Assessment of doing business in different countries: relative and general indicators

Author:

YARMAK Olha,CHERNIAIEVA Anna

Abstract

Introduction. The complexity of doing business varies greatly from country to country. Different countries have different taxes. Also, the number of permits to start a business can vary significantly. There are also hidden obstacles: corruption, protectionism, difficulties in hiring and laid off labor. It is also influenced by differences in mentality, distance between countries, differences in legislation, and so on. Knowledge and ability to assess these factors will allow you to choose a country in which to effectively implement business and effectively manage them. The purpose of the paper is to clarify the indicator that determines the ease of doing business. This figure will be refined by relative components, depending on the country where the business organizer lives and its actual location. It is proposed to use primarily to open a foreign business or business in different regions of a large country. Results. Improvement of the indicator for assessing doing business for different countries and territories is proposed. The indicator is proposed to be divided into two components: general and relative. The general part only depends on the country or territory where the business is being conducted. The relative part depends on the difference between the indicators of the country where the business is conducted and the indicators of the country of the entrepreneur. These indicators are defined for a group of countries. The relative part of the indicator was determined for Ukraine. A comparison is made of the ease of starting a business for a citizen of Ukraine in Poland, China and Germany. Conclusion. This technique will allow you to scientifically choose a country to start a business. Of the countries discussed in the article, the most attractive is Poland. In further works it is possible to clarify the components of the indicator of ease of doing business and clarify the methods of determining its components. Properly chosen country will increase its profitability, make management faster and more efficient. It also allows you to expand your existing business, get additional customers and suppliers of the necessary raw materials, materials and information resources.

Publisher

JSC Analityk

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