On Relationship Between State, Market And Society In Marketing And Democratic Transition Of Russia

Under the mode of traditional planned economy, the state controls all social resources, put both the market and the society under her rules. Society becomes inanimate, and market can’t come into play. Market-oriented economy and democratic politics, on the contrary, requires subjects of market and society to own power and space to choose independently. Therefore, marketing and democratic transition, in essence, is to reconstruct the relationship between market, state and society, which reflects the transition of national behavior from controlling strategy to governance strategy. These changes and development can be concluded as the result of interaction between human behavior and social institutions, and reflect a historical process of transition from tradition to modernization. The marketing and democratic transition, which has happened in Russia since 1980s, is a transition from a highly centralized planned economic system to free-choice-based market economic system, which in essence aims to reconstruct the relationship between state and market, and that between state and society. Through reviewing transitional process from nationalism-oriented state, through free-market-oriented to social-rights-oriented state in Russia, we find the following four facts. The relation of state, market and society keeps readjusting and reconstructing. Periodic structuring unbalance appears. Mechanic harmony of the three fails to be realized. Marketing and democratic transition develops while conflicting with each other, which reflects the cooperative and gaming relationship between the state, market and society. State, market and society are three major governance mechanics to maintain governance discipline and push economic society to develop. Each them has its respective advantages and disadvantages. Only by comprehensively utilizing the three mechanisms, making them complement each other’s advantages, realize dynamic harmony, steady order and persisting property can be achieved.This article reviews the transitional process of marketing and democratization, analyzes the changes and function of relationship between state, market and society based on the related economic, politic and sociological theories, and examines the situation, traits, mutual inner mechanism and effects of the state force, market capital, and social power in different stages of Russian transition. This article is composed of 8 chapters. Chapter one is introduction. Chaper 2 to 7 compose the main contents, and chapter 8 is the future prospect and conclusion. Main contents go as follows.Chapter 1 introduces the background and significance of the work, literature and comments, research plan and methodology, innovation and deficiency.Chapter 2 elaborates the essential connotation of state, market and society, and explains the concepts, contents, targets and functions of marketing and democratization, based on the nationalism theory, the neo-liberalism theory, the civil society theory, the market failure theory and the government failure theory.Chapter 3 proposes a general explanation to the marketing and democratic transition based on the relationship between the state and market, and the relationship between the state and society, which construct a theoretical framework for the following analysis to the path Russia has chosen for marketing and democratic transition.Chapter 4 reviews the periodical stages of Russian transition. The Planned economy in former Soviet Union is a state-dominated economic development mode, in which, market and society is invisible. State covers the society with serious unbalanced structure between the three resources allocation mechanisms. At the beginning of the transition, Russia obeys the principles proposed by Washington Consensus to weaken national role in national economic affairs, which results in market covers the state and throw the state market and society into a new structural unbalance. In middle and late period of Yeltsin period, state and capital converges, seriously harms social benefits. Since Putin era, state begins to suppress oligopoly capital and implement society-beneficial policies.Chapter 5 analyzes relationship between state and market in Russian marketing transition. The transition experiences dominating market and weakened state at the first transitional period, the collision of political power and capital power in the middle and late period of Yeltsin period, and state-guided marketing mode in Putin period. In different periods of transition, interaction of state power and market power and transitional effects keep changing. Based on these changes, state should play a role as a protector of market order.Chapter 6 analyzes relationship between state and society in Russian democratic transition. It is social structure change that starts the democratic transition, which further deepens the social structure diversification. From the perspective of relationship between state and society in different transitional period, the pro-market policy implemented in Yeltsin period causes adjustment of social hierarchy and polarization aggravation. The nationalism policies implemented in Putin period bring the society back to steady state. The maturing civil society on one hand deepens democratic transition, on the other hand restricts and influence the market efficiency improvement. Based on these analyses, state should play a role as a protector of social justice.Chapter 7 analyses the practical dilemma faced by Russian transition and answers the question where for transition to go. Russian transition dilemma is manifested as unbalanced structure of state, market and society, the nature of which is the weird circle drawn by inner confliction of marketing and democratic transition. The key to the problem is to find out a dynamic balanced mode of state, market and society in Russia. Analyzing from the point of view of relation between state, market and society, there are theoretically three possible choices for Russian transition, among which Russian most likely chooses a transitional path with Russian characteristic under dynamic balanced relationship between state, market and society. From the point of view of cooperative relation evolution between state, market and society, a theoretical framework is proposed to analyze Russian transition, which includes macro-institutional coordination, mezzo-organizational coordination and micro-strategic coordination. Macro-institutional coordination is a static and steady coordination. Even if micro-strategies makes some mistakes, these mistakes will not affect steady state. However, if Macro-institution is not coordinated, micro-strategies will not maintain steady in the long run. The mezzo-organizational coordination and individual coordination are bases of Macro-institution coordination. They decides whether macro-institution coordination and micro-strategy can work, and the effects of their work.Chapter 8 reflects marketing and democratic processes in general under the condition of open economy, and concludes that transitional countries have to face double democratization paradox caused by domestic and abroad influence when these countries join in world economy. With globalized allocation of capital, controlling market power begins to influence the state’s and society’s role. The experience and lessons learned from transitional countries including Russia, enlightens China’s practice in perfecting market economic system and development of democratic political. As conclusion, the article works out the prospects of China’s transition based on analysis to the relationship between state, market and society in China.