Title: Persistence and strengths of informal networks: clientelism in the post-Soviet Union

Authors: Sven Horak; Verena Bader

Addresses: St. John's University, The Peter J. Tobin College of Business, Department of Management, 8000 Utopia Parkway, Queens, NY 11439, USA ' Bundeswehr University Munich, Faculty of Economics and Organizational Science, Human Resource Management and Organization, Werner-Heisenberg-Weg 39, 85577 Neubiberg, Germany

Abstract: In this theoretical study, we challenge two prevalent assumptions in the international business domain: the 'disappearance of informal networks' and the 'strength of weak ties' assumptions. Drawing on cultural as well as informality studies, we explore the phenomenon of clientelism and its characteristics in the post-Soviet Union. We argue that informal ties based on patron-client relations are neither disappearing nor is weakness a characteristic that makes them strong. We propose that diverse clientelistic ties appear to persist in the post-Soviet Union, as they are culturally embedded and dynamically adjust to changes in the environment. Finally, we argue that the nature of clientelism is paradoxical: on the one hand, it is prone to favouritism, but when it comes to weak governments, clientelistic practices may, on the other hand, be seen as an effective means to overcome social boundaries by connecting persons of different social classes.

Keywords: clientelism; patronage; corruption; informality; informal institutions; weak ties; strong ties; blat/svyazi; post-Soviet Union; emerging markets; Russia.

DOI: 10.1504/EJIM.2023.128428

European Journal of International Management, 2023 Vol.19 No.2, pp.265 - 294

Received: 30 Mar 2018
Accepted: 24 Feb 2019
Published online: 23 Jan 2023 *

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