Models for adaptation of foreign economic activity of Russian companies in the context of sanctions pressure

Investigating models for adapting foreign economic activity of Russian companies to the sanctions pressure of unfriendly countries is relevant, since it is necessary to form approaches to obtaining data on trends and priority strategies for overcoming negative consequences in the current situation. The aim of the work is to assess trends in the use of models that help to adjust foreign economic activity of Russian companies to the sanctions pressure. Research methodology is based on economic analysis methods; application of foreign economic activity adaptation models is reflected using objective indicators that characterize the dynamics of revenue, net profit and investments of companies after the application of restrictions in connection with the economic sanctions of unfriendly countries. The research findings indicate that the inability to replace a large number of raw materials included in the value-added chain has maintained the level of demand for export goods and formed a high motivation for mediation in foreign economic transactions, which made it possible for Russian companies to implement an adaptive export switching model. Adaptation to import restrictions, based on differentiated high-value goods, is carried out bypassing sanctions by companies from unfriendly countries due to the lack of alternative sales markets. Despite the generally favorable position of Russian companies, about a third of enterprises were unable to successfully reorient product sales to new international destinations, which led to a reduction in revenue by the end of 2023. Also, about a third of the companies that showed revenue growth compared to 2021 experienced a reduction in financial performance, which indirectly indicates an increase in costs due to the use of the import switching model. Although the import figures show a pre-crisis level in general, the cost of imports has increased significantly, due to the complexity of logistics and the formation of a chain of intermediaries. Data on the use of the adaptation model of international cooperation show that large enterprises do not use this mechanism due to the risks of secondary sanctions for foreign partners. The findings contribute to the methodology for studying models of companies’ adaptation to sanctions pressure by forming methodological foundations for determining the directions to adjust foreign economic activity based on the current system of statistical observation. The developed methodological foundations, along with survey methods for obtaining information related to models for Russian companies’ adaptation to sanctions, can be used to monitor the identified issues and verify research on relevant topics.