Josip Juraj Strossmayer University of Osijek

FACULTY OF ECONOMICS IN OSIJEK

JOSIP JURAJ STROSSMAYER UNIVERSITY OF OSIJEK THEF JOSIPacul tyJURAJ of STROSSMAYEREconomics in UNIVERSITY Osijek - croatia OF OSIJEK PostgradFACULTYuate Do OFctora ECONOMICSl Study IN Pro OSIJEKgram - CROATIA in Management HOCHSHOCHSCHULECHULE Pforz PFORZHEIMheim University UNIVERSITY - GERMANY ______CROATIAN ACADEMY OF SCIENCES AND ARTS ______INTERDISCIPLINARY MANAGEMENT RESEARCH XIV INTERDISZIPLINÄREINTERDISCIPLINARY MANAGEMENTFORSCHUNG MANAGEMENT RESEARCH XV XIV INTERDISZIPLINÄRE MANAGEMENTFORSCHUNG XV

Under the auspices of the President of the Under the auspices of the President of the Republic of Croatia Republic of Croatia

Opatija, 2019

Opatija, 2018 Published by: Josip Juraj Strossmayer University of Osijek, Faculty of Economics in Osijek, Croatia Postgraduate Doctoral Study Program in Management Hochschule Pforzheim University, Germany Croatian Academy of Sciences and Arts

For the Publisher: Boris Crnković, Ph.D., Dean, Josip Juraj Strossmayer University of Osijek, Faculty of Economics in Osijek, Croatia Thomas Cleff, Ph.D., Dean, Hochschule Pforzheim University, Germany

Editors: Dražen Barković, Ph.D., Faculty of Economics in Osijek Boris Crnković, Ph.D., Faculty of Economics in Osijek Marijana Zekić Sušac, Ph.D., Faculty of Economics in Osijek Karl – Heinz Dernoscheg, Ph.D., International Business School Styria, Austria Norbert Pap, Ph.D., University of Pecs, Hungary Bodo Runzheimer, Ph.D., Pforzheim University, Business School, Germany Dirk Wentzel, Ph.D., Hochschule Pforzheim University, Germany

Technical editor: Jerko Glavaš, Ph.D., Editor, Faculty of Economics in Osijek, Croatia Aleksandar Erceg, Ph.D., Editor, Faculty of Economics in Osijek, Croatia

Design: Krešimir Rezo, graf.ing. Krešendo, Osijek

Print: Studio HS internet d.o.o. Osijek

ISSN 1847-0408

Conference Proceedings is indexed in databases which are listed at the official web conference page: http://imr-conference.com

This publication is partly financed by Ministry of Science and Education of the Republic of Croatia. Program Committee: Željko Turkalj, Ph.D., Faculty of Economics, chair academician Vlasta Piližota academician Brano Markić Zoran Jašić, Ph.D., Former Ambassador of the Republic of Croatia to the Republic of Austria Gordana Deranja, Croatian Employers’ Association Luka Burilović, Croatian Chamber of Economy Ljubo Jurčić, Ph.D., Croatian Economic Association Mladen Vedriš, Ph.D., Faculty of Law, University of Zagreb Ivan Miloloža, Ph.D., Faculty of dental medicine and health Vedrana Jelušić Kašić, Deloitt Thomas Cleff, Ph.D., Pforzheim University, Germany

Organizational Committee: Jerko Glavaš, Ph.D., Chair Ivana Barković Bojanić, Ph.D., deputy chair Antun Biloš, Ph.D. Davorin Turkalj, Ph.D. Martina Briš Alić, Ph.D. Nataša Drvenkar, Ph.D. Aleksandar Erceg, Ph.D. Biljana Činčurak Erceg, Ph.D. Ivan Kelić, Ph.D. Martina Harc, Ph.D. Jelena Legčević, Ph.D. Ivan Kristek, Ph.D. Ivana Fosić, Ph.D. Katica Križanović, univ.spec.oec. Tin Horvatin, mag.oec. Jelena Franjković, Ph.D. student Dina Liović, Ph.D. student Ana Pap, Ph.D. student Dario Šebalj, Ph.D. student Ana Trusić, Ph.D. student Ivana Unukić, Ph.D. student Sunčica Milutinović, Ph.D., Faculty of Economics in Subotica, Serbia Željko Vojinović, Ph.D., Faculty of Economics in Subotica, Serbia Kenan Mahmutović, Ph.D., Faculty of Economics Bihać, Bosnia and Herzegovina Mirela Kljajić-Dervić, Ph.D., Faculty of Economics Bihać, Bosnia and Herzegovina Dijana Vuković, Ph.D., Faculty of Economics Bihać, Bosnia and Herzegovina Bruno Mandić, Ph.D. student Juraj Rašić, Ph.D. student Sofija Turjak, Ph.D. student Zvonimir Savić, Croatian Chamber of Economy

Contents

Vorwort...... Xv FOREWORD...... XVi

GENERAL MANAGEMENT...... 17 Anna Borucka APPLICATION OF JOINPOINT REGRESSION IN DEMAND FORECASTING ON THE EXAMPLE OF BAKERIES...... 19 Dino Bruža, Ivan Miloloža and Tibor Santo PRE-OPENING HOTEL MANAGEMENT - PHASES AND PROCEDURES..... 33 Niko Komljenović and Nenad Rančić THE HIDDEN POTENTIAL OF LEISURE TIME: BENEFITS OF SHORTER WORKING HOURS...... 50 Igor Pureta and Tanja Pureta THE PERCEPTION OF ENTREPRENEURIAL CLIMATE IN THE REPUBLIC OF CROATIA...... 68 Ivana Šandrk Nukić and Katarina Marošević ECO INNOVATIONS AS PART OF THE CIRCULAR ECONOMY: EVIDENCE FROM CROATIA...... 86 Vedrana Vukadinović and Marko Tadić CIVIL ENGINEERING COMPANIES IN OSIJEK-BARANJA COUNTY, THEIR BUSINESS OPERATIONS IN 2017 AND SIGNIFICANCE IN THE REPUBLIC OF CROATIA...... 105 Davor Ćutić and Mate Pađen PROJECT MANAGEMENT IN GOVERNMENT ADMINISTRATION...... 129 Tvrtko Galić, Dražen Maleš and Marija Šmit THE ROLE OF SOCIAL NETWORKS IN THE MANAGEMENT OF SPORTS NONPROFIT ORGANIZATIONS – CASE STUDY OF FUTSAL CLUBS IN EASTERN CROATIA...... 145 Domagoj Biuk, Iva Buljubašić and Gordana Lesinger INFLUENTIAL ASPECTS OF POLITICAL COMMUNICATION WITH EMPHASIS ON LOCAL ELECTIONS 2017...... 166 Andreja Švigir BEHAVIORAL ECONOMICS AND MAKING OF BUSINESS DECISIONS..... 188 Željko Vojinović, Bojan Leković and Jerko Glavaš RISK MANAGEMENT OF SOCIO-ECONOMIC SYSTEM AND INSURANCE AS A STABILITY INSTRUMENT...... 203 Bruno Mandić, Sofija Turjak and Tomislav Kuna EFFECTIVE ORGANIZATIONAL MANAGEMENT – A CASE STUDY...... 219

V Ante Orlović PERSONAL DIMENSION OF MANAGEMENT – PERCEPTION OF OPERATIONAL POLICE EXECUTIVES OF THE IMPORTANCE OF MANAGERS’ INDIVIDUAL TRAITS FOR THE SUCCESS OF MANAGEMENT...... 233 Ranko Markuš and Mirela Omerović EFFECTIVENESS OF ACTIVE EMPLOYMENT MEASURES IN SUPPORTING SELF-EMPLOYMENT IN FEDERATION OF BOSNIA AND HERZEGOVINA...... 255 Domagoj Pavić, Pavao Gagro and Katarina Balatinac MANAGEMENT SYSTEM OF THE NOTARY PUBLIC SERVICE...... 275 Damir Šebo, Mate Perišić and Goran Andrijanić THE IMPACT OF CHANGES IN TAX REGULATIONS ON THE SALE OF PASSENGER CARS WITHIN THE CAR MARKET OF THE REPUBLIC OF CROATIA...... 295 Tina Šugar, Kristina Brščić and Drago Ružić TOURIST SATISFACTION AS A TOOL IN DESTINATION PLANNING – EMPIRICAL STUDY OF DESTINATION RABAC...... 308 Mario Vinković and Sanja Pešić HEALTH MANAGEMENT: CASE STUDY OF CLINICAL HOSPITALS IN CROATIA...... 327 Mustafe Hasani, Bahtijar Berisha, Sakip Imeri and Hamit Mulaj MODERNIZATION OF TAX ADMINISTRATION AND TAX REFORMS (CASE OF KOSOVO)...... 343 Jelena Legčević and Saša Išić MANAGEMENT IN THE FUNCTION OF DEFINING STRATEGIC GOALS OF THE TAX ADMINISTRATION...... 361 Kristijan Šimičić, Dejan Balić and Dejan Liović PREDICTION OF PASSING RATE OF AN UNKNOWN CANDIDATE IN LOCAL ELECTIONS BASED ON CAMPAIGN BUDGET AND PRE-ELECTION SURVEYS...... 377 Dražen Barković, Biljana Tuševski RATIONAL DECISION VERSUS IRRATIONAL DECISION...... 402

OPERATIONS MANAGEMENT...... 419 Ivana Sataić, Tena Popović and Olja Ulični Nikšić PROJECT MANAGEMENT CHALLENGES AND DIFFICULTIES AT UNIVERSITY OF ZAGREB SCHOOL OF MEDICINE: CASE STUDY...... 421 INTERDISCIPLINARY MANAGEMENT RESEARCH XV

VI Florina Simona Burta SUPPLY CHAIN STRATEGIES’ IMPACT ON PERFORMANCE, COST AND FLEXIBILITY...... 436 Martina Briš Alić, Josip Topolovac and Ante Baran CAPACITY PLANNING BY USING A GEOGRAPHIC INFORMATION SYSTEM...... 449 Mirela Kljajić-Dervić, Željko Matotek and Selma Sumar IDENTIFICATION OF PROBLEMS WHICH LIMIT AN INCREASE OF EFFECTIVENESS OF MANUFACTURING COMPANIES...... 465

FINANCE MANAGEMENT...... 493 Karmen Prtenjača Mažer, Berislav Bolfek and Anita Peša ALTERNATIVE SOURCES OF FINANCING OF COMPANIES THROUGH PRIVATE EQUITY AND VENTURE CAPITAL FUNDS IN CENTRAL AND EAST EUROPE...... 495 Wolfgang Gohout BESTELLPUNKTPOLITIK IN DER STOCHASTISCHEN LAGERHALTUNG...... 511 Dubravka Pekanov Starčević, Ana Zrnić and Tamara Jakšić POSSIBILITIES OF APPLYING MARKOWITZ PORTFOLIO THEORY ON THE CROATIAN CAPITAL MARKET...... 520 Milan Stanić, Josip Jukić and Tin Horvatin FINANCIAL AND COMPARATIVE BUSINESS ANALYSIS OF WINERY ILOK...... 539 Nikolina Smajla, Mirko Pešić and Željko Martišković FINANCIAL KNOWLEDGE AND FINANCIAL BEHAVIOR OF STUDENT POPULATION AT KARLOVAC UNIVERSITY OF APPLIED SCIENCES...... 550 Zsuzsa M. Császár, Károly Teperics, Tamás Á. Wusching, Ferenc Győri, Levente Alpek, Klára Czimre, Anna Sályi and Arnold Koltai THE IMPACT OF THE SPENDING HABITS OF INTERNATIONAL STUDENTS ON THE ECONOMY OF UNIVERSITY CITIES – CASE STUDY: HUNGARY...... 562 Urban Bacher ZUR UNABHÄNGIGKEIT EINES AUFSICHTSRATSMITGLIEDS – EINE ERSTE SITUATIONSANALYSE SAMT BILDUNG VON FALLGRUPPEN...... 586 Katica Sekulić, Ivana Mikić and Mirjan Radman-Funarić CENTRAL PAYROLL SYSTEM AS AN INSTRUMENT FOR EFFICIENT BUDGET MANAGEMENT...... 601

VII MARKETING MANAGEMENT...... 619 Katarina Sokić, Đuro Horvat and Ivana Krakan HEXACO PERSONALITY TRAITS AS PREDICTORS OF IMPULSIVE BUYING BEHAVIOR IN MEN AND WOMEN...... 621 Ana Težak Damijanić, Marija Pičuljan and Zdravko Šergo SOCIAL MEDIA IN ORGANIZING VACATION: TESTING THE CONCEPT OF PERCEIVED BENEFITS AND PERCEIVED COSTS...... 637 Akos Nagy, Krisztián Szűcs, Ildikó Kemény, Judit Simon and Péter Németh OPINION LEADERSHIP, WEBSHOP EFFECTIVENESS – AN INTEGRATED MODEL TO PREDICT RECOMMENDATION AND REPURCHASE...... 652 Željko Turkalj, Tihomir Vranešević and Tajana Marušić MODERN BRANDING: HOW BRANDS ADAPTED TO DIGITAL MARKETING AND SOCIAL MEDIA...... 665 Ivana Varičak, Tihana Cegur Radović and Silvija Vitner Marković THE INFLUENCE OF ADVENT FAIR VISITORS’ EXPERIENCE ON VISITOR CONSUMPTION...... 681 Ivan Lakoš, Emina Bačevina and Danijela Slipčević MARKETING ORIENTATION OF THE STRATEGIC BUSINESS UNIT: THE MINISTRY OF SCIENCE AND EDUCATION, SECTOR FOR EU PROGRAMMES AND PROJECTS...... 706 Eszter Jakopánecz, Viktória Gerdesics, Petra Putzer, Beatrix Lányi, Valéria Pavluska and Mária Törőcsik CULTURAL CONSUMPTION PATTERNS AMONG LIFESTYLE GROUPS IN HUNGARY...... 727 Mia Spajić, Kristina Kajinić and Ivana Lacković THE MARKETING ASPECTS AND IMPORTANCE OF EMPLOYER BRANDING...... 745 Helena Štimac, Tomislav Vajda and Jelena Franjković LIFECYCLE OF SMARTPHONES: BRAND REPRESENTATION AND THEIR MARKETING STRATEGY...... 759 Lidija Nujić INFLUENCER MARKETING: A GROWING TREND IN CROATIA...... 781 Iva Mihanović, Mario Dadić and Ante Bačić BRANDING EDUCATION...... 796 Marija Ham IMPACT OF THE PERCEIVED KNOWLEDGE ON THE ATTITUDES TOWARDS ORGANIC FOOD PRODUCTS...... 809 Ivana Nobilo, Dejan Laninović and Davor Bilman HOW WOMEN BUY...... 823 INTERDISCIPLINARY MANAGEMENT RESEARCH XV

VIII Mathias Borch, Thomas Cleff and Nadine Walter ANALYSE DER CUSTOMER JOURNEY UND DIE AUSGESTALTUNG DIGITALER TOUCHPOINTS – EINE EMPIRISCHE ANALYSE ANHAND DES SPORTARTIKELHERSTELLERS ADIDAS...... 843 Petra Barišić, Arnela Nanić and Sanela Vrkljan UGC AND FGC AS THE NEW CHALLENGES FOR TOURIST DESTINATION MANAGEMENT...... 869 Kenan Mahmutović, Vinko Samardžić and Marija Baban Bulat HOW TO PLAN AND MEASURE DIGITAL MARKETING ACTIVITIES IN REAL ESTATE AGENCY? DEVELOPMENT OF NEW INTEGRAL PLANNING FRAMEWORK...... 891 Maja Šimunić, Ljubica Pilepić Stifanich and Marina Perišić Prodan USER SATISFACTION WITH HOTEL SOFTWARE TOOLS: AN EMPIRICAL RESEARCH...... 914 Žarko Stilin, Ivan Ružić and Jerko Žunić IMPACT OF POLITICAL MARKETING IN DIGITAL ENVIROMENT ON GENDER (DOES POLITICAL MARKETING IN DIGITAL ENVIRONMENT IMPACT MORE WOMEN OR MEN?)...... 932

STRATEGY MANAGEMENT...... 951 Jose Vargas-Hernández, Elsa Patricia Orozco-Quijano and Jorge Virchez SCENARIOS FOR SMALL AND MEDIUM ENTERPRISES (SMES) PROVISIONS IN THE NORTH AMERICAN FREE TRADE AGREEMENT (NAFTA) RENEGOTIATION - A CRITICAL ANALYSIS OF CHALLENGES AND OPPORTUNITIES...... 953 Andreja Rudančić, Dominik Paparić and Dražen Ćućić STRATEGY AS AN INSTRUMENT OF SUSTAINABLE DEVELOPMENT OF THE CROATIAN ISLANDS...... 979 Ante Mihanović THE IMPACT OF DEREGULATION AND LIBERALIZATION IN THE PHARMACEUTICAL MARKET IN CROATIA AND POTENTIAL STRATEGIC DIRECTIONS OF DEVELOPMENT...... 998

HUMAN RESOURCES MANAGEMENT...... 1013 Aleksandar Erceg, Julia Perić and Vice Gulam MOTIVATION AS A KEY FACTOR OF SUCCESSFUL MANAGERS - REVIEW OF TECHNIQUES...... 1015 Ljerka Sedlan Konig and Mia Hocenski EMPLOYERS’ VIEWS ON PARTNERSHIPS IN HIGHER EDUCATION...... 1032

IX Ivana Fosić, Ana Trusić and Luka Abičić THE IMPACT OF MATRIX ORGANISATION ON EMPLOYEE TURNOVER...... 1050

INFORMATION TECHNOLOGY MANAGEMENT – GEOGRAPHIC INFORMATION SYSTEM (GIS)...... 1065 Sanela Ravlić, Ivan Plašćak and Mladen Jurišić THE POSSIBILITIES OF SPATIAL OVERVIEW OF THE RESULTS FOR IMPLEMENTED PROJECTS WITHIN THE CROSS-BORDER PROGRAMME BY USING GIS TECHNOLOGY...... 1067 Mislav Šimunić, Tomislav Car and Vanja Vitezić INCREASING DIRECT ONLINE SALES VOLUME IN THE HOTEL INDUSTRY: EXPANDED PARADIGM VARIABLES OF GOOGLE’S PAGERANK ALGORITHM...... 1087 Saša Mitrović, Stojanka Dukić and Branimir Dukić WEBSITE USABILITY EVALUATION MODEL: ECONOMICS FACULTIES IN THE REPUBLIC OF CROATIA...... 1110 Ivan Uroda and Tomislav Belić CREATING BUSINESS DATABASE FOR BUSINESS PROCESS INTEGRATION IN SMALL AND MEDIUM ENTERPRISE...... 1125 Antun Biloš EMERGING FOCUS ON FAKE NEWS ISSUES IN SCIENTIFIC RESEARCH: A PRELIMINARY META-ANALYSIS APPROACH...... 1139

MICROECONOMICS, MACROECONOMICS AND MONETARY ECONOMIC...... 1151 Sandra Mrvica Mađarac and Mateja Glavota DEMOGRAPHIC STRUCTURE OF UNEMPLOYED PERSONS IN SLAVONIA...... 1153 Danijela Rabar and Dajana Cvek MEASURING THE MACROECONOMIC PERFORMANCE OF THE CROATIAN ECONOMY: AN EMPIRICAL EFFICIENCY ANALYSIS APPROACH...... 1167 Ivan Kristek and Daniel Tomić HOW TO ESTIMATE TECHNICAL EFFICIENCY?...... 1188 Sofia Adžić NEW EXTERNAL TRADE EXCHANGE RATE OF THE REPUBLIC OF SERBIA IN SUSTAINABLE DEVELOPMENT FUNCTION...... 1202 Dražen Koški AN ASSESSMENT OF RESERVE AdEQUAcY: THE cASE OF THE REPUBlIc

INTERDISCIPLINARY MANAGEMENT RESEARCH XV OF cROATIA ...... 1218 X Mladen Vedriš EU LESSONS AFTER THE CRISIS AND... BEFORE THE RECESSION...... 1232

PUBLIC ECONOMICS...... 1253 Matija Bartol, Zrinka Erent-Sunko and Ozren Pilipović BASIC INCOME: HISTORICAL EVOLUTION AND CONTEMPORARY EXAMPLES...... 1255 Mladena Bedeković, Sanja Petrović and Danijela Vakanjac TAXATION OF INCOME FROM THE EMPLOYMENT AND INFLUENCE OF TAXATION ON CONSUMPTION AND SAVINGS...... 1274 Alina Ioana Calinovici, Oana Ramona Lobont, Florin Costea and Denisa Abrudan ENTREPRENEURIAL ACTIVITY IN THE EUROPEAN UNION MEMBER STATES: HOW IMPORTANT ARE PUBLIC POLICIES?...... 1289 Lavinia Daniela Mihit, Nicoleta Claudia Moldovan, Alexandru Bociu and Oana-Ramona Lobonț A SYSTEMATIC REVIEW OF PUBLIC SECTOR PERFORMANCE LITERATURE: NEW PERSPECTIVES...... 1305 Radmila Tatarin, Danijela Vinković and Višnja Bartolović YOUTH UNEMPLOYMENT EFFECTS AND EXPERIENCE OF SELECTED EU COUNTRIES...... 1321 Andreja Hašček, Damir Butković and Zorislav Kalazić CORPORATE GOVERNANCE REPORTING AND FINANCIAL AND MARKET PERFORMANCE OF SAMPLED ISSUERS WHOSE SHARES ARE ADMITTED TO TRADING ON ZAGREB STOCK EXCHANGE...... 1347

URBAN, RURAL AND REGIONAL ECONOMICS...... 1361 Branislav Peleš, Darija Ivandić Vidović and Krešimir Starčević REGIONAL CLUSTER DEVELOPMENT IN THE REPUBLIC OF CROATIA SHOWCASED BY THE ASSOCIATION OF BUSINESS CLUSTER - CROATIAN INSULAR PRODUCT...... 1363 Zrinka Staresinic, Mia Duška Franić and Neđeljko Knežević THE INFLUENCE OF THE WINE ENVELOPE ON THE DEVELOPMENT OF WINERIES IN THE AREA OF ISTRIAN COUNTY...... 1380 Ivana Deže and Ana Gavran BICYCLE ROUTES AS A POTENTIAL FOR TOURISM DEVELOPMENT IN BARANJA...... 1397 Abel David Toth and Marcell Farkas ECONOMIC INFLUENCE OH HIGHER EDUCATION INSTITUTIONS IN A REGIONAL ECONOMY: THE EXAMPLE OF THE UNIVERSITY OF PECS...... 1412

XI Dejan Tubić, Rikard Bakan and Božidar Jaković AGRITOURISM IN CROATIA: AN OVERVIEW OF CURRENT RESEARCH...... 1430

ACCOUNTING...... 1445 Željko Turkalj, Dubravka Mahaček and Ivan Klešić PREVENTION AND DETECTION OF FRAUD IN COMPANIES OWNED BY LOCAL AND REGIONAL SELF-GOVERNMENT UNITS...... 1447 Ivana Dražić Lutilsky, Dina Liović and Matej Marković COMPARATIVE ANALYSIS OF THROUGHPUT ACCOUNTING AND ACTIVITY-BASED COSTING...... 1464 Markus Haefele and Sarah Katharina Stiegeler GRUNDSÄTZE ORDNUNGSGEMÄSSER BUCHFÜHRUNG BEI EINSATZ VON INFORMATIONSTECHNOLOGIE, INSBESONDERE CLOUD- COMPUTING...... 1483 Dubravka Mahaček, Ivo Mijoč and Dubravka Pekanov Starčević POSSIBILITIES OF BUDGET OUTTURN AT THE LEVEL OF REGIONAL SELF-GOVERNMENT UNITS...... 1501 Zoran Bubaš THE AGROKOR GROUP’S ROLL-UP FINANCING: BUSINESS AS USUAL OR A DEVIATION FROM COMMON PRACTICE...... 1514

ECONOMIC DEVELOPMENT, TECHNOLOGICAL CHANGE AND GROWTH...... 1537 Željka Kadlec and Josip Hetrih IMPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL ZONES OF SMALL CITIES...... 1539 Martina Harc, Ivana Bestvina Bukvić and Josipa Mijoč ENTREPRENEURIAL AND INNOVATIVE POTENTIAL OF THE CREATIVE INDUSTRY...... 1562 Marcel Pîrvu, Mihaela Rovinaru and Flavius Rovinaru ROMANIA`S ENERGY POLICY: CHANGES IN THE APPROACH OF THE NEW RENEWABLE ENERGY STRATEGY FOR 2030...... 1578 Boris Crnković, Juraj Rašić and Ivana Unukić CORPORATE SOCIAL RESPONSIBILITY – THEORETICAL ASSUMPTIONS AND THE CONSUMER EXPERIENCE SURVEY...... 1594 Nebojsa Stojčić, Heri Bezić and Tomislav Galović DO WE NEED MORE MIGRATION? SOCIO-CULTURAL DIVERSITY AND EXPORT SOPHISTICATION IN EU 28 COUNTRIES...... 1613 INTERDISCIPLINARY MANAGEMENT RESEARCH XV

XII Krešimir Jendričko and Josip Mesarić THE SIGNIFICANCE OF EUROPEAN STRUCTURAL AND INVESTMENT FUNDS FOR THE REPUBLIC OF CROATIA IN THE AREA OF INFORMATION AND COMMUNICATIONS TECHNOLOGIES...... 1632 Željko Požega ANALYSIS OF THE CORRELATION BETWEEN ECONOMIC DEVELOPMENT INDICATORS AND ECONOMY SECTORS AND VALUE ADDED IN CROATIA...... 1656 Oana Ramona Glont, Oana Ramona Lobont, Sorana Vatavu and Alexandru Furculita IS MILITARY EXPENDITURE A STRATEGIC TARGET IN MAINTAIN ROMANIAN ECONOMIC GROWTH?...... 1665

HEATH, EDUCATION AND WELFARE...... 1687 Agneza Aleksijević CITIZEN EXPECTATIONS REGARDING HEALTH PROMOTION AND DISEASE PREVENTION...... 1689 Ivona Blažević, Dajana Džeba and Marina Stanić Šulentić STEM EDUCATION ON COLLEGE OF SLAVONSKI BROD...... 1717 Aleksandra Gojkov Rajić and Jelena Prtljaga ERHÖHUNG DES LEISTUNGSNIVEAUS VON STUDENTEN IM FREMDSPRACHENUNTERRICHT ALS VORAUSSETZUNG FÜR IHRE BETEILIGUNG AN DER INTERNATIONALLEN ZUSAMMENARBEIT.....1736 Terezija Berlančić and Ivan Miškulin FUTURE OF SHARING ECONOMY IN MEDICINE IN CROATIAN HEALTHCARE...... 1758 Ivana Barković Bojanić THE AGING SOCIETY: A CHALLENGE FOR EU POLICY MAKERS...... 1773 Tibor Gonda, Dávid Nagy and Zoltán Raffay THE IMPACT OF TOURISM ON THE QUALITY OF LIFE AND HAPPINESS...... 1790 Silvija Zeman, Ana Vovk Korže and Melita Srpak REMOVAL OF HEAVY METALS FROM WATER USING ZEOLITE...... 1804 Domagoj Karačić, Marija Ileš and Natko Klanac ECOLOGICAL REVENUES IN THE FUNCTION OF PRESERVING AND PROTECTING THE HUMAN ENVIRONMENT...... 1821

LAW & ECONOMICS...... 1839 Mario Krešić EFFICACY OF LAW IN THEORY AND PRACTICE: THE EFFECTIVENESS OF THE ADJUDICATION...... 1841

XIII Vesna Škare Ožbolt MANAGEMENT TOOLS IN THE FUNCTION OF THE EFFICIENT WORK OF THE STATE ATTORNEY’S OFFICE...... 1859 Igor Bojanić PURPOSE OF PUNISHMENT AND LEGALITY OF PARTIES’ AGREEMENT IN CRIMINAL PROCEEDINGS...... 1873 INTERDISCIPLINARY MANAGEMENT RESEARCH XV

XIV Vorwort

Es ist uns ein Vergnügen, das Konferenzband “Interdisciplinary Management Research XV/ Interdisziplinäre Managementforschung XV” vorstellen zu können. Ein Buch aus dieser Reihe ist zum ersten Mal 2005 erschienen, als Resultat der Zusammenarbeit zwischen der Wirtschaftsfakultät in Osijek, Kroatien und der Hochschule Pforzheim, Deutschland, und insbesondere durch das Magisterstudium des Management. Die Zusammenarbeit der zwei genannten Partnerinstitutionen ist unter anderem durch jährliche wissenschaftliche Symposien gekennzeichnet, auf welchen interessante Themen aus verschiedenen Bereichen der Wirtschaft und des Managements vorgestellt und folglich in einem Band veröffentlicht werden. Jedes Jahr ziehen die wissenschaftlichen Symposien Akadamiker anderer kroatischer, sowie ausländischer Universitäten, einschließlich Deutschland, Ungarn, Polen, Rumänien, Slovenien, Montenegro, Bosnien und Herzegovina, Serbien, Indien, Irland, Czechien, Israel, Italien, Sudafrica, Kanada, Litauen, Kosovo, Türkei, Belgien, Schweiz, USA, Slowakei, Dänemark, Mazedonien, Mexico, Zypern und Großbritannien an, die ihren wissenschaftlichen und profesionellen Beitrag zur Diskussion über zeitgenössische Fragen aus dem Bereich des Managements leisten. Die Aktualität der behandelten Fragen, der internationale Charakter im Hinblick auf Themen und Autoren, die höchsten Standards der Forschungsmethodologie sowie die Kontinuität dieser Konferenzreihe wurden auch von der internationalen akademischen Gemeinde erkannt, weswegen sie auch in internationalen Datenbanken, wie Clarivate Web of Science, Thomson ISI, RePEc, EconPapers und Socionet, zu finden ist.

Die neueste Ausgabe von “Interdisciplinary Management Research XV/ Interdisziplinäre Managementforschung XV” umfasst 104 Arbeiten geschrieben von 257 Autoren. Der Erfolg früherer Ausgaben ging über die Grenzen der Länder hinaus, deren Autoren schon traditionell Teil der Reihe waren. Jedes der Autoren leistete einen bedeutenden Beitrag zu diesem fachübergreifenden Managementforum.

Als Herausgeber dieses Bandes hoffen wir, dass diese Reihe auch weiterhin Akademiker und Profesionelle dazu bewegen wird, in Forschung und Beruf die höchsten Standards zu beanspruchen, und dass es weiterhin als Ansporn zu weiteren Formen von Zusammenarbeit unter Teilnehmern dieses Projektes dienen wird.

Dražen Barković, professor emeritus Prof. Dr. Bodo Runzheimer

XV Foreword

It is our pleasure to introduce the book “Interdisciplinary Management Research XV/ Interdisziplinäre Managementforschung XV” to you. The first volume ap- peared in 2005 as a result of co-operation between the Faculty of Economics in Osijek (Croatia) and Pforzheim University (Germany), particularly through the postgraduate programme “Management”. The co-operation between these partner- ing institutions has been nurtured, amongst else, through annual scientific colloquiums at which interesting topics in various fields of economics and management have been presented and later published in the proceedings. Over the years, the scientific colloquiums have drawn the attention of academic scholars from other Croatian universities, as well as from other countries including Australia, Germany, Hungary, Poland, Romania, Slovenia, Montenegro, Bosnia and Herzegovina, Serbia, India, Ireland, Czech Republic, Israel, Italy, South Africa, Canada, Lithuania, Kosovo, Tur- key, Belgium, Switzerland, USA, Slovakia, Denmark, Macedonia, Mexico, Cyprus and the United Kingdom each making a contribution in academic and professional discussion about contemporary management issues. Actuality and importance of the issues discussed, the international character of the book in terms of authors and topics, the highest standards of research methodology and continuity in publish- ing have been recognized by the international academic community, resulting in the book of proceedings being indexed in world-known data bases such as Clariavate Web of Science, Thomson ISI, RePEc, EconPapers, and Socionet.

The latest edition, i.e. ““Interdisciplinary Management Research XV/ Interdisziplinäre Managementforschung XV” encompasses 104 papers written by 257 authors. The success of former editions has echoed beyond the traditionally participative countries and authors.

As editors we hope that this book will continue to encourage academic scholars and professionals to pursue excellence in their work and research, and to provide an incentive for developing various forms of co-operation among all involved in this project.

Dražen Barković, professor emeritus Prof. Dr. Bodo Runzheimer INTERDISCIPLINARY MANAGEMENT RESEARCH XV

XVI IMPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL ZONES OF SMALL CITIES

Željka Kadlec, univ.spec.oec., Ph. D. Student, J. J. Strossmayer University of Osijek, Faculty of Economics in Osijek E-mail: [email protected]

Josip Hetrih, prof. spec. oec. HS Consulting j.d.o.o. E-mail: [email protected]

Abstract The primary goal of this paper is to define measures for attracting the investments and to develop a communication strategy for entrepreneurial zones of small towns and municipalities with a population of up to 15.000 inhabitants. The cities which develop an investment attraction plan have a key role in creating enticing entrepreneurial zones. This paper describes the most successful entrepreneurial zones in Croatia that are located in different regions. The comparison of Croatian cities with the best measures and communication strategies is presented. There are several significant factors for investors to make a decision about the entrepreneurial zone selection. Research on investors from different sectors has been conducted with the aim of improving the quality of incentive measures. Based on the results of the research, a case study of entrepreneurial zones in the town of Slatina was created. Slatina is located in Virovitica-Podravina County and it does not have well-developed incentive measures nor communication strategy. The case study includes current state analysis of entrepreneurial zones, a problem analysis, and SWOT analysis. A comparative view of entrepreneurial zones in Slatina and entrepreneurial zones in other, more developed cities, as examples of best practices, is made. An INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1539 investment attraction plan and communication strategy for entrepreneurial zones in cities and municipalities of up to 15.000 inhabitants have been developed, with measures, cost-effectiveness, their impact on employment growth and the impact on the annual budget of the city. Research results show the importance of planning and establishing quality measures, as well as a communication strategy that leads to potential investors. Successful investment attraction plan has a strong impact on the economic growth of the cities as well as the social impact driven by employment growth. Keywords: entrepreneurial zones, investment attraction plan, communication strategy, small towns JEL Classification: M30, O16

1. INTRODUCTION The impact of entrepreneurial zones and incentive measures is of great importance for local, regional and national development. With the aim of creating the value of infrastructure-equipped entrepreneurial areas and high level of location competitiveness, giving investors a number of incentive measures and benefits for the business of a particular environment recognize the importance and invest in them. The status of entrepreneurial zones in the Republic of Croa- tia will be best seen through an overview of incentive measures and facilitators for investors and the level of equipment for entrepreneurial zones. The paper deals with the description and comparison of prominent entrepreneurial zones (Bakar Industrial Zone, PODI, Ivanec Industrial Zone, EIZ Nematin, Economic Zone Antunovac), which are the most successful in the Republic of Croatia. By investigating the main holders of attractiveness in the entrepreneurial zone, an analysis of the comparison of the most successful cat- egories was conducted. The detailed presentation of the entrepreneurial zone in the town of Slatina rounds off the concept where an appropriate communication strategy can be applied which will provide current and future investors with the necessary information and guide them to the many advantages it provides. The paper gives an insight into the description and comparison of entrepreneurial zones in the Republic of Croatia, which defines and clarifies the basic elements for an easier understanding of the investment process, entrepreneurial activities and incentive programs. The second part of the paper deals with a com- MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1540 parison of the main factors of the attractiveness of investment in entrepreneurial zones, which is defined as the most important for successful growth and entrepreneurship. Along with defining and comparing the main factors, the proposed Case Study presents the advantages and disadvantages of this entrepreneurial zone and gives suggestions for a communication strategy and improving the conditions for attracting new investors. Finally, conclusions are drawn on the basis of collected data that categorize and define the success of a particular entrepreneurial zone.

2. COMPARISON OF THE MOST SUCCESSFUL ENTERPRISE ZONES IN THE REPUBLIC OF CROATIA In previous research authors Kadlec, Hetrih, and Bedeković (2018) defined that the task of small cities is to develop their strategies for attracting investment, also they have indicated the most attractive measures and incentives for inciting the investment environment in the entrepreneurial zones of small cities. Based on previous research, this paper conducted a case study on investment attraction plan and communication strategy. The Law on the Promotion of En- trepreneurial Infrastructure contains priorities and objectives that provide the need to encourage innovations and knowledge as well as to improve entrepreneurial infrastructure in entrepreneurial zones and encourage entrepreneurship and new employment (Narodne novine 2018). According to the Revised Audit Report on the efficiency of establishing and investing in equipping and developing entrepreneurial zones, investments in the development of entrepreneurial zones reached to approximately 3.5 billion Croatian kunas, mainly invested in documentation, land, as well as in infrastructure and the promotion of zones. Despite all of this, investments have not achieved the desired level of development and efficacy of most of the entrepreneurial zones in Croatia. The audit has provided recommendations for improving the development of entrepreneurial zones. The feasibility study for building a zone and researching investors’ interest are some of the audit recommendations. The audit also provided recommendations for exemptions for entrepreneurs (communal fees and contributions etc.) and promotion of entrepreneurial zones (websites, brochures, attending fairs, etc.) (Državni ured za reviziju, 2014). By comparing programs and measures to encourage entrepreneurship in the zones of a large number of Croatian cities, great similarities can be observed. INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1541 They are precisely reflected in the quality implementation and monitoring of the success of the measures and their adaptation depending on the specifics of each entrepreneurial zone. Some measures are aimed at empowering already existing entrepreneurs in the areas while others are more focused on attracting new investors. The paper presents measures to encourage entrepreneurship in five entrepreneurial zones that are located in different cities and different Croa- tian regions. Their programs include measures adopted by other Croatian cities, but the proactivity of local administration in implementing these measures and a quality communication strategy has brought these entrepreneurial zones to be one of the most successful in Croatia. The aim and purpose of entrepreneurial infrastructure and business environment and their improvement are “the creation of fully infrastructured entrepreneurial areas, high level of location competitiveness that includes the high quality traffic connections of these areas with major traffic routes, and the incentive measures and benefits system for these areas in the local, (regional) and national level within the Republic of Croatia (Narodne novine, 2018). “The selected entrepreneurial zones analyzed in this paper will be described precisely through the above-mentioned aspects as well as the incentive measures and benefits system proposed in the example of entrepreneurial zones in the town of Slatina. Defining Entrepreneurial Infra- structure as an Infrastructure, Incorporating Energy, Utility, Traffic and Com- munication Infrastructure, it is important to mention the available area of a zone that is defined by law as “a surface obtained by removing the area of land from the total area of a plot that is not intended for entrepreneurs but apply for example to roads, green areas, all types of pipelines, and the like. “(Narodne novine, 2018). Unlike available zones of an active entrepreneurial zone or its area, refers to the area where entrepreneurship has been initiated by an entrepreneur or to start construction work on it. Accordingly, in terms of the Law on Promotion of Entrepreneurial Infrastructure, Entrepreneurial Zones, according to the intensity of activation of available areas, is defined as follows: 1. Inactive entrepreneurial zones - where the degree of activation (occupancy for active entrepreneurs) of the available area of the zone is 0% (0 ha of the activated area of the entrepreneurial zone), after the first year of establishment of the entrepreneurial zone MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1542 2. Initial activation zones - where the degree of activation of the zone is <33% of the available area of the zone, expressed in hectares of the area of the entrepreneurial zone 3. Medium active zones - where the degree of activation of the zone is 33% <66% of the available area of the zone, expressed in hectares of the area of the entrepreneurial zone 4. Fully active zones - where the degree of activation of the zone is ≥ 66% of the available area of the zone, expressed in hectares of the area of the entrepreneurial zone (Narodne novine, 2018). The Bakar Industrial Zone is located in the hinterland of Bakar, 10 km away from the town of Rijeka. The first activities on the construction of the zone started in 1975. One of the main advantages of this zone is its location and an exceptionally favorable geostrategic position, making it one of the best entrepreneurial zones in Croatia. The area has a high-quality road connection and is located on an extremely favorable geostrategic route that connects Central Europe with the Mediterranean (located on the Rijeka-Zagreb motorway and the planned Rijeka-Split motorway, as well as the motorway connecting Rijeka and Trieste). The Bakar zone is only 3 km away from the harbor-traffic knot in Bakar. The railway station Škrljevo is in the immediate vicinity of the zone and connects the zone with the main cities of Slovenia and Croatia, ie Ljubljana and Zagreb. The airport of Krk is 10 kilometers away from the zone. In the immediate vicinity of the zone is also a land transport network for connection to the LNG terminal in Krk, which will provide additional gas supply (Industrijska zona Bakar, 2019). The industrial zone Bakar on Kukuljanova became the central zone of Primorsko-goranska county and is considered as the most advanced Croatian zone. More than HRK 120 million has been invested in the development of the area, and new investments are also underway in the area’s roads and other supporting infrastructure with the aim of faster development of entrepreneurship (Glojnarić, 2016). The area was built on a total area of500 ha, of which 225 ha of the free area is currently available. The number of employees in the zone is 3,500 to a total of 150 entrepreneurs, or user zones. The zone is infrastructurally equipped with a water supply system for sanitary water, high voltage network, modern TT network, gas and a split sewage system of rainwater and fecal water. In the

brochure of the entrepreneurial zone as one of the most important advantages INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1543 for investors, the possibility of repurchase or establishment of building rights, land repayment up to 24 equal monthly installments, the possibility to operate in the free zone regime, the release of utility contributions, compensations and benefits for entrepreneurs engaged in manufacturing activities. There are three types of activity in the zone: production (28%), trade (22%) and service (50%) (Katalog industries zone Bakar, 2019). The price of the land for sale is determined by the price list of services and is determined by the multiplication of the cost with the coefficient of the type of activity, which for production activities is 1,00 and for the services 1,20. The basic price of land ranges from 66 € / m2 and is determined depending on the level of equipment of the land, which is divided into two groups. According to the price list, it is possible to determine additional price differences based on demand and market opportunities, and estimates for the management of the industrial zone. The lowest starting price of the fee for establishing the right of the building and land tenure is 0.35 € / m2 and is determined based on the price of the cost and the coefficient based on the degree of equipmentC ( ijenik za 2019. godinu, 2018). Entrepreneurial zone Podi is the largest in Croatia by its surface and is considered the most promising zone due to its location close to the motorway, the seaport and the railway, but also because of the strong support of the local community. Entrepreneurial promotion measures in this zone include the release of municipal contributions, a reduced land price of EUR 5 per sqm, as well as obtaining permission from investors for local self-government. The area includes investors from Croatia, Slovenia, Germany, Austria, Italy and the Netherlands (Glojnarić, 2016). The planned area of the zone is 550 hectares, 130 hectares have been built and 100 hectares are available in the zone. All the parcels in the zone are fully equipped with infrastructures, and the most important advantages of the zone are the traffic connections, ie the connection of the motorway zone over the 4 km long local road and the connection to the state road D-58. Near the same area, there are two airports, Trogir, 50 km away and Zemunik 45 km away. Water supply and drainage system have been set up, and the availability of electricity is extremely important for investors investing in production plants. Currently, 5 MW is available in Podi Zone, and an extension of 30 MW is planned. There is also an optical telecommunication cable available in the zone, which is a very important factor in the attractiveness of the zone. The port MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1544 and railway terminal are 5 km away from the industrial zone (PODI - Industri- jska zona Šibenik, 2019). The Ivanec Industrial Zone is located along the main roads of the state road D35 and between the Macelj-Zagreb and Varaždin-Zagreb motorways. In the immediate vicinity of the railway line, one of the advantages of the zone is the proximity of the border with Slovenia. The location advantage of this zone is its geographic position in one of the most economically developed counties of Croatia, 22 km away from Varaždin and about 80 km from Zagreb. The surface area of the industrial zone is 30 ha and the maximum surface area is 18.5 ha. So far, 3 ha has been bought by private investors. The main advantages of this zone are its geostrategic position, exemptions, and privileges for investors, competitive land prices and the possibility of expansion. The area is equipped with drainage and sewerage system, gas connection, electricity connection, DTK and telephone installations, and within the zone are asphalted roads. The Town of Ivanec and the Ivanec Industrial Zone defined the greenfield and brownfield investment facilities. Land price ranges from 10 to 17 € / m2 and additional reductions for new jobs are possible. This industrial zone for greenfield investment offers the service of buying land for a well-known investor and fixing of property rights, which significantly accelerates the investment realization process. When obtaining building permits, entrepreneurs are relieved of the costs of land conversion in their entirety. The area is also offered permanent disbursement of municipal contribution payments for greenfield investments, which is a significant exemption for investors investing in larger production facilities. In the case of investments, entrepreneurs are exempt from payment of communal fees in their entirety for the first 5 years of business, which makes this zone more attractive than most other because the other zones have been released in a way that they are released in 100% only in the first year, while in other for years of lower rates of liberation. For brownfield investments, entrepreneurs can also obtain exemptions from paying utility fees in full for a period of 5 years, and a 15% communal contribution, with the option of an hourly repayment. The exemptions for brownfield investments relate exclusively to investments in the manufacturing industry (Poslovna zona Ivanec, 2019). Al- though entrepreneurial zones in the town of Ivanec are not large, their advantage over other zones in Croatia, but also widespread is a good entrepreneurial climate, local government efficiency, and an excellent communication strategy. In addition to this, the acknowledgment that this city gained in contributing to INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1545 entrepreneurship and communication with investors, among which one should be ranked first in the list of top 10 small European cities with the best foreign investment attracting strategies awarded to one of the most authoritative world magazines of specialized for business, Financial Times. Several times, the town of Ivanec was awarded the BFC SEE (Business Friendly Certificate in South East Europe) certificate G( rad Ivanec, 2019). Ivanec is a good example of how cities with fewer than 15,000 people can establish quality measures to encourage entrepreneurship despite small budgets. The administrative services offered by this entrepreneurial zone and the town of Ivanec further multiply the impact of measures to encourage entrepreneurship. Investors in the area offer expert assistance in realizing investments, privileged pricing and EU project implementation, and free education, counsel- ing and promotion organizations. Entrepreneurs in the zone also offer mem- bership in the “Ivanec Business Club”, which offers them the possibility of joint participation with EU institutions, banks, ministries, and interest groups. Eco-Industrial Zone Nemetin is the first green economic zone inC roatia and is located close to the town of Osijek. The total area of the zone is 101 ha and the parcels are from 2,500 to 50,000 m2. Entrepreneurs have in EIZ Nemetin electric and thermal energy from renewable energy sources, ie biogas plants available. EIZ Nemetin has a great traffic connection, and the advantage of the zone is also the proximity of the border with Hungary and Serbia (Industrijska zona Nemetin, 2019). The corridor CV is 26 km from the zone, the airport is 8,4 km away, the river port Osijek is 2.4 km away and the railway passes through the area (Industrijska zona Nemetin – pogodnosti, 2019). The area is fully equipped, the land is offered at reduced retail prices, and it is possible to realize the right of construction with an annual fee of 1.00 kn / m2 up to 36 months after the construction contract has been concluded. It is also possible to realize the benefit of a flat-rate repayment of municipal contributions (Glojnarić, 2017). The reduction of land prices is realized by priority activities or by NKD groups that are preferable to enter the industrial zone. The allow- ances range from 30% for the first group, 10% for the second and 5% for the third group. Additional price reductions can be made by export-oriented entrepreneurs, investors who open up new jobs, and between 70% and 90%, the price of land for entrepreneurs investing over € 1m can be lowered. The price of the land will be reduced only by employees residing in Osijek on the basis of job openings (Industrijska zona Nemetin – program olakšica i poticaja (2019). MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1546 The economic zone of Antunovac is decorated and equipped with private capital resources, and in it, there are 7 business facilities built on 14 hectares of land, and another ten new ones are planned (Glojnarić, 2017). The economic zone has a favorable geotraffical location and is located along the southern border of Osijek, near the A5 motorway and the future corridor of the expressway Varaždin-Ilok, which will be connected to the corridor VC (Budapest - Sara- jevo - Ploče). The Osijek-Vinkovci railway line and state road D 518 are located along the same area. The size of the plot ranges from 1,500 to 10,000 m2, and all the parcels are completely equipped with energy, traffic, communal and internet, and telecommunication infrastructure. Gas is available from other infrastructure in the zone, access roads and traffic infrastructure are built within the zone, water supply installations, rainfall drainage, and industrial sewage are installed. Entrepreneurs in this Economic Zone offer a reduction of the communal contribution ranging from 0 to 15 kn / m3. The water contribution for the production activity is 1.90 kn / m3, and 15.75 / m3 for the business activity. In the Economic Zone, entrepreneurs are provided with credit lines for financing land, buildings, documentation, and utilities, and offers the possibility of co-operation on a “turnkey” basis (Gospodarska zona Antunovac, 2019).

3. ZONE ATTRACTIVENESS FACTOR WITH SUCCESSFUL EXAMPLES For the purpose of defining key factors and incentives for entrepreneurship, surveys were conducted through questionnaires on the representatives of cities that manage entrepreneurial zones and entrepreneurs operating in these zones in order to obtain an overall analysis of the zones’ status and the attractiveness of each zone.

3.1. Analysis of local self-government units The first part of the survey refers to managers in entrepreneurial zones from the cities of Ivanec, Bakar, Osijek, Šibenik and Slatina and from the municipality of Antunovac. Based on the key advantages that stand out in their entrepreneurial zones, all respondents except the town of Slatina have highlighted the most important traffic infrastructure. All cities highlighted the availability of energy and professional staff and communal equipment as the main advantages INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1547 of communicating to potential investors. As the two most important factors for which investors select their entrepreneurial zone, all cities have chosen the equipment of the entrepreneurial zone and the assistance (proactivity) of local self-government and support institutions. The second most important factor that all respondents have chosen is the availability of energy in the zone. It is interesting to note that the traffic infrastructure factor at Slatina and Ivanec is at the last place, while in contrast to other respondents (Osijek, Bakar, Antunovac and Šibenik have put the traffic infrastructure in the high place by importance). In the second part of the survey, it was examined which incentive measures were introduced in their entrepreneurial zones, in Table 1, a comparison of the use of individual measures in 6 local self-government units.

Table 1. Incentive measures and exemptions in entrepreneurial zones Antunovac Ivanec Bakar Osijek Šibenik Slatina Reduction in land sale prices YES YES YES YES YES NO Communal rates exemption YES YES YES NO YES YES Communal rates exemption NO YES YES NO YES YES Reduction of Fees for Construction rights NO NO YES YES YES NO Incentives for recruiting new workers YES NO YES YES YES NO Grants for the purchase of new equipment NO NO YES NO YES NO Source: Author’s work Table 1 shows that measures to encourage incentives are generally reduced to purchase price and exemption from communal fees and contributions. These measures are most commonly used by other cities in Croatia, and one of the reasons is that these exemptions do not require additional budget expenditures, but cities in this way give up part of their income by selling land or collecting fees. The last part of the survey deals with exploring ways in which local self- government units come to potential investors. The first in the marketing toolkit is the Internet, or websites, social networks, and other channels. The second most important tool is the brochure of entrepreneurial zones. All JLS, except Slatina, use advertising campaigns and videos as a promotion, while other tools such as fairs, conferences, and performances on TV and radio stations are used occasionally. MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1548 3.2. Analysis of entrepreneurs operating in entrepreneurial zones The second part of the survey was conducted on a sample of 37 entrepreneurs operating in entrepreneurial zones in six local self-government units (cities Ivanec, Bakar, Osijek, Šibenik and Slatina, and Antunovac municipalities). The research was conducted on entrepreneurs from the manufacturing and processing industry, IT sectors, transport and logistics, and other service activities. According to the number of employees 72.9% of entrepreneurs belong to micro enterprises (0-9 employees), while 13.5% of entrepreneurs belong to small enterprises (10-49 employees), and the same percentage 13.5% belong to medium-sized enterprises (50-249 employees). The first part of the analysis concerned the entrepreneur’s satisfaction with the location of the entrepreneurial zone in which they are located. The current location encompassing all the important factors, entrepreneurs from all zones rated the average rating of 4.05 out of 5. The lowest rating of their location was estimated by entrepreneurs in entrepreneurial zones in Slatina and 3.82 out of 5. The respondents are most satisfied with the level of availability of energy in their zone, while the second factor with which the most comfortable communal equipment of entrepreneurial zones is, which means that the zones have quality infrastructure. When comparing the results of an entrepreneurial survey with the results obtained on the basis of research on JLS representatives, it is clear that the results are similar, which means that zone managers are well aware of the needs of entrepreneurs located in those zones. As the most important factors in making a decision, the respondents point out the three most important ones: zone availability (4.3), availability of energy (4.49) and availability of professional staff (4.3), ie work- force. The last part of the survey referred to the analysis of the most important incentive measures for entrepreneurs. As the two most important stimulus measures, respondents pointed out incentives for recruiting new workers and grants for the purchase of new equipment (4.95), and secondly, they were exempted from utility contributions (4.24) and communal fees (4.30). What can be deduced from the conducted research is that the results that speak of the key factor of the location and the most important incentive measures for entrepreneurs largely coincide with both groups of respondents. Such results are evidence that these entrepreneurial zones are among the most successful in Croatia because they have recognized the needs of potential investors and based on these needs developed a high-quality set of measures that affect a INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1549 favorable entrepreneurial climate. The only disadvantage in most of the entrepreneurial zones is that there is no support for investment in equipment and facilities, which the contractors point out as one of the most important measures, but one of the reasons is significant budget outlays required by this measure. When looking at the satisfaction rating of the location of entrepreneurs located in entrepreneurial zones in Slatina, it is evident that it is lower than the other respondents, positively correlating with the fact that the entrepreneurial zones in Slatina do not have a clear program of incentives for entrepreneurship and communication strategy.

4. CASE STUDY - ENTREPRENEUR ZONE IN THE TOWN OF SLATINA For the purpose of producing a good case study, an interview with representatives of the town of Slatina was conducted on the basis of which the authors received all the key information about entrepreneurial zones and entrepreneurship promotion measures. The town of Slatina does not have a well-developed communication strategy that would attract potential investors, which is one of the reasons for the weakness of the zone. At the moment of writing this paper, measures to promote entrepreneurship in Slatina were not developed, but there is a proposal for measures that are in the public consultation process. The Case Study is based on the activities that need to be undertaken with the aim of developing quality measures and communication strategies for small local self-government bodies that do not have high budgets. According to the Town Development Strategy of Slatina, Slatina has 7 entrepreneurial zones, of which the Small Economy Zone is completely filled, while all other areas are partially completed or are only in the construction phase. Of the activities in the zones, the largest share includes the manufacturing industry which accounts for 18.37% of the total number of entrepreneurs and 50.55% of the total employment. Agriculture is also significant activity in the town of Slatina, and according to data obtained on the basis of interviews with representatives of the Town of Slatina, 467 OPGs are currently in the area of the town. In 2018, the number of companies is 210, out of which 16 are new. The number of crafts in 2010 was 327, of which 45 were newly founded (Strategija razvoja grada Slatine, 2016). MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1550 What can be deduced from the conducted research is that the results that speak of the key factor of the location and the most important incentive measures for entrepreneurs largely coincide with both groups of respondents. Such results are evidence that these entrepreneurial zones are among the most successful in Croatia because they have recognized the needs of potential investors and based on these needs developed a high-quality set of measures that affect a favorable entrepreneurial climate. The only disadvantage in most of the entrepreneurial zones is that there is no support for investment in equipment and facilities, which the contractors point out as one of the most important measures, but one of the reasons is significant budget outlays required by this measure. When looking at the satisfaction rating of the location of entrepreneurs located in entrepreneurial zones in Slatina, it is evident that it is lower than the other respondents, positively correlating with the fact that the entrepreneurial zones in Slatina do not have a clear program of incentives for entrepreneurship and communication strategy.

3. CASE STUDY - ENTREPRENEUR ZONE IN THE TOWN OF SLATINA

For the purpose of producing a good case study, an interview with representatives of the town of Slatina was conducted on the basis of which the authors received all the key information about entrepreneurial zones and entrepreneurship promotion measures. The town of Slatina does not have a well-developed communication strategy that would attract potential investors, which is one of the reasons for the weakness of the zone. At the moment of writing this paper, measures to promote entrepreneurship in Slatina were not developed, but there is a proposal for measures that are in the public consultation process. The Case Study is based on the activities that need to be undertaken with the aim of developing quality measures and communication strategies for small local self-government bodies that do not have high budgets. According to the Town Development Strategy of Slatina, Slatina has 7 entrepreneurial zones, of which the Small Economy Zone is completely filled, while all other areas are partially completed4.1. Analysis or are of onl ythe in thestatus construction of entrepreneurial phase. Of the activities zones in the in zones, the largest share includes the manufacturing industry which accounts for 18.37% of the total number of entrepreneurs and 50.55% of the total employment.Slatina Agriculture (equipment, is also occupancy, significant activi ownershipty in the town relations, of Slatina, and according to data obtained on the basisinvestment of interviews incentives with representatives measures) of the Town of Slatina, 467 OPGs are currently in the area of the town. In 2018, the number of companies is 210, out of which 16 are new. The number of crafts in 2010 was 327, ofAccording which 45 were to the newly data founded of the (Strategijarepresentative razvoj ofa grada the city Slatine, of 7 2016).entrepreneurial zones 5 are in operation, and 2 zones are inactive, ie in preparation for construc- 3.1. Analysistion of the (Turbina status of 3 entrepreneurial and Lipik). The zones problem in Slatina that (equipment,occurs in the occupancy, zones is the ownership weak relations, investment incentives measures) entrepreneurial activity and the small area of the fully-equipped zones. The two entrepreneurialAccording to the datazones of inthe Slatina, representative according of the to city the of L 7aw en trepreneurialon Promotion zones of 5En are- in operation, and 2 zones aretrepreneurial inactive, ie inInfrastructure, preparation for can construction be considered (Turbina fully 3 and active, Lipik). namely The problem PZ Small that occurs in the zones is the weak entrepreneurial activity and the small area of the fully-equipped zones. The two entrepreneurialEconomy zones in and Slatina, PZ Turbinaaccording 1. toZ onethe LawTurbina on Promo 2, andtion Kućanica-Medinci of Entrepreneurial are Infrastructure, in the can be considered fullymiddle active, active, namely while PZ Trnovača Small Economy zone in and initial PZ Turbinaactivation. 1. Zone Figure Turbina 1 shows 2, andthe Kućanica-Medinciplan are in the middleand arrangementactive, while Trnovača of entrepreneurial zone in initial zones activa in thetion. town Figure of 1 Slatina. shows the plan and arrangement of entrepreneurial zones in the town of Slatina.

Figure 1. The plan of the business zones in the town of Slatina Figure 1. The plan of the business zones in the town of Slatina

Source: www.slatina.hr (28.12.2018.) Source: www.slatina.hr (28.12.2018.) From the table below in the business zones that are in operation, it is appar- ent that most of the particle has already been sold, but the problem is that on a small number of particles entrepreneurship has been launched. INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1551 Table 2. Infrastructure Equipment of Entrepreneurial Zones in Slatina

PZ PZ PZ PZ PZ Mala PZ Kućanica- PZ Trnovača Turbina 1 Turbina 2 Turbina 3 Privreda Medinci Lipik Total area (ha) 24,60 25,00 23,90 23,00 10,00 25,00 45,00 For sale (ha) 3,10 0,00 1,40 19,00 0,00 3,50 25,00 Source: Author’s work According to data from Table 2, the total area of all 7 zones, including the areas under preparation, is 176.50 ha, and available for sale is 52.00 ha. In areas currently in operation, only 7 hectares are available for sale, while the remaining area available for sale is available in zones that are in the construction phase.

Table 3. Infrastructure Equipment of Entrepreneurial Zones in Slatina

PZ PZ PZ PZ PZ Mala PZ Kućanica- PZ Trnovača Turbina 1 Turbina 2 Turbina 3 Privreda Medinci Lipik Drainage system Gas Telecomm. infrastructure Internet

El. energy

Legend: Fully equipped Partially equipped Not equipped Source: Author’s work

Along with all the other areas that are not fully equipped, the gas pipeline and telecommunication infrastructure pass through. According to the Town Development Strategy of Slatina, the weak construction of the sewerage network is a limiting factor for economic development in entrepreneurial zones due to the lack of connecting collectors over which the sewage network could expand into economic zones (Strategija razvoja grada Slatine, 2016). According to the data obtained from the representative of the city of Slatina, this problem will be resolved within the framework of the agglomeration project being implemented. The energy system in the town of Slatina is well developed and the main substations are in a good position with respect to the entrepreneurial MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1552 zones, and also the investors who have opened the plants to renewable energy sources in the zones. The greatest advantage of entrepreneurial zones in Slatina is the availability of energy, especially those obtained from renewable sources. Electricity capacity in Slatina is 80 MW, and all energy facilities have been renewed and provide secure supply and delivery of energy (Strategija razvoja grada Slatine, 2016). In the entrepreneurial zone of Kućanica-Medinci, there are two energy obtaining plants from renewable sources and one in Trnovača’s entrepreneurial zone. The Biogas plant of Biointegra Slatina is located in the Kućanica-Medinci area with a power plant capacity of 2.4 MWh, or about 20 GWh per year (Bio- integra, 2019). In the same zone, there is also a solar power plant with an annual capacity of 565,000 kWh (Sunčana elektrana Sinerot, 2015). The Cogenera- tion timber felling plant Energy 9 is located in Trnovača’s entrepreneurial zone, and the capacity of the plant is 5 MWh or 40 GWh per year (Resalta, 2019). Biomass plants have a production capacity of about 25 MW of heat, of which part is consumed in their own production, and some may be used for the operation of other plants. In addition, in Slatina, there are potential sources of geothermal water with recorded water temperature up to 190 ° C. The energy capacities available to entrepreneurs in Slatina with a quality communication strategy can be extremely attractive to new investors. The traffic connections between Slatina and Virovitica-Podravina County with motorways and expressways are one of the biggest drawbacks to the attraction of their zones. According to the Development Strategy of the Town of Slatina (2016), three state roads pass through Slatina: Varaždin-Osijek (D- 2), Daruvar-Donji Miholjac-Josipovac (D-34) and state road Slatina-Požega- Pleternica (D-69). The problem of traffic connections in the local sense has been successfully resolved by building a 10.2 km long bypass and one 1.1 km long mini bypass. Along the edge of the entrepreneurial zones, Trnovača and Turbina 1 passes the Varaždin-Koprivnica-Virovitica-Osijek-Dalj railway line, which provides a direct link to the most important economic centers in Croa- tia. Airports are considerably distant from the entrepreneurial zones in Slatina, and the closest airport within the borders of Croatia is that of Osijek, 96 km away. The nearest international airport is located 75 km from the entrepreneurial zone in Slatina and is located in Pécs (strategija razvoja grada Slatine, 2016). INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1553 4.2. A SWOT analysis of entrepreneurial zones in the town of Slatina In the SWOT analysis (Table 4) of the entrepreneurial zones as a substrate, the data from the Town Development Strategy of Slatina and the data from the conducted interviews with the representatives of the city were used. The main weaknesses of entrepreneurial zones are reflected in poorer communal facilities and the lack of communication strategies, while the most important strengths and opportunities relate to the natural potentials of entrepreneurial zones in Slatina and the availability of energy.

Table 4. A SWOT analysis of entrepreneurial zones in Slatina

STRENGTH WEAKNESS • The tradition of Manufacturing, Textile and • Insufficient number of startups Wood Industry • Low entrepreneurial activity and insufficient • Availability of free surfaces gospodarskih zona equipment of entrepreneurial zones for at- • The ability to use existing business facilities tracting entrepreneurs (brownfield investments) • A small number of innovative entrepreneurs • High-quality energy grid for acceptance and and initiatives extra energy production • Low competitiveness of entrepreneurs • Availability of renewable energy sources • Insufficient construction of sewage and sew- • Preserved environment (soil, water, air) age treatment systems in entrepreneurial • Pre-qualification in the function of the econ- zones omy – harmonization of the program of the • Lack of communication strategy Public University with the labor market OPPORTUNITIES THREATS • Possibilities for investing EU funds in the in- • Emigration of young people frastructure of entrepreneurial zones • Traffic isolation due to insufficient involve- • Providing incentives for youth employment ment in fast roads and motorways • Connecting with cities in the environment to • Close to cities with a competitive industry enhance competitivenessConstruction of an and better transport links entrepreneurial incubator • Frequent changes to legal regulations • Establishment of a program of measures to encourage entrepreneurship • Investing in energy self-sustainability and renewable energy sources

Source: Authors work MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1554 4.3. Development of incentive measures and communication strategy At the time of writing this paper, the web site www.slatina.hr announced a public consultation on the development of entrepreneurship promotion measures in the town of Slatina. Measures to promote entrepreneurship in entrepreneurial zones in the town of Slatina will include, in one part, the measures that are on public consultation, but the focus of these measures is only on the activities that are to be stimulated in entrepreneurial zones. In order to achieve a better impact of the measures, it is necessary to establish a list of priority activities to be promoted in entrepreneurial zones, which will be divided into 3 groups (no specific activity list will be included in this paper). A list of priority activities should be applied to all exemptions defined by the program, and where applicable. The reduction in land prices and the exemption of utility contributions and remuneration can only be achieved by entrepreneurs who open new facilities in entrepreneurial zones or existing entrepreneurs only in the case of release for new employment. Measure 1. Reduction of the price of communally-equipped land - The lowest land price can be at least 1 kn / m2, and the exemption from payment of part of the land price will be defined in three groups of exemption: by priority activity groups, for the employment of new employees residing in the area of Slatina and towards export orientation. Measure 2. Exemption from payment of communal fees - Exemptions from payment of communal fees can be made by entrepreneurs based on the list of priority activities, for new employment and for launching brownfield investments, namely: 1. For the 1st priority activity group 100% for the first 5 years, for the 2nd and 3rd priority activities 100% in the first year and 50% for the second and third year of business 2. For entrepreneurs employing 10 or more employees residing in the area of the town of Slatina 100% in the first year, 50% in the second and third 3. 100% in the first 5 years for brownfield investments in the first 3 groups of priority activities INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1555 Measure 3. The release of payment of municipal contribution - Exemption of payment of utility contributions can be achieved according to the list of priority activities and for new employment. Measure 4. Procurement subsidy and installation of new machinery and equipment - The measure of subsidies for machinery and equipment has been shown to be the most attractive measure among the entrepreneurs, due to the small number of sources available for funding such projects. The grant intensity may be up to 50% of the eligible activities, up to 50.000,00 kn per year for manufacturing activities, while the highest amount for the service and other activities is up to 10.000,00 kn per year. Measure 5. Subsidizing the start-up of entrepreneurial activity of beginner entrepreneurs - This measure may be used by entrepreneurs in the first three years from the beginning of the business, provided that at least one employee is em- ployed for an indefinite period by the applicant. The grant intensity may be up to 50% of the eligible activities, up to 30.000,00 kn per year for manufacturing activities, while the service and other activities are awarded the highest amount up to 10.000,00 kn per year (one entrepreneur can only use this measure once). Measure 6. Subsidizing The Croatian Institute for Health Insurance and Croatian Pension Insurance Institute obligations to employees in the first year of activity or after a larger investment employing at least 10 workers residing in the area of the town of Slatina - The costs of pension and health insurance can be subsidized in the amount of 50% of the cost with the obligation to retain the minimum number of employees at the time of granting the aid throughout the subsidized year. Measure 7. Administrative Aid to Investors in Realization of Investments - This measure encompasses assistance to investors in resolving property rights, obtaining building permits, releasing land conversion costs in full if it is converted for the purpose of carrying out the activity on the established priority list. En- trepreneurs in the area will also offer more favorable preparation and implementation of EU projects. These measures are key to accelerating investment and boosting activity in entrepreneurial zones. In the town budget of Slatina in 2019, HRK 1.495.000,00 was provided for measures to encourage entrepreneurship. This amount is intended to implement measures 4, 5 and 6 from the incentive program, and the creation of a

MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE score list should give priority to projects that will generate new employment.

1556 The plan of revenues from utility contributions and compensation in 2019 amounts to 6,906,588.00 kn. In 2018 there were no exemptions from the payment of utility contributions, and from the payment of the communal fee was exempted from 5 business entities, with a total of 98,453.06 kn. The implementation of these measures is expected to have a significant effect on the increase in employment, with the emphasis on employment of employees residing in the area of the town of Slatina. By implementing measures 5 and 6 of the incentive program it is expected that 20 new jobs will be generated annually. The estimate was based on the number of newly established companies (trades and companies) in 2018, of which were 61, and estimates were taken into account that only one-third of newly established companies generate one new job. Due to weaker entrepreneurial activities in entrepreneurial zones and on the basis of data on the exemptions from the payment of communal fees in 2018 it is expected that as part of Measures 1, 2 and 3 to generate 30 new jobs per year, which would be based on the existing number of open enterprises in the town of Slatina, 0.5 new jobs per entrepreneur per year. The estimated employment impact assessment was determined by the conservative method given the incentive measures only at the start-up stage (Grad Slatina, 2019).

4.4. Communication strategy Based on the results of the research carried out within this paper, the most important factors for making a decision on investing in the zone are equipment of the zone and availability of electricity and professional staff. In the SWOT analysis of entrepreneurial zones in Slatina, as well as the availability of renewable energy sources and the alignment of educational programs with the labor market, in Virovitica-Podravina county there is a high school with programs that monitor the labor market and develop high-quality human resources. Ac- cording to the Town of Slatina Development Strategy, the vision for the urban area of Slatina is “Slatina is an energy-efficient city with a developed business climate, preserved natural heritage and cultural content to the satisfaction of its citizens”. It is precisely on energy sustainability and the development of the entrepreneurial climate that it is necessary to build a communication strategy. The main tools to be used to implement the communication strategy are the website of the entrepreneurial zones and brochures that proved to be the best communication tools for targeted investors in Croatia’s most successful cities. Since

Slatina does not have an entrepreneurial zone website where it will provide all INTERDISCIPLINARY MANAGEMENT RESEARCH XV 1557 important information to entrepreneurs, it needs to be created. Publicly available entrepreneurial brochures have not been updated for years and the data is out of date. The activities planned to be implemented as part of the improvement of the communication strategy will be listed below, while the development of the activities takes into account the city budget which is limited in capacity as the units of local self-government are up to 15,000. Based on the results of the research and vision of the city itself, all communication activities will be aimed at promoting communally-equipped zones, the availability of renewable energy sources and the availability of professional staff. Activities: 1. Creating an entrepreneurial zone website in Slatina with all important information for investors 2. Creating a map of entrepreneurial zones in the GIS system that will be on the website and will contain all the information on the urban plan, zone regulation planned projects and the state of the communal infrastructure (drainage, telecommunication infrastructure, transport infrastructure ...) 3. Creating brochures for entrepreneurial zones for investors that include all exemptions for entrepreneurs, investment guides and the main advantages of entrepreneurial zones 4. Entry of all zones into the database of the Single Business Register of Entrepreneurial Infrastructure (JRPI) 5. Performances at trade fairs and crafts The aim of these activities is to promote entrepreneurial zones in the town of Slatina as high quality communally equipped and energy-self-sustainable zones with a focus on the availability of renewable resources and professional staff.

5. CONCLUSION Investing in a communal building of entrepreneurial zones starts the cycle of attracting investments and creating a favorable entrepreneurial environment in cities and municipalities. There is a large number of entrepreneurial zones in Croatia, which is a real challenge and seeks competition between local self- government for the best investors. Entrepreneurial zones imply a certain level of communal and infrastructure equipment to start the entrepreneurial activity, MPORTANCE OF AN INVESTMENT ATTRACTION PLAN AND COMMUNICATION STRATEGY FOR THE ENTREPRENEURIAL... STRATEGY PLAN AND COMMUNICATION OF AN INVESTMENT ATTRACTION Željka Kadlec • Josip Hetrih: I MPORTANCE

1558 and precisely the programs of measures and exemptions play a major role at the level of entrepreneurial activity within the zone. The paper included a comparison of 5 cities and one municipality whose incentive measures and liberation among the best in Croatia. When selecting the most successful zones, their regional distribution was also taken into account in order to cover all the Croatian regions. Measures and programs to promote entrepreneurship with a large number of local self-government are similar, but the proactivity of local self-government is what separates them from those who are less successful. Among the most successful cities and municipalities, a sample of respondents was selected, covering two surveys on one sample of 6 representatives of local self-government and entrepreneurial zones and 37 entrepreneurs operating in these areas. Research has revealed key factors for investor decision making, which largely relate to communal equipment, availability of energy, and availability of skilled labor. Research has shown that the most successful entrepreneurial zones are well aware of the needs of entrepreneurs in their business and, on that basis, elaborate quality measures and exemptions. After defining the status of entrepreneurial zones in Slatina and developing a SWOT analysis defining the starting points for the elaboration of measures and exemptions in entrepreneurial zones, they started to elaborate on them. Through 7 measures, the exemptions are defined based on the list of priority activities that are to be encouraged in the zones and the granting of grants for subsidies for workers’ obligations. A quality set of measures has been rounded up by the communication strategy and by defining key activities to achieve a more favorable investment environment by promoting the main advantages of entrepreneurial zones in Slatina. This paper provides an example of approaches to the development of incentive measures and communication strategies that are made from fundamental analysis through the definition of key forces and opportunities to implement concrete activities. Emphasis is placed on cities and municipalities of up to 15,000 inhabitants due to limited budget resources that could be put into the function of developing entrepreneurial measures. Each strategic process and document begin with an analysis at the planning stage and ends with setting the mechanisms for monitoring the implementation. In this paper an extensive fundamental analysis was conducted, the investor’s interest was examined and based on the results, incentive measures and communication strategy were adopted. The results of the Revised Audit Report on the efficiency of entrepreneurial zones have shown that significant resources have INTERDISCIPLINARY MANAGEMENT RESEARCH XV

1559 been invested in the established entrepreneurial zones, but many of them didn’t achieve the desired effects, and therefore high-quality mechanisms should be established to improve the efficiency of their implementation. Further research should focus on the development of mechanisms to monitor the implementation of established incentive measures and communication strategy, with the aim to achieve the desired level of efficacy and development of entrepreneurial zones.

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1560 Katalog industrijske zone Bakar (2019). [available at: https://issuu.com/fabijancerneka/ docs/industrijska-zona-katalog-hr/1?ff&e=1737990/7960144, access February 2, 2019] Narodne novine (2018). Zakon o unapređenju poduzetničke infrastrukture, NN 93/13, 114/13, 41/14, 57/18., [available at: https://narodne-novine.nn.hr/clanci/sluzbe- ni/2018_06_57_1158.html , access January 4, 2019] PODI - Industrijska zona Šibenik (2019). [available at: https://www.podi-sibenik.com , access February 5, 2019] Poslovna zona Ivanec (2019). [available at: http://www.poslovna-zona-ivanec.hr, access February 5, 2019] Resalta (2019). Slatina CHP – Croatia, [available at: https://www.resalta.com/references/ slatina-chp-croatia, access February 10, 2019] Strategija razvoja grada Slatine (2016). Strategija razvoja grada Slatine za razdoblje 2016. – 2020.. [available at: http://www.slatina.hr/wp-content/uploads/2016/11/Strategija- razvoja-Grada-Slatine.pdf, access December 28, 2018] Sunčana elektrana Sinerot (2015). Slatina [available at: http://www.vpz.hr/2015/11/04/ foto-saborski-zastupnik-josip-dakic-i-zupan-tomislav-tolusic-otvorili-suncanu-elek- tranu-u-medincima/ , access February 10, 2019] INTERDISCIPLINARY MANAGEMENT RESEARCH XV

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