Institutional Aspects of Entrepreneurship

Review. The purpose of the research is to evaluate the entrepreneurship sector with regard to its completeness with institutions and their efficacy. The model of entrepreneurial institutions has been developed. It includes informal constraints, namely: natural laws, laws of enterprise, social norms (religious and social). Formal rules include normative regulations of different levels of legal significance and legislative organizations. They also include structures that enforce social norms and formal rules. The area of entrepreneurship regulation is replete with the requisite tools. It is dominated by the rules governing commercial enterprise, while a non-commercial enterprise is paid much less attention. The effectiveness of the implementation of formal rules is not high enough. The fines paid for the violation of labor legislation, fire safety and antitrust legislation prevail in the structure of the fines paid to the RF federal budget. Factors: tightening the rules of entrepreneurial activities; an insufficiently rapid process of adopting and implementing legislative acts; contradictions of the rules of law; lobbying interests of big capital by the state; increased number of participants in the procurement process. Organizations that facilitate enterprise development are inefficient; the majority of entrepreneurs do not take part in their activities. In Russia "subsidy" enterprise is being developed, there are no fundamentally innovative initiatives to facilitate the "rules of the game" on the market. Supporting big business, the state is increasing restrictive legislative framework for small businesses declaring "emancipation" of entrepreneurial initiatives. In fact, distrust is growing between small business and the government. The government should focus its work on developing entrepreneurial thinking of people, motivating people to set up their own businesses simultaneously reducing the level of bureaucracy in law-making, improving the business environment by implementing the policies that support effective demand of the population.

Institute, formal rules, informal restrictions, entrepreneurship, structures, barriers, rating, laws, freedom, fines, moratorium, bureaucracy, mistrust, capital

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