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Upgrading Russian enterprises from the value chain perspective: the case study of tube & pipe, and furniture sectors

Avdasheva, S.; Budanov, I.; Golikova, V.; Yakovlev, A.; (2005) Upgrading Russian enterprises from the value chain perspective: the case study of tube & pipe, and furniture sectors. (Economics Working Papers 58). Centre for the Study of Economic and Social Change in Europe, SSEES, UCL: London, UK. Green open access

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Abstract

The paper is the first analysis of the competitiveness of Russian enterprises from the perspective of value chains, with a focus on the example of tube & pipe and furniture producers. In both industries, Russian firms enjoy an advantage on the raw material side. Nevertheless, the overall competitiveness level of Russian producers remains modest. Domestic industries primarily owe decreased competitiveness to the inadequate operation of the final links in the value chain: from end-product production to the end-user. In addition, the competitiveness of domestic producers is limited to the ability of key players in the chain to redistribute additional gains in their own favor. Study shows that any non-selective methods of supporting enterprises (such as tax reductions) exert extremely limited influence on the status of players in those chains where one of the links is characterized by serious entry barriers and related opportunities of rent redistribution in favor of a particular player. Paper suggests several policy measures which aim to improve the ability of the producers to reposition themselves along the chain or to modify the chain itself.

Type: Working / discussion paper
Title: Upgrading Russian enterprises from the value chain perspective: the case study of tube & pipe, and furniture sectors
Open access status: An open access version is available from UCL Discovery
Publisher version: http://www.ssees.ucl.ac.uk/wp58sum.htm
Language: English
UCL classification: UCL > Provost and Vice Provost Offices > UCL SLASH > SSEES
URI: http://discovery.ucl.ac.uk/id/eprint/17511
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