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How to turn russians into capitalists

By Rodger Henn, CAS '70 and '80, international business adviser
UC Rodger Henn
 

UC alumnus Rodger Henn (center) toured an oil rig anchored in the Caspian Sea near Baku, Azerbaijan, along with the president and director of the company that he had been advising.

Recognize what is happening. Russians are turning themselves into capitalists. Since the fall of communism, they're soaking up all the business knowledge they can get, like a sponge. I experienced it as a short-term volunteer for nonprofit U.S.-supported organizations that send business advisers to Eastern Europe. It's so much fun to help them with their businesses and see how eager they are to try new ideas.

Teach basic business sense. The owner of a hair salon in Nizhny Novgorod, near St. Petersburg, asked me to coach his employees in ways to make the business more customer-oriented. I had them do a comparison of services they offered and those available from the competition. The owner also wanted to expand, maybe even buy out one of his competitors. We compared financing costs with the revenue he might expect and estimated how soon he would be out of debt. He realized it would be smarter to enlarge his original shop and postpone opening other locations.

Kindle the entrepreneurial urge.
Entrepreneurs are melting the ice, even in the eastern Siberian city of Magadan, where daylight may last only six hours and snow falls almost every day. Where Stalin once banished political foes, I taught entrepreneurs how to write their business plans. My assignment at the Russian-American business education center also included working with the city and banking system to pull financing together.

Spread the word next door. Russia's neighbors are looking for help, too. My most recent trip was to the Azerbaijan capital, Baku. I gave strategic planning advice to a company that buys and sells oil-drilling equipment. We talked about ways to reduce costs and some possibilities for making more money. They have little knowledge of marketing and no real advertising avenues, so I could give them lots of suggestions.

Henn, a Cinergy retiree, is owner of Import Specialist, a business offering Russian fine art and unusual collectibles, including 100,000-year-old mammoth tusks and hair. He has made more than 30 trips to Russia in the past 10 years, some on behalf of his business and the rest on assignment as a volunteer for ACDE/ VOCA or the Citizens Democracy Corps.

Links:
Check out Henn's Web site and find out more about two organizations that
send U.S. volunteers to Eastern Europe (www.acdivoca.org and www.cdc.org).

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