Explaining the "Ilya Muromets syndrome" of business innovations in Russian industries
This article provides an explanation of the reasons for the low
intensity of innovative behavior in the vast majority of Russian
industrial companies found in a survey of corporate executives
administered in 2011. I found two major causes for the situation
when companies possess sufficient innovative capabilities but lack
the motivation to use such capabilities for real innovative actions:
the positive perception of the CEOs about the already achieved
competitive positions of their companies and the unwillingness of
shareholders who act as dominant stakeholders of most Russian
industrial companies to bear additional risks associated with innovations.
I labeled this ‘‘Ilya Muromets syndrome’’: Like the youth of
the Russian hero Ilya Murmonets, Russian industrial firms seem to
be trapped in their bed of complacency, and only exceptional
circumstances can stir them to heroic innovative actions.