Illiquidity, legislation, slow administration, corruption, insufficient demand and financial limitations are the main shortcomings in doing business in Croatia where in the past three years business conditions have seriously deteriorated, according to the first joint survey carried out by the American Chamber of Commerce in Croatia (AmCham) and the Nordic Chamber of Commerce in Croatia.
AmCham, together with the Nordic Chamber presented the results of the Business Climate Survey to the press in Zagreb on Tuesday. The survey was conducted among members in the period from 19 April to 14 September 2011.
A total of 87 companies, of over 200 members of the two chambers, took part in the survey, executive director of the Nordic Chamber Gordana Fustar said, adding that the results must be considered with caution given such a small sample. She said, however, the results of the survey must be taken into account given that the businesses that participated in the survey were important companies doing business in and with Croatia.
AmCham executive director Andrea Doko Jelusic said the survey results had been forwarded to the Office of the Croatian President and ambassadors and would also be forwarded to the new Croatian government.
The survey, carried out by the Ipsos Puls agency, shows that 50 pct of respondents expect the business climate in Croatia to remain the same in the next three months, while 76 pct said they would change the prices of their products and services or lay off workers.
Compared to business conditions in other countries in central and eastern Europe in which 67 pct of the respondents are doing business, 40 pct believes the situation is worst in Croatia, 41 pct believes the situation in Croatia is average and only three percent believes the situation in Croatia is better than in other central and eastern European countries.
