In many different ways the world was affected by the invasion in Ukraine from Russia. One of the ways involves a lot of big name corporations exiting in that country, that has become a global reject. No companies want to be apart of Russia's economy and continue there business mainly because they don't want to dampin their reputation.
Companies that produce fossil fuels, cars, planes, consumer goods, manufacturers, firms, and tech have all distanced themselves from the situation. This is affecting Russia economy in a terrible way in the long run. They are calling it the "Big Business Retreat." The small foreign businesses that have not yet retreated from Russia will end up joining the exodus and shutting down. When this occurs, the overall economic suffering will exist. It all starts with hundreds of thousands of Russians to lose there jobs, then everything goes down hill from there.
https://www.investmentmonitor.ai/special-focus/ukraine-crisis/russia-economy-departing-companies-invasion
https://www.cbsnews.com/news/russia-ukraine-corporations-pull-out-invasion/
No kidding that no company want to be apart of Russia's economy and continue there. Reputation plays a vital role in markets today and to be correlated with Russia right now is something nobody wants to be apart of.
ReplyDeleteIt makes sense that companies are pulling out of Russia because it is not beneficial for most companies to stay. I would not want to do business in Russia right now because of the repercussions that could come with it.
ReplyDeleteI think the response by counties to pull out of the Russian economy is justified based on the uncertainty in their economy. This effect has drastically effected the Russian economy and given negative backlash towards the few that remain invested. I think the long term effect of this could be very detrimental for Russia's economy
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