What will be the effects of the new coronavirus on the economy? This is a difficult question to answer, as authorities around the world are still assessing the effects of the pandemic, with the aim of trying to foresee what the global scenario will be in the coming months.
This uncertainty about what lies ahead is what worries businesspeople from different professional segments. Financial market agents are already projecting a 3.76% drop in the Gross Domestic Product (GDP), a fact that negatively impacts the lives of companies, compromising their sustainability.
In addition, they need to adapt their infrastructures to work from home, in order to ensure that normal activities can continue. In this context, we have prepared a post with testimonials from great entrepreneurs about the current pandemic and what can be learned from this adversity. Enjoy reading!
How do managers view the economy in the face of coronavirus?
The Global Capital Confidence Barometer study by Ernst & Young , which is considered one of the leading auditing and consulting companies in the world, shows that, in February, approximately 64% of Brazilian chief vp sales marketing officers email lists businesspeople were optimistic about the sustainability of the country's economy. At that time, the coronavirus numbers in Brazil were not very significant.
In March, that number dropped to 23% with executives predicting major losses in the Manufacturing, Transportation and Automotive, Consumer and Financial Services sectors.
In the current situation, 53% of entrepreneurs in Brazil interviewed for the survey believe that it is difficult to predict what the market behavior trends will be, given that indicators are changing rapidly.
However, they highlight that a better analysis of the current scenario could be the way to point out ways to overcome the crisis.
The same study interviewed 2,900 executives, including directors, presidents and financial directors from 45 countries between February and March of this year.
In the second month of the year, only 18% believed the economy would perform poorly. Just a few weeks later, 46% began to have a negative view of finances and 73% believed that Covid-19 would have a devastating impact on the world.
The survey also shows that 54% of foreign executives believe in a slow and gradual recovery that should extend until 2021.
What are the ways to minimize the impacts of post-pandemic business?
We researched the analysis of some companies and highlighted their views. Check it out!
Nubank
The institution wasted no time in adopting measures to adapt to the quarantine period. The first measure was to put 2,600 employees in home office and, to contribute to everyone's well-being, sent computers, monitors and chairs to the new work bases.
The company is also recording and making available videos that teach how to balance personal and professional life and maintains a support center with psychologists, doctors and financial consultants.
For its target audience, Nubank created a R$20 million fund to cover expenses related to medical and psychological care, supermarkets and restaurants. In addition, interest rates were reduced for those who are having difficulty paying their credit cards.
Managers believe that the way companies behave now will be decisive in paving a safer and more sustainable path for post-pandemic business.
Riachuelo
Companies that had to close their physical stores are migrating to the internet. This is the case of major players in the clothing sector such as Riachuelo, which needed to strengthen its e-commerce structure.
The company increased its investments in technology, seeking to upgrade its system and provide the best experience for customers when making a purchase.
The proposal is to measure the effects of the pandemic and evaluate which paths should be taken to increase sales. Obviously, the changes made already represent a lasting improvement for post-pandemic businesses.
Nature
In addition to revenue, another factor that concerns managers is the well-being of employees. With this in mind, Natura invested in broadcasting work exercises on Instagram.
In addition, employees received guidance on how to manage their professional routine with activities focused on their children. The team that coordinates the nurseries at Natura units began broadcasting videos with virtual storytelling sessions.
Espadrilles
One way to overcome this situation is to invest in actions that demonstrate the brand's social purpose. Alpargatas, the company responsible for major players such as Havaianas, Mizuno, Osklen and Dupé, has joined forces with the #EmpatiaGeraEmpatia movement, which aims to consolidate a business network to support victims of the new coronavirus.
On another front of work, the board assesses that, when reopening workplaces, it will be necessary to create a series of protocols and procedures, aiming to preserve the health of employees.
Alpargatas also emphasizes that it will be necessary to understand consumer behavior in the post-pandemic phase, in order to know the best strategy to meet their needs.
Netshoes
In order to minimize the impacts of the crisis caused by the pandemic, some companies are offering special discounts to consumers.
One example is Netshoes, which held a “Discount Marathon” in April, which included selling products at an 80% discount on the purchase price.
The proposal was successful, as the company registered a 2,700% increase in sales of various items such as elastic bands, ropes and other products.
Centaur
Another interesting approach was that of companies that explore activities related to their business model.
This is the case of Centauro, which created the “Train at Home” project, which consists of broadcasting free live classes on Instagram.
The action was carried out between March 20 and April 13 and, in addition to enhancing interactivity with the public, the website identified a 12,423% increase in the sale of push-up supports, 2,688% in weight plates and 2,392% in dumbbells, compared to the same period in 2019.
