The aim of the project is to strengthen the innovation-based international competitiveness of SMEs of the wood and furniture industry in the AT-HU border region by using the knowledge base of the Sopron University and the MOME. Common potential in the border region: the exploration of cross-border operational cooperation opportunities, the expansion of market knowledge, the transfer of knowledge, the development of innovative niche products and the development of a distribution system. The added value of cross-border cooperation is relevant in the activities carried out. The wood and furniture industry is one of the most important industries in Western Transdanubia, Southern Burgenland and Eastern Styria. The latter region is one of the European development and innovation centers. The development of the sector on both sides of the border is supported by cluster organizations, R & D capacities and opportunities in higher education are given. Since these organizations did not seek a solution to the cross-border problems, the existing expertise could not be exploited as far as possible across borders. SMEs operating in this sector are less open to using new technologies, innovation and willingness to collaborate with other companies and organizations is low. Lack of management approach, lack of market knowledge and difficulties of the generation change are the reasons for the low innovation readiness. At the same time, new customer needs and changes to the macro environment require new products in new international markets. The knowledge base on both sides of the border allows collaboration and shared access to new international markets.