Economic Development Program

The mission of CCI’s Economic Development program (EDP) was to provide start-up, basic business skills to Soviet entrepreneurs who had registered “cooperatives” under Soviet law in the late 80s. When Russia opened up to business for the first time in seven decades, enterprising young Soviets registered their cooperatives but didn’t know how to build a business. There were no management textbooks, consultants, or precedents to guide them.

Soviet entrepreneur (left) during EDP training in Philadelphia

CCI designed a strategy whereby English-speaking Soviet entrepreneurs would intern in American companies parallel to their new business focus. After an initial pilot project in 1989, the program was funded by American entrepreneurs who provided pro bono training; Soviet entrepreneurs who paid for transportation costs; and Apple co-founder Steve Wozniak who funded CCI’s operational costs. As EDP grew, several American foundations provided additional grants.

Applicants rushed to apply as EDP was advertised throughout Russia, Ukraine, Armenia, Uzbekistan, Kazakhstan and Belarus. The program attracted capable and well-educated Russian professionals, who were on the path
to becoming entrepreneurs. Candidates were carefully screened, American business owners were recruited, and industry pairings were soon moving back and forth between the two countries.

The U.S. government began funding Russia projects in 1993. Acknowledging CCI’s expertise in business training for Soviet enterprises, USAID offered CCI a $7.6 million grant to greatly expand EDP. Six regional Russian offices were created, U.S. business consultants were sent to advise Russian companies onsite, and regional business clubs were developed to serve Russia’s new breed of entrepreneurs.

Soviet lawyer (middle) receives training in an American law firm

EDP piled up success after success as the years ensued. The U.S. experience gave CCI alumni a huge advantage over their Russian counterparts. American business owners excitedly transferred information to help Russian interns build private enterprises on communist soil, and Russian-American friendships blossomed in every city and industry sector where the pairings took place.

By 1995 CCI began experimenting with non-English business management internships, using the Marshall Plan’s model for training entrepreneurs across language barriers. EDP was phased out in 1997, a year after CCI’s Marshall Plan adaptation, the Productivity Enhancement Program (PEP), became funded. CCI’s six Russian affiliate offices became self-sustaining as independently registered Russian Educational Institutions.

During the life of EDP, over 700 entrepreneurs were trained in more than 40 states, thousands of Russians received consulting and attended seminars in Russia, and the ripple effect for both Russians and Americans still continues today.