The impact of business environment on the results of manufacturing of plastic products aimed for construction industry in BiH

Authors in this paper investigates the relationship between the business environment and the operating performance of the plastic products manufacturing sector intended for the construction industry in Bosnia and Herzegovina (BiH). The focus is placed on how regulatory and institutional conditions impact economic indicators such as sales revenue growth, profit, export earnings, total assets, and employment. Since empirical studies in this area are scarce, this research contributes to filling an important academic gap. The study relies on both secondary and primary data sources. First, the business environment of BiH is evaluated using reports. Second, financial and operational data were collected for the top 20 companies in the plastic products manufacturing sector for the construction industry in BiH. The analysis covers the period 2015–2024, using indicators of revenue, profit, exports, total assets, and number of employees. A trend analysis was conducted to identify growth patterns, while a qualitative assessment was applied to connect these trends with the conditions of the business environment. The analysis of company performance reveals a positive growth trend in all major economic categories. Sales revenue steadily increased between 2015 and 2024, reflecting growing demand in the markets. Profitability improved despite regulatory barriers, indicating a strong adaptive capacity of firms. Export earnings expanded, showing that plastic product manufacturers. Total assets of the companies grew significantly, suggesting reinvestment and capacity expansion. Employment levels also increased, underscoring the sector’s contribution to job creation. These results support the hypothesis of a significant impact of the plastic products manufacturing industry on economic performance indicators in BiH.