Factors affecting business performance in the open economy

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26510%2F17%3APU125405" target="_blank" >RIV/00216305:26510/17:PU125405 - isvavai.cz</a>

Result on the web

<a href="http://ke.uniza.sk/sites/default/files/content_files/part_i_final_3.pdf" target="_blank" >http://ke.uniza.sk/sites/default/files/content_files/part_i_final_3.pdf</a>

DOI - Digital Object Identifier

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Result language

angličtina

Original language name

Factors affecting business performance in the open economy

Original language description

The international trade and the cross-border movement of capital, which are main factors of globalisation, puts pressure on strengthening the competitiveness and growth of business performance, as well as eliminating inefficient processes. In particular, this pressure affects enterprises operating in an open economy, such as the Czech Republic. It is the export of machinery and transport equipment that has the highest share in total export. For the firms operating in this sector it is vital to identify the value drivers, i.e. key performance indicators contributing to value creation. Based on the undertaken literature research, a value driver is each factor affecting the value of the business. Quantitative value drivers are mostly financial indicators; qualitative value drivers represent quality of company management. Effective performance management requires eliminating processes, which may jeopardise the business value growth. According the previous research, factors reducing the business value include the lack of capital, lack of strategic management systems and poor quality of production. In order to gain further insight into the topic, the paper presents the results of the research identifying factors adversely affecting the performance of mechanical engineering enterprises in the Czech Republic. The collection data took place through a questionnaire survey among company senior managers. The research results show that the factors representing the highest risk for the performance and value of businesses include the incompetence of management staff and the failure to respect customer requirements.

Czech name

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Czech description

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Type

D - Article in proceedings

CEP classification

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OECD FORD branch

50204 - Business and management

Project

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Continuities

S - Specificky vyzkum na vysokych skolach

Publication year

2017

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Article name in the collection

GLOBALIZATION AND ITS SOCIO-ECONOMIC CONSEQUENCES

ISBN

978-80-8154-212-1

ISSN

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e-ISSN

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Number of pages

8

Pages from-to

2167-2174

Publisher name

University of Zilina, The Faculty of Operation and Economics of Transport and Communications

Place of publication

Rajecke Teplice

Event location

Rajecké Teplice

Event date

Oct 4, 2017

Type of event by nationality

EUR - Evropská akce

UT code for WoS article

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