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Marketing of Local Public Services under the Reduction of Administrative Expenditures

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Author Info

  • Ani Matei

    (National School of Political Studies and Public Administration, Bucharest)

  • Lucica Matei

    (National School of Political Studies and Public Administration, Bucharest)

  • Teodora Dinu

    (National School of Political Studies and Public Administration, Bucharest)

Abstract

The concerns for reducing administrative expenditures have been expressed in the last 10-15 years in concrete initiatives. It is worth to remark the occurrence of networks concerning the application of Standard Cost Model (SCM), aimed to reduce administrative expenditures for affairs. Even the European Commission aims to elaborate and implement a strategy to reduce administrative costs for affairs inside the European Union. We find similar initiatives in OECD, several European states, i.e. United Kingdom, Denmark, Netherlands, Sweden, Norway, as well as other countries. An international project “Cross Country Benchmarking” is important in this respect. These concerns have developed and diversified due to the worsening of the economic crisis. The crisis effects, already visible in the public sector too, lessen more and more the possibilities of satisfying the citizen’s needs. The marketing specialists bring up more and more frequently new marketing instruments that, giving the context, should generate products and services meant to satisfy the citizens’ needs. The product and service, in itself, as well as their price, become the main marketing instruments. The present paper proposes an assessment, based on the two instruments of the public marketing mix, of the way in which the reduction of the administrative expenditures can lead to a reduction in the price of the public services or to their diversification with regard to the consumers’ needs. By using elements specific to the production theory, the product management shall be substantiated, as well as the strategies regarding the prices of the public services.

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Bibliographic Info

Article provided by Asociatia Generala a Economistilor din Romania - AGER in its journal Theoretical and Applied Economics.

Volume (Year): 03(532) (2009)
Issue (Month): 03(532) (March)
Pages: 07-28

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Handle: RePEc:agr:journl:v:03(532):y:2009:i:03(532):p:07-28

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Related research

Keywords: public marketing; administrative burden; strategies; expenditure reduction.;

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Cited by:
  1. Matei, Ani & Dinu, Teodora, 2009. "Improvement of Government Financing through Non-Conventional Methods: Reducing the Administrative Costs in the Public Sector," MPRA Paper 18905, University Library of Munich, Germany, revised 17 Jun 2009.
  2. Matei, Ani & Matei, Lucica, 2011. "Knowledge marketing and development in the new knowledge-based economy," MPRA Paper 31474, University Library of Munich, Germany, revised 10 Jun 2011.
  3. Matei, Ani & Matei, Lucica, 2010. "Reducing the Administrative Expenditures as Source for Increasing the Efficiency of Local Governance under Conditions of the Financial Crisis," Apas Papers 150, Academic Public Administration Studies Archive - APAS.

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