Research Question: This paper examines the existence of statistically significant relationship between acquisition costs and insurance premiums in the Serbian insurance industry. Motivation: Marketing investments are of strategic importance for the firm performance increase (Morgan, Clark, & Gooner, 2002; Stewart, 2009; Edeling & Fischer 2016; Gligorijevic, 2013; Solomon, Marshall, & Stuart, 2017; Silveira Netto & Slongo, 2019; Haryanto & Retnaningrum, 2020; Shah, Goswami & Vidani, 2024). Empirical findings consistently confirm the positive financial effects of marketing activities across various industries (Narayanan, Desiraju, & Chintagunta, 2004; Pauwels, Silva-Rosso, Srinivasan, & Hanssens, 2004; Fukutomi, Yamashita, Uehara, & Fukuchi, 2021). The evidence of the relationship between marketing and financial performance remains limited within the insurance sector. Therefore, this paper addresses that gap by examining whether investments in customer acquisition generate measurable financial outcomes for insurance companies in the case of Republic of Serbia. Idea: The main idea is to investigate the necessity of applying quantitative methods such as simple regression analysis to obtain reliable conclusions about relationships between key factors that affect the financial position of an insurance company. Data: Data for empirical study were obtained from publicly available financial reports of 16 insurance companies operating in the Republic of Serbia for the year 2023. Methods: A simple linear regression model as a technique for investigating a statistical relationship was employed. The key model assumptions such as normality, homoscedasticity, and independence of residuals were tested and validated. Findings: The results indicate a statistically significant impact of acquisition costs on premiums. This is a highly relevant practical finding, providing insurance management with crucial insight into the justification of marketing investments. Contribution: The primary contribution of this paper is the original application of a linear regression model to examine the effects of marketing investments on the financial performance and therefore proposing the direction for future decision making in the insurance companies.
Research Question: In which ways can behavioural economics explain systematic deviations from rational decisionmaking in the insurance market? Which behavioural interventions, i.e., debiasing strategies and nudge measures, can improve the rationality of decisions, individual and social well–being, and market efficiency? Motivation: Insurance plays a central role in financial risk management. However, policyholders and insurers often make decisions that deviate from traditional financial theory. These deviations are systematically influenced by cognitive biases, such as availability heuristics, framing effect, status quo bias, overconfidence, etc. This paper examines why rational choice models fail to describe the actual behaviour of participants in insurance markets, and how psychological mechanisms distort the decision-making process. Building on fundamental papers in behavioural economics (Kahneman & Tversky, 1979; Thaler & Sunstein, 2008), as well as empirical studies in the insurance field (e.g., Kunreuther & Pauly, 2004), the paper integrates these insights to enhance theoretical understanding and practical interventions, with the aim of improving the quality of decisions and market outcomes. Data: The paper uses a literature review methodology and synthesizes findings of selected relevant papers, experimental and field studies on behavioural biases that affect both policyholders and insurance company managers. The time frame covers several decades - from seminal papers (e.g., Kahneman & Tversky, 1979) to the latest empirical research (e.g., Fan, Liu, & Liu, 2025). Tools: To the best of our knowledge, this topic has not been previously investigated in the academic literature in Serbia. The paper is conceived as a review article, with the emphasis on identifying heuristics, cognitive distortions, and the effectiveness of nudge interventions, connecting theoretical knowledge with practical implications for policyholders, insurers and regulators. In this sense, the study represents a good starting point for new research on the impact of psychological phenomena on the Serbian insurance market. Findings: Behavioural factors offer a more realistic and empirically better grounded explanations of insurance-related decisions than neoclassical assumptions of rationality. The behaviour of policyholders and insurers is systematically influenced by cognitive distortions, which results in underinsurance, mispricing of premiums, suboptimal design of insurance products and ineffective risk management. Interventions based on nudge approach - such as defaults or messages based on social norms - can effectively improve the quality of decisions and increase participation in insurance schemes. However, the nudge approach has limitations, especially regarding ethical issues and transferability across different cultures and contexts. Optimal public policy design requires a balance between libertarian paternalism and regulatory oversight, while ensuring both protection and freedom of choice. Contribution: The paper contributes to the literature as follows: integrates the insights from behavioural economics and insurance theory into a cohesive analytical framework; highlights the dual behavioural distortions that affect both policyholders and insurers; proposes a set of evidence-based interventions aiming to improve both individual and market level outcomes; offers a critical evaluation of the ethical and institutional limitations of behavioural interventions in the insurance sector; and informs policymakers and industry practitioners about how behavioural principles can improve the design of insurance products, transparency and efficiency of insurance markets.
Research Question: This study examines the difference between undergraduate accounting students and professional accountants in their perceived importance of attitudes, skills, and knowledge for professional success. Motivation: This study tackles the ongoing debate in accounting education circles about the gap between academic preparedness and career readiness. Despite numerous curricular reforms, employers still report the lack of certain interpersonal, analytical, and problem-solving skills of graduates, which are essential for modern accounting practice. Following the prior research by Krikorian et al. (2020), Kwarteng & Mensah (2022), and Diez-Busto et al. (2023), this paper investigates how perceptions of professional attributes vary depending on the level of education and professional experience. The study examines the contribution of accounting educational programmes to key competency development and the extent to which professional qualities are formed by professional experience rather than formal education. Idea: The study presents a comparative analysis of three groups using a non-parametric statistical approach. Data: Primary survey data were collected from accounting students and professional accountants in Serbia using a structured questionnaire. Their responses were measured using ordinal Likert scales across three dimensions and analyzed for differences between pre-course, post-course, and accounting professional groups. Methods: The study includes descriptive statistics, reliability tests, and Kruskal–Wallis tests followed by post hoc analysis to examine group differences. Findings: The results reveal statistically significant differences in all three domains. Accounting education increases the perceived importance of technical knowledge and ethical attitudes, bringing students’ views closer to those of accounting professionals. However, workplace experience is still more critical for development of advanced skills such as leadership, negotiation, and project management. These findings emphasize the need for experiential and practice-oriented learning in accounting curricula and highlight the complementary roles of formal education and professional experience in accounting competence formation. Contribution: The findings provide empirical evidence on how accounting education and professional experience together influence key professional attribute and guide the curriculum and competency reform.
Research Question: What are the key factors influencing company readiness for implementing Quality 4.0, and how are these factors interrelated in ISO 9001:2015-certified companies in Serbia? Motivation: Although Quality 4.0 promises improvements in efficiency, decision-making, and customer value, empirical evidence on organisational readiness in developing and transition economies, including the Western Balkans, is still limited. Understanding readiness in this context is important for planning realistic implementation strategies. Idea: The study identifies and analyses readiness factors for Quality 4.0, examines their relationships, and proposes a model for assessing company readiness that combines factor-based and overall assessments across people, technology, and process dimensions. Data: A cross-sectional questionnaire survey was conducted among employees of ISO 9001:2015-certified companies in Serbia. The questionnaire was sent to more than 1,500 companies using a list-based email frame derived from public registers, resulting in 184 valid responses (an estimated response rate of around 12%). The instrument included general questions, subjective readiness ratings, and 65 items grouped into 13 readiness factors. Tools: Descriptive statistics were used to describe readiness levels. Reliability was assessed with Cronbach’s alpha test. Pearson correlation analysis examined relationships between the factors and overall readiness, while t-tests and one-way ANOVA tested differences in readiness perceptions across respondent and company characteristics. Findings: Objective readiness was assessed as medium (overall mean 3.4 on a five-point scale), while subjective readiness was somewhat lower (mean 3.0). Top management support had the highest readiness score (M = 4.05), while integration of processes and systems (M = 2.31) and use of modern technology (M = 2.85) had the lowest scores. All readiness factors were positively and significantly correlated with overall readiness at the 1% level; use of modern technology showed the strongest correlation (r = .623), and customer focus the weakest (r = .303). Contribution: The study offers an empirically tested model for assessing Quality 4.0 readiness in a developing economy, combining people, technology, and process factors in a single framework. The results provide guidance for managers and policymakers in prioritising actions for Quality 4.0 implementation and form a basis for comparative and longitudinal research on Quality 4.0 readiness.
Research Question: This study seeks to identify and analyze the key factors that contribute to the positive impact of knowledge management on the financial performance of enterprises. Motivation: Understanding how organizations that implement knowledge management strategies achieve improvements in financial performance is crucial. Although the link between knowledge management and financial success is often discussed, specific factors influencing this relationship remain underexplored, particularly in the context of Serbia. The goal is to address this gap and provide a model that links these two elements. Idea: The core idea of this research is to develop and test a model that illustrates how knowledge management dimensions influence financial performance in enterprises. Data: Data were collected through a survey of 126 middle and upper management employees from both public and private enterprises in Serbia. The independent variable is measured by an instrument assessing nine dimensions of knowledge management, while the dependent variable is financial performance, assessed through seven specific items. Tools: Multiple linear regression analysis was applied to determine the relationship between knowledge management dimensions and financial performance. Findings: The results indicate a significant positive influence of the dimensions of knowledge management on financial performance. The developed model highlights both the positive and negative effects of these dimensions, offering a comprehensive view of how knowledge management drives financial outcomes. Contribution: This study contributes to the existing literature by offering a model that explains the impact of knowledge management on financial performance. The model serves as a foundation for future research and can encourage the development of strategies to increase business outcomes through knowledge management.
