{"id":1759,"date":"2020-09-17T10:00:17","date_gmt":"2020-09-17T07:00:17","guid":{"rendered":"https:\/\/ludci.eu\/magazine\/?p=1759"},"modified":"2020-09-14T16:55:53","modified_gmt":"2020-09-14T13:55:53","slug":"businesses-struggle-during-the-covid-19-pandemic","status":"publish","type":"post","link":"https:\/\/ludci.eu\/magazine\/businesses-struggle-during-the-covid-19-pandemic\/","title":{"rendered":"Businesses Struggle During the COVID-19 Pandemic"},"content":{"rendered":"

Headline Diplomat – Issue 1
\nThe perilous lenses of COVID-19: The impact on the economy<\/h2>\n

Brock Cooper, Journalist, Profitable Prose, LinkedIn<\/a><\/h3>\n

Across the globe, businesses large and small shuttered their doors and waited out a lockdown that lasted months. Slowly, restrictions began to lighten, but for many businesses, it was too late.<\/p>\n

Following the lockdown and as the markets reopen, many businesses have reduced staff. Uncertain futures prevail in the minds of everyone unless the economy can pick up or they can qualify for government aid.<\/p>\n

\u201cNobody could have foreseen the impact that COVID-19 was going to have on our state\u2019s economy,\u201d Wisconsin Department of Agriculture Secretary-Designee Randy Romanski told WIZM News<\/a>. \u201cThe dramatic supply chain disruptions that the agriculture industry faced were dramatic. We heard from the group\u2019s early and often that this was going to be a substantial impact. You\u2019re talking about hundreds of millions of dollars.\u201d<\/p>\n

Dramatic disruptions were shown across all businesses. For more than 85 years, GNC has provided supplements and vitamins for people. It has recently announced its bankruptcy, specifically closing more than 1,200 stories or about 20 percent of its total stores. The company was already on thin ice, but the stay-at-home orders further complicated matters.<\/p>\n

Thousands of children had birthday parties at Chuck E. Cheese, but it is closing 45 of its locations and filing for bankruptcy and blaming the Covid-19 pandemic.<\/p>\n

This is a familiar refrain for many businesses from mom-and-pop operations to major corporations. Many are not reopening or opening with a skeleton crew, leading to higher unemployment rates.<\/p>\n

The problem may continue as one-half of the hemisphere recovers and the other gets hit again.<\/p>\n

\u201cThere’s a bounce-back effect between the two hemispheres,” Romain Ranciere, professor of economics, finance and business economics at USC Dornsife told Phys.org<\/a>. This rebound could mean that, just as the Northern Hemisphere feels safe to emerge from quarantine, the virus comes roaring back after wintering down south. Equal containment measures on both sides of the equator are essential.<\/p>\n

Most people agree a total shutdown was necessary to avoid millions of potential deaths, but it was a risky economic strategy and one that won\u2019t be easy to bounce back from.<\/p>\n

China and other countries are vital for imports into the United States and other countries, but pandemic restrictions on food and other foods fractured supply chains globally, affecting national economies and the international economy at large.<\/p>\n

Imports and exports were delayed, and much needed medical supplies and drugs were cut off. Factories and warehouses that employed hundreds of workers were shut down or discovered many of their workers infected with Covid-19.<\/p>\n

Governments have tried to ease the impact on businesses, but red tape and political posturing have made it difficult for businesses to take advantage.<\/p>\n

“There is a mix between helping vulnerable individuals vs. helping businesses. European packages are very focused on ‘going concern’ with businesses. The U.S. package is very much driven toward social insurance, which makes sense because there are holes in the safety nets here,” says Ricardo Reis, professor of economics at the London School of Economics to phys.org<\/a>.<\/p>\n

Despite all odds, countries attempt to recover. Businesses across the globe are re-opening, but some are being shut down once again as Covid-19 cases spike. Only time will tell how long it will take to recover from the pandemic and if it can handle another round.<\/p>\n

As Businesses are trying to recover, they face a period of uncertainty. Programs designed to help move impossibly slow, leaving many businesses with bills and not money. They\u2019re dealing with a drop in customers, uncertain revenues, and developing new methods of growth.<\/p>\n

The need to invest in digital growth, e-commerce, and other online business models is more important than ever.<\/p>\n

Conclusion: <\/strong><\/h4>\n

Future is uncertain. The economic impact on businesses, due to COVID-19 will be felt for many years. Businesses are adapting and focusing on digital methods to grow their business to offset the loss of foot traffic and to grow customer base.<\/p>\n

Featured photo by Lukas,<\/a><\/strong>\u00a0Pexels<\/a><\/strong><\/em>
\nAll rights reserved to Headline Diplomat eJournal, LUDCI.eu<\/em><\/h6>\n

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Headline Diplomat – Issue 1 The perilous lenses of COVID-19: The impact on the economy Brock Cooper, Journalist, Profitable Prose, LinkedIn Across the globe, businesses large and small shuttered their doors and waited out a lockdown that lasted months. Slowly, restrictions began to lighten, but for many businesses, it was too late. Following the lockdown …<\/p>\n

<\/path><\/svg><\/span><\/a><\/path><\/svg><\/span><\/a><\/path><\/g><\/path><\/g><\/circle><\/g><\/g><\/svg><\/span><\/a><\/path><\/svg><\/span><\/a><\/div>
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