Management Practices in Russian Manufacturing Subsidiaries of Foreign Multinational Corporations: Challenging Some Beliefs About Contemporary Russian Industrial Management

46 Pages Posted: 23 Oct 2013 Last revised: 6 Dec 2013

See all articles by Igor Gurkov

Igor Gurkov

National Research University Higher School of Economics

Date Written: October 21, 2013

Abstract

I report the results of observations of management practices in 20 Russian manufacturing subsidiaries of Western multinational corporations (MNCs). I argue that to counterbalance the higher country-specific risks associated with investing in Russia, MNCs impose on their Russian subsidiaries high demands for superior performance in terms of both technical and economic efficiency. My observations confirm that in most cases such demands are successfully met by the implementation of highly effective practices. Thus, I challenge several beliefs about industrial management in Russia, including the myths that Russian firms are hostile towards knowledge sharing and are wary of talent.

Keywords: management practices, subsidiaries, Russia, manufacturing, MNCs

JEL Classification: F23, L23, L60, L62, L66, M10, M11

Suggested Citation

Gurkov, Igor, Management Practices in Russian Manufacturing Subsidiaries of Foreign Multinational Corporations: Challenging Some Beliefs About Contemporary Russian Industrial Management (October 21, 2013). Post-Communist Economies, Vol. 26, No. 2, 2014. Available at SSRN: https://ssrn.com/abstract=2343260 or http://dx.doi.org/10.2139/ssrn.2343260

Igor Gurkov (Contact Author)

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 101000
Russia
+7-495-7729588 (Phone)

HOME PAGE: http://www.gurkov.ru

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