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Conclusion

· The list of where things have gone wrong is endless. In the majority of cases it is because of a small insignificant detail which could have been avoided at the outset. (eg. Contract signed with a company with the wrong legal address but with the physical address instead; no specific instructions, not only to segregate a product but how it should be segregated; foreign director, arriving once a month for 3 days never making the effort to get to know the distributor or factory director etc etc)
· Just as previously the case was "do not think you know Moscow and can follow it from abroad", now it is no less relevant: "Do not think that just because you have been long-founded in Moscow that you know the rest of Russia".
· Effective employment of some or a combination of the aforementioned three main areas, dependant upon the type of project, does reduce the risk to an investment project.

DRUM specialises in risk and collateral management throughout the CIS. Each location requires a different approach, from the former Soviet countries to Russia to Moscow. The above is a general outline on approaches to projects in these areas.




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