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Federal retailers conquer Russian market

Wed 14/03/2018 by Richard Wilkinson
Russia market

Consolidation of FMCG players continues all over Russia. Large federal retailers squeeze local companies. As a result, there won’t be soon any diversity on the market, and it is a pity.

For example, many local retailers from Bashkiria were forced to leave the market; among them, Matrix (43 stores), Semerochka and Temle (more than 40 stores). The reason is obvious: tough competition; local companies could not oppose federal retailers who dominate market in Bashkiria. Thus, the share of Magnit exceeds 25%; X5 Group operates through more than 210 supermarkets, etc.

Some measures are expected from the authorities in order to protect small palyers; up to now, nothing helped.

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