With vast natural resources, a well-educated and inexpensive labor force, and 150
million people, Russia has attracted many foreign firms. Nonetheless, doing business in
Russia can be very risky. Risks include factors such as organized crime, intractable
bureaucracy, uncertain legislation, an arbitrary tax system, and an unstable political and
economic system. These environmental factors are characteristics of the market place
and are difficult for any single company to influence. In contrast, this paper seeks to
examine the influence of enterprise factors such as organizational culture on the success
of foreign firms operating in Russia.