries’ productive efficiency and thus on their economic performance. DOI: http://dx.doi.org/10.5755/j01.ee.23.2.1546