Title: Barriers for FDI in Serbia: evidence from the manufacturing sector

Authors: Aristidis P. Bitzenis; Vladimir P. Žugić

Addresses: Department of International and European Studies, University of Macedonia, 156 Egnatia Street, Thessaloniki 54006, Greece ' Ball Packaging Europe Belgrade ltd, Batajnicki drum 21a, 11080 Belgrade, Serbia

Abstract: Among countries that emerged after the disintegration of Yugoslavia in end of the 20th and beginning of the 21st century, Serbia and its neighbours are experiencing and anticipating the FDI inflows to support their relatively weak economies. After the initial inflow related to M&A during the restructuring of the financial sector, as the main driver of the economic growth, the manufacturing sector is a natural candidate for the promotion of FDI inflows. Barriers that are recognised by investors in manufacturing sector in Serbia are determined and investor specific interactions are explored, confirming that bureaucracy is the barrier recognised by the majority of investors. Top rated barriers that follow are related to macroeconomic and legal factors.

Keywords: foreign direct investment; FDI; manufacturing industry; barriers; Serbia; transition economies; bureaucracy.

DOI: 10.1504/GBER.2016.075526

Global Business and Economics Review, 2016 Vol.18 No.2, pp.227 - 246

Received: 05 Jun 2014
Accepted: 17 Sep 2014
Published online: 28 Mar 2016 *

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