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by boole1854
1490 days ago
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Well, McDonalds, Inc. is not necessarily doing this to hurt the Russian economy. They are doing it to save money. The war and the Western sanctions have limited their ability to operate restaurants in Russia. Because of this, they have shut down their restaurants while continuing to pay staff, leases on their buildings, etc. This means they have a constant outflow of cash to Russia which they want to stop. Shutting down the business stops the bleeding. Perhaps the question is: why would public policy makers in the West want to impose such broad sanctions? Why not continue to allow Western companies to profit in Russia (i.e., "rip them off")? The answer is primarily that voluntary economic business transactions like this are generally win-win for both sides. Yes, McDonalds earns money selling branding, etc., but the Russians on the other side of the transaction also earn money through the use of the branding and so on. By cutting off Western companies' financial access to the Russian market, it does hurt the Western companies, but it also hurts the Russians because it deprives them of whatever benefits they were obtaining from the Western companies. |
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