PurposeThe purpose of this paper is to present a “human ecology economics (HEE)” framework for understanding economic growth and development challenges in Eastern Europe.Design/methodology/approachThe HEE approach relies on evolutionary and complex systems processes; it expands the field of ecological economics by incorporating interdisciplinary material from the humanities; and it allows a long‐run perspective with a focus on sustainability of human systems. Using this framework and primary research from Hungary, Estonia, and Azerbaijan, challenges to Eastern European development are identified.FindingsThe main limit to Eastern European sustainable development is not “production capital”, i.e. the availability of natural resources, fixed human‐made capital, and intermediate consumption, but instead shortages of “transaction capital”, i.e. “social capital, informational capital, and financial capital.”Research limitations/implicationsRigorous analytical models of, and precise predictions of, change in the human ecology are at present not possible using evolutionary and complex systems approaches; however, Eastern Europe can be fruitfully studied through the HEE approach, and certain simulation methods and lessons from recent history are suggested.Practical implicationsGreater support for various kinds of transaction capital is recommended, including for social and communication networks, for information exchange between small and medium size businesses, for innovation and creative learning by doing, for financial intermediation, for better inter‐party cooperation at the national level, etc.Social implicationsThe need for greater social cooperation, including a reduction in discrimination exercised by dominant individuals or groups, arises as a more important pre‐condition for sustainable economic growth than is commonly believed.Originality/valueScholars, policymakers, and practitioners might appreciate the more comprehensive interdisciplinary framework for understanding economic growth and development challenges in Eastern Europe, especially the role played by intangible belief systems, social agreements, and levels of cooperation.
The 2015 elections in Turkey disrupted corporate business models in the country. Conducting business in Turkey has unquestionably been impacted by political activity that has often erupted into cultural wars and civil demonstrations. This paper discusses the strategies corporations must undertake to secure a sustainable competitive advantage in Turkey. It researches and critically evaluates the business impact of the changing and often turbulent politics, as well as collects and analyzes economic data in order to propose a decision making platform allowing companies to make informed strategic decisions. Paralleling this research, the paper also investigates how supply chains into and out of Turkey have been severely disrupted as a result of political unrest. Supply chain disruption is increasing amongst trading nations as they (the supply chains) become more complex as a result of their global expansion. External, as well as internal data, are gathered and examined for this paper in order to recommend corporate action to be taken to minimize supply chain disruption. Protection of supply chains needs to also be a priority of government. Therefore, this paper suggests how involvement in supply chain management by a stable government in Turkey would help minimize disruption and make supply chains in the country much more productive and efficient.
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