Foreign firms have shown increased interest in Russia, but they often encounter
cultural problems after they enter that market (Cattaneo, 1992; Fey, 1997). Thus,
research on this topic should have value for both theory and practice. As Luthans, Welsh,
and Rosenkratz (1993: 742) have noted, “The assumptions coming out of the news media
are that the Russians are failing badly because they know little about modern
management techniques and, in fact, US and Russian management systems are quite
different. The time has come to assess these assumptions.”