Central European Business Review, 2025 (vol. 14), issue 5
Articles
Economic Freedom Index and Foreign Direct Investment: Bridging the Gap between Developed and Emerging Economies
Avni H. Alidemaj, Anatoljis Krivins, Esat Durguti, John McArdle
Central European Business Review 2025, 14(5):1-22 | DOI: 10.18267/j.cebr.398 
The working paper examines several variables of the Economic Freedom Index and the effect of GDP on foreign direct investment (FDI) in the 6 European Union economies (EU6) and the 6 Western Balkan economies (WB6). This study aims to explore whether these determinants affect foreign direct investments in EU6 and WB6 towards other international economies. To accomplish the stated aim, we used secondary panel data on an annual basis from the trusted databases of the Heritage Foundation and the World Bank, covering the period 2017–2023, comprising a total of 42 observations for each panel. The mathematical modeling paradigm employed is Two-Stage...
Family Entrepreneurship and Sustainability: Empirical Analysis from Hungary
Melinda Krankovits, Márta Konczosné Szombathelyi, Judit Csákné Filep, Áron Szennay
Central European Business Review 2025, 14(5):23-39 | DOI: 10.18267/j.cebr.399
Family firms, accounting for 60% of European private sector jobs, play a critical role in advancing business sector sustainability through their practices and employment characteristics. This study examines family entrepreneurs’ attitudes toward sustainability using quantitative methods and the 2023 Global Entrepreneurship Monitor (GEM) Annual Population Survey (APS) dataset from Hungary. Businesses were categorised into non-family, one-person, and family enterprises. After analysing the reliability of sustainability-related questions, two indices measuring attitudes toward environmental, social, and economic sustainability were constructed:...
Detecting Anomalies in Tax Revenues Using Benford's Law. The Case of Polish Adjustment
Piotr Luty, Zuzanna Zawolska
Central European Business Review 2025, 14(5):41-60 | DOI: 10.18267/j.cebr.401
Changes in legal regulations are a permanent element of political systems. The degree of complexity of tax systems is a characteristic feature of developing countries. The study aims to check whether changes in legal regulations cause manipulations in companies' financial data. Manipulations may result from the ambiguity of the introduced regulations (unintentional) or the deliberate actions of taxpayers (intentional). The study analyses the impact of changes in reporting information on tax income from capital sources on anomalies in financial data. In the survey, anomalies in economic data are identified using Benford's Law, using MAD (mean absolute...
An Empirical Analysis of the Competencies of Management Consultants in Northeast Hungary between 2001–2021
Agnes Tokar-Szadai
Central European Business Review 2025, 14(5):61-91 | DOI: 10.18267/j.cebr.402
This study examines the evolving competencies of management consultants in Northeast Hungary from 2001 to 2021 and proposes a comprehensive consultant competence model based on a 20-year longitudinal analysis. The research combines questionnaire surveys (conducted in 2001 and 2005–2006) with in-depth interviews involving consultants and clients during 2011–2012, 2015–2016, and 2020–2021, analysed using SPSS 30.0. Findings reveal significant transformations in consultant competencies over the two decades, shaped by the region’s socio-economic evolution. Notably, perceptions of consultant competence remained stable between...
Does Foreign Direct Investment Increase Business R&D Expenditures in Host Countries?
Duąan Steinhauser
Central European Business Review 2025, 14(5):93-115 | DOI: 10.18267/j.cebr.403
During the current multiple crises periods, economies are trying to find their way to development. One possibility is investment in research and development (R&D). However, emerging economies often have limited resources, so they rely on stimulating R&D through FDI inflows. The question remains about the effectiveness of this path. To investigate this question methodologically, a panel regression analysis with fixed effects was applied. The presented research was inspired by the empirical finding that a correlation between FDI inflow and business expenditure on research and development (BERD) has not been proven in EU countries. However, the...
Customer Value-Added as an Integral Component of HRM Strategy
Katarína Stachová, Zdenko Stacho
Central European Business Review 2025, 14(5):117-134 | DOI: 10.18267/j.cebr.400
The focus on customer value-added (CVA) concepts in human resource management (HRM) is increasingly vital for maintaining competitiveness and sustainability in today's dynamic environment. This study evaluates the current implementation and future expectations of CVA in HRM within Central and Eastern European (CEE) countries, comparing these findings with practices in Western Europe (WE) and globally. The primary objective is to analyze the extent of CVA integration in HRM systems and assess the sustainable competitiveness of CEE enterprises. The study aims to understand the current state of CVA in HRM and its projected importance for sustainable business...