Year 2011, Issue 112

Date published

13.8.2011

Table of content

  • Dragomir Iliev
    INTERNATIONAL MARKETING DIVERSIFICATION
    JEL: F41, F23
    Keywords: openness of the economy, economic growth, regional disparities, Herfindahl-Hrschman index, ABC- analysis, diversification of corporate expansion, model for selection of market
    Summary: INTRODUCTION 7 CHAPTER ONE INCREASING OPENNESS OF THE GLOBAL ECONOMY 9 1. The world today and some regularities in the globality 9 2. Sociability of the economy as a factor of economic growth 16 3. Sociability and various aspects 26 4. Back side of the medal or disadvantages of the sociability 31 5. Regionalization of  ... ... CONTENT INTRODUCTION 7 CHAPTER ONE INCREASING OPENNESS OF THE GLOBAL ECONOMY 9 1. The world today and some regularities in the globality 9 2. Sociability of the economy as a factor of economic growth 16 3. Sociability and various aspects 26 4. Back side of the medal or disadvantages of the sociability 31 5. Regionalization of the world economy 38 CHAPTER TWO COMMERCIAL BEHAVIOUR OF THE STATE OUT OF ECONOMIC UNIONS - MEANS TO OVERCOME THE REGIONAL DISPARITY 43 1. Economic relations under conditions of socialist economy 43 2. The process of opening of Bulgaria in the context of European integration 49 3. Diversified trade flows – a means to overcome the regional disparities 58 CHAPTER FOUR DIVERSIFICATION OF THE COMPANIES EXPANTION ON THE INTERNATIONAL MARKETS 66 1. Corporate approaches to foreign markets 66 2. Types of models to choose a market 74 3. Conceptual model to chose a country for penetrating 82 CONCLUSION 87 APPENDIX 89 REFERENCES 97 RESUME The integration in economic block assists the economic development. It is extremely suitable for small economies. Providing easier access to large regional market provides opportunities for economies of scale, transfer of technologies, capitals, resources. It must be considered however the fact that hasty and reckless opening could lead to negative effects in long term horizon and to put in dependence the dynamics of national economy from the dynamics of economies of the rest of the member countries. The thesis that the author defends is that the regional dependence of the economy can be overcome through opening of the national economy also to other world regions. The diversification of the commercial flows to regions experiencing growth of the economy, can provide the balance needed for functioning of national economy. The monography is structured in three chapters. In Chapter one the theories, conceptions and models for openness of the national economy as a factor for economic growth are discussed. In Chapter 2 the openness of national economy of Bulgaria is analyzed and estimated. The diversification of foreign trade flows is traced as the instruments for its measurement. Herfindahl-Hirschman index and ABC-analysis is applied. Chapter three is devoted to diversification of corporate expansion on the international markets.