FOCUS: Window on Eastern Europe Business Integrity in Transitional Economies: Central & Eastern Europe

Examines the challenges facing the small & medium businesses that are so critical to the establishment of capitalism in Eastern Europe. Telephone interviews & group discussions were conducted with 200 businesspersons in Poland & Slovakia, followed by a structured debate. It is found that Ss view the business environment as highly corrupt & have views of law & state that are very negative; shortage of money is also a problem. The negative heritage of communism is reflected in distorted pay scales, high levels of bribery, & mistrust of authority. It is recommended that businesses take steps to develop stable & fair institutional frameworks, altered public attitudes toward business, & pay scales that reflect level of responsibility & competence. 4 References. M. Wagner