Transition is the process of change in economic system. It is a shift form a centrally planned economy to a market economy. It has started in 1989. and some economies finished this process while the other have not. Croatian target was transition from the workers managed social economy system to a market economy system. Slovakia had to change from a socialist economy to a market one. Preconditions for transition in Croatia were better than in Slovakia because of higher level of market economy and democracy. Privatization is sub-process of transition and its performance in Croatia was worse than in Slovakia. Success of privatization has a huge influence on the performances of economies. It determined foreign direct investments as well as opening of economies by the end of last century when integration to European Union has begun. The highest share of FDI in Croatia was in bank and telecommunication markets, but Slovakia attracted foreign direct investments to production, especially car industry. Legislative and law enforcement have been harmonized according to European Union laws because of Euro-Atlantic integration. Slovakian assessment by EU was nine years earlier then Croatian, who joined to EU in 2013. Slovakia achieved better economy performances then Croatia in 25 years of transition what indicate successes of the process. Croatia is at the end of transition process and its economic system does not perform well. Economic system in Croatia is defined as state-influenced market economy characterized by a mix of influencing state actions and neo-liberal laissez faire. Transition process in Slovakian economy ended and Slovakia has state-enabled market economies characterized by a mix of market-enabling state interventions and policy-making. Slovakia has leaned towards a laissez-faire approach to economic growth combined with policies to promote social cohesion. It can be concluded that efficient privatization process has high impact on market development and exclusion of government impacts on market what influences on transition of economy.