Electronic Library of Scientific Literature - © Academic Electronic Press
Volume 49 / No. 6 / 2001
Peter BALÁŽ – Peter VERČEK
The paper is primarily focused on analysis of selected business factors and their position in the process of globalisation and their impact on the development of world economy. In a relevant context, the effects on international business are analysed, and taking the example of the South Korean economy, the authors points out the danger of underestimating the impact of globalisation of world markets in the process of adaptation of the Korean economy.
This part of the article responds to the analysing of the influence of process of glo-balisation on the international business, as a whole. There’s stressed its role by changing of organisation there, production and selling of the products on international markets, winning of new more effective inputs a various services from all regions of the world economy and creating of the new forms of business conglomerates – multinationals, joint ventures, international business networks, etc.
The attack of these global influences on the traditional production and international business structures is increasing the level of interdependency on traditional business units.
The authors concentrate on the analysis of the influence of two fundamental pillars of the globalisation process – the liberalisation of international business and growth of international interdependency, emphasizing there is a certain interlinking and coherence between these pillars. Considering economic development in USA, EU and Japan lead they to explain the influence of liberalisation’s tendencies on the economic growth. Its following the acceleration of international business operations and presently the expansion of globalisation on all (most) parts of world economy. Other issues analysed are impacts of globalisation on international regionalism and on the level of openness of national economies.
The liberalisation of the international Trade can open a new opportunities in the new markets, first of all for countries in transition and less developed ones.
The globalisation in the sphere of international business is influenced by many other sub-factors, too. Its concerned:
Past decades, and especially the late 90s have brought several significant changes that we are facing nowadays. These changes induce new challenges, higher level of risks but also new opportunities to succeed. Its consequences, literally said, influence our every day’s life in various manners.
First there was a digital revolution, going back to 50s when the first semiconductor was produced. In that time nobody could even imagine the commercial potential of semi-conductors. Later on, with a wider spread of computers, mostly thanks to government investment. Since 70s we could see accelerating growth of investment to informational technologies. Last decade of 20th century became a real entry point for digital economy into commerciality. But globalisation’s changes in second half of the century have not influenced only ITT (Information and Telecommunication Technology) sector. On the contrary, growth drive so typical for ITT has brought new “tools” also for other business sector, among which the most influenced had been commercial services and we could say that every business was somehow more or less influenced by the recent development in ITT. New forms of doing business worldwide emerged – strategic alliances, mergers & acquisitions (M&A) and networks instead of hierarchy just to mention a few of them.
Behind all above-mentioned changes and challenges we could a massive “wave” of globalisation, the process of creation of one world economy with one (relatively homo-genous) global market and global competition as well: New challenges, new threats.
As the authors stressed the global economy is all about constant business change. Only those able to adapt to the turbulent environment (not just in economic sense of word) are to succeed and survive. These are new winners. Others, not able to keep the step are going to lose. This is a simple rule of globalisation in the world economy. The source of adaptation is the innovation coming from constant exploration and exploitation of human’s knowledge.
The second part of the article is dedicated to the negative consequences of globalisation concerning less developed countries, increasing power of transnational corporations and existence of international institutions involved in resolving problems of national economies arising from globalisation. The authors of this paper are concentrated to most important aspects of the negative influences, as :
It is clear that early stages of globalisation have brought benefits mostly to developed countries, due to its well-developed infrastructure as well awareness of coming challen-ges and opportunities. Nowadays we can witness that also less developed countries are getting drive in participation of global business. Also the problem of national and global governance emerges. There is a need to redefine the role of state/government so that the national economies could keep their competitiveness, especially facing the increasing power of MNCs. Moreover there is a problem of MNCs concerning the global rules for their worldwide activities, because they are supposed to misuse its positions and power which is mostly seen in LDCs. That is why stating the uniform rules would help avoiding these problems and encourage LDCs in increasing their involvement in global world.
Since there are numerous possibilities of purchasing decision-making behaviour, the target groups in a classical marketing concept undergo distinctive changes. The eighties and nineties were the periods of market segmentation. The aim was to use increasingly modern and fine methods of:
This is going to be increasingly difficult in the forthcoming decade. Consumers will display more and more contradictory features; they will be more and more homogeneous, and thus it will not be possible to squeeze them into some classic scheme. This will make classic models explaining consumer behaviour as contingent on income, or models of AIO type, not only outdated, but also potentially dangerous, as their application may result in completely erroneous conclusions.
For commerce after the year 2000, it is important to study buyers’ attitudes in terms of their membership in so called cross-section target groups. From this aspect, singles, i. e. persons living on their own, represent one of the new challenges for marketing on the threshold of the new millennium. It is estimated that persons living in one-member households account for approximately one-fifth of all households with almost ten percent of population. Importance of this group for marketing is proved not only by its size (number of persons), but also by an above average income.
In connection with this segment the following two trends may be expected in the future:
For retail of the new millennium three competitive strategies may be considered:
Crucial changes in the system of trading are brought about by the development of multimedia and electronic shopping, which results in the elimination of any kind of regionalism in purchasing. A gradual (forced) decrease in price differences of competing firms – being the result of total price comparability – is a fair consequence of multimedia and the Internet. However, the impact of the Internet on the overall competitive conditions in branch section will be even more important. Industrial firms will no longer be only passive sellers to trade, but owing to information technologies it will become its compe-titors. Vertical systems of both parties will be facing each other. Multimedia and electro-nic shopping will make it easier for industrial firms to get access to customers.
The 21st century marketing has to deal more intensively with cross competition of products. Competition in itself may be identified as a strategic problem number one for the next decade. In this sense, entire assortment groups, goods with services, production (manufacturing) with sales (trade) are going to compete with one another.
Marketing of retail firms will necessitate new form of fascination through linking tra-de, gastronomy, services, and entertainment. Ideas of this fascination may be film, music, sports, technology, future, etc. Its methods may be large-area projections, digital communication, theme parks, climbing walls, bungee jumping, video with rafting, etc.
Managerial skills in trade will have completely different scope: rather than speciali-sed professional knowledge, the knowledge of systemic nature will be highlighted: knowledge of methods and that of social relationships, communication, team work, moti-vation, presentation, etc.).
In sum, as a result of pluralisation of our everyday life, a new era of marketing may be characterised in terms of the following main trends :
The article deals with the key aspects of the globalisation process and services concerning their dominant representation in the economy. It also points out some overcome practice and assertion of new functions of wealth in the modern economy.
It explains in detail the connections between the current globalisation and internationalisation of services.
On the basis of observance it specifies the trends and features of the international trade with services as well as participation of the Slovak economy in within.
During the 10-year reform process, the share of services in the economy of the Slova-kia has been increased to the level of 57 % (1999).The increase of he GDP creation was increased of 27 points within and of the employment of 10 points. This is such a rate of increase as in previous 25 years. This growth was not enough to absorbs the released labour force and to decrease the level of unemployment. In 2001 it was 19.8 %.
In the given context, the article aims at the question whether globalisation and internationalisation of services means specific challenges from the position of transition economics and in within also for the economy of the Slovakia.
Concerning international trade with services, the Slovak Republic participates at the global business with services by one thousandth part. The relation of exported commercial services to the goods reached a level lower of one third in the SR compared to the global average. The balance of services of the SR however is slightly active, but in the part other commercial services it accounts for considerably negative balance, similarly as in other transition economies. The share of business services on the creation of value added in the Slovak Republic represents half level compared to the developed countries of OECD. The growth of business services in the economy connected with the reform process and it represents the period of the last 10 years.
The structural conversion of the Slovak economy is documented also by the relation of the GDP creation of industry and business services. While in 1999 it was 34.5 % in the SR, 66 % in Austria, 99 % in Germany, 114.0 % in France. This comparison points out the lag of business services production in the Slovak economy compared to the European Community countries. The Slovak economy is characterised by to stand out of industrial share to which economic experts point out and what is in contrast with accele-rating process of the global economy of transformation.
From the observance of the places and function of the services sector in the economy in the period of globalisation it results that searching for ways for economic growth and competitiveness is an urgent task and open issue of all the countries including Slovakia. Solving of these issues is more difficult in relation to existing priority of industrial orien-tation of the Slovak economy. Despite the fact, that the share of services in the economy in the reforming period has been increased, the share of highly productive services and their participation in the international business is lower and it is not in conformity with the economic development of the Slovak economy. Therefore if services are being consi-dered as the basis of economic success even in the coming decade and century, then in the struggle for tomorrow of the Slovak economy the orientation towards services (especially with the higher level of value added) is a great challenge and opportunity for forming business entities in the continuing globalisation process.
An increasingly stronger competition in local and in particular international markets makes firms to search for means and ways of promoting their successful operations on markets, of winning a favourable response in public, i. e. with their customers. The present day hectic period places increasingly higher demands on firms. A key issue for them to deal with is how to cope with a fast globalisation trend of markets, rising competition, and more and more demanding customers. A gradual keeping pace with the development of technologies, and know-how results in the situation that products made by separate firms operating in the same industries are either comparable or very similar, and so it is becoming more difficult to identify their producers. It is a high standard of knowledge, experience, and skills of motivated people, assistance granted to develop their creativity, opinions, and their thinking that are becoming the primary means used for increasing firms´ competitiveness. In successful firms, a key role is played by man, and the path to success starts with team cooperation, where energy and strength are used to fight with competitors rather than being wasted on intra-firm struggles.
For these reasons the area of Corporate Identity (CI) formation belongs to the fastest developing phenomenons nowadays, and it is becoming a forum for interaction economists, sociologists, psychologists, architects, and designers. In its total, CI represents a set of several elements participating jointly in its formation or supplementing it, while these elements affect one another. They include: Corporate Communication, Corporate Beha-viour, Corporate Culture, as well as Corporate Image, and Corporate Personality, or even a new phenomenon of a virtual world – Corporate Network.
The globalisation, internationalisation, and multiculturality trends in society are reflected in an increasingly higher number of business activities is linked to other institutions, firms based abroad. In connection with the operation of firms in international environment, there arises an issue of respecting the firms´ socio-cultural specificities. It is in particular in the firms operating in international markets that the solution to this problem depends on a given situation, and on whether the same project will be applied on all the markets on which the firm operates, or if the project will have to modified as a result of these differences.
Despite declarations of shift in contemporary corporate thinking, in Slovakia the need for developing CI phenomenon has not been fully recognised by a considerable part of corporate public. This results from the lack of appreciating the importance of the CI project development. In this area, the education of the public on the subject is, in fact, non-existent, there is lack of interest, and last but not least it is also due to reasons of time (a certain impatience to become successful very fast), as well as shortage of finance (financial insolvency of numerous firms). It is also due to these reasons that Slovak firms try to focus on the fastest ways of presentation through Corporate Design and external forms of Corporate Communication. The least appreciated remains the area of Corporate Culture as well that of internal communication, which continue to carry a considerable burden of history (favouritism, clientelism, unfavourable interpersonal relationships, drawbacks in managing human resources).
As realistic chances for Slovakia’s accession to the European Union are rising, and connection with this, competitive environment will be even more fierce, each Slovak firm will have to realise that in order to succeed under the conditions means to have a well-developed, efficient, and generally valid CI project.
Current theory of the consumer behaviour assumes that the consumer is a cognitive man, who during the purchase of goods and services enters the process of evaluation and selection to choose out of the current supply the product, which best satisfies his/her needs. During this process the consumer exploits information on the products, product attributes and evaluation criteria. The essence of the purchase decision-making is in the information process.
The method recommended for the survey of collecting and processing information ob-tained from the purchasers is to ask respondents to “think loudly”. During the course of purchase one makes the verbal record called “purchasing record”. One applies analogous principle of “shadowing” at natural conditions. We modified this method into auto-snap-shot programme and verified it in the group of 174 extramural students. These students pre-pared the purchasing record as a part of their study term exercise on the subject “Consumer Behaviour”. They analysed their purchase from the following viewpoints: purchase type, influence of retail trade motivations, the scope of decision-making process, criteria used at the evaluation of purchasing alternatives and the applied rule of decision-making.
We have chosen for this paper information gaine4d in the two groups of stores: groce-ry shops outside Bratislava and hypermarkets on the territory of the Slovak Republic. Special attention was paid to the two partial aspects of the purchase decision-making in the store: (a) the way of evaluation and selection of purchasing alternatives, (b) types of purchase that enable to characterise the system of purchases and the influence of motivations in the store that implement them.
Criteria and rules for the decision-making. Collected purchasing records did not bring about any new information on the applied evaluation criteria related to the purcha-sing alternatives. Criteria deduced from the product attributes prevailed in the evaluation.
Exceptionally, and with the negative impact, one appreciated the products using eva-luation criteria of the purchase location in form of hygiene requirements. The occurrence of the generally applicable criterion of the country of origin was rare too. This criterion was declared by none of the respondents – customers of hypermarkets.
The method of survey enabled to register the way in which purchasers utilised the evaluation results of specific product attributes for the final decision in product selection.
Among decision-making procedures non-compensating rules clearly prevailed, above all the rules based on the consumer’s experience. This corresponds with the consumer habits stressed by respondents of both groups of stores.
Difference registered consisted in the fact, that while in the stores outside Bratislava consumer habits related both to the product and to the relevant store, in hypermarkets consumer habits related almost solely to the products and the examples of declared loy-alty were rare. Due to the lower purchasing frequency and a short period of hyper-markets’ existence one discovered marked elements of uncertainty in many, even regu-lar, visitors. Stronger position among various decision criteria acquired the aspect of price. As expected we registered cases of decision-making process known as diversity seeking, above all in hypermarkets.
Purchase type. When comparing the structure of purchases in hypermarkets with those carried out in food stores owned by Slovak companies outside Bratislava one disco-vered that purchasers in hypermarkets declared higher share of generally planned items at the expense of specially planned items. In this connection the occurrence of replacement items and purchases not executed decreased. More than 80 % of items bought in hypermarkets resulted from the decision taken directly in the store. – Commentaries accompanying purchasing records confirmed the assumption on the differentiated purchasing strategies.
At the same time one enclosed into the category of the specially planned purchases those items that consumers decided to buy after having read the offering leaflets of business companies; that means purchases planned as a reaction to the retail trade advertising and to the activities of retail trade promotion. The evidence, however, on the frequent situation when demanded goods is temporarily missing in the store signal, that even such a purchase plan may not be carried out. Relatively mild reactions of purchasers to stock out situations and their willingness to visit the store again are not only surprising, but require also an explanation.
One finds therefore as justifiable to dedicate further survey of the purchasing beha-viour just to the problem of the selection of purchase location in the context with the investigation into the loyalty to the store. The experience gained by the verification of the purchasing record could be helpful to get the satisfactory answer.
If the decisions on distribution policy are to contribute to achieving the objectives set forth, at the outset of the distribution processes, a detailed analysis of the situation has to be made.
In case the area subject to situation analysis is the distribution channel with all its structure, apart from other things, it is possible to examine also interactions between the producer and the distribution intermediary in terms of attractiveness of the partnership on the one hand, and the position in the channel, on the other hand. Analysis of interaction situation within the distribution channel considers in particular the facts that the produ-cers and intermediaries are on the one hand cooperation partners – they have to jointly contribute to a distribution performance – and on the other hand, they are representatives of differing interests, and thus are competitors, each of whom tries to achieve an advantageous (if possible) cost-benefits ratio.
Vertical marketing strategies determine the structure of cooperation between production and trade, they include general orientation of the producer in relation to structuring distribution channels through a suitable selection of distribution intermedia-ries, and in this way, to creating a suitable distribution design, to motivation strategies. These strategies are put into contraction with power strategies, as well as in relation to contracting strategies, the assumption of which is contractual arrangement of distribution design as the process of the distribution channel structuralisation.
Selection of distribution channels includes stipulation of an ideal configuration, that is a kind of business (firm) form of trade, which is to be used as a distribution channel and a required distribution degree within a given form of business; further, arrangement and evaluation of existing potential distribution channels, comparison with an ideal configuration, and a decision on possible impact on the structure of distribution intermediaries, and determining business partners. When choosing targets firms, the task of the producer is to motivate the firms chosen to desirable behaviour. It is therefore necessary for the producer to make sure that the business may develop in compliance with this behaviour. Whether this activity may be achieved without any problems by the producer and to what extent, depends mainly from the power relationships within distribution channels. When choosing a business partner and after the question concerning the methods of motivating these partners, it is necessary to discuss the ways of ensuring the results in both of these areas within the framework of contracts.
The success of partner relationships between the producer and the distribution intermediary is affected by several factors, which affect it favourably or unfavourably. Cooperation prevails, as a rule, between members of distribution partnership, as partner cooperation brings advantages to each of the members involved. However, from time to time, there occur such reactions that are not in accordance with expectations and objectives of either of the parties involved, and as a result, there arise conflicts, because these are social systems. In order to avoid the conflicts, conflict management is recommended, which includes all the mechanisms, through which it is possible on the one hand utilise the consequences of conflicts, and on the other hand to prevent negative impacts on the efficiency and stability of the system. Conflict management in distribution channels is, as a rule, focused on implementation of vertical cooperation, and in this way on increasing efficiency of the measures adopted to protect a favourable image, or maintain a long-term cooperation of marketing institutions.
An important element in arranging relationships between the producer and the intermediary within distribution channels appears to be re-engineering of processes, the essence of which is a new definition of positions and tasks of production as well as of trade in creating a long-term stability in distribution channels and an equal division of logistics activities.
Eva HANULÁKOVÁ – Adriana PROČKOVÁ
Societal marketing is a process that directs an economy’s flow of products from produ-cers to consumers in a way that effectively matches supply and demand and accomplished the objectives of society. However, the emphasis with societal marketing is not on the activities of individual organizations. Instead, the emphasis is on how the whole marketing system works. This includes looking at how marketing affects society and vice versa.
The effectiveness and fairness of the societal marketing concept must be evaluated in the terms of that society’s objectives. These are some questions refer to the societal marketing concept. Do we need so many brands of products? Does money spent on adverti-sing really help consumers? Do middleman just add to the price consumers pay? In other words, does marketing cost too much? This is a fundamental question.
Many critics of marketing think that advertising and promotion generally are socially undiserable and that marketing system causes improper allocation of resources, restrict income and employment, and leads to an unfair distribution of income.
The fundamental principle of the societal marketing concept is the social responsibili-ty. There are strong arguments on both sides of the debate about marketing social responsibility. Arguments for marketing social responsibility are: balances power with responsibility, promotes long-run profits, improves a company’s public image, responds to changing public needs and expectations, corrects social problems caused by business, applies useful business resources to difficult problems, recognizes business’ moral obligations. All these arguments in favor social responsibility add up to a very powerful new conception of marketing’s role in society.
On the other hand, there are also arguments against marketing social responsibility: lower profits, imposes hidden costs on society, creates internal confusion and unjustified public expectations, gives too much power to marketing, requires special social skills that business lacks, places responsibility on the corporation instead of on individuals.
Together, these arguments claim that social responsibility places added burdens on both marketing and society without producing the intended effect of social improvement.
One good way to understand societal marketing concept is to identify and analyze the fundamental challenges to marketing. These challenges, which also are business opportu-nities are: political, environmental, technological and economical challenges.
The societal marketing means marketing activities that recognize social, ethical, and environmental stewardship as a business development responsibility and business growth opportunity.
The present marketing concept calls upon marketers to balance three considerations in setting their marketing policies: company profits, consumer wants, and society’s interests.
Marketing activities that recognize environmental stewardship as a business develop-ment responsibility and business growth opportunity we call environmental marketing.
Environmental marketing began in the early 1980s in Europe with the sale of environmentally friendly products (products that cause less damage to the environment). Marketers add the environment to standard marketing mix elements in marketing decision making. They consider environmental aspects in the processes of product and package development, labeling and communication strategy creation.
There are two basic characteristics of the environmental marketing: perspective and commitment. Environmental perspective means an appreciation of the company activities effect on the environment. Perspective must be backed up by commitment. Environmental commitment can be characterized as the company decision to become an environmental responsible and to reflect that decision in all its activities.
Alert companies view environmental problems as opportunities. The environmental marketing strategies offer solid long-term benefits in the form of goodwill and market positioning. Environmental marketing has also important function: consumer education.
Today’s consumers are much more environmentally aware than the typical consumer of three decades ago. They are willing to spend more and give up convenience in order to buy environmentally safe products. These changing consumer attitudes help in the process of development and market environmentally friendly products.
Although consumers’ attitudes to the environment run the scale from very strong concerns to complete indifference, the consumers’ concern about the environment is constantly raised. People tend to be more green in direct proportion to their income and educational levels. Another important factor to keep in mind about green consumerism is the important role of children in forming their parents’ environmental behaviour.
The societal marketing’s goal is not only maximize company profits or total consumption or consumer choice, but rather to maximize life quality. That means that marketing system can help create and deliver a higher quality of life.
The relationship between transnational corporations and the environment is very sen-sitive and plays an important role in today’s discussions in the international forum. It is very hard to achieve a reasonable compromise between interests of economists on one hand and environmentalists on the other.
The article describes the influence of transnational corporations on the environment through technology transfers. It considers the consequences of this transfer according to foreign direct investment incentives as well as in the field of international trade.
A transnational corporation fights its market position and must consider how much money it can spend on environment protection without threatening its competitiveness. Higher costs due to the implementation of environment friendly production increase the final price of products. Several researchers revealed that in the growing economy the degradation of the environment increases only to a certain level of average income. While consumers from high-income countries prefer environment-friendly goods, we cannot expect that consumers from low-income countries will accept a higher price of such products.
Transnational corporations consider several aspects before they invest. Although the environmental factors do not play a crucial role in their decision-making process they must be taken into account. In many cases the so-called ecology indebtedness of companies in Central and East European countries became a barrier for foreign investors.
Some economists came to the conclusion that foreign direct investment might lead to standardisation of transferred technology due to cost savings. In some cases domestic investors, not foreign investors used cheap but old environment-friendly technology. This is the case of developing countries. When main incentives for foreign direct investment (according to Dunning) are considered the main risk for damaged environment lies on source-seeking investment.
More than 60 000 parent companies and 800 000 affiliations play a crucial role in global trade transactions. K. Berlin and J. M. Land distinguish several conflicts between trade and environment and suggest several solutions. Import restrictions on goods originating in countries with softer environmental standards are one of them.
It is hard to agree with this suggestion. Trade has been liberalised in the past decade and environmental standards belong to a very strict group of instruments allowed in protecting national markets. This is why they can be often imposed as unfair trade instrument in a similar way as antidumping practices are being used nowadays. A multilateral agreement on reducing harmful production or limiting transfer of old technology could become a solution.
Environmentalists very often strengthen moral responsibility towards future generations but refuse to consider negative economic effects (presented by economists) which strict environmental standards can cause (higher unemployment, lower standard of living and income). The dilemma between environmentalists and economists could be solved by educating environmentalists on main aspects of economic law and economists on environmental consequences of economic activities, and bringing them together to global trade and environmental policy discussions.
A critical relation is also between the developed and the developing world. The developing world argues that economic growth could stagnate if environmental standard of developed world should be maintained. Some kind of ecology tax in developed countries set for developing countries as a source for economic growth could become a reasonable compromise between both parties.
Conclusions of many research projects that dealt with the environmental impact of transnational corporations’ activities are controversial. Projects that are being carried out by UNCTAD and OECD will contribute to sound empirical evidence in this field.
Under the sequences of the efforts to integrate our country to European structures, it is inevitable to liberalize and harmonize our methods with the methods of these coun-tries, so that we could reach the desired level in the area of quality surety. Nutritive products quality is an important element in the struggle for customer and retaining of his favor and for gaining another potential customers.
No doubt, sanitary safety belongs to the most important quality characteristics of nutritive products. Providing the sanitary safety is in the whole world context very signi-ficant not only thanks to its importance for the public health, but also because its influen-ce in the international business. Quality increase effort is the best possible way to achie-ve and to negotiate the consumer needs and expectations.
The keystone of a new successful quality strategy is to understand what influence has quality on business results of an entrepreneurship. Primary mission is an adjective orien-tation on the quality in the whole value chain with the help of quality management systems and secondarily with the use of applied instruments and methods of products and quality system improvement.
The required quality but mainly the health harmlessness of food can be provided in two ways. The first, by the systematic control of produced food or by managing and using the processes of their production in the way that eliminates the existence of non-acceptable food.
The second way is named by an international abbreviation HACCP that comes from an english Hazard Analysis and critical control points. HACCP is a tool by which we recognize the rises connected with the production, storage, distribution and the preparation of food, beverages and seasonings and to which we define and inevitable measures to provide their hygienic safety and health harmlessness by usage of control points in which we can use the elements of management.
HACCP system is a more narrowly applied system of securing the quality of products and it is compatible with other systems, as e. g. quality system according to ISO 9001. Apart from clearly qualitative requirements of the consumer. The aim of HACCP is exclusively hygienic blamelessness and quality and health harmlessness of foods. Food producing enterprises aiming to achieve a certificate for their system of quality and health harmlessness of foods. Food producing enterprises aiming to achieve a certificate for their system of quality according to ISO 9001 or ISO 9002, are bound to work out HACCP system for respective products, processes and phases of production simultaneously observing a certain progression of steps determining decisive points of this system. Introducing of some of the norms of ISO 9000 order need not neccessarity mean that the quality system considered and solved with qualification all food security questions. Therefore the food producing enterprise has to start its work on building up of quality system by building just the HACCP system as a specialised instrument and special part of quality system. On the other hand, building up of the HACCP system does not yet mean the fulfillment of all requirements of ISO 9001 or ISO 9002. The common points of both the system are the following elements of ISO 9001: the quality system, requirements on purchased products, identifiableness and the possibility to follow the product, operational management, manipulation, storage, packaging, protection and supply, internal audits, operational management of quality recording, training and preparation of workers, statistical methods etc.
European Union regulations in the field of managerial hygienic practice in the sphere of food hygiene which include also the obligation to apply HACCP system, were incorporated into Food Codex SR in force since January 1, 2001. The application of international norms ISO 9000 and HACCP system are individual steps to achieve the minimum of the European quality and ability to compete in food product.
Manufacturing organizations, service enterprises and sole proprietors as well, they all have to cope with the problems of market economy and achieve a status, which is comparable to the world economy. The ability to muddle through with products and services of good quality becomes the requirement for economical survival. The quality has become in big, small and middle entrepreneurships as well, the basis of competition ability of an organization. The experiences from last years show, that those companies, which had oriented on providing of high quality products have achieved positive results. It was shown, that investments into quality improvement are more profitable than the production enhancement. The quality has become a matter of intensive interest in the quality management, but also radically different attitude of companies to quality issue.
The Government of Slovak Republic because of its European Union entry interest and provision of intensive economical growth is asserting a consciousness of a complex quality program, which is aimed to permanent improvement of management in the Slovak Republic.
The implementation of quality management means to develop, to suggest, to produce and to sustain a product, which is maximally effective, useful and always satisfies the customers. To achieve this target, every worker or employee has to participate in the quality management and develop it too. It holds for the top management, single company departments and all the employees.
The list of ISO 9000 standards has proved as a very effective facility for labor improvement of organizations by the means of implementation of quality management system. It has noticed a big swing all around the world; it has been adopted by national normalization institutions and recognized by the world business field. Global significance of these standards has led to their next improvement due to the requirements of modernizing world production and business.
The standards of rank ISO 9001, ISO 9002, ISO 9003 are dedicated to manufactures sector, but next standards of this rank are orientated on services needs, producers, software, small and middle enterprises and they are actual in the three-year-period of transition.
New standards 9000:2000, which were admitted by the Slovak Republic in April 2001, can be now implicated by the quality management systems implementation and their target is to help an organization increase its effectivity and profitability, produce a better product or service, satisfy the customer, increase its market share, qualitatively improve the communication and morality in the organization, cut down the costs and dependence on suppliers.
Implementation of standards ISO 9000:2000 implements in the organization a big number of simplifications and variant attitudes, it enables the small and big organizations to seek flexible solution for quality management systems implementation.
Quality management built on these principles has been promoted, mainly in the EU countries, to the basis of existence and prosperity of a manufacturer and has become a critical factor in the competition ability achievement on the global market.
The small and medium enterprise (SME) development is one of the assumes of favourable economic development in SR. It belongs, along with reclassification of the Slovak economy, to its main priorities. Despite favourable trends, the SME share of the most important indexes has been lower than in the EU countries. Due to barrier elimination on macro- and micro level, as well as, a significant state support and an effective support of the European Union and in context with other countries in the Middle and Eastern Europe, we can expect convergence towards the target values of SME in EU, considering this as a whole, as well as, within particular sector-branch segments of SME.
Small and medium entrepreneurs achieve 51 % of the GDP formation, over 62 % employment share and 45 % export share, however, SME in Slovakia have got many reserves despite the relatively good shares.
The SME are worth in difficult conditions of a new economy too, supposing they are markedly active and the state creates adequate business environment for them. They cannot stagnate in the new economy. They can follow one of two strategies: offensive or defensive, where both of them have got their strengths.
The SME support in the Slovak conditions is very actual. Revaluation of the present forms of the SME support leads to the need of redirection from the tools bringing only a short-term effect towards the use of long-term character tools with a striking motivatio-nal effect. We should consider SME in Slovakia from its perspective effect point of view within the united European market too.
Identification of SME in Slovakia, as well as, in other countries, can be done by comparison with analogue SME partners in other countries which are interesting for us from a particular point of view. These are the countries of Middle and Eastern Europe and some developed countries (EU). But the simple fact faces big barriers related to the “soft” market environment which is the result of present reform economic processes and their interpretation, as well as, with different objective index contents. The most of the legislative barriers within SME are represented by increased financial duties of the entrepreneurs which often have got a de-motivational character. It is necessary to support the creditor legal status, to apply the right of lien, to recover the capital market, to gain foreign investments, to support SME, to make the interest rates real and to reduce the tax duties of the entrepreneurs.
The business environment problems mentioned above refer to tourism too, despite it has got its strengths, as follows: dynamics, low investment and import intensity (three times lower in tourism than in industry), a high share of direct labor there functions as the tool of unemployment reduction and the region development, minimized dead assets, exchange effect for the country etc. We can expect the principal changes after realization of the measures, as follows: working-out the Tourism Development Program for the sake of the region development, Tourism Fund formation, working-out and approval of the tourism legislative support, significant financial advertising support etc.
The business success or failure reflects the financial situation of an enterprise in tourism. Thus the managers, as well as, the external subjects can discover many strengths or weak-nesses of the enterprise, their causes and reasons by the analysis of the business financial situation of the company and, upon this, to make decisions or accept proper arrangements.
We cannot be satisfied with the development results and trends of particular financial indexes in the analyzed tourism enterprises – travel agencies, hotels and restaurants in Slovakia. The failure of the financial health is seen in a low profitability, often negative, relatively low liquidity, high indebtedness and long liability maturity periods. The short-term resources of the net operating capital are missing and the long-term financial resources formation is complicated too. Prevention can be found by respecting the need of the financial planning, within the flow management of the company and by change of the approach of the financial managers towards the formation of the financial resources of the company capital.
Globalization of society and economy has had a significant impact on traditional structures of world transport, and the philosophy, dynamics and heading of its further development. Structural changes in transported altered not only its character but also its basic functions; nevertheless, world transport has retained its key position in promoting globalization.
World transport facilitated trading of 330 billion USD in 2000, i. e. 83 billion USD more than in 1990 with an annual increase of 3.4 per cent (see Table 1). Such an annual increase was nearly half of the annual increase in all commercial services in the same period. Decelerating tendencies in transport volume in comparison to other services in 1970–2000 shifted transport away from its position of the best performing producer of services (with the 39 per cent share in 1970) to the least favourable one with the share having lowered to 23 per cent.
This development was caused by several factors:
The most up-to-date world trade statistics shows trends indicating the changing position of transport in world trade.
As seen in the data, there has been an increase in export financial performance in absolute terms on one hand, and the lowest annual growth of transport among commercial services that stands for a decreasing share of transport services on total commercial services.
This relatively negative development, however, involves a strongly positive nucleus:
Globalization changed the meaning and order of elementary functions of transport in society and economy as a whole. Consequently,
a) these effects may be considered as a primary outcome of the relation to manufacturing allocation (in terms of weight, volume and value of processed materials, components or finished production and machinery),
b) transport reacts through the creation of progressive transport and logistic systems.
The world transport system covers five basic fields: maritime transport, aviation, railway transport, road transport and continental waterway transport.
The division of labour among these sorts of transport primarily depends on the geographic reality of the territory.
Maritime transport plays the long-term key role in transcontinental transport; similarly, road transport (especially in the EU) is the leader in continental transport.
Transition countries, including Slovakia, have experienced the change in transport systems following economic transformation to market economy: the railway oriented transport systems have undergone a shift in favour of a balance between railway and road transport performance with the tendency of increasing road transport share.
The key aspect of intercontinental cargo transport transformation is the transoceanic freight transport while road and railway transport is crucial for development in the European continental cargo transport.
World transport has followed the path of transformation in terms of a shift towards common continental or even more extensive transport systems economically organized through integrated (common) liberalized transport markets that can exclusively facilitate a flexile transport vis-ŕ-vis increasing pressures coming from manufacturing and commerce oriented on one hand on lowering transport costs while simultaneously improving the delivery service on the other.
Transformation of an intercontinental or a continental system of transport along with their economic organizational structure – the international transport market – significantly depends on additional factors such as:
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