Though companies’ stories vary, a common theme is having to thread an obstacle course between Western sanctions and outraged public opinion on one side and Russia’s efforts to discourage and penalize departures on the other. Some international brands such as Coke and Apple are trickling in informally through third countries despite a decision to exit.
That’s also what student Alik Petrosyan saw as he shopped at Maag, which now owns Zara’s former flagship clothing store in Moscow. Since the initial wave of departures, new categories have emerged: companies that are biding their time, those struggling to shed assets and others attempting business as usual. Over 1,000 international companies have publicly said they are voluntarily curtailing Russian business beyond what’s required by sanctions, according to a database by Yale University.
“This is a complex process, and it has taken longer than we originally hoped for” but now is “almost completed,” said Tanja Frederiksen, global head of external communications. They must find a partner not sanctioned by the West. In Russia, major business figures are often people who are “well connected with the government,” Harms said. “For one thing, they have to sell at a large discount or almost give assets away, and then they go to people whom politically we don’t like – people who are close to the regime.”
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