ABSTRACT
The role of foreign ownership must also be given due attention in examining the transformation of the Estonian organization sector. To summarize, the factor that looms in the background of the transformation of the Estonian organization sector is not so much the privatization of state organizations, but rather the establishment of new organizations. The Soviet Union, notorious for its history of failed economic reforms, ventured out in the mid-1980s on a new socio-economic reform known as perestroika: the aim was to avoid the impending economic collapse of the Soviet system. If Estonia is accepted as a full member of the European Union at the end of this decade, the country’s organization sector will be very much influenced by the development of the relationships between the European Union and Russia. In a regional analysis, very little has changed in the Estonian organization sector since the Soviet era: the organization sector remains heavily centralized around the capital city.
