INVESTMENT MODELS IN TRANSITION PROCESS - CASE STUDY OF COUNTRIES FROM REGION

Based on a theoretical review of investment models through full and partial ownership, the aim of the paper is to provide an examination of factors that influence to the choice of investment model in six transition countries from region provide recommendations that which investment models would be appropriate between observed countries. Using a multivariate cluster analysis on a sample of six transition countries from region, a grouping of countries was carried out according to next criteria in the period 2000- 2014: a) economic growth, b) competitiveness and c) institutional distance. The results of analysis have shown that Serbia, Bosnia and Herzegovina, Montenegro and Macedonia should choose the investment model of partial ownership when investing in Croatia and Slovenia. Slovenia and Croatia should choose investment model of full ownership when investing in Bosnia and Herzegovina and Macedonia, especially in Serbia and Bosnia and Herzegovina because they represent a growing market. Also, in mutual exchange, Slovenia and Croatia should choose models of full ownership, as well as Serbia, Montenegro, Macedonia and Bosnia and Herzegovina.