Papers by Shota Shaburishvili
Journal of Eastern European and Central Asian research, Dec 2, 2023
The United States became an important strategic partner shortly after restoring Georgia's indepen... more The United States became an important strategic partner shortly after restoring Georgia's independence. On June 20, 2007, a trade and investment framework agreement was signed between the U.S. and Georgia. This agreement was to expand trade in goods and services between the two countries and improve Georgia's investment environment. Although Georgia does not yet have a free trade agreement (FTA) with the U.S., this research assesses the trade potential between Georgia and the U.S. through a gravity model using panel data for 2000-2021. The bilateral trade gravity model was evaluated by EGLS, two-stage EGLS, and GMM techniques, which includes the following variables: GDP, population, distance, and trade openness between Georgia and partner countries. In addition, dummy variables such as religion, common border, and trade agreement also play a role. The study results also reveal that Georgia's foreign trade potential with the United States is fragile.
Zenodo (CERN European Organization for Nuclear Research), Aug 21, 2023
In contemporary times, there is a widespread and continuous technological transformation driven b... more In contemporary times, there is a widespread and continuous technological transformation driven by the scientifictechnical revolution, affecting all countries. Consequently, the focus of a nation's development has shifted from a static, short-term, and resource-based business approach to more innovative, dynamic, and creative models. For Georgian companies seeking to establish themselves as competitive entities in the global business landscape, it is crucial to conduct a comprehensive analysis of technological environmental factors and integrate them into their international business strategies. One critical aspect in this direction is the empirical examination of the relationship between innovation processes and productivity at the micro-level. To achieve this, the study employs microdata provided by the World Bank and employs structural model known as the CDM model. This approach allows for an analysis of the impact of product/service and process innovations on the productivity of Georgian companies, considering their specific scale and size. The research proceeds in several stages. Firstly, it investigates the factors influencing research and development, followed by an analysis of the determinants of product/service and process innovation. Finally, the study identifies the overall impact of innovation on productivity. Notably, the results highlight significant causal connections between innovation and productivity concerning the size of the company. Surprisingly, the empirical research conducted on Georgian firms revealed unexpected outcomes. Specifically, it was found that research and development (R&D) exerted a statistically significant negative influence on innovation processes. Furthermore, the contribution of innovation to labor productivity was not statistically significant. However, on a positive note, the study demonstrated that investments in fixed capital and the number of employees had a favorable impact on labor productivity. In conclusion, the ongoing technological advancements driven by the scientific-technical revolution have led countries to shift their developmental focus towards innovation-oriented and dynamic business models. For Georgian companies aiming to thrive in the global business arena, it is essential to consider the relationship between innovation and productivity at the micro level. The study conducted using the CDM model and microdata from the World Bank revealed interesting insights, indicating the need for further investigation and exploration of these findings.
Zenodo (CERN European Organization for Nuclear Research), Aug 21, 2023
The investigation into the patterns of real estate market development, its role in the economic l... more The investigation into the patterns of real estate market development, its role in the economic landscape, and the examination of factors influencing property prices captivates the attention of contemporary academia. Notably, the real estate market in Georgia remains in its formative stages, resulting in limited scholarly scrutiny. It's essential to recognize that the real estate market wields a potent multiplier effect on the overall economy of a nation. This article delves into a comprehensive analysis of the factors that exert influence on the real estate market. The study encompasses the timeframe from 2013 to 2021, drawing upon indicators from 12 different countries. Employing the method of linear regression analysis, the study successfully identifies the key variables that significantly impact real estate prices and availability. These variables include GDP per capita, inflation, investments, the Quality of Life Index, and the safety index. Crucially, through empirical research, the study unveils statistically significant relationships. Specifically, GDP per capita, safety index, and investments exhibit a positive correlation with real estate prices and its affordability ratio. Conversely, the analysis reveals a negative correlation between the Quality of Life Index, population, inflation rate, and the dependent variable, underscoring the intricate interplay between these factors and their influence on the real estate market dynamics.
Zeszyty Naukowe Uniwersytetu Przyrodniczo-Humanistycznego w Siedlcach. Seria Administracja i Zarządzanie, Mar 7, 2024
The present paper provides a literature review on the concepts of organizational culture and a br... more The present paper provides a literature review on the concepts of organizational culture and a brief history of its development. Scientific views are analyzed according to the superficial, internal and deep levels of organizational culture. Every organization has a certain structure of its organizational culture, basic values and the values that determine its viability in everyday life. Organizational culture is a complex phenomenon and represents a pressing scientific problem, which at the moment of our research has not been properly studied in Georgia. Considering such limitations, we use the single case study method in our research, which allows us to provide an in-depth analysis of current events in a real context, to identify causal connections in the research phenomenon. This paper presents a case of a successful culture based on the example of the Bank of Georgia. The case examines the values of the organizational culture at different levels, showing how a strong, unified culture is formed in the company and how culture impacts the company's activities. The study of the documentation depicting the functioning of the Bank of Georgia showed us that the organizational culture determines the image and reputation of the bank, ensures employee and customer satisfaction, and strengthens the reputation of the bank as the best employer.
After the collapse of the Soviet Union Georgia experienced a protracted crisis during which the c... more After the collapse of the Soviet Union Georgia experienced a protracted crisis during which the country lost its territories as a result of conflicts and gross domestic product (GDP) has been cut by 2/3 since 1990. Since then Georgia has faced a serious problem with its development that was caused by the necessity of transition. The course to European values, taken by Georgia, had no alternatives. Despite achieving considerable success in political, economic and social fields, living standards and quality of the population still remains extremely poor. Satisfaction of public requirements significantly lagged behind the high rates of economic growth. At present, Georgia is facing a number of economic problems, which need to be solved in timely manner, otherwise macroeconomic stability of the country will face serious threats.
Reforming processes in Georgia were mainly based on WTO norms and European Union standards. The r... more Reforming processes in Georgia were mainly based on WTO norms and European Union standards. The reforms aimed to improve business environment. Global privatization programs were introduced, service of customs and tax bodies became more organized and significant progress was achieved in the fight against corruption. Important progress has been made in the banking sector, telecommunications, the field of international trade, as well as in some of the regulating spheres.
გლობალიზაცია და ბიზნესი, May 17, 2022
After gaining independence of Georgia, the banking system has made a significant contribution to ... more After gaining independence of Georgia, the banking system has made a significant contribution to the Georgian economy. The financial sector of Georgia is fully represented by banks. The profitability of the banking sector is one of the best in the region. According to the data of the first and second quarters of 2021, ROE was 16.5%, and ROA-1.8%. The high rate of profitability ensures stability in the banking sector. Despite the stability of the Georgian banking sector, compared to other companies, banks face a more competitive and volatile global environment. In general, the banking sector is very sensitive to public scrutiny and the risks associated with management and stakeholder failure. Governance issues in banks are gaining enormous importance. The purpose of this research is to study the determinants of the structure of the Board of Directors and their impact on the profitability of the banking sector in relation to Georgia. The study identifies the structure of the board of directors as an alternative function of the management mechanism, the characteristics of the board, and the control variables. The banking sector of Georgia is represented by 15 banks, whose empirical research was conducted quarterly for 2017-2021. The study found that the size, firm size and age of the supervisory board were negatively correlated with ROE, while the size, duality, concentration of ownership and institutional ownership of the board of directors were positive. However, these variables are not statistically significant.
Hospitality and tourism are an industry which have become an essential revenue stream for many de... more Hospitality and tourism are an industry which have become an essential revenue stream for many developing countries. Organizations and their management have to deal with many difficulties in recruiting, developing and maintaining well motivated employees, who must give high-quality service to demanding customers 7 . In this article all the difficulties and issues related to human resource management which exists in tourism and hospitality industry will be critically evaluated, particularly pertaining to organization management and personnel training and motivation. in order to form, develop and maintain effective and motivated personnel.
Ivane Javakhishvili Tbilisi State University Press, Oct 1, 2017
Globalization and Business, 2017
The article devoted to the problems of competitiveness of Latvia. The global competitiveness inde... more The article devoted to the problems of competitiveness of Latvia. The global competitiveness index has decreased during previous years. The main threats are stressed. General conclusion is that a way to competitiveness enhancement and to the knowledge-society lies via innovations. The government economic policy has to be changed. Keywords: competitiveness, innovation potential, global competitiveness index, national economy. РЕЗЮМЕ У статті розглянуті та проаналізовані проблеми конкурентоспроможності економіки Латвії. Глобальний індекс конкурентоспроможності знижується протягом попередніх років. Був зроблений висновок, що єдиний шлях до рішення проблем-це розвиток інноваційного потенціалу, і економічна політика держави повинна бути істотно змінена. Ключові слова: конкурентоспроможність, інноваційний потенціал, глобальний індекс конкурентоспроможності, національна економіка. РЕЗЮМЕ В статье рассмотрены и проанализированы проблемы конкурентоспособности экономики Латвии. Глобальный индекс конкурентоспособности понижается в течение предыдущих лет. Был сделан вывод, что единственный путь к решению проблем-это развитие инновационного потенциала, и экономическая политика государства должна быть существенно изменена. Ключевые слова: конкурентоспособность, инновационный потенциал, глобальный индекс конкурентоспособности, национальная экономика.
ascn.ch
... Proofread by American Journal Experts Association Technical assistants: SophioSichinava, MSc ... more ... Proofread by American Journal Experts Association Technical assistants: SophioSichinava, MSc Nana Maisuradze, MSc The present study was conducted with the support of the Academic Swiss Caucasus Net (ASCN). ASCN ...
Globalization and Business, 2018
The correct professional orientation is related to the problems of the society, which are quite d... more The correct professional orientation is related to the problems of the society, which are quite difficult to solve. These problems include high rate of unemployment, low labor productivity, career advancement opportunities, etc. Therefore, the purpose of the present paper is to study the factors which affect the professional orientation of young people in Georgia and to determine how much they affect the decision about professional orientation. Graduate students of Georgian secondary schools participated in the present research. With the help of a special questionnaire, the schoolchildren have expressed their opinions and assessments regarding the factors affecting their professional choices. Research showed that professional orientation of the most people participating in the research is affected by the following factors: the prestige of a profession, future employment opportunities, the estimated level of income by profession, personal interests and direct relation of family membe...
Continuous and progressive technological changes based on scientific-technical revolution have be... more Continuous and progressive technological changes based on scientific-technical revolution have become common under modern globalization processes. They gradually destroy the traditional distinction between low and high-tech sectors and shift the general vector of development of the country from static, temporary comparative advantages to innovation-based dynamic competitive advantage. In other words, the technological environment is becoming a significant resource that determines competitive advantage and is essential for achieving efficient and rapid improvement of the welfare of a society. Almost all the aspects of the operations of international companies - introduction of new technologies, manufacturing operations, decision-making on marketing activities, productivity of human resources are significantly influenced by technological environment variables
European Journal of Economics and Business Studies
Continuous and progressive technological changes based on scientific-technical revolution have be... more Continuous and progressive technological changes based on scientific-technical revolution have become common under modern globalization processes. They gradually destroy the traditional distinction between low and high-tech sectors and shift the general vector of development of the country from static, temporary comparative advantages to innovation-based dynamic competitive advantage. In other words, innovation is becoming a significant resource that determines a competitive advantage of a country and is essential for achieving efficient and rapid improvement of welfare of a society. What is business innovation? How does innovationinfluence business development and its management in the country? In modern global business management success can’t be achieved without application and proper management of up-to-date technologies. As a result, in recent years, scientists have paid special interest to the importance of technology and scientific and technological progress in business devel...
Continuous and progressive technological changes based on scientific-technical revolution have be... more Continuous and progressive technological changes based on scientific-technical revolution have become common under modern globalization processes. They gradually destroy the traditional distinction between low and high-tech sectors and shift the general vector of development of the country from static, temporary comparative advantages to innovation-based dynamic competitive advantage. In other words, the technological environment is becoming a significant resource that determines competitive advantage and is essential for achieving efficient and rapid improvement of the welfare of a society. Almost all the aspects of the operations of international companies – introduction of new technologies, manufacturing operations, decision-making on marketing activities, productivity of human resources are significantly influenced by technological environment variables. Abstrakt: We współczesnych procesach globalizacji zachodzą ciągłe, progresywne i technologiczne zmiany oparte na naukowo-technicznej rewolucji. Stopniowo zaciera się podział na sektory niskich i wysokich technologii oraz zmienia się ogólny kierunek rozwoju ze statycznych, tymczasowych prze-wag konkurencyjnych w stronę przewag opartych na dynamiczności i innowacjach. Technologiczne środowisko jest niezbędne do osiągnięcia szybkiej poprawy stanu dobrobytu społeczeństwa. Prawie wszystkie aspekty działalności firm międzynarodowych-wdrażanie nowych technologii, procesów produkcyjnych, podejmowania decyzji w ramach działań marketingowych, produktywności zasobów ludzkich pozostają pod wpływem zmian w środowisku technologicznym. Słowa kluczowe: technologia, innowacyjność, otoczenie biznesu, struktura zmiennych, parametry statyczne i dynamiczne Importance of Studying the Technological Environment of the Country The impact of technological variables on business processes and final outcomes of production is one of the pressing issues in international business. In modern global business management success can't be achieved without application and proper management of up-to-date technologies. As a result, in recent years, scientists pay special interest to the importance of technology and scientific and technological progress in business development. In our opinion, this is caused by the global e-commerce boom beginning in 1990s and the idea dominating in current economic thinking, that scientific and technological advancement based on
One of the most important factors of success is in the field of venture capital to select right i... more One of the most important factors of success is in the field of venture capital to select right investment project. Investors consider this process more precisely, because it is uncertain what project will have more chance to become a high-class innovative enterprise and emerge as a leader. According to the assessment of the American investment consulting company ,,Baganov International Group” out of the ten business proposals only one project gets funding. Thus, evaluation of a project at the start-up stage is rather difficult and often a long process.
Project analysing and selection procedure may vary in terms of investors’ goals and approach. It is sometimes a simple interview but mostly it’s time-consuming and formalised process of project selecton. In some cases aplicants are required to write up a project including financial statements. The investor sometimes participates in the formation of project that helps the beginner entrepreneur. Although there are many approaches, this article will focus on the standard scheme of early stage of investment project selection.
1. Deal flow - first stage of nascent stage of investment project selection is to search competitive idea. The key source of information is the description of the project that investor get familiar with. Decision making of investor is based on the intuition, which is derived from the first opinion. Generally, at this stage most of the considered projects are rejected.
2. First meeting – both parties get familiar with, supervise each other, and try to feel “the chemistry” of further relationship.
3. Due diligence - the process of complex monitoring of project. This stage may last several months and finish by the final decision about investment. This stage usually discusses the issues of business concepts including a) product, market, prospects, and team; b) issues of intellectual assets; c) production process; d) investment terms and financial indices.
4. Final meeting – in case of positive decision working on implementation of the business plan begins.
Based on the analysis of separate stages of this scheme specific recommendations are stressed in the article which simplify nascent entrepreneur to interact.
The course to European values, taken by Georgia, had no alternatives. The country has gone throug... more The course to European values, taken by Georgia, had no alternatives. The country has gone through difficult and controversial times after gaining independence up to the present time. Despite achieving considerable success in political, economic and social fields, living standards and quality of the population still remains extremely poor. Satisfaction of public requirements significantly lagged behind the high rates of economic growth. This was caused by ineffective economic policy of the government, neglect of the role of the real sector, construction of non-economic infrastructure. The new government that came to power in 2012 fundamentally changed the focus of macroeconomic policy. The course was taken to deepen economic ties with the European Union and Russia, to restore the real sector and satisfy social needs of the population. At present, Georgia is facing a number of economic problems, which need to be solved in timely manner, otherwise macroeconomic stability of the country will face serious threats. The present work investigates two challenges with the most high-risk threats, reduction or mitigation of which depends on the country's macroeconomic stability. The highest threat is unemployment and poverty. The paper investigates the root causes and factors causing unemployment, proposals and recommendations towards increasing the level of employment are provided. The second major threat is negative balance of trade. The country's import exceeds its export four times that endangers both employment and monetary stability of the country. In order to avoid this danger, it is necessary to develop production of goods for export as well as the goods for import substitution and increase state support in this direction. Reduction of the trade deficit and improvement of employment rate should become the basic focus of Georgia's trade policy.
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Papers by Shota Shaburishvili
Project analysing and selection procedure may vary in terms of investors’ goals and approach. It is sometimes a simple interview but mostly it’s time-consuming and formalised process of project selecton. In some cases aplicants are required to write up a project including financial statements. The investor sometimes participates in the formation of project that helps the beginner entrepreneur. Although there are many approaches, this article will focus on the standard scheme of early stage of investment project selection.
1. Deal flow - first stage of nascent stage of investment project selection is to search competitive idea. The key source of information is the description of the project that investor get familiar with. Decision making of investor is based on the intuition, which is derived from the first opinion. Generally, at this stage most of the considered projects are rejected.
2. First meeting – both parties get familiar with, supervise each other, and try to feel “the chemistry” of further relationship.
3. Due diligence - the process of complex monitoring of project. This stage may last several months and finish by the final decision about investment. This stage usually discusses the issues of business concepts including a) product, market, prospects, and team; b) issues of intellectual assets; c) production process; d) investment terms and financial indices.
4. Final meeting – in case of positive decision working on implementation of the business plan begins.
Based on the analysis of separate stages of this scheme specific recommendations are stressed in the article which simplify nascent entrepreneur to interact.
Project analysing and selection procedure may vary in terms of investors’ goals and approach. It is sometimes a simple interview but mostly it’s time-consuming and formalised process of project selecton. In some cases aplicants are required to write up a project including financial statements. The investor sometimes participates in the formation of project that helps the beginner entrepreneur. Although there are many approaches, this article will focus on the standard scheme of early stage of investment project selection.
1. Deal flow - first stage of nascent stage of investment project selection is to search competitive idea. The key source of information is the description of the project that investor get familiar with. Decision making of investor is based on the intuition, which is derived from the first opinion. Generally, at this stage most of the considered projects are rejected.
2. First meeting – both parties get familiar with, supervise each other, and try to feel “the chemistry” of further relationship.
3. Due diligence - the process of complex monitoring of project. This stage may last several months and finish by the final decision about investment. This stage usually discusses the issues of business concepts including a) product, market, prospects, and team; b) issues of intellectual assets; c) production process; d) investment terms and financial indices.
4. Final meeting – in case of positive decision working on implementation of the business plan begins.
Based on the analysis of separate stages of this scheme specific recommendations are stressed in the article which simplify nascent entrepreneur to interact.