Abstract
The paper will analyse the position of local self-government (i.e. municipalities and self-governing regions) in the framework of enforcement of internal market, its impact and effectiveness. The analysis of the legal framework of Slovakia has shown, that there are three ways in which the central government can compel local self-governmental authorities to follow rules of internal marker, including competition rules: (1) state aid rules, (2) public procurement rules and (3) “other” rules of competition. Legal analysis is complemented by the analysis of quantitative data regarding sanction policies in respective areas.