Markku Lonkila

Networks in the Russian Market Economy

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If Russia has become a market economy, how does it function on a grassroots level? In addition to market mechanisms, what kinds of social and moral principles are at work in the new Russian economy? Is the 'Soviet legacy' still present in post-Soviet business practices? This book searches for answers to these questions, by investigating the networking practices of the Russian software industry. It examines what kinds of resources are transmitted through the personal networks of Russian IT directors and managers, and which mechanisms govern this transmission. The volume opens a rarely available grassroots-level view into the business practices of the new Russian knowledge-based economy. This book is essential reading for all interested in Russian society, culture and economy.

Print edition available from Palgrave.

Language

English

ISBN

Unknown

Cover

Contents

List of Figures and Tables

Note on Transliteration

Preface

1 Introduction

The software industry as an exemplary case of the functioning of the Russian market economy

The role of social networks in the Soviet and Russian economy and society

Incorporating cultural and moral aspects into studies of networks in the Russian economy

Structure of the book

2 Using Networks to Find Out about Networks

The significance of personal networks in studies of the Russian economy

The qualitative approach in social network analysis

Network data and how to get them

Limitations of the study

Problems of generalization

3 The Evolution of Russia's IT Sector

Arcadia: The birth of a St. Petersburg software company

Computing in the Soviet Union

Information technology and the collapse of the Soviet Union

The ICT sector in the Post-Soviet Russian economy

4 The Soviet Legacy and its Transformation in the Russian IT Field

Constraining and enabling aspects of the Soviet legacy

Soviet organizations as platforms for the emerging economy

Entrepreneurship and Soviet legacy

Blat: Transformation of the Soviet-era networking practice

Blat in post-Soviet Russia

Barter: A transitory phenomenon of exchange

Otkat: The role of 'kickbacks' in the Russian economy

Other informal practices in the post-Soviet Russian economy

Prevalence of criminal practices in the Russian economy

5 Social Milieus and Personal Network Growth in the St. Petersburg IT Industry

Schools and universities

Internet milieus

The Russian Software Developers Association (RUSSOFT)

Birthdays as foci of interaction

6 The Types of Economic Resources Transmitted through the Networks of St. Petersburg IT Professionals

Business ideas and partners

Clients

Starting capital

Office space

Jobs

Advice and information

Services

7 Social Mechanisms Governing the Informal Transactions between Russian IT Managers

Reciprocal expectations in Russian managers' transactions

Brokerage

The mixing of personal and professional spheres of life

8 The Spirit of Russian IT Capitalism

The connexionist spirit of Western capitalism

The domestic spirit of Russian IT capitalism

9 Conclusions

Appendix: List of Respondents

Notes

References

Index

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