abstract_2017_borító_Layout 1 2017. 05. 01. 20:45 Page 1 Abstracts of the 6th International Conference of Economic Sciences Kaposvár University – Kaposvár – Hungary - 4-5 May 2017 Abstracts of the 6th International Conference of Economic Sciences Kaposvár University – Kaposvár – Hungary - 4-5 May 2017 Editors: Katalin Szendrő, PhD Róbert Barna, PhD Editorial office: Kaposvár University, Faculty of Economic Science H-7400 Kaposvár, Guba Sándor u. 40. H-7401 Kaposvár, P.O.Box 16. Tel.: +36-82-505-800, +36-82-505-900; Fax: +36-82-505-896 e-mail: [email protected] Published and distributed by Kaposvár University, Faculty of Economic Science H-7400 Kaposvár, Guba Sándor u. 40. Printed by Central Press 99 Kkt., 80 copies produced http://ecs.ke.hu/ Under the supervision of Anett Parádi-Dolgos PhD Associate Professor Dean of Faculty ISBN 978-615-5599-41-5 May 2017 Kaposvár ConferenCe sponsors CONTENTS 7 TwO SIDES OF THE SAME COIN: THE SPECIAl ISSUES OF DEMAND AND SUPPly IN AGRICUlTURE 17 lOCAl qUESTIONS IN THE AGRICUlTURAl SECTOR 25 MODEllING AND ANAlySIS TECHNIqUES 39 SPECIAl FACTORS INFlUENCING FINANCING: THE BANKING SySTEM AND TAxATION qUESTIONS 47 THE PROBlEMS OF FINANCING AND PROFITABIlITy IN THE AGRICUlTURE OF THE 21ST CENTURy 57 SUSTAINABlE AGRICUlTURE, ENvIRONMENTAl RESPONSES 65 TECHNOlOGy ADOPTION IN AGRICUlTURE 73 POSTER SESSION 83 PAPER SUBMISSION wITHOUT PARTICIPATION SESSion two sides of the same Coin: the speCial issues of demand and supply in agriCulture 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Krisztina Bence when strategy is set by faith - analysis of the Krishna Valley produCts Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] Krishna valley was primarily created as a site of pilgrimage for Krishna-believers in Hungary. In the 1990's the first official Krishna-church had been built in the valley and the community started to grow rapidly. Krishna-believers had set up a self-serving community near the village of Somogyvámos, where they aimed to grow themselves everything necessary for their nutrition - guided by the rules of the vedas. In order to meet the strict religious requirements they needed to grow all the plants without using any chemicals and by using primarily man- and animal-power; which means that these products are all bio-products.By the development of their technologies and the increasing number of Krishna-believers working on the fields, soon excess supply appeared, which implied the sales of Krishna valley products. Nowadays numerous different product categories, such as oils, crops, jams, syrups and sauces are sold on the spot and via the Krishna valley webshop to the public. In fact – even though these products do have a clear position ont he market – the sales of them was not initiated by careful strategic planning, as it would happen in case of a business entity. In my paper I am going to analyze how religion had set the path and determined the main product characteristics; then I am going to introduce the marketing activities Krishnabelievers apply in order to market these products more efficiently. I will also discuss the question of being a non-materialistic religion, and still engaging themselves in economic activities. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 9 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Arnold csonKA1 Imre Fertő1,2 spatial dimension of struCtural Changes in the hungarian hog seCtor 1 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, Hungary [email protected] 2 The pork sector is one of the best examples of industrialized agriculture, with strong input-output linkages to the manufacturing sector. The farm structure of the pork industry is strongly affected by economies of scale. An increase in the concentration of global hog production is accompanied by spatial concentration of pork production which has been explained by agglomeration economies. The aim of this research is to investigate the power of agglomeration effects on the Hungarian pork sector and its change from 2000 to 2010. More specifically, we analyze the spatial dependence (also known as spatial autocorrelation) of hog density and its differences between the periods investigated. we investigate the spatial patterns of individual farms and corporate farms separately. we assume that agglomeration effects exert a more relevant influence on corporate pig farms than individual pig farms. Estimations confirm the logic of distinguishing between individual and corporate farms in the empirical analysis. Pig production is affected by agglomeration effects in different ways across the two types of farms. Contrary to previous studies, our findings suggest that restrictions on the application of manure may weaken agglomeration economies in the hog sector. Structural change had only a limited impact on the spatial clustering.Agricultural policies and measures designed to improve competitiveness of Hungarian small-scale pig production may be more successful considering the strong and stable spatial dependence of individual pig farming. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 10 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Viktória HorVátHné Petrás Zsolt KőműVes diffiCulties in the CompetitiVeness of the hungarian swine raising Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The decrease in the number of pigs has grown to a drastic proportion in the last few decades. Before the change of the regime there were approximately 10 million pigs counted, but today this number is slightly beyond 3 million. The decline in livestock has a negative effect on the competitive position of both this sector and that of other branches of industry as well weakening significantly the economic importance of the sector.The underlying causes of the process leading to the decline are diverse. To reveal the solution a versatile analysis of the economic situation is essential, which should be started in the first place by the examination of the factors defining the competitiveness of the pig sector.The aim of this work is to reveal and characterize the national capacities, the physical and biological, as well as the social, economic (market) and human factors pointing to the most important differences at the same time. This thesis analyzes the efficiency of the chosen farms according to the size of plant, standard of production, technology and capacity of maintenance.Summarizing the farmers’ opinions and the data obtained, it can be stated that the farmers in the current situation are satisfied with the buying price as one of the most essential factors of production. However, they emphasized the role of prices as a factor of uncertainty.As a result of changing the out-of-date technology there could be observed considerable improvement in the natural indexes. Unfortunately, significant changes should be accomplished in the feasibility of support and financing investment.The strict environmental regulations of animal keeping make the operation of farms – mainly of those that do not possess arable land – more difficult. Reforms would provide relief for the operating farms. The market price regulation of the alternative fodder and the existent substitute products could appear as a significant cost efficiency factor during production.workers with unsuitable education – and often being incompetent –, trade unions operating as false organizations as well as the lack of cooperation with the food processing industry concern the sector sensitively. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 11 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES ola Al JAAFreH the role of food marKeting in sustainable agriCulture Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The role of food marketing, which is an integral part of sustainable agricultureis constantly growingglobally. To further promote its role,we need the contribution of all essential elements, namely social, economic and environmental,starting from the level of small farms and reaching big productionconglomerates. we also need to focus on principles and steps required to make the food marketing successful with the optimal use of natural resources,avoiding their exhaustion. we need to study and understand know-how, best practices, consumer behaviour and expectations, consumer nutritional needs taking into consideration the rapid evolution of the world we live in. we should also pay due attention to the environmental protection. And, of course, we should not forget making profit - how a farmer can make profit using successful food marketing (in addition to all other sustainable agriculture techniques). we need to understand how a farmer can be proactive in marketing, what he or she should produce depending on the consumer demand and how a farmer can produce and market optimally without exhaustion of natural resources. In the search of optimal steps of growing, producingand marketing, it is essential for the farmers at every level to reach the right combination of all essential elements paying due attention to the principles of sustainable agriculture. This will eventually provide agricultural production a sustainable character and will ensure better return on investments. Data for this study have been collected from statistical bulletins, books and articles. Keywords: sustainable agriculture, food marketing, environment. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 12 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Andrzej JędrucHnIewIcZ agriCultural household Consumption in poland warsaw University of life Sciences-SGGw, Department of Economics and Economic Policy, warsaw, Poland [email protected] Consumption is the primary goal of households in the monetary dimension. It affects living standards and allows to meet increasingly growing needs. It is determined by economic, socio-cultural, demographic and psychological factors. The purpose of this paper is to present agricultural household consumption, its standard, dynamics and structure, against overall household consumption in the Polish economy. The applied research methods include primary sources, logical reasoning, and statistical measures and indicators. In Poland in the years 2010-2015, agricultural households were characterised by the lowest economic standard of living out of all socio-economic groups. An average share in consumption expenditure of agricultural households, compared to household expenditure in general, was 74%. During that period, also the growth of agricultural household consumption was smaller compared to the overall economy. At the same time, agricultural households had the highest average propensity towards disposable income savings. The structure of consumption expenditure in relation to both agricultural households and the general economy was largely similar. In relation to the total expenditure, farmers spent more on food and non-alcoholic beverages, transport, clothing and footwear than the society in general. In turn, they spent less on housing, energy carriers, recreation and culture, and health. Keywords: consumption, income, household 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 13 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Anita mAJor1 Imre Fertő1,2 does demographiCs matter for beer Consumption? Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, Hungary [email protected] 2 There is wealth literature on beer consumption (Colen and Swinnen 2011, Fogarty 2010, Nelson 2013). The majority of studies focus on the price elasticity of beer (alcoholic beverage) demand using typically country level, aggregate beer consumption data. However, research on the impacts of demographics on beer consumption is still limited. In addition, many studies implicitly assumes that the beer is homogenous good without taking into account the heterogenity of beer in terms of quality and other characteristics. Finally, the beer studies neglect the importance of frequency in beer consumption. The aim of the paper is to fill out partly this gap. we are using a novel Hungarian survey data to analyse the main demographic drivers on the frequency of beer consumption. we estimate separately our models on beer consumption in general and specifically on craft beer, zero-alcohol beer and cider consumption. Beyond to traditional ordered logit/probit models we also employ semi-nonparametric ordered probit models. Our results reveal that demographics are differently matter for consumption of various types of beer. Our cacluations are fairly robust to alternative estimation approaches. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 14 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES John Kibara mAnyeKI Balázs KotosZ supply response of liVestoCK produCts: a farm-leVel analysis in southern rangelands of Kenya Szeged University, Faculty of Economics and Business Administration, Szeged, Hungary [email protected] This article assessed how responsive livestock outputs is to prices and non-price factors and how sensitive pasture land and labour demands are to prices and non-price factors using cross sectionalfarm-level data for livestock producing households in the southern rangelands of Kenya. The study employed normalized translog profit function to estimate livestock supply and resource inputs demand elasticities. Results show that own price elasticityfor the three products were highly elastic with goat recording the highest followed by sheep and cattle respectively. The cross-price elasticities were generally very small among the various livestock species and there was evidence of substitutability between goat and cattle and complementarityevidence between the relationship of sheep and cattle. Based on the scaleelasticity effect, the cattle output was very elastic while sheep and goat were inelastic.From the differential input demands system, the study found that livestock producers would depend mainly on the elastic sheep prices and the inelastic of goat and cattle prices and disposable income. The policy implication that appears to be adequate and attractive optionwould be a support price policy. Equally, more appropriate option may be to encourage more intensive use of productivity enhancing inputs such as land through investing on pasture improvement, encouraging investment by improving their capital base through improvement access to grant or loan. More focus should be on reducing wage rate since it assumes a slightly key significance in increasing the livestock production. Keywords: own-price elasticity, cross-price elasticity, supplies response, scale responsiveness, Kenya. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 15 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Pisal PocH the organiC Vegetable marKet in Cambodia: Current meChanisms and Challenges Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Imported conventional vegetables constitute approximately 80% of the vegetable market in Cambodia and that roughly equals 400 tons of vegetables per day according to the recent research study by the Center for Policy Studies. Furthermore, pesticide residue was found widespread in the vegetable market in Cambodia. These facts have led to increasing concern over food safety in the kingdom in recent years. Therefore, it gives strong opportunity for organic vegetable market to grow. However, the market has been growing slowly in the past several years. This paper will describe the situation of the current organic vegetable market and explain reasons behind the laggings of the market. This paper comprises of two main studies. The first study focuses on mechanisms of the current organic vegetable market which includes demand and supply analysis and supply chain analysis. The second study illustrates potential challenges to this market. The research mainly relies on quantitative and qualitative data collected by the author. In-depth interviews were conducted with key stakeholders including retailers, government official, agricultural cooperative, and development partners. Survey interview with 58 organic farmers located in three different provinces were also conducted. In addition, certain amount of secondary data has been used for literature purpose. Two major challenges of the organic vegetable market in Cambodia have been observed from the research results. Firstly and most importantly, the market is facing supply shortage. The organic vegetable market mainly depends on small household suppliers in the rural area who are incapable of scaling up the production. Secondly, most of the vegetables sold in the market are not certified; therefore, building customers’ trust is challenging. Keywords: Organic agriculture, Supply Chain, Certification body, Retailer, Agriculture Cooperative, Trading Agents, Pesticide, Fertilizer 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 16 SESSion loCal questions in the agriCultural seCtor 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Versavel HAIle a reView of empiriCal eVidenCe on gender gap in agriCultural deVelopment in deVeloping Countries Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Agriculture can be an important engine of growth and poverty reduction. But the sector is underperforming in developing countries in part because of women, who are often a crucial resource in agriculture and the rural economy, face constraints that reduce their productivity. (FAO,2011). This paper reviews existing empirical literature from the past 15 years on the gender gap in agricultural development in developing countries. The review focuses on women’s contribution to the agricultural development and factors that affect their meaningful participation. The aim of this paper is to examine the facts about the gender gap in the agriculture and forward possible recommendations. The analysis confirms that women have a massive contribution to agriculture. Despite their role, they face a consistent gender gap in access to the productive assets, inputs, credit services, education and extension, appropriate technologies, and access to market). Accordingly, the author has drawn a conclusion that female farmers are just as efficient as their male counterparts, but they have less land use and fewer inputs, so they produce less Keywords: Agricultural development, Gender gap, Rural economy, Productivity, Developing countries 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 19 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES eszter HAmZA Katalin rácZ dorottya sZABó orsolya tótH eszter VArgA the Challenges of the agriCultural VoCational eduCation system in hungary Research Institute of Agricultural Economics, Budapest, Hungary [email protected] In recent years many national and international research have proved that there is a strong causal link between the quality of the vocational education and the ratio of economic growth. The relationship between these two factors is a particularly pronounced issue in the food economy, where human capital supply is unfavourable compared to other sectors. Our research examines the relationship between the situation of the Hungarian agricultural labour market, labour needs and the supply of the agricultural vocational training. In our paper beyond the human resource situation of the Hungarian agriculture and the presentation of the vocational training system, we show the results of a questionnaire survey carried out in almost one thousand agricultural and food producer enterprises in the autumn of 2016. The survey attempts to identify the requirements from the current and future labour force, as well as the exploration of opinions, proposals from farms/enterprises joined to the dual vocational training system. The results of the survey show that in the majority of the business leaders realized the competitiveness increasing role of the development of human capital. There is an increased demand for the acquisition of needed vocational practical skills in the dual training according to the leaders’ feedback, while only few managers feel compelled to provide traineeship place in the framework of apprenticeship contract. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 20 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES mohanad Ali KAreem cecília meZeI the role of human Capital deVelopment in aChieVing sustainable eConomiC deVelopment of deVeloping Countries Case study iraq Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] The study examined the role of human capital development in achieving sustainable economic development of developing countries case study Iraq. The research highlights a social and economic returns of the development and sustainability of human capital in Iraq as a sustainable development strategy, especially human capital possesses the skills, experience, knowledge and intellectual and intellectual maturity, the mechanism of benefiting from them and directing them towards social and economic development. This analysis is based on comparisons of macro indices of human capital and sustainable economic development and a review of related academic literature and government publications. Keywords: Human Capital development, Sustainability, Economic Development 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 21 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Harshavardha reddy KummItHA Viktória sZente eConomiC benefits of agritourism deVelopment: Case studies of italy and poland Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Recreational activities pertaining to farm lands has received increased attention from both research and practice in the recent past. One of the major reasons for this heightened importance attributed to farm land tourism is due to partly its potential to advance local economy and benefits it brings to both farmers and visitors. Thus, analyzing the role of agritourism in advancing socio-economic prosperity is of pivotal importance. with this background, the paper discusses about the economic benefits of agritourism in selected destinations. The results reported in the paper are based on secondary research related to organizations located in wielkopolskie voivodeship, Poland and Tuscany in Italy. Our analysis shows that agritourism can bring several economic benefits in the regions. It was found that the average income from agritourism accounted for about one-third of the overall household income of farmers. Moreover, food service is a crucial factor in the success of agritourism as it brings extra money to farmers. This paper articulates about the important relationship exist between the income obtained from agritourism activities and the benefits local communities gain by engaging in multiple tourism promotion activities. Keywords: agritourism, local communities, economic benefits 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 22 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Aldona ZAwoJsKA tomasz sIudeK the replaCement of domestiC worKers with foreigners in agriCultural seCtors of the eu Countries warsaw University of life Sciences - SGGw, warsaw, Poland [email protected] The agricultural labour force in the EU has been declining over time, and there has been observed the reallocation of labour from family members to hired (off-farms) workers, and from domestic to foreign workers. Contemporary agriculture in the EU countries is one of the employment sectors that are unable to attract sufficient local workers due to unattractive work conditions, such as low wages, hard physical work involving long hours, seasonality, uncertainty or employment in remote areas. Some EU countries (e.g. France, Germany and Spain) have a longstanding history of employing foreign seasonal workers in agriculture while for other countries (e.g. Poland) it is quite a new phenomenon. we hypothesise that the demand for low-skilled permanent and temporary labour in the EU agriculture is increasingly being met by foreign-born nationals. Growing number of farm workers (usually temporary and often irregular) is despatched to the EU from non-EU countries. Numbers of migrant workers (also from Central and Eastern Europe) have been trafficked to agricultural sectors for forced labour. Our study attempts to present the scale of immigrants’ inflow into agricultural labour markets and its main drivers. we discuss the advantages (benefits) and disadvantages (costs) of foreign employment in agriculture for migrant-receiving and migrantsending countries as well as for farms employing foreigners and for farm foreign workers. The study is based on literature review and data derived from the European Union labour Force Survey „Migration and labour market”, Eurostat Agriculture database, and countries’ national statistics and official reports. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 23 SESSion modelling and analysis teChniques 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gyöngyi BánKutI the history and the future of the operational researCh subjeCt – the only online Course of KaposVár uniVersity Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Operations Research is about mathematical modeling in Economics. This publication wants to introduce how this subject took part in in the agricultural and in the economical education. The topics have been taught historically, recently and currently at every level and types of our education at our university will be presented. The grants have been supported this curricula development even with their results, - developped contents and tools - will take part as well. These are calculation supporter software, electronic book, Maple based courseware, tutorial program with visualization facilities. when online education started to be fashionable and available for us, our University joined K-MOOC (Kárpátmedencei Online Oktatási Centrum) with the (certainly Hungarian) online version of this subject. The topics of this online course will be presented, and the development process. In our distance education it functions like a Blended course as the students can learn online, then to meet the teacher. All this shows what kind of educational tools have been used time by time, based on the available technical levels. The goal of this introduction is to generate discussion about the future of this subject, these important topics, as with the new curriculum building process it seems to lose ground. The main aim of this paper is not only to show the history and highlight how much effort has been devoted to this subject, but to emphasize the importance of it, and to find possible ways to keep it in our - any level – education. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 27 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES róbert BArnA Bernadett HorVátHné KoVács Arnold csonKA spatial autoCorrelation in Case of grid and administratiVe territorial units Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Geographic information analysis considers variables of defined territorial units (county, region, etc.) and the spatial determination of certain territory by its neighbourhood is analysed. However, the shape, size and area of the analysed territorial units can be different, as well as the neighbouring relations can be various. In many times application of a grid instead of using administrative borders contributes to a better understanding of spatial relations. In the course of the research both administrative borders (at settlement, county and region levels) and grids of various sizes (squares) were used and settlement level data were aggregated to the territorial units (Hungarian Central Statistical Office). Spatial autocorrelation was calculated for each case of territorial levels and compared to the autocorrelation statistics for grids applied (Moran I index). The Moran I statistics is one of the widely used spatial autocorrelation statistics. It can be influenced by not only the variables but the shape, size and neighbourhood of the spatial units, too. Our results prove that the analysis of spatial autocorrelation cannot neglect the clear specifications of the territorial units. Keywords: grid, spatial autocorrelation, geographic information technology, Moran I index. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 28 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES róbert BArnA Bernadett HorVátHné KoVács mónika Zita nAgy study of hungarian big game management between 2003 and 2015 with the use of „big game unit” (bgu) Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] This article demonstrates the comparative examination of the financial data found in the reports of the game management concerning the counties of Hungary. The already introduced big game unit (BGU) as an economic index clearly shows the difference of big game management among the counties. The profitability and efficiency of game management is influenced by the quality and quantity of big game. The current article deals with the comparison of financial figures of counties between 2003 and 2015. Keywords: big game unit, BGU, economic index, big game management. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 29 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Imre Fertő1,2 Zoltán BAKucs1,3 Jan FAłKowsKI4 dairy seCtor trade dynamiCs. a networK perspeCtiVe 1 Institute of Economics - Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Hungary 2 University of Kaposvár, Hungary 3 Corvinus University of Budapest, Hungary 4 Faculty of Economic Sciences, warsaw University, Poland [email protected] while the positive effect of economic integration on trade is commonly accepted, we still lack a proper understanding of the complex patterns behind this phenomenon. In particular, it is important to better understand how the structure of trade linkages evolves. This is because there are reasons to assume that countries within an economic integration agreement do not trade with each other on random basis. On the contrary, one may argue that they select trade linkages and this choice may be driven by various factors. In this paper we test two specific predictions that originate from the recent literature and which could be informative in this respect. First, we show that the size of the initial trade network is positively correlated with building new trade linkages. In other words, a greater initial number of trading partners facilitates establishing new connections. Second, we also provide some evidence in support of the hypothesis that the evolution of trade network for a given country depends on the trade network of its trading partners. In this case however, our results are slightly less robust. Keywords: Intra-EU trade, dairy sector, network analysis, duration of trade JEl code: C12 C35, F15 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 30 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gergo gyAlog1 monika VArgA2 Balazs KucsKA3 Bela csuKAs2 testing of a dynamiC simulation model for reCirCulating aquaCulture system to support managerial deCisions 1 National Agricultural Research and Innovation Centre, Research Institute for Fisheries and Aquaculture, Szarvas, Hungary 2 Kaposvár University, Faculty of Economic Science, Kaposvár, Hungary 3 Kaposvár University, Faculty of Agricultural and Environmental Sciences, Kaposvár, Hungary [email protected] Economic evaluation for design and operation of Recirculating Aquaculture Systems (RAS) may effectively be supported by an appropriate dynamic simulation model. The complexity of the process requires a detailed analysis, while the experimental work is time consuming and expensive. However this complexity is manageable for the new modelling methodologies. Accordingly, the problem solving capability can be essentially increased by combining experiments with computational model based studies. Considering the importance of the inherent coupling between structural and functional characteristics in design and control of RAS, Direct Computer Mapping (DCM) of programmable structures has been experimentally implemented for simulation of RAS aquaculture operation by the Research Group on Process Network Engineering in the past year. In the present work, the parameter sensitivity of RAS is studied with the help of the implemented model, using available data for African catfish (Clarias gariepinus) from the literature, as well as from experiments running at NARIC Research Institute for Fisheries and Aquaculture. From model development point of views, various semi-empirical and empirical formulation for weight increase, feed conversion rate, faecal and ammonia excretion, and mortality are applied. To allow further bio-economic calculations, recent work focuses on the effect of ratio of freshwater supply and efficiency of the biofilter on the operation in a given stage of the process. The simulation model enables us to determine economic impact of these factors. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 31 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES ngo thai Hung1 Phan Van tHAnH2 2 an empiriCal analysis on Volatility: eVidenCe for the budapest stoCK eXChange using garCh model 1 Corvinus University of Budapest, Department of Finance, Budapest, Hungary Kaposvár University, Doctoral School Of Management And Organizational Science, Kaposvár, Hungary [email protected] The paper aims to analyze and forecast the Budapest Stock Exchange volatility with the use of generalized autoregressive conditional heteroscedasticity GARCH- type models over the time period from September 06, 2010 to March 03, 2017. This model is the extension of ARCH process with various features to explain the obvious characteristics of financial time series such as asymmetric and leverage effect. As we apply the Budapest Stock Exchange with this model, the estimation and forecast in short term are performed. Keywords: volatility, GARCH, BUx, volatility forecast 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 32 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gábor molnár theoretiCal models of the impaCt of natural enVironment on soCial struCture and their appliCability in enVironmental soCiologiCal researCh Kaposvár University, Kaposvár, Hungary [email protected] The aim of the first part of the paper is to analyze and compare four paradigmatic models in social theory of how the relationship between society and its natural environment impacts the internal macro structure of society, with special regard to the place of the agricultural sector within this structure. The models under scrutiny are the Marxian historical materialist one, the systems theoretical ones developed by Talcott Parsons and, in a more sophisticated way, by Niklas luhmann, and the Action-Network Theory model proposed by Bruno latour. The second part, then, appraises the respective suitability of these models for empirical research in the field of environmental sociology. The methodology adopted by the paper is a combination of logical analysis of (scientific) concepts, phenomenological analysis of (scientific) experience, and sociological critique of (scientific) discourse, which places the present work in the camp of synthetic efforts in the philosophy of science and methodology. The results of the paper are, on the one hand, a proposal for structuring the paradigmatic space in which one can possibly approach the above theoretical question and, on the other hand, a survey of the differences in empirical research interests and research directions within environmental sociology the four models prompt the researchers toward. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 33 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Katalin sZéKelyHIdI analysis of the eXports of the hungarian food eConomy with a graVity model Research Institute of Agricultural Economics, Food Chain Research Department, Hungary [email protected] Past decades were characterized by deepening trade connections and the elimination of trade barriers. There are more and more trade agreements among countries and integrations are becoming deeper and deeper. This process is continuous as there are ongoing negotiations between countries and regional blocs for example between the EU and third countries. These processes make it important to identify and examine those factors that influence foreign trade flows like distance, income and trade barriers and to analyse the effects of integrations as deeper forms of integrations eliminate tariffs and non-tariff barriers of trade. In this study I model t trade flows of Hungarian food economy with a gravity model. Gravity models are widely used for ex-post analysis in order to examine the effects of agreements and to model trade flows. The results of this study suggest that distance, tariffs and non-tariff barriers are serious obstacles to trade. Moreover, agricultural commodities and manufactured products seem to be different in their sensitivity to these factors. It seems to strengthen countries’ efforts to establish deeper cooperation not just to reduce tariffs but also non-tariff barriers which often remain present after eliminating tariffs as well. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 34 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES linda sZommerné egyed1 mónika VArgA2 András tAnKoVIcs3 Béla csuKás2 implementation of a simulation model for the sCheduling of a multi-produCt dairy plant 1 Fino-Food ltd, Kaposvár, Hungary Kaposvár University, Faculty of Economic Science, Kaposvár, Hungary 3 videoton Elektro-PlAST Kft, Kaposvár, Hungary egyed.linda@fino.hu 2 Dynamic scheduling of multi-product plants is one of the most difficult class of problems of high economic importance. The well developed, conventional solutions use various methods of mathematical programming (e.g. MIlP), formulated as the optimization of a simplified model. However, the specific technological details and the possible multiple use of the model require rather detailed dynamic model based sub-optimal methods. Considering the inherent coupling between structural and functional characteristics of dynamic scheduling, Direct Computer Mapping (DCM) based programmable structures of Research Group on Process Network Engineering are experimentally applied for generation of the dairy plant model. The generation starts from the process network representation of the flow-sheet and from one state and one transition meta-prototypes. The flowsheet comprises storages of raw materials, intermediate materials and end-products, as well as the recipes, the in parallel working multi-functional process units (culture mixing tanks, package machines, etc.) with the numerous time-driven and event-driven constraints. Model generation is followed by the programming of the actual prototypes and parameterization of the model. In present work the generated process model and the simulation tests will be discussed, focusing on the combined use of the transitions for the description of the material (component) balance of the multi-product operation, as well as for the interpretation of the time- and event-driven rules, determining sequence of operations. Having tested the process model, the scheduling will be developed according to the backward dynamic simulation, starting from the weekly scheduled demands for the various products. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 35 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES András tAnKoVIcs1 mónika VArgA2 sándor BAlogH2 linda sZommerné egyed3 Béla csuKás2 test data based eValuation of laCtation CyCle Controlling rules with a generated simulation model 1 videoton Elektro-PlAST Kft, Kaposvár, Hungary Kaposvár University, Faculty of Economic Science, Kaposvár, Hungary 3 Fino-Food ltd, Kaposvár, Hungary [email protected] 2 Economic effectiveness of a dairy farm operation is determined mainly by the produced milk and the costs of fodder, as well as of the fertilization and medication of cows. The whole system is characterized by the stages of production cycle, comprising several steps from the calving to the dry period. In line with these steps, there are respective groups of cows in separated stables. In addition, the ill animals are treated separately during their medication. Accordingly, the production cycle can be characterized by the time-based regular and event-based additional cyclic movement of the cows between the above groups. Considering the requirements for the common representation of the underlying balance model with the movement controlling rules and with the event-driven additional movements, in our study a case specific application of a generated programmable structure in sense of Direct Computer Mapping (DCM) of process models has been applied. The model is automatically generated, programmed and parameterized by the recently developed methodology of Research Group on Process Network Engineering. The test data for a representative set of animals, as well as the (optionally modifiable) rules were given from SmartDairy® Management Systems and from the management of Bos-Fruct Agricultural Cooperative. In the realistic data based hypothetical simulation tests we prepared studying the effect of the feasible changes in the conditional rules on the produced milk and on fodder consumption. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 36 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES yevgeniya toKAreVA Bernadett HorVátHné KoVács hubs or randomness in migration networKs? Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Network science boosted up since a widespread availability of huge network data resources in the last years. Social networks were believed to behave as random ones: majority of nodes with around average number of links and only few ones with high or low number of connections. In case of many real networks it has been proven that they behave very different way from randomness. In fact, in real networks, there are a few nodes of social connections with very high intensity of linkage, called the hubs. The authors of the current paper apply the network theory on migration flow of nowadays in order to prove the existence of hubs. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 37 SESSion speCial faCtors influenCing finanCing: the banKing system and taXation questions 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Faeyzh BArHoom syrian banKing seCtor Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] The purpose of this study is to provide an overview of the banking sector in Syria with a focus on the characteristics of the Syrian banking sector and its challenges between 2004-2010, because no data is available after the Syrian crisis which started in 2011.The study based on time series analysis approach. The main characteristics of the Syrian banking sector are the following: interest rates are not sensitive to inflation or exchange rates, the structure of the liabilities indicates a high percentage of demand deposits compared to total deposits, foreign currency assets constitute more than 50% of total assets in the public-sector banks and high proportion of credits are granted to the public sector. The Syrian banking sector has many challenges, the central bank of Syria lacks effective monetary policy tools and independence. Data on public banks loan classification is still weak, the financial system is still dominated by state banks, which hold 80 percent of bank assets. Financial statements are not audited according to international standards. There is excess in liquidity in the banking system. Hence, the study recommends developing indirect monetary policy instruments and further liberalization of the interest rates, enhancing the framework for anti-money laundering, reducing reliable financial soundness indicators for banks, and restructuring the public banks strengthening bank supervision to calculate capital adequacy measures are being taken, and developing systemic liquidity management by creating money and foreign exchange instruments and markets. Keywords: The financial sector in Syria, Evaluation the banking performance. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 41 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Zoltán BorBás Anett PArádI dolgos short food supply system and the Value added taX Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] In our paper we examined the main aspects of a short food supply chain based retail system regarding the liquidity and vAT accounting of the transactions between the stakeholders, the farmers and the head office of the cooperatives system (center). Our main research question was how it is possible to motivate the stakeholders to carry out the primal goals of the “center” during the financial accounting. One main aspect to take into consideration was what anomalies the different vAT rates of different goods cause, and how they affect the efficiency and liquidity of the farmers. Regarding the fact that usually the stock holdings of the farmers are poorly diversified, this means unequal burden for stakeholders on different levels of the product line, for which a comforting solution must be found. Apart from these I tried to model the future financial cash flow of the retail system. In conclusion we can say that the anomalies described could be solved if somehow the system could use reversed vAT during the accounting or if the “center” could use subventions to help the farmers to solve their problems caused by liquidity shortage. All these allow us to make a primal estimation of the future returns and profitability of the system thus created and help us to find the most fitful methods of motivation and subventions that are needed for the stable and calculable future operation of the system in the long run. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 42 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Balázs cseH trends of the islamiC agriCultural finanCe in malaysia Kaposvár University, Kaposvár, Hungary [email protected] The aim of our paper is the examination and the acquaintance of Islamic finances and the banking system occuring in the agricultural sector in the framework of its unique Malaysian model. The operation of agricultural financing is prone to both natural and financial risks, thus (common) risk tolerance, (common) responsibility and profit and loss sharing (PlS) are of enhanced significance. The Islamic agricultural financing includes the Islamic financial principles and during investing in the sector can stand as a good example for the mentioned things. Al-muzara’a and almusaqa create partnership with landowners.\nThe study separately elaborates and justifies with the principles of Islam that irregular tendency that can be seen in case of the Malaysian bank financing. Generally, investing in the agricultural sector is of less volume besides investing onto the industrial or services sector because of the fact that the sector is more liable to external, environmental risks such as vis maior cases. In this way, the investor takes a larger risk. However, in case of the Islamic agricultural financing the opposite can be recognized the reason of which should be sought in profit and loss sharing (PlS). In our paper we explain that in developing Muslim countries such as Malaysia or Indonesia, there is an increasing demand and necessity for the appearance of shariacompatible banking and financial instruments in agriculture. we are of the opinion that the Islamic agricultural financing is more effective in gratifying demands it contributes to the ecenomic growth of the agricultural sector, consequently, it can be considered as an alternative solution for financial issues affecting and agricultural sector. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 43 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES muhammad umar FAruK rita KorosecZné PAVlIn the effeCtiVeness of enVironmental taXation in nigeria Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Crude oil is a main benefit resource of the Nigerian economy however the crude oil production makes a significant environmental pollution. The major tax revenue of Federal Government of Nigeria is the Petroleum Profit Tax which is an income tax for oil sectors. In our study we look over the environmental problems in Nigeria and the economic theory of environmental taxes. After that we analyse the regulation of Petroleum Profit Tax and we make a compare with Hungarian environmental taxes. with Nigerian oil consumption data and Hungarian excise tax rate, we examine a difference between a potential tax revenue level and the real Petroleum Tax revenue data. Based on our analysis we determine the effectiveness of environmental taxation in Nigeria. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 44 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Kitti KolBer JóZseF VArgA the effeCts of the transformation of the hungarian taX struCture on the operation of the domestiC sme seCtor Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] The small and medium enterprise sector in relation to the competitiveness of our country in the visegrad countries, especially conspicuously low economic growth and employment are highly relevant in terms of economic issues. Our study firstly prepares an international comparison of the tax burden in Hungary, in which the fundamental observation is compared to the regional competitors, in Hungary the tax burden is high, which seriously jeopardizes the competitiveness of our country. The second part of the article examines changes in the tax structure, taxes on consumption and work rate shift. Reducing the tax burden on labor is the most important of SME sector. Before 2008 in Hungary the proportion of tax on labor was increasing, the proportion of taxes on consumption showed declining trend, and after 2008 this trend reversed. In the third part of the article special effects on the small and medium enterprise sector are presented. The topic discuss some of the main agro-economic aspects of the process within these fields. Examining the extensive and intensive agriculture-related influencing factors affecting businesses operating in the domestic SME sector are reviewed. In the recent years enterprises operating in specific sectors of the national economy not only have to deal with structural tax changes, but also with changes in light of the possible existence of subsidies and programs to survive is at risk. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 45 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES rita KoVács-sZAmosI József VArgA the agro-eConomiC impliCations of the malaysian allinCe islmaiC banK between 2010 and 2016 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] This publication will provide a comprehensive picture about the functioning of an Islamic bank called Alliance Islamic Bank between 2010 and 2016. Furthermore, this analysation of the bank will give picture about the Islamic banking system as well. This purpose is served by the comparative analysis of the bank balance sheets of conventional and Islamic banks. we got the details of the bank balance sheet for this analysis from the annual reports of the bank. First, we will overview the history of the Malaysian Islamic bank system and the Alliance Islamic Bank. After that we outline the asset and liability sides of the bank balance sheet, and the performance of the bank with various kinds of indicators. This part of the essay will be followed by the presentation of the Islamic agricultural founding banking assets. The further goal of this publication is to analyse the role of agricultural founding, which plays important role at this banking system. Accordingly, at the final part of the essay we will overview the assets of agricultural founding at the annual reports of this bank. we seek the answer to what role is played by these assets at Alliance Islamic Bank. To find this answer we use the annual reports of the bank. we will show the agricultural founding presents which ratio compared to another sectors. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 46 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Alexandra rAJcZI Irén wIcKert eXamination of different sized agriCultural enterprises operating profitability Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Hungary has favourable conditions to create a competitive and developed agribusiness. After the political and economic transition, however, this endowment has not proved to be sufficient for the Hungarian agriculture to be able to keep up with the growing trends in the European countries. During the decades following the transition Hungary’s agriculture was focused on the issues of restitution and the restructuring of agricultural cooperatives. In this period the Hungarian agriculture was more and more characterised by undersized farms and this structure determines the agriculture even today. Government policies have taken several measures to mitigate this so that the evolved farm sizes can strengthen and compete with other European countries. It is expected socially as well as economically and also a common target to use the national resources in the most optimal way in order to increase GDP and employment in accordance with CAP directives and the conditions of the global economy. However, the Hungarian agriculture is characterised by structural tensions and its competitiveness is also below expectations. For countries with comparative advantages, such as Hungary, it should be a major goal to use this advantage as optimally as possible. It is the fundamental interest of the national economy that food economy – by regaining and strengthening its previous competitiveness - can contribute to meeting domestic food requirements and to promoting the development of the whole economy. Keywords: agriculture, profitability, arable crop production, efficiency, plant scale, economy of scale, production target 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 47 SESSion the problems of finanCing and profitability in the agriCulture of the 21st Century 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Anita ágoston Irén wIcKert tibor sZArVAs-FeKete profitability in the agriCulture Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] In Hungary the agriculture production has always played an important role in economic life. The climate and topography factors provided ideal conditions to the implementation of the profitable agricultural production. In the early 20th century, agriculture was the leading sector of the Hungarian economy. After the success story of the ‘70s and ‘80s a major change has occurred in the size and the profitability of the agricultural production. while the ‘70s spectacular development of production can been experienced, until the ‘90s the agricultural production has declined because of the socioeconomic changes, the uncertainty of the farmers, the shrinking of the internal market, the changing conditions in the export sales and the low level of the profitability in the agricultural production. The turn of the millennium brought big changes. The framework of the production changed, the range of funding sources expanded. The agricultural production has contributed to the gross domestic product (GDP) of more than 3%. In our work we are looking for answers to both positive and negative developments in the case of profitability on the basis of data from the past 10 years. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 51 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES tibor BAreItH diána KoPonIcsné györKe performanCe measurement of hungarian agriCultural enterprises by farm size Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary, [email protected] The most important question, when an enterprise is found, whether incomes exceed expenditures in the short and especially in the long term. This is influenced by several external and internal factors. we focused on the choice of the business activities from the internal factors. In our study, we were searching for an answer which agribusiness activities are profitable by various farm sizes. we used the Test Farm Information System’s database by the Hungarian Research Institute of Agricultural Economics (AKI), which represents the whole Hungarian agricultural sector. The database contains data from the last two financial years. To examine profitability by farm size analysis of variance (ANOvA) was used with post-hoc test. During the research, it was found that the medium farm size is profitable eight times from nine activities; moreover, in the most cases it is the most profitable. without the subsidies profitability disappears from the Hungarian agricultural sector. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 52 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Imre Fertő1,2 András Bence sZerB1 the role of eConomiCs Crisis and trade Costs in the hungarian maize eXports 1 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, Hungary [email protected] 2 The maize is one of the most important agricultural export product in Hungary. The paper investigates the role of economic crisis and trade costs in the pattern of Hungarian maize exports over the period 1996-2015. we employ standard gravity model to explain the drivers of Hungarian maize exports at the world market. Our results suggest that whilst Hungarian market size has positively influence the maize export, the market size of partners has not significant impacts on Hungarian maize exports. The trade costs have negative impacts, whilst EU enlargement and economic crisis positively influence Hungarian maize exports. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 53 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Attila JámBor Peter gál agriCultural eXport CompetitiVeness of Central and eastern european Countries Corvinus University of Budapest, Corvinus Business School, Budapest, Hungary [email protected] Export competitiveness is an important indicator in the analysis of international trade flow, however, in empirical studies on agriculture it is often neglected. In this paper we aim to analyse agricultural export competitiveness in Central and Eastern European Countries in 2000-2015. In doing so, we calculate the Balassa indices for these countries and test their stability. Results suggest that Poland and Hungary are the leading agri-food exporters in the region where countries are mainly specialised in the export of different agricultural and food products. It seems also clear that the majority of the region has a generally decreasing agricultural competitiveness except for latvia, lithuania and Slovakia. Duration tests also indicate that trade advantages have weakened for the majority of the countries concerned. The paper also analysed the factors behind different competitive performances. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 54 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES tamás KoVács1 Veronika gál2 diána KoPonIcsné györKe2 hypotheses to finanCing CharaCteristiCs of the startup enterprises 1 University of Sopron, Alexandre lamfalussy Faculty of Economics, Sopron, Hungary 2 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Startup enterprises are the main sources of economic growth and innovation. with the spread of startup philosophy, these enterprises are increasingly contributing to the performance of the Hungarian economy, therefore mapping their financing needs and characteristics is important. The actuality of our study is not only the growing number and role of startup enterprises, but recently the authors' institutions have been focusing on the examined area both from an educational and research point of view. The aim of our study is to map the financing characteristics of startup enterprises based on domestic and international literature, than formulating hypotheses to laying the foundations of a later research examining financing characteristics of the startup enterprises. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 55 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gábor PáPAI the possible impaCts of breXit on the Common agriCultural poliCy from an eu budget point of View Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] The government of the United Kingdom officially notified the European Council of its intention to withdraw from the European Union under Article 50 of the Treaty on the European Union on 29th March 2017. This is the opening of a process, at least two years long, which finally can lead to the so-called Brexit. The United Kingdom is one of the ‘net payers’, which means that theoretically it pays more into, than receives form the EU budget. It is also a long time advocate of downsizing and phasing out of direct support. On the other hand it is also a beneficiary of the Common Agricultural Policy. Brexit will possibly negatively affect the British farmers, because in their case, the end of CAP support will lead to a partial loss of income. Therefore, agriculture will be an important part of the negotiations between the EU and the United Kingdom. This paper examines some aspects how Brexit could affect the Common Agricultural Policy from an EU budget point of view. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 56 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Zoltán sIPIcZKI diána KoPonIcsné györKe rita KorosecZné PAVlIn Anett PArádI-dolgos the profitability of agriCulture in hungary in the light of personnel eXpenses in 2015 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The analysis of the profitability is a key issue in the agricultural sector as well. Our article’s starting point: it is useful to examine specific factors determining the profitability of agriculture as well in addition to the traditional indicators when we examine the domestic agricultural sector’s profitability. Personnel expenses among the operating costs are particularly dominant in this labour-intensive sector, so this study focuses on the examination of this factor. we examine how different are the personnel expenses per working hours by farm size and sectors, for example because of the differences in taxation within the sector or just due to the size of the grey economy. Then we calculate how would modify the profitability of certain agricultural farmers this alternative but unified cost-structure. Our calculation is based on personnel expenses per an adjusted, working unit. On the basis of our article readers may get a picture whether those agricultural producers stay profitable who currently underpay their employees or declare lower income for the tax authority. The study analyses the domestic agricultural enterprises based on the Test Farm Information System’s database operated by the Hungarian Research Institute of Agricultural Economics (AKI). The analysis works with the data of the statistically closed year 2015. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 57 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Irén wIcKert tibor sZArVAs-FeKete Anita ágoston Costing in the agriCulture Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Agriculture has a number of characteristics, which distinguishes it from other economic sectors. The production is land-bounded, takes place in an open area; therefore it is subjected to different weather conditions. Moreover, it is based on living organisms, called inventory that is why registration as well as evaluation of the previously mentioned ones require special accounting system. Natural conditions cannot be changed, so we must adapt to those. It is important to be aware of natural factors in order to be able to adapt to the climatic environment, to the soil conditions not but not least to the terrestrial factors. Agricultural production requires valuable and large amounts of resources; therefore its impact on profitability requires a special accounting record. Determination of prime-cost in regard to products is a basic economic activity. Exact prime-cost can only be solved by using reliable and real data. All of these require detailed records in respect to costs and yields. Due to the unique characteristics of agricultural production the cost calculation differs from the practice of other industries. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 58 SESSion sustainable agriCulture, enVironmental responses 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Phan Van tHAnH1 szilárd Corporate soCial responsibility in Vietnamese smes PodruZsIK2 1 Kaposvár University, Doctoral School of Management and Organizational Science, Kaposvár, Hungary Corvinus University of Budapest, Department of Agricultural Economics and Rural Development, Budapest, Hungary [email protected] 2 Since its first emerged from the seminal work of Bowen in 1953 so far, corporate social responsibility (CSR) has attracted an increasing attention of either social organizations, governments and scholars or other stakeholders such as enterprises and consumers. The scholars have not reached the consensus about CSR definition as CSR varies in context, content, process and value. However, today more and more enterprises both in developed and developing countries consider the social responsibility as a decisive factor of sustainable development and of their constant profit increasing. In vietnam, for the purpose of sustainable development, the enterprises are required to comply with standards of environmental protection, gender equality, labor safety, labor rights, equal salary payment, training staffs and developing the community. Many big enterprises are aware of such matter; thus, implementing the CSR becomes one of the crucial requirements. In order to gain access to the international market as well as satisfy domestic market, vietnamese SMEs also have to develop and integrate CSR in their business strategy. However, awareness of CSR and their CSR activities is inadequate. Based on the available literature and the figures have been released. This paper aims to describe the practices of CSR in vietnamese SMEs. Keywords: Corporate Social Responsibility, CSR, vietnamese SMEs 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 61 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Ildikó edit tIKásZ edina VArgA perspeCtiVes of non-gm soybean based Value Chains in hungary’s liVestoCK industries Research Institute of Agricultural Economics, Budapest, Hungary [email protected] The Hungarian livestock sector required 542,000 tonnes of processed soy products (soybean meal and full-fat soybeans), equivalent to 657,000 tonnes of soybeans in 2015. As Hungary’s self-sufficiency in soybean is rather low, 86.5 per cent of this demand had to be purchased from foreign markets, so 469,000 tonnes of GM soybean meal entered the country. Meanwhile, the Hungarian Government, in addition to its commitment to non-GMO crops, hopes that the extent of the use of non-GMO raw materials in feed production, livestock farming and food production, based especially on domestic protein sources, will increase further in the future. According to this, the study aims to determine the extra costs of using non-GMO soy products in livestock feeds in Hungary, taking the price premium of non-GMO soya into account. voluntary coupled support from the Common Agricultural Policy in the period 2015–2020 is helping to scale up non-GMO soybean production in Hungary, reaching 72,000 hectares of soybean area and 146,000 tonnes of soybeans harvested in 2015. However, 35 per cent of the domestically produced non-GMO soybeans were sold on foreign markets, i.e. the production barely contributed to meet Hungarian demand. Thus, satisfying the remaining demand by imported non-GMO soybean meal would have placed a significant additional burden on operators in the value chain. The value of this would have exceeded EUR 23 million (HUF 7.1 billion) in 2015, which would increase the production costs of the different livestock sectors by 0.4 to 2.4 per cent. It became clear that the Hungarian Government was committed to GMO-free production, but neither strategic steps nor support tools had been determined along the entire value chain. Research helping the food industry to engage in non-GMO food production, surveys testing the consumers’ preferences and testing the mechanism of action of the system of non-GMO standards should be carried out as soon as possible. This would ensure that a larger share of non-GMO soy products produced in Hungary will be sold on the domestic market and may contribute to the production of high value-added food products. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 62 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Alexander tItoV renewable energy sourCes for sustainable rural deVelopment in hungary Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The given article has the aim to analyse the key aspects of renewable energy sources usage in rural areas of Hungary and their impact on the sustainable rural development including agricultural sector. The shares of renewable energy in gross final energy consumption, transport, electricity, heating and cooling were considered. The promotions of the national policy in regard to renewable energy sources and their impact on the agricultural sector were investigated, besides. Biomass was recognised, potentially, as a primary source for energy purposes in rural areas. Keywords: renewable energy sources, sustainable rural development, agriculture, biomass 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 63 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES edit Veres faCtors whiCh influenCes the soCial behaViour of Companies eXeCutiVes, Case study among sme`s in bihor County Partium Christian University, Oradea, Romania [email protected] Nowadays companies due to the growing external influence are placing greater emphasis on social responsibility, they are not only paying attention to these activities, but also supporting these from their resources, which is often very different from the central economic beliefs. very often the expectations are vague, but powerful, nevertheless it is worth dealing with them. Although certain requirements appear in the law also, yet, corporate managers dedication remains an open question like their willingness to intervene. In other cases, companies are invited to prove their willingness to act and they do act, before any legal framework would appear to oblige the above mentioned action.Social expectations contribute every now and then to redefine the role of the companies in the society. The areas examined through the empirical research are the following: The research is built on three main pillars. The first section describes the respondent's allegations about the company, describing the allegations to take part in social responsibility should choose those that best describe your company's activities and should be evaluated using a 5-point likert scale. It allows managers to prioritize the development of social responsibility. In the second part I was interested in the value system of managers, here they must evaluate the allegations in the charge of a company, even if they do not apply to their own companies. Here I examined the impact of these attitudes and the behavior of the leaders on the companies' activities. In the third section I examined the demographic characteristics of the enterprise itself and the characteristics of the business leaders. The enterprise features provide a picture of the test management segment format, its main area of activity, product / service market and scope of employment. The leaders of the demographic characteristics of the research highlighted the gender distribution of the company's management regarding the education of managers, home, work abroad and on their experiences and last but not least family roles. Based on hypotheses all of these can influence the company's commitment towards social programs. Keywords: social responsibility, value system of manager, company’s commitment 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 64 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES enikő VígH1,2 József FogArAsI1,3 Imre Fertő2,4 effiCienCy and produCtiVity analysis of farms in a Changing Climate enVironment in hungarian agriCulture 1 Research Institute of Agricultural Economics, Natural Resources Research Group, Hungary 2 Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary 3 Partium Christian University, Faculty of Economics, Oradea, Romania 4 Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, Hungary [email protected] The aim of this study is to determine the climate factors, which may influence the efficiency and productivity in agricultural farms. Technical efficiency and productivity of different farms are affected by several factors such as the technology used, the relative factor abundance, the institutional reforms with the input and output market environment, the farm size and scale economies, the organization and management, and the farm’s specialization (Gorton et al. 2004; Swinnen et al. 2009; Bojnec et al. 2012). In the literature, two main approaches applied for efficiency and productivity change calculations: the non-parametric approach of Data Envelopment Analysis and the parametric Stochastic Frontier Analysis (Bakucs et al. 2010). In the first step, using the DEA model we calculate the efficiency and productivity (independent variables) of these processes. In the second step of analysis, we investigated the effect of climate and soil factors (dependent variables) on efficiency by applying Tobit and quantile regression analysis. These results shows that besides the processes resulting from climate change are determining factors in the evaluation of the adapted sectoral patterns and market conditions. Keywords: DEA, SFA, climate effects, adaptation trends, efficiency, frontiers 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 65 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES margit weIsZ the role of information shaping the motiVation of enVironmental awareness Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] In my research I have examined the role of information in connection with the motivation of environmental awarness. Previous studies show that the acts believed as environmentally conscious not always leads to the expected reduction. I assumed that one of the reasons of such a situation is lack of the right information. On this basis I believe that with better understanding of the consumers’ information resources, we would be able to send more effective messages about the right behaviour and we could reduce the impact of our incorrect environmental activity. I revealed the most popular sources of information with on-line survey for better understanding and I searched relationship between their authenticity and motivational effects. The research revealed that the most popular source of information is the Internet, but many people also rely on previous studies, friends, informative programs. In addition 75% of the respondents would like to get more information about environmentally responsible behaviour. My results show that more than 30% of the respondents think experts are the most reliable informational source. It can be seen that the most popular sources of information do not match up with the most trusted source. It is also revealed that the falmily is the first among the motivational factors, followed by taxes, friends and the community. Based on my results, I believe that it is necessary to provide right information to the people regarding to environmentally conscious behaviours. It must be said what to do, thereby facilitating decision-making. I would do it with modern, interactive and widely available sources of information and involving experts. Keywords: information, motivation, environmental awareness, right information, effecitiveness, experts 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 66 SESSion teChnology adoption in agriCulture 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Ferenc csImA éva Kulcsárné tAKács András Bence sZerB analysis of road raw material logistiCs at the sugar industry Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The authors analysed the road logistics of raw material supply at the sugar industry. The data of beet campaign 2016 were used as basic data. Several logistic indicators were defined like number of deliveries per day, average transport distances, average waiting time at the unloading. From the basic data important interrelations were defined like correlation between waiting time and number of deliveries, detailed analysis of top 10 and top 100 lorries. Authors set up the logistic flow chart of raw material supply chain with special respect to the logistic part inside the sugar factory. Authors set the hypothesis that the number of lorries coming into the factory to unload the sugar beets are in strong correlation with the waiting times in the factory. However this hypothesis seems logical the correlation analysis disproved this with no correlation at all. This result showed that the beet reception capacity of the sugar factory is much higher than the present charging of the unloading system and the unloading system could manage more lorries. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 69 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES éva Kulcsárné tAKács Ferenc csImA András Bence sZerB the influenCe of sugar beet harVesters partiCularly their age - on harVest losses and profitability Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] we evaluated in our research the harvesting machinery used for sugar beet harvesting in Hungary. The research focused on the type and age of harvesters as well as on factors that can influence harvest losses. The question was how harvest losses change with the growing age of the machinery as well as the influence of this on profitability. According to the available literature harvest losses have halved in the past 25 years. we tried to answer the question how much the acquisition of new harvesting machinery contributes to growing beet yield and if it is worth to purchase new machinery in terms of profitability. The goal is after all to reach a more efficient and competitive sugar beet growing in Hungary whereas harvesting plays a significant part. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 70 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Ibolya lámFAlusI1 gábor Kemény1 András molnár1 Andrea KIss1 Ivett Illés1 márta gAál1 Zsuzsanna HorVAtH1 csaba domAn1 Katalin tAKácsné györgy2 dénes sulyoK3 Krisztina Péter1 eConomiC aspeCts of preCision farming in hungary 1Research Institute of Agricultural Economics, Budapest, Hungary 2Óbuda University, Károly Keleti Faculty, Budapest, Hungary 3KITE Zrt., Nádudvar, Hungary [email protected] The aim of our study is to reveal the effect of precision farming on economics of production. we conducted questionnaires among FADN farmers about using of precision technology. Having coupled this information with financial data of FADN we investigated advantages of precision farming compared to traditional ones in case of five crops. Effects of the technology are quantified not only in terms of yields and input costs, but also in case of production value, unit costs and per hectare profit. Tests were also performed in four different scenarios. Our results could confirm the increase in yields and in production value, but higher average yields go hand in hand with the increase of input use (i.e. cost increase). The main reason is the relatively low input use in fertilizers, pesticides of Hungarian farms. Despite increase of input costs, the income position of precision farmers was better than that of traditional ones. Different scenarios of tests underlined the importance of technological experiences. Greater experience means better use and higher advantages of technology. Keywords: precision agriculture, site-spesific farming, economics of production 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 71 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Ferenc nádAsdI1 Kornélia ZArándné VámosI2 deVelopment of the fertilization of potato through the method of Value analysis 1 University of Dunaújváros, Institute for Social Sciences, Dunaújváros, Hungary 2 Budapest Business School, Budapest, Hungary [email protected] we have received a suggestion for the analysis of an agricultural area during our research. This area was the fertilization of potato. we have received some observations that fertilization was not efficient enough. The majority of the people concerned considered fertilization necessary, however, they were not satisfied with the efficiency of the applied technologies. As a first step, we have evaluated the demands and expectations towards fertilization. According to our analyses, errors occur already at this stage. Expectations are broader than what current practice can provide for. However, the most important source of demands towards fertilization is the potato itself. we must take into account the particularities of the land to be implanted. Besides what was mentioned beforehand, we have to take into consideration the compliance obligation with government regulations (e.g. environment conservation). Our work-group was supported by agriculture experts. According to their experiences, farmers often do not apply the proper quality fertilizer which would be best for the given soil type and the given potato. The reasons for this are lack of knowledge and perpetuated outdated beliefs. It is crucial to apply the proper quality fertilizer with the needed compounds because on the one hand, it influences the quality of the soil, and on the other hand, the wrong composition might impede the improvement of the plants with different cultures. During their usage, it is very important to take a sample of the soil because we find different types and qualities of soils everywhere. In order to efficiently process the problem, we applied value Analysis. we derived our function analysis from the identified needs. Function analysis made it possible to more accurately rank and grade the different fertilizers. we believe that the suggestions set out by us can foster the more efficient application of fertilizers. In our view, the methodological results applied by us can be efficiently adopted to other fields of agriculture as well. Keywords: potato, fertilization, value Analysis, Function Analysis System Technique 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 72 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES enikő nAgy it in tourism eduCation Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] I locate the IT aspects in the tourism education of economic area. My thoughts are around three pillars. These are tourism, information technology and education. It can be an example; how to develop attitudes, knowledge and skills of the economic by the help of IT in today's educational system. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 73 SESSion poster session 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gergő Illés1 Kitti némedI-Kollár2 analysis of the agriCultural position of jászfényszaru's eConomy 1 Szent István University, Faculty of Economic and Social Sciences, Budapest, Hungary Szent István University, Faculty of Economic and Social Sciences, Gödöllő, Hungary [email protected] 2 Jászfényszaru which is located in the western part of Észak-Alföld Region has one of the most important today’s resources, it has industry. The Samsung Electronics Magyar ltd. is a remarkable value for the town; it is the biggest television factory in Central and Eastern Europe. The presence of the multinational company has many advantages to the economic aspects, for example it generates substantial incomes to the local government budget and magnetizes other companies to the Industrial Park and to the area. The result of the economic development is unquestionable, but the negative demographic trends raise concerns. However the decrease in population and aging of society are specific to the country, Jászfényszaru has more possibilities to manage the challenges than an average Hungarian town (Illés, 2016). In our study, we examined several areas of economic and social background. After a short research we got numerous problems. In the research we used various methods as document analysis, questionnaire data collection, interviews and SwOT analysis. After the complex using of methods we can say that the inhabitants are mostly satisfied with Jászfényszaru. The local government implemented important developments. As a result, the town has renewed centre, the inclusion increased among the segregated area and other part of the town. Due to the investments to the infrastructure system Jászfényszaru has excellent accessibility and traffic safety. It was typical of decision-makers if they wanted to achieve development in an area, they have success (Illés, 2016; Káposzta et al.,2016). In our opinion, after the political and economic changes the leaders of the town measured the challenges and the opportunities on a very good way and they gave correct answers for economic and social crisis. Today’s investment of Thyssenkrupp Presta Hungary ltd. could be a new milestone in the town’s life. For further successful development the community should widen their horizons to manage the progress on a complex way. The sustainability may be the determining factor in the town’s life in the coming decades (http://www.jaszfenyszaruiparipark.hu/site/index.php?lang=2 &f=291&p=691). Keywords: agricultural; Jászfényszaru; social employment; economy 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 77 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES rita KorosecZné PAVlIn Veronika gál Katalin Bodorné KoVács hungarian Vat rules in Case of foodstuffs Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] value added tax is a major tax instrument in European Union countries contributing to their budget. In Hungary it covered 10 percent of GDP in 2016. According to European vAT Directives, the EU defines range vAT rules. Based on these rules, the 28 member states are otherwise free to regulate their standard vAT rates besides the minimum level is 15 percent. The EU permits a maximum of two reduced rates, however the lowest of which must be 5 percent or above. More EU members, such as Hungary, has reduced the vAT of foodstuffs in years of recession. The standard vAT rate is 27 percent in Hungary, but there are two reduced rates (18 percent for certain foodstuffs such as milk and bread and 5 percent for certain meat products). Our poster shows the Hungarian vAT rules in case of a baked good. Therefore we analyze the financial status of all members of bread production. Based on Hungarian vAT law, we introduce the Hungarian vAT rates and "converse vAT" as well. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 78 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Andrea máté Viktor györgy orosZI Zsuzsanna sleZáK-BArtos Zsuzsanna guld wine buying and wine Consumption habits of young hungarian Consumers in the pannonian wine region University of Pécs, Szekszárd, Hungary [email protected] youth shows an increased interest in wine consumption, which is due to the success of the Hungarian wine sector and also to the popularity of wine- and gastronomy-related events in Hungary. It is important though that this increased interest should be matched with conscious and civilised wine consumption. Higher education has an outstanding role in disseminating this attitude and the spread on information on wine consumption culture, as it can promote the acquisition of civilised wine consumption skills within conscious and controlled frameworks. In other words: students of higher education are a potential market for civilised wine consumption, which makes the research and survey of the wine consumption and purchasing habits of young adults especially important. Our paper is a summary of the findings of a viticulture and wine sector trend research done with the students of the University of Pécs. The example of the University of Pécs shows that the geographical proximity to the wine producing areas of the Pannonian wine Region, the achievements and the diverse enological tourism supply of the wineries of the wine region have created a positive attachment in the students of the university. Most of the students questioned have a high propensity to consume wine; especially rosé and red wines are popular. The wines most favoured by them are from the villány and the Szekszárd wine producing areas. However, they have limited knowledge about sparkling wine and schiller, despite that fact that these are also part of the supply of the wine region. Although their favourites are sweet and semi-sweet wines, still the consumption of spritzer now exceeds that of Kalimocho (red wine and coke). Our paper also deals with the wine purchasing habits of the youth, and their willingness to expand their knowledge about wines. when making a decision on purchase, for own consumption it is price (77.5%), in the case of presenting the wine to someone else it is quality (82%) that is the dominant factor. A significant part of the wine-related information is gained from friends, relatives and from social media. The majority of the respondents (84%) are happy to participate in trainings on wine. This shows that the taste of the youth is developing and can be influenced; young people are open to novelties. In this process, a significant role is played by innovative organisations promoting wine culture and wine consumption in the Pannonian wine Region: wine route associations, enological tourism cluster or the wine orders. Keywords: civilised wine consumption, wine culture, wine purchasing habits, Pannonian wine Region, University of Pécs 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 79 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES slobodan rAKIć international programs and initiatiVes for the regulation of Corporate soCial responsibility in the finanCial seCtor Educons University, Faculty of Business Economics, Sremska Kamenca, Serbia [email protected] The emergence and development of corporate social responsibility in finance and banking is a global trend initiated by major international organizations and groups such as world Trade Organisation (wTO), United Nations (UN), International Finance Corporation (IFC), G20, etc. It incorporates two key aspects – environmental protection and preservation of the social environment. The aim of this paper is to show best examples of international programs and initiatives which are already implemented and which have shown global impact on different financial institutions. Special emphasis is placed on the main architecture of these initiatives and programs and their design. Authors use research methods pertinent for social sciences: analysis of the official reports, documents, websites, scientific and research papers and other sources of information relevant for the topic of this paper. Keywords: Social Finance, Environmental Finance, Social Banking, Environmental Banking, CSR, Sustainable Development, International Financial Organizations. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 80 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Péter sántosI Viktória sZente nikoletta BöröndI-FülöP alternatiVe sales opportunities of loCal produCts – with speCial emphasis on meat and meat produCts Kaposvár University, Faculty of Economic Sciences, Kaposvár Hungary [email protected] In Hungary the proportion of direct sales is low (Sántosi and Böröndi-Fülöp; Csíkné, 2014) and it is observable through the fall of selected priority sectors in meat and meat products as well. To change this situation, different sales practices should be applied. The use of community sales forms, which work successfully in western countries, might be a solution. we need to research how the sustainable community sales can be maintained which support the development of the local economy. with a quantitative survey we mapped the preferences of consumers. 289 completed questionnaires were received, and the data were evaluated with a mathematical-statistical analysis. Based on the basic results – I can get the products from the best producers (4.02), I can find a wide variety of local products from several producers in a big shop (3.73), the purchase of a product can support many producers (3.66) – it is most appropriate to set up one of the community sales forms: a community warehouse (Food Hub). A Food Hub can help with the sales of local meat and meat products in many ways. Moreover, it can be applied in terms of other products. As for the advantages, a shop may offer a wide range of products for consumers so that they should go to a single shop to do the weekly shopping. Producers and consumers may develop a bond of trust and producers may meet consumers in person. They will mutually benefit from this cooperation as consumers can find local products whereas producers can gain an accessible sales location. Even the opportunities of community marketing can be exploited because several producers can be advertised with one marketing activity. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 81 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES devesh sIngH determinants of eConomiC Value added: empiriCal study on somogy County hungary Kaposvár University, Doctoral School in Management and Organizational Sciences, Kaposvár, Hungary [email protected] EvA allows companies to understand whether the business is bringing in profit and whether the money can be implemented in a more profitable source. A greater EvA is an indication of the fact that the company has a greater value. The goal of this study is to identify the SME’S actions carry out on a daily basis are able to generate economic added value for their business. Starting the study is based on comparison of EvA on different companies. Create the variables for research and carried out the research. Sample is taken out hundred worker of SME’S employee in Somogy County Hungary. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 82 SESSion paper submission without partiCipation 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES rita Anna AmBrus agriCultural worKers in shadow University of Sopron, Alexandre lamfalussy Faculty of Economics, Sopron, Hungary [email protected] In Hungary, the employment policy of small and medium-sized enterprises is fundamentally determined by the fact that they are not able to finance the high labour costs. The aim of this paper is to examine the common and the special features of agricultural sector having an additional important aspect, due to seasonality of the activity. The paper takes into account the regulations of laws and based on data of the Hungarian Central Statistical Office. In order to ensure the necessary staff the agricultural enterprises try to find the best way among the legal possibilities to minimise tax wedge and choose a form from the types of atypical employment, for example part-time work or temporary work. But, because of the weakness of tax moral, a proportion of employees and their incomes are hidden in shadow economy. Keywords: employee, tax wedge, atypical forms of employment, shadow economy 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 85 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES sándor BoZsIK deleVeraging of the eastern-Central-european Countries' banK systems during and after the eConomiC Crisis University of Miskolc, Faculty of Economics, Miskolc, Hungary [email protected] The economic crisis broke out in the most developed part of the world in 2008 affected seriously to the Central-Eastern-European bank systems. It wasn’t a wonder, because these economies were closely linked to the developed countries. Firstly the Central-Eastern-European banks were mostly owned by large western-European banks, and the management of these subsidiaries became tougher due to the asset management problems of their mother banks. (Tressel, 2010) The current paper examines the deleveraging of bank systems of this area during the crisis and thereafter. A special northern-southern division can be observed among the Central-Eastern-European bank systems, where the border is unfortunately at the northern border of Hungary. During the crisis, the amount of private loan was mostly determined by the economic growth, the starting state of loan-deposit ratio, as well as the uncertainty of sovereign CDS spread. In the after-crisis period the change in private loan stock is especially the function of non-performing loan ratio and the change in loan-deposit ratio. Hungary is an „off-line” country in case of all strong correlated variable pair, so the decrease of private loan may have country-specific reasons besides the general theoretical variables. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 86 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES réka csImA organiC milK sales and marKeting in the usa Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] Oganic and non organic milk product were compared in this study in one of the biggest local supermarket chani in the USA. The study shows several differences in the applied marketing mix in case of organic and non organic milk products. Product, promotion place, packaging and price was different. Analysis shoved that there is a big price difference between the organic and nonorganic price level. The difference is 2,3-3,3 fold on average which is a rather high difference. The lowest difference is in product category with 0,5 gal size (2,3-2,7 fold). Both in smaller and bigger sizes this difference is above 3 fold. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 87 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES márton HAdnAgy Irén wIcKert taXation of agrarian primary produCers Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] In Hungary, special tax rules apply to primary producers. In my paper I would like to introduce the effective legislation on them and the difference between the different tax calculation methods through examples. I want to show how much it matters if the tax calculation done by a trained accountant and how can the tax reduced in a legal way. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 88 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES csaba sándor HorVátH János mAJdán gábor VArgA the relationship between railways and agriCulture through the eXamples of gyseV and fertőVidéKi (héV) loCal-railway to 1920 Széchenyi István University, Győr, Hungary [email protected] The agriculture and railways are two areas, which complemented each other during the period under consideration and usually one of the operation supposed the other. At the beginning of railway constructions great emphasis was placed on certain agricultural regions and their centres, which were influenced the construction of railway tracks. In western Transdanubia Sopron played a central role, which joined the second railway line in the country. At the time of Sopron–wienerneustadt railway line opening (in 1847), in addition to the agricultural aspects, the coal mining played an important role around Sopron because both of them were fundamental demands in vienna using the railway transported. In the establishment of GySEv, the agricultural aspects were emphatics because the region’s sugar factories supported the creation of the company. Due to the development of the main railway lines Sopron had a significant regional manufacturing and distribution central role. The railway of Fertővidék which is treating in GySEv, crossed rural areas. The relationship between the railway and the agricultural products further increased. The period until 1920 was the best example for this discoverable and sensible contact. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 89 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Zsolt KőműVes lilla lengyel dániel BenedeK eXamination of equal opportunities for women in the labour marKet Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] The gender stereotypes that suggest women's characteristics and motivations predestine them to primarily take care of the household, while men's function and purpose is to be the main provider for the family are genuinely limiting the labour market opportunities of women, leaving little room for them being able to validate themselves based on their skillset. The majority of these stereotypes relate to women - which are formulated and based on both their marital status and their position (female leader). These result in the disadvantage of women in correspondence with the presumable incompatibility between leadership or conscious career focus and the drawbacks of certain female traits (such as being gentle, smooth, caring, sentimental, etc.). Gender-related prejudices are imbedded in our consciousness and the disproportional division of household labour are social facts. Norms anchoring these matters are particularly wide - spread in Hungary. This paper seeks to present a comprehensive picture concerning the role of women in workplaces and in families based on the above mentioned. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 90 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Jing lI1,2 Zoltán ZémAn1 finanCial support and Credit risK eValuation of agriCultural enterprise in China 1Szent István University, Faculty of Economics and Social Sciences, Gödöllő, Hungary 2Jiangxi University of Finance and Economics, Institute of Finance, Jiangxi, China [email protected] Ever since China launched a series of economic reforms, the development of agricultural economy has been one of the top concerns of Chinese economic development. And the core problems of agricultural economic development is the rural finance in China. This paper analyzes the financial support problems between agricultural enterprises and commercial banks. It also probes into a specific financial product with Chinese characteristics - the loan of rural land contractual management right, aiming at finding a solution to the contradiction between the agricultural enterprise fund raising and credit risk controlling of commercial banks. Through the application of theoretical analysis, comparative analysis and questionnaire survey, a credit risk evaluation model that contains 25 risk indicators based on the principle of risk evaluation index system has been established in this paper. Appropriate use of this model will enable commercial banks to effectively assess the relevant risk of agricultural enterprises and help agricultural enterprises to obtain reasonable financial support. As a result, financial institutions running with minimized financial risk would greatly improve the development of agricultural economy in China. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 91 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES mónika Zita nAgy Katalin tótH Bernadett HorVátHné KoVács agroforestry in the sCope of loCal resourCes in hungary Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] As agriculture and other types of development take over place from natural vegetation, the benefits that trees provide are best sustained by integrating them into agri-cultivation. Even worldwide but significantly in the developing regions - agro forestry practices involve a wide range of trees that are protected or planted and managed on farms and agricultural landscapes. Many of these trees have multiple uses, providing a range of benefits for ecology, economy and society. In Europe, especially Spain and Portuguese are found with significant agro forestry systems, but even the Carpathian basin has a tradition of various forms of it. Nowadays, it is reasonable to reconsider the transformation of poor quality cropfields and pastures into alternative cultivation, such as agro forestry. The article aims to reveal the regional agglomeration potential of agroforestry on the basis of geographical information.1 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 92 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES nikolett németH the role of Knowledge management in the improVement of food safety: a reView of literature Szent István University, Gödöllő, Hungary [email protected] Creation of efficient food-safety systems is significant in the operation of enterprises engaged in food industry. Some authors point out that the weakest point of food-safety systems is human factor: those workers and leaders who get into contact with food products regularly and due to the abscence of good knowledge, even themselves mean a significant risk to food-safety. It is vital, therefore – in addition to improving the technological criteria – the continuous training of workers and increasing their commitment. This present study aims to introduce the role of knowledge management in the enhancement of food-safety at food-related companies by means of processing of international and domestic literature. The study is searching for the answers to the following questions: (1) what role do human factors play in creating and maintaining food-safety? (2) How can the tools of knowledge management be applied in the improvement of food-safety situation? Based on secondary sources, food-borne illnesses are influenced by many factors, such as human behavior, equipment/practice and the occurrence of pathogens. In the case of human behavior, knowledge of food-safety plays an important role in the development of food-borne illnesses. Therefore, organizations should manage and organize knowledge actively so that it is retrieviable by the appropriate individuals. The tools of knowledge management provide space so that organizations could utilize, improve the intellectual capital of their employees, as well as they can set the experiences of workers in the service of their goals. Training, development of commitment, sharing knowlegde and experiences are efficient tools of knowledge management that can be successfully applied in the enhancement of food safety in food industry. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 93 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Jay stephen sIy1 Jared delA cruZ2 1 the philippine business outlooK: an analysis of the driVers of foreign Capital inflows Corvinus University of Budapest, Department of Business Studies, Budapest, Hungary 2 University of the Philippines, College of Social Sciences, Baguio, Philippines [email protected] Globalization has increased the significance of foreign capital as a source of state financing that, under the right policy environment, provides numerous benefits to the countries it goes to. This research seeks to analyze the business outlook in the Philippines by determining what economic and financial variables account for the decision of foreign investors to locate their investments in the country. The study investigates the relationship between net foreign capital inflows for the period 1996-2014 and market size, infrastructure and labor variables together with stock market development and real interest rate using multiple regression for time series data. The results suggest that market size, transport infrastructure, labor costs and real interest rate are significant and positive determinants of foreign inflows for the period. Meanwhile, telecommunications infrastructure is significantly but negatively correlated to foreign inflows. Surprisingly, all the educationrelated indicators of labor quality are found to either have a significant but negative correlation, or positive but non-significant correlation with foreign inflows. Finally, stock market development is negatively correlated but statistically insignificant in accounting for foreign inflows to the country for the study period. Keywords: Foreign capital inflows, Philippines 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 94 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Zsuzsanna sZéles1 Zoltán sZéles2 Zoltán sZABó3 1 a Case study about methodology for innoVation management Budapest Metropolitan University, Institute of Economics, Budapest Hungary 2 Unisource ltd., Hungary 3 Budapest Business School University of Applied Sciences, Faculty of International Management and Business, Budapest, Hungary [email protected] Our main goal was to show the innovation management and the importance of the innovation management for companies. The real value of the IMP³rove Assessment report can be maximized through several days of analysis executed internally or by an external consultant as well as through planning and implementing the necessary changes. The methodology of the IMP³rove innovation management was created as a result of a research and development project launched which started in 2006. The IMP³rove is a registered, official, trademark by the European Commission in all Member States of EU. The methodology involves all aspects of innovation management: innovation strategy, innovation organization and culture, innovation management processes, implementation conditions for innovation management and the financial indicators of innovation management performance measures. we present the importance of innovation management performance measures through actual case study. The analyzed company is a leading Hungarian SME in the participation of aeronautics and air transport related research projects. The company as being a member of different consortiums accumulated a strong project participation experience working together with numerous outstanding research institutes, universities, airports, airlines and innovative companies. IMP³rove significantly helps companies to recognize hidden reserves for competitiveness and sustainable growth in performance, efficiency, profitability. we introduce the relationship between size and sector/operation. The companies in the competitive environment can generate significant advantages by using IMP³rove to identify breakthrough points in development, management, innovation and knowledge capital. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 95 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Károly sZóKA erzsébet tótHné sZABó Controlling tasKs and possibilities in ConteXt with the ifrs transition University of Sopron Alexandre lamfalussy Faculty of Economics, Sopron, Hungary [email protected] The consequence of the change in regulations the Hungarian accounting in several steps; opened the possibility to interior adapt the International Financial Reporting Standards. First round this transition at those companies expected of which securities are traded at regulated market of any State of the European Economic Area. Furthermore, at those enterprises whose parent company compile the consolidated annual financial statements in accordance with IFRSs (whether in the industrial, agricultural or service sector) and it is expected at credit institutions as well. The IFRS differs significantly from the Hungarian accounting system as regards the approach and both the structure. This transition requires a serious organizing work and accounting preparation of the entrepreneurs. This process contains challenges for controlling and it is sure that the controlling system has to be changed. It should be reviewed the content and structure of the controlling and the organizational-coordination tasks. In this study we will introduce the essence of transition to IFRS and those most important elements and changes which are affected via that transition. (Eg. KPIs, monthly reports, analyses, forecasts, annual and strategic plans, working capital). This transition means a lot of change and task but it also opened the opportunity to review the previous systems and introduce the company to using a new and more efficient decision-support controlling system. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 96 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES Atobishi tHABIt eValuating the faCtors affeCting the deCision of adoption Cloud Computing teChnology Kaposvár University, Faculty of Economic Sciences, Kaposvár, Hungary [email protected] This research project is a research to initially investigate and evaluate the factors that influence and affect the adoption of cloud computing technology in business Jordanian organizations. New revolution in information technology is cloud computing which consider as a paradigm shift that has many possibilities especially for business organizations. Though its huge capabilities and possibilities it still slowly diffusing due to many concerns and obstacles as a new change for business organization. So the study will conduct in Jordan as a clear case of developing countries that can utilize the benefits of cloud computing to enhance their business and get the cutting edge technology but first of all to address the concerns of decision maker toward cloud computing technology. 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 97 6TH INTERNATIONAL CONFERENCE OF ECONOMIC SCIENCES gábor tótH1 Zsuzsanna sZéles2 2 the linK between employing “big four” Companies and aCCounting quality – eVidenCe from hungary 1 MÁv Service Center ltd., Hungary Budapest Metropolitan University Institute of Economics, Budapest, Hungary [email protected] Different factors influence accounting quality. with the help of prior researches we reviewed this factors and how to measure accounting quality. The aim of this research is to study the accounting quality of companies audited by “Big Four” companies compared to companies not audited by “Big Four” companies, in Hungary. The main question that: “Do by “Big Four” companies audited firms have higher accounting quality?”. we examined 63 companies financial data between 1997 and 2016, altogether 732 financial statements. To evaluate these data we examined accruals, timely loss recognition and earnings management towards target. we found that being audited by Big Four company in Hungary leads to higher accounting quality if we studying earning management towards small positive incomes. Keywords: Accounting quality, Big Four, Earning management, Jones Model, Timely loss Recognition, 4-5 MAY 2017 - KAPOSVÁR - HUNGARY 98 abstract_2017_hátsó_borító_Layout 1 2017. 05. 01. 20:47 Page 1
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