This week, as H&M and IKEA sell off their last Russian inventory and are moving out of Russia, Russians are turning to Western fashion. and buy up furniture. A country after sending troops to Ukraine.
Sweden-based H&M and Netherlands-based IKEA suspended sales in Russia after the military operation began and are now suspending operations in Russia. I'm trying to unstock clothing and furniture to shrink. The future is unpredictable. IKEA's sales are online only, but his H&M store in Moscow's shopping mall Aviapark had a steady stream of young shoppers on Tuesday.
This clothing store had enough racks and shelves. Nearby stores such as Zara, Oysho, Bershka, Pull&Bear, and Uniqlo closed, but New Yorker, Finn Flare, Marks & Spencer, and Mango remained open.
"Start looking for Russian brands," said a shopper in his H&M who gave only his first name, Anya, after coming out of the store. Another shopper, who only named Leonid, said he was "extremely hurt" by H&M's closure. ``The good shops are leaving.''
Both companies are laying off staff as they scale back operations in Russia. He said he would, and said he was working on the details to provide continued support in the coming months.
IKEA said in June that many workers would lose their jobs, guaranteeing six months' wages and key benefits. This week, he said there are 15,000 workers in Russia and Belarus, but did not immediately say how many he would lay off.
H&M Group CEO Helena Helmersson said last month, "I am deeply saddened by the impact this has had on my colleagues and am very grateful for all their hard work and dedication.
Many Western companies have taken months to curtail their operations,promising to pull out after Russia sent troops to McDonald's sold 850 restaurants to Russian franchise owners who decided to reopen outlets under the name Vkusno & tochka. British energy giants Shell and BP are charging billions of dollars to end their investments and holdings in Russia.
49} Meanwhile, some Western companies remain or partially operate in Russia. Retailer Leroy Merlin continues to operate 112 stores in Russia, while PepsiCo, Nestlé and pharmaceutical company Johnson & Johnson supply essential items such as medicines and formula and sell non-essentials.
H&M expects the cost of leaving Russia to amount to about 2 billion Swedish kronor ($197 million), which is expected in the third quarter of this year.
IKEA said in June that it will begin looking for new owners for its four factories in Russia, and will be included as a one-time expense in the company's earnings.
Russian President Vladimir Putin has been pushing the development and deployment of Russian alternatives for years, as companies such as H&M and IKEA scale back operations. services to cover the loss of Western imports, which have taken on new urgency in recent years.
Determining when Russian stores will close can be difficult. At the famous GUM department store, which occupies Red Square, most of the closed storefronts are still lit, with clerks and security guards inside.
