Duginets G. The environmental factors affecting the forming of international competitiveness of European countries.

Abstract

The study determined that the governments of developed countries put the environment problem among the main aspects of their policy, thus  making the environmental aspect an increasingly important factor of competitiveness and development strategy of international business. The key indicators of "Global Competitiveness Index, adjusted for consistency" were researched. It has been determined that, as a result of implementing the concept of sustainable development? profound changes undergo in the structure of national economy, advanced energy saving technologies are being implemented, and new industries are being formed in most developed countries. The United States, Japan and countries of Western Europe, especially Germany, are taking the lead in creating ecological industries and exporting ecological goods. The key opportunities, which present themselves due to taking into consideration the ecology factor in increasing international competitiveness, are identified on the basis of the study results. It is proved that the transition to a new model of development does not happen by itself, but with the help of a focused environmental policy that allows companies to reduce costs, creates new markets for the company's products, causes companies’ withdrawal, in case that they are unable to conform to the high environmental standards, and protects advanced environmentally oriented business from foreign competition. It is concluded that combining economic and environmental factors of international competitiveness forms a new model of economic development, which corresponds to the realities of globalization of the economy in the context of the new millennium.