Subjects of privatisation in catering and tourism and the development strategy of the Republic of Croatia

Abstract

After the first phase of privatization - transformation of ownership - the ownership structure in catering and tourism has been established with the dominant share of the State funds (The CPF and The PF) and of small shareholders. The present ownership structure cannot survive as incompatible to market economy. The lack of the development strategy and privatization strategy are unfavourable for the optimalisation of the ownership structure. However, it is possible to consider some process changes in respect to the subjects of privatization. The CFP will gradually disappear and the number and share amount of small shareholders will decrease considerably. New forms of private capital will appear - holding companies, family and individual capitals of different size and organization. From the aspect of needed strategy, it is necessary to accept the dynamics, aims of privatization and the increase of foreign capital. Catering and tourism need to be adapted for further privatization (recovery and reconstruction). In respect to the optimal ownership structure and possible strategic interests (investment possibilities, Diaspora, small shareholders) market rules and the main role of the State in further process of privatization must be considered.