Analysis of Trade Margins in Serbia

Research into the size and structure of the margin in trade is a continuous, relevant, and complex issue. Margin is one of the significant performance indicators of trade. In this study, starting from that, the size and structure of the trade margin of the European Union are analyzed, with special reference to Serbia. The research results show the following: In the trade of the European Union, the margin rate ranges from 7.02% ( Luxembourg) to 22.05% (Ireland). In the leading countries of the European Union, the trade margin rate is Germany at 15.15%, France at 16.48%, and Italy at 13.48%. In the countries in the region of Serbia, the trade margin rate is Croatia 13.22% and Slovenia 13.15%. The trade margin rate in Bosnia and Herzegovina is 11.35%. In Albania, the trade margin rate is 11.66%. In Serbia, the trade margin rate is 15.79. The trade margin rate in Serbia is higher than in Croatia and Slovenia. In the trade of Serbia, the sales margin rate in the period 2013-2022. ranged from 13.51% (2014) to 20.45% (2013). The average sales margin rate in Serbian trade is 14.82%. It is lower in 2022 compared to 2021. The rate of margin from stocks in Serbian trade ranges from 69.52% (2015) to 122.74% (2013). In 2022, compared to 2021, the margin rate from inventory is lower. The average rate of margin from stocks in Serbian trade is 79.97%. In Serbian trade, there is a strong correlation between margin and sales, the purchase value of realized goods, operating expenses, salary of employees, net profit and inventory, and that at the level of statistical knowledge. There is a strong correlation between the rate of margin on sales the rate of margin on inventory and the rate of operating costs of trade in Serbia. The target margin of trade in Serbia can be achieved by effective control of sales, purchase value of realized goods, operating costs, employee wages, net profit, and inventory. The purpose of this is to improve the competitive position and digitize the entire business.