IDEAS home Printed from https://ideas.repec.org/a/cbu/jrnlec/y2022v3p4-15.html

ANALYSIS OF THE INVESTMENT ACTIVITY OF SMEs IN NORTH MACEDONIA

Author

Listed:
  • ANETA RISTESKA JANKULOSKA

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • MIROSLAV GVEROSKI

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • KOSTA SOTIROSKI

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • TATJANA SPASESKA

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

Abstract

Today, small and medium-sized enterprises are increasingly involved in creating new jobs, creating added value and involving the domestic economy in world trade through their internationalization. Therefore, small and medium enterprises are the key drivers of economic development. There are number of weaknesses and advantages between small and medium enterprises and large enterprises and also similarities and differences in the realization of various business activities. Investments are important for the development of SMEs. Considering this, investment decision are one of the most rewarding business decisions. The investment decision-making process is a complex and dynamic process, which means analysis of all factors (financial, market, technical-technical, location, social), anticipation of different alternatives, perception and evaluation of the effects. The procedure for assessing the justification of investment projects is different for small and medium enterprises from large ones. The differences arise from the opportunities for access of these companies to the sources of financing, from the opportunities and capabilities for planning by the owners of small enterprises, the short-term orientation in the operation and especially from the way of management. Due to all this, the process of investment decision-making in SMEs is usually avoided or it’s reduced only to a superficial analysis of the business environment and the application of investment criteria. Therefore, the main goal of this paper will be to assess and analyze the importance of special determinants of investment activity in small and medium enterprises in North Macedonia. At the end, in the conclusion a lot of considerations, measures and solutions for more serious treatment of investment decision-making in SMEs will be proposed.

Suggested Citation

  • Aneta Risteska Jankuloska & Miroslav Gveroski & Kosta Sotiroski & Tatjana Spaseska, 2022. "ANALYSIS OF THE INVESTMENT ACTIVITY OF SMEs IN NORTH MACEDONIA," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 3, pages 4-15, June.
    • Handle: RePEc:cbu:jrnlec:y:2022:v:3:p:4-15
    as

    Download full text from publisher

    File URL: https://www.utgjiu.ro/revista/ec/pdf/2022-03/01_Risteska.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ulrike Malmendier & Geoffrey Tate, 2005. "Does Overconfidence Affect Corporate Investment? CEO Overconfidence Measures Revisited," European Financial Management, European Financial Management Association, vol. 11(5), pages 649-659, November.
    2. Aneta Risteska & Dimitar Nikoloski & Miroslav Gveroski & Tatjana Spaseska & Fanka Risteska, 2014. "ANALYSIS OF SMEs FINANCING IN THE REPUBLIC OF MACEDONIA – CONDITIONS AND PERSPECTIVES," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 3, pages 9-16, June.
    3. Maja Jokic & Bogdan Laban & Ivan Arnautovic & Dragana Popovic & Slobodan Popovic, 2020. "Making Business Decisions In Industrial Companies In The Transition Country, By The Case Of The Republic Of Serbia," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 2, pages 4-11, April.
    4. Jorgenson, Dale W, 1971. "Econometric Studies of Investment Behavior: A Survey," Journal of Economic Literature, American Economic Association, vol. 9(4), pages 1111-1147, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cardak, Buly A. & Martin, Vance L., 2023. "Household willingness to take financial risk: Stockmarket movements and life‐cycle effects," Journal of Banking & Finance, Elsevier, vol. 149(C).
    2. Dhouha Bouaziz, 2025. "Does External Audit Quality Moderate the Relationship Between CEO Entrenchment and Financial Communication Quality? Evidence from French Companies," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 15(3), pages 101-129.
    3. Tryphon Kollintzas, 1986. "Tax Policy under Nongeometric Physical Depreciation," Public Finance Review, , vol. 14(3), pages 263-288, July.
    4. Nadiah Amirah Nor Azhari & Suhaily Hasnan & Zuraidah Mohd Sanusi, 2020. "The Relationships Between Managerial Overconfidence, Audit Committee, CEO Duality and Audit Quality and Accounting Misstatements," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 11(3), pages 18-30, June.
    5. Panagiotidis, Theodore & Printzis, Panagiotis, 2020. "What is the investment loss due to uncertainty?," Global Finance Journal, Elsevier, vol. 45(C).
    6. Eckhard Hein & Christian Schoder, 2011. "Interest rates, distribution and capital accumulation -- A post-Kaleckian perspective on the US and Germany," International Review of Applied Economics, Taylor & Francis Journals, vol. 25(6), pages 693-723, November.
    7. Michaelides, Panayotis G. & Belegri-Roboli, Athena & Economakis, George & Milios, John G., 2005. "The Determinants of Investment Activity in Greece (1960-’99)," MPRA Paper 74548, University Library of Munich, Germany.
    8. Gerling, Katja, 1998. "Transfers and transition: The impact of government support on factor demand and production in Eastern Germany," Kiel Working Papers 878, Kiel Institute for the World Economy.
    9. Zhe Li & Oksana Pryshchepa & Bo Wang, 2023. "Financial experts on the top management team: Do they reduce investment inefficiency?," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 50(1-2), pages 198-235, January.
    10. Jeffrey A. Frankel., 1992. "The Evolving Japanese Financial System, and the Cost of Capital," Center for International and Development Economics Research (CIDER) Working Papers C92-002, University of California at Berkeley.
    11. Montone, Maurizio & Zhu, Yuhao & Zwinkels, Remco C.J., 2024. "Managerial sentiment and employment," Journal of Behavioral and Experimental Finance, Elsevier, vol. 43(C).
    12. Georgios Argitis, 2008. "Finance, Investment and Macroeconomic Performance," European Research Studies Journal, European Research Studies Journal, vol. 0(1-2), pages 71-88.
    13. Samuel, Cherian, 1996. "The investment decision : a re-examination of competing theories using panel data," Policy Research Working Paper Series 1656, The World Bank.
    14. Jacques Mairesse & Bronwyn H. Hall & Benoît Mulkay, 1999. "Firm-Level Investment in France and the United States: An Exploration of What We Have Learned in Twenty Years," Annals of Economics and Statistics, GENES, issue 55-56, pages 27-67.
    15. Jains P. Chacko & Lakshmi Padmakumari, 2023. "The Effect of Investment Inefficiency on Expected Returns," Journal of Emerging Market Finance, Institute for Financial Management and Research, vol. 22(3), pages 272-296, September.
    16. Wu, Meng-Wen & Xu, Li & Shen, Chung-hua & Zhang, Ke-Kun, 2021. "Overconfident CEOs and shadow banking in China," Pacific-Basin Finance Journal, Elsevier, vol. 65(C).
    17. Hamza Bennani, 2023. "Overconfidence of the chair of the Federal Reserve and market expectations: Evidence based on media coverage," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(3), pages 3403-3419, July.
    18. Zhengwei Li & Qiaoli Li & Yadan Zheng, 2025. "Crisis shocks, executive confidence and strategic change: a study based on US Entity List sanctions," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 12(1), pages 1-11, December.
    19. Piet Eichholtz & Erkan Yönder, 2015. "CEO Overconfidence, REIT Investment Activity and Performance," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 43(1), pages 139-162, March.
    20. Chiranjivi, GVS & Sensarma, Rudra, 2023. "The effects of economic and financial shocks on private investment: A wavelet study of return and volatility spillovers," International Review of Financial Analysis, Elsevier, vol. 90(C).

    More about this item

    Keywords

    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cbu:jrnlec:y:2022:v:3:p:4-15. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ecobici Nicolae (email available below). General contact details of provider: https://edirc.repec.org/data/fetgjro.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.