ABSTRACT
Chapter 6 is devoted to an analysis of collective resistance to administrative corruption. This chapter examines the defense mechanisms that the entrepreneurial community can use to protect itself against both administrative corruption and state predations on businesses. A historical analysis shows that pre-revolutionary business associations in Russia were powerful representative institutions that directed economic policy in the interests of business groups. They served as effective mediators between the state and businesses, setting a good example for contemporary entrepreneurial organizations in Russia. In addition, this chapter analyzes best anti-corruption practices in other developing countries, which provide evidence that collective resistance is an effective strategy for entrepreneurs to decrease barriers to doing business. Social movements and civil society protests against corruption in the Arab Spring countries demonstrate the great potential of collective action in bringing kleptocrats and “regulocrats” to justice. In Russia, entrepreneurs fail to mobilize against corruption. Recent protests of Russian entrepreneurs against administrative harassment failed to attract massive numbers of participants. Not only does the failure of the “entrepreneurial spring” in Russia demonstrate a low level of cohesion within the Russian business community, but it also indicates the lack of effective leadership on the part of their collective organizations and professional networks.
