Problems of Russia’s participation in global value chains

The article explores the key issues tied to Russia’s participating in global value chains under constraints in national economic development and business. Specificities of Russian economy and Russian sectoral specialization, which includes export-oriented production and increased demand in Russian energy resources, natural resources, oil extraction industry and other extraction and manufacturing industry products among overseas producers and consumers in the world market, play a significant role as crucial reasons for Russia’s deeper engagement in the process of creating added value. Russia possesses a certain set of potential in taking advantageous positions in the global chains and is capable to deliver a set of benefits that create opportunities for improvement in the country’s current participation in international production. In reality, the Russian manufacturers aren’t sufficiently advantageous in global value chains and their engagement in the sphere of international cooperation within global value chains isn’t effective due to regulatory restrictions and the fact that Russian economy lags behind developed economies. There have been defined the features of Russian economy and business, the weak points, key differences from other countries that participate in the global value chains and key indicators of Russia’s engagement in global value chains. Within the defined major issues that prevent Russia from engaging in global value chains effectively, the state plans to eliminate issues and measures to implement these plans and strategies for improvement in the positions and ways of integration of the country were examined. In conclusion there were formulated the possible ways of improving the position of Russia in the global value chains, based on the reviewed problems and constraints in national entrepreneurship, state support system and conditions of international trade