Cisco, Nike quit Russia, as pace of Western firms leaving speeds up
* Cisco (CSCO), Nike (NKE) join
* New Russian law may encourage more foreign firms to go
* 'Trickle is becoming a torrent,' says analyst
By
Telecoms equipment maker Cisco (CSCO) will wind down its business
in
Foreign companies seeking to exit
"What was a trickle is becoming a torrent", said
Cisco (CSCO) suspended business operations, including sales and
services, in
"We have now made the decision to begin an orderly wind-down
of our business in
Earlier this month, Cisco's (CSCO) rival International Business
Machines Corp (IBM) began winding down its business in
The withdrawal of top technology firms such as Cisco (CSCO), IBM (IBM) and Microsoft limits access to critical equipment for Russian businesses and households. They may now have to depend on older equipment and domestic alternatives.
Cisco (CSCO) has offered relocation options to its few hundred employees in those countries, it said. The company did not disclose which countries the employees were offered as alternative locations.
RIVALS MAY BENEFIT
Companies heading for the exit may struggle to return, said
Musgrave. "This presents opportunities for domestic firms in
some markets but even more for brands from
Nike (NKE) said on
Cisco (CSCO) and Nike (NKE) join the likes of McDonald's and Renault in
making complete exits from
The law, which could be in place within weeks, allows
Nike's (NKE) rival Adidas said in March it was shutting its Russian stores and pausing online sales.
Adidas currently has no plans to resume business in
"The operation of Adidas' stores and Adidas' online retail
in
(Writing by