COVID-19 has emerged globally at unprecedented speed and scale. Experts don’t know how long this virus will take to its end. Various Nations have lock down whole country to prevent spread COVID-19. As a result of the lockdown, the commercial and business activities have been seriously affected and the availability of the business resources such as workmen, material, transport etc. has been troubled. The movement of the shipping lines carrying the material from the affected countries has also halted and quarantine has been imposed on them.
As a result of all above, I can anticipate a new market or new world post COVID-19 crisis.
Can I request to experts to presents their opinion on this new market post COVID-19 crisis ?
Most sectors like tourism, transport, sports paralyzed. New opportunities are processing hand sanitizers and detergents. High demand for food for home locked people.
Bruce Robin Nyamweha and Aparna Sathya Murthy ► thanks for your response. You rightly said. I think there will be bug recession post CRONA crisis. The manufacturing & automotive sectors were already facing slowdown before this CRONA crisis. Now post CRONA crisis, there will be recession..
Really, not only markets, but all aspect of our life on the Earth...
Dear Emad Kamil Hussein - yes, this is going to affect every aspects of our life. Thanks for your valuable comments.
Many differences already, instead of making guns and bullets, they are making ventilators, masks and medical garments.
In other words, the virus has saved us, in a way.
Dear Michael Issigonis - Thanks for your response. The virus has just created the demand of ventilators and masks but not changed -- this may be for short term basis (I hope this become true). Yes, I agree that this will definitely bring many reforms in medical sector in future and surely change the outlook of politicians also (Medical sector may attract more amount in budget in future in every nation). Thanks for your valuable insights.
It is normal for a market economy to flow in different direction depending on factors that may be internal or external to the market. Difference abound in the pre-market and post-market of the COVID 19 outburst. Much has to be done in other to curtail cost in building markets for goods and services for the period under review (though it is unknown how long it will last). Interestingly, the reality of COVID 19 is putting researchers and in deed everybody in one form of action and the other aimed at proffering solution. That is a pointer that the rage will be short and much activities to caution the effect already created and market stability will certainly set in.
In my opinion, the main difference in the above issue is due to the fact that due to the development of the SARS-CoV-2 Coronavirus pandemic causing Covid-19 disease, the processes of digitization of the economy have significantly accelerated. The processes of implementing ICT, Internet and Industry 4.0 information technologies into various spheres of business activity, into companies, enterprises, institutions, etc. representing various sectors and branches of the economy have been taking place for many years. However, there have been several periods of acceleration of these processes in the past. The previous period of this type was, for example, the end of the 1990s, but then the dominant sources of the then acceleration of the implementation of Internet technologies in business operations were slightly different than at present. However, the current sources of the acceleration of these technologies to economic processes and not only economic, but many areas of human life, are associated with specific activities and anti-pandemic instruments used, primarily with the recommendation of staying at home in home quarantine. Therefore, the digitization of the economy is currently taking place simultaneously in many areas of economic processes and in the functioning of many economic entities and public, financial and other institutions. Due to the development of the SARS-CoV-2 coronavirus pandemic causing Covid-19 disease, the processes of digitization of the economy have accelerated. Currently (April 2020), in many industries and sectors, more and more companies are developing their activities via the Internet, remotely providing their services and selling their products under e-commerce. Many companies that did not do this before now switch to remote activities, carried out electronically via the Internet. The importance of Internet marketing, including viral marketing, Real-Time marketing conducted on social media portals is increasing. The development of electronic banking is also increasing, including online and mobile banking. The share of payments made electronically, without cash via the Internet and during payments with the use of electronic bank cards is increasing. More and more citizens paying in stores do not use cash but make contactless payments. Limits for all contactless payments made with bank cards have just been increased in some countries. Accordingly, the SARS-CoV-2 Coronavirus will increase the share of payments made electronically in the context of all payments made in national economies. It is also associated with many puzzles regarding the development of the SARS-CoV-2 Coronavirus pandemic in the following months and perhaps also years. There are still many questions that we currently do not know the answer to about effective medical therapies for the treatment of Covid-19 disease, the development and termination of a pandemic in the following months and years, the impact of this virus on the daily lives of people in the following years, etc. All these factors may change in the future also business models and development strategies used by enterprises. The changes are so dynamic that at present it is difficult to predict what the scale of the digitization of the economy will be, not only in a few years but even in a year. The issues are so developmental that unconventional analytical instruments are already being tried to forecast specific development processes of specific issues related to the development of the SARS-CoV-2 Coronavirus pandemic in the future and the impact of this pandemic on economic processes. Examples of this are currently attempts to use Big Data Analytics analytical platforms for the aforementioned forecasting processes in some research centers.
Regards,
Dariusz Prokopowicz
Dear Deepak Verma ,
I generally agree with all of the comments provided by other researchers. However I want to address something that as I can see no one talked about.
With an exponential increase in 'hunger' for profits management of many large (and today is also the case with SMEs) companies moved to leaner and leaner inventories as the world wide 'just in time' inventory revolution was unfolding.
Companies had lower and lower amounts of inventories in order to free up cash for day to day operations. Unfortunately with covid economy lockdown, many firms around the world literally stopped producing within days of the border closures. Just in time concept caused a situation where they have to shut down operations due to a SINGLE component being missing due to border and customs restrictions.
In the future, many manufacturing companies will have to move to a 'modified' Just-in-time concept as they will have to ask themselves "what if the same lockdown happens again"?
I hope my point of view was helpful
kind regards!!!
I would also like to add that the new markets developing after the SARS-CoV-2 coronavirus (Covid-19) pandemic will certainly be more digitized, computerized, internalized, more virtual, with a larger scale of remote transactions.
Best regards,
Dariusz Prokopowicz