Entrepreneurship in the Russian Business Environment

Abstract:

The article analyzes the impact of Russian business environment factors on entrepreneurship activity. The work is aiming at assessing the importance and order of agglomeration factors of Russian business environment. As a result of the cluster analysis of the statistical data of «The World Bank. TrendEconomy.ru» factors of the Russian business environment there have been revealed five key directions – the time of "entry" into the business and "exit" of it, solvency, market capacity, fiscal burden, registration costs, import related costs. The most called-for factors are time necessary to enforce a contract, the time for import (customs and documentary compliance) and information disclosure index. There have been discovered weighty combinations of time necessary to enforce a contract and the time to prepare and pay taxes, to disclose credit record, to get electricity, to register property, to obtain import license, as well as the time needed for a number of procedures to construct a warehouse and the number of newly registered businesses. The authors single out a problem of compliance of Russian business environment with the highest world standards ensuring the growth of entrepreneurship activity related to the high level of taxation that impedes launching innovation businesses and reducing time to enforce a contract, as well as to the low level of economy digitization that does nor enable businesses to decrease time for property registration and import (customs and documented compliance) and the number of procedures to register a business.