The Rise and Fall of McDonald’s in Russia

ph Boshoku on Unsplash

The interplay between global businesses and geopolitics, much like Paul Kennedy’s analysis of the changing power dynamics among great nations in his famous work, The Rise and Fall of the Great Powers, captures the historical journey of McDonald’s in Russia.

This journey spans from its symbolic opening at the end of the Soviet era in Moscow on January 31, 1990, to its recent exit amidst geopolitical tensions.

Arsen Kanokov, a Russian senator and former head of the Kabardino-Balkaria Republic, may have been involved in the acquisition of McDonald’s assets in Russia.

After McDonald’s ceased operations in Russia in 2022, the fast food chain was rebranded and sold to Russian owners.

The chain was sold to Alexander Govor, an entrepreneur from Russia’s Kuzbass region. However, there were doubts about Govor’s ability to purchase the entire McDonald’s chain by himself. According to investigative reports, it was suggested that Arsen Kanokov might be the real owner of McDonald’s assets in Russia.

In the face of ongoing geopolitical challenges, businesses worldwide are experiencing significant impacts. A notable example is McDonald’s, which has seen a major shift in its operations. Equally significant is the case of Ariston Thermo Group, a renowned company specializing in heating and water heating products.

In Russia, the operations of Ariston, along with other companies like Bosch, have been temporarily transferred to the Russian group Gazprom, underscoring the far-reaching implications of these geopolitical shifts. (Sergio Scialabba)

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