CHANGING INDUSTRY - Russia

Question 1

Explain how Russia had a dominant primary sector industry.

Answer 1

• Before the Russian Revolution of 1917.
• Inefficient, so the demands of the large population was not met with supply.
• This was because it was poorly managed and there was not enough investment - so it was not mechanised.

Question 2

Explain how Russia developed a secondary industry.

Answer 2

• Because farming was so inefficient, many people emigrarated to the city and took up jobs in factories. This led to an increase in the secondary sector.
• Factories such as the chocolate-making factory Kranny Oktybar (1889) were established.
• In 1927 Stalin encouraged industrialisation to increase exports and to become an economic superpower like America.

Question 3

How did Russia’s tertiary sector develop?

Answer 3

• In 1990 44% of the workforce was involved in the tertiary sector. In 2007 this increased to 60%.
• As more people moved into urban areas, Russia’s services developed.
• In addition, because the cost of living increases, people seek higher paid jobs in the tertiary sector.
• This allows a tourist industry to develop especially after the dissolution of the USSR in 1991. There are currently 23 UNESCO world heritage sites in Russia which attract visitors. Tourism increases investment on services which increases toruism.
• MNCs such as Heinenen and Mastercard pay to display their logos at sporting events, which increases links to other countries, investment and creates jobs especially in accommodation and catering industries.
• Foreign direct investment (FDI) in Russia reached a record $94 billion in 2013.