Key problems of russian business participation in the development of local communities

Dmitry Bychkov and A. Alexandrova

Public administration issues, 2007, issue 2-3, 177-184

Abstract: According to the research of social responsibility of Russian-style business, carried out in the 2000s, the main obstacles to the productive partnership of business and government authorities in social sphere are as follows: the lack of a systematic approach to business encouraging, use of private funds to plug up budget holes, local authorities concern with tackling current social problems instead of giving a spur to the strategic development of social business activities within a territory. Despite the experience of the following years shows a considerable improvement, systematic problems still exist. The article aims at focusing attention to the vulnerable aspects of government and business interaction at the local level in terms of business efficiency and defining economic goals, which may help to prevent some future mistakes. Nominally, the government and local administration are in charge of social policy implementation and should provide the population with public goods. Moreover, good intentions of private companies should not result in substitution of public authority. But often it happens quite the opposite: big businesses assume some governmental responsibilities. The early 1990ies witnessed the transition of so-called departmental social objects to municipalities, but still the maintenance of recreation camps for children, baths, dormitory accommodations, tourist recreation and health centers, clubs, nursery schools and hospitals represents not a historical evidence, but reality of corporate social infrastructure and facilities.

Keywords: social; policy (search for similar items in EconPapers)
Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:nos:vgmu00:2007:i:2-3:p:177-184

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