title: Informal Institutions in Contracting under Conditions of Fundamental Changes (Evidence from the Large-diameter Pipe Industry)
metadata.name: dc.contributor.author
metadata.value: Shastitko, Andrey E.
metadata.lang: -
metadata.name: dc.contributor.author
metadata.value: Shabalov, Ivan P.
metadata.lang: -
metadata.name: dc.contributor.author
metadata.value: Filippova, Irina N.
metadata.lang: -
metadata.name: dc.date.accessioned
metadata.value: 2020-02-06T15:39:31Z
metadata.lang: -
metadata.name: dc.date.available
metadata.value: 2020-02-06T15:39:31Z
metadata.lang: -
metadata.name: dc.date.issued
metadata.value: 2019-12
metadata.lang: -
metadata.name: dc.identifier.citation
metadata.value: Shastitko A. E., Shabalov I. P., Filippova I. N. (2019) Informal Institutions in Contracting under Conditions of Fundamental Changes (Evidence from the Large-diameter Pipe Industry). St Petersburg University Journal of Economic Studies, vol. 35, iss. 4, pp. 484–512.
metadata.lang: en_GB
metadata.name: dc.identifier.other
metadata.value: https://doi.org/10.21638/spbu05.2019.401
metadata.lang: -
metadata.name: dc.identifier.uri
metadata.value: http://hdl.handle.net/11701/17020
metadata.lang: -
metadata.name: dc.description.abstract
metadata.value: The article aims to shed a light on the role processes of negotiations for the development
  of industry, especially in the context of fundamental changes caused by external factors that
  require adapting contracts. The study considers the example of Russian production of large
  diameter pipes (LDP). This achieved significant success in 2015-2016, but currently this sector
  is experiencing a decline in demand, crises in negotiations, and a transition to non-cooperative
  behavior. The development of the industry has required decisions based mainly not on
  complete formal legal contracts, but on informal agreements, including active negotiations
  between market participants. Negotiations have been provided by a specialized agent, an “intermediary”
  (facilitator) in the LDP market. The facilitator had competence in specialized
  negotiations, as his interests partially coincided with those of consumers and manufacturers.
  However, due to the negative demand shock, the facilitator left the market, and as a result, a
  crisis of negotiations between main market participants arose, which led to a transition to new
  market participants who do not have formal certification of expertise. New institutional economic
  theory, negotiation theory, and game theory do not address in detail the role of negotiations
  between companies. In this paper, we consider game-theoretic models that reproduce
  the decisions of market participants and an equilibrium they form, which takes into account
  the role of negotiations and their features. The analysis shows possibilities and limitations of
  informal institutions in the negotiation process, contributing to the distribution conflict solution
  and a way out of non-cooperative interaction of market participants. It leads to a market
  equilibrium with a product of high quality. This work develops a new institutional economic
  theory through a synthesis with theory of negotiations and application of these concepts to
  An analysis of Russian companies’ interaction practices. Further development of this synthesis
  may reveal the underestimated role of informal institutions in practical decision-making.
metadata.lang: en_GB
metadata.name: dc.language.iso
metadata.value: ru
metadata.lang: en_GB
metadata.name: dc.relation.ispartofseries
metadata.value: St Petersburg University Journal of Economic Studies;Volume 35; Issue 4
metadata.lang: -
metadata.name: dc.subject
metadata.value: large diameter pipes
metadata.lang: en_GB
metadata.name: dc.subject
metadata.value: negotiations
metadata.lang: en_GB
metadata.name: dc.subject
metadata.value: game theory model
metadata.lang: en_GB
metadata.name: dc.subject
metadata.value: industry development
metadata.lang: en_GB
metadata.name: dc.subject
metadata.value: informal institutions
metadata.lang: en_GB
metadata.name: dc.title
metadata.value: Informal Institutions in Contracting under Conditions of Fundamental Changes (Evidence from the Large-diameter Pipe Industry)
metadata.lang: en_GB
metadata.name: dc.type
metadata.value: Article
metadata.lang: en_GB
resources.filename: 484_512.pdf
resources.url: https://dspace.spbu.ru/bitstream/11701/17020/3/484_512.pdf
resources.format: Adobe PDF
resources.size: 945,36 kB