Auchan and Metro intend to develop business in Russia
In March, both networks already announced that they planned to continue working in Russia, but did not talk about plans to scale the business.
— We understand that now, more than ever, we must support our customers: small and medium-sized businesses, as well as our employees – more than 11 thousand people in 51 regions of Russia.
In the fashion retail segment, many Western companies have already left Russia. Networks from Turkey, China and Uzbekistan are now striving for vacancies. Over time, they may well be widely represented on the Russian market of clothing, footwear and accessories.
Many of the foreign brands are discussing the prolongation of lease agreements for premises for stores in Russia. Most companies, including luxury operators, are now considering new supply options and are waiting for the right moment to return.
Now companies are analyzing which concepts bring the least profit and can be closed, and which are subject to renewal. Against this background, the question arises of what the shopping centers will do. According to Dmitry Moskalenko, President of the Russian Council of Shopping Centers, malls will resolve such issues within the framework of agreements. Lawyers for Western companies that have suspended operations are now thinking about how to minimize losses in the event of leaving the market.
15 JULY / 2022
