UDC 351.824.1(497)
Biblid: 0543-3657, 63 (2012)
Vol. 63, No 1147, pp. 73-86
DOI:

Izvorni naučni rad
Received: 20 Jul 2012
Accepted: 01 Jan 1970

A PREREQUISITE FOR PROSPEROUS DEVELOPMENT OF THE SERBIAN ECONOMY – INCREASING COMPETITIVENESS OF INDUSTRY

Petrović Pero (Naučni savetnik, Institut za međunarodnu politiku i privredu, Beograd), pera@diplomacy.bg.ac.rs
Jović Željko (MA, Doktorant, Ekonomski fakultet Beograd i Narodna banka Srbije), Zeljko.Jovic@nbs.rs

The accelerating globalization of the world market\'s rapid development as well as the current economic crisis impose to all countries increasing demands for constant change, particularly to improve their competitiveness. It enables the expansion of export competitiveness, high economic growth, development, and social well-being, which is manifested in increased employment and higher living standards of the population. Whether it is a micro or macro concept of competitiveness in the fiercely competitive game winners are those that increase productivity and efficiency. At the micro level, productivity affects the rate of return on investments made in the mechanical engineering (companies) as one of the key driving forces of economic growth. At the macro level, the level of productivity determines the level of sustainable growth and development, economic development and prosperity. According to the majority of indicators of relevant institutions and research, the competitiveness of the Serbian economy is low. The Serbian mechanical engineering should be based on increasing efficiency of production processes to increase the product quality. Development and growth should be based on production and technological innovations.

Keywords: Serbian industry competitiveness, effects, creativity, innovations