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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

The Impact of Travel &amp; Tourism Competitiveness Factors
on Tourism Performance: The Case of Silk Road
Countries
Kemal Kantarcı
Akdeniz University, Alanya Faculty of Business, Alanya-Antalya / TURKEY
kantarci@akdeniz.edu.tr
Kazim Develioğlu
Akdeniz University, Alanya Faculty of Business, Alanya-Antalya / TURKEY
kdevelioglu@akdeniz.edu.tr
Nowadays, tourism industry has gained a momentum in balancing
countries’ balance of payments, contributing to GDP, and employment.
These contributions of the industry to local economies made it a critical
sector and a source of foreign currency in many countries of the World. As
a result, obtaining and sustaining competition factors become critically
important. By the similar vein, it can be indicated that tourism
performance of countries will be greatly influenced by competition factors.
In certain studies different models had been used to classify competitive
factors in tourism industry (Hassan, 2000; Dwyer and Kim, 2003). In this
study, we use World Economic Forum’s (WEF) classification of Travel and
Tourism Competitiveness factors to examine resources that are expected
to influence Silk Road countries’ tourism performance. We conceptualized
the tourism performance by two variables: international tourist arrivals
and tourism receipts. WEF’s classification of competitive factors consists of
three sub-indexes and 14 factors that measure these sub-indexes, which
are reported below:


T&amp;T regulatory framework
(Policy rules and regulations,
Environmental sustainability,
Safety and security, Health and hygiene, Prioritization of Travel &amp;
Tourism)



T&amp;T business environment and infrastructure
(Air transport infrastructure, Ground transport infrastructure,
Tourism infrastructure, Information and Communication
Technology (ICT) infrastructure, Price competitiveness in the T&amp;T
industry)

185

�International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo



T&amp;T human, cultural, and natural resources
(Human resources, Education and training, Availability of qualified
labour, Affinity for Travel &amp; Tourism, Natural resources, Cultural
Resources)

Methodology
In this study, we aim to investigate the impact of Travel &amp; Tourism
Competitiveness Factors on the tourism performance of Silk Road
Countries. As a promising project, the Silk Road project is gaining a critical
importance for countries in the region. The list of Silk Road Countries
consists of 28 countries: Albania, Armenia, Azerbaijan, Bulgaria,
China,Croatia, DPR Korea, Egypt, Georgia, Greece, Iran, Iraq, Israel, Italy,
Japan, Kazakhstan, Kyrgyztan, Mongolia, Pakistan, Republic of Korea,
Russia, Saudi Arabia, Syria, Tajikistan, Turkey, Turkmenistan, Ukraine, and
Uzbekistan. We used the data for 23 countries and excluded 5 countries
because of lack of data. Countries that are excluded from the list are DPR
Korea, Iran, Iraq, Turkmenistan, and Uzbekistan.
In order to perform multiple regression analyses to investigate the
relationship between competitive factors and country performances, we
used the data of The World Economic Forum’s “The Travel and Tourism
(T&amp;T) Competitiveness Index” for the years between 2008 - 2011.
Findings
Performance of two-separate multiple regression analyses postulated for
the first analysis that The Silk Road Countries’ tourist arrivals as a
performance variable is influenced by three competitive factors, namely,
air transport infrastructure, ground transport infrastructure, and cultural
resources. For the second analysis, findings revealed that tourism receipts
of the Silk Road Countries are influenced by five competitive factors: Air
transport infrastructure, ground transport infrastructure, environmental
sustainability, health-hygiene, and cultural resources.
Keywords: Travel &amp; Tourism Competitiveness Index, Strategic Marketing,
Silk Road Countries, Tourism Performance.

186

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                    <text>International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

The Impact of Travel&amp;Tourism Competitiveness Factors on Tourism
Performance: The Case of Silk Road Countries
Kemal Kantarci
Akdeniz University, Alanya – Antalya, Turkey
kantarci@akdeniz.edu.tr
Kazim Develioglu
Akdeniz University, Alanya – Antalya, Turkey
kdevelioglu@akdeniz.edu.tr
Abstract
The Silk Road project is a tourism-based project that aims to increase welfare and
performance of member societies. In order to explore potential determining factors
of the Silk Road countries’ performance, we used Travel and Tourism
Competitiveness pillars as independent and international tourist arrivals and tourism
receipts dependent variables. Multiple regression analyses results revealed that air
transport infrastructure is the most influential factor in explaining variance in
performance variables. Other independent variables to be mentioned are ground
transport infrastructure, cultural resources, environmental sustainability, and health
and hygience.
Key words: Travel&amp;Tourism Competitiveness Index, Strategic Management, The
Silk Road Project, Tourism Performance

Introduction
Importance of competition factors on performance of countries has long been recognized.
As the globalization increases, it becomes more difficult to sustain competitive advantages,
which results to performance of countries. This difficulty also has been felt in tourism
industry by policy makers at national and firm level, because of current global crisis that
increased competition among nations. As the result, policy makers develop competitive
strategies to increase performance of their countries. Obtaining a sustainable competitive
advantage and increasing tourism performance have been a central concern for strategy
makers and necessitate discovery of potential causes for a successful performance. In order
to develop an answer for this concern, authors of this study use Travel and Tourism
Competitiveness pillars as potential causes of tourism performance for the Silk Road
countries.
Literature Review
Nowadays, tourism industry has gained a momentum in balancing countries’ balance of
payments, contributing to GDP and employment. These contributions of the industry to
local economies made it a critical sector and a source of foreign currency in many
countries of the World. As a result, obtaining and sustaining competitive advantage
become critically important. The long term economic performance of countries mainly
depends on their success in creating and sustaining sectors that produce revenue and
employment. In order to obtain long-term sustainable economic performance, countries try

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�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

to develop competitive advantages over other countries. As Onsel et al. (2008) indicate “in
order to provide firms the necessary opportunities to survive and realize global competitive
advantage, it is essential to define the relative competitive position of their home
country…A nation’s competitiveness can be viewed as its position in the international
marketplace compared to other nations of similar economic development” (pp. 222). At the
industrial level, “the potential for any country’s tourism industry to develop will depend
substantially on its ability to maintain competitive advantage in its delivery of goods and
services to visitors (Dwyer, et al., 2000: 9). Discussions regarding competitive advantage
at the regional level fueled fire of theories of new economic geography and regional
economy (Vukovic, et al., 2012). Establishment of European Union can be appraised as
the major regional economic movement. One the biggest contribution has been made by
Porter (2004) by explaining sources of innovativeness and competitiveness in the
framework of regional clusters of related sectors. Regional competitiveness described as
“the ability of a region to generate income and sustain the employment level with the aim
of domestic and international competition” (DTI, 2002: 3).
Economic Forum (2011) defines competitivenessas the set of institutions, policies, and
factors that determine the level of productivity of a country. The level of productivity, in
turn, sets the level of prosperity that can be earned by an economy. The productivity level
also determines the rates of return obtained by investments in an economy, which in turn
are the fundamental drivers of its growth rates. In other words, a more competitive
economy is one that is likely to grow faster over time and exhibit a superior performance.
As Reed and DeFillippi (1990) indicate “superior performance is correlated with
competitive advantage, and achieving an advantage will automatically result in higher
performance” (pp. 90). Early studies of competitiveness stated that competitiveness
resulted from certain key driving factors, such as capital, trade, investment, government
spending, foreign direct investment, etc. New trade theory accentuates on factors like
skilled labor, specialized infrastructure, networks of suppliers, and localized technologies.
In addition to macro-economic approaches cited above, some micro-economic perspectives
are also available. One of the most influential perspectives is Porter’s cluster theory, which
posits that geographical clusters encourage both operational effectiveness and distinctive
strategic positions (Porter 1990). Another perspective is the Shumpeterian’s theory of
entrepreneurship, which focuses on the role of technology and entrepreneurs in creating
innovation and learning. In order to create a competitive position, there are three broad
groups of factors [(European Commission, 2003: Martin (edt)]:




Infrastructure and accessibility
Human capital
R&amp;D and innovation, demography.

In certain studies different models were used to classify competitive factors in tourism
industry (Hassan, 2000; Dwyer and Kim, 2003). In this study, we use World Economic
Forum’s (WEF) classification of Travel and Tourism Competitiveness factors to examine
resources that are expected to influence Silk Road countries’ tourism performance.
Leadership of United Nations World Tourism Organization (UNWTO) played the key role
to organize 28 countries from Asia, Europe, and Africa and formed the Silk Road Project.
The Member States currently involved in the Silk Road Program include: Albania,
Armenia, Azerbaijan, Bulgaria, China, Croatia, DPR Korea, Rep. Korea, Egypt, Georgia,

2

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Greece, Iran, Iraq, Israel, Italy, Japan, Kazakhstan, Kyrgyzstan, Mongolia, Pakistan,
Russia, Saudi Arabia, Syria, Tajikistan, Turkey, Turkmenistan, Ukraine and Uzbekistan
(UNWTO, 2012: 4). The Silk Road Countries are aware of the importance of the tourism
industry in order to develop and be competitive. In order to succeed this result, the Silk
Road countries should increase their capabilities and develop a competitive position to
attract more tourists from around the world. In this sense, tourism performance can be
evaluated as a result of using competition tools effectively in order to create a sustainable
macroeconomic environment.
In the study, we conceptualized the tourism performance by two variables: international
tourist arrivals and tourism receipts. WEF’s classification of competitive factors consists of
three sub-indexes and 14 factors that measure these sub-indexes, which are reported below:


T&amp;T regulatory framework

(Policy rules and regulations, environmental sustainability, safety and security, health
and hygiene, prioritization of travel and tourism)
 T&amp;T business environment and infrastructure
(Air transport infrastructure, Ground transport infrastructure, Tourism infrastructure,
Information and Communication Technology (ICT) infrastructure, Price
competitiveness in the T&amp;T industry)
 T&amp;T human, cultural, and natural resources
(Human resources, Education and training, Availability of qualified labor, Affinity
for Travel &amp; Tourism, Natural resources, Cultural Resources)

Methodology
In this study, we aim to investigate the impact of Travel&amp;Tourism Competitiveness
Factors on the tourism performance of Silk Road Countries. As a promising project, the
Silk Road project is gaining a critical importance for countries in the region. The list of
Silk Road Countriesconsists of 28 countries: Albania, Armenia, Azerbaijan, Bulgaria,
China,Croatia, DPR Korea, Egypt, Georgia, Greece, Iran, Iraq, Israel, Italy, Japan,
Kazakhstan, Kyrgyztan, Mongolia, Pakistan, Republic of Korea, Russia, Saudi Arabia,
Syria, Tajikistan, Turkey, Turkmenistan, Ukraine, and Uzbekistan. We used the data for
23 countries and excluded 5 countries because of lack of data. Countries that are excluded
from the list are DPR Korea, Iran, Iraq, Turkmenistan, and Uzbekistan.
In order to perform multiple regression analyses to investigate the relationship between
competitive factors and country performances, we used the data of The World Economic
Forum’s “The Travel and Tourism (T&amp;T) Competitiveness Index” for the years between
2008-2011, excluded 2010 because of lack of data.

Findings
We performed two-separate multiple regression analyses and results postulated for the first
analysis that the Silk Road Countries’ tourist arrivals as a performance variable is
influenced by three competition pillars, which are air transport infrastructure, ground
transport infrastructure, and cultural resources. For the second analysis, findings revealed
that tourism receipts of the Silk Road Countries are influenced by five competitive pillars:

3

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Air transport infrastructure, ground transport infrastructure, environmental sustainability,
cultural resources, and health-hygiene.
Table 1: Regression Analysis Results for Competitiveness Pillars and International Tourist Arrivals
Independent Variables

Beta

Constant

Significance of t

-10510.379

Air transport infrastructure

0.695

0.000

Ground transport infrastructure

-0.476

0.000

Cultural resources

0.347

0.001

R2

F

Significance of F

0.50

28.673

0.000

*Dependent variable: International tourist arrivals

Table 1 portrays the results for the first regression analysis results for competitiveness
pillars and international tourist arrivals. The regression model obtained is significant at
95% significance level and explains 50% of variance in dependent variable (F= 28.673; p=
0.000; R2= 0.50). As it can be seen from Table 1, out of 14 competition pillars, only 3 of
them have statistically significant impact on the number of international tourist arrivals, as
dependent variable. Scores imply that the most significant variable to influence tourist
arrivals is air transport infrastructure, which accounts 37% variance in dependent variable.
Other independent variables to influence international tourist arrivals are found to be
ground transport infrastructure (Beta= -0.476; p= 0.000) and cultural resources (Beta=
0.347; p= 0.001).

Table 2: Regression Analysis Results for Competitiveness Pillars and International Tourism
Receipts
Independent Variables

Beta

Constant

Significance of t

-19681.719

Air transport infrastructure

0.609

0.000

Cultural resources

0.531

0.000

Ground transport infrastructure

-0.540

0.000

Environmental sustainability

0.318

0.001

Health and Hygiene

-0.250

0.001

R

F

Significance of F

0.66

33.050

0.000

2

*Dependent variable: International tourism receipts

The impact of competition pillars on international tourism receipts has been summarized at
Table 2. The regression model is statistically significant at 95% significance level and
explains 66% variance in dependent variable, international tourism receipts (F= 33.050; p=
0.000; R2= 0.66). There are five independent variables that have explanatory power to
explain the variance in dependent variable are air transport infrastructure (Beta= 0609; p=
4

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

0.000), cultural resources (Beta= 0.531; p= 0.000), ground transport infrastructure (Beta= 0.540; p= 0.000), environmental sustainability (Beta= 0.318; p= 0.00), and health and
hygiene (Beta= -0.250; p= 0.001).
Discussion
Based on the findings reported in findings part of this study, we can postulate that the most
significant variable to have impact on tourism performance is air transport infrastructure.
In or two separate multiple regression analyses, air transport infrastructure is found to have
impact on our tourism performance variables, international tourist arrivals and
international tourism receipts. Because conditions of air transport infrastructure is easily
observed and evaluated by tourists and provides easy accessibility to destinations for them;
it is capable to influence the choice of destinations.
Cultural resources and environmental sustainability are other two independent variables
that have impact on dependent variable, tourism performance. Cultural resources variable
has capability to explain the variance in tourist arrivals and tourism receipts variables. The
result is not surprising because many tourists choose a destination not only for sun and sea
but also some events like international fairs and exhibitions, cultural sites, and sport events.
Environmental sustainability is also important to influence tourism performance because
this pillar includes variables such as, environmental regulations, sustainability of travel and
tourism industry development and threatened species, which are directly related to
attractiveness of a destination.
Health and hygiene and ground transport infrastructure have been found to influence
tourism performance negatively. Potential explanation for this result could be destructive
impact of global economic crisis which necessitated many governments in applying budget
cuts in infrastructure investments and health care system to balance national budget
deficits. Our suggestion is that owners, managers and associations in tourism sector should
lobby national governments about preventing cut in the budget.

References
DTI (Department of Trade and Industry). (2002). A Modern Regional Policy for the United
Kingdom. London.
Dwyer, L., Forsyth, P. and Rao, P. (2000). The price competitiveness of Travel and
Tourism: A Comparison of 19 Destinations. Tourism Management, 21, 9-22.
Dwyer, L. and Kim, C. (2003). Destination Competitiveness: Determinants and Indicators,
Current Issues in Tourism, 6, 369-414
European Commission. (2003). Ronald L. Martin (edt). A Study on the Factors of Regional
Competitiveness. Draft Final Report for the European Commission DirectorateGeneral Regional policy.
Hassan, S. (2000). Determinants of Market Competitiveness in an Environmentally
Sustainable Tourism Industry, Journal of Travel Research, 38, 239-245.

5

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Onsel, S, Ulengin, F., Ulusoy, G., Aktas, E., Kabak, O. and Topcu, Y. I. (2008). A New
Perspective on the Competitiveness of Nations, Socio-Economic Planning
Sciences, 42, 221-246.
Porter, M. (1990). Competitive Advantage of Nations, Free Press, New York.
Porter, M. (2004). Competitive Advantage, Free Press, New York.
Reed, R. and DeFillippi, R. J. (1990). Causal Ambiguity, Barriers to Imitation, and
Sustainable, Competitive Advantage. Academy of Management Review, 15:1, 88102.
UNWTO. (2012-2013). The Silk Road Action Plan.
Vukovic, D., Jovanovic, A. and Dukic, M. (2012). Defining Competitiveness through the
Theories of new Economic Geography and Regional Economy, J. Geogr. Inst.
Cvijic., 62(3), 49-64).
World Economic Forum. The Travel&amp;Tourism Competitiveness Report, 2007.
World Economic Forum. The Travel&amp;Tourism Competitiveness Report, 2008.
World Economic Forum. The Travel&amp;Tourism Competitiveness Report, 2009.
World Economic Forum. The Travel&amp;Tourism Competitiveness Report, 2011.

6

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                <text>KANTARCI, Kemal
DEVELIOGLU, Kazim</text>
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                <text>Nowadays, tourism industry has gained a momentum in balancing  countries’ balance of payments, contributing to GDP, and employment.  These contributions of the industry to local economies made it a critical  sector and a source of foreign currency in many countries of the World. As  a result, obtaining and sustaining competition factors become critically  important. By the similar vein, it can be indicated that tourism  performance of countries will be greatly influenced by competition factors.  In certain studies different models had been used to classify competitive  factors in tourism industry (Hassan, 2000; Dwyer and Kim, 2003). In this  study, we use World Economic Forum’s (WEF) classification of Travel and  Tourism Competitiveness factors to examine resources that are expected  to influence Silk Road countries’ tourism performance. We conceptualized  the tourism performance by two variables: international tourist arrivals  and tourism receipts. WEF’s classification of competitive factors consists of  three sub-indexes and 14 factors that measure these sub-indexes, which  are reported below:   T&amp;T regulatory framework  (Policy rules and regulations, Environmental sustainability,  Safety and security, Health and hygiene, Prioritization of Travel &amp;  Tourism)   T&amp;T business environment and infrastructure  (Air transport infrastructure, Ground transport infrastructure,  Tourism infrastructure, Information and Communication  Technology (ICT) infrastructure, Price competitiveness in the T&amp;T  industry)    T&amp;T human, cultural, and natural resources  (Human resources, Education and training, Availability of qualified  labour, Affinity for Travel &amp; Tourism, Natural resources, Cultural  Resources)  Methodology  In this study, we aim to investigate the impact of Travel &amp; Tourism  Competitiveness Factors on the tourism performance of Silk Road  Countries. As a promising project, the Silk Road project is gaining a critical  importance for countries in the region. The list of Silk Road Countries  consists of 28 countries: Albania, Armenia, Azerbaijan, Bulgaria,  China,Croatia, DPR Korea, Egypt, Georgia, Greece, Iran, Iraq, Israel, Italy,  Japan, Kazakhstan, Kyrgyztan, Mongolia, Pakistan, Republic of Korea,  Russia, Saudi Arabia, Syria, Tajikistan, Turkey, Turkmenistan, Ukraine, and  Uzbekistan. We used the data for 23 countries and excluded 5 countries  because of lack of data. Countries that are excluded from the list are DPR  Korea, Iran, Iraq, Turkmenistan, and Uzbekistan.  In order to perform multiple regression analyses to investigate the  relationship between competitive factors and country performances, we  used the data of The World Economic Forum’s “The Travel and Tourism  (T&amp;T) Competitiveness Index” for the years between 2008 - 2011.  Findings  Performance of two-separate multiple regression analyses postulated for  the first analysis that The Silk Road Countries’ tourist arrivals as a  performance variable is influenced by three competitive factors, namely,  air transport infrastructure, ground transport infrastructure, and cultural  resources. For the second analysis, findings revealed that tourism receipts  of the Silk Road Countries are influenced by five competitive factors: Air  transport infrastructure, ground transport infrastructure, environmental  sustainability, health-hygiene, and cultural resources.  Keywords: Travel &amp; Tourism Competitiveness Index, Strategic Marketing,  Silk Road Countries, Tourism Performance.</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Information-Supported Efficient Frontier for the
Taiwanese Stock Market
Chiang Kao
Department of Industrial and Information Management, National Cheng
Kung University, Tainan, Taiwan
ckao@mail.ncku.edu.tw

The mean-variance portfolio model helps investors to allocate their
available funds to a set of assets, such that the portfolio return will be
maximized at a specified risk level. Since the asset return rates are random
variables, expected values are conventionally used to make the
mathematical model tractable. If the asset return rates can be predicted in
advance, then higher portfolio returns are expected, and the extra returns
obtained are the value of information. This paper introduces the idea of an
information-supported efficient frontier, and the difference between this
curve and the conventional one is the value of information. At the lowest
attainable risk level, the value of information is zero, and it increases along
with the risk level. A case of the Taiwanese stock market illustrates how to
calculate the value of information in portfolio selection in practice.
Notably, the value of information in the Taiwanese stock market is
substantial, indicating that it is worth acquiring the information to better
predict the future stock return rates.
Keywords: Efficient Frontier, Portfolio Selection, Stochastic Programming,
Value of Information, Taiwan Stocks.

81

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                <text>Information-Supported Efficient Frontier for the  Taiwanese Stock Market</text>
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                <text>The mean-variance portfolio model helps investors to allocate their  available funds to a set of assets, such that the portfolio return will be  maximized at a specified risk level. Since the asset return rates are random  variables, expected values are conventionally used to make the  mathematical model tractable. If the asset return rates can be predicted in  advance, then higher portfolio returns are expected, and the extra returns  obtained are the value of information. This paper introduces the idea of an  information-supported efficient frontier, and the difference between this  curve and the conventional one is the value of information. At the lowest  attainable risk level, the value of information is zero, and it increases along  with the risk level. A case of the Taiwanese stock market illustrates how to  calculate the value of information in portfolio selection in practice.  Notably, the value of information in the Taiwanese stock market is  substantial, indicating that it is worth acquiring the information to better  predict the future stock return rates.  Keywords: Efficient Frontier, Portfolio Selection, Stochastic Programming,  Value of Information, Taiwan Stocks.</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Exporting Opportunities Provided by E-Commerce for
Small and Middle Sized Enterprises
Meryem Kara
Fatih University, İstanbul, Turkey
meryemkara25@gmail.com
Ali Coşkun
Fatih University, İstanbul, Turkey
alicoskun@fatih.edu.tr
E-foreign trade, a way of commerce in which business contacts and
activities such as international marketing and advertising are carried out
through electronic media, without coming face to face increases
competitive power of small and middle sized enterprises (SMEs) with its
fast, economic structure enabling access to world market through internet.
Due to opportunities provided and properties it has, e-foreign trade has
become new way of commerce of the era and this way contributes to
exportation of countries which is the most important source of income of
countries. In this study we will present the results of a research conducted
to analyze the e-foreign trade process of exporters and importers have
experienced in Turkey. In addition current problems of the e-foreign trade
companies in Turkey will be discussed and we offer some solutions to the
problems in the light of the obtained findings. Finally we will suggest some
new opportunities of e-commerce to improve the export of SMEs. As the
research method the interview technique was chosen and we interviewed
30 actively e-foreign trader firms in the Turkish food sector from different
cities.
Keywords: E-Foreign Trade, E-Commerce, E-Trade, Foreign Trade, SMEs.

201

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                <text>E-foreign trade, a way of commerce in which business contacts and  activities such as international marketing and advertising are carried out  through electronic media, without coming face to face increases  competitive power of small and middle sized enterprises (SMEs) with its  fast, economic structure enabling access to world market through internet.  Due to opportunities provided and properties it has, e-foreign trade has  become new way of commerce of the era and this way contributes to  exportation of countries which is the most important source of income of  countries. In this study we will present the results of a research conducted  to analyze the e-foreign trade process of exporters and importers have  experienced in Turkey. In addition current problems of the e-foreign trade  companies in Turkey will be discussed and we offer some solutions to the  problems in the light of the obtained findings. Finally we will suggest some  new opportunities of e-commerce to improve the export of SMEs. As the  research method the interview technique was chosen and we interviewed  30 actively e-foreign trader firms in the Turkish food sector from different  cities.  Keywords: E-Foreign Trade, E-Commerce, E-Trade, Foreign Trade, SMEs.</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Telemarketing as a Global Market Tool
Adnan Karajbid
International Burch University, Sarajevo, Bosnia and Herzegovina
karajba@hotmail.com
Teoman Duman
International Burch University, Sarajevo, Bosnia and Herzegovina
tduman@ibu.edu.ba
Globalization as unstoppable trend, changes all aspects of life as we know
it. In traditional way of business relations, product was brought in a new
market by a sales representative personally and if the seller would
recognize possible success, business unit would be established in form of
subsidiary, franchise or any other type of business model. If the market
was on a different geographical area, far from headquarters, new business
unit would have to have a full capacity establishment often including
middle management; this actually represents a situation where extra cost
cannot be avoided. Today though, call agent from Sarajevo can sell a
product to buyer in Adelaide in a situation where none of them saw actual
product but all information needed were obtained through websites and
phone lines. The only person that actually saw an item of sale is a
distributor in Melbourne that will get information from Sarajevo that
specific package needs to be delivered to an address in Adelaide. This form
of sales is a new trend that international companies are more than
welcoming, it lets them keep their businesses running and sales high with
significantly lower labor costs. It is already a common practice that
customer support and sales centers of American and Australian companies
are based in South Asia, the only difference that customer will notice is
agents accent but other than that they are giving them all needed
information as if they were in their local communities and they are very
familiar with issues that customer might be having with a company`s
product. So far I have mentioned sales and support being realized over the
phone, but it is just an aspect of what tele-business actually is. The one
that is mostly used is for user telephone advertising and sales in
combination. Product awareness is a stage that every product has to go
through and companies have been trying to make it as shorter as possible
and as cheaper as possible, but now it seems they finally got so long
needed solution. With extremely cheap phone costs and staff that can
locate a customer in any part of the World from one single office,

8

�International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

telephone advertisements are absolute hit of today`s business. Not all
companies are global; there is an example of German insurance company,
selling its policies to German customers but from offices placed all across
Western Balkans. Lower labor costs are significant but not the only reason
for dislocated business operations, management control of all business
aspects is genuinely simpler and more effective. Not all aspects of
telephone marketing and sales are positive, as I have already stated,
agents are often not familiar with type of product or service they are
selling, but this is something that can be resolved with a good training.
Hence, there is another issue that cannot be so resolved in such a simple
way, different legal standards that agents have to be aware of. This will
represent important aspect of this thesis; here I will just give an example
where in Canada and most States in the USA there are laws that enable
person to start a legal process against the certain company for unwanted
calls. Telemarketing is still in a growth phase but it is a trend that helps and
encourages global market development.
Keywords: Telemarketing, Global Market Tool, Western Balkans, Sarajevo..

9

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DUMAN, Teoman</text>
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                <text>Globalization as unstoppable trend, changes all aspects of life as we know  it. In traditional way of business relations, product was brought in a new  market by a sales representative personally and if the seller would  recognize possible success, business unit would be established in form of  subsidiary, franchise or any other type of business model. If the market  was on a different geographical area, far from headquarters, new business  unit would have to have a full capacity establishment often including  middle management; this actually represents a situation where extra cost  cannot be avoided. Today though, call agent from Sarajevo can sell a  product to buyer in Adelaide in a situation where none of them saw actual  product but all information needed were obtained through websites and  phone lines. The only person that actually saw an item of sale is a  distributor in Melbourne that will get information from Sarajevo that  specific package needs to be delivered to an address in Adelaide. This form  of sales is a new trend that international companies are more than  welcoming, it lets them keep their businesses running and sales high with  significantly lower labor costs. It is already a common practice that  customer support and sales centers of American and Australian companies  are based in South Asia, the only difference that customer will notice is  agents accent but other than that they are giving them all needed  information as if they were in their local communities and they are very  familiar with issues that customer might be having with a company`s  product. So far I have mentioned sales and support being realized over the  phone, but it is just an aspect of what tele-business actually is. The one  that is mostly used is for user telephone advertising and sales in  combination. Product awareness is a stage that every product has to go  through and companies have been trying to make it as shorter as possible  and as cheaper as possible, but now it seems they finally got so long  needed solution. With extremely cheap phone costs and staff that can  locate a customer in any part of the World from one single office,telephone advertisements are absolute hit of today`s business. Not all  companies are global; there is an example of German insurance company,  selling its policies to German customers but from offices placed all across  Western Balkans. Lower labor costs are significant but not the only reason  for dislocated business operations, management control of all business  aspects is genuinely simpler and more effective. Not all aspects of  telephone marketing and sales are positive, as I have already stated,  agents are often not familiar with type of product or service they are  selling, but this is something that can be resolved with a good training.  Hence, there is another issue that cannot be so resolved in such a simple  way, different legal standards that agents have to be aware of. This will  represent important aspect of this thesis; here I will just give an example  where in Canada and most States in the USA there are laws that enable  person to start a legal process against the certain company for unwanted  calls. Telemarketing is still in a growth phase but it is a trend that helps and  encourages global market development.  Keywords: Telemarketing, Global Market Tool, Western Balkans, Sarajevo..</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Usability of the Concept of Local Democracy in Achieving
Democratic Process at Local Level
Fatih Kırışık
Dumlupınar University, Kütahya, Turkey
fatihkirisik@gmail.com

Democracy is advocated by the majority of societies and countries today.
The dictators of the past were an important factor in adoption of
democracy. Such administration types in which certain individuals, groups
or classes make the decisions and seize the power in their hands shifted to
dictatorship. Democracy has been adopted instead of these administration
types. In democratic administration, certain rules and principles are
actualised some of which are achieving public participation into
administration activities, assuring fundamental rights and freedoms for
everyone, adoption of principles of the state of law by the state, not
destroying the rights of the minority for the sake of the majority and vice
versa. Achieving the public participation that is required in democracy is
discussed at local level.
There is a close relation between local administrations and democracy.
However, there are controversies in defining this close relation
conceptually which centre around such concepts as democratisation of
local administrations, democratic local administration and local
democracy. In the literature, whether these concepts can be used
interchangeably has been discussed and it has been decided that one can
be used for another. However, preference of one gives the understanding
of democracy a different dimension at local level. Therefore, a conceptual
preference is a factor in achieving democracy at a local level.
Local democracy can be understood as validation of democratic values in
local administrations. In this sense, concepts of local democracy,
democratic local administration and democratisation of local
administrators are considered to be very close, but at the same time, they
also appear to have different meanings. In order to determine which of
these concepts will be used, these concepts should be defined clearly first.
After that, the main elements of these concepts should be put forward
analytically. Afterwards, the differences between these concepts should be
revealed. Subsequently, different approaches to the problem of applying
local democracy at local level should be put across. Also, what kind of a

113

�International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

local administration does applying each concept at local level stipulate?
What role do these concepts play in achieving democratic participation at
local level? Answers to such questions will not only enable sorting out the
problem of conceptual expression but also give an idea about which
concept is more appropriate to use.
Keywords: Local Administration, Democracy,
Democratisation
of
Local
Administrations,
Administration.

114

Local Democracy,
Democratic
Local

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                    <text>International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Usability of the Concept of Local Democracy in Achieving Democratic
Process at Local Level
Fatih Kırışık
Dumlupinar University, Kutahya, Turkey
fatihkirisik@gmail.com
Abstract
Democracy is advocated by the majority of societies and countries today. The
dictators of the past were an important factor in adoption of democracy. Such
administration types in which certain individuals, groups or classes make the
decisions and seize the power in their hands shifted to dictatorship. Democracy has
been adopted instead of these administration types. In democratic administration,
certain rules and principles are actualised some of which are achieving public
participation into administration activities, assuring fundamental rights and
freedoms for everyone, adoption of principles of the state of law by the state, not
destroying the rights of the minority for the sake of the majority and vice versa.
Achieving the public participation that is required in democracy is discussed at
local level.
There is a close relation between local administrations and democracy. However,
there are controversies in defining this close relation conceptually which centre
around such concepts as democratisation of local administrations, democratic local
administration and local democracy. In the literature, whether these concepts can be
used interchangeably has been discussed and it has been decided that one can be
used for another. However, preference of one gives the understanding of democracy
a different dimension at local level. Therefore, a conceptual preference is a factor in
achieving democracy at a local level.
Local democracy can be understood as validation of democratic values in local
administrations. In this sense, concepts of local democracy, democratic local
administration and democratisation of local administrators are considered to be very
close, but at the same time, they also appear to have different meanings. In order to
determine which of these concepts will be used, these concepts should be defined
clearly first. After that, the main elements of these concepts should be put forward
analytically. Afterwards, the differences between these concepts should be revealed.
Subsequently, different approaches to the problem of applying local democracy at
local level should be put across. Also, what kind of a local administration does
applying each concept at local level stipulate? What role do these concepts play in
achieving democratic participation at local level? Answers to such questions will
not only enable sorting out the problem of conceptual expression but also give an
idea about which concept is more appropriate to use.
Keywords: Local Administration, Democracy, Local democracy, Democratisation
of local administrations, Democratic local administration.

Introduction
Oppressive and centralist administration models have lost their functions today, having
been replaced by an administration model based on strong local administration and

1

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

democracy. A perception consensus has occurred about strengthening local administration
and democracy on national and global level. Therefore, the relation between democracy
and local administration, its foundation stone, has gained importance each day(Yıldırım,
1993).
Principle of separation of powers is sought in limiting the government, in which judicial
body limits executive body. A state of law is achieved through preventing the intervention
of the state to basic rights and freedoms and separating judicial body, which is in charge of
saying what law is, from executive body. However, adoption of principle of separation of
powers hasn’t been found to be adequate in limiting executive power completely and
forming a democratic life. In order for democracy to take root and to diffuse in the society,
administration, rather than being concentrated in one person, is considered to have to
involve multiple people in administrative activities, in which people can influence the
administrative decisions and join in decision making processes. Local administrations,
therefore, have appeared as the most crucial democracy tool in achieving people’s
participation in administration and spreading democracy amongst people.
The role local administrations have taken on in achieving democracy and spreading it
amongst people has increased their importance in terms of democracy. The indispensable
role local administrations have taken on in achieving the functionality of democracy has
caused local administrations to be called local democracy. Particularly those local
administrations in countries with strong local administrations and local autonomy where
democratic culture has taken root have been named local democracy thanks to their strong
democratic structure and culture(Görmez, 1997).
The Relation between Local Administration and Democracy
Today, in almost all the countries, local administrations are regarded among the prominent
democratic institutions. This is because local administrations enable the public to rule
themselves and to participate in administration. The people determine the head of local
administration organs through elections. However, this is not enough for these institutions
to be called democratic local administrations because, in order to democratise local
administrations, the people have to be made sure to participate in administration (Keleş,
1992).
There are three different opinions that explain the relation between local administrations
and democracy(Hill, 1974). One of them, Toulmain Smith, Moulin, e.g., argues that local
administration, conflicting with democracy, is a sacred institution that has its power only
from traditions. The second is Langrod’s opinion. Langrod states that there isn’t a cause
and effect relation between democracy and local administration and that when and where
one does not exist, the other can(Langrod, 1953). The third opinion advocates the fact that
there is an imperative relation between democracy and local administration. For instance,
according to John Stuart Mill, tax liabilities should by all means have a say in
administration; they should always be consulted in administration and these people should
be informed about the proceedings(Keleş, 1992). Like Mill, Tocqueville also regards local
administrations as the main units of democracy and political education tools. Tocqueville
states that local administration institutions form the actual power of free nations and that
local councils have a crucial contribution to freedom(Yıldırım, 1993).

2

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Usability of the Concept of Local Democracy
For decades, democracy crisis, mostly known as liberal democracy crisis or representative
democracy crisis, has caused a new democracy pursuit during which local democracy
concept has been put forward as a model suggestion(Üskül, 1993).
There are other scientific opinions that look into local administration concept from a
different perspective one of which mentions about a pursuit of a new democracy definition.
It is believed that today’s classic liberal democracy perception is insufficient in solving
social problems and the suggestion of electronic democracy as a solution to sort out this
insufficiency cannot solve these problems. In this context, it is stated that democracy is
being redefined and the main action point of this redefinition effort has to be reversal of
political and administrative decision making mechanisms on top-base plane. Accordingly,
the core of a new democracy perception is thought to be the fact that sovereignty should
not be based on nation but on the people and that the one higher authority should take
action when the people do not decide at local level(Üskül, 1993).
In another study on the concept of local administration, a different emphasis stands out.
Accordingly, local democracy exists before the state appears as a sovereign order which is
a self-governance form per se and takes its shape through the needs of the society and
contributions. Local power is meant by local democracy; however, in the concept of
democratic local administration, democracy of local administration system is emphasized.
In the concept of local democracy, democratic culture- defined as local democratic valuesare emphasized whereas, in democratic local administration concept, democracy of
administration processes and administration function is emphasized(Pustu, 2005).
In the literature, the use of local democracy concept is controversial because in the
literature, there are opinions that the concept of local democracy is wrong and that the
concept of democratic local administration can be used instead(Görmez, 1997). Hill states
that it sounds artificial when democracy is separated as national and local(Hill, 1974) and
uses the concept of democratic local administration instead of local democracy. Using the
concept of democratic local administration instead of local democracy arises from the idea
that local administrations cannot be named as local democracy. However, in local
autonomy, local people are supposed to govern themselves within the borders laid by a
central authority, in which case local power isn’t meant by the concept of local democracy.
Local democracy means that democratic values are valid in local administrations(Görmez,
1997).
The idea that local administrations can be used as a suitable tool to develop the quality of
representative democracy(Ertan, 2004) also refers to the relation between local
administration and representative democracy. The importance of the function of local
administrations in the development of democracy is addressed here. While evaluating the
quality of the relation between local administration and democracy, we see that the
difference between local administration and democracy isn’t put forward and that a
conceptual definition as local democracy isn’t made.
Local democracy is nothing more than validating democratic values in local
administrations(Görmez, 1997). When defined as such, the concepts of local democracy,
democratic local administration and democratisation of local administrations appear to
have very close meanings to one another but in fact have different meanings.
Democratisation of local administrations denotes the process of making democratic

3

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

principles dominant in local administrations. This process will end by applying all the
democratic principles in local administrations. By ending the process of democratisation of
local administrations, that is applying all the democratic principles in local administrations,
democratic local government will be achieved. Local democracy, on the other hand, will
appear when democratic principles are applied at local level. The institutions that will
make sure that democratic principles are applied at local level are local administrations.
If a distinction between democracy and local democracy is to be made, it can be said that
local democracy will appear by applying the principles of democracy, which are adopted
and applied at national level, at local level. In this perspective, democracy and local
democracy match up with each other and belong to the same root, but settling of
democratic institutions and rules at local level and at national level will show different
characteristics. Therefore, it can be argued that these two concepts rely on the same
principles but these principles appear in different appearances in local and national areas.
Another idea in defining local democracy emphasizes that local democracy occurs when
democracy principles are applied local level(Çelik et al., 2008). In this definition, it is
stated that there is no differentiation between local democracy and democracy and local
democracy doesn’t have a different conceptual dimension from democracy.
The concept of local democracy is used as much for the local administrations of certain
federal states as those of the unitary states. In this context, it is seen that the concept of
local democracy is used for the local administrations in such federal states as the USA,
Germany and Sweden and for those in such states with strong local administration tradition
as England and Holland(Görmez, 1997). This shows that the concept of local democracy
doesn’t have any relation with federal-unitary state structure.
The basic principles of local democracy can be exemplified as formation of decision
bodies through elections, decision making processes and public participation, sharing of
responsibility and income between central and local administrations and the relation
between local and central administrations(Görmez, 1997).
Conclusion
Although there are cases determined as the crisis of representative democracy, no local
democracy model involving a political and administrative structure that can solve this
crisis of representative democracy has been put forward. In this context, it is seen that the
concept of local democracy neither has a meaning itself and different from democracy nor
provides a new democracy model.
There is a close relation between local administrations and democracy that has led to such
debates as democratisation of local administrations, democratic local administration and
local democracy. In the literature, whether these concepts can be used interchangeably has
been discussed and become a matter of preference. In my opinion, democratisation of local
administrations takes us to a process in this context, while democratic local administration
takes us to the result in this process and achieving democracy principles at local level and
in local administration perspective, on the other hand, takes us to local democracy. In this
perspective, these three concepts can be regarded as various expressions of achieving
democracy at local level.

4

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

References
Çelik, V., Çelik, F., Usta, S., (2004). “Yerel Demokrasi ve Yerel Özerklik İlişkisi”, Niğde
Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, Cilt: 1, Sayı: 2, Aralık
2008.
Ertan, B. (2004). “Demokrasi ve Yerel Yönetimler” Review of Social, Economic &amp;
Business Studies, Vol.2.
Görmez, K. (1997). Yerel Demokrasi ve Türkiye, Vadi Yay., 2.b.
Hill, D. M. (1974). Democratic Theory and Local Government, London.
Keleş, R. (1992). Yerinden Yönetim ve Siyaset, Cem Yayınevi, İstanbul.
Langrod¸ G. (1953). “Local Government&amp;Democracy”, Public Administration, Vol.31,
Spring.
Pustu, Y. (2005). “Yerel Yönetimler ve Demokrasi”, Sayıştay Dergisi, S.57, NisanHaziran.
Üskül, Z. (1993). “Yeni Bir Demokrasi Arayışı: Yerel Demokrasi”, Anayasa Yargısı
Dergisi, C.10.
Yıldırım, S. (1993). Yerel Yönetim ve Demokrasi: Kavramlar, Yaklaşımlar, TC
Başbakanlık Toplu Konut İdaresi Başkanlığı ve IULA-EMME, İstanbul.

5

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                <text>Democracy is advocated by the majority of societies and countries today.  The dictators of the past were an important factor in adoption of  democracy. Such administration types in which certain individuals, groups  or classes make the decisions and seize the power in their hands shifted to  dictatorship. Democracy has been adopted instead of these administration  types. In democratic administration, certain rules and principles are  actualised some of which are achieving public participation into  administration activities, assuring fundamental rights and freedoms for  everyone, adoption of principles of the state of law by the state, not  destroying the rights of the minority for the sake of the majority and vice  versa. Achieving the public participation that is required in democracy is  discussed at local level.  There is a close relation between local administrations and democracy.  However, there are controversies in defining this close relation  conceptually which centre around such concepts as democratisation of  local administrations, democratic local administration and local  democracy. In the literature, whether these concepts can be used  interchangeably has been discussed and it has been decided that one can  be used for another. However, preference of one gives the understanding  of democracy a different dimension at local level. Therefore, a conceptual  preference is a factor in achieving democracy at a local level.  Local democracy can be understood as validation of democratic values in  local administrations. In this sense, concepts of local democracy,  democratic local administration and democratisation of local  administrators are considered to be very close, but at the same time, they  also appear to have different meanings. In order to determine which of  these concepts will be used, these concepts should be defined clearly first.  After that, the main elements of these concepts should be put forward  analytically. Afterwards, the differences between these concepts should be  revealed. Subsequently, different approaches to the problem of applying  local democracy at local level should be put across. Also, what kind of a local administration does applying each concept at local level stipulate?  What role do these concepts play in achieving democratic participation at  local level? Answers to such questions will not only enable sorting out the  problem of conceptual expression but also give an idea about which  concept is more appropriate to use.  Keywords: Local Administration, Democracy, Local Democracy,  Democratisation of Local Administrations, Democratic Local  Administration.</text>
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                    <text>International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

Correlation Effects of Family and School in Combating Resources and Drugs
Fatima Karišik
International University in Novi Pazar, Novi Pazar, Serbia
fatimakarisik@yahoo.com

Abstract
Alarming data about the number of young people who abuse drugs and drug clearly
indicate the topicality of studying this subject. There is more meaning to this topic
and also is socially important because the youth is the pillar of any society. Social
significance is reflected in the fact that society has an important role in reducing
substance abuse and drugs.
Studying and developing cooperation with families and schools to fight substance
abuse and drug use is very important for pedagogy as a science of education,
especially for the families and school counselors. The situation as it is now in our
society unambiguous and clearly shows that have already matured enough to form
its own sub discipline pedagogical way to deal with the phenomenon of combating
substance abuse and drugs.
To achieve success in solving the problem of family and school cooperation has to
be at a high level, it must be continuous with continuous exchange of views and
ideas on solving it. Educational influences of family and school are a very powerful
tool when it comes to the formation of a healthy personality and quality, which will
be capable of resisting the most difficult types of voices.
Until recently even in pedagogical circles, they supported the view that it is best not
to talk about drugs in the school, because it was thought that people would be
awakened and deepened curiosity. It is important to emphasize that this is a very
wrong attitude; on the contrary we believe that children need to talk openly about it,
both with their families and at school.
Because the family and school environment conducive to the creation of a free
individual, the freeing of his creative potential and self-confidence, we believe that
an institution of vital importance to the individual and are essential for solving an
instance of such a complex problem.
Keywords: Family, School, Education, Drugs and Drug Community.

Introduction
Mankind knows that there are drugs from prehistory to the present. The first record of
contact by man and drugs comes from the late Pal Eolithic era. There is no way to
determine exactly when the people used intoxicants and drugs, but it's safe to say that it
was quite a long time ago. Those who are familiar with the issue believe that resources
should be sought first and foremost in psychic immaturity of personality, in people's
serious mental condition, and find a way out of the crisis.

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�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

According to the World Health Organization's dependence on drugs (psychoactive
substances) especially the mental condition, and often the physical condition that occurs,
this means that the action is addictive to the body and the body reacts to it.
Dependence is characterized by the experience of coercion to occasionally or regularly
take the medication that is addictive or not, and that you either get the experience on the
desired effect or to avoid the inconvenience of taking the resources.
Some children in the opinion of many experts still have characteristics of small behaviors
that are almost a sure sign that will become addicted to some sort of drug. Such children do
not behave from their toddler years and on, they are very sensitive in the foreground
emphasize themselves. It is very easy to disappoint people, and finding meaning in life.
Those who study these issues generally believe that parents should bear the greatest
responsibility. All professionals and the public warn parents to constantly monitor the child
the must check who they hang out with, and monitor how they behave. However, the truth
is that a large quantity of narcotics and drugs found in school yards and satchel directly in
the process of solving problems with their personal lives and school issues as well. Schools
can play a significant role in reducing the risk of substance abuse and drug used among
students.
In particular, it is of great importance in areas of cooperation of family and school when it
comes to solving this complex problem. Family Enables adoption of values and the
formation of a world view, On the other hand, the schools provide education for children's
educational contents and encourage them to self-study.
The school greatly influences the formation of attitudes of young people, so together with
our families we can make a complete system that can help young people to overcome the
addiction.
In order to resolve the problem with addiction the problem and to achieve success it is
necessary to educate parents, teachers and students.
In the process of educating and providing information on the problem of addiction and its
prevention in addition educational institutions can participate in media, society, nongovernmental organizations ...The media should be more open to the problem of addiction,
it needs to be more talk about the primary prevention and education on preventing youth,
parents and teachers. The media approach with this problem should be systematic and must
start with more sides to the problem, as sources multidimensional.
Important role in the education of parents, students and teachers can have an impact on the
community. Society cannot just restrictive its attitude towards substance abuse and drug
legislation to combat this phenomenon. It is clear that they must undertake some activities
that will interest young people and involve them directly in combat substance abuse and
drug use. Developing prevention programs are opening roads conversation, understanding
and acceptance of young people.
According to the OUN Prevention there are more forms and activities:


Through education - awareness, awareness affect changes on production, trade and
drug abuse, the mental attitude and behavior

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�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo



Radical changes in attitudes towards drugs and the creation of new ones



Adequate drug treatment and social reintegration

Successful implementation of prevention of addiction involves the knowledge of parents
and teachers about the hazards of smoking tobacco, drinking alcohol, and the first signs of
substance abuse and drug use. Parents and teachers need to know and implement
prevention programs to give the children the basic information about substance abuse and
addiction and the consequences of their use.
It is the duty of the parents and teachers to talk openly about substance abuse with
children. Tell the truth to young people means to convince them to short-term pleasure,
relaxation and forget problems that they allow intoxicants are not worth the agony of
acting and ruins their lives.
Schools and families must face the problem, if it should come. If signs lead to the
realization that a child uses the drug, it's time to take appropriate action. Directly facing the
fact that the child uses intoxicants and drugs increases the chances of success and recovery.
We should not waste time, hiding behind the problem we should act quickly and have an
efficient operation of educational influences through family and schools they are the safe
path to solving the problem.
The child should be able to speak freely and openly to express doubts about his behavior in
school and at home. Teachers and family members must first jointly consider all the ways
that might be helpful.
We believe that the cooperation between families and schools play an important role in
regaining control over risk substance abuse and drugs. Students who are most at risk are
those who are pushed into the background. However, schools with the support of parents
and their actions can provide a secure environment, can promote a sense of belonging and
create opportunities for success in school, and at home.
Well-trained teachers and parents can help in informing the professional level, of
presentations the problem. It can encourage the willingness to talk at any time; can
empower parents to show maximum skill in solving the addiction problem, because in such
situations, parents need the most composure and absolute correctness of each of the
following actions or gestures.
We believe that modern society should strive to achieve the modern concept of education.
Therefore this process must involve the inclusion of families in the school. In solving the
problem of addiction quality family-school communication can be extremely helpful.
It is commendable that parents and teachers make the compensation plan as it is rewarding
and powerful tool, it increases motivation, and if foreign, but later when the child is
capable of understanding the significance of learning to upgrade their future, it will be very
awaken internal motivation.
On the basis of the stated above, we conclude that it is best for the youth to be well
educated and to have the correct information. Of course, that may have an important role
of families and schools, as well as the two most important links in the growing and

3

�International Conference on Economic and Social Studies (ICESoS’13), 10-11 May, 2013, Sarajevo

maturing each individual. Talk openly about drugs does not mean to advocate drugs.
The priority of our schools and families should be teaching young people a healthy
lifestyle, reducing the interest of young people for substance abuse and drug abuse, and
should be carried out as often as I pursue a variety of tasks through which young people
develop mutual and good communication with teachers, parents and friends.

References

Babsssovic, M. (1987). Legal aspects of drug abuse prevention and nikotizma Titograd
City.
Backovic, A. (2003). Drug addiction. Belgrade: IP "Zarko Albulj".
Bojanin, S. (2002). The role of schools in the primary prevention of youth delinquency and
dependency, ECPD, internationally graduate school primary prevention of
substance abuse, Proc.
Bukelić, J. (2002). Drugs in the school bench. Belgrade. IP "Velarta."
Kacapor, S., Vilotijevic, M. (2005). Family and school pedagogy, Belgrade: Teachers
College.
Korac, H. (2003). The role of families in preventing abuse. Novi Pazar: El Kelimeh.
Mandic, P. (1975). Cooperation between home and school, Sarajevo light.
Krulj, R., Kacapor, S., Kulić, R. (2002). Pedagogy. Belgrade: World Book.
Potkonjak, N. (1980). Cooperation between families and schools. Sarajevo IGKRO,
"Light."
Vojic, J. (2003). Training of Trainers as a form of primary prevention, ECPD,
internationally graduate school primary prevention of substance abuse,
Proceedings, Belgrade.

4

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                <text>Alarming data about the number of young people who abuse drugs and drug clearly indicate the topicality of studying this subject. There is more meaning to this topic and also is socially important because the youth is the pillar of any society. Social significance is reflected in the fact that society has an important role in reducing substance abuse and drugs.     Studying and developing cooperation with families and schools to fight substance abuse and drug use is very important for pedagogy as a science of education, especially for the families and school counselors. The situation as it is now in our society unambiguous and clearly shows that have already matured enough to form its own sub discipline pedagogical way to deal with the phenomenon of combating substance abuse and drugs.    To achieve success in solving the problem of family and school cooperation has to be at a high level, it must be continuous with continuous exchange of views and ideas on solving it. Educational influences of family and school are a very powerful tool when it comes to the formation of a healthy personality and quality, which will be capable of resisting the most difficult types of voices.    Until recently even in pedagogical circles, they supported the view that it is best not to talk about drugs in the school, because it was thought that people would be awakened and deepened curiosity. It is important to emphasize that this is a very wrong attitude; on the contrary we believe that children need to talk openly about it, both with their families and at school.    Because the family and school environment conducive to the creation of a free individual, the freeing of his creative potential and self-confidence, we believe that an institution of vital importance to the individual and are essential for solving an instance of such a complex problem.    Keywords: Family, School, Education, Drugs and Drug Community.  </text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Relationship between Families’ and Schools in Battling
Narcotics and Drugs
Fatima Karišik
International University in Novi Pazar, Novi Pazar, Serbia
fatimakarisik@yahoo.com
Alarming data about the number of young people who abuse drugs and
drug clearly indicate the topicality of studying this subject. There is more
meaning to this topic and also is socially important because the youth is
the pillar of any society. Social significance is reflected in the fact that
society has an important role in reducing substance abuse and drugs.
Studying and developing cooperation with families and schools to fight
substance abuse and drug use is very important for pedagogy as a science
of education, especially for the families and school counselors. The
situation as it is now in our society unambiguous and clearly shows that
have already matured enough to form its own sub discipline pedagogical
way to deal with the phenomenon of combating substance abuse and
drugs.
To achieve success in solving the problem of family and school cooperation
has to be at a high level, it must be continuous with continuous exchange
of views and ideas on solving it. Educational influences of family and school
are a very powerful tool when it comes to the formation of a healthy
personality and quality, which will be capable of resisting the most difficult
types of voices.
Until recently even in pedagogical circles, they supported the view that it is
best not to talk about drugs in the school, because it was thought that
people would be awakened and deepened curiosity. It is important to
emphasize that this is a very wrong attitude; on the contrary we believe
that children need to talk openly about it, both with their families and at
school.
Because the family and school environment conducive to the creation of a
free individual, the freeing of his creative potential and self-confidence, we
believe that an institution of vital importance to the individual and are
essential for solving an instance of such a complex problem.
Keywords: Family, School, Education, Drugs and Drug Community.

116

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                <text>Alarming data about the number of young people who abuse drugs and  drug clearly indicate the topicality of studying this subject. There is more  meaning to this topic and also is socially important because the youth is  the pillar of any society. Social significance is reflected in the fact that  society has an important role in reducing substance abuse and drugs.  Studying and developing cooperation with families and schools to fight  substance abuse and drug use is very important for pedagogy as a science  of education, especially for the families and school counselors. The  situation as it is now in our society unambiguous and clearly shows that  have already matured enough to form its own sub discipline pedagogical  way to deal with the phenomenon of combating substance abuse and  drugs.  To achieve success in solving the problem of family and school cooperation  has to be at a high level, it must be continuous with continuous exchange  of views and ideas on solving it. Educational influences of family and school  are a very powerful tool when it comes to the formation of a healthy  personality and quality, which will be capable of resisting the most difficult  types of voices.  Until recently even in pedagogical circles, they supported the view that it is  best not to talk about drugs in the school, because it was thought that  people would be awakened and deepened curiosity. It is important to  emphasize that this is a very wrong attitude; on the contrary we believe  that children need to talk openly about it, both with their families and at  school.  Because the family and school environment conducive to the creation of a  free individual, the freeing of his creative potential and self-confidence, we  believe that an institution of vital importance to the individual and are  essential for solving an instance of such a complex problem.  Keywords: Family, School, Education, Drugs and Drug Community.</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

The Importance of Sustainable Living for the Well-Being
of the Older Adults: U.S. Case
Fevzi Kaya
Dumlupınar University, Kütahya, Turkey
kaya_fevzi@hotmail.com
Metin Özkan
Dumlupınar University, Kütahya, Turkey
camulog43@gmail.com
Sustainable living is the idea of preserving national resources and helping
to preserve ecological balance in the world. The main purpose of this
struggle is to create a more sustainable world. İn order to make a
significant contribution for the well-being of people around us, sustainable
living is a crucial point to consider. As you know, the U.S. population is
getting older, and it is estimated by 2030, approximately 70 million
individuals would be 65 or older in the U.S., so as the population of older
people increase, the need for the adults intensifies. İn order to increase
the quality life of older adults: what type of sustainable housing would be
conducive, what type of housing material should be used for the inside and
outside of the home, what type of sustainable clothing should be used, and
what type of an environment should be constructed are going to be the
main questions addressed in this research.
Keywords: Sustainable Living, Sustainable Housing, Housing Material,
Sustainable Clothing, Co-Housing and Shared Living.

121

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                <text>KAYA, Favzi
OZKAN, Metin</text>
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                <text>Sustainable living is the idea of preserving national resources and helping  to preserve ecological balance in the world. The main purpose of this  struggle is to create a more sustainable world. İn order to make a  significant contribution for the well-being of people around us, sustainable  living is a crucial point to consider. As you know, the U.S. population is  getting older, and it is estimated by 2030, approximately 70 million  individuals would be 65 or older in the U.S., so as the population of older  people increase, the need for the adults intensifies. İn order to increase  the quality life of older adults: what type of sustainable housing would be  conducive, what type of housing material should be used for the inside and  outside of the home, what type of sustainable clothing should be used, and  what type of an environment should be constructed are going to be the  main questions addressed in this research.  Keywords: Sustainable Living, Sustainable Housing, Housing Material,  Sustainable Clothing, Co-Housing and Shared Living.</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Strategic Motives and Foreign Direct Investment
Activities of Turkish Manufacturing Firms: An Empirical
Study
Harun Kaya
İstanbul University, İstanbul, Turkey
harun.kaya@İstanbul.edu.tr
dr.hrn.ky@gmail.com
This paper aims to determine and assess strategic motives of Turkish
manufacturing firms’ (TMFs) foreign direct investment (FDI) involvement
by the use of a broad set of factual and perceptual measures. Relying on
the past research we have developed a number of hypotheses relating to
firm characteristics and motives. Based on the analysis of 94 parent firm
managers’ responses to a survey, first, we find that market-related motives
(such as market potential, market access) appear to be the most important
motives. Second, the results show that the relative importance of TMFs’
strategic motives does not vary with parent firm age; but, to a limited
degree, they vary depending on subsidiary firm age. Third, strategic
motives, to some extent, differ based on the size of the sampled firms and
the size of their foreign subsidiaries. Fourth, motives of TMFs do not vary
based on their sub-sector and entry mode. Finally, the results suggest that
favorable business environment seeking and strategic asset seeking
motives are significantly associated with investment in developed
countries (DCs); and, cultural asset exploiting and efficiency seeking
motives are significantly associated with investment in less developed
countries (LDCs).
Keywords: Foreign Direct Investment (FDI), Strategic FDI Motives,
Emerging Market-Based FDI Firms, Turkish Manufacturing Firms, Entry
Modes, Host Country Selection.

150

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                <text>Strategic Motives and Foreign Direct Investment  Activities of Turkish Manufacturing Firms: An Empirical  Study</text>
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              <elementText elementTextId="13326">
                <text>This paper aims to determine and assess strategic motives of Turkish  manufacturing firms’ (TMFs) foreign direct investment (FDI) involvement  by the use of a broad set of factual and perceptual measures. Relying on  the past research we have developed a number of hypotheses relating to  firm characteristics and motives. Based on the analysis of 94 parent firm  managers’ responses to a survey, first, we find that market-related motives  (such as market potential, market access) appear to be the most important  motives. Second, the results show that the relative importance of TMFs’  strategic motives does not vary with parent firm age; but, to a limited  degree, they vary depending on subsidiary firm age. Third, strategic  motives, to some extent, differ based on the size of the sampled firms and  the size of their foreign subsidiaries. Fourth, motives of TMFs do not vary  based on their sub-sector and entry mode. Finally, the results suggest that  favorable business environment seeking and strategic asset seeking  motives are significantly associated with investment in developed  countries (DCs); and, cultural asset exploiting and efficiency seeking  motives are significantly associated with investment in less developed  countries (LDCs).  Keywords: Foreign Direct Investment (FDI), Strategic FDI Motives,  Emerging Market-Based FDI Firms, Turkish Manufacturing Firms, Entry  Modes, Host Country Selection.</text>
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PeerReviewed</text>
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                    <text>International Conference on Economic and Social Studies, 10-11 May, 2013, Sarajevo

Control and Conflict in Managing Foreign Equity
Ventures: The Case of Turkish FDI Firms
Harun Kaya
İstanbul University, İstanbul, Turkey
harun.kaya@İstanbul.edu.tr
dr.hrn.ky@gmail.com
Control and conflict within emerging market-based multinational
enterprises (MNEs) and their subsidiaries are scarcely researched topic in
the field of international business. This study attempts to fill this gap by
providing empirical investigation of the nature and extent of management
control and conflict experienced by Turkish firms and their foreign
affiliates. We intend to identify differences in the relative extent of control
and conflict over decision making within wholly owned subsidiaries and
joint ventures. We review the extant literature on control and conflict
between MNEs and their subsidiaries. Then, we formulate and test
hypotheses on the relationship between the relative extent of parent
company control and conflict over 13 critical decision making areas and the
subsidiary and parent characteristics such as age, size, industry sectors and
host country type. Finally, we provide summary, conclusions and future
research directions of the study.
Keywords: Control, Conflict, MNEs, Turkish FDI Firms.
JEL Classificiation: M19-Other

149

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          <element elementId="94">
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            <elementTextContainer>
              <elementText elementTextId="13335">
                <text>Control and conflict within emerging market-based multinational  enterprises (MNEs) and their subsidiaries are scarcely researched topic in  the field of international business. This study attempts to fill this gap by  providing empirical investigation of the nature and extent of management  control and conflict experienced by Turkish firms and their foreign  affiliates. We intend to identify differences in the relative extent of control  and conflict over decision making within wholly owned subsidiaries and  joint ventures. We review the extant literature on control and conflict  between MNEs and their subsidiaries. Then, we formulate and test  hypotheses on the relationship between the relative extent of parent  company control and conflict over 13 critical decision making areas and the  subsidiary and parent characteristics such as age, size, industry sectors and  host country type. Finally, we provide summary, conclusions and future  research directions of the study.  Keywords: Control, Conflict, MNEs, Turkish FDI Firms.  JEL Classificiation: M19-Other</text>
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