VIEWPOINT
Gas Prices Just One Impact of Russia’s Ukraine Invasion U.S. c-store industry will feel the pain on many fronts IN THE 30 YEARS since the fall of the USSR, there has never been a more serious international crisis than Russia’s invasion of Ukraine on Feb. 24, 2022.
This unwarranted act of war against a sovereign nation has created a humanitarian crisis and moved the world closer to nuclear war than at any time since the Cuban Missile Crisis of 1962. A week into March, crude oil prices hit a 13-year high of more than $130 per barrel, and the national average price for a gallon of regular gasoline exceeded $4. Some stations were selling gas at more than $6 per gallon. After two years of pandemic-caused demand destruction, it remains to be seen how long before these astronomical fuel prices result in a sharp downward demand for gasoline, or hit consumers’ pockets enough to cause another recession. Skyrocketing fuel prices are already adding to the highest U.S. inflation rate in 40 years.
like Apple, Microsoft and Nike in halting its Russian operations. Visa and Mastercard cut off their payment systems in Russia, although NACS Chairman Jared Scheeler pointed out that “while admirable, it only accounts for foreign transactions. If they really wanted to make an impact, they’d have completely shut them down.” • Russian brands and products, like Russian vodka and Lukoil gas stations, are being boycotted. In New Jersey, the Newark City Council suspended the licenses of local Lukoil gas stations and convenience stores, even though most U.S. Lukoil stations are owned by individual American franchisees. Reminds me of the unfortunate backlash against BP stations after the Deepwater Horizon oil spill in 2010. • The food sector also will be heavily affected. Russia and Ukraine are major food producers for Europe and some Third World nations, and the potential shortages are sure to impact the U.S.
Other impacts of the Russian invasion on the U.S. convenience store industry include:
It almost feels ridiculous to be worrying about high gas prices, inflation and recession when one wrong move by our elected leaders could spark World War III. Which reminds me of a quote attributed to Albert Einstein: “I know not what weapons World War III will be fought, but World War IV will be fought with sticks and stones.”
• Many U.S. companies suspended operations and service in Russia. Alimentation CoucheTard/Circle K joined with other western firms
For comments, please contact Don Longo, Editorial Director, at (201) 855-7606 or dlongo@ensembleiq.com.
EDITORIAL EXCELLENCE AWARDS (2013-2022)
EDITORIAL ADVISORY BOARD
2021 Jesse H. Neal National Business Journalism Award Finalist, Best Infographics, June 2021
2018 Jesse H. Neal National Business Journalism Award Finalist, Best Editorial Use of Data, June 2017
2013 Jesse H. Neal National Business Journalism Award Best Single Issue, October 2012
2013 Jesse H. Neal National Business Journalism Award Finalist, Best Profile, August 2012
2020 Eddie Award, Folio: magazine Business to Business, Retail, Series of Articles, September 2019 2018 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Website Business to Business, Retail, Full Issue, October 2017 Business to Business, Editorial Use of Data, June 2017 2017 Eddie Award, Folio: magazine Winner, Business to Business, Retail, Single/Series of Articles, May 2017 Honorable Mention, Business to Business, Retail, Single/Series of Articles, June 2016 2016 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Full Issue, October 2015 Business to Business, Retail, Single/Series of Articles, August 2015
2016 American Society of Business Press Editors, National Azbee Awards Gold, Best How-To Article, March 2015 Bronze, Best Original Research, June 2015 2016 American Society of Business Press Editors, Midwest Regional Azbee Awards Gold, Best How-To Article, March 2015 Silver, Best Original Research, June 2015
2015 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Single Article, February 2014 2014 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Full Issue, October 2013 Business to Business, Retail, Single Article, February 2013 2013 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Full Issue, October 2012
Laura Aufleger OnCue Express
Ray Johnson Speedee Mart
Chad Beck Core-Mark
Ruth Ann Lilly GPM Investments LLC
Edward Davidson Ed Davidson & Associates (7-Eleven Inc., retired) Robert Falciani ExtraMile Convenience Stores Jim Hachtel Eby-Brown Co. Chris Hartman Rutter’s
Vito Maurici McLane Co. Inc. Matt Paduano Lakeport Markets Jonathan Polansky Plaid Pantries Inc. Greg Scriver Kwik Trip Inc. Roy Strasburger StrasGlobal
2015 American Society of Business Press Editors, National Azbee Awards Silver, Best Profile (long form), February 2014 2015 American Society of Business Press Editors, Midwest Regional Azbee Awards Gold, Best Special Supplement, November 2014 Silver, Best Profile (long form), February 2014 2013 American Society of Business Press Editors, Midwest Regional Azbee Awards Bronze, Best Editorial/Commentary, July 2012
2020 Trade Association Business Publications Intl. Tabbie Awards Honorable Mention, Best Single Issue, September 2019 2016 Trade Association Business Publications Intl. Tabbie Awards Silver, Front Cover Illustration, June 2015
AP RIL
20 22
Convenience Store News 3
