Development of Entrepreneurship in Serbia: Main External Factors and Influences

Abstract

The main aim of this chapter is to systematize observations regarding changes in entrepreneurship in Serbia during the previous decade, having in mind some key factors such as high-impact low-probability (HILP) events, dynamic development in the sphere of information technologies (IT), and foreign direct investments (FDI). The choice of these factors was made in accordance with the fact that there were no significant changes in other external factors in the sphere of entrepreneurship (regulatory framework, financial conditions, and socio-political instability). This chapter discusses the assumptions that HILP events and FDI can have both positive and negative impacts on individual sectors or agglomerations of entrepreneurship, while only positive impacts are attributed to IT development. Using official databases and annual financial and business reports given by entrepreneurial agencies and micro and small enterprises we created a set of reports that indicate the strength and direction of the influence of the mentioned factors and their consequences in the sphere of entrepreneurship at the level of Serbia and selected cities, based on the fact that the entrepreneurial ecosystem in those cities faced greater than average challenges. The selected ratios indicate changes in the growth rate of the entrepreneurship sector (number of entrepreneurs and employees) as well as in the improvement of its competitiveness (productivity, assets, and profit per employee).

Citation

Jaško, O., Čudanov, M., Krivokapić, J. and Todorović, I. (2023), "Development of Entrepreneurship in Serbia: Main External Factors and Influences", Ramadani, V., Kjosev, S. and Sergi, B.S. (Ed.) Entrepreneurship Development in the Balkans: Perspective from Diverse Contexts (Lab for Entrepreneurship and Development), Emerald Publishing Limited, Leeds, pp. 237-260. https://doi.org/10.1108/978-1-83753-454-820231013