Starbucks pulls out of Russia while McDonald’s removes golden arches as exit gathers pace

Starbucks has confirmed it has decided to exit Russia, 12 weeks after the coffee shop chain revealed it had closed all its stores in the country in response to the backlash over the war in Ukraine.

The company said on Monday that it would wind down its operation in the country – ending 15 years of trading in Russia.

It marked a different approach to other Western brands heading for the door as a range of sanctions rain down on Moscow from national governments and the European Union.

McDonald’s revealed last week that it would sell off its 847 restaurants as its investment in the country was “no longer tenable” nor “consistent” with its values.

It later revealed that a buyer had been found. The internationally famous golden arches branding was seen being taken down at a closed restaurant in Khimki, outside Moscow, on Monday.

Carmaker Renault said that while it was offloading its majority stake in Russia’s biggest carmaker, it had retained an option to buy back the stake in future.

Shell and BP are among UK listed firm withdrawing from the Russian market.

Starbucks has 130 stores in Russia which are operated by a licensee.

A McDonald’s golden arches sign is dismantled in a town outside Moscow

The operation employs 2,000 staff.

Starbucks said that it would continue to support its employees there, including paying them for six months.

It did not publish any information on the financial impact of its decision.

For all the latest business News Click Here 

Read original article here

Denial of responsibility! TechAI is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.