Once a Powerful Symbol in Russia, McDonald’s Withdraws

Hundreds of Muscovites line up outside the first McDonald's restaurant in the Soviet Union on its opening day, in Moscow, Wednesday, Jan. 31, 1990. (AP)
Hundreds of Muscovites line up outside the first McDonald's restaurant in the Soviet Union on its opening day, in Moscow, Wednesday, Jan. 31, 1990. (AP)
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Once a Powerful Symbol in Russia, McDonald’s Withdraws

Hundreds of Muscovites line up outside the first McDonald's restaurant in the Soviet Union on its opening day, in Moscow, Wednesday, Jan. 31, 1990. (AP)
Hundreds of Muscovites line up outside the first McDonald's restaurant in the Soviet Union on its opening day, in Moscow, Wednesday, Jan. 31, 1990. (AP)

Two months after the Berlin Wall fell, another powerful symbol opened its doors in the middle of Moscow: a gleaming new McDonald’s.

It was the first American fast-food restaurant to enter the Soviet Union, reflecting the new political openness of the era. For Vlad Vexler, who as a 9-year-old waited in a two-hour line to enter the restaurant near Moscow’s Pushkin Square on its opening day in January 1990, it was a gateway to the utopia he imagined the West to be.

“We thought that life there was magical and there were no problems,” Vexler said.

So it was all the more poignant for Vexler when McDonald’s announced it would temporarily close that store and nearly 850 others in response to Russia’s invasion of Ukraine.

“That McDonald’s is a sign of optimism that in the end didn’t materialize,” said Vexler, a political philosopher and author who now lives in London. “Now that Russia is entering the period of contraction, isolation and impoverishment, you look back at these openings and think about what might have been.”

McDonald’s said in a statement that “at this juncture, it’s impossible to predict when we might be able to reopen our restaurants in Russia.” But it is continuing to pay its 62,500 Russian employees. The company said this week that it expects the closure to cost around $50 million per month.

Outside a McDonald’s in Moscow last week, student Lev Shalpo bemoaned the closure.

“It’s wrong because it was the only affordable place for me where I could eat,” he said.

Just as McDonald’s paved the way for other brands to enter the Soviet market, its exit led to a cascade of similar announcements from other US brands. Starbucks closed its 130 outlets in Russia. Yum Brands closed its 70 company-owned KFC restaurants and was negotiating the closure of 50 Pizza Huts that are owned by franchisees.

McDonald’s entry into the Soviet Union began with a chance meeting. In 1976, McDonald’s loaned some buses to organizers of the 1980 Moscow Olympics who were touring Olympic venues in Montreal, Canada. George Cohon, then the head of McDonald’s in Canada, took the visitors to McDonald’s as part of the tour. That same night, the group began discussing ways to open a McDonald’s in the Soviet Union.

Fourteen years later, after Soviet laws loosened and McDonald’s built relationships with local farmers, the first McDonald’s opened in downtown Moscow. It was a sensation.

On its opening day, the restaurant’s 27 cash registers rang up 30,000 meals. Vexler and his grandmother waited in a line with thousands of others to enter the 700-seat store, entertained by traditional Russian musicians and costumed characters like Mickey Mouse.

“The feeling was, ‘Let’s go and see how Westerners do things better. Let’s go and see what a healthy society has to offer,’” Vexler said.

Vexler saved money for weeks to buy his first McDonald’s meal: a cheeseburger, fries and a Coca-Cola. The food had a “plasticky goodness” he had never experienced before, he said.

Eileen Kane visited the original McDonald’s often in 1991 and 1992 when she was an exchange student at Moscow State University. She found it a striking contrast from the rest of the country, which was suffering frequent food shortages as the Soviet Union collapsed.

“McDonald’s was bright and colorful and they never ran out of anything. It was like a party atmosphere,” said Kane, who is now a history professor at Connecticut College in New London, Connecticut.

McDonald’s entry into the Soviet Union was so groundbreaking it gave rise to a political theory. The Golden Arches Theory holds that two countries that both have McDonald’s in them won’t go to war, because the presence of a McDonald’s is an indicator of the countries’ level of inter-dependence and their alignment with US laws, said Bernd Kaussler, a political science professor at James Madison University in Harrisonburg, Virginia.

That theory held until 2014, when Russia annexed Crimea, Kaussler said.

Kaussler said the number of countries now withdrawing from Russia, and the speed with which they acted, is unprecedented. He thinks some - including McDonald’s - might calculate that it's unwise to reopen, which would leave Russia more isolated and the world less secure.

“As the Russian economy is becoming less inter-dependent with the US and Europe, we basically have fewer domestic economic factors that could mitigate current aggressive policies,” Kaussler said.

Vexler said the admiration for the West that caused Russians to embrace McDonald’s three decades ago has also shifted. Russians now tend to be more anti-Western, he said.

Anastasia Chubina visited a McDonald’s in Moscow last week because her child wanted one last meal there. But she was indifferent about its closure, suggesting Russians will get healthier if they stop eating fast food.

“I think we lived without it before and will live further,” she said.

Entrepreneur Yekaterina Kochergina said the closure could be a good opportunity for Russian fast-food brands to enter the market.

“It is sad, but it’s not a big deal. We’ll survive without McDonald’s,” she said.



Hezbollah’s ‘Statelet’ in Syria’s Qusayr Under Israeli Fire

Smoke billows from al-Qusayr in western Syria following an attack. (SANA)
Smoke billows from al-Qusayr in western Syria following an attack. (SANA)
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Hezbollah’s ‘Statelet’ in Syria’s Qusayr Under Israeli Fire

Smoke billows from al-Qusayr in western Syria following an attack. (SANA)
Smoke billows from al-Qusayr in western Syria following an attack. (SANA)

Israel has expanded its strikes against Hezbollah in Syria by targeting the al-Qusayr region in Homs.

Israel intensified its campaign against Hezbollah in Lebanon in September and has in the process struck legal and illegal borders between Lebanon and Syria that are used to smuggle weapons to the Iran-backed party. Now, it has expanded its operations to areas of Hezbollah influence inside Syria itself.

Qusayr is located around 20 kms from the Lebanese border. Israeli strikes have destroyed several bridges in the area, including one stretching over the Assi River that is a vital connection between Qusayr and several towns in Homs’ eastern and western countrysides.

Israel has also hit main and side roads and Syrian regime checkpoints in the area.

The Israeli army announced that the latest attacks targeted roads that connect the Syrian side of the border to Lebanon and that are used to smuggle weapons to Hezbollah.

Qusayr is strategic position for Hezbollah. The Iran-backed party joined the fight alongside the Syrian regime against opposition factions in the early years of the Syrian conflict, which began in 2011. Hezbollah confirmed its involvement in Syria in 2013.

Hezbollah waged its earliest battles in Syria against the “Free Syrian Army” in Qusayr. After two months of fighting, the party captured the region in mid-June 2013. By then, it was completely destroyed and its population fled to Lebanon.

A source from the Syrian opposition said Hezbollah has turned Qusayr and its countryside to its own “statelet”.

It is now the backbone of its military power and the party has the final say in the area even though regime forces are deployed there, it told Asharq Al-Awsat.

“Qusayr is critical for Hezbollah because of its close proximity to the Lebanese border,” it added.

Several of Qusayr’s residents have since returned to their homes. But the source clarified that only regime loyalists and people whom Hezbollah “approves” of have returned.

The region has become militarized by Hezbollah. It houses training centers for the party and Shiite militias loyal to Iran whose fighters are trained by Hezbollah, continued the source.

Since Israel intensified its attacks against Hezbollah in Lebanon, the party moved the majority of its fighters to Qusayr, where the party also stores large amounts of its weapons, it went on to say.

In 2016, Shiite Hezbollah staged a large military parade at the al-Dabaa airport in Qusayr that was seen as a message to the displaced residents, who are predominantly Sunni, that their return home will be impossible, stressed the source.

Even though the regime has deployed its forces in Qusayr, Hezbollah ultimately holds the greatest sway in the area.

Qusayr is therefore of paramount importance to Hezbollah, which will be in no way willing to cede control of.

Lebanese military expert Brig. Gen Saeed Al-Qazah told Asharq Al-Awsat that Qusayr is a “fundamental logistic position for Hezbollah.”

He explained that it is where the party builds its rockets and drones that are delivered from Iran. It is also where the party builds the launchpads for firing its Katyusha and grad rockets.

Qazah added that Qusayr is also significant for its proximity to Lebanon’s al-Hermel city and northeastern Bekaa region where Hezbollah enjoys popular support and where its arms deliveries pass through on their way to the South.

Qazah noted that Israel has not limited its strikes in Qusayr to bridges and main and side roads, but it has also hit trucks headed to Lebanon, stressing that Israel has its eyes focused deep inside Syria, not just the border.