Following Russian invasion on Ukraine ,The impact has been profound. Let’s start first with retailers.
Many Russians are reeling from those blows to their livelihoods and emotions. Moscow’s vast shopping malls have turned into eerie expanses of shuttered storefronts were once occupied by Western retailers.
McDonald’s whose whose opening in Russia in 1990 was a cultural phenomenon, a shiny modern convenience coming to a dreary country ground down by limited choices, has pulled out of Russia entirely in response to its invasion of Ukraine. IKEA, the provider of affordable modern comforts, suspended operations. Tens of thousands of once-secure jobs are now suddenly in question in a very short time.
Not only have retailers left, but industrial players as well. industrial players including oil giants BP and Shell and automaker Renault walked away, despite their huge investments in Russia. Shell has estimated it will lose about $5 billion by trying to unload its Russian assets.
There is also the issue of Russians fleeing the country. Thousands of Russians who had the economic means to do so were also fleeing, frightened by harsh new government moves connected to the war that they saw as a plunge into full totalitarianism or authoritarianism. Many young men may have also fled in fear that the Kremlin would impose a mandatory draft to feed its war machine. Russia is also experiencing a brain drain with many of its brightest choosing to leave the country.
