Security of Business Operations and Supervisory Functions of the State as Characteristics of the Business Environment

  • Irina Vladimirovna VYAKINA Department of Economics and Production Management, Faculty of Management and Social Communications, Tver State Technical University, Russian Federation

Abstract

Assessment of business community’s subjective perception of state control and supervision impact on the safety of the business environment as part of the ongoing reform of state control and supervisory activities. The study analyzes the results of surveys of small, medium and large enterprises’ managers in 2016-2018, including business entities of various types of economic activity and organizational and legal forms. The vast majority of respondents are small and medium businesses. At the end of 2016, 502 respondents were surveyed, at the end of 2017 – 287 business representatives, and 319 entrepreneurs took part in the survey in 2018. The surveys were initiated by the regional business ombudsman and the business community.


A content analysis of the regulatory framework and economic and statistical evaluation of survey results were carried out; tabular and graphical data visualization methods were applied. Results: business representatives do not feel safe in the current business environment. In the subjective perception of entrepreneurs, there is no reduction in the administrative burden on business. At the same time, inspectors remain oriented on the collection of fines and the inspections remain fiscally targeted. There is an interdependence of the subjective perception of control and supervisory measures by business representatives and objective characteristics of the safety of the business environment, which have a significant impact on motivation and the objective results of the activities of economic entities.

References

[1] Autio, E., and Rannikko, H. 2016. Retaining winners: Can policy boost high-growth entrepreneurship? Research Policy. Volume 45, 1: 42-55. DOI: https://doi.org/10.1016/j.respol.2015.06.002.
[2] Beynon, M.J., Jones, P., and Pickernell, D. 2018. Entrepreneurial climate and self-perceptions about entrepreneurship: a country comparison using fsQCA with dual outcomes. Journal of Business Research. Volume 89, 418-428. DOI: https://doi.org/10.1016/j.jbusres.2017.12.014.
[3] Castaño, M.S., Méndez, M.T., and Galindo M.A. 2016. The effect of public policies on entrepreneurial activity and economic growth. Journal of Business Research. 69(11): 5280-5285. DOI: https://doi.org/10.1016/j. jbusres.2016.04.125.
[4] de Pablo, S.J.D., Pardo, P.G.I., and Perlines, H.F. 2014. Influence factors of trust building in cooperation agreements. Journal of Business Research, 67(5): 710-714. DOI: https://doi.org/10.1016/j. jbusres.2013.11.032.
[5] de Soto, H. 1989. The Other Path: The Invisible Revolution in the Third World. New York: Harper and Row. 271 p.
[6] Dickel, P., and Graeff, P. 2018. Entrepreneurs' propensity for corruption: A vignette-based factorial survey. Journal of Business Research, 89: 77-86. DOI: https://doi.org/10.1016/j.jbusres.2018.03.036.
[7] Ge, J., Stanley, L.J., Eddleston, K., and Kellermanns, F.W. 2017. Institutional deterioration and entrepreneurial investment: The role of political connections. Journal of Business Venturing. 32(4): 405-419. DOI: https://doi.org/10.1016/jjbusvent.2017.04.002.
[8] Khalid, S., and Ali, T. 2017. An integrated perspective of social exchange theory and transaction cost approach on the antecedents of trust in international joint ventures. International Business Review. Volume 26, Issue 3, 491-501. DOI: https://doi.org/10.1016/j.ibusrev.2016.10.008.
[9] Laplume, A.O., Pathak, S., Xavier-Oliveira, E. 2014. The politics of intellectual property rights regimes: An empirical study of new technology use in entrepreneurship. Technovation 34 (12): 807-816. DOI: https://doi.org/10.1016/j.technovation.2014.07.006.
[10] Ranasinghe, A. 2017. Property rights, extortion and the misallocation of talent. European Economic Review 98: 86-110. DOI: https://doi.org/10.1016/j.euroecorev.2017.06.010.
[11] Salman, D.M. 2016. What is the role of public policies to robust international entrepreneurial activities on economic growth? Evidence from cross countries study. Future Business Journal 2(1): 1-14. DOI: https://doi.org/10.1016/j.fbj.2016.02.001.
[12] Stroe, S., Parida, V., and Wincent, J. 2018. Effectuation or causation: An fsQCA analysis of entrepreneurial passion, risk perception, and self-efficacy. Journal of Business Research 89: 265-272. DOI: https://doi.org/10.1016/j.jbusres.2018.01.035.
[13] Umanskaya, V.P. 2018. Modernization of the system of control and supervision activities in the Russian Federation. In Y.E. Avrutina, A.I. Kaplunova (ed.), Actual Problems of Administrative and Administrative Procedure Law, 40-45. Retrieved at https://elibrary.ru/item.asp?id=36306597. (access date: February 10, 2019).
*** Government, 2016, April 01, Decree of the Government of the Russian Federation of April 1, 2016 N 559-p ‘On approval of the action plan (‘road map’) to improve the control and supervisory activities in the Russian Federation for 2016-2017’. Available at: http://www.consultant.ru/document/cons_doc_LAW_196270/.
*** Government, 2016, December 21. Passport of the priority program ‘Reform of control and supervisory activities’, approved by the Presidium of the Council under the President of the Russian Federation on Strategic Development and Priority Projects, Protocol No. 12 of December 21, 2016. Available at: http/static.government.ru/media/files/vu4xfkO2AdpTk1NaJN9gjDNtc69wa5fq.pdf.
*** President of the Russian Federation, 2008, May 15, Decree No. 797 of May 15, 2008, ‘On Urgent Measures to Eliminate Administrative Restrictions in Business’. Available at: http://www.consultant.ru/document/ cons_doc_LAW_76969/.
*** President of Russia. 2017, August 15, List of instructions on measures to reduce the administrative burden on business entities. Available at: http://www.kremlin.ru/acts/assignments/orders/55368.
*** State Duma, 2008, December 26, Federal Law No. 294-ФЗ dated December 26, 2008 ‘On the Protection of the Rights of Legal Entities and Individual Entrepreneurs in the Implementation of State Control (Supervision) and Municipal Control’ http://www.consultant.ru/document/cons_doc_LAW_83079/.
*** State Duma, 2018, February 21, Decree of February 21, 2018 N 3575-7 DG ‘On the draft federal law No. 332053-7’ On state control (supervision) and municipal control in the Russian Federation. Available at: http://www .consultant.ru/cons/cgi/online.
Published
2019-09-30
How to Cite
VYAKINA, Irina Vladimirovna. Security of Business Operations and Supervisory Functions of the State as Characteristics of the Business Environment. Journal of Advanced Research in Law and Economics, [S.l.], v. 10, n. 6, p. 1696-1705, sep. 2019. ISSN 2068-696X. Available at: <https://journals.aserspublishing.eu/jarle/article/view/4939>. Date accessed: 03 july 2024.