What do you expect a business meeting to be? Well, unless you deal with 80-year old ex-KGB people, you should get ready for just vodka. The creative class born in the 60's will mix, howether they like classics too. Young ones mix the most. Unfortunately.
понедельник, 30 июля 2012 г.
понедельник, 9 июля 2012 г.
Back to work
Today, I will be submitting the same customs declaration for the 5th time! Comment for details.
суббота, 7 июля 2012 г.
Russia enters the WTO: now what?
At last, our holy motherland is entering the WTO. So wto? err... So what?
Let's take a look at what the Russian public expects of the WTO, shall we?
First of all, there is a strong public concern about domestic industry. WTO will destroy Russia's agriculture, flooding the market with GMO from all over the world and the government will not be able to do anything! Then, all the Russian factories will close down! Every business will ruin, people will get less money etc... Yeah, that means, commies are still strong round here.
Well, here come my conclusions for that:
- The key factor, preventing foreign goods from dominating the russian market is the Russian Customs service. Trouble is, the market HAS ALREADY BEEN TAKEN BY IMPORTS. We import all the electronics, most cars (though there is a number of foreighn brands manufactued in Russia from imported parts), cosmetics, pharma, construction materials etc. Why does it happen today when there is no WTO in Russia? Well, there is no local competition. There are about 1,5 companies in Russia manufacturing cosmetic creams, while there are more than 30 brands imported from Andalusia of Spain alone. Due to the internal conditions fo business, going into manufacture is considered a mad idea. So, with WTO-style (he-he) customs, all the changes we may get are: quicker deliveries, slightly lower prices. I believe, neither will occur actually.
- The Russian manufacturing facilities boast hordes of stubborn working class people. Semi-government owned factories of huge industial scale, these behemoths were constructed to employ entire cities. Literally. Their problems are: they often lack moden equipment, modern finance and modern thinking. Being what they are, such "city-forming plants" become political institutions, pressuring local authorities to subsidize them and the government to provide orders for them to complete. The most striking example of this is in the mili-production plants. Yeah, this goes like "We don't want to fire 50 000 people before the elections, so please, do order 5000 tanks, thank you very much". What is going to happen is Russia will still subsidize them, no matter what WTO courts have to say about this.
Well, finally. Private businesses. As I said, there are few mad men, who invested into manufacture. Nearly everyone either sells or re-sells. Well, with an opportunity of slightly lower prices, everyone will prosper, unless the government will invent something against that.
Let's take a look at what the Russian public expects of the WTO, shall we?
Well, here come my conclusions for that:
- The key factor, preventing foreign goods from dominating the russian market is the Russian Customs service. Trouble is, the market HAS ALREADY BEEN TAKEN BY IMPORTS. We import all the electronics, most cars (though there is a number of foreighn brands manufactued in Russia from imported parts), cosmetics, pharma, construction materials etc. Why does it happen today when there is no WTO in Russia? Well, there is no local competition. There are about 1,5 companies in Russia manufacturing cosmetic creams, while there are more than 30 brands imported from Andalusia of Spain alone. Due to the internal conditions fo business, going into manufacture is considered a mad idea. So, with WTO-style (he-he) customs, all the changes we may get are: quicker deliveries, slightly lower prices. I believe, neither will occur actually.
- The Russian manufacturing facilities boast hordes of stubborn working class people. Semi-government owned factories of huge industial scale, these behemoths were constructed to employ entire cities. Literally. Their problems are: they often lack moden equipment, modern finance and modern thinking. Being what they are, such "city-forming plants" become political institutions, pressuring local authorities to subsidize them and the government to provide orders for them to complete. The most striking example of this is in the mili-production plants. Yeah, this goes like "We don't want to fire 50 000 people before the elections, so please, do order 5000 tanks, thank you very much". What is going to happen is Russia will still subsidize them, no matter what WTO courts have to say about this.
Well, finally. Private businesses. As I said, there are few mad men, who invested into manufacture. Nearly everyone either sells or re-sells. Well, with an opportunity of slightly lower prices, everyone will prosper, unless the government will invent something against that.
среда, 4 июля 2012 г.
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