THE ANALYSIS OF THE COMPETITIVENESS AND STRUCTURAL CHARACTERISTICS OF CROATIAN MANUFACTURING

This paper analyses structural characteristics and the dynamics of production and production factors in the manufacturing industry in the Republic of Croatia in the period from 1997 to 2007. The analysis focuses on manufacturing industry in general, its main branches and its level of technological intensity. Thus the analysis also questions the conditions related to technological intensity of production and its influence on the competitiveness of Croatian manufacturing. The results indicate that the structure of Croatian manufacturing is falling behind European manufacturing, which suggests that Croatian manufacturing is loosing its competitiveness. Lower competitiveness results from unfavourable technological structure, in so far that the industries characterised by low level of technological intensity are gaining strength and dominate the manufacturing sector.