Analysis of the Marketing Activities of Banks in Credit of Agriculture in Kosovo

Agron Mustafa, Teodor Radev, Petar Borisov

Abstract: Modern banking faces new challenges in the banking services market due to the rapid penetration of innovation in the sector. The classic approach of banking has an ever less important role when it comes to achieving better market positions in a business environment characterized by an increasing presence of innovation and new market requirements. There is a need for a modern, market-based approach to lead to sustainable market positions. The survey identifies the main marketing activities that commercial banks perform while serving agribusiness credit services in Kosovo. The aim is to identify which marketing activities are most commonly used by commercial banks to offer credit services to farmers. The study identifies the profile of the banks surveyed as well as the internal factors they have in the supply of loans and leasing for agribusiness. The survey found that there were systemic gaps in the implementation and control of the marketing activities implemented to serve the market segment. The main reasons for this are: (1) misunderstanding of the seriousness of the problem by marketing managers (they consider that control at this stage is not an important function of them) and (2) the imperfection of the established control and monitoring systems for the implementation of marketing activities.

Keywords: agriculture; commercial banks; lending; marketing activities

Date published: 2019-01-16