Communist heritage and Russian firms’ location decisions

Hubert Jayet, Oleg Mariev, Andrey Pushkarev and Natalia Davidson

Post-Communist Economies, 2021, vol. 33, issue 8, 969-992

Abstract: This paper contributes to research on enterprise formation by studying location decisions of Russian enterprises in various industries, taking into consideration the role of historical heritage, comparing firms created during the communist period to younger ones. We apply a negative binomial model and use the Ruslana database provided by the Bureau van Dijk. Our results show that firms created during the communist period have a specific structure, and that, once this specificity is taken into account, they do not differ from other firms with respect to their sensitivity to the main location factors (market potential, business risk, local human capital, and knowledge base). There are some differences across industries, including that firms in the high-tech and integrators industries are particularly sensitive to the knowledge base.

Date: 2021
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DOI: 10.1080/14631377.2020.1867447

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