The Impact of Sanctions on Russian Manufacturing Enterprises
Keywords:
Sanctions, manufacturing enterprises, investments, production costs, parallel importAbstract
Russian enterprises have been operating under sanctions restrictions since 2014. Earlier they did not have a tangible impact on non-resource sector of economy, and in some ways even contributed to its development. Now sanctions have reached unprecedented proportions and often go beyond reasonable. Restrictions on access to financial resources, a sharp deterioration in the investment climate, difficulties with the purchase of raw materials, equipment and components — this is not a complete list of sanctions’ consequences. The relevance of the work is related to the fact that sanctions against our country are obviously aimed at the long term, and it is very important for manufacturing enterprises with a complex organizational structure to understand how they affect their activities, what restrictions they impose and what opportunities they provide. The article examines the types and instruments of economic pressure, assesses the impact of sanctions on both economics — of a country-object and a country-sender, analyzes the influence of sanctions on the activities of Russian manufacturing enterprises. The study of international and domestic experience of operating under sanctions helped to identify the ways to minimize their economic consequences. The impact of economic sanctions depends on many interrelated factors and the article proposes a causal model characterizing their interaction at the macro and micro levels. The work is of interest primarily for management of manufacturing enterprises, but due to the considered industry-wide aspects of adaptation to sanctions, it may also be useful for enterprises engaged in other fields of activity, including small and medium-sized ones.
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