Naslov
THE CONTRIBUTION EFFECT OF THE IMPORTED COMPONENT IN THE FINAL PRODUCT WITHIN THE VALUE CHAIN IN FOOD AND RETAIL SECTORS IN CROATIA

Autori
Karić, Darko

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
Economic and Social Development (Book of Proceedings), 86th International Scientific Conference on Economic and Social Development / Ana Lorga da Silva ; Zvonko Merkas ; David Resende - Lisabon : ESD CONFERENCE, 2022, 344-357

Skup
86th International Scientific Conference on Economic and Social Development

Mjesto i datum
Lisabon, Portugal, 23.09.2022. - 24.09.2022

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
foreign trade balance, retail, food industry, imported component, value chain

Sažetak
For many decades Croatian economy was faced with a huge production inefficiency. That was directly influenced on the export competitiveness. The continuous deficit of the foreign trade balance in goods represents a fundamental problem for Croatian economy. From 1997 until today, the foreign trade deficit has shifted from 31.9% to 60.8%, which indicates a significant structural problem for the overall economy. One of the reasons is the rapid process of transformation and privatization of domicile retail sector from foreign investors. The retail sector represents a driving force of the economy for the production sector. It also represents the component of imported deflation, where the influence on domestic production is very negative. Thus, the TOP 10 retailers have more than 80% of the market share and they are predominantly in foreign ownership. The competitiveness of Croatian economy is undermined because retailers are continuously putting pressure on price decrease on food suppliers. There is a huge impact from retailers on increase of imports of foreign goods, while at the same time the domicile food industry is not capable to keep pace with competitors, so the domicile industry is decreasing in its competitiveness. Not only retailers, but also domicile producers are more and more importing from abroad. Therefore, the effect of double import is present (from the producer and retailer side). Taking all into consideration, the goal of this paper is to quantify the effect of the imported component within the value chain (TOP 10 companies from food industry and TOP 10 companies from retail sector). The aim is to point out the high exposure of food and retail sectors towards imported goods which leads to continuous decrease in comparative advantages of domicile industry.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA