Abstract:

The article explores the potential, resources and strategies of transnational private sector in the modernization of the economy on the example of the Rostov region economy, which is considered to be one of the most developed regions of southern Russia. The study substantiates the importance of the private entrepreneurial potential of the global companies for the intersectoral integration, the formation of innovative potential and the global competitiveness in economy. The modernization models in Russia experienced evolution in the post-Soviet period, that is the reason why we can speak of a combination of such development trends as reliance on natural rents, catch-up development, and technological modernization today. While the Russian companies remain the most successful companies on the global level in the raw materials and banking sectors, the development of the big companies with a global component, at the regional level, compensates for the lack of effective institutional mechanisms for transforming the economy towards the use of complex knowledge, innovation, cluster interaction, strategic management of spatial development. Rostov Region is one of the leading regions of the Russian economy with a population of 4.3 million people. The region produces 5% of the total Russian agricultural output, specializing in energy, engineering and instrument-making, where the specialized technology companies operate. The manifestation of such modernization functions of large business as the introduction of innovations, ensuring institutional improvement of the economy, improvement of the social environment (participation in education and science, business and government dialogue), the formation of tax potential and interregional integration are investigated on the region’s example. The formation of a balanced modernization strategy in the region is considered on the example of MNC «Industrial Union «Novoe Sodruzhestvo», which includes assets in Russia, Ukraine, the United States and Canada (the key division is the Rostselmash combine plant in Rostov-on-Don, Russia and supplies products to 11 countries of the world). The company's strategy includes integration with scientific and educational departments in the regions of Russia, the technology import, the introduction of innovations to compete with foreign manufacturers in the open market. A promising area of ​​analysis and practical improvement of modernization strategies can be called the use of corporate sector competencies in the formation of economic and spatial strategies at the regional level.