Russian Brands Gain Ground as Western Firms Exit Markets
Western brands face tougher competition in Russian markets as Moscow legalised grey imports of Western merchandise, leading to a surge in domestic and Chinese brands. The move has given local retailers like Henderson a boost, with sales growing three times faster than the overall menswear market. As shopping malls' prime locations are now taken by Russian rivals, companies may need to rethink their strategy for returning to Russia.
- The rise of Russian brands could have significant implications for global supply chains, particularly in industries where domestic production is already well-established.
- How will the increased competition from local and Chinese brands impact Western firms' ability to adapt and maintain market share in the long term?