Ka-ching! Russia’s consumerism boom | Top Stories from 2008-02-07 | RT

Russia’s consumerism boom. e-mail story to a friendprint version. 07 February, 2008, 05:35. According to Russia’s largest opinion research centre, two thirds of the country’s population are not saving any money for the future. …   Read more…

Video: Consumerism Gone Crazy in Russia - Robert Amsterdam

Video: Cons fef umerism Gone Crazy in Russia. This video has been making its way around the internet over the past few days. It shows the opening of a Moscow retailer which had advertised discounts of 80% on laptops, but only had ten of them …   Read more…

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Barack Obama: the View From Russia

Many Russians hope that Obama’s victory will improve their country’s relations with the US, at a low ebb after the Bush years

Russians this morning reacted enthusiastically to Obama’s victory - with many voicing the hope that he will improve US-Russian relations, which have severely strained during the Bush years.

There was also relief that John McCain - seen in Moscow as the more aggressively anti-Russian of the two presidential candidates - failed to win.

McCain had infuriated the Kremlin by calling for Russia’s expulsion from the G8 club of industrialized countries following August’s war in Georgia. On this occasion the US electorate had got it right, several said.

"I always assumed that Americans were rational and that they would pick Obama," Alexander Sukhov, 47, a lawyer, said today, near his Moscow office.

Sukhov said that McCain’s chances had risen during the war in Georgia - only to sink again with the global economic crisis. He added: "I don’t expect relations with Moscow and Washington to change fundamentally, but I do think they will go in a better direction."

Russians woke up to news of Obama’s victory - with confirmation that he had won the presidency coming at 7am (4am GMT) local time, as workers struggled back to the office under a grey sky after a long three-day bank holiday.

"Obama is good news for Russia. He will get America out of Iraq, improve relations, and end the Cold War with our country," Sergei Chizhov, a 31-year-old car dealer declared.

Chizhov said George Bush’s presidency had been "a nightmare" for Russia. "He supported Georgia against us during the war. Obama won’t support Georgia in the same way. From the beginning Bush’s rhetoric has been anti-Russian. Things have been difficult for us ever since he became president," he said.There were contrary views on whether ordinary Russians would welcome the US’s first black president. Racism is commonplace in Russia, with frequent attacks here on ethnic workers from post-Soviet countries.

"Personally I’m pleased that Obama has won," Max Stamen, 21, a musician, said. He added: "I think it’s normal. But his election is likely to disappoint a lot of people in Russia, especially all our skinheads. I don’t think many Russians are especially tolerant of the idea of a black man as president."Vladimir Sezdozetsky, 31, a businessman, said he was glad Obama had won - rather than what he termed "that old guy"."The most important thing about Obama isn’t that he’s black but that he’s young. I’m glad he won. It’s better that Obama is the president than some 72-year-old old guy who - let’s face it - is going to die soon."In a country as diverse as Russia - which includes numerous ethnic minority groups - some identified with Obama as a fellow-outsider.

Ludmila Nigmatullina, 48, an accountant, said: "That he is black isn’t important. I’m a Tartar and a Muslim, grew up in Siberia and come from an ethnic minority inside Russia. There is no reason why people from an ethnic minority background can’t be trusted."

Tags: What Is Barack Obama's Stance On Russia

Why Travel To Russia

Recently when I was in Africa, someone asked me - why should one visit St. Petersburg? I immediately answered - because it is one of the most amazing countries on Earth! However, then I reflected that not everyone would instantly get it and that I need to explain what would foreign tourists find were they to go on a tour to Russia.

Moscow has so much to offer the travelers. The two greatest cities of Russia, Moscow and St. Petersburg, are some of the most historically rich cities on our planet.

St Petersburg boasts amazing churches, ancient streets and beautiful canals. Some people refer to this city as the Venice of the North. So many great artists, writers and musicians like Shostakovich had lived and worked here and loved their every moment. The Mariinsky theatre is home to world famous ballet. If you could only visit the city for a weekend you would remember it for all of your life. There is so much to see here. You could spend a day revealing the glories of the Hermitage.

Moscow is much bigger than St. Petersburg, but it is equally cool place to visit. The Kremlin and Red Square with the glorious quintessentially Russian onion-domed St Basils cathedral. Russian capital does not have a concentrated historic centre like St Petersburg, but there are historic treasures spread out across this vast city like the Tetriakov gallery. It is also an incredibly vibrant modern city that is now really buzzing with the new wealth and culture that has sprung up in the last decade. Moscow also has some of the best restaurants and clubs in the world.

Those two cities alone are enough of a reason to have a trip to Russia, the largest country in the world. Yet there is much, much more to Russia than this. Outside Moscow and St Petersburg there is an amazing country that even us, the Russians, just begin to discover. Russia is a enormous country, and features amazing scenery and a wealth of beautiful landscapes. There is nowhere in the world a lake so deep, so mysterious and beautiful, and so blessed by an absolutely unique range of wildlife as Lake Baikal. There is nothing like Altai.

When in Russia, there are so many things that you could do. You could explore beautiful Hermitage.

These are just some of the reasons why you should travel to Russia. Sometimes I wish I could keep Russia all to myself, just like Catherine the Great kept Hermitage closed to everyone. But I know it is time to share Russia to the West. Be among the first to discover the magic of Russia.

By: Roberto Bell

Article Directory: http://www.articledashboard.com

This article is presented by Travel All Russia, the favorite agency for Russia travel for American travelers. When you decide to go to Russia you can find all the information about Russian cities and destinations, travel advise and St Petersburg tours on www.travelallrussia.com.

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What Do Franchisors Do

This doesn’t necessarily mean that you need liquid assets in the amount required to start your franchise. While some of the money will almost certainly come from your savings account, you should list all financial aid available to you. …   Read more…

What Are The Pros And Cons Of Franchising

Last week I promised we’d take a closer look at a few of the things you should look for when considering a franchise opportunity. Keep in mind that there are thousands of franchise opportunities that range from the low end opportunities …   Read more…

Speculating On Russia…

By all accounts, uranium miners and future developers should be ecstatic over the $72/pound announcement of the spot uranium price. The latest long-term uranium contract brought $69/pound. Many of the new uranium projects, which we have …   Read more…

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There are some fundamental mindsets of the Russian business people. Any person doing business in modern Russia or with Russians would benefit from knowing these as much of business behavior is guided by mindsets.

These five mindsets are

1.How things happen or don’t

2.Decision making - Hierarchy

3.Concept of time

4.Connections - "Blat"

5.Faith in own system

6.Conspicuous consumption

How things happen or don’t

In Russia how things happen or don’t is a mystery very difficult for outsiders to understand. For example, in neighboring Finland things (excluding matters to do with politics) usually happen rather systematically in a bureaucratic fashion and the process is usually rather transparent. In Russia nothing important happens without a crisis or big drama which forces people to act and the forces behind such crises could remain hidden from view. When you are caught up in this "period of inaction" don’t tell the Russians that they are lazy or inefficient. This is a big mistake. They are immensely proud of their culture, their status as a superpower and achievements like space exploration.

Decision-making - Hierarchy

Russia is a very hierarchic society and decision-making processes are very different from western (especially Finnish and Swedish) models. The hierarchical nature of Russian society with very large power distance is very important to remember in business dealings. Who approaches whom in business dealings is crucial to the success. Nowadays, Russian businesspeople pay a lot of attention to how they are dressed. Russian people in general probably spend more money from their family budget on clothing then any other nation in the world. Those who can’t afford to buy top fashion brand clothing (such as Versace, Armani or Hugo Boss) prefer to be dressed in cheaper but still well made clothing. There is an old Russian proverb–"They want to meet you depending on how you’re dressed and they say good bye depending on how wise you seem."

Concept of time

Many business people in neighboring Finland have started adopting the American concept of time - time is money. This is rather strange to the Russian concept of time. Though he may not appear to be very academic, the Russian businessman is very conscious of how Russia rose from Novgorod days to become a superpower. Russian time does not go in a straight line; it is more like a process of quantum leaps and small circles with no clear line joining the circles. So this concept of long time permeates every action of the Russian businessman. If you lose your nerves when things are not moving fast, you show signs of immaturity.

Connections - "Blat"

In Russia nothing significant moves without "Blat" or connections. People remember and count favors like currency. There is a great emphasis on building and maintaining personal cordial relationships through respect, presents, favors and counter favors.

Faith in own system

The neighboring Finns and Swedes believe that the Finnish or Swedish version of the democratic welfare state is the greatest achievement of the human mind and they are very proud of it. The Russians have a messianic approach to being Russian. For them it is the embodiment of the dream about perfection: nature, the world, man, man’s life, the dream about the Golden Age, about the heavenly city - Modern Rome. They believe that Mankind always goes onward only if the divine light lit the way. Until the fall of communism they seldom doubted this messianic mission. The current state of Russia, with the high prices, insecurity, terrorist attacks and failure of post-communist capitalism to bring heaven on earth has seen the Russian mindset moving towards, "Let’s learn and adopt everything Western!" while never forgetting "Mother Russia knows best." The fact that people complain about current state of affairs doesn’t erode this basic messianic faith. The following joke highlights this faith.

"A Russian and an American die and they both go to hell. Satan, the manager in charge of hell, asks them, "Which hell do you prefer, the Russian one or the American one?" "What’s the difference?" the Russian asks. "In the American hell, you will be forced to eat one bucket of waste every day; in the Russian, two," Satan explains. The American decides to go to the American hell. The Russian, being a patriot, chooses the Russian hell. One year later the two men run into one another. "How’s life?" the Russian asks. "Can’t complain," the American answers. "I eat one bucket of waste every morning, and then I’m free for the rest of the day. What about you?" "It couldn’t be better!" the Russian explains. "Just like back on earth! They’re either late with waste deliveries, or they’re having bucket shortages."

Conspicuous consumption

The American economist Torstein Veblen first coined the term in his "The Theory of the Leisure Class" back in 1899. Veblen argued that economic life is not driven by notions of utility, but by social vestiges from pre-historic times and much of today’s society is just a variation on early tribal life. This tribal character of Russian life is very central to understanding the stratification of Russian society. Brands and visible symbols of success are priority number one. Here is a nice joke, which is very descriptive about the NRs or Nouveau Riches.

After a car crash a NR is lying on the side of the road, weeping aloud. Oh, my BMW! - He wails, - Oh, my BMW! A passer by is shocked to hear it and asks "How can you cry about your car, when you’ve just lost your entire hand?" The NR evaluates the situation and resumes his cries: Oh, my Rolex! "

With Russians, you cannot separate culture from business. Acquiring cultural know-how and learning the rules of behavior is vital for success. It takes time to earn the trust and respect of Russians. Da (Yes)! Once you earn that they can be good and fun partners to do business with.

Author: Rana Sinha

Rana Sinha is a cross-cultural trainer and author. He was born in India, studied and lived in many places and traveled in over 80 countries, acquiring cross-cultural knowledge and building an extensive network of professionals. He has spent many years developing and delivering Cross-cultural Training, Professional Communications skills, Personal Development and Management solutions to all types of organizations and businesses in many countries. He now lives in Helsinki, Finland and runs http://www.dot-connect.com, which specializes in human resource development as well as communication and management skills training with cross-cultural emphasis. Read his cross-cultural blog http://originalwavelength.blogspot.com

Article Source: http://EzineArticles.com/?expert=Rana_Sinha

Tags: Learn How To Do Business With Russians.find out how to, russian franchising facts, what do I do to franchise into russia

The report ‘Weapons supplies to developing countries 1998-2005′ published by the research service of the USA Congress contains data claiming that last year Russia became number one in weapons export to developing countries with the total sum of supplies contracts amounted to 7.1 billion dollars. According to this document, excerpts from which were published with comments in The New York Times, Moscow beat Washington, which took the third position with its 6.2 billion dollars contracts. The second position belongs to France: it sold weapons on 6.3 billion dollars, according to the US Congress.

However, several facts of the ’sensational’ document cause serious doubts. First of all, data provided by the US Congress do not gee with the information spread in the beginning of the year by the Federal commission of military-technical cooperation of Russia where the volume of Russian weapons export in 2005 was estimated 6.126 billion dollars. The sum can be considered record as in recent years Russian exporters could hardly reach the verge of 5 billion dollars. It seems logical to be interested in clarification of the 1 billion difference in the Congress and the Federal commission data.

Washington didn’t beat about the bush to find an explanation of the difference mentioned above: their comments indicated the fact that they also included Russian export of several land anti-aircraft defense systems (zenith-missile complex TOR-M1) to Iran. At the same time the report didn’t emphasize the fact whether Moscow had already supplied the systems to Teheran or not. It only informed that the affair cost 700 thousand dollars and that apart from zenith-missile complex Russia had also sold 8 air tankers to Iran. Besides, Washington included Russian help concerning Teheran’s military equipment modernization into the volume of Russian supplies to Iran. In two words, Russia became ‘champion in weapons export’ through not only India and China, but also Iran.

And this is the second point that causes hesitations about objectivity and reliability of the analysis held by the research service of the Congress. Warlike equipment and arms export has always been quite a politically loaded issue. While marking Russian success in weapons trade the US report distinctly remarks upon their backsliding from leading positions in this chart. Interestingly, this happens straight prior to the Congress elections. The report claims that the States have lost a considerable share of the weapons market since 2004. That year the US did 9.4 billion dollars on weapons trade while Russia did only 5.4, and now Russia is one billion dollars ahead. The conclusion which is likely to get into many people of electional age minds is quite predictable: to vote for democrats who can bring back our leadership in weapons trade which means new jobs, new earnings…

It is necessary to mention that weapons export affairs in the States are not on the decline. In 2005 the US income from weapons trade was inconsiderably smaller than in 2004, besides, Russian achievements in this sphere don’t look that impressive in comparison with just one of the US contracts - 7 billion dollars contract with Turkey. Moreover, the US also provides NATO countries with weapons as well, while the mentioned market zone is deadly closed for Russian weapons suppliers.

The General assembly of NATO has recently made a decision to organize a special group to work out new international regulations concerning weapons trade and export. Experts hope that after the regulations come into force data on the achievements in this sphere will be more truthful and reliable.

Source:
http://www.rian.ru

Translation: Lavrentyeva Natalya

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Moscow people are quite a mystery. Sometimes we, Russians, can’t even understand ourselves. No wonder you want to study us!

You’ve probably noticed that Muscovites don’t smile often and look really grim. Don’t be fooled! We can be really nice, especially with our friends!

I guess the key to Russian is the phrase "Looks can be deceiving".

We don’t hide our feelings. In the West people try to smile no matter what. In Russia, this behavior is often considered tricky and immoral. Reverse is also true - a person who frowns and yells when mad is supposed to be honest and straight.

Don’t get me wrong, I’m not asking you to act the same! I’m not saying it’s bad to hide your feelings, I’m just saying that whenever you approach someone gloomy - don’t be afraid! Chances are you’ll enjoy a great conversation, make a new friend, and learn everything you needed to know in the finest detail!

Another thing - Russians usually speak very poor English. This situation’s been improving lately, but still… Don’t go out without a guide or a good map. If you get lost, chances are that people around won’t be able to help.

If you do get lost - have someone to call. A friend, a colleague, a relative - anybody who’s kind enough to help you with directions. Write down the phone of hotel’s reception. Don’t be shy to ask for help when you need it!

Another thing - Russians are very emotional. May seem weird, but that’s us. Don’t be surprised when people you barely know invite you over, share their phone numbers and even write you abroad. By the way, if someone invites you - don’t turn him down, they’ll think it’s rude. Refuse only if you have good reasons. Don’t forget to buy some gifts - Russian love those!

To conclude - we are not as tough as we look. Many foreigners fell in love with Russian people, married Russian women and even stayed in Russia for their entire lives.

Will you do the same?

Author: Anton Borodko

Anton Borodko is an owner of Moscow Insider’s Guide, which delivers insider tips and advice to anyone who plans to visit Russia or just know it better.

Anton’s rich muscovite experience ensures the quality and actuality of the information, and lets his visitors get the most out of their trip.

Article Source: http://EzineArticles.com/?expert=Anton_Borodko

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According to sources within the European Union the ongoing stand off over the delivery of natural gas between Russia and the Ukraine is doing quite a lot of damage to both countries’ credibility. A warning statement put out by the European Union says that the fight is going to result in major consequences in political, economic and financial markets.

Last week there was a pricing problem with Kyiv which caused Moscow to discontinue all of the gas supplies that would normally be transported to the European via the Ukraine. Apparently a deal was signed a few days ago that was designed to reinstitute the gas deliveries but representatives in the European Union say that nothing has happened. No gas deliveries have shown up.

There will be a meeting on Saturday in Moscow between Vladimir Putin, the Prime Minister of Russia and Yulia Tymoshenko, the Prime Minister of the Ukraine. Both Prime Ministers are expected to sit down and work out a deal to stop the crisis that is plaguing the West. The EU tried to broker a deal earlier this week but the Ukraine blocked the attempts made by Moscow to transport the gas.

For three days in a row Moscow has said that the gas pipeline was open at the Ukrainian border. Moscow says that the government has asked Kyiv to send a limited amount of gas through the Ukraine and into the European Union. According to Moscow, it is Naftohaz, the gas utility company for the Ukraine that has declined to pass on the gas. While Moscow swears that the delivery route will work, Naftohaz says that the route would force millions of people’s energy to be shut off for the delivery to get through.

Protests have erupted at the Russian consulate in the Ukraine. Picketers are protesting the Russian gas policies. Many European Union leaders have urged Moscow to fix the situation sooner than later. Moscow does not have the best reputation with it comes to being a reliable energy supplier and the dragging feet of the current Russian administration are not doing anything to help them elevate their reputation.

Around eighteen countries in the European Union have been directly affected by the sudden stoppage of gas flow out of Russia. The Ukraine transports around eighty percent of the gas that Russia exports to the European Union.

As the world works like crazy to end its dependence upon oil farmed in the Middle East, countries like Russia have tried valiantly to step up and prove themselves as a reliable energy provider for the rest of the world. Unfortunately battles between Russia and the border countries that separate it from the rest of Europe have made this difficult. To be sure, relations in the region are strained at best and this makes it difficult for Moscow to prove itself and for the West to move away from its dependence upon the Middle East.

As of yet there is no quick fix, but hopefully as time goes on and relationships smooth out, the situation will improve.

Author: John Parks

For more information on Moscow, visit http://www.moscowblog.net and http://www.moscowmicroblog.com

Article Source: http://EzineArticles.com/?expert=John_Parks

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Russians are very superstitious people. They will deny this, but it is true. These superstitions affect my life on a daily basis. Most of the time they are harmless and I go along with them to humor my wife. Sometimes I tease her about them.

New superstitions pop up all the time, as new situations arise in our life. I keep telling her that I need a rulebook for them. Perhaps someday I will codify them in a book.

Russians are raised with these superstitions so they have no need to consult a manual.

Here are some of them. It is by no means an exhaustive list:

1) You can’t whistle in the house or car, as they believe that you are whistling away your money.

At a dinner party at our house, a friend of mine started whistling. My wife silenced him immediately. She explained to him, ‘You can whistle in your own house, but you can’t whistle in mine. In my house, it’s my money you are whistling away.’

When she first came to America, she would see people standing at intersections holding signs. She asked me what they were doing. I told her they were asking for money. She asked me why. I told her that they had done entirely too much whistling in their house for their own good.

2) If you step on your spouse’s shoe by accident, you have to let the other person step on your shoe, or you will have an argument.

I never tested this superstition. It seemed easier to go along with the remedy than pay the price for violating it.

3) If you leave your house, you cannot go back inside for something you have forgotten, or your trip will result in ‘nothing good,’ as my wife says.

4) If you must go back in to get the forgotten item, you can try to mitigate the bad effects of returning by looking into the mirror at your own reflection for a moment before you leave again.

5) Never demonstrate another’s surgery or wound on your own body with your hand or other means as you are likely to visit that upon yourself.

In the few times I have done this, my wife has tried to remedy this by wiping away the spot where I made the imaginary incision with her hand, blowing on her hand to blow it away to the wind, and covering it with the sign of the cross.

6) Never give a Russian woman an even number of flowers. Even numbers are for the dead. Always give odd numbers. When you order a dozen, or two dozen roses, for her, ask them to throw in an extra one for good luck.

7) Never give yellow flowers to a Russian woman. It signifies infidelity and may mean that your relationship will not last.

Never give a watch as a gift to a Russian woman. Time is running out on your relationship.

9) Never give knives or handkerchiefs as gifts. I don’t know the reason for this one.

10) Never celebrate a birthday early. You are pushing your luck.

11) Don’t show your newborn baby to strangers until after forty days. They are waiting for their soul to arrive and they may take on another’s soul or energy during that time.

12) It’s best to cut your hair or nails during a full moon.

13) It’s considered bad luck to shave or cut your hair when a family member is in danger or bad health.

14) Whenever someone praises you or offers a positive comment, you knock on wood or imaginarily spit three times over your left shoulder so that you are not jinxed by the comment.

15) Do not shake hands or kiss over the threshold of a door. It forms a bridge that allows the devil or evil spirits from the outside to enter the house this way. When I have done this by mistake, my wife usually pushes me back outside or pulls me inside before greeting me with a kiss at the front door.

16) Before anyone takes a long trip, the whole family sits together silently for a few minutes before the traveler leaves.

17) The truly superstitious have been known to eat ‘lucky’ bus tickets, when the sum of the left three numbers equals the sum of the three numbers on the right.

18) Recently, while preparing to give my infant daughter a bath, the little tyke peed on me while I was taking her clothes off. My wife laughed and said that it was good news. It meant that I would live to dance at my daughter’s wedding!

This list is not exhaustive by any means. Superstitions vary by country and locale. There is a popular Russian television show that travels around the country exploring the unique superstitions of each particular town or village.

Many of the superstitions came from folk tales or fairy stories, Russian Orthodox tradition, or had peasant or agricultural roots. Most Russians are only one or two generations from the farm or village.

At any rate, be aware of the superstitions and try to show some respect for them whether or not you believe in them. Your Russian friends will appreciate it.

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My wife went to her ESL class in America one day. Her teacher introduced her to another young woman from Belarus. We shall call her Valentina, which is not her real name.

Her real name has been changed to protect the not so innocent. She spoke no English.

Valentina told this long story about being brought to America by a man who was thirty years older than her. She said that he refused to feed her and take care of her. She said she ran away from him and was staying at the home of another Russian family.

She had exceeded the three months allowed by the fianc visa, without marrying the man who brought her here. She was now in America illegally.

My wife invited her to dinner. She invited a friend of mine to dinner as well, who is an attorney, hoping that he could give her some advice.

Valentina asked my wife if she cooked for me every day. My wife said yes. Valentina explained to her in Russian that she would not be bothered with any of that.

Valentina asked my wife if I had a maid. My wife explained that she did the cleaning. Again Valentina turned her nose up at the idea of household chores.

Valentina didn’t eat much at dinner, but she drank nearly a bottle of wine by herself. The wine loosened her lips.

Valentina explained that the man who brought her to America had mental problems. She said he ‘acted like a bird, flapping his arms like wings, as he danced around his car.’

Valentina said she knew of his mental problems before she came to America, but she came anyway.

She said she didn’t know if she would have another chance to get to America otherwise.

My friend, the attorney, tried to offer her legal help. He offered her a job cleaning his house if she needed some extra money.

Valentina explained to my wife, in Russian, in no uncertain terms, that she would rather earn money in a different way, rather than housework.

She asked how my wife could stand being around ‘these fat old men,’ referring to my friend and I.

My wife got more and more angry with Valentina as the evening wore on. She cut off all relationship with her after that evening.

We heard through the grapevine that Valentina was on her way to Los Angeles to get her visa problems taken care of. She was probably now in the hands of the Russian Mafyia - people she could understand because they thought just like her.

Tags: business russian franchising, franchise russia business, What Is A Russian Gold-Digger