Russian roulette for McDonald’s, Unilever and Renault

McDonald’s exit from Russia will put pressure on other big companies

The flagship McDonald's on Pushkin Square in Moscow
The flagship McDonald's on Pushkin Square in Moscow
(Image credit: AFP via Getty Images)

McDonald’s Russian restaurants had an element of exoticism missing from some Western branches, said the Financial Times. Local specialities included “Beef a la Russe burger on a black bread bun”. But now they are shutting for good. Two months after temporarily closing 850 outlets, the US fast food chain is selling its Russian business. The company hopes to find a local buyer to hire employees, but nonetheless expects to write off a non-cash charge of up to $1.4bn “in its first exit from a large market”. The move marks a symbolic retreat, 32 years after McDonald’s opened its first outlet on Moscow’s Pushkin Square. Having “embodied the very notion of glasnost”, said CEO Chris Kempczinski, “the Golden Arches will shine no more”.

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