Assessments of Creditworthiness of Crafts in Croatia

Tomislav Budimir and Zoran Aralica

Economic Research-Ekonomska Istraživanja, 2013, vol. 26, issue S1, 133-150

Abstract: The main purpose of the paper is to analyse financial reporting practice in the craft sector and to assess the quality of the financial and qualitative data available. For this purpose, the credit scoring as methodology was used. Here, evaluation of the information produces model which is enabling the crafts’ creditworthiness assessment. In terms of empirical research, the importance of qualitative data is confirmed. Due to the fact that crafts in majority are oriented towards local markets, the model has potential to be applied on local level management in financial institutions and within the crafts’ suppliers. Overall, this promotes better inclusion of the crafts within their business environment.

Date: 2013
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DOI: 10.1080/1331677X.2013.11517644

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