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Withdrawal from Russia, a symbolic gesture for many fashion brands

 

Withdrawal from Russia a symbolic gesture for many fashion brands

Amidst the companies making mass exodus from Russia, there are a few that have chosen to stay back in the country. Consumer group companies like Unilever, Procter and Gamble, and Nestle have decided to continue operating in the country although they have halted new investments and ceased import and exports from the country.

Move to impact native employees

Though accused of profiting from an aggressor nation, these companies have chosen to stay back as complete withdrawal is likely to place their native employees under immense pressure, says Quartz report. Already, native Russians are reeling under the effects of declining ruble and sanctions imposed by western economies. Companies like Fast Retailing had earlier decided to continue operating in Russia. However, recently the Uniqlo owner ceased business in the country. Tadashi Yanai, Founder also committed a $10 million donation to the UN agency for refugees and a shipment of 200,000 items of clothing and blankets to Ukrainian refugees.

Finding a mid path

Tightening government sanctions, disruptions in air space and logistics is making it increasingly difficult for companies to continue operating in Russia. Nike is finding it increasingly difficult to ship goods to Russia and so is Fast Retailing. Since Russia contributes a very small portion of their sales, withdrawing from the country is more of a symbolic gesture for brands like Levi’s. These brands are trying to find the right way to protest against the government decision without antagonizing a large share of the population supporting the war, says Mario Ortelli, Founder, Ortelli & Co.

 
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