Publisher: Toplica Academy of Applied Studies, Department of Business Studies Blace, Blace, Serbia Co-publisher: University of Priština in Kosovska Mitrovica, Faculty of Technical Sciences in Kosovska Mitrovica, Serbia University of St. Kliment Ohridski, Bitola, Faculty of Tourism and Hospitality in Ohrid, North Macedonia The mission of the journal is to present the latest theoretical and practical knowledge in the fields of economics, management, tourism, computer science, and informatics. Starting publishing date: 2010 Frequency: three issues per year The journal uses a double-blind peer review.
Toplica Academy of Applied Studies, Department of Business Studies Blace
Copyright (c) 2026 BizInfo Blace https://creativecommons.org/licenses/by-nc/4.0/
Application of the balanced scorecard (BSC) model in performance management of nonprofit organizations: the case of UNICEF
Nonprofit organizations are increasingly striving to improve their performance measurement systems to ensure more efficient resource management and successful achievement of their social objectives. In this context, the Balanced Scorecard (BSC) represents a significant instrument that enables integrated monitoring of organizational performance through financial and non-financial indicators. The aim of this paper is to examine the application of the BSC concept in the performance management of nonprofit organizations, with particular reference to UNICEF. The research focuses on relationships between key dimensions of the performance measurement system, such as performance awareness, the use and relevance of indicators, understanding of the strategy, employee involvement, and monitoring mechanisms. The empirical study was conducted using the survey method, while data analysis included descriptive statistics, Pearson correlation analysis, and multiple regression analysis. The results indicate statistically significant relationships among most analyzed variables, with the use of performance indicators, the relevance of indicators, and understanding of the strategy showing a significant impact on the effectiveness of the monitoring system. The findings indicate the importance of implementing integrated performance measurement systems in the nonprofit sector and contribute to a better understanding of the application of the BSC concept in organizations operating in the field of social development.
Evaluating library service quality and its influence on user satisfaction: a LibQUAL study in Serbia
This study explores the relationship between the perceived quality of library services and user satisfaction in Serbian libraries, using the LibQUAL model. By analyzing adequacy and superiority gaps in three dimensions of service quality: Affect of Service, Information Control, and Library as Place, the study determines whether users' expectations are merely met or ideally fulfilled. A descriptive and regression analysis was applied to a sample of 281 users. The results indicate that all dimensions meet users’ minimum expectations, while ideal expectations remain unmet, especially regarding Information Control. The regression model confirms that Affect of Service and Library as Place significantly affect user satisfaction, while Information Control has no statistically significant effect. The findings support previous research and highlight specific areas for improving library services, with implications for librarians’ professional practice and future research.
Generation Z and digital marketing - the new rules of engagement
Generation Z is a remarkable and influential cohort of consumers who grew up immersed in digital technology, social media, and instant access to content. Their distinctive values, expectations, and media habits create both obstacles and opportunities for marketers seeking to connect adequately. This review paper examines the main characteristics of Gen Z in the digital world; explores how these characteristics shape their shopping habits, media interactions, and what they actually want from brands. Generation Z cherishes personalized experiences, but also truly values authenticity, transparency, and social and environmental responsibility. As digital natives, they move effortlessly between the physical and virtual worlds, and platforms like TikTok, Instagram, and YouTube are key to discovering products and services and making decisions. The study is based on a qualitative, narrative literature review that integrates relevant professional sources and theoretical approaches from the field of digital marketing and consumer behavior. The results show that successfully engaging Gen Z requires a combination of personalization, authenticity and social responsiveness, while the digital ecosystem shapes and constrains their behavior. Through relevant case studies and marketing examples, this paper highlights the importance of brands adopting innovative, inclusive, and value-driven strategies to create meaningful connections with Gen Z consumers.
Managing economic profitability and operational efficiency by applying blockchain technology
In the modern business environment, digital transformation is a key factor of sustainable competitiveness. The aim of this paper is to empirically examine how the level of blockchain technology adoption affects the management of operational efficiency and company profitability. The research was conducted on a sample of 100 companies from the EU, the United Kingdom, and the Western Balkans, with the final analytical sample including 76 companies that implemented blockchain technology and 24 companies that didn’t install these technologies. Using descriptive statistics, correlative analysis, multiple linear regression, and mediation analysis, the results showed that blockchain technology doesn’t have a statistically significant direct impact on the management of operational efficiency and profitability. However, in the sample, a positive pattern was observed, suggesting potential long-term effects. Operational efficiency was confirmed as a strong predictor of profitability (r = 0.991), but its mediation effect was not statistically confirmed. This research provides a realistic insight into the effects of digital technologies and emphasizes the importance of organizational maturity.
Multidimensional assessment of banking sector competitiveness: Republic of Serbia (2015-2024)
This research evaluates the competitiveness of the Republic of Serbia banking sector in the period 2015-2024 and uses a composite competitiveness index (CCI) constructed from key performance indicators. The methodological approach of this paper includes descriptive statistics, comparative analysis with selected countries in the region and the European Union, and correlation and regression analyses. The research results show that the banking sector of the Republic of Serbia has made significant progress in the observed period. Despite positive trends, challenges related to market concentration and long-term efficiency remain. The research contributes to the contemporary literature through a comprehensive index-based assessment of the banking sector's competitiveness in the Republic of Serbia. The research also provides guidelines for economic policymakers to encourage sustainable and balanced development of the banking sector in the future.
Financial analysis: a tool for detecting manipulations in business operations of a company
Financial statements represent a key source of information for investors, creditors and other interested parties when making relevant business decisions. However, the financial reporting process can be subject to various forms of manipulation. In this context, financial analysis, that is, analysis of financial reports and the application of analytical procedures based on information from those reports, becomes one of the basic tools of modern business decision-making, with a significant role in the identification and prevention of manipulations in the financial reporting of companies. Its relevance is reflected in its ability to recognize unusual relationships among financial data that do not have an economically based explanation. The paper explores the methods and techniques of financial analysis, with a special focus on identifying indicators of irregularities and potential manipulations using the Beneish M-Score model as a specific instrument of financial analysis. The aim of the paper is to point out the importance of financial analysis as a means of detecting and preventing manipulative activities in the business of a company.
Tourism performance of the Military Institution "Tara": trends and development challenges
The paper analyzes the development trends and key business challenges of the Military Institution "Tara", with special reference to its tourist capacities on Tara and in Vrnjačka Banja in the context of the development of tourism in Serbia. The aim of the research is to identify key trends in the movement of arrivals, overnight stays and the structure of tourists in the period from 2016 to 2024, while considering the degree of capacity utilization. The results indicate the growth of tourism in Serbia, but also the decline of key indicators in the "Tara" Military Institution, including a decrease in the number of users, overnight stays and length of stay. Underutilization of capacity and uneven development of the hotel, with the dominance of domestic tourists and a modest growth of foreign guests, was determined. Key challenges relate to insufficient promotion, weak innovation and competition from the private sector. It is concluded that in order to improve competitiveness, it is necessary to modernize the offer, strengthen marketing and develop sustainable tourist products.
Modeling the impact of knowledge storage to the achievement of project benefits
Knowledge management, particularly the systematic storage of knowledge, plays an important role in achieving project benefits in project-oriented organizations. This paper examines the impact of knowledge storage on project success, together with the role of knowledge management tools and knowledge sharing practices. A quantitative research approach was applied, and the empirical analysis was conducted using Structural Equation Modeling. The study was carried out in fourteen organizations in Southern Serbia and was based on two hundred and forty-four valid questionnaires. The results indicate that knowledge storage has a statistically significant positive effect on perceived project benefits, with a standardized coefficient of β = 0.23. This finding confirms that knowledge storage represents the most important determinant of project success within the proposed model. In contrast, knowledge sharing practices and the use of knowledge management tools did not show a statistically significant direct impact on project benefits. Although barriers to knowledge sharing were identified, such as lack of time, fear of losing professional advantage and low motivation, these factors did not directly influence project outcomes. The findings highlight the strategic importance of systematic knowledge storage as the foundation of organizational learning and project performance.
The concept of circular economy and the sustainability paradigm
The circular economy (CE) represents a regenerative production model aimed at reducing resource consumption, waste generation, emissions, and energy losses through the closing of material and energy loops. Although the concepts of sustainability and CE have gained increasing attention in academia, industry, and policymaking, their interrelationship is often insufficiently clarified. The aim of this paper is to contribute to a clearer conceptual understanding of the relationship between sustainability and the circular economy, while highlighting the role of innovative business models in supporting its implementation. The paper analyzes the environmental, economic, and social impacts of six representative circular business models. The findings indicate that CE integrates sustainability principles with technological innovation and novel business approaches, contributing to more efficient natural capital management and the achievement of sustainable development goals.
Examining the correlation between cloud technology, the improvement of IFRS development, and the efficiency of accounting functions
Cloud technology has a significant impact on the accounting function, financial reporting, and the application of International Financial Reporting Standards (IFRS). This research aims to examine the correlation between the implementation of cloud technology, enhanced IFRS adoption, and the efficiency of the accounting function. Using a descriptive method and correlation coefficient, the study analyzes the relationships and degree of connection between these phenomena. The research involved 32 employees from financial operations in companies and accounting agencies in southeastern Serbia, primarily in the regions of Leskovac and Niš. The paper defines two hypotheses, presents the research findings, and draws conclusions based on them. The results indicate a modest relationship between the implementation of cloud technology and the increased efficiency of the accounting function, as evidenced by faster execution of accounting tasks, reduced overall costs, and the easier adoption of new systems. Additionally, the implementation of cloud technology has a slight positive impact on the improvement of IFRS application, through the use of specialized knowledge, the provision of reliable information, and the reduction of inconsistencies in IFRS application.
Copyright (c) 2025 BizInfo Blace https://creativecommons.org/licenses/by-nc/4.0/
The impact of robotic process automation in financial institutions
A digital transformation of business affects all companies, regardless of their plans, and encourages a constant search for new methods of performing tasks. The implementation and use of new technology is often necessary when introducing changes to current ways of working. Financial technologies - FinTech and robotic process automation (RPA) as one of its phenomena, emerged as a result of this category of changes in finance. The purpose of this paper is to familiarize readers with the advantages and disadvantages, as well as the impact of robotic process automation in financial institutions. By searching Web of Science and SCOPUS, an analysis of the existing literature was carried out to achieve the goal of the study. According to the systematic literature review, robotic process automation technology has numerous advantages over its disadvantages. Moreover, its implementation doesn’t necessarily require other major organizational changes such as process redesigning or modifying the existing information systems.
Application of holistic management in the exhibition industry of the European Union and Serbia: trade fairs as learning organizations
This paper analyzes the application of holistic management and contemporary business models in the exhibition industry of the European Union and Serbia, with particular attention to trade fairs as platforms for knowledge exchange and organizational learning. Holistic management is understood as an integrated approach that connects professional management, digital transformation, sustainability, innovation, knowledge exchange, and continuous learning. The aim of the study is to examine how these elements shape the development and competitive positioning of trade fair events. The study applies a descriptive and comparative approach based on secondary data, including benchmarking of leading European trade fairs such as Hannover Messe and Bauma and comparison with the Belgrade Fair and the Novi Sad Fair. The comparative analysis indicates a transition from traditional toward hybrid and digital models, as well as the growing importance of data management, innovation, and professional management. The findings suggest that Serbian trade fairs could benefit from adapting selected good practices from European Union countries.
Analysis of existing accredited study programs with a dual model in relation to labor market requirements in Serbia
The paper presents the results of a study conducted by the Academy of Applied Studies Politehnika within the project “Support to the Reform of the Dual System of Secondary Vocational Education and the National Qualifications Framework in the Context of Lifelong Learning in Serbia.” The subject of the research is the analysis of the alignment between accredited dual study programs in higher education and the requirements of the labor market in the Republic of Serbia. The research is based on a qualitative–quantitative approach and includes an analysis of curricula, defined learning outcomes, and the results of a survey conducted among employers. The findings indicate a partial alignment between the competencies acquired by students and the needs of the economy, along with insufficiently developed mechanisms for the systematic involvement of employers in the evaluation and development of study programs. Based on the findings, guidelines are proposed for improving the dual higher education system and increasing the employability of graduates.
Application of artificial intelligence in education: managerial aspects and analysis of user attitudes
This paper analyzes the importance and role of artificial intelligence (AI) in education, with a particular focus on the managerial aspects of its application. The research is aimed at examining the level of AI tool usage among respondents, as well as their attitudes toward dimensions of artificial intelligence use in the educational process. In addition to students, parents were included in the study in order to identify differences in perception, awareness, and attitudes toward the use of AI in education. The research results indicate statistically significant differences among respondents, particularly with regard to age and status, while gender differences were considered only descriptively. It was found that respondents are familiar with the concept of artificial intelligence and have a positive attitude toward its application in education. However, the use of AI tools is mostly limited to basic functions such as information search, translation, and foreign language learning. Most respondents do not perceive AI as a replacement for teachers, although concerns regarding its misuse were identified. The results suggest that artificial intelligence already represents a significant factor in the transformation of the educational system and that its role in the development of competencies and the improvement of the educational process will continue to grow. The findings have important implications for the management of educational institutions, particularly in planning, implementing, and controlling the use of AI technologies. Furthermore, the results can serve as a basis for managerial and strategic decisions in education.
Digital marketing and the transformation of exclusivity in luxury branding
This paper analyzes the evolving concept of exclusivity in luxury branding, with a particular emphasis on digital marketing. Luxury brands, traditionally defined by limited access, superior craftsmanship, and an affluent clientele, are increasingly challenged by digital democratization while seeking to preserve their exclusive status. The study explores how luxury companies adapt to the digital environment through the use of immersive technologies, personalized artificial intelligence experiences, and targeted social media strategies, while maintaining brand prestige. Drawing on theoretical perspectives and practical examples from established brands such as Chanel, Dior, and Louis Vuitton, the paper addresses the concept of the exclusivity paradox, understood as the need to balance accessibility and desirability. It further argues that digital transformation is reshaping consumer behavior, brand positioning, and the future trajectory of luxury branding.
Trend of entrepreneurship development indicators in the accommodation and food service sector in Serbia
Considering the development potential and labor-intensive nature of the accommodation and food service sector (Sector I), the paper aims to determine the trend of indicators of entrepreneurship development in Sector I and identify entrepreneurs' participation in overall entrepreneurial activities from 2013 to 2023. Entrepreneurship development indicators in Sector I that are monitored in the paper are the number of entrepreneurs, the number of employees, the value of turnover, and gross added value. The research follows two segments: the trend of entrepreneurship development indicators in Sector I and the participation of entrepreneurs in Sector I in overall entrepreneurial activities. The results show that the number of entrepreneurs and the number of employees increase in the observed period, while the trend of turnover and gross added value recorded oscillations. Entrepreneurs of Sector I have the largest participation in total entrepreneurial activities according to the indicator - the number of employees.
Triple materiality: concept, structure and perspective
Materiality is a way of expressing the importance of a certain financial or non-financial category, that is, to measure, manage and reveal issues that are important for a company. It is significantly used in the process of financial reporting, both in accounting and auditing. This raises the question of determining materiality, which is really very important. In this context, one-level, i.e. financial materiality, considers whether an issue can affect the company's operations in a financial sense. Two-level materiality involves additional consideration of how a company impacts people and the planet, i.e. environmental sustainability. Triple materiality introduces an additional angle of observation that places previous concepts of materiality in a significantly broader context, which includes all interested parties. The subject of the paper is the consideration of the concept, structure and perspective of three-level materiality. The main conclusion is that three-level materiality suggests that one cannot decide whether a certain issue or a certain business transaction is materially significant to the company unless the assessment of its impact and implied dependence is viewed in the context of all stakeholders.
Sociodemographic determinants of local food consumption: A case study of Serbia
Local food occupies an important place in the framework of sustainable development and preservation of the cultural identity of communities. It includes food products that originate from the immediate environment and reflect the special agroecological, social, and cultural characteristics of the region. Encouraging the consumption of local food contributes to reducing the ecological footprint through shorter supply chains and reduced emissions of harmful gases. At the same time, local food production and consumption strengthen the local economy, encourage social cohesion, and improve the quality of life among the population. In this way, local food becomes a key element in the development of sustainable food systems and the creation of modern public nutrition policies. The primary objective of the research presented in this paper is to explore the extent to which sociodemographic characteristics of respondents influence their preferences for purchasing local food, as well as their general eco-behaviors and attitudes. The study was conducted on a sample of 128 respondents, with data collected through an online survey administered between June and August 2025. The results showed differences in green attitudes among different age groups as well as differences in the level of environmental concern among respondents of different education levels. Significant effects of gender, place of residence, and income were not confirmed. The research provides a more profound understanding of the factors that shape environmentally responsible consumption when it comes to sociodemographic factors.
Fiscal policy and short-term rental in the function of tourism development: case of Split – Dalmatia County
Tourism and fiscal policy are important determinants of the economy and tourism development in every country. Tourism has become not only a key source of income for many countries, but also a significant driver of economic growth, infrastructure development, and job creation. Increased activity in the tourism sector leads to higher consumption and tax revenues. Taxes are compulsory payments to the state by individuals and business entities. Therefore, local and regional taxes are the main sources of revenue. The aim of this paper is to examine the link between fiscal policy and short-term rentals in the context of tourism development, using the case of Split-Dalmatia County for the period 2016–2024. To provide empirical results, the Ordinary Least Squares (OLS) estimation method within the framework of multiple linear regression has been applied. The results show a positive relationship between tourism intensity and tax revenues in the case of Split-Dalmatia County.
Artificial intelligence in hospitality: a review of contemporary research and development perspectives
Artificial intelligence (AI) is transforming the hospitality industry by reshaping traditional service practices and managerial approaches. This literature review provides an overview of recent academic research on the application of AI in hospitality. Relevant studies were collected from major academic databases, including Scopus, Web of Science, and ScienceDirect, covering the period from 2019 to 2025. The review focuses on key areas of AI implementation, including automation, personalized services, and data-driven management. The findings indicate that AI enhances operational efficiency, supports environmentally responsible business practices, and improves guest satisfaction through personalized service delivery. In addition, AI facilitates predictive analytics, dynamic pricing, and decision-making processes, contributing to cost reduction and increased productivity. The review also highlights the importance of guest perceptions of AI and trust in intelligent systems as critical factors influencing technology adoption. The successful integration of AI in hospitality requires balancing technological innovation with human values and ethical considerations to ensure long-term sustainability and competitive advantage.
Green human resources management in the environmental protection institutions: qualitative study in the Republic of Serbia
This study examines the practice and application of Green Human Resource Management (GHRM) in environmental protection institutions in the Republic of Serbia. The research was conducted using a qualitative approach based on semi-structured interviews. Ten respondents from the Ministry of Environmental Protection, as well as environmental protection institutions and organizations, participated in the study. The collected data were analyzed using thematic analysis in NVivo, through which five main themes were identified: (1) green recruitment and selection, (2) environmental training and employee development, (3) motivation and reward systems, (4) organizational culture and leadership, and (5) institutional barriers. The results indicate that management staff generally support the integration of sustainable practices into human resource management, particularly within environmental institutions. However, several barriers remain, including limited funding and the lack of environmentally focused training programs. The findings contribute to a better understanding of the importance of GHRM as a strategic tool for strengthening environmental responsibility within institutions and organizations.
Innovative entrepreneurship and regional economic development – theoretical and empirical aspects
The goal of this paper is to estimate the impact of innovative entrepreneurship on regional economic development by applying the methodology of quantile regression analysis over the period from 2011 to 2022. The Pesaran–CIPS test is used to analyze the stationarity of the time series. The results of the quantile regression analysis show a statistically significant and positive impact of business-sector research and development expenditures, as well as the share of small and medium-sized enterprises that have introduced at least one innovation in their operations, on regional economic development. The obtained results can be used for analytical and predictive research related to the analysis of the impact of innovative entrepreneurship on the regional economy. In addition, they may be useful for representatives of regional government bodies in designing regional strategies for innovation and scientific and technological development, thereby improving the quality of regional innovation policy.
Preserving culinary heritage through sustainable tourism: Voices of local communities
This study explores how rural communities in Serbia preserve culinary heritage through sustainable tourism, focusing on the lived experiences of residents in Erdevik, Belo Blato, and Turija. Drawing on semi-structured interviews with local cooks, farmers, cultural organizers, and hospitality providers, the research examines the intergenerational transmission of food knowledge, community involvement in tourism, and the perceived impacts of tourism on cultural identity. Findings reveal that traditional food practices serve as a vital form of intangible heritage, sustained through embodied learning and storytelling. While tourism offers opportunities for cultural revival and economic development, participants also express concerns about authenticity and commodification. The study highlights the importance of community-led, culturally grounded approaches to heritage preservation, particularly in multiethnic rural settings. It contributes to broader debates on intangible heritage, authenticity, and sustainable development, offering practical insights for inclusive and resilient tourism planning.
(In)efficiency of Beneish M Score model in detecting fraud in financial statements
The creation and application of accounting standards (International Accounting Standards (IAS), International Financial Reporting Standards (IFRS), American Generally Accepted Accounting Principles (GAAP)) that would have universal acceptability was the guiding idea of the most important accounting authorities when they started the process of defining and adopting accounting rules and procedures (standards), which we could call international professional accounting regulation. However, a certain "rigidity" that became immanent in the aforementioned standards was somewhat "depreciated" by prescribing at least two, and often more, permitted procedures, which put accountants in a position where their subjective preference for a certain procedure can, to a greater or lesser extent, influence the height of the periodic result. In this way, the so-called creative accounting, which with its techniques or methods helps managers, (co)owners, and/or accountants in compiling financial reports that are usually prepared in accordance with legal and professional regulations, but contrary to its spirit, results in an asset-financial and profitable position of a business (accounting entity) that deviates to a greater or lesser extent from what could be characterized as true and fair. Checking the "freedom" in the choice of adequate accounting rules and procedures, i.e., checking the correctness and objectivity of the compiled set of financial reports can be done by applying several methods and techniques developed by forensic accountants, as well as experts from other fields. In the continuation of this article, we will try to explain in more detail the essence of Beneish's M-score model for detecting possible inconsistencies in the asset-financial and yield position of the observed accounting entity, the results that confirm its (in)efficiency, as well as the doubts that still exist and that can raise doubts about the (all) possibility of this model in detecting fraud in financial statements.
The interaction between financial, market and environmental components in the banking sector of the Serbia
Banks are one of the essential institutions in the financial systems worldwide, whereby profitability is the ultimate goal for banks’ business. To provide success, bank management should create an attractive market portfolio that will continuosly generate profit. However, banks have to support eco-friendly initiatives and projects and try to implement corporate social responsibility in their business. The goal of the research is to investigate the connection between financial, environmental and market components in the banking sector of the Serbia from 2014 to 2021. The empirical findings of T-test indicate that banks with green loans in portfolio registered higher profitability compared to banks that do not offer this loan type. The obtained results of correlation show that green loans and market share are positively correlated to bank profitability indicators. This does not mean that green loans are a factor that shapes banks' profitability, but that their presence in the portfolio does not negatively affect the level of the bank's realized profit.
Assessing banks efficiency: DEA implementation
By examining intermediate, operating, and profitability aspects, this paper aims to construct a performance model for evaluating the relative efficiency and potential for improvement of 20 banks operating in Serbia for the 2022-2023 period. Data Envelopment Analysis (DEA), which belongs to relatively new data-oriented techniques, was used in the research to measure efficiency. To achieve its goals, the paper makes use of the CCR and BCC, two fundamental DEA models, and three approaches: intermediary, operating and profitability. The results of the analysis showed that the highest efficiency can be attributed o the use of the intermediate approach, while the lowest efficiency of banks can be attributed to the profitability approach. Additionally, the BCC model has higher efficiency compared to the CCR model. According to the analysis results, efficiency has generally grown and is comparatively stable.
Financial performance evaluation based on integrated MCDM MEREC–ARAS framework
Decision-making based on financial analysis in the modern business environment is a very complex process due to the need to consider often conflicting criteria. By applying multi-criteria decision-making methods to optimize the financial analysis process, a more comprehensive and objective insight into the financial condition and performance of business entities is obtained. By combining traditional financial indicators with modern multi-criteria techniques, such as MEREC and ARAS, we can rank companies based on selected financial criteria, with optimal determination of the weights of the criteria. Empirical analysis confirms that the proposed approach contributes to better and more reliable selection of entities, improves the decision-making process and reduces the subjectivity of analysts. The research results can be of great importance for financial managers, investors and other stakeholders who strive for more efficient and transparent financial decision-making.
The role of digital citizen participation in the development of smart cities in Serbia
This paper investigates the relationship between digital citizen participation and the development of smart cities in Serbia’s major urban centers. The study aims to determine how core forms of digital engagement - such as social network activity, participation in online forums, and the use of mobile applications - affect key dimensions of smart city advancement, including digital infrastructure, smart governance, and service innovation. Quantitative data were collected from 332 respondents in five cities using a structured online questionnaire. Statistical analysis incorporated descriptive methods, cluster analysis, ANOVA, and multiple regression. Results indicate strong, statistically significant associations between digital engagement and all major smart city dimensions, especially among respondents from Belgrade and Novi Sad. The identification of three distinct clusters also reveals considerable regional disparities in digital maturity and smart city adoption. These findings highlight the urgent need for targeted policies and ongoing educational programs to foster inclusive and sustainable smart urban transformation across Serbia.