Archive for July, 2009
Closing of the legendary “Cherkizovskij Market” in Moscow
Thursday, July 30th, 2009 | Journey | 1 Comment
The news about the closing of the legendary market in the eastern part of Moscow near by the international hotel complex “Izmajlovo” spread like a fire. The market of the size of about 200 ha is existing since the early 90-ies and emerged to be the biggest one in Europe with approx. 100 000 persons employed. Most of the people involved into the production and distribution chains come from China and smaller (Central) Asian countries having no legal residence permit. The daily turnover of this market is estimated to be more than 200 000 US-$ per diem. The management of the market remains in the hands of the Izmajlovo clan – Telman Izmajlov, his two sons and his nephew- since 1989. Shortly, Mr. Izmaijlov attracted attention by opening the most expensive and luxurious hotel resort in Turky inviting prominent guests from all around the world.

Cherkizovsij Rynok
The latest news report just a “preliminary closing” of the market because of ” failors of sanitary and dealing norms”. In fact, the market is considered to have a criminal touch in terms of the way of making business and the trading goods. The missing certifications and other documents for many goods are then the simplest delicts. A closing of the “Cherkizovskij market” has been tried several times since 2001, but without any success.
Is the current situation more authoritative then it has been in the past? Now plans to build a sport and entertainment center as well as a modern shopping center, instead of the shabby market hall, the kiosks and the large parking for the trucks with (illegal) goods, becoming more and more realistic. Shortly the Chinese deputy secretary of trade who visited Moscow and showed interest in finding a con-sens regarding the destiny of the over 60 000 Chinese who worked at the Cherkizovskij market as well as the goods to the amount of 5 billion US-$, which are still in the area. He confirmed that the Chinese government is willing to invest about 1 Billion US-$ in building a new shopping-center as well as a large-scale logistic center and customs terminal. This project would take at least two years in case of the final clarification of the matter.
Until then hundreds of police officers are patrolling around the housing estates to prevent a rising of criminal incidents. It`ll take some time to stabilize this tense situation with thousands unemployed Asians who are just hanging around the Metro stations and nearby “Izmajlovo Park” awaiting the issue.
Democratization and Transition from Plan to Market Economy
Tuesday, July 28th, 2009 | Film Reviews, University | 2 Comments
To understand the still ongoing political and economical processes in Eastern Europe (or especially in Czech Rep.) since 1989, we have to know something about the existing transition theories. This post gives you a short overview about the main theories predominating the transition research.
Basically there are four directions, which are of importance. It started in the 60-ies with the Systems-Theory of Talcott Parsons which postulates the development of so called ” evolution universals”. He argued that, like Darwin`s evolution of biological organisms, societies progress through their “capacity for generalized adaptation” to their environment. This is achieved mainly through the development of specialized institutions to perform the social functions necessary to meet increasingly specialized needs (structural differentiation). Evolution is then from traditional to modern societies, and progress can be charted via bureaucratic organization, money and market complexes, social stratification, cultural legitimation and the emergence of generalized universalised norms.
Seymor M. Lipset advanced Parsons` theory and developed a casual connection between economical development and democratization. According to this, a growing GDP entails a better education, growing prosperity, tolerance, moderate working style of policy, a consolidation of civil society and eventually democratic structures. This steps of development are essential for the neoliberal paradigm which focuses the free market economy with its constitutive criteria ( e.g. private ownership, free price formation, freedom of competition).
This so called Theory of Modernization and Parsons` Systems Theory expanded into the paradigm of the neoliberal institutions like the World Bank and the International Monetary Fund (Bretton-Woods institutions). While this neoliberal model of development has been implemented on several countries of the third democratization wave (like India, Latin-America, Portugal) more and more criticism began to rise. Mainly the over- simplification as well as the missing explanation for the economical development without further democratization such as in several Arabic countries have been criticized.
New approaches in the transition research began to become more and more accepted. The publication of Huntington`s “Clash of Civilization” in the beginning of the 90-ies focused on the cultural aspects of countries in transition. Cultural theorists assume a close relationship between the secularization of a society and its ability and success in developing democratic structures. Therefor some societies just cannot be democratized because of their special religious-cultural roots which cannot be just replaced by new institutions and values.
Another branch of research are the stakeholder theories, which look on the microscopic level at the small elite-groups which seem to control the transition processes in a country. According to this, different stakeholder combinations can be identified as well as possible activities and developments be fore-casted. This is the main advantage over the Systems and Modernizing theories.
All in one the four theories complement one another so that a stakeholder analysis cannot be made without a system theoretical background. The multidimensional question of the success of the Czech transition strategy as well as the initial situation at the retail market will be targeted in the next post.
Transition of Retail in Prague- A Stakeholder Analysis
Monday, July 27th, 2009 | University | No Comments
Thesis is done! Now I`ve some time to write about it…Let`s start then!
The collaps of the old socialistic system ushered the former Eastern Bloc states in a new era. The transition from the command towards a free market economy has been a tour de forces which ment a radical social and political change.
This thesis focuses on the transitional process at the retail market which is supposed to be “most sensitive to changes”.
Due to the political and economical changes in the Czech Re-public in the beginning of the nineties, this market underwent significant re-structuring, which had an impact on the real estate market, the supply and demand situation as well as on the spatial structure of the city of Prague.
The co-operation between the major stakeholder groups – urban planning, developer, real estate and trading companies – is of primary importance for the empirical analysis of the thesis. Several experts have been interviewed concerning the above mentioned context in Prague.
In the first place it`s intresting to look at the theory, which I`ll introduce to you in the first part of this post-series.
Then we`ll have look at some examples of retail projects in Prague to visualize the current situation.
In the third part, I`ll analyse the stakeholder co-coperation as well as the impact on the urban planning in Prague.