Advertisement

Competitiveness Index

  • Ourania Notta
  • Aspasia Vlachvei
Conference paper
Part of the Springer Proceedings in Business and Economics book series (SPBE)

Abstract

In this work, an Industrial Competitiveness Index is used as a composite measure for multidimensional economic performance, covering profitability, productivity and output growth. The main advantage of this approach is the aggregation of the different dimensions of the competitiveness concept into one final index score on which an overall assessment can be based. This index approach enables relative competitiveness comparisons across industries, countries and over time. The competitiveness index of the food and beverage manufacturing sector in 17 countries is analysed empirically, using 2003–2007 Eurostat data. The results show that in 2003–2007 the competitiveness ranking is headed by beverage manufacture both in Europe and in each country separately. According to their geographical location, countries present some differences on competitiveness ranking. Cluster analysis based on the index scores for profitability, productivity and growth variables has been used to identify four different types of performance groups. The most competitive cluster includes the majority of the beverage industries.

References

  1. Allmon, E., Haas, C., Borcherding, J., & Goodrum, P. (2000). U.S. construction labour productivity trends, 1970–1998. ASCE Journal of Construction Engineering and Management, 126(2), 97–104.CrossRefGoogle Scholar
  2. Arditi, D. (1985). Construction productivity improvement. ASCE Journal of Construction Engineering and Management, 111(5), 1–14.CrossRefGoogle Scholar
  3. Arditi, D., & Mochtar, K. (2000). Trends in productivity improvement in the US construction industry. Construction Management and Economics, 18(1), 15–27.CrossRefGoogle Scholar
  4. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.CrossRefGoogle Scholar
  5. Barney, J., Wright, M., & Ketchen, D. J. (2001). The resource-based view of the firm: Ten years after 1991. Journal of Management, 27, 625–641.CrossRefGoogle Scholar
  6. Bartlett, A., & Ghoshal, S. (1989). Managing across borders. Boston: Harvard Business School Press.Google Scholar
  7. Bowen, H. P., & Moesen, W. (2011). Composite competitiveness indicators with endogenous versus predetermined weights An application to the World Economic Forum’s global competitiveness index. Competitiveness Review: An International Business Journal, 21(2), 129–151.  https://doi.org/10.1108/10595421111117434.CrossRefGoogle Scholar
  8. Buckley, P., Pass, C., & Prescott, K. (1988). Measures of international competitiveness: Critical survey. Journal of Marketing Management, 4, 175–200.CrossRefGoogle Scholar
  9. Cattell, K., Flanagan, R., & Jewell, C. A. (2004). Competitiveness and productivity in the construction industry: The importance of definitions. In Root et al. (Ed.), Proceedings of the Construction Industry Development Board (CIDB) 2nd Conference (pp. 25–35). Cape Town, South Africa, Construction Industry Development Board.Google Scholar
  10. Cetindamar, D., & Kilitcioglu, H. (2013). Measuring the competitiveness of a firm for an award system. Competitiveness Review: An International Business Journal, 23(1), 7–22.  https://doi.org/10.1108/10595421311296597.CrossRefGoogle Scholar
  11. Chau, K., & Walker, A. (1988). The measurement of total factor productivity of the Hong Kong construction industry. Construction Management and Economics, 6(3), 209–224.CrossRefGoogle Scholar
  12. Corbett, C., & Wassenhove, L. (1983). Trade offs? What trade-offs? competence and competitiveness in manufacturing. California Management Review, 35(4), 107–122.CrossRefGoogle Scholar
  13. Doz, Y. L., & Prahalad, C. K. (1987). The multinational mission. New York: The Free Press.Google Scholar
  14. EU Commission. (2005). EU sectoral competitiveness indicators. http://europa.eu.int/comm./enterprise/enterprise_policy/competitiveness/doc/eu_sectoral_competitiveness_indicators.pdf. Accessed 24 May 2005.
  15. Eurostat. (2011). Coded—The European concepts and definitions database. Retrieved January 3, 2005, from http://forum.europa.eu.int/irc/dsis/coded/info/data/coded/en.htm
  16. Fisher, C., & Schornberg, S. (2006). The competitiveness situation of the EU meat processing and beverage manufacturing sectors. Paper prepared for presentation at the 98th EAAE Seminar ‘Marketing Dynamics within the Global Trading System: New Perspectives’, Chania, 29 June–2 July 2006. http://ageconsearch.umn.edu/bitstream/10028/1/sp06fi01.pdf
  17. Grant, R. M. (1991). Contemporary strategy analysis: Concepts, techniques and applications. Ambridge, MA: Blackwell Ltd..Google Scholar
  18. Grupp, H. (1997). The links between competitiveness, firm innovative activities and public R&D support in Germany: An empirical analysis. Technology Analysis and Strategic Management, 9(1), 19–33.CrossRefGoogle Scholar
  19. Hamel, G., & Prahalad, C. K. (1989). Strategic intent. HBR no.3, pp 63–76.Google Scholar
  20. Hammer, M., & Champy, J. (1993). Re-engineering the corporation. New York: Harper Business.Google Scholar
  21. IMD. (2004). World competitiveness yearbook 2003. Lausanne: IMD.Google Scholar
  22. International Centre for Alcoholic Policies. (2006). The structure of the beverage industry. ICAP reports 17.Google Scholar
  23. Ive, G., Gruneberg, S., Meikle, J., & Crosthwaite, D. (2004). Measuring the competitiveness of the UK construction industry (Vol. 1). London: Department of Trade and Industry (DTI).Google Scholar
  24. Johnson, H. T. (1992). Relevance regained. New York, NY: The Free Press.Google Scholar
  25. Krugman, P. (1994). Competitiveness: A dangerous obsession. Foreign Affairs, 73, 28–44.CrossRefGoogle Scholar
  26. Laureti, T., & Viviani, A. (2010). Competitiveness and productivity: A case study of Italian firms. Applied Economics, 43(20), 2615–2625.CrossRefGoogle Scholar
  27. Lipovatz, D., Mandaraka, M., & Mourelatos, A. (2000). Multivariate analysis for the assessment of factors affecting industrial competitiveness: The case of Greek food and beverage industries. Applied Stochastic Models in Business and Industry, 16(2), 85–98.  https://doi.org/10.1002/1526-4025(200004/06)16:2<85::AID-ASMB384>3.0.CO;2-D.CrossRefGoogle Scholar
  28. Lu, W. S. (2006). A system for assessing and communicating contractors’ competitiveness. Thesis submitted to the Degree of Doctor of Philosophy in the Department of Building and Real Estate, the Hong Kong Polytechnic University, Hong Kong.Google Scholar
  29. McKee, K., & Sessions-Robinson, C. (1989). Manufacturing productivity and competitiveness. Journal of Manufacturing, 3, 35–39.Google Scholar
  30. Notta, O., & Vlachvei, A. (2011). Competitiveness in Greek food and beverage industries. In Proceedings of international conference on applied economics 2011, TEI of Western Macedonia Press, ISBN 978-960-89054-5-0, ISSN 1791-9347.Google Scholar
  31. Peteraf, M. A. (1983). The cornerstones of competitive advantage: A resource-based view. Strategic Management Journal, 14, 179–191.CrossRefGoogle Scholar
  32. Porter, M. (1980). Competitive Strategy. New York, NY: The Free Press.Google Scholar
  33. Prahalad, C. K., & Hamel, G. (1990). The core competence of the corporation (pp. 79–91). Boston, MA: Harvard Business Review.Google Scholar
  34. Ross, J. W., et al. (1996). Developing long-term competitiveness through IT assets. Sloan Management Review, 38(1), 31–42.Google Scholar
  35. Swann, P., & Taghave, M. (1994). Measuring price and quality competitiveness – a study of 18 British product markets. Brookfield: Vermont, Ashgate Publishing Co.Google Scholar
  36. United Nations Development Programme. (2002). Deepening democracy in a fragmented world (Human Development Report). Retrieved October 15, 2004, from http://hdr.undp.org/reports/view_reports.cfm?type_1
  37. Vlachvei, A., & Notta, O. (2016). Firm competitiveness-theory, evidence and measurement. In A. Vlachvei, O. Notta, K. Karantininis, & N. Tsounis (Eds.), Factors affecting firm competitiveness in the modern business world. Hershey PA: IGI Global.Google Scholar
  38. Wijnands, J. H. M., Bremmers, H., van der Meulen, B. M. J., & Poppe, K. J. (2008). An economic and legal assessment of the EU food industry’s competitiveness. Agribusiness, 24(4), 417–439.  https://doi.org/10.1002/agr.20167.CrossRefGoogle Scholar

Copyright information

© Springer International Publishing AG, part of Springer Nature 2018

Authors and Affiliations

  1. 1.Department of Agricultural Technology, (Agricultural Economics Program)Alexander Technological Educational Institute of ThessalonikiThessalonikiGreece
  2. 2.Department of International TradeWestern Macedonia University of Applied SciencesKastoriaGreece

Personalised recommendations