While lockdowns and physical distancing measures have forced many businesses to close at least partially, parts of the economy considered “essential” or “essential” to the functioning of society have been allowed or had to continue operating. These businesses ranged from food manufacturers to toilet paper manufacturers to gas stations. Governments around the world have distinguished between companies that are allowed to operate with and without customer contact and those that have had to temporarily close their operations. This paper examines the economic impact of the pandemic on businesses and their responses, distinguishing between key and non-key companies. In general, government support and physical distancing measures, as well as their stringency, varied considerably from country to country. In response to the pandemic, nearly 90% of countries have provided liquidity to businesses and supported entrepreneurs (Gentilini et al., 2020), and 80% of countries have provided some form of financial support to small businesses to mitigate economic turbulence for businesses (International Monetary Fund 2021).2 Despite broad support, The level of aid varied considerably from country to country and in some medium- and medium-sized countries. fragmented or non-existent low income. Also in Author Talks, we spoke with Amy Zegart, Senior Fellow at the Hoover Institution and the Freeman Spogli Institute at Stanford University, where she is also a professor of political science. Zegart spoke about his new book Spies, Lies, and Algorithms: The History and Future of American Intelligence (Princeton University Press, February 2022). The book examines the current state of intelligence agencies, why the government is lagging behind in adopting new technologies, and what the public misunderstands about the espionage industry. This study contributes to the existing literature on crisis management and identifies strategies for small business survival and resilience during a protracted crisis and challenge. I also make recommendations to small businesses on how to remain flexible or competitive through resilience and renewal strategies, and the researcher has also made relevant recommendations to policymakers and other stakeholders.
This paper highlights small businesses and their challenges during the coronavirus pandemic in developing countries, particularly Ethiopia. Using various empirical reviews, reports/evaluations from WHO and other organizations, journals, small business experiences and other related secondary data analyses, the researcher sought to interpret the analysis and draw reasonable conclusions about the challenges that every small business faces in times of current crisis. This study reveals that doing business during the COVID-19 pandemic is very challenging, with dangerous implications for small businesses, professional life, as well as the country`s overall economy. This study has some limitations, including the fact that it only used secondary data, as it is difficult to obtain empirical/primary evidence directly from companies during this pandemic period. Therefore, it was preferable to include primary data. In addition, as COVID-19 is an ongoing pandemic, it has been difficult to obtain more related documentation for review. It is painful to think of these 100 expenses, the millions of lives lost, the suffering and grief, and the countless disruptions to lives and livelihoods. But perhaps a sign of hope, we now feel that the time has come to stop.
COVID-19 news appears to be less urgent than at any time in the past two years. All of McKinsey`s published work explains the pandemic, even if it is not mentioned directly. COVID-19 has gone from a new emergency to a fact of life. As part of the census, businesses were also asked about their future needs. Over the next 6 months, companies reported the following: Bartik et al. (2020) conducted a survey at the end of March of nearly 6,000 small businesses that are members of the Saleable Business Network. They note that 43% of businesses are temporarily closed, significant staff reductions, and the majority of companies have less than 1 month of free cash. Small businesses are the backbone of any economy, and with COVID-19 impacting economies around the world, it`s more important than ever to protect them. Since the first case of the pandemic in Ethiopia, the government has taken various comprehensive health and economic measures to mitigate its impact. Described by the government as an engine of economic growth and job creation, small businesses or, more commonly, small and micro-enterprises, as the dictionary says, the sector has grown steadily over the past decade.
However, given the wrath of the coronavirus pandemic, most of these companies are struggling to survive more than 5 months in the current climate, Ethiopian Press Agency (2020). As the economy continues to suffer from the effects of COVID-19, consumer goods companies are under more pressure than ever. Prices for food and packaged products increased by more than 22%. Wages and labor costs in the manufacturing sector rose from 5% to 20% of total costs in 2020. To respond to these rapid and profound changes, companies must adapt their operating models to the new reality. This study focused on highlighting the challenges faced by small businesses during the coronavirus pandemic in developing countries, particularly Ethiopia. Methodologically, the study used secondary data analysis according to a descriptive research design. In addition, this study was conducted using both qualitative and quantitative research approaches. The result of the secondary data analysis shows that many small and large companies are facing challenges, and this unprecedented coronavirus crisis has wreaked havoc on many companies around the world, and it is difficult to survive with reduced revenues, job losses and a slowdown in lives and poor marketing performance that is even difficult to keep a cool head and their business in a state of life. life. To support these enterprises, the government should use various mechanisms by working with wealthy people and other non-governmental organizations. In addition, small business owners should manage their expectations and communicate with their employees, suppliers, banks and customers during this scary coronavirus crisis.
Reduce expenses Be open to your employees about their finances and continue to do marketing, use different alternatives to deliver your product and recover from the crisis. In addition to the latest census data, Facebook, the World Bank and the OECD released the Wave II survey report for their State of Small Business Global Survey. The second wave responses were collected between 24 and 30 June and covered more than 25,000 companies in 50 countries. The updated report focuses on small businesses` access to finance. The survey found that during the second wave, fewer small businesses around the world received financial support, which could be due to a reduced need for financial assistance when businesses reopened or the fact that financial assistance may no longer be available. However, the report notes that measures related to improving access to finance and covering expenses remain the most necessary measures cited by small businesses. We surveyed small business owners to examine this sentiment and understand the immediate and long-term impact of the crisis on their businesses. Read on to see the situation of business owners and learn more about the business tactics they are using in response to the crisis. While our topic this week is accelerating the impact of the pandemic, we also looked at the opposite: how COVID-19 can trigger lightning-fast setbacks. While consumer confidence is increasing, the desire to travel has been delayed due to sporadic COVID-19 outbreaks. Our research on China`s tourism industry has shown that a predictable trend is emerging, with the desire to travel recovering about two months after a decline. In addition, travelers` preferences are changing, which is impacting travel agencies.
According to Fairlie (2020b) findings, African-American business owners have been the most affected by COVID-19. Early estimates from April 2020 for black entrepreneurs in the U.S. suggest a massive 41% drop in business activity. Black business owners were also disproportionately affected in May and June compared to national levels, with business activity declining by 26% and 19%, respectively. The simulations suggest that the distribution of Black people in the industry was partly to blame, putting Black business owners at increased risk of losing customers due to the pandemic. Latin American businesses have also been hit hard by COVID-19, losing 32% of active business owners in April, 19% in May and 10% in June. Asian entrepreneurs experienced a 26% decline in business activity during the critical 2-month window and continued losses of 21% in May and 10% in June. Simulation estimates also indicate unfavorable industry distributions for Latin, but the evidence is less clear for Asians.
Migrant entrepreneurs were also devastated, losing 36% of their business activity in April. Disproportionate losses continued in May (25%) and June (18%). In these challenging times, what can employers do to prevent nurses, the backbone of health care workers, from being lost to high turnover? McKinsey`s podcast speaks with senior partner Gretchen Berlin, a registered nurse, about the need to pay caregivers appropriately and make sure there is enough staff, respite, and gratitude. On the McKinsey on Government podcast, McKinsey Partner Tony D`Emidio and Associate Partner Marcy Jacobs discuss how the pandemic has forced many government agencies to modernize the customer experience (CX) in the face of high demand for unemployment and healthcare.