Template:Friends - the key to getting anything done in Russia: Difference between revisions

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Better to have one hundred friends than one hundred rubles.  — Russian proverb
The value of the Russian ruble may increase or decrease but not the value of Russian friends. Friends and familiar faces are the key to getting things done in Russia, and foreigners who cultivate close relationships will have a big advantage in doing business there.
Sol Hurok, the legendary American impresario who pioneered North American tours by Soviet dance and music groups, would visit the Soviet Union periodically to audition performing artists and to select those he would sign for performances abroad. Traveling alone, Hurok would negotiate and sign contracts for extensive U.S. coast-to-coast tours by such large ensembles as the Bolshoi Ballet and the Moscow Philharmonic.
In Moscow in 1969 author Yale Richmond  asked Hurok how he could sign contracts for such large and costly undertakings without lawyers and others to advise him. “I have been coming here for many years and doing business with the Russians. I simply write out a contract by hand on a piece of paper, and we both sign it. They know and trust me.”
A similar but more recent experience is reported by William McCulloch, an American whose business activities in Russia include housing construction and telecommunications. The key to doing business in Russia, says McCulloch, is finding the right partner—one with whom a basis of trust is established over time. “You cannot bring in an army of New York lawyers and have an ironclad deal. You have to have a clear understanding with the right partner about what you are doing.” Such an understanding, he adds, makes it possible to negotiate one’s way through the Russian political, economic, and banking systems.140
Russians rely on a close network of family, friends, and coworkers as protection against the risks and unpredictability of daily life. In the village commune, Russians felt safe and secure in the company of family and neighbors. Today, in the city, they continue to value familiar faces and mistrust those they do not know.
Visitors who know a Russian from a previous encounter will have a big advantage. First-time travelers to Russia are advised to ask friends who already know the people they will be meeting to put in a good word for them in advance of their visits. And ideally the same traveler should return for subsequent visits and not be replaced by someone else from the firm or organization whose turn has come for a trip to Russia.
Despite its vast size, or perhaps because of it, Russia is run on the basis of personal connections. In both the workplace and in private life, Russians depend on those they know—friends who owe them favors, former classmates, fellow military veterans, and others whom they trust. The bureaucracy is not expected to respond equitably to a citizen’s request. Instead, Russians will call friends and ask for their help.
The friendship network also extends to the business world. Business managers, short of essential parts or materials, will use their personal contacts to obtain the necessary items. Provide a spare part or commodity for someone, and receive something in return. Without such contacts, production would grind to a halt.
Westerners who want something from their government will approach the responsible official, state their case, and assume that law and logic will prevail. Russians in the same situation, mistrustful of the state and its laws, will approach friends and acquaintances and ask them to put in a good word with the official who will decide.  The process is reciprocal: those who do favors for Russians can expect favors in return. 






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Revision as of 06:11, 23 October 2020

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Better to have one hundred friends than one hundred rubles. — Russian proverb

The value of the Russian ruble may increase or decrease but not the value of Russian friends. Friends and familiar faces are the key to getting things done in Russia, and foreigners who cultivate close relationships will have a big advantage in doing business there.

Sol Hurok, the legendary American impresario who pioneered North American tours by Soviet dance and music groups, would visit the Soviet Union periodically to audition performing artists and to select those he would sign for performances abroad. Traveling alone, Hurok would negotiate and sign contracts for extensive U.S. coast-to-coast tours by such large ensembles as the Bolshoi Ballet and the Moscow Philharmonic.

In Moscow in 1969 author Yale Richmond asked Hurok how he could sign contracts for such large and costly undertakings without lawyers and others to advise him. “I have been coming here for many years and doing business with the Russians. I simply write out a contract by hand on a piece of paper, and we both sign it. They know and trust me.”

A similar but more recent experience is reported by William McCulloch, an American whose business activities in Russia include housing construction and telecommunications. The key to doing business in Russia, says McCulloch, is finding the right partner—one with whom a basis of trust is established over time. “You cannot bring in an army of New York lawyers and have an ironclad deal. You have to have a clear understanding with the right partner about what you are doing.” Such an understanding, he adds, makes it possible to negotiate one’s way through the Russian political, economic, and banking systems.140

Russians rely on a close network of family, friends, and coworkers as protection against the risks and unpredictability of daily life. In the village commune, Russians felt safe and secure in the company of family and neighbors. Today, in the city, they continue to value familiar faces and mistrust those they do not know.

Visitors who know a Russian from a previous encounter will have a big advantage. First-time travelers to Russia are advised to ask friends who already know the people they will be meeting to put in a good word for them in advance of their visits. And ideally the same traveler should return for subsequent visits and not be replaced by someone else from the firm or organization whose turn has come for a trip to Russia.

Despite its vast size, or perhaps because of it, Russia is run on the basis of personal connections. In both the workplace and in private life, Russians depend on those they know—friends who owe them favors, former classmates, fellow military veterans, and others whom they trust. The bureaucracy is not expected to respond equitably to a citizen’s request. Instead, Russians will call friends and ask for their help.

The friendship network also extends to the business world. Business managers, short of essential parts or materials, will use their personal contacts to obtain the necessary items. Provide a spare part or commodity for someone, and receive something in return. Without such contacts, production would grind to a halt.

Westerners who want something from their government will approach the responsible official, state their case, and assume that law and logic will prevail. Russians in the same situation, mistrustful of the state and its laws, will approach friends and acquaintances and ask them to put in a good word with the official who will decide. The process is reciprocal: those who do favors for Russians can expect favors in return.