Major Industry Shift after COVID-19 Issues and their Solutions

In the light of the Covid-19 pandemic spread, the country has geared up for a period of total lockdown.

The latest guidelines say the tenure of lockdown may vary state-wise, depending on the disease’s spread in that region. However, after such crisis time pass and normalness restored, the overall impact of the pandemic on the economy will be thoroughly understood.

While Government and officials are churning out ways and means to contain the virus, all industries and brands are trying to keep their business running amidst the crisis.

Some companies have a more robust defense mechanism to bounce back while others will have to struggle to reset things back to normal, keeping in mind business strategy as well as redefining old moves.

Impact of COVID-19 Pandemic on Key Industries in India

RETAIL INDUSTRY: The worldwide lockdown has impacted the retail industry adversely. Besides food items and groceries, most of the other stores like garments, furniture, hardware, and electronics are shut. The retailers have reported a significant loss in revenues due to the damage incurred for not being able to sell non-essential items.

The consequence of this outcome is major many small retailers are thinking of laying- off a few percentages of their employees.

FINANCIAL INSTITUTIONS: With the ongoing lockdown and liquidity crisis, economists and experts have expressed their concern over the sudden economic downturn and believe a global recession will soon grasp us.

The stock market has crashed all over the world; investors are pulling out their money to avoid further loss, massive fall in revenue is also impacting the overall existence of different firms.

HEALTH: The pandemic has claimed numerous lives and is still creating havoc in the healthcare industry. The private hospitals and nursing homes are witnessing a significant drop in footfalls; international patients and test-volumes have also severely decreased.

Moreover, in cities, tier 2, and tier 3, many hospitals are shut down due to a shortage of cash flows. With the addition of COVID-19 expense to this already dwindling sector, the adverse consequences are on the rise.

TRAVEL AND TOURISM: This sector has received a significant blow during this pandemic situation as people are cutting down travel expenses from their lists to budget their growing economic plight.

There have been cancellations for forwarding bookings, and major airlines are suspended as per Government guidelines, which have impacted trade. Thus a sharply negative effect is lurking in every nook and corner.

IT INDUSTRY: COVID has significantly hurt the booming IT industry, and it is feared that the consequences will be severe than the 2008 global financial crisis.

Europe and the USA account for two-thirds of India’s IT exports, and the lockdown has disrupted IT spending this year. With the delay in upcoming projects and existing projects in the pipeline, stagnation in ease of business and ease of working will continue.

MANUFACTURING: The interruptions and disruptions caused by the manufacturing industry’s supply chain will severely affect its growth prospects in the upcoming months—the major setback in China, home to many factories that produce raw materials.

The current scenario propels the shutdown of all these manufacturing units to contain the virus. This, in turn, created a ripple effect all over the world’s manufacturing facilities.

REAL ESTATE: The crisis has retraced buyers’ confidence level, and any real estate deal will be postponed. This sector previously faced the wrath of weak demand and will now find it even more challenging to commence new projects.

EDUCATION: The structure of the learning and education system was the first to get hit by the countrywide lockdown due to the Novel Coronavirus outrage.

Only a few private schools could adopt online learning methodologies while remotely located government schools have entirely shut down for not being able to adopt e-learning solutions.

Measures and solutions to tackle the Current Challenges

• The Government has started implementing fiscal measures to supervise health conditions. Additional funding and resources from the Government’s side will help improve the situation.
• Wage subsidies and tax reliefs to affected households and businesses will be a source of relief.
• To manage the crisis regarding the education sector, a multi-prolonged strategy is essential. The Diksha platform will reach all states and can strengthen learning prospects for students.
• Companies making use of digital platforms and tools to reach more customers, and widening their services through online portals will gain more than those who are still waiting for brick and motor stores to function.
• Startups and entrepreneurs will have to adopt new techniques and strategies to scan through the risks by tracking expenses, keeping a tab on the feasibility of the business model, and patient in securing investments.

Silver Lining

• Specific industries will indeed face job crisis and unemployment, but particular sectors will also flourish. Professionals associated with medical, pharmacy, counseling, networking, cybersecurity, engineering, and data privacy will have more job opportunities.
• The print and digital media will also show a surge in the near future.                                     
• Technological advancements will proliferate. The workplace will not be local anymore; remote and digital working will witness a steep rise.
• Every business or industry will need to innovate to adjust to the new promising developments, trends & global forces. Employers will invest in job seekers who are willing to re-skill and stay ahead with emerging technologies rather than deal with redundant strategies.
• High paid jobs that do not justify the cost will reduce dramatically. Outsourcing will be key to implementing cost-effective measures to boost profit and sales. Therefore the gig economy will re-surface.

Wrapping Up

The post-COVID scenario will witness a change in customer behavior. It is difficult to gauge how long the deadly virus effects will last; being prepared for every situation is the need of the hour.

Industries and businesses will need to communicate, maneuver, strategize, and deal with compassion. Everyone should work hand in hand to overcome the difficult times and be positive to excel again.