2000+. Yes, that is the latest number of deaths estimated world wide due to Wuhan Corona Virus. The biggest virus outbreak post SARS in 2003 (which incidentally also originated from China) has not only caused severe health related concerns but has also jolted businesses (or at-least the way they operate) in more than one way.
Remote working: Not by choice, but by force. Blessing in disguise?
Remote working is being forced on companies who are finding it more productive than they initially thought. Companies like Slack, Zoom, DingTalk (In China) have been massive gainers to help the remote workforce. Read more on financial times
Closed Shops, Empty Stores narrate a no demand story
Companies being pushed to close their offices coupled with consumers staying quarantined at home has had a deep impact on the demand as well. Giants like Starbucks, Nike, Apple etc. have already started to face the consequences. Read more on BBC
Cost saving leads to over dependencies which are a bottleneck now.
Manufacturing activities in China have taken a hit due to the CoronaVirus. Companies’ dependency on China for manufacturing has led to a slower production of goods to serve the demand in the rest of the world. Read more on the Business Line
The Story of empty airports and hotels
Tourism as a industry has taken a deep hit globally. While no one is travelling to China for obvious reasons, world over airports are empty because of absence of chinese tourists and preemptive precaution by others. Read more on NY Times
Is it the beginning to China’s economic downturn?
At a Macro level, it has profound impact on China and neighbouring country’s economies (Including India). Most analysts have corrected the GDP growth rate which they forecasted earlier. While some draw an analogy to the 2003 SARS outbreak, the economic conditions in China are a lot different today than in 2003. Read more on Business Insider
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All of us need to be better prepared for such sev.ere endemics and the preparation of business world should be one step ahead to mitigate the above risks.