83rd International Atlantic Economic Conference

March 22 - 25, 2017 | Berlin, Germany

Regional building industry as part of macroindicators influencing tourism investment in the Pilsen and Zlin regions

Thursday, 23 March 2017: 09:40
Zuzana Tuckova, Ph.D. , Faculty of Logistics and Crisis Management, Tomas Bata University in Zlin, Uherske Hradiste, Czech Republic
Petr Sverak , Tomas Bata University in Zlin, Zlin, Czech Republic
This study takes on an important part of regional growth: the investment decisions of private firms. The question asked is: do corporations decide on investments in the same way in different parts of the territory? This paper analyses the investment opportunities in the tourism sector, especially in the accommodation sector, in the context of macroeconomic variables.  This is important information for regional development policy, since different mechanisms should be used in different regions in order to foster private investments.

The aim of this work is to examine the differences between individual regions in various macroeconomic aspects (including indicators such as average monthly income) and in other areas, so as to make clear what expectations the investor can realistically have when making investment decisions. Paying attention to other economic indicators can give an idea of where the economy is headed, so that long term investment can be planned more effectively. There are two types of indicators that are necessary to be aware of:  Leading indicators often change prior to large economic adjustments and, as such, can be used to predict future trends. Lagging indicators, however, reflect the economy’s historical performance and changes to these are only identifiable after an economic trend or pattern has already been established.  Because leading indicators have the potential to forecast where an economy is headed, fiscal policymakers and governments make use of them to implement or alter programs in order to ward off a recession or other negative economic events.

The aim of this comparison of selected regions is to accurately determine the greatest differences in observed macroeconomic indicators, with an emphasis on regional building industries, and determine the degree of influence on the average price of a product or service. This work focuses on a detailed analysis of individual variables and indicators which in both regions report the mismatch. Thus disaggregated indicators subjected to extra direct comparison best reflect the particular differences in the macroeconomic indicators, which are, for the following practical use, crucial.

Research methods are based on the results of research available in domestic and foreign scientific literature. These were subjected to content-causal analysis and the results thus obtained are implicated in the individual examined variables.