Impact thus far of the boycott for Palestine, Gaza
ALBAWABA – There is no telling what the impact thus far has been, of the regional and global boycott for Palestine and Gaza, at least not accurately and not until the quarterly and annual results come out, but one can infer.
An unnamed source at McDonald's corporate offices in Egypt told Reuters that the Egyptian franchise's October and November sales fell by at least 70 percent, compared to the same duration last year.
The figures themselves, however, were not disclosed.
Sameh el-Sadat, an Egyptian politician and co-founder of TBS Holding, a supplier to Starbucks and McDonald's, told Reuters he noticed a drop of about 50 percent in demand from his clients.
Newsweek reported Tuesday that Starbucks has lost $11 billion to the boycott for Palestine and Gaza.
In an effort to repair their reputations, McDonad’s franchisees in the region pledged hundreds of thousands in aid for Gaza, in total.
According to Agence France-Presse (AFP), McDonald's in Kuwait and Qatar alone pledged nearly half a million dollars in Gaza aid.
Meanwhile, even Jewish voices have joined the movement to boycott for Palestine and Gaza, marking many of the targetted brands and companies in their social media posts.
Boycott for Palestine, Gaza: How did McDonald’s, Starbucks make the list?
In the wake of the surprise Gaza attack, a McDonald’s franchisee reportedly distributed meals to Israeli soldiers ahead of the onslaught on Gaza. The genocide that ensured left more than 16,000 Palestinians dead, including thousands of women and children, as of December 6.
Newsweek reported the Israeli franchise said five stores are in operation to provide free meals to occupation army personnel, and more than 100,000 meals have been donated.
Other franchisees in the United States (US) also seemed to have expressed their support for the occupation, having changed their packaging to show the colours of the Israeli flag right after October 7.
This sparked a rather broad wave of discontent with the brand and its support for the Israeli massacres and triggered a global movement that put the big three brands in its crosshairs: McDonalds, Disney and Starbucks.
Boycott for Palestine, Gaza: Impact thus far
Figures have yet to be released as to the performance of the boycotted brands in the region and beyond, since October. But news agencies have reported a decline in demand for their products in various countries around the world.
The Middle East Monitor reported Egyptian carbonated drinks company Spiro Spathis, which wasn’t very popular before, has now become extremely popular, following a call to boycott Pepsi and Coca-Cola.
In fact, the company, founded in 1920, published a statement on its Facebook page stating that it had received more than 15,000 resumes when it announced that it was hiring extra staff.
Reportedly, higher demand for its products has driven the company to expand its operations, the statement said.
As for Starbucks, even though the company has been a target of popular boycott movements in the Arab region for years, it did not make the list until shortly after the surprise Gaza attack.
The company sued the Starbucks Workers United (SWU), a union with more than 360 stores and more than 9,000 employees, after posting on X that they stood in “Solidarity with Palestine”.
Soon after, the global movement, including BDS, began to target Starbucks.
In Malaysia, a worker at a McDonald’s in Putrajaya, the administrative capital, said the branch was seeing about 20 percent less traffic, according to AlArabiya.
Elsewhere, Turkey’s parliament removed Coca-Cola and Nestle products from its restaurants, with a representative calling it a “public outcry” against the brands. Even though no big Turkish company or state agency has cut ties with Israel.
Impact thus far of the Boycott for Palestine, Gaza: Stocks worldwide
Stocks worldwide of the companies targeted by the boycott for Palestine and Gaza movement are seen fluctuating towards the year’s end, though it is not reflective of the actual sales of these companies.
Starbucks shares shot up to a six-month high on November 16, rising 15.47 percent, from October 6. The company’s shares, however, has been dropping over the past two weeks, according to Google Finance, down 10.89 percent, as of December 5.
How is the Boycott for Palestine, Gaza affecting Starbucks shares - Google Finance
In the year ending December 5, Starbucks shares fell 5.25 percent, at $95.54 apiece.
As for McDonald’s, it is a totally different story.
Company shares have increased by 15.44 percent in duration ending December 5, starting October 6, and has held at a high of $286.54 apiece.
How is the Boycott for Palestine, Gaza affecting McDonald's shares - Google Finance
Year to date, McDonad’s shares have gained more than 8 percent, according to Google Finance.
Disney stocks also rose 9.46 percent in the said duration following the October 7 surprise Gaza attack, all throughout the Israeli onslaught on Gaza, though it has dipped 5.49 percent since November 24.
How is the Boycott for Palestine, Gaza affecting Disney's shares - Google Finance
In the six months ending December 5, Disney’s stocks lost 1.49 percent. But year to date, the company's stocks have gained 2.05 percent, as of December 5, at $90.79 apiece.
Overall, the stocks worldwide of companies targeted by the boycott for Palestine and Gaza have not taken a huge hit, but those of local and regional franchisees are expected to.
Nonetheless, it is noticeable that the stocks of these targeted brands have begun to slide towards the end of the year, pointing to a rally that is potentially losing steam.
In response to the calls to boycott, pro-Israeli activists and Zionists have taken to the streets in a show of support for these companies and for the Israeli onslaught on Gaza.
News agencies reported investors and consumers alike purchasing to the effect of bolstering these brands and their stocks.
A Nasdaq sign in support of Israeli companies in response to the October 7 attack and calls to boycott for Palestine and Gaza - CTech
These pro-Israeli calls for support also coincided with a rally in markets and stocks worldwide, which has seen shares and equities reach record highs from Asia to the US. The rally has since run out of steam as markets slowed ahead of the holidays, with main indexes mixed, stocks worldwide marginally up and safe haven commodities on the rise.
Likewise, sales volumes are seen sliding to the lowest in years, with social media activists highlighting empty stores for months across the Arab and Muslim worlds, and probably beyond.
The annual and quarterly results, slated to come out during the first third of the new year, will draw a fuller, clearer picture of the Impact thus far of the Boycott for Palestine and Gaza. However, the reports from across the region speak volumes about the potential success of the movement.
