National Interests: Priorities and Security

Business environment security: Institutional factors

Vol. 14, Iss. 4, APRIL 2018

Received: 9 January 2018

Received in revised form: 24 January 2018

Accepted: 16 February 2018

Available online: 14 April 2018


JEL Classification: E02, H32, M20

Pages: 698–708

Val'ko D.V. South Ural Institute of Management and Economics, Chelyabinsk, Russian Federation

ORCID id: not available

Importance The research delves into the business environment of Russia, i.e. background and space of relationships modified by the State, requiring the security for its further development.
Objectives The research analyzes business environment security factors, such as perception of overall economic instability, administrative burden, barriers and confidence crisis.
Methods I address the objectives through the meta-research based on a set of systems methods, such as structural-logic and factor analysis unraveling the inconsistency of the governmental policy for entrepreneurship and the existing business environment. The research relies upon data reported by World Bank, Federal Guard Service of the Russian Federation, Russian Public Opinion Research Center, NAFI Research Center, etc.
Results Consistently neglected issues of business confidence and corruption and economic instability undermine the value priorities in the public and impede the development of entrepreneurship. Assuming that there is a direct relationship between the effective interaction of political security components within the governmental system and the reasonable development of entrepreneurship, I prove the systemic disparity causing constraints on free entrepreneurship.
Conclusions and Relevance Under such circumstances, the business environment cannot be considered safe, without utterly progressive legislative initiatives being developed. Local entrepreneurs cannot use them effectively. This requires a set of measures for increasing the transparency of governmental regulation at all levels and effective public control.

Keywords: business security, business environment, corruption, administrative burden, administrative barriers


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