The role of sectoral structure in the regional performance

The socio-economic development of the regions is not homogeneous. Disparities between regions are due to the sectoral orientation and economical possibilities of regions. The economic performance of the regions is significantly affected by the sectoral structure of the region. The reaction of individual regions to economic changes is different. The aim of this paper is to assess how the changes in the structure of the sectors affect the economic performance of regions. The analysis identifies the sources of economic growth of regions and their changes. This paper also provides insights concerning the convergence in performance across regions. The paper is focused on the regions of the Czech Republic (NUTS 3). The analysis found no convergence of sectoral structures in Czech regions. The regions use internal potential and does not significantly change the sectoral structure of the Czech regions.