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date: 17 December 2018

Abstract and Keywords

The article addresses two equally challenging issues concerning the Russian organized crime in the 1990s: the causes of its explosive growth and the causes of its rather swift extinction in the 2000s. The answers lie in the dynamics of the Russian state and institutions of the market exchange. The study looks at the various origins of organized crime, its business patterns, and the shadow arbitration, including the so-called notional contracts. The competitive pressures of the legal private security industry and the strengthening of the Russian state and of its judicial system undermined the economic foundations of organized crime so that law enforcement could subsequently suppress it.

Keywords: violent entrepreneurship, enforcement partnership, shadow arbitration, private security companies

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