Read why Domino’s will withdraw its business from Russia 

The franchise head of Domino’s in Russia said it would close its branches there as it announced it would ruin the business.

DP Eurasia said it would end tries to sell the pizza chain’s stores in the nation due to an “increasingly challenging environment”.

Many Western companies have cut relations with Russia since the attack on Ukraine and the intro of economic boycotts. But a few, including Domino’s, have faced criticism for not leaving.

DP Eurasia has 171 Domino’s Pizza stores in Russia. It has 68 sites, while 103 are franchised to local operators.

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On Monday, DP Eurasia stated in a London Stock Exchange announcement that it had chosen its subsidiary in Russia, DP Russia, should file for insolvency rather than seek a buyer.

“With the increasingly challenging environment, DP Russia’s immediate holding company is now compelled to take this step, which will bring about the termination of the attempted sale process of DP Russia as a going concern and, inevitably, the group’s presence in Russia,” it stated.

The company earlier said it was “evaluating its presence” in Russia following imposed boycotts. As well as owning Domino’s shops in Russia, DP Eurasia has master franchise privileges for the brand in Turkey, Russia, Azerbaijan and Georgia.

A raft of boycotts has slammed the Russian economy since the outbreak of battle in Ukraine in February 2022.

Source – BBC