The subject of this thesis is the assessment of the Dubrovnik-Neretva County local economy with special emphasis on the county specifics with regard to the national economy. Dubrovnik- Neretva County is the only administrative unit of Croatia that is not territorially complete and is divided into Neretva and Dubrovnik parts by the state border of Bosnia and Herzegovina. Consequently, there is potential for further infrastructural development of the county, such as the construction of the future Adriatic-Ionian route and the completion of the Peljesac Bridge. Furthermore, the Dubrovnik-Neretva County is recording enviable results in the tourism sector, but the question arises as to how much it really can rely on tourism as the main initiator of the local economy. Therefore, this thesis will try to identify the remaining sectors, such as agriculture, which can also serve as a driver of future local development. In addition, the county is in second place in terms of success in withdrawing funds from EU funds, right after the City of Zagreb, which certainly has a positive impact on its development. A structural analysis is going to be conducted in order demonstrate the current economic situation and to detect its greatest economic potential by analyzing the economic profile of the county. For that purpose, an analysis of the location coefficient, gravity area, marginal and average employment multiplier, specialization coefficient and as the most important, shift-share analysis, will be performed. Also, the county will be placed in a national context, a European Union context and a global context to further demonstrate its perspective and potential.