Using Eco-innovation Index to Measure the Eco-innovation Performance in the Global Knowledge Economy: Evidence from Slovakia

Eco-innovation and green technologies are the key to Europe´s future and they are at the heart of the EU policies. To step towards the sustainable economic growth, there is a need for much more eco-innovation. The aim of the paper is to use the eco-innovation index as an instrument to measure the eco-innovation performance of a country in the global knowledge economy, to analyse and assess the components and indicators of eco-innovation index for Slovakia in the year 2017 and to compare them with those of EU 28. Identified and discussed will be the areas in which the main strengths and weaknesses are evident, formulated will be the main implications for managers and policy makers in Slovakia to improve the state in mentioned area. Following the aim of the paper a set of research questions will be formulated. Our study is based on secondary sources of data coming from the Eurostat and Eco-Innovation Observatory. The methods used in the paper are the method of casual analysis, deduction, abstraction, comparison as well as the synthesis

Inovacijski vodje, skromni inovatorji in neinovativna mala in srednje velika podjetja na Slovaškem

Background and Purpose: The field of innovation represents for small and medium enterprises (SMEs) a fundamental challenge. If the number of innovative SMEs is to rise, it is necessary to identify key factors determining their innovation activity and eliminate the innovation barriers. The main purpose of the paper is to present the results of primary research focused on identification (evaluation) of key factors and barriers determining innovation activities in Slovak SMEs. The division of SMEs into three groups of enterprises: innovation leaders, modest innovators and non-innovators enables to identify the differences in managers’ perception of the main factors and barriers determining innovation activities in various types of SMEs and to formulate policy implications for Slovak SMEs. Design/Methodology/Approach: Results of the empirical research were processed using MS Excel and the statistical analysis of the data in R3.2.4. statistical system was done. For statistical tests we assumed significance level (α = 0.1). Results: Evaluating the importance of the key factors a majority of enterprises (64.71%) indicated financial resources as the most important factor for the innovations. There is no statistically significant difference in individual (analysed) factors between innovation leaders, non-innovators and innovation followers (modest innovators). The results gained from Fisher exact test (p-value = 0.11) indicated a small difference in evaluating the significance of individual barriers between innovation leaders, non-innovators and modest innovators. Majority of enterprises also see as the main barriers to develop innovation activities bureaucracy and corruption and inappropriate state support of innovation activities. Conclusion: The main implications (conclusion) coming from the research are basic recommendations for state policy makers as well as SME’s managers to foster innovation activities in enterprises. They refer to the areas of financial resources, high-quality human resources, cooperation and participation of SMEs in different networks and clusters, systematic institutional support to SMEs, well-created vision and clearly formulated aims, and willingness of enterprises to innovate. Recommendations are summarised following the results of factor’s and barrier’s evaluation.Ozadje in namen: Področje inovacij predstavlja temeljni izziv za mala in srednje velika podjetja (MSP). Da bi lahko povečali število inovativnih MSP, moramo opredeliti ključne dejavnike, ki določajo njihovo inovacijsko dejavnost in odpravijo inovacijske ovire. Glavni namen prispevka je predstaviti rezultate raziskave, osredotočene na identifikacijo in oceno ključnih dejavnikov in ovir inovacijske dejavnosti v MSP. Ta podjetja smo klasificirali v tri skupine: inovacijski voditelji, skromni inovatorji in neinovatorji, kar omogoča prepoznati razlike v mnenjih menedžerjev o glavnih de­javnikih in ovirah, ki vplivajo na inovacijske dejavnosti v različnih vrstah malih in srednje velikih podjetij, in oblikovati smernice posledice za slovaška MSP. Zasnova / metodologija / pristop: Zbrane empirične podatke smo obdelali z MS Excel in s statističnim paketom R3.2.4. Pri statističnih testih smo privzeli raven pomembnost (α = 0,1). Rezultati: Večina podjetij (64,71%) je kot najpomembnejši dejavnik inovativnosti navedla finančna sredstva. Med (analiziranimi) posameznimi dejavniki med inovativnimi voditelji, skromnimi inovatorji in neinovatorji nismo ugotovili statistično značilnih razlik. Rezultati, pridobljeni s Fisherjevim testom (p-vrednost = 0.11), kažejo majhno razliko pri vrednotenju pomena posameznih ovir med vodilnimi inovatorji, neinovatorji in skromnimi inovatorji. Večina podjetij meni, da so nadaljnje glavne ovire pri birokracija in korupcija na področju inovacijskih dejavnosti ter neustrezna državna podpora inovacijskim dejavnostim. Zaključek: Iz raziskave izhajajo osnovna priporočila za snovalce državnih politik, pa tudi za mala in srednja pod­jetja, da spodbujajo inovacijske dejavnosti v podjetjih. Nanašajo se na področje finančnih virov, visokokakovostnih človeških virov, sodelovanje in udeležbo MSP v različnih omrežjih in grozdih, sistematično institucionalna podpora MSP, dobro oblikovano vizija in jasno oblikovane cilje in pripravljenost podjetij na inovacije

Measures supporting entrepreneurship in Slovak smes in the most vulnerable industries in times of the covid-19 pandemic

The anti-pandemic measures taken to prevent the spread of the coronavirus has slowed down the economic activities of many businesses. Particularly vulnerable are SMEs in industries hardest hit by the crisis. These are SMEs which, due to the nature of their activities, have seen their operations severely restricted or even had to shut down during the pandemic. Key to ensure their survival are government support measures. The aim of the paper is to find out whether there is a dependence between the industry in which SMEs operate and measures to support entrepreneurship in most vulnerable industries during the second wave of the COVID-19 pandemic in Slovakia and to assess whether the measures adopted by the government correspond to those proposed by SMEs in these industries. For the analysis, data from a survey conducted by the Slovak Business Agency in November 2020 on a sample of 1,109 Slovak SMEs were used. We identified the dependence of the above two characteristics, i.e., the industry and the support measures (distinguishing between measures implemented and measures proposed by SMEs) using the statistical analysis. To verify the correlation between the implemented measure and industry, the chi-squared test of independence was used. To determine whether the support measures adopted by the Slovak Government correspond to those proposed by SMEs, we used the correlation analysis, comparison and synthesis. The results confirmed no major differences between the type of industry and measures proposed by SMEs. Some minimal differences were identified in the most vulnerable industries (accommodation and catering). SMEs negatively assess that their views were not sufficiently taken into account when the measures were adopted by the Slovak Government and that they contain a number of exceptions and conditions under which the aid is provided. Irrespective of the type of industry, SMEs particularly call for the reduction or partial remission of levies, increase in the fixed cost allowance and in flat-rate aid calculated on the basis of the decrease in sales

The knowledge and use of the balanced scorecard method in businesses in the Slovak republic

The Balanced Scorecard method (BSC) has emerged since the late 1990s (as proposed by Kaplan and Norton) as one of the most successful concepts in the fi eld of strategic performance management. It has evolved from its early use as a simple performance measurement framework to a full strategic planning and management system. Balanced Scorecard is used by many successful businesses all around the world. Main aim of the paper is to present the results of primary research focused on detecting the current state of the knowledge and use of the Balanced Scorecard method in businesses in the Slovak Republic. In the fi rst part of the paper is presented the essence of the BSC method, formulated are the main benefi ts connected with the Balanced Scorecard implementation into the strategic management of the businesses. These benefi ts are defi ned according to the content analysis of domestic and foreign literature. Following the goal of the article next part presents the results of the empirical research based on the questionnaire survey. Results are connected with the evaluation of the six hypothesis defi ned in regard of the established goal of the paper. Formulated will be presumptions to improve the state of utilizing the BSC method by Slovak businesses. For the fulfi lment of settled objectives we have used several scientifi c methods of examination, namely the method of analysis, synthesis, induction, deduction, abstraction, generalisation as well as statistical methods

Factors determining profitability of small and medium enterprises in selected industry of mechanical engineering in the Slovak republic: the empirical study

The profi tability analysis revealing factors infl uencing profi tability becomes a very helpful tool providing guidelines for managers in their short-term as well as strategic decision-making process. To take right decisions, managers need to analyse their fi nancial situation, especially in respect to fi rm´s profi tability and the factors infl uencing it. Mechanical engineering industry belongs to key industries in Slovakia. It apparently plays an essential role in the global economy, it is a source of entrepreneurship, innovations and new jobs. Many of enterprises operating in this industry are small or medium-sized. These are some of the reasons for which SMEs´ profi tability and ways of its improvement should draw particular attention. The paper presents results of research carried out in the selected industry of mechanical engineering of SMEs in Slovakia (SK NACE rev. 2 28xxx – Manufacture of machinery and equipment not elsewhere classifi ed). The aim of the research is to analyse and evaluate the development of profi tability in this industry during the period 2008- 2015 and to identify key external and internal factors infl uencing profi tability of SMEs over that period. In order to determine the infl uence of basic indicators, the DuPont pyramidal analysis was performed. Data obtained by means of the questionnaire survey enabled to identify the factors affecting profi tability whose infl uence is impossible to calculate. The Friedman and Wilcoxon tests were used to evaluate the answers in questionnaires. Results are connected with the evaluation of three hypotheses defi ned in regard of the established goal of the paper

Identification of prospective industrial clusters in Slovakia

Clusters became an integral part of regional policies intended to build and strengthen competitive advantages within specifically identified geographical areas. They are still considered crucial for economic development and employment, although their orientation has slightly changed as the distance and geographical boundaries lost their importance. This article analyses crucial regional data that indicates potentially beneficial economic concentrations as an assumption for the preparation of prospective clusters in Slovakia. Potential clusters were identified based on significant employment concentrations of particular regional industries that appear extraordinary when compared with national employment and the dynamic development within the selected time frame. Prospective clusters were identified, and opportunities of their development were described, including the harmonisation with the current regional and urban strategy. Analysing absolute and relative quantities in employment, sections and divisions of SK NACE were used for the proper identification of industries. The location quotient served as a tool for the spatial concentration of employment in the Banská Bystrica region, the threshold value for the selection of cluster candidates was set to 2. The shift–share analysis was used for the identification of long-term changes in employment, and 10% of the most dynamic industries were presented at the level of divisions once and then, at the level of sections of SK NACE. Forestry and logging, the manufacture of wood products and the manufacture of basic metals were confirmed by both methods as significant concentrations. The result partially corresponded with the previously active and currently inactive cluster in Banská Bystrica, which was focused on mechanical engineering, still significant when considering numbers of companies and employees as well as sales. Forestry was the most concentrated industry, while the wholesale and retail trades were the most dynamic. Forestry, logging and manufacture of wood products might be strongly interlinked with the current entrepreneurial and social strategy of self-governing regions that is still at the stage of potential cluster identification and fitting to its priorities. The article assumed basic quantitative methods utilised for the identification of prospective clusters. It confirmed the practicality of their application, the gravity of data processing and also certain possible limitations due to the extraordinary focus on the employment concentration. According to the analysis and gained results, the former cluster in the Banská Bystrica region was confirmed as the potentially significant actor in the regional policy (although, currently, having no industrial or public interest) and the new cluster candidates were identified. Outcomes indicated the need to continue the research with a more detailed examination of qualitative aspects that could complete the effort by focusing on clusters not only having higher employment statistics but also the support from regional institutions, also reflecting the preferences of businesses

Innovation Leaders, Modest Innovators and Non-innovative SMEs in Slovakia: Key Factors and Barriers of Innovation Activity

Background and Purpose: The field of innovation represents for small and medium enterprises (SMEs) a fundamental challenge. If the number of innovative SMEs is to rise, it is necessary to identify key factors determining their innovation activity and eliminate the innovation barriers. The main purpose of the paper is to present the results of primary research focused on identification (evaluation) of key factors and barriers determining innovation activities in Slovak SMEs. The division of SMEs into three groups of enterprises: innovation leaders, modest innovators and non-innovators enables to identify the differences in managers’ perception of the main factors and barriers determining innovation activities in various types of SMEs and to formulate policy implications for Slovak SMEs

Identification of prospective industrial clusters in Slovakia

Clusters became an integral part of regional policies intended to build and strengthen competitive advantages within specifically identified geographical areas. They are still considered crucial for economic development and employment, although their orientation has slightly changed as the distance and geographical boundaries lost their importance. This article analyses crucial regional data that indicates potentially beneficial economic concentrations as an assumption for the preparation of prospective clusters in Slovakia. Potential clusters were identified based on significant employment concentrations of particular regional industries that appear extraordinary when compared with national employment and the dynamic development within the selected time frame. Prospective clusters were identified, and opportunities of their development were described, including the harmonisation with the current regional and urban strategy. Analysing absolute and relative quantities in employment, sections and divisions of SK NACE were used for the proper identification of industries. The location quotient served as a tool for the spatial concentration of employment in the Banská Bystrica region, the threshold value for the selection of cluster candidates was set to 2. The shift–share analysis was used for the identification of long-term changes in employment, and 10% of the most dynamic industries were presented at the level of divisions once and then, at the level of sections of SK NACE. Forestry and logging, the manufacture of wood products and the manufacture of basic metals were confirmed by both methods as significant concentrations. The result partially corresponded with the previously active and currently inactive cluster in Banská Bystrica, which was focused on mechanical engineering, still significant when considering numbers of companies and employees as well as sales. Forestry was the most concentrated industry, while the wholesale and retail trades were the most dynamic. Forestry, logging and manufacture of wood products might be strongly interlinked with the current entrepreneurial and social strategy of self-governing regions that is still at the stage of potential cluster identification and fitting to its priorities. The article assumed basic quantitative methods utilised for the identification of prospective clusters. It confirmed the practicality of their application, the gravity of data processing and also certain possible limitations due to the extraordinary focus on the employment concentration. According to the analysis and gained results, the former cluster in the Banská Bystrica region was confirmed as the potentially significant actor in the regional policy (although, currently, having no industrial or public interest) and the new cluster candidates were identified. Outcomes indicated the need to continue the research with a more detailed examination of qualitative aspects that could complete the effort by focusing on clusters not only having higher employment statistics but also the support from regional institutions, also reflecting the preferences of businesses