In total, more than 280 major companies with a significant presence in Russia have announced their withdrawal from the country.
McDonald’s and a few other American multinationals blamed for not yet cutting ties with Russia finally bowed to public pressure and suspended operations in the country.
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Like PepsiCo, the fast-food giant had been the subject of a call for a boycott on social networks for a few days, while investors began to ask questions. The American chain announced on Tuesday March 8 its decision to temporarily close its 850 restaurants in Russia and to suspend all its operations in the country.
“The situation is extraordinarily difficult for a global brand like ours and there are many considerations to take into account.“Said McDonald’s boss Chris Kempczinski. The group has 62,000 employees in the country, whom it will continue to pay, and multiple suppliers. Russia represents 9% of its turnover and 3% of its operating profit. “At the same time, respecting our values means that we cannot ignore the unnecessary human suffering taking place in Ukraine.added Chris Kempczinski.
More than 280 major companies are pulling out, including Starbucks and Coca-Cola
The Starbucks group followed McDonald’s on Tuesday evening, announcing that the 130 cafes bearing its name in Russia would close and that it would stop sending its products to the country, becoming the last major group to date in the United States. to cut ties with Moscow after the invasion of Ukraine. The Kuwaiti group which has the license to operate in the country “agreed to immediately suspend store operations and will provide support to the nearly 2,000 employees who depend on Starbucks for a living“said the general manager of the coffee chain, Kevin Johnson, in a message.
Soft drink giant Coca-Cola also announced on Tuesday that it was suspending operations in Russia. “We will continue to monitor and assess the situation as circumstances evolve.“, underlines in a press release the group which does not give details on its exact activities in Russia.
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The boss of PepsiCo, Ramon Laguarta, for his part recalled in a message that his company had been present for more than 60 years in Russia. Corn “given the horrific events in Ukraine, we are announcing the suspension of the sale of Pepsi-Cola and our global beverage brands in Russia, including 7Up and Mirinda“, he said. The group will also suspend its investments in the country as well as all its advertising campaigns. When it comes to food, however, the group believes they have the “responsibility to continue to offer» its products in the country, including dairy products and baby milk powder. “As we continue to operate, we will also continue to support the livelihoods of our 20,000 Russian associates and the 40,000 Russian agricultural workers in our supply chain.“said Ramon Laguarta.
In total, more than 280 major companies with a significant presence in Russia have announced their withdrawal, according to an inventory maintained by a team at Yale University. Thirty multinationals remain on the list of companies still exposed to the country. The initiator of this inventory, management professor Jeffrey Sonnenfeld, has repeatedly highlighted the role that the voluntary departure of 200 large groups from South Africa in the 1980s had in the fall of Apartheid. The head of the New York state pension fund, who last week called on the bosses of ten companies still operating in Russia to question whether the risk was worth it, welcomed the latest announcements on Tuesday : four of them – McDonald’s, Estée Lauder, Fortinet and Trimble – have suspended their operations there.
Six others, including PepsiCo, Mondelez and Coty, have so far remained silent. Also pointed out, the American chains Starbucks, KFC and Pizza Hut are for their part managed entirely or almost entirely in Russia by independent owners under franchise or license. Yum! Brands, the parent company of KFC and Pizza Hut, had nevertheless announced on Monday evening the suspension of all its investments in the country and had undertaken, like Starbucks, to donate all the profits drawn from its activities in Russia to operations. humanitarians.