Many multinational corporations are leaving Russia.
Can businesses choose neutrality in this conflict? NO! Not reacting is a reaction.
Companies are pressured to condemn Russia. By consumers. By investors. By partners. By governments.
Keeping business as usual results in backlash and boycotting. McDonalds changed their strategy after consumer pressure. Where home governments impose sanctions, companies must obey.
The global economy will face a big hit. Companies want to avoid supporting Russia’s war. Investing in Russia gives the impression of investing in the war. Many brands, like Bosch and Bertelsmann, are still paying for their involvement in WW2.
Other businesses accept the consequences. Companies such as Uniqlo continue to trade claiming their products are everyday necessities. Physical companies cannot just get up and leave. Others are stuck in partnerships. Franchise arrangements take the decision away from brands such as KFC and Papa John’s.
Pressure is rising.
Companies need to act fast.
If you do not take a stance, you are taking a stance.
Your sustainability strategy needs to be considered.
And whatever you do, think through the risks.