Chinese sportswear brand Li Ning entered Russia in H12022 as per a report by real estate consultancy Knight Frank’s Russian arm. Over 180 companies, including fashion brands like H&M and sportswear giants Nike and Adidas have exited the Russia market till date. This makes LI-Ning’s entry notable. The brand plans to open 15-20 stores in Moscow and St Petersburg, as well as ink partnerships with local e-tailers and sporting brands

Li-Ning aims to become a major brand for affordable fast fashion and sportswear in Russia. The country provides a favorable condition for Li-Ning’s expansion. However, the brand’s Russia launch isn’t risk-free. Li-Ning‘s entry into the Russian market risks alienating potential customers in markets like the US. Russian consumers’ reception of Li-Ning is yet to be seen as cultivating brand awareness and loyalty from scratch in a country with its own culture could be an uphill battle. Moreover, Russian designers could create the country’s own iteration of guochao and call for local consumers to support homegrown companies.

On the other hand, embracing the Russian market will help Li-Ning boost sales and brand awareness. However, the sportswear brand will need to balance between localizing in Russia and cultivating goodwill with potential shoppers elsewhere, and invest in new products tailored to the needs and tastes of Russian consumers.