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The Comparative Advantages of Manufacturing Industry of Serbia: Manufacture of Food Products and Beverages
Abstract
In this chapter, the authors have also pointed out to a fact that the Serbian processing industry has been encumbered by problems from the past, lack of investments, innovation and research, which has a restrictive effect on the competitiveness, inclusion on international market and adjustment to market regularities. After reading this chapter, it will be clear which sectors in Manufacturing Industry of Serbia, more precisely Manufacture of Food Products and Beverages industry have a positive comparative advantage in long-term interval, i.e. which ones are competitive on international market. Readers will find out that the Serbian Manufacture of Food Products and Beverages industry has a surplus in international trade. They will understand how could be kept track of the changes in export value of Manufacture of Food Products and Beverages industry through the Balassa index (RCA), Lafay (LFI) and the modified index of comparative advantage (Sm) and specialization in international trade, by using the Grubel Lloyd's index (GL) on international market. They will be introduced to the examples of food industry in Czech Republic, Hungary, Slovenia, Turkey, China and Croatia, and will understand specificities and the effects of implemented transformations in these countries.
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