Brands comprise a big chunk of the global economy in a world run by popular culture. Imagining our life without these brands is difficult because of everyone’s partial dependence on them. The recent news of the Russian-Ukraine war has changed the facade of the economy. Wealthy Russian who could flee the war and escape to Dubai are fuming as luxury brand Chanel refuses to sell them their favourite products. As the Russia-Ukraine war costs thousands of lives affluent Russian socialites are disgruntled as they as they can’t get their hands on their favourite label. Russian interior designer Liza Litvin took to social media to describe how Chanel refused to sell her bag in a top Dubai mall. She posted, “I went to a Chanel boutique in the Mall of the Emirates. They didn’t sell me the bag because (attention!) I am from Russia!!!””
⚡️In Dubai, Chanel stores sell heavy luxury to Russians only if they sign a paper that they do not live in Russia and will not wear branded clothes of the company on the territory of the Russian Federation. pic.twitter.com/c67QK2z0IB
— ТРУХА⚡️English (@TpyxaNews) April 1, 2022
McDonald’s And PepsiCo Suspend Operations In Russia
Mammoth brands withdrawing from Russia came like a blow. Starbucks, Coca-Cola, McDonald’s and PepsiCo all halted sales of their most well-known items in Russia. Years ago, this business trailblazer’s relation with the Soviet Union and the post-Soviet Russian state were beneficial to world ties. They announced a unified condemnation of the war on Ukraine by corporations that define America for most of the globe.
Also Read: Everything You Need To Know If You Are Planning A Trip To Russia Right Now!
You could find 847 McDonald’s outlets in Russia previously. Starbucks Corp. is shutting down hundreds of locations for now. PepsiCo Inc will halt all advertising and sales of its beverage products in Russia. Coca-Cola Co, a competitor, has also announced it will stop doing business in the country. Starbucks, Coca-Cola, McDonald’s, and PepsiCo, issued a rebuke on Tuesday.
Many American corporations have sought to decrease their exposure in both Russia and Ukraine. McDonald’s, for instance, has sold off some of its company-owned restaurants to local franchisees.
We will be temporarily closing all restaurants and pausing all operations in Russia. Click to read the message from our CEO in its entirety: https://t.co/ncoB2A8GC6
— McDonald’s (@McDonalds) March 8, 2022
Pressure Built On Other Companies
The declarations came in response to calls from opponents for the corporations to leave Russia. Several Western corporations in a variety of industries have suspended operations in Russia. But some restaurants continue to market their products there. Yum Brands (YUM), the parent company of KFC, Pizza Hut, Taco Bell, and the Habit Grill, has halted all restaurant expansion and investment in Russia.
Also Read: Ukraine-Russia War Threatens Global Bread Supply & Here’s How!
All revenues from activities in Russia will go towards humanitarian causes. New York State Comptroller Thomas DiNapoli singled out McDonald’s and PepsiCo for doing business with Russia. They should stop doing so.
