Mango, Bestseller, and Ikea join the move to suspend operations in Russia

Mango, Bestseller, and Ikea join the move to suspend operations in Russia

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The number of companies reacting to the crisis caused by the invasion of Ukraine continues to multiply. After brands such as Denmark’s GanniYooxNet-a-PorterBurberryBoohooNikeH&MMangoInditex


“At Mango we dream of a more just and better world. All of us at Mango empathize with the people currently suffering during these times of uncertainty. Therefore, since the start, we have been following, minute by minute and with sadness and concern, the evolution of the geopolitical situation, putting all our efforts into taking care of our teams and customers,” said the Barcelona-based company. Just two days ago, the Tsum Kyiv department store and the Vogue

The company led by Toni Ruiz has decided to “temporarily” cease its operations in Russia. This includes the closure of its 55 boutiques, as well as its online sales platform in addition to stopping the shipment of new merchandise to the country. “Out of responsibility to our 800 colleagues in Russia, as well as to our franchisees and partners, we have tried to protect the operations in the country up until the very last moment,” explained the company, detailing that, from this moment on, it is “at the disposal of its workers in the country, as well as franchisees and other partners, in order to look after their needs.”

The brand has 65 franchised stores in the market. These franchisees and marketplaces described in the statement as “key partners” of the company will be able to continue to operate and distribute Mango garments based on their current stock availability.

Mango has also offered its support to colleagues in Ukraine to “try to alleviate their suffering through constant and direct contact and individual follow-ups with each of them.” In the face of war, the firm has launched initiatives such as legally and financially supporting employees and their families who have fled the country as well as those who decided to stay. The company has also aided employees from Ukraine and Russia who work in its head office. “Mango will guarantee coverage and support for its employees throughout the coming months,” it explained.

Mango additionally donated €100,000 to the International Red Cross and Red Crescent Movement, which was already helping people affected by the almost eight years of conflict in the Donbas region. It also donated clothing to different organizations and entities in response to the refugee crisis.

Spanish groups Inditex and Tendam have not yet announced their taken measures

Despite having been contacted for comment by
Meanwhile, the Tendam group is closely monitoring the situation before making any strategic decisions that could affect the fashion conglomerate’s 50 stores operating in the country.

IkeaBestsellerAsosCanada Goose

Swedish furniture giant Ikea announced that it has temporarily closed its 17 stores in Russia, its tenth largest market worldwide, on Thursday (March 3). It has also stopped producing goods in the country. According to the company, these decisions directly impact its 15,000 employees that the company intends to keep and whose salaries will remain unchanged “for the foreseeable future”. 

Danish group Bestseller, owner of fashion brands Vero ModaJack & JonesOnlyUnicef

British retailer ASOS immediately shut down its online store in Ukraine following the invasion, and last Wednesday (March 2) decided to do the same in Russia. “We continued to serve customers in Russia while we considered the best way forward. We came to the conclusion that it’s neither practical or right to continue to trade with Russia,” said the company, which also supports humanitarian efforts.

In the same vein, Canadian brand Canada Goose pointed out “the difficult operating environment and evolving sanctions against Russian interests” to justify the temporary cessation of its e-commerce and wholesale activities in Russia. London-based Rejina Pyo made a similar announcement: “We stop all business operations with Russia,” announced the brand on Instagram

Burberry: the only luxury brand to suspend operations

While luxury brands, such as those owned by the KeringLVMHChanel

Sportswear brand Puma

Other brands and retail chains continue to operate

On the other hand, other brands and retail chains continue to trade in the country, such as French retailer Decathlon

This is also the French group IdKids’ (which owns Okaïdi, Jacadi

For Russian companies, the business disruption would be minimal for the time being. The Lamoda platform (owned by Global Fashion GroupOyshoLacosteAdidas

Since the group works with several European and American brands, it remains to be seen as to what extent the logistical and financial blockages, together with the devaluation of the ruble currency, will affect its activity in the coming weeks. This is also the case for all players operating in Russia. 

Triana Alonso, Marion Deslandes and Sarah Ahssen

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