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Large Enterprise Restructuring Process: The Case Study Of Shipbuilding And Repair Industry In Croatia

Large enterprise restructuring process on the case study of shipbuilding and repair industry in Croatia has been recently in the focus of my research interest. Croatia has a long and rich tradition in shipbuilding industry. Between 60s and 70 it was ranked as 3rd largest shipbuilding industry by tonnage output after Japan ad Korea. In 1991, it held 7th and in 1996 13th position in the World Shipbuilding industry. The majority shipyards (all but one), are state owned companies who are operating at a loss, but their activities are of strategic importance for Croatia. In the aim of achieving higher effectiveness and better competitiveness in shipbuilding industry there are couple of different, but mutually dependent, tasks: financial, organizational, personnel and technological restructuring. Organizational restructuring by spin-off program is in progress under supervision of foreign consultant firm. Our research is contributing to analysis of emerging small-scale private sector in connection with restructuring process in large enterprises particularly shipbuilding industry which are representing regional economic structure. The role of large enterprises in the SME sector development is of crucial importance because of responsibility and market power they have in initial period and first few years of operation for demand creation for local small enterprises. The research was looking at the process of cluster creation from both sides: top down and bottom up perspective (two dimensions of the same issue). For the purpose of this symposia I would like to discuss the main problems pointed out in interviews with SMEs that are part of supply chains around Croatian shipyards: ˇ Current problems that are affecting their successful business operation ˇ Specific problems related with shipbuilding industry ˇ Government support ˇ Other institutional support ˇ Suggestions

Large Enterprise; Restructuring; Shipbuilding and Repair Industry; Croatia

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