New forms of self-employment in Russia: remote work patterns and e-markets
This study contributes to the literature on heterogeneous self-employment by investigating the diversity of work motivation. Using two samples obtained from freelancers, who participate in online freelance marketplaces, we analyze the relationship between individual work values and self-employment situations. Principal component analysis (PCA) revealed four value dimensions: (1) intrinsic, (2) social, (3) comfort, and (4) security. Using multinomial logistic regression, we found that people who work exclusively as freelancers, moonlighters who also hold regular jobs, and entrepreneurs who also run small businesses have distinct sets of work values. Genuine freelancers ignore security and social values, but seek intrinsic rewards and comfort to balance work and life. Entrepreneurs show the least preference for security, do not appreciate comfort, but seek intrinsic and social job rewards. Moonlighters show the highest preference for security, value social rewards, but ignore intrinsic rewards and comfort. Although the study deals with the self-employed, it also sheds light on the general association between work values and jobs.
The purpose of this research is the analysis of the most crucial internal parameters influencing financial decisions connected with personal perception of entrepreneurial activities and objective characteristics of the project. Given received assessments, entrepreneurs with higher education and permanent job in majority of cases apply for informal loans to finance business with low value added and minimal start-up costs. Thus entrepreneurship takes the form of self-employment and not an activity that generates new products and technologies.
Drawing on a unique dataset of 9685 Internet freelancers, we shed light on the entrepreneurial potential of the Russian-language online labour market, where more than half of freelancers exhibit entrepreneurial orientations. Our findings reveal heterogeneity of Internet freelancers in relation to entrepreneurship documenting strong differences amongst groups of actual entrepreneurs, potential entrepreneurs and non-entrepreneurs in terms of socio-demographics, professional characteristics, work behaviour and wellbeing. The fact that by most indicators potential entrepreneurs who plan to start a business typically take an intermediate position between non-entrepreneurs and actual entrepreneurs signals the feasibility of entrepreneurial intentions. Researching the entrepreneurial potential of Internet freelancers contributes to better understanding of how solo self-employment may give rise to new businesses in knowledge-intensive and creative industries which are crucial for modernising transition economies.
A specific form of informal employment is presented by electronic freelancers, e.g. self-employed professionals working remotely via the Internet. Andrey Shevchuk and Denis Strebkov launched Russian Freelance Survey (RFS) that brought more than 10,000 usable responses in each of two waves in 2008 and 2010, making RFS one of the largest freelance surveys in the world. Using these unique data sets, the authors describe the main groups involved in the Russian-speaking e-lance market and demonstrate how they cope with the high level of informality of institutional arrangements and opportunistic behaviour of market actors.
Global changes in all spheres of society led to the formation of a new labor market in the Internet. The aim of this work is defines the role of market participants Internet work and their features.
Based on a sample of 5,784 Russian-speaking respondents, this study provides the first quantitative evidence on freelance contracting via the Internet. We explore the extent to which these virtual business relations are formal or informal, and the role of social capital and
networking. Our data suggest freelancers act under constant threat of malfeasance from clients. We address a number of questions associated with freelancers’ business risks and how freelancers might mitigate them. The logistic regression models reveal that the virtualization of relationships with clients is associated with greater moral hazard risks and fewer opportunities for dispute resolution. Formal written contracts do not prevent opportunistic behaviors by clients, though such contracts help resolve conflicts. Dealing with available social contacts and referrals decreases both the probability of extreme opportunism, causing financial losses, and the probability that disputes remain unresolved. Nevertheless, established social relations could be exploited by clients who
can delay payments or insist on altering deadlines, work scope and specifications. Thus, our findings contribute to existing literatures on social capital in freelance contracting and on the structure of occupational labor markets.
The level of self-employment among immigrants is often higher than among natives. The purpose of this paper was to test empirically whether selective migration with respect to entrepreneurial characteristics may explain this difference. The relevant hypotheses were tested comparing representative samples of Russian immigrants in Norway and their stay-at-home counterparts. Data from the Russian population came from the 2008 GEM study, while data on Russian immigrants in Norway were collected through a specially designed postal survey. The analysis revealed some demographic dissimilarity between the two groups, as well as a presence of selective migration with respect to entrepreneurial characteristics. This study demonstrates that immigrants (as compared to non-migrants) are more likely to report intentions to start a business. Moreover, they possess relatively large amount of specific human capital, social capital and self-confidence relevant for entrepreneurship. The paper concludes with proposed practical implications and suggestions for further research.