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Foreign direct investment as an agent of change in Russian agrifood business - consequences of the export of chain management concepts by foreign investors

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  • Vera Belaya
  • Jon Henrich Hanf

Abstract

The internationalisation of food retailing and manufacturing that has swept through the agrifood system in industrialised countries is now moving into Russia. When retailers as well as processors enter a new country they face the challenge to build up their procurement and distribution systems. In this way modern management concepts are exported. This article analyses the influence of FDI on Russian agrifood business. First, we outline the features of Russian agrifood business describing the current situation. Second, we discuss FDI in Russian agrifood business. Third, we elaborate on the influence of FDI on Russian agrifood business at different stages (agricultural producers, food processing, food retailing including the fast food sector). We further discuss the future prospects of the Russian food sector.

Suggested Citation

  • Vera Belaya & Jon Henrich Hanf, 2010. "Foreign direct investment as an agent of change in Russian agrifood business - consequences of the export of chain management concepts by foreign investors," Post-Communist Economies, Taylor & Francis Journals, vol. 22(1), pages 55-72.
  • Handle: RePEc:taf:pocoec:v:22:y:2010:i:1:p:55-72
    DOI: 10.1080/14631370903525595
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    References listed on IDEAS

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    1. Jozef Konings, 2000. "The Effects of Foreign Direct Investment on Domestic Firms: Evidence from Firm Level Panel Data in Emerging Economies," William Davidson Institute Working Papers Series 344, William Davidson Institute at the University of Michigan.
    2. Bergsman, Joel & Broadman, Harry G. & Drebentsov, Vladimir, 2000. "Improving Russia's policy on foreign direct investment," Policy Research Working Paper Series 2329, The World Bank.
    3. Jozef Konings, 1999. "The Effect of Direct Foreign Investment on Domestic Firms: Evidence from Firm Level Panel Data in Emerging Economies," LICOS Discussion Papers 8699, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
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    Cited by:

    1. Vera Belaya & Jon Henrich Hanf, 2016. "The dark and the bright side of power: implications for the management of business-to-business relationships," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 4(1), pages 1-17, December.
    2. Gagalyuk, Taras, 2012. "Goal achievement in supply chain networks: A study of the Ukrainian agri-food business," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 64, number 64.
    3. Jürgen Wandel, 2011. "Business groups and competition in post-Soviet transition economies: The case of Russian “agroholdings”," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 24(4), pages 403-450, December.

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