After 23 years of operating in Russia, Fashion Company, Mango has decided to definitively abandon direct sales in the country and hand over its store to franchisees to deal with uncertainties arising out of current geopolitical situation.
As reported by 'El País'in order to provide aguarantee coverage to its 800 employees in Russia, Mango will cease to operate directly in the country, and has reached an agreement with several of its franchise partners to divest its business to them.
Last March, as a result of the war in Ukraine, Mango decided to temporarily suspend its operations in Russia, leaving the 55 stores it owns in the country -another 65 are franchises- and the online sales platform without activity.
According to the company, it has from the beginning of its operations prioritized the safety of its teams in Ukraine and Russia and its distribution network. The company has made a 20 million provision to cover the impact of the situation in Russia, the first two points-of-sale will be sold next week, with a further 22 expected to be added between this month and the following month.