Determinants of development of business activity zones

Abstract

The region with resources located in it and production factors may stimulate innovativeness and competitiveness in companies and at the same time may enhance competitiveness of local economy by creating surroundings which is more attractive for investors. Each region features different material and financial resources, labour resources, etc., which create conditions that affect development processes in companies. Therefore, taking into consideration regional and local factors that affect creation and development of entrepreneurship seems to be justified. This situation may be called increasing competitiveness between regions about Union funds, investors, etc. Establishing business activity zones (PL abbr. SAG) is one of the examples of such activities. The objective of this paper is presentation of business activity zones as factors of regional economic development, deciding to a high degree about increasing competitiveness of the region and creating new work places. It also indicates benefits related to functioning of the zones, both for the region and for the companies operating in them. The thesis of the paper has been formulated as: expansion of a business activity zone contributes to increasing region competitiveness and increasing the number of companies located in the zone, which ultimately means creating new work places. More on general nature, special attention has been paid to the business activity zone in Tarnów.