Measurement of Entrepreneurship Macro Surrounding Advantages: Country’s Economic Competitiveness Approach
Keywords:economic competitiveness, entrepreneurship macro surrounding advantages, competitiveness determinant, primary macro factors, macro factor pillars, multiple criteria evaluation methods
The economic development in the newly EU countries is oriented to the restructuring of economy also reduction of the differences in the economic development level of various regions. The enlargement of country’s competitive ability and creation of a modern knowledge-based economy are the priorities of the development.
This paper concerns the measurement backgrounds of entrepreneurship macro surrounding advantages as a country’s economic competitiveness determinant that applicable for reasoning of the attitudes and decisions of economic development strategy using multi-attribute decision making methods. In principle, the assumption is made that the measurement must be performed according to the approach to every key determinant as a partial economic competitiveness which is subject of essential primary competitiveness macro factors. The conceptual provisions are foremost focused on the measurement of a totality of the national macro surrounding advantages based on the generalized model which reflects the interdependencies of primary macro factors in a system with account of the impact (vector) of each of them. This study is intended to reveal the deterministic measurement possibilities oriented to the reasoned multiple criteria evaluation methods on the basis adopted for the particular task models.
The technique supposes the following procedures: the identification of essential primary macro factors, their quantifiable assessment (in points) as primary criteria allowing the different weights of the impact on economic competitiveness and the composition of task pillars. When examining the primary macro factors, the indicators of global country’s competitiveness index established by the World Economic Forum were taken into account. The whole of the typical primary macrofactors selected by three task pillars (those of specific business infrastructure, common economic surroundings, fiscal and monetary policy macrofactors) is presented.
The favorability indexes of each pillar (as partially integrated criteria having different significance) and, in its turn, the generalized measure – macro surroundings favorability index have been determined by applying, in particular, Simple Additive Weighting method.Lithuania‘s macro surrounding advantages were evaluated according to the proposed technique: they may be scored at 54 point (in 100 point system).