The topic of almost every conversation right now centers on COVID-19, and with good reason. The recently announced coronavirus pandemic is already life-changing as we know it, and for many people, life will take an even stranger turn in the coming weeks, months, and even years. Things will not be the same, especially for those who dared to venture out of the comfort of their 9 to 5 jobs and start a new business.
Small businesses, including
Owners and employees already face difficult and immediate options:
stay open and take risks with the health of your staff and clients or close
unsupported These organizations already operate with a reduced profit margin,
And most startups are not yet profitable yet. The choice is difficult.
one, and even more demanding decisions will be on the way.
While much remains to be seen about the global economy, one thing is certain: what happens next will likely be different from what came before. This is what we know so far about how the coronavirus is affecting small businesses.
If this global health crisis has taught the world one thing, it is that public health is as solid as the health of the person with the fewest means. As our populations become more diverse, it will become even more important to find ways to meet your health care needs. Although Asia and Europe will need to deal with the crisis, the United States may be the hardest hit, as health care is expensive and based primarily on the employer. Many people seek and remain in jobs for benefit packages.
The pandemic is likely to underscore the importance of a comprehensive and useful benefits package, even among small businesses. Companies like Google are competitive employers not only for their position in the global marketplace, but also for the incredible benefit packages they offer, including health insurance, sick leave, paid time off, and overall health and wellness support. . To compete, small and medium-sized companies must offer the same, or at least their best effort.
The role of health benefits will be more important than ever for returning workers after companies close their blinds again. It is unclear whether the responsibility will fall directly on small businesses or the government. One thing is certain: The American worker will never try to be so vulnerable again.
While it has a large impact on local small businesses, those with distributed supply chains are likely to be even more affected. If a small business gets products from a larger supplier, then there’s a good chance that those supplies are coming from China or another affected area that has shut down production to prevent the virus from spreading. Larger retailers like Macy’s say they expect a slowdown in China’s products, particularly as the Chinese market recovers and production begins to work again.
At the same time, further disruptions in the supply chain could occur. For example, US transportation workers could be severely affected by the virus, as could those working in customs. There could be a shortage of workers in warehouses and distribution centers, which could reduce travel time by days or even weeks. Even Amazon will be affected. Their workers have told the press that the e-commerce giant is not doing what it takes to protect them. Because while washing your hands and using disinfectant are crucial parts of stopping the spread of the disease, bringing thousands of people into a confined space means that those interventions can only offer so much.
A great media focus has as well
has been to bars, restaurants, event venues and businesses that rely on large
meetings of people as the core of their business models. The impact on these
companies are developing before our very eyes, but there is another industry
It is likely that he is devastated.
The stock market crash is another problem, because while only 55% of Americans report that they own stocks, they know what market issues mean to their company’s leadership. People are concerned about their future. They worry about jobs, mortgage payments, and the uncertainty of what comes next. Any of those big projects that they might have been actively planning now will likely be put on hold. In other words, everyone in the home improvement industry may need to retire. This can affect small appliance stores, builders, and contractors and everyone whose small businesses or franchises are involved in the space, from paint, tile, or flooring to plumbing and electricity.
The impact of the coronavirus on small businesses will be enormous. It will change the way we move, shop, and do business, and could even reverse the trend of globalization. What will happen next? Unfortunately for companies, it’s still a matter of waiting and seeing.
The opinions expressed in this article are the author’s own and do not necessarily reflect the editorial policy of Pkhype.com.