PUBLIC OPINION AND EFFECTS OF DIRECT FOREIGN INVESTMENTS IN MACEDONIA

  • Novak Lučić Gevgelija, Republic of Macedonia

Abstract

Foreign Direct Investments (FDI) reviewed from aspect f the country towards which they are directed, carry positive, but also potential negative effects. The research, whose results are presented in this work, includes evaluation of the attitude and of the public opinion and business establishments in the companies which are a result of the FDI, regardin the effects from the FDI and the overall significance for the economic and social development of Macedonia. The results of the research show that most of of the population is partially, as much as it is present in the media for public information, familiar with the FDI in Macedonia. Most frequent reasons for not being informed are the lack of interest, social elements, and the opinion that the information about the FDI in Macedonia is inspired politically, for promoting the government. The largest part of the population believes that the attitude towards the FDI should not be judged as positive or negative in advance, but the and that the effects from the FDI should be analyzed for each specific case. The most significant effect from the the FDI in Macedonia is the employment increase, both according to the public opinion and the business establishments of the FDI-resulted companies. Besides contributing to the employment, other most significant positive effects from the FDIs in Macedonia are: transfer of new technologies, transfer of knowledge, managerial experiences and skills of the foreign investors; positive influence of the FDI for strenghtening the competitiveness in the macedonian economy, better material position of the employees and indirectly, to a better social standard. The most significant negative effects which the FDIs could have in Macedonia are reaching profit on account of smaller salaries for the employees, avoiding tax responsibilities, arrangements with the authorities and possible influence on the political flows by the direct foreign investors in order to reach positive business environment by damaging other companies, whereas the public opinion evaluates as the biggest negative effect – reaching profit though small salaries to the employees, while the business establichment – the possible influence on the political flows in order to achieve appropriate business environment.

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Published
2019-02-28
How to Cite
Lučić, N. (2019). PUBLIC OPINION AND EFFECTS OF DIRECT FOREIGN INVESTMENTS IN MACEDONIA. Knowledge International Journal, 29(1), 27 - 41. https://doi.org/10.35120/kij2901027L