RUSSIA: McDonalds withdraws entire operation from Russia after 30 years – Analysis
RUSSIA: McDonalds withdraws entire operation from Russia after 30 years – Analysis
By Iain Fraser – Consultant Geopolitical Editor
GEOPoliticalMatters.com
US Burger giant McDonalds has bowed to pressure and withdrawn its entire operations from Russia joining fellow consumer giants Coca Cola and Starbucks – all since Russia´s illegal invasion of its Sovereign neighbour Ukraine.
The Big-Mac supremo’s will permanently leave Russia after more than 30 years and have started to sell their restaurants. Reuters.com have reported that the outlets will start to operate under a new owner in June [2022]
It is reported that the world’s largest burger chain, which owns about 84% of its nearly 850 restaurants in Russia, will take a related non-cash charge of up to $1.4 billion. McDonald’s said it would write off a charge of up to $1.4bn (£1.1bn) to cover the exit from its investment.
The departure carries huge symbolic as well as economic significance; The burger chain represented the thawing of tensions between Russia and the West. The Golden Arches was was a pioneer western brand and came as the entire “Soviet Union” fell. A reported 30,000 people lined up at the restaurant on its opening day although the cost of a Big Mac then was 400% more than the same burger in the US. Learn More – Register Free to receive our full analysis direct to your inbox or smart device.
