Ekonomski vjesnik/Econviews - Review of Contemporary Business, Entrepreneurship and Economic Issues

Twentieth conference on Interdisciplinary Management Research – Osijek, IMR XX 2024

2024-12-18T13:51:47+01:00

Twentieth conference on Interdisciplinary Management Research – Osijek, IMR XX 2024

THE STATE OF SEO OF E-COMMERCE WEBSITES THAT SELL ELECTRONICS IN BOSNIA AND HERZEGOVINA AND THE IMPACT OF SEO FACTORS ON TRAFFIC AND REVENUE

2024-04-04T13:14:34+02:00

Purpose: The research aims to assess the SEO status of electronics e-commerce websites in Bosnia and Herzegovina and analyze the impact of certain SEO factors on website traffic and company revenue.
Methodology: Empirical research was conducted on 47 out of 50 identified e-commerce websites that sell consumer electronics in Bosnia and Herzegovina. Descriptive statistical analysis was used to determine the share and structure of organic search visits, the current state of SEO factors, and their impact on user experience and visitor behavior. Path analysis was used to identify and quantify the relationship between SEO factors and website traffic as well as between website traffic and company revenue.
Results: Organic search visits represent 23.6% of traffic, with branded visits comprising 48.9%. Mobile optimization needs attention, with 6.4% lacking mobile-friendly design and 75.4% exhibiting poor mobile performance. Desktop performance scores are generally low, with only 12.8% rated as good. An average number of pages per visit is 2.67, and the average bounce rate is 61.4%. The authority score, which measures the quantity and quality of backlinks, has a strong positive impact on the number of keywords. In turn, the number of keywords has a strong positive impact on the number of visits. Finally, visits have a strong positive impact on the revenue of e-commerce websites.
Conclusion: Path analysis determined the link between SEO factors, traffic, and revenue. Recommendations of the most critical tactics for attracting web visitors and improving user experience and retention through SEO optimization are given.

ASSESSMENT OF TECHNOLOGICAL AND ORGANISATIONAL IMPROVEMENTS IN THE LOGISTIC DISTRIBUTION HUB USING DISCRETE EVENT SIMULATION

2023-11-02T22:33:20+01:00

Purpose: The viability of companies in today’s turbulent and dynamic market depends on their ability to change and develop together with the market. Primarily under the influence of technological innovations and new customer demands, the logistics sector is under great pressure of change. The focus of this paper is on the functioning of the distribution hub as an important node in the distribution network and the operational processes it implements. The aim of the paper is to investigate different variants of the development of logistics processes in the distribution hub and thus help decision-makers in deciding on the level and performance of potential technological improvement.
Methodology: The research was conducted in a real distribution hub using a simulation approach. In particular, discrete event simulation (DES) was used, which allows supporting the dynamics of logistics processes, examining the impact of random variables on processes and determining process performance in different scenarios. Two models were formed in the paper: the As-Is model that imitates the existing processes in the distribution hub, and the To-Be model that assumes a higher technological level of the process.
Results: Findings from this paper have two practical implementations. The first one is to use As-Is models as an insight into the current situation in the distribution hub. The second implementation is to use a To-Be model as a decision support system for evaluating different solutions in the execution of logistics processes.
Conclusion: The obtained research results provide an opportunity to examine different ways of the functioning of processes in the distribution hub before making changes in the real system, which is especially important for managers of such systems.

CAN THE MAJOR CRYPTOCURRENCIES BE USED AS A PORTFOLIO DIVERSIFIER?: ANALYSIS OF THE RELATIONSHIP BETWEEN BITCOIN, ETHEREUM, AND GLOBAL FINANCIAL ASSET CLASSES

2024-03-30T10:12:57+01:00

Purpose: It can be stated that in today’s competitive conditions, where portfolio management is very important, it has become necessary to examine the relationship between global financial assets and major cryptocurrencies, such as Bitcoin and Ethereum. This paper aims to investigate the cointegration and causality relationships between Bitcoin, Ethereum, and global financial assets such as gold, oil, the S&P Global 100, the Dow Jones Commodity, and the US Dollar Indices, and to determine the diversification role of Bitcoin and Ethereum comparatively for the period between April 2016 and January 2024.
Methodology: The ADF Unit Root, Johansen Cointegration, Granger Causality, Rolling Window Causality tests, and Variance Decomposition Analysis methods were used in the analysis process.
Results: Based on the findings obtained from the paper, it was determined that Bitcoin and Ethereum have no cointegration with selected financial asset classes. Granger causality analysis results indicated that there were unidirectional causalities from Bitcoin and Ethereum prices to Dow Jones Commodity Index prices. In addition to the results of the Rolling Window causality tests, it was also determined that there are some causalities between Bitcoin, Ethereum, and other variables, especially after the 2021-2022 period.
Conclusion: It can be concluded that Bitcoin and Ethereum are effective portfolio diversifiers throughout the entire period; however, the diversification effects of Bitcoin and Ethereum weakened towards the end of the review period. Therefore, it can be said that Bitcoin and Ethereum act similarly in the global investment portfolio.

TVP-VAR FREQUENCY CONNECTEDNESS ANALYSIS ON CPI-BASED MONTHLY REAL RETURN VOLATILITY OF FINANCIAL INVESTMENT INSTRUMENTS

2024-06-10T08:55:56+02:00

Purpose: This study explores volatility transmission among the real returns of financial investment instruments, using the Diebold-Yilmaz approach and data from the Turkish Statistical Institute. The dataset includes monthly real return rates of instruments like Gross Interest Rate (GIR) for deposits, ingot Gold (GOLD), Istanbul Stock Exchange 100 Index (BIST-100), United States Dollar (USD), Euro (EUR), and Government Domestic Debt Instruments (GDDI) from January 2005 to April 2023.
Methodology: Real return rates were adjusted using the Consumer Price Index (CPI). Absolute values of real returns served as volatility proxies. To evaluate volatility spillover among these instruments, the Time- Varying Parameter Vector Autoregressive (TVP-VAR) frequency connectedness approach was utilized.
Results: The average of the Total Connectedness Index (TCI) suggests 40.37% of error variance in investment instruments is due to network connectedness, with short-term and long-term values at 33.95% and 6.41%, respectively. Dynamic TCI values spiked during events like the 2008 crisis, 2018 and 2021 exchange rate shocks, and COVID-19. USD and EUR consistently caused net volatility spillovers, GOLD in the long run, GDDI in the short run and aggregate. GIR was most impacted by network shocks. The study also examined the Net Pairwise Connectedness Index (NPCI) to identify dominant instruments in the network.
Conclusion: The findings show the interdependencies and significant roles of particular investment instruments in the transmission of volatility, offering insights for portfolio diversification and risk management.

THE COST OF FISCAL AUSTERITY: A SYNTHETIC CONTROL APPROACH

2024-02-01T07:31:33+01:00

Purpose: This paper analyses economic and social impact of fiscal austerity policies on economic growth and income distribution. In response to the European public debt crisis, austerity measures were implemented in 2010 to decrease the budget deficit and avoid the default of the government debt, but have also caused negative effects on the whole economy.
Methodology: In order to evaluate the effectiveness of fiscal austerity, the synthetic control method (SCM) is applied by creating a synthetic counterfactual from European countries. Greece is used as an example to assess the impact of the aforementioned policy due to having experienced fiscal consolidation to a much larger extent than other crisis-affected countries.
Results: Fiscal austerity causes a decline in real GDP per capita compared to its pre-austerity level. Additionally, it results in higher unemployment and a more unequal distribution of income in the initial years following the treatment.
Conclusion: The objective of fiscal austerity, i.e. the reduction of the debt-to-GDP ratio, is frequently not achieved due to negative effects of these measures on GDP. Fiscal austerity may occasionally be unavoidable, but even in these cases, deliberate measure-taking is required to prevent the increase in unemployment and income inequality, as witnessed after the global financial crisis.

OCCUPATIONAL MISMATCH IN THE LABOUR MARKET OF SELECTED EU COUNTRIES

2024-02-19T13:04:20+01:00

Purpose: This paper aims to examine the occupational structures of selected EU member countries and assess their compatibility with the labour market demands, aiming to identify potential structural mismatches. The search evaluates the alignment between existing knowledge and skills in specific qualifications and those required by employers, utilizing disaggregated data from registered employment offices in Austria, Croatia, Slovenia, and Spain, spanning from 2010 to 2022.
Methodology: Methodologically, the study uses Beveridge curves, labour market tightness, and matching efficiency estimates to measure the matching needs of employers and unemployed job seekers within various occupation groups. The analysis focuses on the impact of economic downturns and fluctuations in unemployment rates on different occupation groups, with a particular emphasis on more complex and better-paid occupations.
Results: Results indicate that workers in higher-skilled occupations may experience a more resilient position within the aggregate labour market trends. However, the study reveals that deviations from these trends among occupation groups are relatively minor, underscoring the substantial influence of overall labour market conditions on all segments.
Conclusion: The research finds that differences in occupation groups have a limited impact on the broader labour market trends. Regardless of occupation complexity, improvements and deteriorations in labour market conditions affect all groups uniformly. These findings suggest a nuanced interplay between occupational structures and aggregate labour market dynamics, emphasising the need for comprehensive policy considerations to address potential mismatches and promote overall labour market efficiency.

SMART CITY EFFICIENCY ASSESSMENT MODEL: MULTI-CRITERIA ANALYSIS OF 127 CROATIAN CITIES

2024-02-25T10:19:41+01:00

Purpose: The aim of this paper is to present a model for the efficiency assessment of smart cities based on 38 indicators (ISO standard 37120, ISO standard 37122 and additional indicators) in six dimensions of a smart city in order to produce a ranking of 127 cities in Croatia.
Methodology: In this study, the Data Envelopment Analysis (DEA) method was used, which was preceded by the translator invariance method due to the standardization of 38 absolute values. The analysis was performed using the input-oriented BCC model. The input values are previously formed indices for six dimensions of smart cities; the index of the development of smart cities was selected as the output.
Results: According to the results of the ranking, 33 (26%) cities are efficient, while 94 (74%) cities are inefficient. The most efficient cities are Korčula, Split, Pazin, Rijeka and Dubrovnik, while the most inefficient cities are Skradin, Petrinja, Bakar, Komiža, Glina and Kutina.
Conclusion: By identifying the dimensions that have the greatest impact on the efficiency of smart cities, DMUs gain valuable information about the position of an individual city compared to other cities. Providing an overview of existing efficiency levels and suggesting improvement measures enables targeted changes towards efficiency.

GOING CONCERN AUDIT REPORTING IN BOSNIA AND HERZEGOVINA

2024-08-25T22:26:23+02:00

Purpose: This paper deals with going concern audit reporting in Bosnia and Herzegovina. The research objectives are to determine whether, in conditions of increased economic uncertainty, auditors issue this type of audit report more frequently, whether the bankruptcy of a company can be predicted based on a going concern audit report, and whether companies that receive this type of audit report engage in audit opinion shopping.
Methodology: The research was conducted on a sample of audit reports of 187 companies referring to the period from 2017 to 2021. Content analysis method was used.
Results: The average rate of going concern audit reports was 19.2%. Observed by year, the rate of going concern audit reports ranges from 18.1% to 19.9%. All companies that received a going concern audit report in the considered period one or more times are still operating. In 17.5% of cases, companies replaced the auditor after receiving a going concern audit opinion, while in 16.4% of cases, companies replaced the auditor even though they did not receive a going concern audit opinion.
Conclusion: The increase in economic uncertainty during the coronavirus pandemic led to only a slight increase in the rate of going concern audit reports. This type of audit report cannot serve as a predictor of the company’s bankruptcy. Companies that receive a going concern audit report do not engage in audit opinion shopping in order to avoid receiving the same type of audit report in the following year.

EMBRACING SUSTAINABLE MARKETING IN HIGHER EDUCATION VIEWED THROUGH SERVICE QUALITY: STUDENTS' PERSPECTIVE

2024-10-09T13:11:25+02:00

Purpose: This paper explores the application of sustainable marketing practices in higher education insti-tutions, focusing in particular on the perspectives and experiences of students as direct users of the service. Given that sustainability has become an important issue globally, integration of sustainable principles into the marketing strategies of educational institutions becomes imperative. It was found that the existing academic literature contains only a very limited number of studies in the area of applying sustainable mar-keting in public higher education institutions, despite its recognized importance. This study aims to help close this gap.
Methodology: Using a quantitative research methodology, including questionnaires, this study examines student perceptions and attitudes towards the application of sustainable marketing in higher education, focusing on the quality of services. A structural model was tested, the reliability and validity of which had been confirmed previously. Partial least squares structural equation modeling (PLS-SEM) was used to ex-amine the relationships between the constructs.
Results: All direct relationships in the structural model were found to be statistically significant and posi-tive, confirming the hypothesis that sustainable marketing of a higher education institution has a positive impact on the performance of the higher education institution when considering the quality of services.
Conclusion: By highlighting the importance of sustainable marketing in public higher education institu-tions, this research contributes to the growing sustainability discourse in the academic community and provides actionable insights for educational institutions seeking to improve their marketing strategies in line with environmental and social responsibility goals.

THE MEDIATING ROLE OF KNOWLEDGE SHARING IN THE RELATIONSHIP BETWEEN LEADER-MEMBER EXCHANGE AND WORK INTEGRATION

2024-04-30T09:50:11+02:00

Purpose: The purpose of this study is to explain the mediating effect of knowledge sharing (KS) between leader-member exchange (LMX) and work integration (WI) on healthcare workers. The study also examines the direct effects of LMX on WI among selected healthcare workers in Türkiye.
Methodology: The study targeted a sample of N = 295 to provide relevant information. The data were collected using an adopted questionnaire, including LMX (Baş et al., 2010), KS (Chennamaneni et al., 2012), and WI (Schaufeli et al., 2002). A purposive stratified sampling method was used since the participants were considered based on predefined criteria. The study used a 5-point Likert scale ranging from 1= strongly disagree to 5= strongly agree. SPSS 22.0 and AMOS 17.0 packages were used for data analysis and interpretation of statistical outputs.
Results: The study revealed a significant positive relationship between variables. Goodness of fit values of the scales were also checked. First, the mediating variable (knowledge sharing) between LMX and WI was investigated. Second, the effect of LMX on WI was explored. Based on the findings, a significant positive relationship was found between the variables of the study.
Conclusion: According to the research results, significant relationships were found between LMX and WI, between LMX and KS, and between KS and WI. In addition, it was determined that knowledge sharing had a mediating role in the effect of LMX on WI, which was the main purpose of the research. According to the research results, high-quality LMX relationships enable employees to be more open to KS and to integrate more into their work. In this case, KS acts as a bridge that strengthens the link between LMX and WI. Employees find greater meaning in their work by sharing their knowledge, which in turn increases their commitment to it. As a result, leaders creating a culture that supports knowledge sharing can be seen as an effective way to increase work integration and improve organizational performance.

THE IMPACT OF MACROECONOMIC FACTORS ON REAL ESTATE PRICES: EVIDENCE FROM SPAIN AND CROATIA

2024-05-09T22:44:21+02:00

Purpose: The paper deals with the comparison of real estate price trends in two European markets such as Spain and Croatia, well-known tourist destinations. Trends in macroeconomic variables in the period from 2013 to 2022 were considered, such as the house price index, overdue mortgage or rent payments, direct investment, production in construction, real GDP per capita, average adjusted wage per employee and unemployment rate. The aim of this study is to compare real estate prices in these two countries with regard to macroeconomic variables.
Methodology: The applied methodology is based on the model averaging technique, which has been used in a few previous similar research studies.
Results: The obtained results point to the fact that real estate price movements are strongly negatively influenced by the unemployment rate in both observed countries.
Conclusion: The real estate prices in Croatia are strongly negatively influenced by arrears on mortgage or rent payments, while in Spain, they are strongly positively influenced by production in construction. Recommendations for further research refer to research that would cover a wider range of Southeast European countries with common characteristics of strongly developed tourism.

EXPLANATORY FACTORS OF EUROZONE EQUITY ETF TRACKING ERROR

2024-03-29T12:58:26+01:00

Purpose: According to the existing literature, it remains unclear whether a specific ETF outperforms or underperforms
its benchmark index in terms of tracking error, especially during crisis periods. Therefore, this study concentrates on the largest and most liquid Eurozone equity ETF, iShares Euro Stoxx 50, which tracks the Euro STOXX 50 index, with the fundamental objective of identifying explanatory factors of tracking errors during crisis periods, encompassing the COVID-19 pandemic and the onset of the Ukrainian war.
Methodology: The added value of current research lies in the utilization of Markov regime switching regression with two-state variables. This approach is supported by the idea that the influence of explanatory factors on tracking error may vary between bearish and bullish regimes, which typically align with noncrisis and crisis periods, respectively.
Results: Empirical findings indicate that an increase in volatility led to a stronger decrease in tracking error during periods of market stress than in a bullish regime, while a negative impact of illiquidity on tracking error is similar for both regimes. Unlike a single-regime model, Markov switching exhibits a negative relationship between the net flows and tracking error, as expected. The effect of premium/discount seems to be both positive and negative, but a weaker influence was found during a bearish regime due to herding behavior of investors or higher trading costs.
Conclusion: This study relies on an ex-ante approach with its main advantage of providing a forwardlooking estimate of tracking error that takes into account changes in market conditions and the ETF’s underlying holdings, unlike historical or ex-post tracking error.

THE SIGNIFICANCE OF SOCIALLY ADEPT BEHAVIOR FOR ADVANCING CAREERS AND ENSURING LONG-TERM EMPLOYABILITY WITHIN ORGANIZATIONS

2024-04-25T11:47:56+02:00

Purpose: The aim of this paper is to highlight the increasing importance of social competencies in the business environment, with a particular focus on employee career advancement. The paper seeks to illustrate the significance of specific socially competent behaviors, evaluate their relevance across various industries, and assess how HR managers and top executives perceive these behaviors.
Methodology: The study included a sample of 113 employers. Statistical analyses were conducted using t-tests for dependent and independent samples, ANOVA, and Cronbach’s alpha to ensure reliability.
Results: No significant differences were observed between the tested socially competent behaviors in relation to career advancement. These behaviors are equally valued across industries and by both HR managers and top executives in the context of long-term employability.
Conclusion: The findings underscore the importance of empathetic behavior as a key social competency for career progression and long-term employability, placing it on par with communication and conflict management skills. The study also indicates that empathy, communication, and conflict management are equally critical across all economic sectors, encouraging employers to invest in the development of these competencies regardless of their industry. Contrary to the assumption that HR managers prioritize empathy, communication, and conflict management more than top executives do, the research found no significant differences in their perspectives.

THE ROLE OF INSTITUTIONS IN ECONOMIC GROWTH: A SYSTEMATIC LITERATURE REVIEW

2024-09-18T10:31:17+02:00

Purpose: This paper gives a systematic literature review of the research field of institutions and economic growth. The goal of the paper is to provide information on predominant trends in publishing studies, prevailing sentiments on the role of institutions, and emerging themes in the field, to identify gaps in the existing literature and possible avenues for further research.
Methodology: The study systematically reviews papers on institutions and economic growth from the Scopus database following the PRISMA protocol. The research uses descriptive analysis (annual distribution of articles, frequently referenced papers, central and emerging topics), sentiment analysis, and keyword co-occurrence network analysis.
Results: A total number of 78 papers published between 2006 and 2023 were analysed. The results suggest a growing interest in the subject, encompassing topics such as governance, human capital, trade openness, and the resource curse. Sentiment analysis suggests that most of the literature is optimistic about the impact of institutions on fostering economic growth. Keyword analysis indicates that institutions, governance, and economic growth remain key areas of interest, with increasing emphasis on region-specific research and empirical approaches.
Conclusion: The prevailing research indicates that quality institutions play a crucial role in economic growth, enhancing the impact of other factors like financial development, trade openness, and human capital. The review underscores the pivotal role of institutions in sustaining long-term economic progress and suggests further exploration of less researched areas, such as regional development and entrepreneurship, and the utilisation of additional scientific databases to deepen our comprehension of institutional dynamics.