EXTERNAL BUSINESS ENVIRONEMENT PROBLEMS AND OPPORTUNITIES IN REZEKNE CITY

Lienīe Litavniece, Daina Znotiņa

Abstract


Entrepreneurship is an essential driving force for the social and economic development of any city. Well-arranged external environment is a fundamental prerequisite in order to motivate local entrepreneurs and to attract investors for establishing new businesses and development of the existing ones. An important role in the development of the external business environment is played by the political position of the local government and the process regulations at the city. The paper aims to carry out the assessment of the external business environment factors and their impact in Rezekne City. The external business environment analysis was performed using PESTEL analysis method; the document “Analysis of the Current Situation” elaborated for Rezekne City in 2014 was used as the base for the current research. The external business environment was evaluated based on six factors: political factors, economic conditions, sociocultural forces, technological factors, environmental factors, and legal/regulatory conditions. Results of the research indicate that the development priorities are defined in Rezekne; the appropriate measures are being performed to achieve the objectives. Overall, it enables entrepreneurs to plan their activities.

Keywords


Business environment; macro environment; entrepreneurship; Rezekne City

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References


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DOI: http://dx.doi.org/10.17770/lner2015vol1.7.1183

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