FACTORS OF COMPETITIVENESS OF THE EUROPEAN MARKETS TO SUPPORT BUSINESS DECISION MAKING

Several well established studies measure competitiveness at the country level such as the World Economic Forum and the Institute for Management Development. The former defines competitiveness as the set of institutions, policies and factors that determine the level of productivity of a country. In this paper we focus on factors of competitiveness of the European markets to support business decision making with emphasis on the strategic marketing decision of doing business internationally. In the context of managerial economic decision making the objective is usually defined as profit maximization. However, due to rapidly changing business environment managers nowadays are dealing with higher percentage of nonprogrammed decisions which are characterized by novelty, risk and uncertainty. In order to reach efficient and effective business performance, to compete, grow and be profitable when doing business internationally companies should research factors of competitiveness to allocate resources efficiently and to avoid risk and uncertainty.