McDonald’s and Coke pull out of Russia, as the “Calorie Curtain” falls on an already isolated country

From crude oil to canola oil... A day after the US banned Russian oil imports, McDonald's banned its oily food from the country. The Golden Arches is temporarily shutting its nearly 850 locations in Russia, which makes up a tenth of its sales (not nothing). Other Big Foodies followed: Starbucks is shuttering its Russian coffee shops, Coke is suspending its Russia biz, and PepsiCo is pulling some sodas out of the country (but will continue selling essentials like baby formula and milk).

• Why they're pulling a Mosc-out: More than 300 companies have withdrawn from Russia to condemn the invasion of Ukraine. McD’s and other giants that hadn’t exited were facing pressure and criticism (think: Twitter #boycotts).
• Why it took so long: Fast-food operations are complex and provide livelihoods for thousands. McD’s will continue paying full salaries for its 62K Russian workers. Ditto Starbs.
• Another reason: Fast-food chains generally don’t own most of their locations — they sell the rights to franchisees. That’s why Yum Brands is closing only company-owned KFCs, and still hasn’t reached an agreement with franchisees to shut Pizza Huts. But while most global McD’s are franchised, 84% of its Russia locations are company-owned.

The Silicon Curtain... Big Tech companies were some of the first to exit Russia, partly because it’s easier to shut down servers than restaurants. A few examples: Netflix, TikTok, and PayPal have suspended their services, and Apple and Microsoft halted sales.