For successful economic transition to the new stage of development improvements in business environment, as also the entrepreneurswho are ready to start your own business and to set up new companies. One of the main challenges the EU Member States face isthe need to boost their level of entrepreneurship and to become more competitive in the global market. That was one of the mainobjectives set by the Lisbon European Council, in March 2000, with a view to improving the Union’s performance in terms of employment,economic reform and social cohesion. Entrepreneurship is not only a driving force in the creation of new jobs, but it alsoincreases and enhances competitiveness and growth, personal fulfilment and the achievement of social objectives. The authors payspecific attention to the need to examine factors that affect the business environment development and entrepreneurship in regions ofLatvia, which determinethe complexity of the existing conditions and factors in each region in Latvia.
Disintegration of the USSR and join of Baltic States to European Union made this one a border territory between Russia and EU. After the collapse of Former Soviet Union, the new boundary remained almost easy to cross. In the beginning of the 21th century, it became no more fuzzy but rather fixed. Since European enlargement that had taken place in 2004, the crossing has become more regulated. People need visas that meant administrative papers and cost. The evolution of cargo flows has been more contrasted. Economic policies, political stakes and traditional links, are elements to understand East Baltic area. Kaliningrad Oblast, the Russian exclave lying by the Baltic Sea, strengthens the interest of the purpose.
The role of cross-border cooperation of Kaliningrad region’s of Russian Federation border municipalities in its development strategies are observed. Significance of cross-border cooperation of small and semi-medium cities for its socio-economic development is analysed. The main spheres of cooperation between small and semi-medium border settlements of Kaliningrad region, Poland and Lithuania have been defined. The theoretical base on cross-border cooperation (Russian and foreign researchers) was analysed, and five geographical methods were used on preparation the article.