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                    <text>Barriers of Entry to Foreign Markets for Firms in Bosnia and Herzegovina
Adela Mujčinović
International Burch University
Bosnia And Herzegovina
adela_0101_m@hotmail.com
Teoman Duman
International Burch University
Bosnia And Herzegovina
teoman.duman@ibu.edu.ba

Abstract: Today exports are one of the most important factors for the development of global
and national economies. The main objective of the study is to identify difficulties experienced
by Bosnian companies when they enter into different global markets. Exports to foreign
countries involve numerous problems and present a high risk strategy. The company on which
I will be based in this study is "Alfe-Mi" company that specializes in selling products on the
domestic and foreign markets. Formulating a market entry strategy means that management
must decide which option or options to use in pursuing opportunities outside of the home
country. Export is one of the fastest ways of entering foreign markets. The field of export
marketing covers all those marketing activities involved when a firm markets its products
outside its main base of operation and when products are physically shipped from one market
of country or another. Difficulties faced by companies when entering the foreign market are:
religion,language,taxes,bureaucracy,political instability etc. The major challenges of export
marketing are the selection of appropriate markets or countries through marketing research,
the determination of appropriate product modification to meet the demand requirements of
export markets and the development of export channels through which the company can
market
its
products
abroad.
Primary data use in this study is direct interview with managers and employers in Alfe-Mi
Company. Secondary data use in this study is information and data were collected from books
and various websites to help me understand and analyze barriers when company exiting on
foreign markets. Other secondary data sources that were utilized are literature review from
the company brochure and textbooks. Results will show the main motive for „Alfe-Mi“to go
international is the level of demand for Alfe-Mi's products in foreign markets. When the
company entered the foreign market, it faces the barriers and finding a solution for the
difficulties. In order for the company to be able to adopt on the foreign market they have to
have unique product with flexible prices.
Keywords: Exporting, Foreign markets, Difficulties, International, Strategy.

194

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Teoman, DUMAN</text>
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                <text>Today exports are one of the most important factors for the development of global and national economies. The main objective of the study is to identify difficulties experienced by Bosnian companies when they enter into different global markets. Exports to foreign countries involve numerous problems and present a high risk strategy. The company on which I will be based in this study is "Alfe-Mi" company that specializes in selling products on the domestic and foreign markets. Formulating a market entry strategy means that management must decide which option or options to use in pursuing opportunities outside of the home country. Export is one of the fastest ways of entering foreign markets. The field of export marketing covers all those marketing activities involved when a firm markets its products outside its main base of operation and when products are physically shipped from one market of country or another. Difficulties faced by companies when entering the foreign market are: religion,language,taxes,bureaucracy,political instability etc. The major challenges of export marketing are the selection of appropriate markets or countries through marketing research, the determination of appropriate product modification to meet the demand requirements of export markets and the development of export channels through which the company can market its products abroad.  Primary data use in this study is direct interview with managers and employers in Alfe-Mi Company. Secondary data use in this study is information and data were collected from books and various websites to help me understand and analyze barriers when company exiting on foreign markets. Other secondary data sources that were utilized are literature review from the company brochure and textbooks. Results will show the main motive for „Alfe-Mi“to go international is the level of demand for Alfe-Mi's products in foreign markets. When the company entered the foreign market, it faces the barriers and finding a solution for the difficulties. In order for the company to be able to adopt on the foreign market they have to have unique product with flexible prices.    Keywords: Exporting, Foreign markets, Difficulties, International, Strategy.  </text>
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                    <text>Understanding Integrated Marketing Communication: Theory and
Application
Adnan Murad
International Burch University
Bosnia And Herzegovina
adnan.murad@live.com
Abstract: Integrated marketing communication (IMC) emerged as a concept in the late
twentieth century and its significance has been mounting ever since. Nowadays, companies
are necessitated by the intensity of competition to use integrated marketing communication
components in order to be effective. The primary purpose of this study is to understand the
modern dynamics of integrated marketing communication and craft a marketing
communication strategy for a small-sized beverage producing company Sokd.o.o. in Bosnia
and Herzegovina. The study focuses on defining what kind of communication activities the
company in the case requires in order to nurture its interaction with customers and increase
brand awareness. The application will be based on Schultz and Kitchen Model of integrated
marketing communication. The first part of research is primarily based on a qualitative study
of relevant marketing literature that delineates a comparison amid traditional and modern
marketing techniques. Subsequently, analyses of the company in case, product, segment and
marketing environment were carried out in order to augment the understanding of marketing
communication activities that could be used for Sokd.o.o. Customer feedback is also gathered
in order to illustrate the basic needs and requirements of consumers. The second part of the
research focuses on developing an integrated marketing communication plan based on
literature review, consumer feedback, interview with company personnel, and promotional
objectives. The findings of this study will help Sokd.o.o. to scrutinize current consumer needs,
potential consumer expectations, and present product position. This research will also
provide Sokd.o.o. with highly valuable tips and techniques to put into practice integrated
marketing communication campaign. On the whole, this research will open doors for future
research in the segment of integrated marketing communications in Bosnia and Herzegovina
with respect to small-sized firms.
Keywords:Integrated marketing communication, segment analysis, customer feedback,
consumer needs.

197

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                <text>Integrated marketing communication (IMC) emerged as a concept in the late twentieth century and its significance has been mounting ever since. Nowadays, companies are necessitated by the intensity of competition to use integrated marketing communication components in order to be effective. The primary purpose of this study is to understand the modern dynamics of integrated marketing communication and craft a marketing communication strategy for a small-sized beverage producing company Sokd.o.o. in Bosnia and Herzegovina. The study focuses on defining what kind of communication activities the company in the case requires in order to nurture its interaction with customers and increase brand awareness. The application will be based on Schultz and Kitchen Model of integrated marketing communication. The first part of research is primarily based on a qualitative study of relevant marketing literature that delineates a comparison amid traditional and modern marketing techniques. Subsequently, analyses of the company in case, product, segment and marketing environment were carried out in order to augment the understanding of marketing communication activities that could be used for Sokd.o.o. Customer feedback is also gathered in order to illustrate the basic needs and requirements of consumers. The second part of the research focuses on developing an integrated marketing communication plan based on literature review, consumer feedback, interview with company personnel, and promotional objectives. The findings of this study will help Sokd.o.o. to scrutinize current consumer needs, potential consumer expectations, and present product position. This research will also provide Sokd.o.o. with highly valuable tips and techniques to put into practice integrated marketing communication campaign. On the whole, this research will open doors for future research in the segment of integrated marketing communications in Bosnia and Herzegovina with respect to small-sized firms.  Keywords:Integrated marketing communication, segment analysis, customer feedback, consumer needs.  </text>
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                    <text>The Impact of Job Satisfaction in Academic Job Advertisements in Turkish
State Funded Universities, the Case of Ege University
AhmetSalihİkiz
MuğlaSıtkıKoçman University
Turkey
ahmet@mu.edu.tr
Abstract: Academic recruitment is one of the main element works of University Boards. This
policy matches the departmental academic staff needs. And also increases internationality
recognition of universities with qualified staff. The academic position calls plays a vital role
in this process. Advertisement process monitored and organized by University Rectors in
State Universities in Turkey. That enables candidates to apply proper positions in Faculties.
That in turn improves their job satisfaction in organization. Ege University is one of the
biggest and oldest Universities in Turkey located in Izmir. In this study we first explain the
academic staff advertisement process in Ege University than explain job satisfaction of
applicants according to the findings of our survey. We applied a questionnaire to randomly
chosen recently appointed assistant professors in short interviews in order to evaluate their
satisfaction after the recruitment as academician in Ege University. The main aim was to see
and observe how much they satisfied in post appointment process in their academic life. The
main findings ensured that significant number of the sample group has satisfied with
academic environment after the recruitment. In this study findings of those questionnaires are
clearly explained.
That gave us insights about academic staff advertisements and
appointments impact on job satisfaction after the recruitment.
Keywords: Academic staff advertisement, Ege University.

188

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                <text>Academic recruitment is one of the main element works of University Boards.  This policy matches the departmental academic staff needs. And also increases internationality recognition of universities with qualified staff. The academic position calls plays a vital role in this process. Advertisement process monitored and organized by University Rectors in State Universities in Turkey. That enables candidates to apply proper positions in Faculties. That in turn improves their job satisfaction in organization. Ege University is one of the biggest and oldest Universities in Turkey located in Izmir. In this study we first explain the academic staff advertisement process in Ege University than explain job satisfaction of applicants according to the findings of our survey. We applied a questionnaire to randomly chosen recently appointed assistant professors in short interviews in order to evaluate their satisfaction after the recruitment as academician in Ege University. The main aim was to see and observe how much they satisfied in post appointment process in their academic life. The main findings ensured that significant number of the sample group has satisfied with academic environment after the recruitment. In this study findings of those questionnaires are clearly explained.   That gave us insights about academic staff advertisements and appointments impact on job satisfaction after the recruitment.   Keywords: Academic staff advertisement, Ege University.  </text>
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                    <text>Variety of Capitalism in Turkey: A Comparative Institutional Analysis
BaharBaysal
Uludağ University
Turkey
bhrbysl@gmail.com
MikailKar
Uludağ University
Turkey

Abstract: With the collapse of communism, the question why national capitalist countries
have different economic performance has stimulated the emergence of the new comparative
political economy. This approach focuses on economic, social and political institutions and
organizations that account for this capitalist diversity. Political power which drives
institutional change is critical importance for understanding the formationof these institutions
and their consequences for wealth or income in parallel with public choice theory. This paper
emphasizes two assertions. First, even though advocates of neo-liberalism claim that all
nations convergence to a single development path, capitalism is a complex socio-economic
order that has developed at different places and times, so, secondly, apart from varieties of
capitalism which focus on advanced capitalist nations, there are rich variety of new forms of
capitalism which shaped by domestic and international structural forces in emerging market
economies. From this perspective, it is a comparative institutional approach.
In this context it aims to explain how Turkish capitalism has evolved from state capitalism to
a hybrid variety of capitalism in the neoliberal era. This clearly implies that there is a high
degree of continuity between the different policy phases. The coexistence of this continuity
and change points out the importance of institutional path dependency in development
process.
Keywords: varieties of capitalism, comparative political economy, institutions.

93

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KAR, Mikail</text>
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                <text>With the collapse of communism, the question why national capitalist countries have different economic performance has stimulated the emergence of the new comparative political economy. This approach focuses on economic, social and political institutions and organizations that account for this capitalist diversity. Political power which drives institutional change is critical importance for understanding the formationof these institutions and their consequences for wealth or income in parallel with public choice theory. This paper emphasizes two assertions. First, even though advocates of neo-liberalism claim that all nations convergence to a single development path, capitalism is a complex socio-economic order that has developed at different places and times, so, secondly, apart from varieties of capitalism which focus on advanced capitalist nations, there are rich variety of new forms of capitalism which shaped by domestic and international structural forces in emerging market economies. From this perspective, it is a comparative institutional approach.    In this context it aims to explain how Turkish capitalism has evolved from state capitalism to a hybrid variety of capitalism in the neoliberal era. This clearly implies that there is a high degree of continuity between the different policy phases. The coexistence of this continuity and change points out the importance of institutional path dependency in development process.    Keywords: varieties of capitalism, comparative political economy, institutions.</text>
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                    <text>The Effect of Tax Incentives on Regional Economic Development
Mine Biniş
Balıkesir University
Turkey
mbinis@balikesir.edu.tr
Elif Ayşe Şahinİpek
İzmir KatipÇelebi University
Turkey
elifa.sahin.ipek@ikc.edu.tr
Abstract: Tax incentives are exceptional applications which are used to encourage in a
specified activity for a certain period. Today most of the countries have created tax incentive
programs for many reasons but especially to attract regional economic development. Tax
incentives can be used as a tax exemption or as a financial incentive. One of the significant
outcomes of the tax incentives is that they reduce firm’s costs. Tax incentive programs are
focused on the expectations of welfare gains such as the region’s level of employment and
income. Another point of these expectations in terms of the state tax incentive programs can
result from the loss of tax revenue and inefficient allocation of public goods. Although tax
incentives have been used over the world since the 1980s, its utility in practice is a
controversial issue in the academic literature. While some studies find an impact on economic
development, some studies especially focusing on long term, find the opposite.
The aim of this paper is to investigate the effects of tax incentives as a device for providing
regional economic development. Tax incentives have been undertaken as an economic
development strategy in developing and developed countries over the past years. Based upon
countries’ regional economic development experiences, particularly Turkey’s strategy about
regional economic development has been evaluated. Although in the 1980s several attempts
have been made about tax incentives, from the 1990s strategies which consist of using it as a
tool of regional economic development, come into prominence. In 1 January 1999 Turkey has
provided investment allowances which depend on location and type of investment, but its
application results have not been as expected. To eliminate these failures and set up regional
economic development through tax incentives, a new tax incentive program has been
introduced in 4 June 2009. This paper particularly takes into account the effects of new
investment incentive plan which effectuated in 1 January 2012 in Turkey. One of the main
results of the study is that the use of tax incentives could be limited to the reinforcing of
regional economic development.
Keywords: Regional development, Fiscal Instruments, Tax incentives, Incentives, Turkey.

69

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AYŞE ŞAHIN İPEK, Elif</text>
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                <text>Tax incentives are exceptional applications which are used to encourage in a specified activity for a certain period. Today most of the countries have created tax incentive programs for many reasons but especially to attract regional economic development. Tax incentives can be used as a tax exemption or as a financial incentive. One of the significant outcomes of the tax incentives is that they reduce firm’s costs. Tax incentive programs are focused on the expectations of welfare gains such as the region’s level of employment and income. Another point of these expectations in terms of the state tax incentive programs can result from the loss of tax revenue and inefficient allocation of public goods. Although tax incentives have been used over the world since the 1980s, its utility in practice is a controversial issue in the academic literature. While some studies find an impact on economic development, some studies especially focusing on long term, find the opposite.     The aim of this paper is to investigate the effects of tax incentives as a device for providing regional economic development. Tax incentives have been undertaken as an economic development strategy in developing and developed countries over the past years. Based upon countries’ regional economic development experiences, particularly Turkey’s strategy about regional economic development has been evaluated. Although in the 1980s several attempts have been made about tax incentives, from the 1990s strategies which consist of using it as a tool of regional economic development, come into prominence. In 1 January 1999 Turkey has provided investment allowances which depend on location and type of investment, but its application results have not been as expected. To eliminate these failures and set up regional economic development through tax incentives, a new tax incentive program has been introduced in 4 June 2009. This paper particularly takes into account the effects of new investment incentive plan which effectuated in 1 January 2012 in Turkey. One of the main results of the study is that the use of tax incentives could be limited to the reinforcing of regional economic development.    Keywords: Regional development, Fiscal Instruments, Tax incentives, Incentives, Turkey.</text>
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                    <text>Gender (in) equality in Political Participation in Bosnia and Herzegovina

AzraBičo
International University of Sarajevo
Bosnia and Herzegovina
azrabico@hotmail.com
NerkezOpčin
International University of Sarajevo
Bosnia and Herzegovina
nerkezopacin@gmail.com
Abstract: The focus of this paper is on the distribution of gender and their political
participation on a cantonal level of Bosnia and Herzegovina. Three leading parties in Canton
Sarajevo are going to be analyzed: the Party of Democratic Action (SDA), the Social
Democratic Party (SDP) and the Union for a Better Future of Bosnia and Herzegovina
(SBBBIH). The analysis in this study will first start with a comparison of the number of
candidates to be elected at the municipal and the cantonal level and their genders.
Furthermore, by using descriptive analysis we aim to show gender inequality in three leading
parties, according to the results of the local elections held in 2012. Also, by using descriptive
analysis we will compare the number of candidates who were nominated and the number of
candidates who were elected according to genders, to find the possible cause. Results show
that the problem lies in the overall low political participation of females on the political scene
in Bosnia and Herzegovina. In addition, we will analyze and discuss economic and social political reasons for such low political participation of females. Several suggestions are
going to be made through a positive example of a rather small political party in B&amp;H,
NašaStranka.
Keywords:Gender Inequality, Political Participation, Bosnia and Herzegovina, Descriptive
Analysis, Political Parties, Canton Sarajevo

44

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OPČIN, Nerkez</text>
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                <text>The focus of this paper is on the distribution of gender and their political participation on a cantonal level of Bosnia and Herzegovina. Three leading parties in Canton Sarajevo are going to be analyzed: the Party of Democratic Action (SDA), the Social Democratic Party (SDP) and the Union for a Better Future of Bosnia and Herzegovina (SBBBIH). The analysis in this study will first start with a comparison of the number of candidates to be elected at the municipal and the cantonal level and their genders. Furthermore, by using descriptive analysis we aim to show gender inequality in three leading parties, according to the results of the local elections held in 2012. Also, by using descriptive analysis we will compare the number of candidates who were nominated and the number of candidates who were elected according to genders, to find the possible cause. Results show that the problem lies in the overall low political participation of females on the political scene in Bosnia and Herzegovina. In addition, we will analyze and discuss economic and social - political reasons for such low political participation of females. Several suggestions are going to be made through a positive example of a rather small political party in B&amp;H, NašaStranka.  Keywords:Gender Inequality, Political Participation, Bosnia and Herzegovina, Descriptive Analysis, Political Parties, Canton Sarajevo</text>
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                    <text>Can there be an Islamic Democracy? Democratization in Turkey
AnjezaBojaxhiu
Epoka University
Albania
anjeza27@yahoo.com
Abstract: Concern over the issue of compatibility between democracy and Islam has been the
focus of worldwide debate. After the fall of communist regimes worldwide, both democracy
and Islam began a revival and expansion period. Can these two modes of governance be
reconciled at all, or is it highly unlikely for them to reach a synthesis and instead clash as
Huntington and others have claimed?
This paper argues that Islam and democracy can be reconciled, since both are what Feldman
(2003) notably called mobile ideas in nature, ideas that spread across the world, appealing to
many people living in strikingly different countries and societies. Given that mobile ideas
claim to work always and everywhere, there can be a potential clash. Nevertheless, they also
incline towards flexibility in that they function in different ways all over the world and
therefore are capable of coming together in fascinating ways to produce unimagined, new
configurations. In order to encourage the spread of democratic values of liberty and equality
requires arguing that, to the contrary, certain readings of Islam not only accommodate but
actually mandate freedom and self-government. It won’t be a surprise if in a decade or two,
the argument made by some that the Muslim World cannot accommodate democracy, will
come to seem just as outdated as the now-defunct, once-popular arguments that Catholicism
and Confucianism, each in turn were incompatible with democracy. This will be illustrated by
an analysis of the process of democracy consolidation in the Republic of Turkey.
Keywords: Democracy, flexibility, Islam, mobility, Turkey

32

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                <text>Concern over the issue of compatibility between democracy and Islam has been the focus of worldwide debate. After the fall of communist regimes worldwide, both democracy and Islam began a revival and expansion period. Can these two modes of governance be reconciled at all, or is it highly unlikely for them to reach a synthesis and instead clash as Huntington and others have claimed?     This paper argues that Islam and democracy can be reconciled, since both are what Feldman (2003) notably called mobile ideas in nature, ideas that spread across the world, appealing to many people living in strikingly different countries and societies. Given that mobile ideas claim to work always and everywhere, there can be a potential clash. Nevertheless, they also incline towards flexibility in that they function in different ways all over the world and therefore are capable of coming together in fascinating ways to produce unimagined, new configurations. In order to encourage the spread of democratic values of liberty and equality requires arguing that, to the contrary, certain readings of Islam not only accommodate but actually mandate freedom and self-government. It won’t be a surprise if in a decade or two, the argument made by some that the Muslim World cannot accommodate democracy, will come to seem just as outdated as the now-defunct, once-popular arguments that Catholicism and Confucianism, each in turn were incompatible with democracy. This will be illustrated by an analysis of the process of democracy consolidation in the Republic of Turkey.    Keywords: Democracy, flexibility, Islam, mobility, Turkey</text>
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                    <text>The Role of Business in Society
JusufBrkić
Sarajevo College
Bosnia and Herzegovina
brkicjusuf@hotmail.com

Abstract: The purpose of this study is to, explore and develop the role and responsibilities of
the business toward society, and the role of individuals as a key factor in a creating relations
between business and society with the main focus on the ethically behavior, moral
responsibility by increasing awareness of the role of the business in society.Through
theoretical knowledge, science acts and research findings, analysis of using experience and
good business practice of developed European countries, this paper aims to stimulates
relations between business and society. This will be conducted with the responsibility that
means the obligations to undertake some activities that will contribute to improving the
wellbeing of the whole society. It implies thatall done activitiesare executedin the company,
withrespectto economic,legalandethical principles. The future of society depends almost on
the business relations in creating values to community which reflects to individuals respecting
the main source of social norms, behaviors, habits and tradition that are somehow
disarranged by changes. Those changes are affected by a lot of modern trends in today’s
lifestyle, technology, science, educations.
The conclusion of paper outlined here is that business needs the extremely high level of
responsibility and continuous procedures together with the social responsibility of managers.
Thos emanagers should seek ethical and responsible behavior, invest in its relationship with
society in order to foster and promote social values that foster a certain society.
Keywords: business, the role, the responsibility, society, relations.

97

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                <text>The purpose of this study is to, explore and develop the role and responsibilities of the business toward society, and the role of individuals as a key factor in a creating relations between business and society with the main focus on the ethically behavior, moral responsibility by increasing awareness of the role of the business in society.Through theoretical knowledge, science acts and research findings, analysis of using experience and good business practice of developed European countries, this paper aims to stimulates relations between business and society. This will be conducted with the responsibility that means the obligations to undertake some activities that will contribute to improving the wellbeing of the whole society. It implies thatall done activitiesare executedin the company, withrespectto economic,legalandethical principles. The future of society depends almost on the business relations in creating values to community which reflects to individuals respecting the main source of social norms, behaviors, habits and tradition that are somehow disarranged by changes. Those changes are affected by a lot of modern trends in today’s lifestyle, technology, science, educations.    The conclusion of paper outlined here is that business  needs the extremely high level of responsibility  and continuous procedures together with the social responsibility of managers. Thos emanagers should seek ethical and  responsible behavior, invest in its relationship with society  in order to foster and promote social values that foster a certain society.  Keywords: business, the role, the responsibility, society, relations.</text>
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                    <text>The Exchange Rate in Albania and its Connection with Import-Export
Alba Cani
Epoka University
Albania
acani10@epoka.edu.al
Abstract: Recently, trade agreements among different countries are becoming more and more
important. Exchange rate and its volatility are important elements taken into consideration
when these trade agreement and exchanges are done. The history of Albania has had crucial
developments in different periods. These changes and developments have had an impact not
only in policy making process but also in the way how economic policies are compiled.
Among the most important economic actions undertaken in the transition period is the
adoption of flexible exchange rate. This paper is an attempt to explain the relationship that
exists through the exchange rate and import-export as this is one of the traditional methods
for long-term analysis taken into consideration in studying this connection. The aim of this
research paper is to analyze the way how these variables are connected to each-other and to
explain which factors have influenced in the volatility of exchange rate in these years in
Albania. This study examines the effect of exchange rate volatility in imports and exports by
using multiple regression analysis with exchange rate as dependent variable and trade
balance, remittances, government spending as independent variables. Thus, an empirical
method is used in order to prove whether there is a relationship between the exchange rate
and its variables and import-export. Moreover, a detailed analysis of exchange rate volatility
on trade balance connection is included. All the data are taken by Bank of Albania, Instat and
World Bank and all the values of variables are in million Albanian Leke. The analysis is
based on respective values of above mentioned variables for the period from 1996-2010 for
Leke-Dollar exchange rate and from 1999-2010 for Leke-Euro exchange rate. The findings of
this study conclude with the result that exchange rate volatility does not have significant
impact on import because some of the products that Albania imports are basic products
regarding the inelastic demand of these products. On the other hand, exchange rate volatility
affects exports as exports are directly related with exchange rate volatility.
Keywords:Exchange Rate, Volatility, Import, Export, Regression Analysis, Trade Balance,
Government Spending.

86

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                <text>Recently, trade agreements among different countries are becoming more and more important. Exchange rate and its volatility are important elements taken into consideration when these trade agreement and exchanges are done. The history of Albania has had crucial developments in different periods. These changes and developments have had an impact not only in policy making process but also in the way how economic policies are compiled. Among the most important economic actions undertaken in the transition period is the adoption of flexible exchange rate. This paper is an attempt to explain the relationship that exists through the exchange rate and import-export as this is one of the traditional methods for long-term analysis taken into consideration in studying this connection. The aim of this research paper is to analyze the way how these variables are connected to each-other and to explain which factors have influenced in the volatility of exchange rate in these years in Albania. This study examines the effect of exchange rate volatility in imports and exports by using multiple regression analysis with exchange rate as dependent variable and trade balance, remittances, government spending as independent variables. Thus, an empirical method is used in order to prove whether there is a relationship between the exchange rate and its variables and import-export. Moreover, a detailed analysis of exchange rate volatility on trade balance connection is included. All the data are taken by Bank of Albania, Instat and World Bank and all the values of variables are in million Albanian Leke. The analysis is based on respective values of above mentioned variables for the period from 1996-2010 for Leke-Dollar exchange rate and from 1999-2010 for Leke-Euro exchange rate. The findings of this study conclude with the result that exchange rate volatility does not have significant impact on import because some of the products that Albania imports are basic products regarding the inelastic demand of these products. On the other hand, exchange rate volatility affects exports as exports are directly related with exchange rate volatility.    Keywords:Exchange Rate, Volatility, Import, Export, Regression Analysis, Trade Balance, Government Spending.</text>
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                    <text>International Trade, Finance and Development; an Approach of
Understanding in what Fields is Albania the Right Country to Invest in.
EdliraDede
Epoka University
Albania
edede12@epoka.edu.al
ErsejdaDemirxhiu
Epoka University
Albania
edemirxhiu12@epoka.edu.al
Abstract: Our research consists of many approaches to present a wide, clear picture in
understanding how a South-Western Balkan’s country such as Albania offers many ways in
investments and development.What we will be further explaining are all the reasons that make
Albania different from the countries in the region. Also, we will be giving points of view in
where the investments from either national or international parties would not only be
beneficial for the country’s economy, but very profitable for the investors as well.Known for
the many opportunities it offers in this field, agriculture will be our focal point of attention.
When Albania was under the communist regime, nearly 80% of the country’s GDP was made
due to agricultural products. Taking into consideration the fact that technology, vehicles and
farmers have higher aims and are way better than 30 years ago, we are absolutely positive
that with a little bit of investment, this field will continue to remain priority.

The second field we, after checking the latest statistics, are sure that Albania is worth
investing is the tourism. Being the 4th in the 2014’s chart of places to visit is not enough.
Acknowledging the improvements in some parts of tourism, there’s still plenty of work to do.
We will be presenting the particular parts that still need support and also what will be the
benefits to gain from these investments.Another thing we will be stressing in our paper is the
urge to bring back the industrial factories and their processes. Before ‘90s, there were
several towns in the country that had particular factories, providing the citizens with their
needs and even exporting a part of the products. During this past decade, many discussions
have led to this topic, yet never coming up with an agreement in the end.

Lastly, we claim that technology is a very helping hand in the whole process of developing the
economy. It will definitely be useful in international trades and it will help having a network
available to all of those interested in investing in Albania.In our conclusion, we will be giving
all the details on how we think all this process will be a success and in which ways it will
make the country develop in surprisingly huge steps.
Keywords: EU, Balkans, agreements, Albanian economy, tourism, agriculture, industry,
technology, development.
42

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DEMIRXHIU, Ersejda</text>
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                <text>Our research consists of many approaches to present a wide, clear picture in understanding how a South-Western Balkan’s country such as Albania offers many ways in investments and development.What we will be further explaining are all the reasons that make Albania different from the countries in the region. Also, we will be giving points of view in where the investments from either national or international parties would not only be beneficial for the country’s economy, but very profitable for the investors as well.Known for the many opportunities it offers in this field, agriculture will be our focal point of attention. When Albania was under the communist regime, nearly 80% of the country’s GDP was made due to agricultural products. Taking into consideration the fact that technology, vehicles and farmers have higher aims and are way better than 30 years ago, we are absolutely positive that with a little bit of investment, this field will continue to remain priority.    The second field we, after checking the latest statistics, are sure that Albania is worth investing is the tourism. Being the 4th in the 2014’s chart of places to visit is not enough. Acknowledging the improvements in some parts of tourism, there’s still plenty of work to do. We will be presenting the particular parts that still need support and also what will be the benefits to gain from these investments.Another thing we will be stressing in our paper is the urge to bring back the industrial factories and their processes. Before ‘90s, there were several towns in the country that had particular factories, providing the citizens with their needs and even exporting a part of the products. During this past decade, many discussions have led to this topic, yet never coming up with an agreement in the end.    Lastly, we claim that technology is a very helping hand in the whole process of developing the economy. It will definitely be useful in international trades and it will help having a network available to all of those interested in investing in Albania.In our conclusion, we will be giving all the details on how we think all this process will be a success and in which ways it will make the country develop in surprisingly huge steps.  Keywords: EU, Balkans, agreements, Albanian economy, tourism, agriculture, industry, technology, development.</text>
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