Factors That in the Modern Environment Determine the Development of Serbian Economy

ABSTRACT

Rapid and radical changes are a fundamental characteristic of the modern economy. Accordingly, the success of any economy is conditioned by its ability to adequately respond to all of the demands that the changing environment imposes on it. When some kind of a change occurs, flexibility is necessary in implementing plans and makin decisions, that is, an adequate and timely reaction is necessary. As the environment changes, so do the rules of winning. Businesses that are able to create differentiating advantage in a globalized world achieve the greatest success. Manny difficulties faced by the Serbian economy during the previous period, as well as the late entry into the transition process and the implementation of reforms, make it difficult to adapt to the demands that come from the changing environment. In addition to that, the pandemic caused by the Covid-19 virus, as well as the current war events, significantly slow down the development of many economies in the world, and accordingly, they do not bypass the Serbian economy either. The goal of this research is to indicate that some of the factors inherent in the modern environment determine the development of the Serbian economy.