From Spyropedia
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Dragon Kingdom is the area consisting of all realms owned, ruled, and lived in by dragons. It consists of all the realms seen in Spyro the Dragon, Spyro: Enter the Dragonfly, Spyro: Attack of the Rhynocs, Spyro 2: Season of Flame, Crash: Purple, Spyro: A Hero's Tail, and Spyro: Shadow Legacy.
The Dragon Kingdom also consists of the land called the Forgotten Realms Before the Sorceress took over and after she was defeated by Spyro during Spyro: Year of the Dragon.
In Spyro: A Hero's Tail, the Dragon Kingdom consists of Dragon Village, Crocovile Swamp and Dragonfly Falls. This Kingdom was poisoned with darkness once Red had his minions plant Dark Gems all over the realm. This diminished and tainted the beauty of the realm and well as destroy some of the landscape.
The world was also under threat of Gnorcs ever since Gnasty Gnorc made of the caverns in Dragon Village his Lair. Fortunately, Spyro destroyed all the Dark Gems and defeated Gnasty Gnorcs and restored the realm back to its former glory.