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Margarita Stefanova Yordanova
TOPICAL LEGAL PROBLEMS RELATED TO REGULATIONS CONCERNING JOINT-STOCK COMPANIES
Summary:
The paper examines some current legal issues related to regulations concerning the joint-stock companies. The aim of the research is to analyze the current status of shareholders in such companies, the protection of their rights and the liability of the governing bodies for violation of their rights. An analysis was carried out on the membership rights of expelled shareholders in cases of increase or reduction in the capital of a joint stock company. Special emphasis is put on issues related to management’s liability for damages inflicted on the company. The author argues for its classification as a contractual liability on the grounds of research and analysis of the current jurisprudence. The conclusion provides a summary and suggestions for improvement of the existing commercial legislation.
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Yordan Yordanov
ATTRACTIVENESS OF INVESTMENT FUNDS IN BULGARIA
Summary:
This paper addresses the issue of attractiveness of Bulgarian investment funds to various classes of investors over the last decade. It exploits data on AUM (assets under management), return, number of funds, risk profile of funds and fund managers in order to grasp trends in the investment fund sector. Also, the asset allocation in aggregate portfolio is traced, in order to determine the overall portfolio strategy.
It turns out, that the growth of AUM is not justified by the potential of household savings and nonbank financial institutions’ asset base. The average equally weighted funds’ return is below, while AUM weighted is slightly above benchmarks for 2015-2019.
The examination of the overall investment funds’ portfolio shows a strong bias towards “Cash” and “Other Investment Funds” allocation of assets. In depth examination of the portfolios of specific funds reveals an unwholesome practice of deviation from declared portfolio strategy. In addition, the low level of AUM per fund is likely to hurdle Bulgarian investment funds to offer competitive fees.
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Radka Nenova
INFLUENCE OF RENT ON THE PRICE OF AGRICULTURAL LAND IN BULGARIA
Summary:
In recent years in Bulgaria there has been a functioning market for agricultural land, which affects the variation of prices. The present study emphasizes the need to take into account the cross-sectional and time differences in the price of agricultural land which is the object of the study. With the development of land relations, the importance of the price for the use of agricultural land (rent) increases. For this reason, the subject is to reveal the impact of the amount of rent on the price of agricultural land. The goal is to measure and evaluate the strength of the relationship between them. The main research thesis of the author is that, other things being equal, the change in the amount of rent leads to the same change in the price of agricultural land, but at different rates, and existing cross-sectional and time effects of this relationship can be fixed and analyzed. NSI data on the price of agricultural land and rent in Bulgaria by districts and by years for the period 2010-2018 have been used.
In theoretical terms, the basis for the study is the capitalized rent approach proposing a specific adapted methodology. Four regression models were constructed: simple panel regression, panel regression with region fixed effect, panel regression with year fixed effect and panel regression with region and year fixed effect at the same time. All four models are adequate, there is no autocorrelation in the residues; well describe the change in the studied variables.
The main conclusion is that, other things being equal, the change in rent leads to a change in the price of agricultural land, which is different in space and time and in turn can generate an increase or decrease in investment intentions of investors to agricultural land in different regions in different periods of time. The inclusion of fixed effects in the models is substantiated and the results show that the model with region-year fixed effects is the best.
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Yevhen Savelyev, Vitalina Kuryliak, Mariia Lyzun, Ihor Lishchynskyy
GLOBAL MONETARY INTEGRATION AND DETERMINATION
OF STRATEGIC PRIORITIES FOR THE EXCHANGE RATE POLICY IN UKRAINE
Summary:
The internationalization and fragmentation of the world’s production, distribution, exchange and consumption is reflected in the currency system, which has long since been not exclusively determined by political boundaries. The purpose of the research is justification of the process of global monetary integration and determining in this context the priorities of exchange rate policy in Ukraine. Two types of monetary integration that fits best to developing countries are heighlighted: dollarization and currency board. The types and evolution of dollarization models are described. The accent is focused on advantages and disadvantages of dollarization for developing countries. The essence and theoretical backgrounds of currency board are considered. A classification of exchange rate regimes according to IMF is presented. The social and economic development of Ukraine and monetary factor in shaping the welfare of the state are marked. After twenty-five years of efforts, Ukraine seems to have encountered the same challenges that it had faced twenty-five years ago: the challenges of integration and participation in the globalized world. Even though the country has made substantial progress, there is still much to be done. Judging from the couple of crises the country has suffered, one is inclined to say that participation of the country in the international financial markets is a point which matters much for Ukraine. The country did not manage to reap the advantage of capital mobility. Today, the country suffers again from a severe currency and banking crisis, where the national currency, hryvnya, devalues on a daily basis, and many people see their balances deteriorating. The policy-makers, the authorities and especially the National Bank of Ukraine (NBU) have used measures that did not work. The society is anxious and frustrated; it has even started to think about solutions like those on the hard side of the ‘Bipolar View’ theory, such as the currency board and dollarization. Weighing the impact of voting for or against one of the models of the exchange rate regime in the Ukrainian economy reform, one must realize that they are not universal. However, choosing the currency board regime allows stabilizing the financial market and quickly offsetting the fall in the standard of living, which resulted from miscalculations, abuses and possibly fraudulent decisions in favour of certain corrupt oligarchic groups in the system of exchange rate policy.
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Penka Goranova, Steliana Vasileva
EMPIRICAL STUDY OF THE SYNERGISTIC EFFECT BETWEEN THE ELEMENTS OF INTEGRATED MARKETING COMMUNICATIONS
Summary:
The coupled use of the elements of Integrated Marketing Communications (IMC) allows them to be combined so that they can complement one another. The aim is to achieve a consistent and logical exposure of the communication messages in their harmony. Thus the overall impact on the target audience increases, which is especially useful when the company conducts low-budget campaigns. The aim of this paper is, based on the conclusions and findings of the empirical study of consumers’ attitudes towards the elements of Integrated Marketing Communications, to offer a tool for decision-making, which will increase the efficiency in the implementation of the IMC concepts of companies.
In connection with the purpose stated above, the following tasks are set:
to explore the essence of Integrated Marketing Communications and the reasons for their occurrence;
to outline the stages of developing a program for Integrated Marketing Communications;
to analyze the synergistic effect between the elements of Integrated Marketing Communications.
The paper proves the thesis that the synergistic effect between the elements of Integrated Marketing Communications is needed in the modern management of companies and as a result of its application the companies achieve better results than by using the IMC elements separately.
The conclusions and findings from the Confirmatory Factor Analysis that was conducted between the elements of Integrated Marketing Communications can be used as a reference in managing the communication policy of companies, and for refining and optimizing the budget allocation between the elements within the IMC concept.
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Lyudmil Nestorov
ABOUT THE TRIPS, THE TRUTH AND THE LIFE
OF BÅNJAMEN VARON
Summary:
This article explores the fate of one of the little-known but highly erudite economists and philosophers in Bulgaria - Assoc. Prof. Benjamen Israel Varon Ph.D. The author presents Varon’s research in the development of socialism before 1989 in the country and in Europe, the role of the socialist and social-democratic parties play in it, and the reasons for socialism’s subsequent demise. Attention is drawn to his perspective on the Washington Consensus and the emergence of neoliberalism as a modern paradigm of economic policy. Emphasis is placed on his understanding of social reform and the transformation of capitalism. The paper also examines his opinion on globalization and its impact on modern society as well as the difference between globalization and globalism. Further, his ideas about building a new society based on new socio-economic relations are presented.
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Rumen Erusalimov, Nadejda Dimitrova Todorovska
“RENT VERSUS HOME” INSURANCE – OPPORTUNITY TO IMPROVE THE STANDARD OF LIVING AND PROVIDE HEALTH-SOCIAL SERVICES IN THE HOME ENVIRONMENT OF PEOPLE IN OVER WORKING AGE
Summary:
In recent years, statistics show that the population of Bulgaria is aging. Against the background of a general decrease in the number of the population in Bulgaria, there is an increase in the number of people above working age. The share of citizens falling within the age group of 65 years or over is increasing.
Poverty is a social phenomenon that affects, to a large extent, people above working age who are also more likely to have health problems. The problem deepens with elderly people living alone that cannot rely on family support. Experience shows that the state is unable to ensure, through its social policy, access to health care and decent life for many of these people. Therefore, the main objective of the study is to find ways that are compatible with the market economy and private initiative of citizens to ensure a better standard of living and access to health care for people above working age. Emphasis is placed on how insurance can support this process by performing its main function.
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Karina Sarkisyan Dikova
THE IMPORTANCE OF INTERCULTURAL COMPETENCE
IN THE PROCESS OF INTERNATIONAL COMMUNICATION (THEORETICAL AND PRACTICAL RESEARCH
OF BULGARIAN COMPANIES)
Summary:
International business today relies heavily on the effectiveness of cross-cultural communication skills besides the good knowledge of foreign languages. The efficient combination of foreign language skills and the knowledge, understanding and acceptance of cultural differences is of paramount importance in the field of international economic relations. The paper presents a study on the level of intercultural competence among Bulgarian business people and the main intercultural obstacles faced by managers and employees and an analysis of their opinion regarding certain cases of workplace relationships in terms of intercultural communication.
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Darina Hristova, Plamena Palamarova
STUDY OF THE APPLICATIONS OF THE MARKETING MIX
IN THE CULTURAL SECTOR IN BULGARIA
Summary:
The management of cultural activities is an important issue in the increasingly rapidly developing cultural and creative sector. Part of the management of these activities is the application of relevant marketing concepts in the planning and organization of cultural events. In this regard, the goal of the current paper is to derive a marketing mix for the cultural sector and to research its application in the conduct of cultural events. The paper offers a theoretical analysis of various concepts and models for the marketing mix concept and the authors propose an adapted model of the mix, applicable to the cultural sector. The model has been tested using a specially developed methodology. Data have been collected and analysed for each of the elements of the proposed marketing mix and their constituent variables. The research was conducted for four consecutive years. Based on the results, guidelines have been presented for the planning and application of the elements of the marketing mix in the realization of a cultural event.
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Miroslava Boneva
RESEARCH OF E-SERVICES DEVELOPMENT TRENDS
Summary:
This paper aims to discuss trends in the development of electronic services, which as technology-based services have the potential to influence the short-term and long-term development of business, society and possibly in dimensions that are difficult to define. The set research tasks have been completed: (1) study of the short-term trends for the development of electronic services in the public sector and business; (2) systematization of pessimistic and optimistic visions for the development of electronic services in a longer term and (3) analysis of the results of an empirical study with an object of study the consumption of electronic services. The main thesis of the present study refers to the broad-spectrum impact of e-services on the digital transformation in various business sectors and the activities of public organizations. The following results have been achieved: (1) It is argued that the future development of e-services and their impact on organizations is important to consider in the following areas: technological, educational, socio-economic and managerial changes. (2) Factors determining the short-term tendencies for the development of the electronic administrative services in Bulgaria are substantiated. (3) The tendencies for short-term development of the e-services in the business are marked by the views of business leaders and the development of heterogeneous technologies, combining digital, physical and biological technologies. (4) Visions for the long-term development and impact of electronic services are systematized, covering alarming expectations and optimistic scenarios. (5) It has been established from the analysis of the results of an empirical study that: there is no change before and during the state of emergency in the consumption of electronic banking, e-shopping, electronic administrative services of municipal organizations and other e-services; the consumption of e-learning, e-administrative services of state institutions and e-communication has changed; There are no statistically significant differences between the respondents' perception of change in the use of e-services for personal and business purposes, as well as for those who assist older people, also on the basis of place of residence.
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Aneta Deneva, Veneta Hristova, Iskra Panteleeva
THE INDUSTRIAL POLICY OF CONTEMPORARY EUROPE
Summary:
The study examines the essential aspects of policy as a concept and as a social phenomenon. An emphasis is put on the industrial policy and its contemporary dimensions within the European Union. The authors support the thesis that theoretical concepts should be studied continuously in order to achieve a synergetic effect from the combined implementation of their key elements. Their convergence into practical processes and actions should follow the principles of industrial policy as an important factor for the revival of the European economy.
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Tsveta Zafirova
THE INDUSTRIES IN CULTURE AND THE SUSTAINABLE DEVELOPMENT OF MODERN MUNICIPALITIES
Summary:
This study examines the emergence and development of scientific terminology that relates culture to business in so-called cultural and creative industries and their specific characteristics. The author analyses the theoretical concepts of various scientists (some of them from Bulgaria) regarding the interpretation of specific terminology related to the effect of creative economies on the sustainable development of modern communities. The paper provides an algorithm of activities and feasible solutions for the implementation of the concept of creative cities in Bulgaria. It supports the idea that, in the current period of economic crisis and a highly dynamic and competitive environment, municipalities have to adopt a new governing approach that provides for the development of creative and cultural industries. Best practice has shown that the concept of creative cities would accelerate their economic growth. Most Bulgarian municipalities need to develop new strategic documents that prioritise the creative industries and provide incentives for their support by local authorities also aiming to solve various social problems.
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Margarita Shopova
INFORMATION ASPECTS OF THE STATISTICAL STUDY
OF CRIME
Summary:
Crime is a phenomenon that has a high cost for society and seriously threatens the normal development of society as well as personal inviolability, the property, honour and dignity of citizens. This paper presents some basic aspects of the statistical study of crime. It explains the nature of crime as an object of statistical study. The major sources of information are discussed together with the problems of information provision. The system of statistical indicators is described in detail as a way of characterizing registered crime. The possibilities for the statistical study of latent crime are clarified and some characteristics when analyzing the antisocial behaviour of juvenile offenders are also discussed.
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Lyudmil Naydenov
QUALITATIVE CHARACTERISTICS OF REGIONAL TAX FREEDOM
Summary:
This study examines the issues related to the theoretical foundations of the concepts of local own-source revenues, local tax and regional tax freedom and outlines the options for the allocation of taxing powers between the vertical levels of the public sector. It also derives criteria on the basis of which municipal taxes are classified into three groups defined by the author (exclusively local, typically local and quasi (parallel) local taxes) and highlights the specific characteristics of each of the groups. An analysis is made of the strengths and weaknesses of the highly decentralized version, the highly centralized version, and the mixed model for the allocation of taxing powers between the central and local governments. The study argues that the decentralized division of revenue powers satisfies to the highest degree the requirements for regional financial freedom, identifying the limitations of such a model. The Bulgarian practice in the field of local tax autonomy is investigated and a qualitative assessment of municipal revenue freedom is made. The conclusion is that any tax system that conforms to statutory requirements for enforcing the principles of local self-government and guarantees the local authorities powers in determining the amount of municipal taxes should be considered as a suitable option for settling vertical fiscal relationships. The fact that local tax freedom (autonomy) is a main component of the policy towards fiscal decentralization determines the relevance of the study and its importance in a theoretical-applied aspect. On this basis, tax autonomy of the regions is identified as the object of the current study. The subject of the study are the qualitative parameters of regional revenue freedom and the effects of the different models for the allocation of taxing powers on the object of study. The thesis argued is that local levies and the decentralized allocation of tax revenues, as important components of regional revenue autonomy, are the basis of the policy towards real financial independence of local jurisdictions (including in Bulgaria).
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Tanya Gorcheva
INTERNATIONAL DEVISION OF LABOR AND MANIFACTURING SPECIALIZATION IN CONTEMPORARY PHOTOVOLTAIC BUSINESS
Summary:
One of the fastest-growing high-tech industries using innovative technologies in the key sector of every economy such as energy and photovoltaic business, in particular, provides a basis for tracing the process of resource restructuring leading to transformations in the international division of labour and international manufacturing specialization, and thus to a change in international trading positions. Based on a retrospective analysis a methodological construction is developed, which provides basis for analysing the factors and monitoring the current process of international division of labour in the field of photovoltaic business. In this regard, its market and non-market incentives are observed with the idea to derive competitive advantages in international trade in photovoltaic systems.
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Evelina Parashkevova Velikova
METHODOLOGICAL ASPECTS OF FUNCTIONAL ANALYSIS IN THE STRUCTURE OF PUBLIC ADMINISTRATION
Summary:
Functional analysis is a tool for improving organizational functioning in the public sector. It is based on analysis in three directions: effectiveness, efficiency and relevance of work processes and functions. A new moment in its implementation is linking the work of the administration with the process of goal setting and implementation of policies led by state administration structures.
This paper presents some specific concepts that need to be taken into account when performing functional analysis, as well as its relationship to the workflows in the administration, both organizational and customer-oriented. The basic prerequisites for performing quality functional analysis are outlined and a set of iterations of methodological nature for conducting such analysis in real working environment are proposed.
The main contribution of this study is the iterative approach presented in four main stages for conducting functional analysis taking into account the specifics of public sector workflows.
Reference is made to the follow-up functional analysis of the actions that need to be taken by the administrations in order to have a real effect on improving the performance of the public sector and reducing duplicate functions.
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Irena Emilova, Milen Dinkov
MOBBING – SUBJECTIVE FEELING OR OBJECTIVE CONDITION IN AN ORGANIZATION
Summary:
The aim of this study is based on the analysis of literature sources and data from our own survey to enrich the existing scientific knowledge related to the phenomenon of "mobbing" in the organization. The object of research in the present study is the manifestation of mobbing in the organization. The subject of research is the subjective perceptions of the individual regarding the phenomenon of "mobbing" and its actual finding in the organization.
The tasks are derived from the goal and are as follows: First. To explore the theoretical foundations of the phenomenon of "mobbing" that uses the interaction approach, taking into account the interpersonal relationships in the organization. Second. To present an author's definition of mobbing, analyzing research interpretations from different scientific fields of human knowledge. Third. To substantiate the need for counteracting mobbing by deriving the peculiarities of normative regulation and organizational regulation. Fourth. To carry out empirical research in organizations (public and private) and to establish the activities of the studied phenomenon. Fifth. To present practically oriented advice in case of subjective feeling for mobbing and detection of mobsters through express diagnostics, allowing realistic assessment of the situation. A research thesis that is being defended is that the created uncertain and complex circumstances in which organizations are forced to function affect the mental resilience of employees. Manifestations in their behavior in dynamic social processes, in addition to the objective state, tend to be a subjective error of the individual related to his personal perceptions. The approach of the interactions is used for analysis of the personality and the genesis of its behavior, situational analysis, statistical methods, historical research method, survey and interview, observations and consultations of the authors with scientists and practitioners in Bulgaria, as well as theoretical and practical research by Bulgarian and foreign authors and researchers. The following results have been achieved: based on an interdisciplinary approach, an analysis of "mobbing" as a category in the scientific field is presented and a working definition is derived in the context of organizational and behavioral aspects, which is most consistent with research interests; the need for organizational regulation of mobbing by implementing violence prevention and employee support programmes is justified; As a result of a survey, practical recommendations are proposed, which can be used for an objective assessment of the subjective feelings of the individual in relation to the studied dynamic category.
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Natalia F. Altukhova
THE MODEL OF COMPETENCES AND
THE PRINCIPLES OF MONITORING THE RESULTS
OF PUBLIC ADMINISTRATION BASED
ON ONTOLOGIES
Summary:
: The competence approach has become an integral part of the personnel management system of organizations. In improving the quality of civil servants’ work, there is a qualified and competent level of public service employees. This paper presents an analysis of the situation in civil service management, outlines the problems of managing the competencies of civil servants. Within the framework of the survey, more than 365 civil servants were interviewed, from the specialist to the head of the department. The most popular competencies among civil servants have been singled out. This is general professional, normative-legal, competence of effectiveness and efficiency of work. The groups of competences ‘management of changes’, ‘self-management and professional growth’ turned out to be the least in demand. Respondents also noted a high need for updating their professional knowledge. However, the problem of knowledge sharing persists, when the knowledge received by employees is better expressed at conferences, but is mostly reserved for personal use only and is not recorded on any media. The set of competencies will allow to describe the labour behaviour, which is required for the successful performance of work in a given position or for a group of similar posts, accurately enough. The ontological approach to assessing the competencies of civil servants will link the task of assessing competencies through the transformation of a query into a set of terms and concepts with specific needs of the project, the planned task or the function performed. The creation of a decision support system to ensure that the competencies of civil servants meet the requirements of labour functions on the basis of mathematical methods will allow the personnel service to efficiently recruit employees for vacant positions in a state organization.
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Anar N. Eminov, Ilana Aliyeva
ASSESSMENT OF EDUCATION AND EMPLOYMENT COOPERATION IN AZERBAIJAN TOURISM INDUSTRY
Summary:
The aim of this article is to investigate the university-industry cooperation influence on further tourism personnel potential development in Azerbaijan. Although tourism in Azerbaijan continues to grow it faces considerable challenges in the field of personnel potential. It is well-known that tourism industry has criticised tourism education for not adequately training people for employment in the industry. Unfortunately today the majority of workforce in the tourism industry of Azerbaijan consists of foreigners and this proves that there is a gap between tourism education and industry in Azerbaijan. If there is a gap between the outcomes expected in the tourism industry and tourism education, sustainable development is impossible to be achieved in that sphere.
In order to understand the reasons leading to that gap, the article analyzes the infrastructure of the existing tourism educational establishments in Azerbaijan and recommends that cooperation between education and industry be created.
The survey involves tourism industry and education as well as the attitudes of students and tourism employees towards such a partnership. Students who study at tourism-related establishments and employees who work in the tourism sector were surveyed and their opinions and needs regarding the collaboration were analysed. The survey was conducted for both university students and tourism firms in order to obtain data and make a comparable analysis. The study shows that limited research in Azerbaijan, however, has systematically explored what the tourism industry needs, and the extent to which tourism higher education meets these needs. Consequently, the graduates and tourism industry representatives suggested that there should be a close collaboration between the educators and the industries. Representatives of the survey made suggestions related to cooperation such as relations between industry representatives and tourism enterprises, which have to be consultative, exchange programmes have to be implemented, and independent tourism awards have to be established.
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Dimitar Kanev, Venelin Terziev
BEHAVIOURAL ECONOMICS: DEVELOPMENT, CONDITION AND PERSPECTIVES
Summary:
The study examines the place of behavioural economics in the structure of economic science and the practice of state regulating. The thesis that neoclassicism is an appropriate normative approach for analysing human behaviour is defended but the comparative advantages are on the side of behavioural economics in the answers of descriptive, diagnostic, prognostic and perspective issues. It tracks the historical roots, the ideas of behavioural economics for the limited rationality, will and egoism are presented in short as well as the contribution of behavioural approach to the state’s intervention ideology and practice. The libertarian paternalism idea and its role for the transformation of ‘a state of wealth’ into the ‘new paternalistic state’ that is increasingly gaining clear outlines are presented.
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Iskra Panteleeva
APPROACHES AND STRATEGIES FOR HUMAN RESOURCE MANAGEMENT OF LARGE BUSINESS ORGANISATIONS
Summary:
The study presents the results of an empirical study of the behaviour of large Bulgarian non-profit organizations in terms of their human resources. First the conceptual methodical and organizational framework of the study is described. Then we present the overall "HR picture" and the systematized data related to the application of different approaches and the development of specific strategies in this area. Thus we define the main problems and the most important guidelines for effective human resource management in certain business organizations.
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Penko Dimitrov
LEGAL REGIME OF TAX LIABILITY PROCEEDINGS
IN THE REPUBLIC OF BULGARIA
Summary:
The study analyzes the overall legal regime of tax liability proceedings in the Republic of Bulgaria. It examines the legal characteristics, the participants and the effects at all stages - from the finding of facts, cir-cumstances and tax liabilities of tax-liable persons through the proceedings for assessing the tax liability carried out by the revenue authorities to the ad-ministrative and judicial appellation proceedings. Thus tax liability proceed-ings are defined as a complex and independent process regardless of the fact that the provisions for its individual stages are contained in different regula-tions.
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Nadezhda Stoyanova
CHALLENGES FOR LOCAL ACTION GROUPS IN BULGARIA
Summary:
Local Action Groups (LAGs) in Bulgaria are one of the most promising forms of public-private partnership which carry out public benefit activities and contribute to solving many problems in rural areas - economic, social, environmental, cultural, health, educational, etc. Challenges for the LAG exist in all EU Member States, but their nature and scale vary from country to country. The aim of the study is to analyze and evaluate the opportunities and challenges of local action groups in Bulgaria as the most recognizable and powerful tool for rural development, ensuring long-term institutional sustainability at the local level. Directly related to the objective are the tasks: Research of secondary and primary sources of information to describe the key problems of LAGs; Analysis of the LAGs' relationships and dependencies with their stakeholders; Defining proposals for improving the environment for the functioning of the LAG in the country.
The study scopes the 64 local initiative groups in Bulgaria which apply the community-led local development (CLLD) approach in the programming period 2014-2020. The study seeks to determine the problems, difficulties, and challenges that the LAGs have encountered in creating and their functioning in Bulgaria and which they continue to face at the present time.
The thesis of the study is that in order to fully and comprehensively use the potential of LAGs as a universal tool for local development and for strategies to have a significant and broad territorial impact in rural areas to address their huge number of problems (economic, social, environmental, educational, technical, cultural, health, etc.), it is necessary to improve the management environment.
Qualitative and quantitative research of the LAG has been conducted in two stages. During the first stage (March-April 2021), individual interviews were conducted among persons working in the local initiative groups in the country. The aim is to study the factors that led to the emergence of difficulties in the work of the LAG, and to expand the ideas about the subject under study. During the second stage (May 2021), a survey was conducted, through which quantitative information was collected on individual aspects of the subject of analysis. The questionnaire is structured on the basis of the results of the qualitative analysis in the first stage, as well as on the basis of the experience of the author, working in a LAG in recent years. Key problems were presented to the LAG during the programming period 2014-2020, the reasons for their occurrence and development in dynamics compared to the previous programming period - 2007-2013. Among the most important recommendations is the improvement of the administrative capacity of the governing bodies and of the regulatory framework, the frequent change of which contributes to a severe difficulty in the work of the LAG.
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Viktoriya Stancheva
APPLICATION OF MATHEMATICAL MODELLING IN CUSTOMER PORTFOLIO MANAGEMENT
Summary:
Customer relationship management is one of the main trends in the modern marketing management of business organizations. This is because customers and the value they can generate for the company are essential to the success of any company. The dynamic development of scientific studies and practical solutions in this direction determine the interest in seeking and designing tools for facilitating the analysis, evaluation, development and management the customer relationships. Opportunities for this are provided by the concept of "customer portfolio", which views customers and their relationships as assets capable of generating value.
The main thesis of the study is that there are opportunities for application and design of economic and mathematical models for customer portfolio management, which can be used as adequate management tools for decision-making in relation to the optimal customer relationship management. Economic and mathematical modelling is considered to be an adequate methodological basis for optimizing customer portfolios. A critical retrospective overview of the existing customer portfolio management models and the economic and mathematical models used in them is presented. Prerequisites for using economic and mathematical models and critical factors for their success in managing customer portfolios are systematized.
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Nadezhda Dimova
APPLICATION OF THE PRINCIPLES OF SUSTAINABILITY
IN BUSINESS LOGISTICS WITH CORPORATE CUSTOMER SERVICE
Summary:
Changing economic conditions pose a number of challenges to business logistics and in particular, its role in customer service, but it can and should be linked to modern understandings of sustainability. The aim of the study is to highlight the application of the principles of sustainability in business logistics with corporate customer service.
The main tasks related to the goal are: to present the content aspects of sustainability and its connection with business logistics; to bring the technological solutions in business logistics with corporate customer service in the direction of increasing sustainability; to derive the expected results from the application of the principles of sustainability in business logistics with corporate customer service.
The main research thesis of the author is that digitalization in business logistics predetermines a number of changes and requires managers of large companies be innovative and creative in applying the principles of sustainability in order to provide an excellent service to ever-changing corporate customers.
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Slavi Genov
REVENUE FROM CONTRACTS UNDER MULTIPLE-ELEMENT ARRANGEMENTS
Summary:
The study addresses issues associated with the time of origin and recognition of income in accounting. The applied principles and rules, methods and methodologies relevant to the individual economic situations related to the recognition of income are considered and analyzed.
The study is devoted to the recognition of revenue from transactions for the sale of goods or services, the implementation of which is at a certain time or within a certain period. The approaches for revenue recognition in multi-component contracts and transactions are also studied. Execution times for the individual components - goods and services are discussed and the need for a new approach in the reporting of multi-component transactions is clarified. This has been done on the basis of the review of existing and applied approaches and methods and the practice and policies of companies applying the International Accounting Standards in the field of telecommunications in Bulgaria and of large and medium enterprises applying National Accounting Standards for 2019. Since the companies in Bulgaria, based on the requirements of the Accounting Act, prepare and present their annual financial statements, in compliance with the requirements of IAS or NSS, the different approaches are considered and discussed - based on the analysis of the relationship and commonalities and differences between IFRS and NSS. The study and clarification of the main points in multi-component contracts is related to the thesis that knowledge of the basic rules for transfer of control and knowledge of the principles of "unbundling" of individual components is a prerequisite for their proper current accounting and periodic presentation in financial reports, as a result of which their usefulness for the users will increase.
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Yordan Yordanov
THE DEVELOPMENT AND CURRENT STATE
OF THE BULGARIAN CAPITAL MARKET
Summary:
This paper investigates the development of the capital markets in Bulgaria, with an emphasis on stocks, from the new millennium to present days. The tasks are: to trace the stock market activity – market cap, turnover and IPOs; to compare similar indicators of other countries in the European Union (EU) and the world; to perform a literature review of the factors determining the development of the capital markets; to analyze those factors that hinder the development of the Bulgarian Stock Exchange (BSE); to compare and contrast cash balances (flows) of the financial assets in the country by economic entities; to review the structural changes on the basis of comparisons to EU countries; to outline the potential sources for the capital market growth.
The research thesis postulates that there is significant potential for the development of direct intermediation (stock market) in Bulgaria, but its development is hampered by a number of factors related to the institutional framework of property rights, corporate governance and high concentration of ownership of listed companies.
The main conclusions are that the Bulgarian capital market has low primary market activity, low turnover on the secondary market and low capitalization relative to GDP. The main part of equity is unquoted shares and other capital. The share of loans from financial assets is large. Obstacles to the development of the capital market are the protection of property rights, corporate governance, control of insider trading, lack of viable capital projects and the weak protection of minority shareholders in the highly concentrated shareholder ownership.
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Teodor L. Borisov
DEVELOPING LOW-CARBON TRANSPORT IN EUROPE: TAX BREAKS AND PURCHASE INCENTIVES
Summary:
The response process of the countries of Europe regarding the requirements for the development of a low-carbon and ecological environment pose many challenges to individual countries. The implementation of the norms laid down in the European Green Pact requires actions in various economic spheres in the corporate, production, public and private sectors. The subject of the present work is the low-carbon transport in Europe. The basis of the present work is the derivation of a comparative analysis of carbon dioxide emissions - average level for the period 2007-2018 (thousands) and the sale of passenger cars - average level for the period 2007-2020. For the purposes of focusing of the study on the development of low-carbon transport in Europe and the applied tax breaks and purchase incentives on a wider scale, the local measures used in individual countries are analysed. The thesis on which the author emphasizes is related to the statement that Bulgaria should follow good practices in the EU, related to incentives for the purchase of cars with low carbon dioxide emissions, as well as tax breaks.
The tasks that have been set with this work are as follows:
- to introduce the measures for decarbonization of road transport;
- to analyze the state of carbon dioxide emissions - average level for the period 2007-2018 (thousands) and the sale of passenger cars - average level for the period 2007-2020;
- to compare the applied tax reductions and purchase incentives aimed at improving the environmental friendliness of the car fleet in European countries.
As a result of the analysis, it is concluded, that there are good practices of financial promotion in some European countries and the justified need to review the tax policy related to the taxation of cars in developing European countries, such as: Bulgaria, Estonia, Italy, Lithuania, Poland, Romania, Slovakia and Slovenia.
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Dimana Doynova
THE NATIONAL SECURITY SYSTEM OF THE REPUBLIC OF BULGARIA AS PART OF THE EUROPEAN UNION SECURITY
Summary:
The topic of security is becoming more and more relevant. The challenges of the environment and the dynamics of social processes place new demands on policies and the responsible bodies involved in their implementation.
The national security system is perceived as a permanent organization, functioning in order to protect and preserve the material goods created by society and people's lives. The activity unites the efforts of so many people and resources at the same time, like no other. This paper presents some security interpretations that need to be taken into account in the preparation and implementation of security policies, both at national and European level. A content analysis of the regulatory and strategic framework in Bulgaria in the context of European security policy has been made. A critical analysis of the existing theories with regard to the national security system has also been conducted and the national interests and strategic goals have been outlined, based on which the challenges, risks and threats to national security have been identified.
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Mariya Georgieva
SOCIALLY RESPONSIBLE BRANDING IN THE CONTEXT
OF THE CONCEPT OF CUSTOMER RELATIONSHIP MANAGEMENT
Summary:
“Socially responsible branding” is a relatively new category in contemporary marketing, formed as a result of the integration of the principles of branding with the Corporate Social Responsibility (CSR) ideology, seen as a strategy for achieving sustainable development.
Research results show that with the advent of the "sophisticated" customer segment and reconceptualization of marketing activities, “socially responsible branding” could play a key role in managing relationships with these customers and can be a factor in forming and maintaining their loyalty.
This study aims to identify the role of “socially responsible branding” in the different stages of the customer relationship management process. For this purpose, the conceptual nature of the category "socially responsible branding" has been clarified by the proposed author's definition. The evolution in the transition from relationship marketing to customer relationship management has been systematized. On this basis, the role of the “socially responsible branding” in each phase of this process - creation, development, maintenance and, in certain circumstances, termination of the client-company relationship is commented.
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Ventsislav Vechev
ACCOUNTING OF FACTORING OPERATIONS
IN COMMERCIAL BANKS
Summary:
In an effort to maintain their competitive advantage as intermediaries in various transactions between economic agents, banks significantly expanded the range of services they provide. Factoring operations are relatively new to our banking practice. In recent years there has been trend of increase in the number of banks offering this service (either directly or through subsidiaries). Commercial banks now face the problem how to manage properly this type of operations in order to minimize the associated risks.
The paper makes an attempt to determine the importance of accounting systems as primary management tools in all businesses (including banks). For this aim it reviews various models for accounting of factoring operations in compliance with the current national legislation and the international accounting standards. Finally, it proposes guidelines for analyzing accounting information related to factoring operations as a tool for making rational managerial decisions regarding the financial stability and the overall management of banks.
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Kamen Kamenov
THE COLLABORATIVE ENVIRONMENT – A SOURCE OF SOCIAL ACTIVITY OR A FACTOR FOR MOTIVATED PASSIVITY
Summary:
The study relates success, the role of personal and professional skills and teamwork on the one hand to the importance of collaborative environment on the other. The components of the collaborative system are of particular importance for the success in achieving the common goals. Moreover, even when personal and professional skills are of very high quality and the team is efficient, its actual performance may deviate in varying degrees from the expected results because of the collaborative environment. It is a source of social activity because it modifies the behaviour of the team members. The study examines the relation between collaborative environment and motivated passivity. An emphasis is put on its role and importance for individual’s deficit of ideas. In this respect the study examines two main issues - education and communication and the shortcomings of institutions and the social environment. It defines the specific problems that underlie the deficit of ideas, which is related to motivated passivity. This in turn affects the efficiency of the social system. The study provides guidelines for implementation of changes to overcome motivated passivity as a social phenomenon.
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Silvia Trifonova
TRENDS IN THE CHANGE OF THE MACROECONOMIC IMBALANCES OF BULGARIA
Summary:
The main purpose of the study is to analyze the key trends in the developments of Bulgaria’s macroeconomic imbalances. The analysis of macroeconomic imbalances is extremely important because imbalances in one member state of the European Union (EU) can have a negative impact on other member states in the Union. These imbalances are identified by the European Commission on the basis of annual Alert Mechanism Reports (ARM) published by it. The first Alert Mechanism Report of 2012 is the initial step in the implementation of a new supervisory procedure for preventing and correcting macroeconomic imbalances – „Macroeconomic Imbalance Procedure“ (MIP). The surveillance aimed to prevent and correct macroeconomic imbalances in the MIP framework has been introduced as an important tool in the EU’s economic governance framework. It is accepted as part of the so-called “Six-pack“ of legislative measures to strengthen the EU economic governance, which, among other things, provides for a significant strengthening of the oversight of EU Member States fiscal policies. The surveillance of macroeconomic imbalances in the MIP is part of the European Semester, which adopts an integrated and preventive approach to the EU economic policy challenges aimed at ensuring fiscal sustainability, competitiveness, financial market stability, and economic growth.
The present study focuses on the indicators within the MIP, describing the external imbalances and the competitiveness of the Bulgarian economy, and the trends in their change. These indicators are part of a total of 14 main indicators contained in the so-called „MIP Scoreboard“ for macroeconomic imbalances surveillance. The external sector indicators are the following five: 1) Current account balance of the balance of payments; 2) Net international investment position; 3) Real effective exchange rate; 4) Export market share in world exports; 5) Nominal unit labor cost. The units of each of these indicators, the data sources and their statistical domains are presented in the study.
For each of the indicators, indicative thresholds are set in the MIP Scoreboard. The period analyzed in the study is from 2010 to 2021, inclusive. This period corresponds to the Alert Mechanism Reports published by the European Commission from 2012 to 2023 inclusive.
Emphasis in the present study is placed on the analysis of macroeconomic imbalances in the external sector and competitiveness in the Bulgarian economy. For this purpose, the external sector indicators from the MIP Scoreboard are analyzed in the study. The latter have not been fulfilled by Bulgaria, i.e. they are beyond their indicative thresholds, during the period from 2010 to 2021, inclusive. For these indicators, the European Commission has found that there are external macroeconomic imbalances in Bulgaria during the period under review. In practice, these are the indicators net international investment position, nominal unit labour costs and balance on the current account of the balance of payments.
The present study contributes to a more complete interpretation of the quantitative data in the MIP Scoreboard for Bulgaria and the associated assessments of risks to macroeconomic stability in the context of the specifics of the national economy.
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Penka Shishmanova, Yuliyan Gospodinov, Evelina Parashkevova Velikova, Kristiyan Korelov, Kristiyana Dimitrova
THEORETICAL AND PRACTICAL ASPECTS OF USING INTERACTIVE METHODS IN THE CONTINUING EDUCATION
AT D. A. TSENOV ACADEMY OF ECONOMICS
Summary:
Nowadays the importance of vocational education and training is becoming increasingly important for improving the quality of human resources and their successful realization on the labour market. The purpose of this paper is to study and analyze the conditions under which the interactive methods are applied in the continuing education at D. A. Tsenov Academy of Economics, and to formulate recommendations for its improvement.
To accomplish this goal, the following tasks are set: to present the framework and the main objectives of vocational education and training; to develop a survey methodology; to explore and critically analyze good practices of applying interactive teaching methods in continuing education in Bulgaria and abroad, and to approbate some of them in the Academy; to summarize and draw conclusions.
The study proves the research thesis that the use of interactive teaching methods in the continuing education at D. A. Tsenov Academy of Economics makes the study material more accessible and understandable for the learners, and stimulates their activity and creativity. As a result, this leads to better consumer satisfaction, increased quality of the overall training process and high efficiency for the training organization.
The study concludes that the interactive teaching methods should be intensively developed and creatively applied (according to the specific discipline, course, and subject matter), and become a top priority for lecturers, heads of centres and higher education institutions, as a whole.
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Galya Koleva Moneva
TECHNOLOGIES IN SUPPORT OF REVENUE MANAGEMENT
OF RESTAURANT BUSINESS
Summary:
The study examines issues related to the application of technological solutions in revenue management that help address the challenges and improve the opportunities of the restaurant business. The aim of the development is to systematize and present in a modern context applicable technologies supporting revenue management. The author's main thesis is that modern technological methods are useful and increasingly necessary means of modern revenue management. The first part of the study examines the consolidation relationship between revenue management and software restaurant systems. In the second part, modern technological solutions in the restaurant business with an impact on revenue management have been systematized. The necessary functions of restaurant software for the purposes of successful revenue management have been presented in the third part of the development. Some of the main trends in the development of technological solutions for the restaurant business also found a place in the development. As a result of the analysis, it is concluded that by supporting globalization and accelerating the exchange of information, technology is one of the main factors for global economic development. In conclusion, it is stated that the positive economic effect that technology supports in the restaurant industry contributes to the development of this type of business in modern conditions and the discovery of new opportunities for strengthening and expanding market positions.
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Andrey Yordanov
TRANSFORMATION TO AGILE PROJECT MANAGEMENT – CHALLENGES FOR THE IT INDUSTRY
Summary:
The purpose of the paper is to analyze and critically evaluate the challenges facing the organizational migration from traditional to agile project management and to propose an organizational framework with conditions for a more successful transformation to Agile in the IT sector. The research thesis states that migrating from traditional to agile project management is a complex organizational innovation that may face multiple barriers and challenges. Overcoming these barriers requires creating appropriate conditions that are relevant to the identified weaknesses and at the same time enforced not in a bureaucratic but flexible way.
The tasks of the study are: 1) Clarifying the evolution in project management and key factors and challenges in the transformation from traditional to agile project management; 2) Empirical study of the critical factors for a successful transformation towards agile project management; 3) Formulation of proposals for the necessary conditions and organizational inter-ventions to support the process of migrating to the agile approach. An empirical study was conducted and the factors and challenges in the process of moving to Agile were investigated among respondents from different companies (n=98). On the basis of the findings, key conditions for organizational interventions to be followed to implement an efficient migration to an Agile have been identified.
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Vyara Slavyanska
HUMAN RESOURCE MANAGEMENT
AT “SKF BEARINGS BULGARIA” EAD
Summary:
The competitive advantages of modern business organizations is no longer considered in relation to their tangible assets but mostly to their intangible assets. Today the emphasis is put on human capital and the effective synchronization thereof with the overall organizational strategy. Numerous studies have concluded that firms with more efficient human resource management systems perform markedly better than their competitors and that their improved organizational performance is due to complex changes in the skills, attitudes and behaviour of their personnel.
This paper presents the results of a study conducted in a large business organization in order to identify the applicable human resource management practices and to derive conclusions regarding the potential of the human resource management (HRM) system to contribute to the effectiveness of the organization. The analysis of the results identified the most and the least often applied HRM activities in the everyday routine of manual workers and administrative staff. It also identified certain differences in the application of HRM practices to both categories of staff, which suggests that different approaches are adopted regarding the different types of job positions in a presumed conspiracy to defraud the workers. The paper outlines several problem areas that require the attention of the management of the organization and proposes certain solutions.
In general, the company subject to our study may be considered an example of human resource management, which confirms the hypothesis that this function is well developed in large multinational organizations. This provides the grounds to believe that their HRM system is highly efficient and has a potential for inducing positive changes in the skills, attitudes and behaviour of their staff.
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Pencho Penchev, Rositsa Pencheva
SUSTAINABLE DEVELOPMENT – THEORETICAL
AND PRACTICAL ASPECTS
Summary:
The present paper argues again that sustainable development is an objective need of people, which has no alternative. The paper examines a very small part of the ‘man-nature’ relationship. On the one hand, the major achievements in the implementation of the sustainable development are described and, on the other hand, the problems that need to be studied and solved by scientists, policy makers, practitioners and others are set out, since this concept requires an integrated approach. We consider that the implementation of sustainable development is the only option. Moreover, its implementation is imposed by the reality because we owe it to present and future generations.
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Momchil Antov, Krasimir Kulchev
IMPROVEMENT OF CUSTOMS CONTROL IN THE ANALYSIS
OF FINANCIAL SOLVENCY OF AUTHORIZED ECONOMIC OPERATORS
Summary:
Modern trends in customs control were related to the development and implementation of new control procedures allowing both effective manifestation of its basic functions - fiscal, economic and defense. The aim is to achieve a balance between the ever-increasing requirements for customs administrations in terms of security and safety of international trade and the willingness of retailers for easy and quick clearance of their goods. In this connection, a so-called „Simplified customs procedures” and in particular the status of „Authorized Economic Operator”. Its use is associated with certain requirements (conditions) that must be met by those wishing to gain access to specific facilities in the course of covering the activities of their customs procedures. This necessitates the need for controls, allowing authentication extent of these requirements.
From the standpoint of customs control checks on the criteria for financial solvency go beyond the conventional application, which is the reason for the existence of some difficulties in their implementation. Priority application here is the financial analysis, but at the moment in our customs administration has not developed a unified analytical methodology for arriving at a more accurate and specific conclusions and assessments. In this paper are considered peculiarities of the customs control of the said criteria and offer two analytical approaches allowing the more precise studies on the financial solvency of the persons with the status of „Authorized economic operators”. These are preparing comprehensive assessment and analysis of individual factors.
