Analysis of Public and Municipal Procurement Practices for Small Business in Russian Federation

This work is devoted to the study of the Russian experience of participation of small companies in state and municipal procurement. The relevance of the study is that due to economic instability small businesses are required to search for new markets. Entering the market of public purchases gives them an opportunity to expand their client base and increase profitability. However, the research problem lies in the fact that the share of small enterprises that provide goods and services for state and municipal needs is relatively small. The work contains an assessment of the level of involvement of small businesses in government purchases, and barriers to entry into the market of public procurement are identified and systematized. In addition, the barriers are ranked by the degree of significance (negative impact) for small companies. Also, recommendations on entering the market of state and municipal purchases are offered for small entrepreneurs in Russia.