Western companies are not going to leave the Russian market
Western companies, contrary to popular belief, are not leaving the Russian market. Alexander Ivlev, managing partner of the auditing and consulting company Ernst & Young in Russia, stated this at a press conference in Moscow.
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"This is wrong. If you look at the statistics, many companies have changed their operating activities and are moving to other price categories and producing cheaper goods. The cost of re-entering the market is too high. It’s too much luxury for companies to leave a market of 145 million people,” Ivlev said.
According to him, Russian companies manage to maintain profitability even in foreign currency.
“The ruble exchange rate fluctuated within 5%. Companies in Russia are growing from 6 to 13% in different sectors. This suggests that even in dollar terms, companies are finding an opportunity to make money, have leveled out the situation and are beginning to manage their business more actively,” Ivlev said.
In addition, the expert noted, given the fact that now many assets have fallen in price, businesses have the opportunity to enter new markets and expand their business.
Western companies have no intention of leaving the Russian market.