Author: Prof.dr.sc. Džafer Alibegović, Faculty of Economics Sarajevo

This paper examines the evolution and criticism of the theory focused on maximizing shareholder wealth as the primary purpose of corporate operations. Traditionally, this theory, developed by economic theorists such as Adam Smith, Milton Friedman, Jensen and Meckling, and Eugene Fama, emphasizes the creation of shareholder value through corporate governance and market efficiency. However, critics of this paradigm, such as Freeman and scholars researching corporate social responsibility (CSR), argue that this approach neglects the interests of other stakeholders, including employees, communities, and the environment, which may lead to long-term economic and social issues. Presenting a critical assessment of the role of capital markets in determining the cost of capital, evaluating investment projects, and overall corporate governance, we conclude that companies should align their business strategies toward balancing the interests of all stakeholders—not only shareholders— to ensure sustainability and responsible long-term operations.

Authors: Prof.dr.sc. Edin Glogić (FINRA University Tuzla), Prof.dr.sc. Slavko Rakočević (Mediterranean University Podgorica), Mr.sc. Ismet Đuzelić (Municipality of Cazin)

This paper explores accounting challenges and opportunities associated with integrating ESG (Environmental, Social, and Governance) criteria into the circular economy. In the context of growing global focus on sustainability, accounting practices must evolve to adequately support the goals of the circular economy and ensure transparent and accurate reporting of ESG performance. The paper analyzes current challenges accountants face when integrating ESG criteria, including inconsistent standards, lack of clear measurement and reporting guidelines, and the complexity of tracking long-term effects of sustainable practices. At the same time, it explores opportunities arising from this integration, such as improved corporate reputation, better risk management, and increased attractiveness for sustainability-oriented investors. The paper also discusses how new technologies and digitalization can facilitate the collection, analysis, and reporting of ESG data, enabling more precise tracking of sustainable business activities. Through the analysis of existing practices, the paper provides guidance for the accounting profession on how to more effectively meet the challenges and capitalize on the opportunities offered by integrating ESG criteria into the circular economy.

Author: Dr.sc. Vildana Altumbabić, FINRA University Tuzla

Financial statement data and information are of great importance to all users, primarily investors and owners when evaluating business performance and making decisions about investing and allocation of funds. The relevance and reliability of this information are essential for user trust; therefore, it is necessary to ensure compliance. Significant deviations from the generally accepted financial reporting framework result in information presented in financial statements that is neither relevant nor reliable. The issue of reliability and relevance is particularly important for public enterprises. Public enterprises play a major role in a country’s economy and serve as one of the mechanisms through which economic functions are realized. Poor management and oversight can have multiple negative consequences for the economy. Financial reporting should also provide significant information regarding sustainable development management and climate change. The perspective of public enterprises reporting is related to the application of new sustainability reporting standards. The subject of this paper is public enterprises reporting in FBiH, the current state, and future development perspectives. The aim of the paper is to determine the existence of deviations from the applicable financial reporting framework based on the analysis of audit reports within the selected observation period and to describe development perspectives. The paper consists of three parts: the first presents an overview of public enterprise management in FBiH; the second describes the regulatory framework; and the third analyzes the current state of financial reporting based on deviations and perspectives for further development.

Author: Dr. Elmir Ramić, Federal Administration for Inspection Affairs Sarajevo

The shadow economy, in the broad sense, refers to conducting economic activities outside relevant legal norms (informal economy) or contrary to legal regulations (illegal economy). The shadow economy undermines the very essence of trust and loyalty between the state and its citizens, including businesses. In most cases, citizens justify participation in the shadow economy due to a lack of understanding of the harmful consequences it produces for their quality of life, nor do they recognize the illegitimate benefits participants gain. This paper investigates the impact of direct tax collection on the shadow economy in Bosnia and Herzegovina based on relevant literature, statistical data, practical examples, and statistical methods. The aim is to highlight the need for greater state engagement in reducing the shadow economy and protecting the public interest.

Author: Mr.sc. Ivan Kunac, University of Applied Sciences “Lavoslav Ružička” Vukovar

In the rapidly changing digital environment, companies increasingly adopt innovative technologies to improve communication with users. Among these technologies, chatbots have proven to be a highly effective tool in digital marketing strategies. Through the analysis of various chatbot types, this paper describes their applications and efficiency in enhancing customer engagement and optimizing marketing strategies. Chatbots offer numerous advantages, including 24/7 availability, cost reduction, personalized communication, and data collection, but also present challenges related to data security, understanding complex queries, and ensuring proper user experience. This paper discusses practical examples of chatbot implementation across industries, emphasizing their impact on customer satisfaction and business results.

Author: Mr. Vernes Vinčević, University “Vitez”, Faculty of Information Technologies

The paper analyzes key aspects of the role and importance of information systems in organizations and companies in Bosnia and Herzegovina. Information systems are viewed as fundamental resources for data and information management, business process automation, decision-making support, and improving internal and external communication. Based on an empirical study conducted across a sample of 81 companies in BiH, the paper examines the frequency of information system use, perceived benefits, impact on efficiency, productivity, and competitiveness, as well as obstacles to their full integration. The findings demonstrate that well-designed and implemented information systems contribute to service quality improvement, faster information exchange, greater transparency, and business flexibility. At the same time, challenges are identified related to insufficient investments, lack of skilled personnel, and the need to adapt organizational culture to digital transformation.

Author: Dr. Milica Vidović, Indirect Taxation Authority BiH, Tax Sector

The paper analyzes and examines important aspects of the use and significance of information systems in organizations and companies in Bosnia and Herzegovina. Information systems play a key role in all aspects of business, from data management to process automation, communication, and decision-making support. Information systems play a strategic role in business operations. Research on the use of information systems in BiH companies can be highly valuable for improving service quality, increasing efficiency, productivity, competitiveness, decision-making quality, and data analysis for business improvement, including the implementation of new information systems. The aim of this paper is to analyze, explore, and determine how often information systems are used in BiH companies and to present the level of their application, benefits, and more. For this purpose, a study was conducted on 81 companies (organizations) in Bosnia and Herzegovina.