The Role of Withdrawing Foreign Companies in the Economy of Russian Regions
https://doi.org/10.21686/2073-1051-2023-2-197-219
Abstract
The article analyzes the role of foreign companies that announced their withdrawal from Russia after 2022 in the economy of the country as a whole, its industries and regions. The role of withdrawing foreign companies in industry is examined in more detail. The existing list of withdrawing foreign companies forms the basis of the analysis.
Russian legal entities related with these foreign companies were selected. The financial indicators of these legal entities has been aggregated and compared with official statistics. The highest role of withdrawing foreign companies among sectors of the economy in the manufacturing industry and consumer and science-intensive services. Among industrial sectors – is in automotive, paper, tobacco and beverages industries, wood processing and some sub-sectors of mechanical engineering. In the regional context, the highest role of withdrawing foreign companies is in two types of regions: the largest cities and the automotive and wood processing regions. The withdrawal of foreign companies from the largest cities will affect previously on the technological development of industries and the economy as a whole. In the automotive and wood processing regions, the withdrawal of foreign companies is most critical for labor markets, especially if the region’s economy is small and undiversified.
About the Author
R. O. Bobrovskiy
Federal State Budget Educational Institution of Higher Education “Plekhanov Russian University of Economics”
Russian Federation
Russian Federation
Bobrovskiy Roman O. - Laboratory Researcher of the Scientific Laboratory “Regional Policy and Regional Investment Processes”
36, Stremyanny lane, Moscow, 109992
References
1. Sonnenfeld J., Vakil R., Tian S., Zaslavsky S., Bhansali Y. It Pays for Companies to Leave Russia // SSRN Electronic Journal. URL: https://corpgov.law.harvard.edu/2022/06/24/it-pays-for-companies-to-leave-russia/ (дата обращения: 10.06.2023).
2. Sonnenfeld J., Tian S., Sokolowski F., Wyrebkowski M., Kasprowicz, M. Business Retreats and Sanctions are Crippling the Russian Economy // SSRN Electronic Journal. URL: https://sentinela.ro/wp-content/uploads/2022/07/Russian-Economic-Impact-Slide-Deck-July-2022-Copy.pdf (дата обращения: 10.06.2023).
3. Mylovanov T., Onopriienko A., Shapoval N., Gribanovskiy O. How to Identify Foreign Business in Russia and What are the Key Issues of Creating and Keeping a Full List of the Largest Foreign Companies in Russia // SSRN Electronic Journal. URL: https://www.researchgate.net/publication/369926268_How_to_Identify_Foreign_Business_in_Russia_and_What_are_the_Key_Issues_of_Creating_and_Keeping_a_Full_List_of_the_Largest_Foreign_Companies_in_Russia (дата обращения: 10.06.2023).
4. Onopriienko A., Hrybanovskyi O., Shapoval N. How the Income of Foreign Businesses in the Russian Federation Has Changed in 2022 and Why So Many Companies Still Do Not Leave // SSRN Electronic Journal. URL: https://www.researchgate.net/publication/370902501_How_the_income_of_foreign_businesses_in_the_Russian_Federation_has_changed_in_2022_and_why_so_many_companies_still_do_not_leave (дата обращения: 10.06.2023).
5. Evenett S., Pisani N. Less than Nine Percent of Western Firms Have Divested from Russia // SSRN Electronic Journal. URL: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4322502 (дата обращения: 10.06.2023).
6. Over 1,000 Companies Have Curtailed Operations in Russia – But Some Remain // Yale school of management. URL: https://som.yale.edu/story/2022/over-1000-companies-have-curtailed-operations-russia-some-remain (дата обращения: 10.06.2023).
Review
For citations:
Bobrovskiy R.O. The Role of Withdrawing Foreign Companies in the Economy of Russian Regions. Federalism. 2023;28(2):197-219. (In Russ.) https://doi.org/10.21686/2073-1051-2023-2-197-219
Views:
590
Email this article 