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Public Administration. E-journal (Russia)

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No 98 (2023)
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ECONOMIC ISSUES IN ADMINISTRATION

7-20 21
Abstract

The object of study in this article is the industries of the economy that have emerged since the middle of the 19 century (approximately since the 1950s), which are based on the use of digital technology. Based on the analysis of foreign studies and information from open sources on the Internet, in particular the analytical reports of Precedence Research, Allied Market Research, Market Research Future, the author identifies the industries of the economy that can be considered as the emerging. In this study, the following industries are considered as the emerging: artificial intelligence, virtual reality, digital health, hydrogen car manufacturing, cyber security, additive manufacturing, Internet of things, private space tourism and digital twin manufacturing. Emerging industries are the sectors and firms that create disruptive technologies and/or have huge market potential. The author explores the main features of the emerging industries of the economy and calculated growth rates of their industry market compared to average market growth rates. The article also provides information on the development of the emerging industries of the economy in Russia, but this information is very limited due to the lack of unified methodological approaches to identifying the emerging industries. Based on comparison of the emerging industries development in Russia with foreign countries, the author proposes a classification of the Russian emerging industries into several groups. As a result of the study, recommendations for improving the conditions for developing the emerging industries of the economy in Russia are given.

21-30 44
Abstract

The convergence of Russia and China in the modern geopolitical context makes scientific research aimed at studying the national characteristics of the economies of both countries relevant. This research focuses on the specifics of China’s creative economy as
a driver of socio-economic development not only in China, but also in Asian countries as a whole. Until quite recently the active development of the creative sector of economy was inherent to economically developed countries. There was a widely held view that the structure of developing and transition economies does not allow for an effective transition to post-industrial forms of economy. However, China’s experience refutes this assumption. The successes of the Chinese creative market all over the world force us to think more deeply about their causes and whether freedom of creativity and multiculturalism are really a prerequisite for the successful development of the creative economy. The peculiarities of this sector in China are strong state support, huge domestic market, large role of regions and municipalities in stimulating creativity and innovation, unique combination of Chinese traditions and Western trends in creating creative products. Among the key problems are weak protection of intellectual property, state censorship, bureaucratic barriers, etc. The exchange of experience and knowledge in the development of creative industries between our countries can significantly enrich the existing practices and eventually lead to synergies and become an element of the implementation of “soft power” policy of both China in Russia and our country in the PRC.

31-47 15
Abstract

The presence of effective out-of-court mechanisms for bankruptcy prevention is considered in the paper as a condition for ensuring business sustainability. The hypothesis confirmed in this study is the statement: preventive restructuring of distressed business allows the main stakeholders of business insolvency relationships to reduce the time and financial costs of immersion in full-fledged court bankruptcy proceedings. Preventive restructuring should be carried out within the framework of corporate governance at the pre-bankruptcy stage. The paper identifies the features of existing forms of restructuring — preventive (out-of-court and hybrid) and judicial, focuses on the advantages and conditions for preventive restructuring for interested parties, discloses the main stages of the process. In the study the essential tools of preventive restructuring necessary for inclusion in the legislation and popularization of the use of this mechanism are identified: approval of the debt restructuring plan before bankruptcy commencement, introduction of creditors’ classes and cramdown tool, stimulating provisions for new and interim financing, preservation of management powers for the period of preventive restructuring. The process of institutionalization of the preventive restructuring mechanism is considered on the example of the understudied experience of the Netherlands, where the EU Directive was successfully implemented in 2021. As a result of generalization of progressive foreign experience and current Russian practice of preventive restructuring of distressed companies, the author suggests directions to intensify the use of preventive mechanisms to avoid business bankruptcies in Russia: legislative consolidation of the hybrid restructuring possibilities under the court protection; improvement of analytical tools for assessing the state of a distressed business on the bankruptcy eve; ensuring the availability of information about distressed assets; development of the institute of independent consultants on crisis management; formation of judicial practice encouraging out-of-court rescue; provision of methodological assistance to participants in the documents’ preparation; development of a preventive rescue culture in society.

48-61 31
Abstract

The article analyses the stages of the ecosystem concept evolution, which determined the change in approaches to the definition of the concept, to the study of the Russian regulatory framework for ecosystem models, to identifying the possibilities of the technological infrastructure of ecosystems for the creating and promoting advanced digital technologies, as well as their integration into the implementation of the national project «Digital Economy of the Russian Federation». In the course of the study, the following results were obtained. Firstly, the evolution of the ecological concept of ecosystems, which determined the interactions between living organisms and environmental factors, is defined by the complexity of the business environment and the metaphorical transfer of the biosphere element properties to the relationship between business organizations. The digital revolution at the turn of the 20–21 centuries supplemented the concept with digital nature, defining the complex essence of the modern system. Secondly, the improvement of legal regulation of ecosystems is represented by a consensus of federal authorities and the business community. Accordingly, a balanced legislation is being formed that combines support for competition and stimulation of innovative technologies development within the framework of ecosystem models. Thirdly, the technological infrastructure of ecosystems, against the background of unfavorable external conditions that negatively affect the joint evolution of organizations of various sectors of the economy, is transformed into a local innovation system. Network cooperation of participants in the innovation process provides support for the development and scaling of advanced digital solutions, including end-to-end digital technologies. Fourthly, the mechanism for promoting the technologies developed by the ecosystem seems to be an effective tool for solving the problem of insufficient business interest in the implementation of the national project “Digital Economy of the Russian Federation”, which has worsened because of the Western countries’ sanction policy. Based on the results obtained, it can be concluded that the ecosystem is becoming a key element of the innovation process in the modern conditions of the domestic digital economy development.

62-72 31
Abstract

The article is devoted to the study of the tax potential role of small business in the Kyrgyz Republic, during the pandemic and in the current situation of active reform of small business taxation. The authors carried out a scientific review of the theoretical and legal foundations of small businesses taxation in the process of reform, where the main directions for creating a favorable tax climate in order to mitigate the shadow economy are considered. The aim of the study is to determine the effectiveness of small business taxation as an integral part of the state’s tax strategy. To achieve the aim of the study the tax strategy of small businesses in the Kyrgyz Republic was analysed; the main indicators of entrepreneurial activity in the Kyrgyz Republic was assessed; ways to improve the taxation mechanism to stimulate the activities of small businesses and improve management efficiency in solving the strategic task of mitigating the shadow economy were identified. In the process of studying the subject of the tax potential of small business in the Kyrgyz Republic, scientific works of both foreign and domestic researchers were analysed. Furthermore, the composition of potential taxpayers of the Kyrgyz Republic and the economic and legal regime for supporting business entities in the country are considered. The article will be of interest to researchers of the system of economic and legal support of business entities in the Kyrgyz Republic, as well as issues related to the transition to special tax regimes in the context of cash registers introduction, which at the present stage of tax regulation in the Kyrgyz Republic goes through conflicts and mass refusal from cash registers, since small business prefers applying a voluntary patent.

ADMINISTRATIVE PROBLEMS: THEORY AND PRACTICE

73-85 56
Abstract

The article is devoted to the analysis of the sharp power concept, developed by the researchers of the National Endowment for Democracy (USA) K. Walker and J. Ludwig in the late 2010s. The authors consider the reasons for the emergence of sharp power concept that originates in political regimes of illiberal democracy, primarily in China and Russia, study the relationship between the soft power and sharp power as well as introduce their own definition of sharp power. It is obvious that the issue of sharp power in research papers presented in Western countries is closely related to politicization of soft power concept since K. Walker and J. Ludwig argue that the promotion of any other values other than Western ones cannot be carried out on the basis of soft power technologies. At the same time the authors of the article bring numerous examples when the principles of the liberal order were violated in Western countries. For this reason, the application of sharp power strategies and technologies does not depend on the nature of the political regime of the countries that apply it, but on the goals that they pursue. Therefore, the concept of sharp power receives an expanded interpretation not only as an element of foreign policy activities of illiberal countries, but also as the basis of technologies used for organizing color revolutions or as part of the domestic political struggle against narratives alternative to liberalism in Western countries. The authors conclude that sharp power technologies are introduced in cases when the soft power resources are applied to manipulate public opinion to achieve political goals, regardless of who uses these technologies.

86-95 28
Abstract

The article analyses transformation of research practices and approaches to understanding organizational ambidexterity, the essence of which is the search for a balance between the exploration (development of radical innovations) and exploitation (development of incremental innovations). The article traces a change in the approach to understanding organizational ambidexterity: from recognizing the irreconcilability of the conflict between exploration and exploitation and, as a result, the need to breed these types of activities in time and space, to the modern strategic perception of incremental and radical innovations from the standpoint of mutual complementation and reinforcement. The author conducted a detailed analysis of sequential, structural, contextual and interorganizational ambidexterity, highlighted their strengths and limitations. Sequential ambidexterity involves the alternation in time of exploration periods and exploitation periods. Structural ambidexterity consists of structural isolation of exploration and exploitation by creating autonomous units. Contextual ambidexterity involves resolving contradictions between exploration and exploitation at the individual level, and the creation of an optimal organizational environment plays an important role here — the social context and the performance management context. Interorganizational ambidexterity involves combining the efforts of different organizations to carry out exploration and exploitation (mergers and acquisitions, alliances). The article also reveals inefficient practices that lead to a decrease in company performance in the implementation of organizational ambidexterity. As a result, the conclusion is made that there is the need for further study of the methods and mechanisms for the practical implementation of organizational ambidexterity, in particular the transition between exploration and exploitation within the framework of sequential ambidexterity, mechanisms for finding the optimal ratio of incremental and radical innovations depending on environmental conditions, as well as the creation of specific tools for evaluating the effectiveness and the prospects of this or that type of ambidexterity for the company, taking into account its impact on the key stakeholders of the organization.

96-113 42
Abstract

The accelerating technological development increases the requirements for the quantity and quality of human capital. There is no longer any doubt that human capital is the most important type of capital that determines the role and place of countries in the
world economy. At the same time, the assessment of human capital remains a controversial issue, causing a number of difficulties. The research is aimed at identifying the advantages of using an actual human capital assessment model. To do this, the article identifies existing classifications of assessment models, determines the content of the human capital assessment model based on new indicators, and proposes a classification option for the results of human capital assessment. The methodological basis of the study was the theory of human capital, human capital assessment, labor economics, knowledge economics. The study used a set of methods such as comparative analysis, synthesis, induction, deduction and mathematical. The information base of the research was both modern developments of practitioners, theorists, and classical works of domestic and foreign scientists, statistical data of the Federal State Statistics Service, World Bank data, specialized literature in the field of human capital theory and accounting of intangible assets, state regulatory legal acts. The proposed actual human capital assessment model digitizes the value of human capital and details its constituent components. The continuum of human capital assessment is also proposed as a way of rating classification of the organization’s personnel and population. The results of the study contribute to understanding the development trends of evaluation models and programs of human capital, allow us to identify the advantages of using the actual model of human capital assessment for public administration purposes.

LEGAL AND POLITICAL ASPECTS OF PUBLIC ADMINISTRATION

114-122 16
Abstract

Political leaders are facing today the question of how to combine an ethnic diversity and regional differences inherent to the majority of modern states with assuring their territorial integrity. One of the tools for solving this problem is the use of ethno-federalism — the organization of the state’s territorial structure on the base of ethnic principle. The consequences of using this principle are quite controversial, but the elites of culturally heterogeneous states are inclined now to use it in one form or another. An important impact on harmonizing interethnic relations has also the choice of one or another form of government (parliamentary, presidential, mixed). The article discusses the strengths and weaknesses of each approach. Supporters of presidentialism claim that only a strong presidential power can assure stability in a culturally complex society. However, the government within this system is not a coalition, which reduces the chances of various ethnic communities being represented in it. The parliamentary system provides more possibilities for the participation of ethnic, religious and linguistic groups in the exercise of power. However, such a situation threatens to divide society into competing ethno-cultural communities. In general, it should be concluded that the relationship between the territorial structure of the state, forms of government and opportunities for harmonizing interethnic relations is complex, non-linear. At the same time, it can be argued that under any circumstances, the activities of effectively functioning democratic institutions — regular and fair elections, separation of powers — is a necessary condition for ensuring ethno-political stability in culturally heterogeneous societies.

123-137 13
Abstract

Youth political leadership at the present stage is an emerging social and political phenomenon. Leaders who begin to acquire professional competencies and experience in the sphere of youth policy subsequently continue their careers in public policy and public administration. This article presents the results of a study of the shaping environment and development features of youth political leadership in modern Russia. The research methodology is based on an institutional approach. In the course of the study, the concepts of institute and institutional environment concepts are considered, an institutional analysis of the environment of formation of youth political leaders existing in our country is carried out, a pool of youth policy institutions is formed, their typologization is implemented. The proposed typology is based on a complex criterion that includes the essence, functions, structural and organizational characteristics of the considered institutions. The study indicates that the institutional environment of Russian youth policy is heterogeneous, the qualitative and quantitative differences between youth policy institutions in modern Russia are essential, the development of these institutions is uneven. Besides, the study reveals that effectiveness of youth leadership potential development in the space of youth policy is largely determined by the content and organizational specifics of youth policy institutions’ activities, the quality of relations in youth organizations, the characteristics of the projects, programs and events implemented by them. Through such activities, young people acquire leadership qualities and supra-professional competencies, expand their social capital, become youth leaders, thereby gaining legitimacy to be professionally integrated into the political sphere and thus becoming youth political leaders.

138-150 13
Abstract

This article presents a retrospective analysis of formation and development of environmental policy and formation of environmentalist (“green”) political movements in Japan, France and the United States in the period from 1950 to 2000. The results of the study show that despite various prerequisites in the form of the socio-economic situation of countries by 1950 and regardless of the traditions of ecological culture, which was formed under the influence of various factors (geographical location, natural resource potential, historical experience, etc.), the development of ecological policy in these countries took place in three stages according to a similar logic. The first stage is the awareness of the need for environmental protection, the understanding of their “ecological tradition” and the emergence of the first political green movements. The second stage is associated with a political crisis, which occurs due to the fact that the deterioration of the environmental situation is happening faster than the legislative apparatus of the state has time to pass environmental laws and support “green” initiatives. Also, at this stage, it is necessary to note the popularization of the ideas of environmentalism among the general public, which results in an increase in the number of both the “green” socio-political movements themselves and the number of their participants. At the third stage, the environmental activities of states begin to satisfy the “green” socio-political movements, which is why the level of protest decreases, and international treaties on environmental protection are adopted and ratified. For these reasons, at the third stage, there is a reduction in the number of participants in the “green” movements. In conclusion, an assumption is made that the identified stages are also valid for other societies.

MANAGEMENT SOCIOLOGY

151-161 25
Abstract

To formalize the concept of cultural code means to isolate quantitative parameters available for precise measurement, comparison in different cultures and long-term observation. This task has not yet been fully solved. In particular, there are no tools to quantify
the possible influence of mass culture works on the cultural code, although the fact of such influence is not questioned. This paper studies the texts of Pushkin’s fairy tales as examples of mass and well-known works for representatives of the cultural community
of Russian language native speakers$; compares the meanings contained in fairy tales with the meanings of values of Russian schoolchildren and students, verbalized in the form of free associations with “something most important in life”. For quantitative analysis, an automated algorithm to covert the text into a vector with the frequencies of the semantic groups of the Roget’s Thesaurus was used. The overall semantic proximity of fairy tales to the values of young people was less than the proximity of fairy tales to each other. The five most significant meanings in common between fairy tales and values can be conventionally designated with the words Love, Pleasure, Mankind, Existence, and Consanguinity. Overall, the methodology presented in the paper allows for automatic quantitative comparison of meanings in given literary works and in given target groups, and can be applied for further research on the cultural code.

162-177 19
Abstract

The initiation in 2022 of the draft No. 198584-8 of the Federal Law “On conducting an experiment to establish special regulation in order to create the necessary conditions for the implementation of partner financing activities in certain constituent entities of the Russian Federation” is carried out in the conditions of “passive Islamophobia traps” identified in the Russian Federation. In order to achieve unambiguous perception and interpretation of the main provisions of the content of the draft bill, the aim of this article is to establish the conformity of the main Islamic financial instruments with traditional banking products in generalizing the existing successful regional practices for their implementation. The object of the study is the Republic of Tatarstan. Research methods are desk secondary analysis of scientific research and practice as a basis for identifying the social determinants of partnership financing; descriptive ratio method to describe the correspondence of partner financing instruments to traditional finance; generalization of federal and regional event facts on the development of partner financing projects in the Russian Federation and the Republic of Tatarstan. According to the results of the study, it was proved that partner financing, being an institution of Islamic economics, reveals immanent social determinants formed by religious norms that regulate the economic behavior of Islamic entrepreneurs, focused on ensuring social justice in the distribution of results of activities based on mutual responsibility, equality, voluntariness, equivalence and consolidation. These social determinants immanent to Islamic finance instruments are characteristic signs of partnership, and that works to verify the fairness of the synonymy of the concepts of Islamic finance and partnership finance. It was revealed that despite the immanent features, partnership financing provides for standard types of relationships (partnership, purchase, sale, lease, loan, insurance), and the essence of Islamic finance instruments is synchronized with traditional financial instruments, therefore, the former, taking into account their characteristics, adapt to the conditions of use by traditional financial institutions in the Russian Federation. Proposals have been developed to amend the law draft relating to VAT, maternity capital, repayment of obligations under mortgage housing loans.

178-190 29
Abstract

The processes of economic liberalization and democratization have presented emerging nations with a wide range of complicated issues, the resolution of which proved to be extremely challenging due to the specifics of their socio-cultural context. One of these issues is corruption, whose great prevalence hampers the establishment and consolidation of a modern system of public administration in these countries. It has been demonstrated through experience that corruption perception in developed countries affect acceptable behavior patterns in developing countries, making it difficult to detect corruption and create effective anti-corruption measures. The article examines how sociocultural factors influence the perception of corruption with the example of the experience of modern China. In particular, various types of guanxi relations, which have been the basis of social interaction in China for many centuries, are being explored. But since the beginning of economic reform and the reorganization of the legal system, they have become ambiguous, since their content has much in common with the Western understanding of corrupt behavior, shared throughout the world, including in China. The authors come to the conclusion that it is extremely difficult to legally limit guanxi, since they are part of the cultural environment, and this allows us to attribute guanxi to “white corruption”. At the same time, situations in which guanxi relations are used as a cover for corrupt deals must be stopped. This requires not so much tough administrative measures but strengthening the value in the minds of citizens and civil servants of an orientation towards achieving national, non-group or individual interests.

DIGITAL ECONOMY STRATEGY

191-206 209
Abstract

Increasing the effectiveness of implementation of the strategic documents of the socio-economic development of the Russian Federation constituent entities depends to a large extent on the success of the projects implemented in the region. Digital transformation is a complex process that involves all actors in the economy, the social sphere and public authorities as a force for stimulating this process for the benefit of the whole society in order to optimize public expenditures, improve public administration and public service delivery. Digital transformation projects require a special approach to their development due to the multidimensional nature of the processes involved. The aim of the study is the methodical support of the process of evaluation, ranking and selection of digital projects developed for the implementation of the transformational transition of the economy, social sphere and state administration on the digital basis. The article offers criteria, indicators and system for evaluating projects in terms of their transformational effect, socio-economic benefits and readiness (degree of development) of ideas, concepts and project documentation. The result of the developed methodology is a rating of digital projects proposed for inclusion in the strategic documents of the constituent entities of the Russian Federation in the field of digital transformation, on the basis of which it is possible and necessary to decide whether to further review and implement them. 



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ISSN 2070-1381 (Online)