Russian Management: Value Systems and Inner Logic

Charalambos Vlachoutsicos

Research output: Working paperResearch


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.
Original languageEnglish
Place of PublicationFrederiksberg
PublisherCEES, Copenhagen Business School
Number of pages23
Publication statusPublished - Aug 1998
SeriesWorking Paper / Center for East European Studies. Copenhagen Business School

Bibliographical note

This paper was presented by the author at the Center for East European Studies in June 1998. It is based on his research on management in Russia that, with further details, has been reported in "Russian Communitarianism: An Invisible Fist in the Transformation Process of Russia" (1997).

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