Russian Management: Value Systems and Inner Logic

Contrary to predominant Western predictions, the 'invisible hand' of the market has not yet been able to perform its miracle in the Russian economy. It is the central thesis of this paper that one of the main reasons for this failure is the stubborn obstruction of transition be the 'invisible fist' of the Russian communitarian value system (rsvs).
Most Western economic experts and investors by ignoring its existence fail to acknowledge its code and to untangle the complexities of its inner logic. Therefore, by misunderstanding Russian managerial practices and decision-making methods, they face serious difficulties in interacting with their Russian counterparts effectively.
For a successful transition, the legacy of the past must be given a fitting function in the process of change. It is therefore essential that market-economy values and management practices are reconciled with the different values and methods of rcvs. This paper aims to eludicate some focal aspects of the rcvs and of the gordian knot of its inner logic.