CC BY
36
DOI 10.1555/2409-3203-2017-0-9-63-64 УДК 338.1
TENDENCIES OF SOLE PROPRIETORSHIP DEVELOPMENT IN
RUSSIA
Julia A. Olentsova
senior teacher in the Department of Business foreign languages Krasnoyarsk State Agrarian University Russia, Krasnoyarsk
Abstract: This article describes the problems of small businesses, their part and position in the present-day of Russian Federation. Small business development is one of the key elements of Russian economy.
Keywords: small business, small enterprise, development, Russian economy, sanctions; tax , entrepreneur activity.
Small business development is one of the key elements of Russian economy growth promoting formation of the healthy competitive environment, increase in production of Gross Domestic product, population employment growth of its actual income, life upgrading. Liability and management simplicity of small enterprises, ability to further of scientific and technical progress and to mobilize the considerable resources of production and finance of the society predetermine the important economic, antimonopoly, innovative and social role of this sector of economy. The necessity of working out principally new conception of regulation and supporting of small business in context of economic policy forming on macro and regional levels is conditioned by absence of common approach of the realization of it complex support which takes into account the specific regional features. Development of small business is proved to be one main strategic direction of the state policy. Development of small business together with creation of additional workplaces broadens the sphere of business activity, involving the citizens, who are not possessing high competitiveness on the labor market, in work. Small business in the market economy is both the target and the instrument of it development [1].
The development of small business is the most important for economic growth in the globalized world.There arenouniversal criterias that apply equally to all national economies for defining the entities of small business. Depending on it national interests, each country substantiates and legislatively enforcesit own criteriafordetermining which entities shall beclassified as small and medium.
At the turn of the 1960s -1970s, small and medium enterprises began tooccupy increasingly stronger positions in the economic structure of the U.S., Japan, Germany, France, and Canada, and Italy, Spain, and other countries in terms off or ming the gross domestic product, the number of enterprises in the country and the size of their staff new technology. In the past two or three decades, small enterprises have proven their worth with respect to break through scientific - technical developments.
A new term — venture business — has been coined to describe this kind of innovative enterprise.Itimplies organizing groups of researchers, engineers, and scientists in the form of asmall business to elaborate a particular scientific idea or project. If
an idea is successfully tested and considered a "scientifically rated product", the profit of the small business will be much higher than the average branch level [2].
A specific feature of small Russian business is that it sentities essentially do no town any fixed assets. The majorityof smallbusiness entities are operating from rented facilities and using rented equipment. In this sense, Russiansmall businessmencan bedescribed as hired workers rather than property owners.The main difficulties facing small Russian business include taxation, administrative barriers, tyranny among the
supervisory bodies, criminal pressure, the unregulated nature of leasing relations, constant changes in reporting forms, and difficulties with accounting reports. This results in a large shadow component in small Russian business.
Stimulating competition in the economy as a whole promotes thedevelopment of small business. An extremely important advantage of small business is open markets. This means free movement of capital, goods, and labor, which promotes the creation of a genuinely competitive environment.
Systemic reform in Russia, given all the zigzags, blunders, and foot-dragging, is still part and parcel of movement toward a market economy. So the state should aim to create framework conditions that will help this process to develop of its own accord. In order to achieve this goal,the state's economic policy should, at minimum, be neutral with respect to the entities that are the driving force behind the market economy-private businessmen [3].
References:
1. Bruno A. T. Growth of agrarian sector / Agroinvestor, Kanada, 2016.
2. Robert B. U.S. Congress, Joint Economic Committee / Joint Economic Report - New -York, 2003.
3. Rylko D.N. Transition in the CIS: Achievements and New Challenges / International Conference -New -York , 2006.
