Analytical Center experts have surveyed 1323 representatives of Russian businesses asking them about their take on the state of competition and the competitive environment in the Russian markets. For the findings of the survey see the report titled "Assessing the Competitive Environment in Russia".
22.5% of the respondents noted a decrease in the number of competitors, 32% believe competition is useful, 28% say they can't see any positive effects of competition, 49% believe the decline in the number of competitors resulted from anti-competitive actions of the state, 53% say they feel anti-competitive pressure, 57% noted that high taxes were a major obstacle for development, 40% believe that all the government is doing is getting in the way of business, 29% have no immediate plans of trying to break into new markets.
Competition has the strongest impact in textiles, food production, construction materials production and in information technologies, while its impact is weakest in the production of non-metal products as well as in the fuel and energy sector, the analysts note. Textile, food stuffs, chemical products and metal products manufacturers feel more confident about being able to sell their products as do the companies operating in the fuel and energy sector. The anti-competition pressure exerted by the dominant market player is most in evidence in the energy, natural gas and water markets (at least 75% of the companies operating in these industries feel anti-competitive pressure there at least from time to time), production of construction materials (64% of the market players felt it in 2018 while in 2017 only 50% did), as well as financial companies (63%), wholesale and retail companies (62%) and petrochemical companies (60%).
57% of the respondents (versus 53% in 2017) cited high taxes as a major obstacle for business growth. Other obstacles for business that were named include difficulties in accessing financial resources (49%) and the constant changes in the Russian laws regulating business activities (44%), the report notes.
96% of the business representatives have used at least one method to boost the competitiveness of their products in the past 3 years, while 77% have used at least two such methods. Representatives of all sectors were trying to boost the competitiveness of their products. 62% of the companies cut costs while 44% invested in personnel training.
For more about the findings of the survey see the report “Assessing the Competitive Environment in Russia”.
The reports of previous years are available in the Publications section.