Welcome to the May issue of ValueNotes Connect.
The world is staring at a bleak future caused by the coronavirus pandemic. The global death toll, according to Johns Hopkins University, is north of 360,000, and the number of positive cases crossed the six million mark (as we write this piece). Millions across the world have lost their jobs (40 million in the US at last count). Government debt has exceeded GDP in many economies.
What does this mean for business? Covid-19 has impacted virtually all sectors, some more than others.
– The automobile sector, for instance, saw sales of new vehicles in the US decline almost 50% in the first four months of 2020. There was a double-digit drop in passenger car registrations across OEMs in the European Union.
– Industrial manufacturing in the US suffered a record decline in March, with a further drop expected due to supply chain disruptions and a slowdown in export demand. There was no escape for Japan either, where industrial output fell to its lowest levels in more than seven years.
There are, however, some sectors that look somewhat more resilient – the paper & packaging industry for example. Sales of toilet paper in the US increased by 213% in the week ending March 14! And there was a 100% increase in online grocery sales since the beginning of March. While the medical devices & supplies sector was hit hard by its overdependence on China, there was a positive impact on telemedicine, telehealth services, and medtech companies.
Businesses across the world are slowly beginning to restart… and eye a very uncertain future. How soon will we begin to see some semblance of normalcy? ValueNotes is running a survey to understand how senior executives are addressing the damage caused to their businesses. We invite you to participate in the survey. As a token of our appreciation, we will share our analysis with you.
With best wishes to our readers, stay safe and healthy.
How is Covid-19 impacting various industries / sectors?
|ValueNotes is doing a series of reports to analyse the impact that the coronavirus has had (and continues to have) on various industries in the US, European Union and Japan..|
Covid-19 Business Sentiment Survey
|ValueNotes invites you to participate in a survey to help us gather insights into how senior executives in different industries are preparing for the new normal i.e. post-Covid-19.|
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