Arguably the notion of property rights in today’s Russia is subliminally biased by a Soviet education that inculcated a highly negative view of individual property ownership. The antipathy to the “loss of face” in Asia makes it difficult to institute, for example, the bankruptcy procedures of Western nations, and in the West we each differ owing to deep-seated views of creditor-debtor relationships.
Corporate governance that defines the distribution of power invariably reflects the most profoundly held societal views about the appropriate interaction of parties in business transactions. It is thus not a simple matter to append a capital markets infrastructure to an economy developed without it.