IMPACT OF REGIONAL DEVELOPMENT ON ENTERPRISE ENVIRONMENT

Abstract

Scholars from the USA, Western Europe, Russia and other countries (H.W. Richardson, Y. Butenko, Ph. Kotler, K. Asplund, I. Rain, I. Haider and others) have worked out theories of regional development that serve as grounds for planning, researching and forecasting changes in the country region.

Theories of regional development reflect methods of spatial economics. „Space as limited resource” should be planned since necessary for people space utilization in the particular way precludes another, alternative mode of space usage. The economical aspect of space utilization – development of the spatial segments, their interrelation and their impact on the development of the common space, for instance, the influence of Latvian county economics on the whole region or country.

While choosing the location enterprises have to take into account the optimal structure of space for all economic activities. Where is the best location for the stable development of enterprise? Where are the best conditions for the enterprise existence? The sequence of spatial location can begin from the particular region, from the specific place in this region. The result of the search for the spatial location is the result of the more or less successful decision of the single entrepreneur.

Purpose of the present research was to study the impact of regional development on the development of enterprise environment. In order to implement the aim the authors had to investigate theories of regional development and study the indicators of environment development in two cities of national level in Latvia – Valmiera and Jekabpils. The research was implemented with the following methods: analysis of theoretical literature, statistical data analysis, document analysis.

The primary conclusions were as following:

1. When researching territory, economical aspects of the space utilization shall be taken into consideration;
2. National orientation criteria should be considered when choosing the enterprise location.

DOI: http://dx.doi.org/10.5755/j01.eis.0.10.14614