Political Survival or Entrepreneurial Development? Observations on Russian Business Networks
AbstractNetworks are hybrid forms between hierarchies and markets. The present article focuses on the structure of Russian business networks and their potential for integration into European business networks. In Russia, two competing types of networks can currently be identified: survival networks and entrepreneurial networks. In the latter, the main interests of the enterprise managers are to improve market performance and profits. But in the former, enterprise managers are involved in a large “rent-seeking” game, in which political and market power are the major means by which rents are extracted. Managers within survival networks evaluate both internal and external business relationships with reference to their effects on rent-extraction capacities. In Russia today, survival networks predominate and entrepreneurial networks are relatively few in number.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 20412.
Date of creation: 01 Jan 1998
Date of revision:
Publication status: Published in Post-Soviet Affairs January-March 1998, Number 1,.Vol. 1(1998): pp. 81-91
business networks; survival; entrepreneurial networks; rent-seeking; Russia;
Find related papers by JEL classification:
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
- D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
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