RUSSIAN RETAIL DISTRIBUTION: STRUCTURE AND PRODUCT PROCUREMENT

Identifies the purpose of the study as gathering exploratory data on organizational structure and product procurement process for Russian retail stores. Results came from conducting in‐depth interviews with six retail executives in Russia, in which respondents answered a series of open‐ended questions regarding organizational structure, product procurement procedures and demographics. Results highlighted similarities to product procurement processes used by large retail organizations in the USA. Concludes that the person responsible for“buying” merchandise is usually a female with a college education, in middle management, with five to ten years of previous retail experience. Finds that the “buyer” has the freedom to source approximately 25 per cent of the budget from small enterprises or foreign companies. Notes that a lack of convertible currency led to a dramatic decrease in the level of imported goods during the first eight months of 1991; and that goods are most frequently imported from the socialist countries of Eastern Europe. Expects changes in the product procurement process as a result of the dynamic economic environment.