The Law Of The Jungle Essay

1460 words - 6 pages

1.According to the article, what are the reasons behind such a low level of ethical consciousness in the Russian Business environment, especially when compared to Europe and other developed economies?Such a low level of ethical consciousness in Russian business comes from the Russian history and especially years during the socialism and right after it in 90´s. So it’s not so simple to compare the situation in Russia to developed western countries because they had totally different historical and political development. For example there is also big difference on this field between Western European countries and European countries which were part of communist block. There we can also see some inclination to non transparent business behavior.Very important point is that Russia was under communism regime which didn’t accept private ownership. Many substances were taken from entrepreneurs at the beginning of socialistic age. Ideology was based on ideas which change all the structure of economy from capitalistic to directly driven. Assets of different sort of people were confiscated and turned over to state ownership. Collectivisation expected that all the people will be equal, but actually it made more harm to competitiveness in whole society. This constitution started to be not about competitiveness but about politic agitation, fear, corruption and creating of new “more equal” sort of people than the others. These facts created the system where direct contacts to some of this powerful people were more important than to be hard worker but just a “sheep”. That was very radical change in Russian society which affected the behavior of Russian people a lot and right after the end of Soviet Union era when started another change of society it was even worse.Question here is which transformation is more painful for economy? From capitalistic system to socialism or form socialism system back to capitalistic? In case of Russia and Russian history it seems that the move back from socialism to capitalism was much more painful and destructive for level of ethical consciousness and in these times there became the era of the rules of jungle. Also the fact that in 90´s the Russian economy was not in the best condition played very important role. There was negative economic growth and reforms which didn’t make real new opportunities for entrepreneurs in good faith and other “ordinary” people. State owned properties started became to private ownership but the problem was that there was no satisfactory legal framework and some sort of people names Oligarchs just assumed power over strategic state assets and companies. It all created such mass deviation from the moral norms has had a distorting impact on the development of economic relations.The fact that is important for well established economy is: people need to have their economic assurance what affect their motivation. They need to know that when they will...

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