International

Nike announces full exit from Russia

Another significant brand is removing its operations from Ukraine as a result of Russia’s invasion of the nation.

Nike confirmed its decision to completely leave Russia in a statement provided to Reuters on Thursday.

“Nike has decided to withdraw from the Russian market. As we carefully scale back our activities over the next months, our first concern is to make sure we are adequately supporting our staff.

The action was taken after Nike stated in March of last year that its online and physical retail operations in Russia would be suspended.

Nike and Inventive Retail Group (IRG), which controlled 37 Nike-branded stores in Russia through its Up and Run subsidiary, did not extend their contracts, according to a May report.

This continues a pattern of Western companies scaling back their operations in Russia, notably Nike’s competitor Adidas, which has permanently halted all of its operations there.

Although leaving Russia is a big deal, Nike’s financial situation probably won’t be significantly affected.

The business recently disclosed that it receives less than 1% of its total income from Russia and Ukraine combined.

However, the move does further Russia’s deepening economic isolation.

Related Articles

Leave a Reply

Check Also
Close
Back to top button
%d bloggers like this:

Adblock Detected

Please consider supporting us by disabling your ad blocker