Assessment of Economic Security of Russian Construction Companies

Vadim V. Krivorotov 1, Alexei V. Kalina 1,2, Georgy L. Kondrashkin 1

1 Ural Federal University named after the First President of Russia B.N. Yeltsin, Yekaterinburg, Russia
2 Institute of Economics, The Ural Branch of Russian Academy of Sciences, Yekaterinburg, Russia

Abstract

The operations of construction companies in modern Russian conditions are subject to significant shocks stemming from the deterioration of macroeconomic conditions, the reduction of large-scale mortgage programs, the increase in the key interest rate by the Central Bank of Russia and a number of other trends and processes. This, in turn, makes it urgent to ensure the economic security of Russian construction companies, which is the key to their survival and competitiveness in dynamically changing markets. This study aims to develop and practically implement methodological tools for assessing the economic security of construction companies and their constituent organizations, based on a comprehensive evaluation of various dimensions and aspects of corporate activity. The study is guided by two hypotheses: 1) it is possible to create a comprehensive universal methodological toolkit that makes it possible to assess the economic security of individual companies, groups of companies and to perform a comparative analysis of companies belonging to various groups (associations); 2) moderately low and very low economic security indicators of companies and organizations that are a structural element (division) of large federal-level real estate companies will not have a significant impact on their activities, but will depend on the performance of other companies of the group and the group as a whole. The case study is LLC "LSR. Stroitelstvo – Ural", which is part of the group of companies of Russia's largest federal developer LSR, as well as divisions of other large federal real estate companies operating in the Ural region. The proposed methodological approach was based on indicator analysis, which is based on assessing the economic security of a company in the context of four blocks of indicators reflecting various aspects of companies' activities, and using universal approaches and algorithms to obtain comparable estimates for various indicators and companies, as well as aggregate (summary) assessments of the economic security of companies. The testing of the methodological tools has shown their feasibility and versatility, as well as the possibility of widespread use in solving problems of development and management of economic security of construction companies and related activities and industries.

Keywords

construction company; economic security; economic security assessment; assessment methodolo-gy; indicative analysis; normalization of indicators.

JEL classification

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About Authors

Vadim Vasilyevich Krivorotov

Doctor of Economics, Professor, Head of Department of Economic Safety of Industrial Complexes, Ural Federal University named after the first President of Russia B.N. Yeltsin, Yekaterinburg, Russia (620002, Yekaterinburg, Mira street, 19); ORCID https://orcid.org/0000-0002-7066-0325 e-mail: v_krivorotov@mail.ru

Alexei Vladimirovich Kalina

Candidate of Technical Sciences, Associate Professor, Department of Economic Safety of Industrial Complexes, Ural Federal University named after the first President of Russia B.N. Yeltsin, Yekaterinburg, Russia (620002, Yekaterinburg, Mira street, 19), Senior Researcher, The Center of Economic Security, Institute of Economics, The Ural Branch of Russian Academy of Sciences, Yekaterinburg, Russia (620014, Yekaterinburg, Moskovskaya street, 29); ORCID https://orcid.org/0000-0003-0376-2505 e-mail: alexkalina74@yandex.ru

Georgy Leonidovich Kondrashkin

Post-Graduate Student, Department of Economic Safety of Industrial Complexes, Ural Federal University named after the first President of Russia B.N. Yeltsin, Yekaterinburg, Russia (620002, Yekaterinburg, Mira street, 19); ORCID https://orcid.org/0009-0000-8453-5878 e-mail: georgekondrashkin@yandex.ru

For citation

Krivorotov, V.V., Kalina, A.V., Kondrashkin, G.L. (2025). Assessment of Economic Security of Russian Construction Companies. Journal of Applied Economic Research, Vol. 24, No. 3, 957-989. https://doi.org/10.15826/vestnik.2025.24.3.032

Article info

Received March 10, 2025; Revised July 3, 2025; Accepted July 16, 2025.

DOI: https://doi.org/10.15826/vestnik.2025.24.3.032

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