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Organizational life – cycle: The characteristics of developmental stages in Russian companies created from scratch

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  • Galina Shirokova

Abstract

Although plenty of organizational life-cycle research in developed countries may be found in the literature, there is a remarkable lack of such research for transition economies like Russia. This article presents the results of 593 Russian entrepreneurial firms surveyed with a focus on organizational life-cycle issues. A model of the life-cycle was developed including three stages: start-up, growth and formalization. It is found that the development of Russian newly established companies is characterized by an unusually slow change of centralization and formalization level as the firm moves from one stage to another and by preserving the owner's control over the firm even after the transition to professional management.

Suggested Citation

  • Galina Shirokova, 2009. "Organizational life – cycle: The characteristics of developmental stages in Russian companies created from scratch," Journal of East European Management Studies, Rainer Hampp Verlag, vol. 14(1), pages 65-85.
  • Handle: RePEc:rai:joeems:doi_10.1688/1862-0019_jeems_2009_01_shirokova
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    Keywords

    organisational life-cycle; entrepreneurship; developmental stages; Russia;

    JEL classification:

    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe
    • P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General
    • P31 - Economic Systems - - Socialist Institutions and Their Transitions - - - Socialist Enterprises and Their Transitions

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