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Foreign Entrepreneurs in the Russian Federation: Barriers and Advantages

  • Victor Barhatov
  • Antonio CampaEmail author
  • Dmitri Pletnev
Conference paper
Part of the Eurasian Studies in Business and Economics book series (EBES, volume 10/1)

Abstract

Since 2000, the Russian Federation has started a gradual process of market opening that actually is not completed; anyway, this process has facilitated procedure of creation of a small and medium business made by foreigners in Russia. Main factors that influence positively volume of foreign investments in Russia are the taxation level that actually is 15% and the amount of time necessary to open a society (5 working days); furthermore, Russian market guarantees a highly skilled and educated workforce. Unfortunately, in the Russian Federation, there are no incentives or concessions for the opening of a new small-medium business, and it can represent a problem for a foreign investor who wants to open a new company. This study attempts to address main positive and negative factors of the Russian market that can influence a foreign investor who is interested to start a new activity in the Russian Federation. It examines law system that regulates economic sector in Russia, but it also uses direct experiences of foreigners who have already opened a small-medium business or an individual enterprise in Russia. Moreover, the article studies possible variants to make Russian market more open and favourable to foreign investors.

Keywords

Small-medium business Russia Foreign investments Regulation of market 

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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • Victor Barhatov
    • 1
  • Antonio Campa
    • 1
    Email author
  • Dmitri Pletnev
    • 1
  1. 1.Department of Economics of Industries and MarketsChelyabinsk State UniversityChelyabinskRussia

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