5 post-COVID trends from Indian entrepreneurs

Indian entrepreneurs navigated COVID-19 thanks to five key trends including digitisation and collaboration. Image: Unsplash / @smartworkscoworking

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7 Small Business Ideas in India after the COVID-19 Pandemic
With lakhs of young Indians losing their jobs and receiving hefty pay cuts amidst the COVID-19 pandemic, self-sustenance has become the need of the hour. It is in such dire times that the greatest of business ideas are often born. Looking to take the less beaten path and start a business of your own?
To get your entrepreneurial juices flowing, here are the seven most viable post-pandemic business ideas you can pursue even with limited resources and a small business loan.
7 Best Post-Pandemic Small Business Ideas for Indians
Given how masks are in huge demand and are going to remain so for a while, opening a mask business is one of the best small business ideas post-pandemic. If you have a sewing machine at home, you can immediately begin your business in lockdown by sewing a small number of masks.
If you have even the tiniest artistic bend, let it work its magic on specially designed masks. If you aren’t much of a visual artist, you can always get a friend to join you.
2. Medical supplies
This includes everything from gloves and surgical gowns to PPE kits. It’s an evidently booming industry globally. Our own country has a booming Rs. 7000 crore PPE industry, with around 4.5 lakh kits being produced daily.
Setting up a small surgical gown production line or a glove manufacturing facility will cost you around Rs. 40,000-50,000, which can easily be taken care of with a small business loan . With sanitisation and protective gear becoming a way of life, this industry has a sure shot way to success even after the pandemic is over.
Additional Read : How to Use SME Business Loans Effectively in Post Pandemic World
3. Soaps, sanitisers, and hygiene products
Soaps, hand wash liquids, sanitisers, etc., have perhaps been used more this year than any other year in the 21st Century. The demand for sanitisers has risen 100 times. The habit of frequently washing and sanitising our hands is here to stay, and there lies your small business idea.
People in India have already been toying with this idea by starting home-based production of soap with as little as Rs. 20,000 of investment.
4. Consulting
This is the one small business idea in India that you can pursue during lockdown while sticking to your existing field or industry. A lot of talented professionals are losing their full-time salaried jobs. However, there is a new industry that has opened up for freelancers and consultants.
Companies are looking for more skilled freelancers as they come with lesser administrative and financial efforts. It is the right time to leverage your expertise, be it in management, marketing, or anything else. The best part of this business is that you don’t need financial investment.
5. Online teaching
This might be one of the most preferred new business ideas after COVID-19 in India, thanks to its ease and accessibility. People are becoming not just more tech-savvy but also more EdTech-savvy in the lockdown. You could finally put your music skills, cooking skills, or even business expertise to use by sharing it with others. It is very easy to put up an online course. You can do it through an online course marketplace or even create your own website with a minimal subscription model.
With an investment of under Rs. 50,000, you can explore a lot of small business ideas such as your own lunchbox service, snacks packet sales, dessert shop, cake shop, or even Ayurveda snack store from home. People are now more wary of ordering from bigger brands and risking contact with multiple people, hygiene issues, etc. Boutique and homemade food brands and healthy eating are the next big thing.
7. Doorstep delivery service
During the COVID-19 pandemic, many businesses migrated to the digital space. This move has fuelled a massive demand for delivery services that can deliver food, groceries, or any other commodity efficiently at the consumer’s doorstep. Also, since most people have now become comfortable with the idea of ordering stuff, you’d already have a large customer base to cater to if you decide to invest in this business. All in all, it’s one of the best post-COVID business opportunities in India.
Additional Read: How SMEs can manage their finances better post-COVID
Parting thoughts
You may have lost your job or received a pay cut. It might seem like the end of the world, but it could also mean the start of a new, better life. Need some monetary help to kick-start your own business? Tata Capital’s Unsecured Business Loans are here to give wings to your business aspirations. Enjoy customised loans, flexible repayment options with attractive business loan interest rates and easy processing at Tata Capital today.
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22 Business Ideas Coming Out of COVID19 Pandemic
- New business
The sudden outbreak of Covid-19 in 2020 brought a major setback on the livelihood of people all across the world. Some people lost their job on the other hand many industries like startups, enterprises , entrepreneurs faced heavy losses. There were many people who had planned to start their business in 2020 but stopped. Well, according to our research there are still magnificent business opportunities that will take a fly during this pandemic situation. Imagining how? Walkthrough to know the insight .
Within this one year of pandemic, have you noticed an instant blaze demand for delivery services, home improvement, pet products, gaming? In case not, then after reading the business ideas given below, you can precisely observe in your apartment, and you will get proof.
But before that, If you are actually willing to introduce your company during this corona phase, then get a brief idea of major concerns for a great kickstart. Such as interaction mode, purchase mode, tourism post-COVID 19 , and where work has dramatically changed over time.
Now, with consideration to the pandemic situation, we have come up with a list of business ideas that can become a boon during this pandemic and will flourish in the future. Let’s get started:
Growing Business Setup Ideas During Covid-19
1. cleaning services.
In order to keep control of that, people of industries and residents need cleaning and disinfecting services at regular intervals. And even after the coronavirus dies, people will never try to task risk in the future. Thus, a cleaning services startup can be a great option with less budget. You simply need to have a plan, suitable location, and dedication to run.
2. Delivery Service
Due to Covid-19 emergence, people have stopped visiting offline stores to keep themselves safe. However, they require food and emergency items to survive. Thus, the zero-contact delivery business ideas can work out amazingly well. The high demand for orders will help you grow your business at the top level. Start with a member of say 5-6 delivery boys delivering different items like foods, vegetables, medicines, groceries. Gradually make your service more smooth by delivering to distant colonies. This will help your service get reach.
3. Remote Fitness
After this lockdown imposition, 70-80% of the people are surfing fitness tips on the internet. Build your remote fitness service center and provide them fitness instructions and training. You will get your customers from the old generation to the young. This business will grow even after the covid-19 ends as people will find it easy to access. With such a business there is less investment and more productivity.
4. E-commerce
If you were planning to open your retail store offline in the year 2020 and then you dropped the idea due to Covid-19, we have a great alternative option for you. Half of the entire population on earth is present online. Thus, instead of opening your retail shop offline, take a move towards an online retail shop. People are driving towards online shopping and thus you can grab this golden treat. Start your online retail shop first with minimal investment and slowly increase the investment according to the sales. And, as you know, digitalization is trending, so your online retail store will also grow.
5. House-Party Clean-up Committee
In this pandemic, in-house parties are more in trend. But what generally happens, the party ends late at night and then people are not in a state to clean their place. Thus, if you open your cleaning service committee, it will be beneficial for both. You can get their service booked, reach in the morning and give their house cleaning service. Also, if you add breakfast along with service, people will frequently approach your service. This business idea is quite unique, so give it a thought!
6. Cloud Kitchen/Healthy Meal Delivery
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Must Read : How to Set up Cloud Kitchen Business Model
7. Freelance Copywriters
If you have a keen interest in writing, you can convert it into business. Having marketing knowledge can be the cherry on the cake. There are multiple types of writing say articles, blogs, social media content, guest post, web blog, press release, or resume writing. Almost all e-portal companies require freelance copywriters whom they pay a handful of amounts.
The demand has increased from 2020 when the WFH was implemented due to the covid situation. If you are aware of SEO knowledge, you can charge a high price for SEO-optimized content . And with time, increase the pricing. The bonus point in this business is you can work from anywhere be it your home or while traveling. You simply require internet connectivity, and you are ready to begin.
8. Translation Service
In 2020 the translation industry was affected due to the emergence of the covid situation. But with the year 2021, it’s likely to upgrade the performance globally. The internet has opened doors for translation service. Limited pieces of equipment are required: computer and internet connectivity. In case, you have proficiency in multi-lingual language and you are tired of a fishing job, you can easily work as an online translator. It’s a convenient business that will build your customers for the long run.
9. Online Teaching
Many people must not be aware that online teaching was started 3 years back. However, it took a fly in 2020 when the pandemic started. People were not allowed to move out from their residents and this made families get their teaching completed via online teaching classes.
If you are passionate about teaching, online teaching is the best criteria to choose from without any loss and expenditure. The skills include core knowledge of the subjects like Maths, Science, History, Geography, English and other additional subjects.
10. Online Reseller
If you possess these three qualities which are fashion sense, selling technique, and passion then you can make a call for an online reseller. Various companies require resellers to sell out their unwanted clothing. Although it takes some extra time and dedication. However, once you gain success, your ability will help you increase the business at a larger level. Began online reseller as your side business until you get the grip.
11. Video Editing Service
The top demand in 2021 is Video Editing which is swiftly and holding the market. Video marketing and YouTube have exponentially escalated their growth. If you’re a creative person with great visualization then don’t miss the opportunity. But, before taking video editor as your permanent business, you must have knowledge of adobe premiere, final cut pro. Well, it’s not tough. You can learn from the tutorials and get good practice.
There are many people looking for video editors for their business advertisements.
12. Pet Sitting
Well, there is no doubt that the maximum rate of pet order started when the pandemic came into being, for companionship. You can start an online pet sitting service and earn a handful amount. Consumers are preferring a pet care service online to take care of their furry friend.
13. Social Media Marketing
If you are a social media lover and always have an update about the trend, for whom are you waiting? Have a nack on the tips and tricks and start your social media pages. Choose your favorite niche on which you want to work and start your social media page. The digital platform is performing magnificently and is secured from all ends.
Also Check Out: 5 Must-Have Tools to Grow Your Small Business !
14. E-book Marketing
There are different types of writers which some of them feel like writing for the organization and on the other hand, some write for themselves. But, in this digital world, writing for yourself will also help in earning. You simply have to make your account online and start writing. People should be excellent in storytelling.
15. Affiliate Marketing
If you are having good followers on social media platforms like Facebook, Instagram, Twitter, etc then you can earn by promoting different brands. You need to give highlights of the product, positive reviews, and procedures to use the product. Your profit is parallel to your profile. The maximum your profile reach more will be your earning. Thus, make good followers on your social media account .
16. Online Therapy
Due to this pandemic, people all over the world are panicking and thus they require therapies. You can start your business of online therapy for controlling blood pressure, mental pressure, and other issues. There are exercises that are included in the therapy. You can provide the service and run it in the future. However, there might be chances, after a pandemic you may get clients of a single age group.
17. Accounting/Bookkeeping
In case you are from an accounts background and have good knowledge of balance sheet, accounting and possess some technical skills, you have the best business offer to crack. A big businessman requires a smart person for bookkeeping from miles away. This option will let you brush your skills and have no-cost funding. At primary phase charge $40-$50 per hour. Working in this field will enlarge your contacts and after having a good experience approach for the multi-business holder person.
Also Read: Top 4 Account Receivables and Payables Management Tips
18. Virtual Personal Assistant
Nowadays, every day there is a pop-up on social media regarding virtual personal assistant requirements. Due to the pandemic, all the personal secretary has left their job and thus businessmen are looking for a virtual secretary who can handle their calendar, emails, travels and many other daily schedules.
If you are good at communication and have basic knowledge of excel sheets, get an approach as soon as possible. Once the covid situation gets in control they might hire you permanently as their personal assistant.
19. Medical Courier Service
People are regularly facing health issues on a daily basis and at times there is a shortage of medicines in their nearby medical stores. They also have a fear of stepping out or going to distant markets for medicines. Then why not you can start your medical courier service for your local place at the initial stage. There is a huge demand for medicines and your courier service will become a one-stop solution for medical necessities. You can make deals with different medical stores for courier service, and then start. For starting this business you need 3-4 people for delivery.
20. App developer
In this corona phase, people have decided to work on remote access. Thus, there is a hunt for the app developer every day. Therefore, if you’re an engineering student and are aware of coding, don’t waste your energy worrying about the future, start your business as an app developer, right away.
21. Graphic Designer
Do you have experience in adobe photoshop or adobe illustrator? If yes, a great opportunity is walking your way. Many companies are hiring freelance graphic designers for their business as online projects have increased. Thus, you can pick many projects from different companies at the same time. You can charge $40 for each project. This opportunity has amazing benefits like no restrictions, no investments, and only profits.
22. Online Video Games
In this pandemic situation, children are strictly not allowed to move out and therefore their outdoor gaming got stopped. This has made them search for online games for entertainment. So, you can build your idea regarding your online gaming app which has cool and unique features. Get it developed by an app developer and app store. For instance, Ludo King got great popularity during this lockdown period.
Final Thoughts
Covid-19 has definitely impacted negatively on the economic bar. However, there are various things that can become a boon for one and bane for the other. However, you cannot take risks in the Business lane. Thus, before setting up your business you need to have proper research.
As we have discussed the business ideas then you must have noticed almost all business criteria fall under online platforms. Thus, keeping track of your payments and tasks is very important. How can you keep the payment details of your work? Let me tell you the safest and easiest way. You need to choose an online invoice system that will help in dissolving your burden and stress regarding the payment slots. Through online invoicing software, you will not have to create your invoicing format, again and again, your terms and policies will be displayed in each invoice. This creates a professional impact on clients. Apart from that, you will have your all data records saved at a secure level. Thus, you can verify your transactions of whichever date and year you require. In short, online invoicing software can aid you in every business sector.
harshita joshi
It’s actually a cool and useful piece of info. I’m glad that you simply shared this helpful information with us. Please keep us up to date like this. Thank you for sharing!!!
Very nice information that you shared in this article.
I do agree with many business ideas you’ve presented in your post. They’re really convincing and will definitely work as I have witnessed so many new businesses thrived during pandemic.
Hi, Great ideas!
In my opinion, It’s might be difficult, but not impossible, to start a business during a global pandemic. Many people may believe that pursuing entrepreneurship in such unpredictable times is impractical, but it may not be such a bad idea. In fact, a business has the potential to survive and even thrive during a global pandemic.
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Top 10 business ideas after lock down.
June 26, 2020
8 min read
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Coronavirus is a highly contagious disease that has spread globally, affecting the lives, professions, economy, and lifestyle of everyone. This has generated an uncertainty of life and an immense loss of movement, earnings, and jobs impacting the economy of almost every country in the world.
In this situation of contingency and emergency where things are falling apart and with no vaccines or a steady treatment of COVID 19, we can’t be losing hope and positivity and sitting idle without work and waiting for things to be normal.
Let’s admit the fact; it may take months, probably years for the current situation to normalize and things to smoothen down.
In this scenario, we all should focus on grasping current work opportunities that COVID 19 lockdown has generated and maintain high levels of optimism and hope to maintain our mental, economic, and physical health.
Keeping up with the trend
Looking at the current scenario of despair and joblessness, one must look at the brighter side and figure out opportunities that the lockdown has given rise to.
Generation of funds is extremely crucial as it not only affects us an individual, but it has a significant impact on our city, economy, country, and even the whole world.
A few imperative options that we can consider and the scope of ideas that we can optimally use, for personal, social, and economic growth is as follows:
- The first thing to take into consideration is the Demand in the market. Due to the lockdown, not everything is required, and we must keep the luxuries and comforts aside. Providing necessities and the high demand for them is a major contributor to the market and will generate new business ideas.
- New ideas on education, banking, agriculture, furniture, fashion, gifts, weddings, food, taxation, finance, and manufacturing are things that cannot be ignored and are always on the run. The continuity in the above mentioned generates new opportunities for business.
- Google alerts and subscribing to google trends.
- Explore more online using Google search console
- Website studying and using website optimizers.
- Keeping up to date mobile applications
- Online banking and subscribing to online giants like Justdial, Sulekha, etc.
- YouTube channelizing
- Tie-ups with online shopping sites like Amazon, Flip kart, Snapdeal, etc.
- Tie-ups with online Food businesses like Swiggy, Zomato, etc.
- A multitude of options catering to online banking like immediate transfer of money and using other soft modes of handling money
- Zoom meetings, webinars, e-conferencing are the talk of the town, and everyone is indulging in it.
- Online marketing and publication to improve sales and marketing
- Using social platforms like Facebook, Instagram, and linked-in to make and generate contacts.
Top 10 Job Opportunities or Business Ideas that can initiate during and after the Lockdown
It is of paramount importance to maintain digital relations, develop strategies, and use effective techniques to study the market and get into a new opportunity that can be fruitful and money generating.
Here are the trending business or job ideas that an individual can initiate to survive the COVID 19 crises:
- Online Teaching
Education is one of the occupations that will never die out. Even coronavirus cannot stop educating young minds. One can indulge in online video classes, online tuitions, special classes, webinars, or Zoom teaching applications to reach out to the huge number of students who crave a comprehensive explanation and understanding of unexplained concepts and completion of academic syllabus.
- Freelancing Projects
Freelancing jobs like content writing, website updating, editing, publishing, journalism, graphic designing, gym instructions and workout techniques, translations, data entries, and many other such jobs are easily available and the demands for professionals in the specified fields in increasing with each passing day.
Many people are opting for the YouTube marketing small business idea scheme and have started using the immensely large platform to earn a running revenue from it. YouTube videos are catching up and are now a household commodity for people sitting idle at home and having much time in their hands. This allows people to make fun and entertaining videos, gardening and agriculture, dancing and other arts, designing, cooking, and much more to make their videos and publish them on YouTube. The number of like sand subscriptions can help them earn quite a bit from this medium.
This is a good opportunity for people to put their ideas and thoughts across to the public, giving them a better perspective on various topics. This is generally helpful for people who love writing and who have the nag of it. A blogger reaches a good number of people and can earn quite well through sponsored and affiliated posts and ads.
- Website Development
Everyone is not a tech0savvy person, and it may take them ages to have hands-on expertise using technology. This is where the professionals or people good with their technological skills enter and can help the ones who have to start up with fresh work. Even the ongoing business that has shifted from physical marketing towards online marketing would need service regarding website planning organizing and updating, thus giving the designers and developers a fair share of earnings and profits.
- Art and Craft/ Homemade manufacturing
Even housewives who were initially sitting idle at home, have now thought of contributing towards the earning so the family by transforming heir talents and skills into business ideas. Men and women are into handicrafts, making handmade designs for clothes, toys, food, even pickles, or they have tried their luck in art and craft and are outselling the same strategically and technologically to the demanding public. These home businesses are on the rise, and there is no stopping to convert the inborn talent into a bright business opportunity.
- Selling Health care necessities.
Mask, sanitizers, and medical products are much into demand and don’t seem to end soon. One can initiate a business idea considering the same getting in contact with retailers, wholesalers, and local vendors for proper sales and distribution. Many big companies have shut down their previous businesses and have entered into the same market-making loads f money from it.
- Door to Door delivery
Courier service or door to door delivery of valuables like grocery, medicines, or other relevant thigs is also a good initiative. With the fear of COVID 19, may people don’t take the risk of stepping out of their comfort zones and expect everything to be delivered to them at their doorstep? Taking necessary precautions, one can easily initiate this business.
- Cab service
Lockdown has imposed may restriction son commuting and transportation service, looking at the same crunch and converting it into a good business opportunity one can make a good amount of money by stating a cab service for people who want to travel from one city to another for work or personal reasons. There will be less negotiation and bargaining, because they don’t have a better option.
- Food Service
Everyone seems to have evolved as a great cook during the lockdown. It has given them immense time and opportunity to try different recipes and spend quality time with their families, relishing new food items and options with never-ending new concepts. Many people have taken this hobby professionally, and there is a huge demand in the market for healthy, nutritious food, which can satiate their taste buds.
Read More: Business Ideas with Low Investment & High Profit Business Ideas for Women
Business Ideas After Lock Down FAQs:
1. is it mandatory to have an activated online banking system to start a new job, 2. what is online marketing all about, 3. how do webinars or zoom sessions help, 4. how do i sell homemade products, 5. how easy will it be for me to commute during and after the lockdown.
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Business Ideas after Lockdown in India
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COVID 19, one of the deadliest viruses has incurred unforgettable losses to families, as well as immense slowdown and stagnation to economies worldwide. Unfortunately, Coronavirus is here to stay for a while, so do not let this virus stop you from doing what best can be done during these testing times. Do not lose hope and don’t let this virus weaken you. Lockdown is a temporary measure taken by governments of various nations to slow down the spread of the virus and to take appropriate steps to combat Corona in India.
Businesses have suffered huge losses and people have lost their jobs because of the massive economic slump caused by COVID 19. We cannot wait further without doing anything. Therefore, we have to become more aware, decisive, proactive, and think of businesses that can be started from home during lockdown for students doing graduation, working-class or post-retirement, as well. Some of the Best small business ideas after lockdown that can be started are described below:
1. Selling Healthcare Products
With the emergence of lockdown, homemade or small-scale mask making and hand sanitizer production has increased drastically to meet the surge in demand for a variety of face masks and hand sanitizers. Several entrepreneurs, small business owners, self-employed professionals, and MSMEs have opted to start face mask manufacturing and hand sanitizer business, shutting down their already existing businesses during the lockdown. To sell their products; business owners or manufacturers can directly contact local shops, retailers, and wholesalers to sell it further to local customers.
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2. Doorstep Delivery Business
In future years, the online delivery business will be in boom and customers will prefer buying products online, rather than visiting grocery stores, malls, and shopping complexes where there will be more possibility of getting infected. Doorstep delivery is the best alternative business during the lockdown period, in which various types of delivery services can be initiated, such as essential items delivery, grocery delivery, pharmaceuticals delivery, and alcohol delivery. Respective licenses shall be required to be obtained from the concerned authority to start a specific delivery business.
3. Food Delivery or Tiffin Service
Recently, the Indian Central Government granted permission to restaurants and food outlets to sell food via online platforms and deliver it with the help of delivery vendors. You can also start a new business by starting a kitchen of popular or desired cuisine that is in demand in your area. The initial investment required is minimal that requires the purchase of raw materials with skilled and professional staff, including chefs, helpers, etc.
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4. Online Tuition Classes
Students are struggling to reach schools and colleges amid the COVID19 outbreak, their education is getting hampered with the passing of time. To make the most of this situation; professionals with knowledge, skills, and expertise in any specific field or subject can start online tuition or coaching classes for students. You just need to have a laptop, an internet connection, and a smartphone to start with online tuition classes.
Know Also: How to avail loans under the Stand Up India Scheme
5. Becoming a YouTuber
People have started earning a decent amount from online social media platforms, among those YouTube is considered the most lucrative and popular. Yes, becoming a YouTuber is trending, if you are really passionate and possess a unique style or aura to make as many followers or subscribers of your channel. This idea of becoming a YouTuber can churn you as a regular source of income. Earnings from YouTube are based on only one concept that is more the subscribers are, the more becomes the earnings.
6. Paintings or Artwork
Artists have ample amount of time to showcase their talent by their paintings or any specific art form. Artists are well-equipped with the material required and just have to present a virtual exhibition online to sell their artwork and further deliver it at the customer’s address. If artists have sufficient space to display their paintings, they can launch an event and exhibit their talent.
Also Read: Most Successful Small Business Ideas for Beginners in India
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Additional Businesses
- Online consultancy business
- Freelancing or blogging
- Website development business
- Photography business
- Homemade clothes, wooden toys, handbags, greeting cards, etc.
- Kitchen accessories and plantation items
- Candles manufacturing business
- Gifts items like antiques, picture frames, ornaments, customized cups, perfumes, ceramic goods, and much more.
Also Read: What are some small business ideas for housewives?
You can also look for things that are readily available and can be used as per the demand in this time of crisis. Even the smallest of objects can make a big difference in healing the global economy during these hard times. Stay optimistic, don’t lose hope, be aware, and have a lot of patience to fight this pandemic. Everyone is combating this deadly virus and the whole world is working together to eradicate COVID19. Treat lockdown as a period of invention, learning, and knowledge that shall nurture a bright future for mankind.
66 Comments . Leave new
Hi, I’m currently working in export. i want to start my own side business that i can handle according to my job. pl suggest me any.
Hello Kiran,
To start a new business from your home or to initiate as a small business you can click here to gain vital information.
Hello paisa bazar, Please provide some business ideas for a widow sister in rural area in Hisar haryana so as improve economically status .
Hello Govind,
There are number of businesses that can be started from Hisar, Haryana or any place in India. All it depends on the skills, knowledge, interest and passion of the business owner. You can visit to this page to get detailed information regarding business ideas by clicking here .
Hi sir, I am planning hand sanitizer dealership work, Planning to take goods directly from Industry, Pack and level on a new name of my company and sell it to wholesale retailers. Does this work will really beneficial or not?? your kind suggestions are most welcome
Hello Lakhvir,
To start a business in manufacturing of hand sanitizers, firstly you can approach retailers or shopkeepers before targeting wholesalers, as they might have already existing tenured partners of this industry. To make a mark and trust shall take some time. Also, it depends on the working capital that you plan to invest and the volume of business. Rest to avail business loan or working capital loan, you can visit paisabazaar.com to know regarding loan deals at competitive interest rates.
I want to start a Wholesale Trading of Electronic Items & Home Appliance. But I am unable to get loan as a new Business. Does there any Authentic Institution who will give loan to start the Business.
Hello Prakash,
To avail a business loan you need to qualify the eligibility criteria defined by respective bank. You can avail loans from private and public sector banks, NBFCs, Small Finance Banks, Micro Finance Institutions, Regional Rural banks, etc. You can also opt for loan schemes initiated by Government of India, such as Mudra loan under Pradhan Mantri Mudra Yojana, CGTMSE, Standup India and Startup India. Rest all depends on loan amount, loan repayment history, credit score and applicant’s profile.
I want to start a catering business for that I need finance and for providing tiffing on how to find out where we can provide tiffin pls suggest. because of this lockdown, I m suffering lots of problems.
Hello Ranjana,
To start you own catering business, surely you need finance and for that you can visit paisabazaar.com to check and compare from various leading banks and NBFCs offering business loans at competitive interest rates. You can also apply for Mudra loan under PMMY if the loan amount is not more than Rs. 10 lakh. Secondly, because of lock down not many offices are open, so to target tiffin service you can approach hostels, PGs, rental apartments, OYO rooms, etc.
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Innovation That Matters
Innovation Snapshot
7 Innovative Business Ideas in Response to Coronavirus
Here are 7 of our favourite recent innovations that could change business for the better in the long-run..
These are uncertain times, to say the least — priorities are shifting daily as a global health emergency is being dealt with on a global scale. All the while, businesses have been forced to act fast in response — to help others suffering through the crisis while attempting to stay on solid ground financially.
The trends we’ve been tracking are a mix of brand new approaches and the accelerated use of emerging technologies and platforms, such as live-streaming and virtual reality, to reshape business models and engage with consumers in creative ways.
Time will tell whether or not the following innovative business ideas will have staying power in their respective industries once there is a return relative normalcy, but we at Springwise do find it inspiring to see so many interesting and creative solutions coming to light.
Springwise will continue to bring you the most purpose-driven innovations on a daily basis, including those that are directly relevant to the COVID-19 pandemic. In the meantime, here are 7 of our favourites that could change business for the better in the long-run.
EDITOR’S NOTE: We’ve published a list of 7 More Business Ideas in Response to Coronavirus , featuring more recent innovations.
1. NEW BUSINESS MODEL FOR AN UPSCALE RESTAURANT
In the face of uncertainty, the Seattle restaurant Canlis thought strategically and adjusted to the new environment and its demands. The restaurant transformed into three pop-up restaurants: a drive-through burger joint, a bagel shop, and a “family meal” delivery service.
The idea originated with the restaurant’s co-owners, Mark and Brian Canlis, who along with their team, started redesigning the restaurant in anticipation of the state’s announcement. Donated fryers have helped to keep up with the daily demand for burgers, and a shipping container was set up in the restaurant garden, where the bagels will be made. Previous servers will act as delivery people, meaning all 115 employees have been kept on (although this isn’t compulsory).
“You have to play as much offence as you do defence . . . So what would we look like from scratch?” Mark said of his approach.
Read more about this new restaurant business model.
2. NEW VIRTUAL STOREFRONT PLATFORM OFFERS FREE ACCESS TO RETAILERS
If shoppers can’t visit the high street, why not bring the high street to shoppers? That is the idea behind Streetify, an e-commerce platform that launched in late March, just in time to help businesses respond to the COVID-19 crisis.
With shoppers forced to stay at home, Streetify is hoping its website and free app will help connect consumers with local stores, to help keep them afloat. It is also providing retailers free access to the platform for one year in the U.K., U.S., Canada, India and Australia.
Users of the app and website can actually choose the street they wish to visit and can scroll left or right to “walk” up and down. They are shown virtual storefronts and can click on any store to enter its Streetify website. Once inside the “store”, consumers can see all of the special offers, deals and promotions that have been gathered from top deal sites such as Groupon and Rakuten. Business owners can also put messages in their virtual storefront windows, announcing deals, delivery options, in-stock goods and more.
Read more about Streetify.
3. A 72-HOUR PRODUCT LAUNCH, LIVE-STREAMED
Chinese mobile phone maker Xiaomi collaborated with the video platform Bilibili for a 72-hour, live-streamed launch event for its Mi 10 5G phone during the height of China’s coronavirus lockdown.
The event, which began on the 13th of February, featured a two-hour press conference with an emotional Lei Jun, Xiaomi’s founder, who unveiled the new phone, videos, product giveaways and a virtual art exhibit. There was also COVID-19-related content like vlogs from Wuhan residents and some educational programming.
The streaming event, dubbed “Life is Not Made for Defeat,” pulled in around 12 million viewers and 2.6 million comments on Bilibili’s trademark “bullet chat” format, which streams user comments across the screen in real-time.
Read more about this live-streamed product launch.
MORE WISE WORDS FROM SPRINGWISE
4. YOUCAM MAKEUP PROVIDES FREE AR TECH FOR BRANDS
As the global coronavirus pandemic picked up speed and non-essential stores closed, consumers turned to online ordering in unprecedented numbers. As a result, augmented reality developer Perfect saw interest grow in its AR beauty app, YouCam Makeup. The company decided to offer cosmetics brands free AR experiences, web subscriptions and product listings as a way to help them remain connected with their customers.
The company offered brands a free subscription to their browser plug-in YouCam for Web, to help brands integrate virtual makeup “try-ons” into their websites. Perfect also waived the license fee for brands who sign up for YouCam A.R.T., an AR platform for live training sessions.
Perfect’s technology lets shoppers sample makeup and hair colours virtually before they buy. Through its YouCam app, it also offers beauty aficionados interactive ways to connect with the global beauty community through virtual experiences, such as one-to-one on-demand beauty consultations and Livestream beauty shows.
Read more about YouCam’s AR services.
5. SKIP-CHECKOUT APP AIDS SHOPPERS
As shoppers practice social distancing and self-isolation, stores have seen a major increase in the number of customers using mobile checkout apps to avoid standing in lines. As a result, Fairway Markets ramped up the promotion of its skip-checkout app. At one point, the company was signing up more than 1,000 new users a day and has added additional servers to help process the extra orders.
The company has been promoting its scan-and-go app on social media sites, as well as in stores. After shoppers download the app, they use their phones to scan product bar codes. When they have finished with their shopping, users scan a special QR code that tells the app they are ready to pay. Around one in twenty transactions is audited after checkout by a store employee, to deter theft.
Read more about the app.
6. POPULAR TAKEAWAY DELIVERY APP ADDS GROCERY ORDERS
The UK delivery service Deliveroo, which is mainly used for restaurant food orders, partnered with grocery giant Marks and Spencer to provide essentials to households during the coronavirus pandemic. The M&S-Deliveroo delivery service is free and is aiming to drop-off orders in less than 30 minutes.
Deliveroo also explored other ways to help those in need during the pandemic. They recently launched “Essentials by Deliveroo,” where users can order tinned goods, pasta and other household items.
Read more about the new delivery option.
7. VR USED TO CREATE CLOUD FASHION SHOW
During Paris Fashion Week, Lanvin collaborated with video platforms Douyin, Yizhibo, iQiyi, and luxury e-tailer Secoo to create a cloud fashion show. The brand also invited fashion bloggers and boyband UNINE’s Jiayi (嘉羿) to live stream the show’s behind-the-scenes action under the hashtag #lanvin云秀场 (#lanvinCloudBasedRunway), resulting in over 5 million views.
Beyond its new clothing, Lanvin’s latest handbags – which are inspired by everyday objects like takeaway boxes for cakes – peaked on Chinese social media, starting conversations and helping direct a younger audience to the brand.
Read more about Lanvin’s cloud fashion show.
15th April 2020
- Readers’ Blog
India: Life after coronavirus pandemic
India has also not been denied the horrors of the coronavirus pandemic. It has piled an enormous strain on our health system’s infrastructure and put it vulnerable. A recent study and meta-analysis of the prevalence of psychological co-morbidities among COVID 19 patients, health care professionals, and the general public showed that 40% of individuals had poor sleep quality, 34% have stress, and 34% have psychological distress. Another online poll discovered that 40.5% of respondents said they were experiencing depressed or anxious symptoms. Another three-quarter of participants reported having a moderate degree of stress and a negative sense of well-being. Stress and anxiety levels are rising daily as a result of the rapid rise in coronavirus infections.
According to the 2015-16 National Mental Health Survey, Central India has just 0.05 psychiatrists per 1,000 inhabitants. This ratio is very inconclusive and unstable. Certain societal groups, such as sexual minorities, the elderly and disabled, pregnant women, and children, are more prone to suffer from the coronavirus pandemic’s severe consequences. Lockdown and epidemic are likely to have the most significant effect on individuals who are alone, impoverished, destitute, mentally burdened, or otherwise outside the mainstream.
Frontline workers also have a greater chance of acquiring depression and other mental health problems than other social groups due to their increased vulnerability to the virus. An online survey of 282 Indian adults was conducted using an anonymous Google form, with the following parameters in mind: anxiety, depression, internet and pornography addiction, drug addiction, hostility experiences, changes in food and sleep habits, social empathy, and relationship quality, to obtain a more accurate psychological and sociological picture of life during the lockdown. According to this study, general anxiety disorder was more prevalent among sexual minorities than heterosexuals. Additionally, research showed a very particular fact: those close to their family who had a close connection and vulnerabilities were more likely to exhibit social empathy and have more positive social interactions. However, the psychological portion of the research showed that a solid and resilient attitude, good coping techniques, and other methods enabled even high-risk people to maintain a positive attitude during the coronavirus lockdown.
Anticipation of mental health pandemic post-COVID
Considering advances in medicine and technology, the coronavirus pandemic has claimed over 1 million lives worldwide. Apart from the mortality toll, this epidemic has exposed individuals to various physical, mental, social, and emotional difficulties. Covid-19 has previously been linked to a varied and broad range of mental health problems, including depression, anxiety, post-traumatic stress disorder, trauma, and other stress-related diseases.
Individuals at high risk, such as frontline and health care professionals and the impoverished, are more likely to be impacted than those at the bottom of the social structure hierarchy. Each individual has a unique tale to tell. Nobody is immune to it. According to the Centers for Disease Control and Prevention in the United States of America, 40.9 percent of respondents (5470) reported experiencing negative mental health symptoms, including PTSD, anxiety, sadness, and suicidal thoughts. According to analysts, this has risen by many orders of magnitude in comparison to 2019. During the coronavirus epidemic, several psychiatrists have proclaimed a “Mental Health Pandemic.”
For some individuals, the worry, sorrow, and sadness associated with the death of loved ones or feelings of isolation will last long after the epidemic is over. Coronavirus’s mental impact will linger in some individuals long after the epidemic is over, depending on the degree of desperation and despair. This burden will exacerbate the already significant burden of mental health problems and further stigmatize them. This rapid increase in and expectation of a large number of mental health problems is due to various factors, including helplessness, death of loved ones, fear of contracting illnesses, pessimism about the future, job loss due to recession, social isolation, and social isolation and adaptability to new developments. The coronavirus pandemic has evolved into a persistent trigger for seeding mental health problems across all socioeconomic levels.
While modern methods and the development of vaccinations have helped resolve the present COVID issue and contain the problem to a degree, the virus has resulted in a warped social fabric and a lack of emotional and social support. At the beginning of the epidemic, there was a glimmer of optimism among the masses, but people become sad and hopeless as time passes. Nobody is aware of the distant and improbable consequences of the coronavirus epidemic. Experts have advised people to prepare themselves for the pandemic’s long-term mental consequences and psychological repercussions.
Life after Coronavirus pandemic
Life will not be the same again after the Covid-19 pandemic. We are all anticipating a fresh beginning. The start of a post-COVID future in which everything will change, and we will need to adjust our behaviour accordingly. Everything will change our values, our lives, our houses, our etiquette and manner of social contact, our viewpoint, and societal outlook. We are inclined to speculate and are curious about what the future holds for us, but we can never be sure since the future is unpredictable. Long-term coronavirus effects typically include an increase in economic inequality, more cars and fewer people on the road (which means people will develop a habit of staying inside their homes and we will see far fewer people outside than we did previously), changes in physical and mental health, changes in lifestyle, and possibly a dramatic increase in social leisure activities and social ability to interact.
Finally, I won’t write much more than that, but I’d want to finish by stating that there is always a light at the end of the tunnel and that “this too will pass.” Avoid being too hard on yourself, and I think that regardless of how difficult it seems right now, we will make it through together.
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Reopening India: Implications for economic activity and workers
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COVID-19 is an unprecedented humanitarian challenge for all countries. Six weeks of national lockdown have given India the time to make a concerted effort to flatten the pandemic’s curve. Now attention is shifting to reopening the economy while containing the virus: a conundrum many other nations are also grappling with.
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In the past six weeks, India’s economy has functioned at 49 to 57 percent of its full activity level, by our estimates. That economic cost, though unavoidable in the early stages of a lockdown, might not be sustainable in the longer term. It is becoming increasingly clear that COVID-19 will not disappear immediately; the economy will need to be managed alongside persistent infection risks, possibly for a prolonged period. After reopening, some countries have needed to resume lockdowns in response to rising infection rates, and India may be no exception.
How Indian businesses, consumers, and workers are equipped to resume their activities, even amid the ebb and flow of the virus, will decide how lives and livelihoods fare in India. Effective management of lockdowns, along with health-system preparedness 1 1. Health-system preparedness, including critical-care capacity across intensive-care units, personal protective equipment, surge healthcare workforce, and public-health measures (such as use of virus testing, tracking, and tracing; physical distancing; travel restrictions; isolation; and quarantining), is a key component of the capability required. to manage and contain the virus), will be a critical capability for Indian administrators, since restarting the economy comes with risks. The lockdown- and restart-management capability will have to be granular and dynamic, with local implementation closely aligned to state- and central-government policy and support from high-quality communication.
Implications of lockdown to consider
Looking ahead, three considerations may shape a suitable approach for India.
1. India’s intertwined supply chains need a sharply targeted lockdown approach.
India’s manufacturing, labor, and distribution chains are intertwined across sectors and geographies, particularly in the wake of the Goods and Services Tax that has eased interstate trade and commerce.
As a result, an economic activity allowed in one part of the country or economy could be constrained by supply-and-demand bottlenecks in other parts. Supply chains, demand centers, and labor corridors would need to be restored while the country ensures that lockdowns are sharply targeted in the locations and for the activities required to contain the virus. Those targeted guardrails would need to be adjusted dynamically as the situation evolves over the coming year.
The following examples highlight a few of the dependencies across Indian sectors and geographies:
- In the textiles sector, cotton is bought in the western parts of India, yarn is spun in the north and west, weaving takes place in the south, and apparel is manufactured in clusters in the north and south.
- In the chemical industry, the acetic-acid value-chain supplies diverse industries, such as pharmaceuticals, pesticides, paper, food processing, and construction. Any blockage to its supply chain would therefore have ripple effects in many other seemingly unrelated sectors.
- Electronics manufacturing requires inputs from sectors as diverse as metal working, plastic molding, paper processing, chemical processing, and electrical supplies. Disallowing activity in any of them would affect electronics-manufacturing output.
- Six states (including Andhra Pradesh, Kerala, Maharashtra, and Tamil Nadu, which account for 30 percent of construction activity) rely heavily on migrant construction workers from other states. Bottlenecks in the return of migrants would affect building activity in such states.
- Half of all drivers engaged in freight movement across the country come from just 14 districts, according to our analysis. Restrictions on the movement of people from these districts could affect the ramping up of national logistics activity.
2. Economic activity is concentrated in red-zone districts that are critical centers of production and consumption
The Indian Ministry of Health and Family Welfare (MoHFW) has classified districts into red, orange, and green zones, based on multiple criteria. 2 2. The Indian Ministry of Health and Family Welfare’s April 30, 2020, circular describes the ministry’s multifactorial approach to district classification, taking into consideration the incidence of cases, the doubling rate, the extent of testing, and surveillance feedback. The 130 districts classified as red-zone districts are some of the most urbanized and industrialized parts of the country. They account for some 41 percent of national economic activity, 38 percent of industrial output, 40 percent of nonfarm employment, and more than half of India’s consuming-class households 3 3. Consuming-class households refers to households with disposable incomes greater than 485,000 Indian rupees at 2012 prices. (Exhibit 1). Within this set of red-zone districts, 27 districts that have relatively higher infection rates and are more urbanized account for roughly one-third of the economic activity. Finding methods of keeping these red-zone districts operational and safe would be critical in keeping economic activity sustainable.
3. Significant on-the-ground implementation challenges need to be addressed
Under the most recent guidelines from the Indian Ministry of Home Affairs (MHA) on May 1, 2020, almost all activities have been permitted, including in red-zone districts, while specific containment zones within districts are required to stay locked down. State governments are empowered to reopen local district-level economies within the overall central guidelines.
The dominant concerns at the state and local levels are infection and mortality rates, indicators that tragically affect communities and are counted daily or even hourly. Economic consequences of lockdowns, such as job loss and poverty, show up over weeks and months. State governments are naturally considering their healthcare-capacity levels; virus-screening, -tracing, and -containment resources; and ability to enforce safe work protocols on the ground. With these factors coming into play, many red-zone districts could continue to remain fully locked down in the near term, and some others could be locked down again. Based on current announcements, two of India’s largest cities, Mumbai and Pune, representing 6 percent of India’s GDP, will stay locked down until May 17, 2020; the containment zones within them house a fraction of their populations.
Even where districts have reopened, varying interpretations of government guidelines by local frontline administrators could confound the issue. For example, current guidelines stipulate that industries with “access control” can be reopened, but state authorities need to determine what that means—and the interpretation may vary, even among frontline functionaries within a particular state or district. In the dynamic environment anticipated, such guidelines may change frequently as Indians live and work alongside COVID-19 in the coming months, needing an agile implementation capability on the ground.
Potential reopening implications for economic activity and workers
Based on district-level data on employment for more than 700 districts across 19 sectors, we estimate that only 49 to 57 percent of India’s economic activity has operated during the lockdown so far, with 143 million to 186 million inactive nonfarm workers. 4 4. We estimate economic activity based on labor-force composition by sector and potential demand and supply factors at a 19-sector level. Economic activity on the ground may rise going forward, although reaching full potential would require considerable effort to boost local confidence in large swathes of the country.
We conducted a thought experiment to simulate potential changes in economic activity and work levels under different assumptions. Exhibit 2 shows three potential cases under various implementation levels of the recent MHA and MoHFW guidelines:
- In the moderate-opening case, we assume the recent reopening guidelines from MHA (to allow all districts, except for their containment zones, to operate most activities) are implemented in all but 130 red-zone districts. In those 130 districts, we assume urban areas allow only essential services and rural areas allow manufacturing and construction to resume. In this case, only 66 percent of national economic activity is operational, with around 107 million inactive nonfarm workers.
- In the broad-opening case, we assume that MHA guidelines are implemented in all but 27 red-zone districts (the most urbanized ones that also have relatively high infection rates), which we assume remain locked down and permit only essential services in urban areas. In this case, around 80 percent of national economic activity is operational, and the number of inactive nonfarm workers is around 67 million.
- In the extensive-opening case, we assume that all districts restart permitted activities outside their containment zones, with careful monitoring of health implications. Here, at least 96 percent of economic activity is operational, with 17 million inactive nonfarm workers.
In both the moderate- and broad-opening cases, the lack of adequate work opportunities and a consequent increase in the vulnerable population are significant concerns. Populous states such as Maharashtra, Tamil Nadu, Uttar Pradesh, and West Bengal could each see around five million inactive nonfarm workers, even in the broad-opening case (Exhibit 3). That level of unemployment would pose a considerable burden of providing social safety nets: we estimate that meeting just the most essential needs of those workers and their dependents could cost more than $12 billion per quarter.
Granular, dynamic, and locally driven lockdown- and restart-management capabilities
To enable the economy to reopen sustainably championing the health and safety of citizens, India needs to take into consideration several types of measures:
- Strengthening local health preparedness. To reopen sustainably, health-system preparedness needs to be enhanced across a large number of districts, particularly the red-zone ones.
- Moving from a list of permissible activities to a not-permitted or “negative” list. Short, sharp communication around what is not permitted would be easier to understand and implement than would a list of permissible activities. It would also help avoid the risk of entire sectors or industries being disallowed if they were not mentioned in the permitted list.
- Reinforcing the principle of locking down only the containment zones, not entire districts, in line with MHA guidelines. Administrators, particularly at the district level, are focused on what is being reported daily—disease statistics. Providing a 360-degree view that tracks health impacts across both lives and livelihoods will enable better-informed decision making.
- Increasing implementation capacity at the district level. More than 700 capable and trained officers could be deputed to work with district magistrates in each district to execute locally tailored back-to-work plans. They could receive support from cross-functional centers of excellence in states or a center that channels medical, administrative, social, economic, and business expertise and best practices; conducts rapid analyses; and provides valuable feedback to the districts. This happens in every Indian election.
- Operationalizing safe passage along key labor corridors. Guidelines that restrict the interstate movement of people could be rapidly reviewed. Given the supply-chain linkages, the safe and controlled movement of labor between urban and rural areas, as well as within cities, will be critical if economic activity is to resume.
- Strengthening coordination and communication. Tight coordination among various arms of the government—central departments, states, local administration, and regulators—and with stakeholders from industry and commerce is important. A senior-level state-cum-central government COVID-19 forum that meets weekly could be created to interact frequently, sharing cross-functional learnings. This could help deliver clearer communication to stakeholders at all levels.
- Looking ahead and planning for contingencies. The future remains uncertain, and India will need to be ready for all sorts of eventualities. It would be wise at all levels of government to develop contingency plans based on scenarios of potential COVID-19 impacts.
India’s economy will need to function alongside COVID-19 for a prolonged period. A well-implemented, granular, dynamic, and locally driven lockdown- and restart-management capability while managing health risks is required. There is much at stake for India—in both lives and livelihoods—in getting this right.
About the author(s)
Rajat Gupta is a senior partner in McKinsey’s Mumbai office, where Anu Madgavkar is a partner; Hanish Yadav is an associate partner in the Gurgaon office.
The authors wish to thank the leaders of McKinsey India, particularly Abhishek Asawa, Shishir Gupta, Vikram Kapur, Suyog Kotecha, and Alok Kshirsagar; Ezra Greenberg; and Sven Smit for their contributions to this article.
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20 things that will change post COVID and how to arrange your business to thrive
Despite its disastrous economic impact, the financial crisis of 2008 served as a catalyst for innovative business ideas that launched multi-billion-dollar enterprises. Limited disposable income paved the way for companies such as Uber and Airbnb to cater to customers’ needs for affordable transportation and travel accommodation at a time when new car purchases and luxury vacation rentals were off the table for many consumers.
More than the right ideas at the right time, these companies were borne out of a philosophic shift in how business could be done; indeed, some postulate that without the Great Recession, the innovators behind Dropbox, Instagram, Uber, Airbnb and “ sharing economy ” businesses might have simply joined the workforce rather than found ultra-successful enterprises.
With unemployment rates matching those of the Great Recession and a new layer of challenges brought on by social distancing, business closures and supply disruptions, companies must ask: how will the coronavirus (COVID-19) crisis change the world of business? Which new consumer behaviors will continue once the pandemic ends? What opportunities will emerge for business growth, and what does that mean for pivoting existing businesses or launching startups?
To help spark inspiration, the following lists 20 ways the world might be different after COVID-19 and how businesses can use these insights to succeed post-pandemic.
1. Regionalized production and supply chains
Companies that depend on supplies from distant sources have struggled to maintain operations during the pandemic. This is especially true for manufacturers, retailers and ecommerce sellers that source from faraway places such as China – which supplies 50 to 70% of the world’s copper, iron ore and nickel .
Moving forward, businesses might seek production and supply chains closer to home. Doing so will not only help protect against future disruptions, it could result in cost savings due to reduced shipping and transportation expenses. Saving money and securing against potential disasters are benefits many companies are likely to explore; at the same time, a revitalized market for regionalized production and sourcing presents new opportunities for entrepreneurs to pivot towards or start manufacturing facilities, warehouses, online sourcing platforms and other related businesses.
2. Ongoing remote employees
A recent Gartner survey revealed that 74% of CFOs plan to shift some employees to permanent remote work after the pandemic ends. Of those, 25% said 10% of their workforce will remain remote, 17% said 20% of their workforce will remain remote and 4% said half of their workforce will remain remote.
Remote employees save companies money and enable businesses to retain top talent that seeks flexibility and the ability to work from the comfort of their own homes, avoid commutes and perhaps even travel without missing work time. It also presents an opportunity for entrepreneurs to cater to the work-at-home employees who need powerful, reliable equipment, software platforms and related accessories. Many of these products are expensive at the enterprise level, but some companies might pivot toward equipment leasing, accessory add-ons such as headsets and office furniture and SaaS platforms that streamline remote communications and enhance productivity.
3. Increased delivery and curbside pickup
No longer the exclusive domain of pizzerias and Chinese takeout, delivery and curbside pickup services have expanded to other types of restaurants – and indeed, other industries – during the coronavirus crisis. The safety measure is likely to outlast the pandemic as people are falling in love with the convenience of McDonald’s on their doorsteps.
Services such as Door Dash and Uber Eats were already bringing favorite treats to homes (one might imagine how those businesses have surged during the pandemic), but there’s room for more players and new markets. From nationwide franchises to local restaurants and hardware stores, every retailer and eatery can identify opportunities to boost sales with delivery and curbside pickup – and other entrepreneurs can enter the game by offering third-party delivery services that eliminate additional overhead for businesses .
Opportunities also exist for companies that can support or augment delivery and pickup services. For example, software and app developers can build platforms that make it easy to order, fulfill orders and track order status.
4. Contactless shopping
Already implemented in the aforementioned delivery services, customers are likely to seek shopping options that limit or eliminate contact with other people and surfaces. This presents an opportunity for certain companies to develop new solutions that cater to contactless demand or bolster sales for existing products in new markets and with new customers.
Automatic doors are a simple example, especially since many businesses do not have them installed. Contactless credit card machines are another idea, given that many will be reticent to manually input their pin codes at checkout. Necessity is the mother of invention, and a society wary of contact presents excellent opportunities for innovative companies to cash in.
5. Greater reliance on ecommerce
Ecommerce grew by 14% over a one-week span in March , illustrating how the pandemic has shifted buying to the online environment. That makes sense given social distancing and stay-at-home mandates, but what might be lost in the ecommerce surge is the fact that many people are buying goods online for the first time . After their initial introduction to the convenience of online shopping, populations such as senior citizens and rural shoppers are likely to continue buying online.
Greater reliance on ecommerce presents multiple opportunities for companies that can cater to specific segments – for example, simplified shopping platforms for seniors or parent-restricted access for minors – and it underscores the importance of having a strong online presence. Local businesses that do not have websites or social media presences (or that leave theirs untended to) could be left behind. Web designers, app developers, social media and online marketing experts have an opportunity to grow their businesses by reaching out to those who need their services now more than ever.
6. A newfound need to be clean
No one likes shopping in a dirty store, but the coronavirus pandemic has made the need to be clean even more important – especially since the real threats are invisible. Retailers, restaurants and other companies that have foot traffic must convince their customers they won’t get sick if they shop at their facilities.
Sanitizing wipes for shopping carts, hand sanitizer dispensers at the door and checkout lane wipe-downs between customers are a start. Such measures also present opportunities for entrepreneurs to manufacture, distribute and sell sanitizing products. Janitorial companies can offer sanitization services to retail stores and restaurants. Supply companies can keep sanitizer and wipe dispensers filled. Moving forward, businesses will need to prioritize cleanliness and opportunities abound for ingenuitive companies: perhaps new technology will be developed or incorporated in a new way to offer in-store cleanliness, such as UV lights in checkout aisles.
7. Consumer trust is paramount
There’s no doubt many companies already prioritize consumer trust, but the very real health risk of COVID-19 takes the need for transparency and authenticity to new heights. Maintaining a clean facility is part of the equation, but on a broader level it’s likely customers will choose to buy from businesses they view as ethical and that have their best interests in mind: quality service over profitability.
A company’s actions during and post-pandemic could have a direct impact on its bottom line, so it’s important for businesses to have their fingers on the pulse of public sentiment. It’s likely a reason Shake Shack recently returned the $10 million Paycheck Protection Program (PPP) loan it received as part of the stimulus package : the burger chain was publicly criticized for taking money that was supposed to go to small businesses. Though the company wasn’t nefarious for accepting the loan, it recognized that keeping it could do more long-term damage than returning it, which likely elevated consumer trust in the franchise. The act illustrates how businesses that work to earn trust are positioned to enjoy success once the pandemic ends.
8. Less group entertainment
Even when stay-at-home mandates and social distancing end, many will be reticent to attend events packed with large crowds. Karaoke nights might be tough since people will be wary of sharing a microphone with dozens of others. Bars and nightclubs could suffer. Attendance could be low at live concerts and sporting tournaments.
Businesses will need to adapt and innovate. Already, online concerts featuring top performers have commanded millions of views. Gaming tournaments once held in arenas might shift online permanently – or at least for an extended period. Sporting events might be held in empty stadiums.
Entrepreneurial minds will prevail, however: bars can position stools and tables at least six feet apart. Concerts could be held in outdoor venues with dedicated seating and spacing. Performers can continue online shows, but with new levels of interactivity: live video viewer streams or software that controls in-home lights, speakers and other devices. Sporting events can institute interactive fantasy games or online betting (perhaps for charity). And of course, companies will be needed to develop the technology needed to make events more interactive.
9. Greater emphasis on health and wellness
The coronavirus crisis has brought public and personal health to the forefront. The threat itself is scary enough, but people understand they’re more vulnerable if they’re in poor health. Moreover, the act of visiting the doctor or going to the hospital is considered risky. Post-pandemic, that means many are likely to place greater emphasis on their personal wellbeing and healthcare companies will invest additional resources into providing remote care.
Enterprising companies can launch interactive health and fitness classes so people can work out at home. SaaS developers can create personal health tracker platforms and devices to help people achieve and maintain their health goals. Companies can work with doctors and hospitals to develop remote care platforms. Though video doctor visits are available now, it’s possible opportunities exist to develop devices that take key medical measurements at home – perhaps there will be a return to the traveling doctor, albeit via machines that feed data to hospitals. Companies that innovate new medical technologies that cater to remote care could usher in a new era of healthcare accessibility.
10. Quality of life decisions
Post-COVID-19, some predict that employees will be making more decisions based on quality of life versus work opportunities. For example, those who have been forced to hunker down in city apartments will decide to move to the suburbs or rural areas where they can enjoy the great outdoors – or even just a lawn.
If that happens, businesses would be wise to consider the need for employees to lead quality lives when they make their hiring and policy decisions. It lends credence to the idea that companies that allow remote work will be best positioned for success post-pandemic; otherwise, they risk losing top talent that deems a pay decrease acceptable in order to achieve better lives.
It also represents an opportunity for businesses to provide quality of life-related products and services. Real estate companies can market city-to-suburbs relocation services. Moving companies might see a boon. Communications and technology firms can provide the connectivity needed to maintain operations from afar.
11. Another baby boom
Many are predicting a baby boom resulting from the coronavirus; if that occurs, companies that sell products and services to parents can expect surging sales.
A baby boom could affect businesses that do not sell children’s products, too: now might be the time for companies to reevaluate their maternity and paternity leave policies so they can cater to top talent. It also makes a good case for remote work training, as many parents could continue performing their jobs – even part-time – if they can work remotely. Cross-training is also important: when multiple employees can perform the same job, it makes it easier for companies to adopt ample leave policies for pregnancy and childrearing.
12. More DIY
Right now, people can’t go to the salon. They have time on their hands to cook and clean. Most can go to home improvement stores, and they have the time to paint their living rooms. A trip to the grocery store might be deemed risky, but planting seeds is easy. Collectively, people have the need and time to do things themselves, and that’s a trend that could outlast the pandemic as customers realize cost savings and even find enjoyment in doing their own hairstyling, cooking, cleaning, remodeling and gardening.
Companies that offer related products and services will either need to find ways to entice customers to come back after the crisis or cater to the DIY trend. A salon, for example, can sell DIY at-home hair dye kits. An ecommerce company could promote in-home gardening kits and dole out advice with recorded videos or live, interactive online workshops. Startups could develop new, innovative ways to help people do things themselves (perhaps providing on-demand support when they get stuck) and rapidly become household names.
13. The digital classroom
The coronavirus crisis has disrupted education across the board, from elementary schools to colleges and universities. Many have quickly adapted by employing digital classroom apps to maintain learning in the absence of face-to-face instruction – but there is room for improvement.
Post-pandemic, some schools might recognize the cost-savings associated with digital classrooms and move part of their formal curricula online. Perhaps students and parents will have a choice between learning online or off, or in-person school sessions will be reduced to three days per week with the other two held online.
No matter what the future holds for education, opportunities exist for companies to develop products and services that cater to a digital classroom generation: interactive online learning platforms, video streaming, tutors and more. Companies in the educational technology field – and those who want to enter it – would be wise to survey students, parents, educators and administrators to discover pitfalls in current solutions and identify ways to enhance the digital classroom experience.
14. Reduced travel
The coronavirus pandemic has proven it’s not necessary to meet face-to-face to accomplish many business goals. Once the crisis ends, that might cause some companies to put the brakes on business travel: a considerable expense for many firms. Taking that a step further, even business conferences could be held remotely in the not-so-distant future.
At the consumer level, many people are taking virtual tours of famous landmarks. That trend might continue beyond the coronavirus not only due to safety concerns, but also due to reduced disposable income. Hospitality and travel companies would be wise to develop deals that entice customers to travel (perhaps group discounts); other companies can develop new ways to immerse customers in the virtual tour experience.
15. Rediscovery of outdoor recreation
Gyms are closed, yet people have plenty of time to pursue personal fitness. That means many are taking to the great outdoors for recreation. Though playgrounds might not be open, hiking and jogging in parks and along trails is quickly becoming the daily norm for those who would otherwise find themselves in the gym – as well as those who are using the COVID-19 crisis as inspiration to jumpstart their personal wellness programs.
Innovative companies might see this as an opportunity to keep people outdoors once the gyms reopen. Outdoor training equipment, obstacle courses and water stations could be sought by public entities; businesses that are prepared to offer such enhancements could find themselves in a prime position. Moreover, outdoor athletic clothing, accessories and devices could see a boon post-pandemic.
16. Focus on financial planning
Not just a health issue, the coronavirus pandemic is an economic crisis that has put a stranglehold on the average household finances. In fact, 40% of Americans do not have enough savings to cover a $500 emergency – certainly a crisis when unemployment rates have skyrocketed.
Post-pandemic, it’s likely many people will focus on financial planning so they’re prepared to endure if disaster strikes again. That presents opportunities not only for financial planners, but also businesses that can develop online financial education suites and self-help financial platforms that help people stay on track with their budgets, savings and emergency fund goals.
Non-financial businesses can also prepare by developing emergency repayment plans. Rather than offer forbearances if another emergency occurs, a formal reduced repayment policy might allow businesses to remain solvent during a crisis.
17. Newfound passion hobbies
Afforded extra time, many people are rediscovering (or newly discovering) their passions: reading, cooking, writing, photography, knitting, dancing, music and bicycling, to name a few. That interest is unlikely to wane once things return to “normal,” so companies that cater to such hobbies could experience a surge in sales.
Moreover, new opportunities might exist for startups and existing businesses to help people enjoy their hobbies. Online tutorials, for example, or subscription boxes packed with items enthusiasts will appreciate. Another idea might be a mentor matching service, where new hobbyists can directly interact with and learn from experienced practitioners to enhance their skills and capabilities.
18. Expanded gig economy
As mentioned, it’s likely many top employees will want to continue working from home once the pandemic ends. Companies that offer such flexibility are well-positioned to attract and retain top employees – but they might not be employees at all.
Unemployment, layoffs and outright terminations have caused many former employees to seek remote work online. Some are likely finding they prefer the freelancer role over the corporate 9-to-5: it offers diversification, so they might feel more secure in knowing they’re not necessarily out of a job if another disaster strikes.
Businesses should consider how they’re going to keep such employees in-house; or, whether they’re better off hiring contractors instead of employees. The cost savings can be substantial, even for the highest-quality work, but shifting to gig workers also means investing in the right collaboration platforms and developing policies specific to non-employees. That said, companies that are willing to hire gig workers can tap into top talent pools as needed and avoid the overhead associated with maintaining a full-time staff as well as related taxes and benefits.
19. Focused disruption
Though companies such as Amazon offers nearly everything under the sun and probably at the lowest price, it doesn’t stop other companies from competing and earning greater market share in their respective sectors. One of the keys to small business success in an era of Amazon, Walmart and big box stores is focused disruption: identifying the one thing the company does best, delivering it in the most convenient way and focusing only on that.
Airbnb and Uber are outstanding examples of focused disruption. One offers affordable vacation rentals just about anywhere, the other offers affordable transportation with the tap of an app. During the coronavirus crisis, companies such as Tushy and Farmbox have enjoyed skyrocketing sales – Tushy sells installable bidets, while Farmbox delivers fresh produce to customers. In fact, these companies have struggled to keep up with demand.
The common thread between each of these companies is a focus on doing one thing and doing it better than anyone else. Customers respond well to authentic companies that deliver on their promises, and having a singular focus makes it much easier for small business to cater to targeted segments and outcompete large enterprises that are too big to maintain such focus. While it’s difficult to predict what, exactly, customers will clamor for post-pandemic, it stands to reason that businesses that are able to focus have a better chance of success once the crisis ends.
20. Business disaster planning
More than 40% of businesses never reopen after a disaster , underscoring the need for companies to have an emergency response plan. Unfortunately, many businesses do not and were forced to close their doors permanently due to COVID-19. Once the pandemic ends, businesses that survived should place a new emphasis on disaster planning: those that do not have plan will create one, and those that have a plan will reevaluate it to ensure it’s adequate.
That means businesses must dedicate time and resources to developing a strong emergency response plan . Every business is impacted by the need for disaster planning; however, it’s also an opportunity for B2B businesses to develop disaster planning resources: emergency plan workbooks, for example, or disaster plan audits and consulting services.
A lot of things are going to be different once the coronavirus crisis subsides. Right now, it’s important for businesses to consider how those changes will affect their companies and how they should respond. It’s also critical to consider how customers’ lives will change and what opportunities exist within those predictions. In doing so, companies can identify ways to improve their businesses, provide what their customers need, innovate new products and services, and position themselves for success post-pandemic.
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A post-Covid business opportunity
The coronavirus pandemic has influenced foreign firms to shift operations out of china. india must spruce up domestic business environment to take advantage.
Prime Minister Narendra Modi held a meeting on April 30 to develop a strategy to attract FDI, particularly foreign firms wanting to move out of China, to boost investment. In fact, the Indian government is reportedly in the process of identifying and developing 4.6 lakh hectares of land, including 1.1 lakh hectares of existing land in industrial areas, and planning fiscal incentives in the form of preferential tax rates, tax holidays etc in order to attract foreign firms. Further, a few state governments are also proactively working to capitalise on the opportunity.
The initiatives by the government are timely; they are coming at a time when foreign companies are looking to shift their production base out of China and their home countries are facilitating the move. Japan has announced $2 billion worth of incentives and Korea is encouraging its firms to shift from China too. It is not surprising that approximately one thousand companies are in discussions with the GoI to set up their production base in India. China has been the world’s factory for the last three decades mainly because of its FDI-led manufacturing exports. Almost 50 per cent of China’s growth comes from exports, creating millions of jobs.
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Unlike the US, Italy, Spain and a few other countries, the COVID pandemic has, so far, not been severe in India in terms of both positive cases and fatality rate, if we normalise for the population. The initial stimulus package of Rs 1.7 lakh crore in March, followed by liquidity measures by the RBI and now, the stimulus package of Rs 20 lakh crore may help the Indian economy towards a vertical (V-shape) recovery. Therefore, post Covid, India could be the brightest spot among the emerging economies when it comes to attracting FDI. “Make in India” will become a success provided we prepare the ground and grab the opportunity.
Initially, China attracted foreign investors with decentralised and favourable FDI policy that had a lot of incentives with regard to land, utilities, infrastructure and logistics. Cheap labour, large SEZs, favourable pricing of inputs, and an under-valued currency facilitated and attracted foreign firms. However, these advantages have reached a saturation point. In fact, foreign firms are now dealing with a higher cost of production, higher wages, stricter environmental norms etc. Many foreign firms have consequently moved their production bases to Southeast Asian countries.
The situation for foreign firms in China has become more unfavourable in the last few years. First, the US-China tariff wars happened, which created uncertainty vis-a-vis trade and investment in China. Leading MNCs whose production facilities in China were part of their global value chain became suspicious about business viability and expansion there. The latest reason to now worry foreign firms is the origin of the coronavirus outbreak, and the lack of transparency in handling the pandemic — leading to a lack of trust of the major economies when it comes to China. The coronavirus outbreak in China disrupted the supply chain of the foreign firms, and it is also going to be the point of contention between China and the rest of the world.
Moreover, the fight for supremacy in technology and military, the differences between US-China on trade, intellectual property rights, and geo-political issues, are here to stay. Therefore, foreign companies which heavily depended on China are now looking to diversify the risk to their supply chain by moving out of China. And India offers them the best alternative.
India, the world’s fifth largest economy with an abundant labour force, offers the best alternative in terms of depth and size of the markets. With the median age of 27 and around 900 million “working-age” population, India is a young and aspirational economy. In the past, China used its huge labour force in manufacturing by attracting FDI — it’s time for India to do the same, particularly when foreign firms are looking for an alternative manufacturing base. According to a UNDP report, India will have a working age population of 1.14 billion, with rising urbanisation and a populating middle-class by 2025, creating a huge domestic market. India is also a resource-rich country. Therefore, India has its stage set to attract both market-seeking and resource-seeking FDI.
Starting from the early 1990s, India has progressively opened up sectors with hiked FDI equity to foreign investors under automatic routes. In recent years, there have been many proactive steps to facilitate foreign investors such as 24*7 online service to investors, response-query mechanism, proactive intervention with all the state governments, follow ups with all the GoI departments, reduction in documents for exports-imports from 11 to three, the Insolvency and Bankruptcy Code, and the creation of country specific (such as Japan and Korea) desks among others.
All these reforms resulted in India improving its ranking in the World Bank’s Ease of Doing Business report and also in the world competitive index in the last three years. No wonder, India has been ranked by multiple international bodies as one of the most favoured designations for FDI. Moreover, unlike China, India is a stable democracy where governance and rule-making is much more open and accountable.
However, simply opening of the sectors or the economy, and inviting foreign investors, will not be enough. We need to create a conducive and favourable business environment that enables foreign firms to manufacture at a competitive cost and use abundant resources like manpower. We need market reforms such as rationalising punitive land acquisition clauses and multiple labour laws, both at Centre and state level. It is time to speed up work on the four labour codes on industrial relations at a central level. The government should augment the work on infrastructure, logistics and trade facilitation so that trade and transaction costs, crucial for FDI firms, are reduced.
The need of the hour is also to redesign and revamp SEZs and EPZs policy for better performance. Though the reforms are very progressive at the central government and higher bureaucracy level, things are different at the level of state governments and lower bureaucracy — which actually matters when it comes to the implementation of projects and economic activities. It is time to train and bring about reforms at the lower bureaucracy level, which is not ready to give up their power. FDI will not only augment capital formation, it will also act as a vehicle for technology upgradation, skills development, exports promotion, job creation and the improvement of overall competitiveness of the economy. This is an opportunity for India in the post-Covid era. If we grab this opportunity, the next 30 years would belong to India at the global stage.
The writer is a professor at Institute of Economic Growth (IEG), Delhi
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Start-ups in the time of COVID-19: Facing the challenges, seizing the opportunities
Start-ups play a key role in OECD countries in terms of job creation, innovation, and long-run growth, but the COVID-19 crisis is reducing their creation, challenging their survival, and limiting their growth.
Policy interventions should tackle short-term challenges, supporting short-term liquidity and availability of funding, and foster the ability of start-ups to grasp new business opportunities that may arise during and after the pandemics.
In the longer-term, policies that reduce barriers to entrepreneurship, provide incentives for start-ups, and boost entrepreneurial potential could help limit the detrimental employment and innovation effects of a missing generation of new firms and help speed up the recovery.
Start-ups have emerged as key drivers of economic growth and job creation, and are often a catalyst for radical innovation. Young firms indeed account for about 20% of employment but create almost half of new jobs on average across OECD countries, and innovation by young firms significantly contributes to aggregate productivity growth, accounting for half of it in the United States.
During the coronavirus (COVID-19) crisis, start-ups have continued to play a critical role for economies. Some innovative young firms have reacted fast and flexibly to the pandemic, and have been critical in helping many countries shift towards fully-digital work, education, and health services, and have provided innovations in medical goods and services.
A few examples include: adapting commercial products (such as snorkelling masks to be used for oxygen provision in hospitals); launching a range of digital health services, including COVID-19 trackers, remote patient monitoring and remote consultations tools; introducing “no-contact” food delivery; and providing artificial intelligence solutions for researchers and scientists, remote working tools, or online learning and entertainment, in some cases provided free of charge.
Start-ups face significant challenges during COVID-19
However, most of the existing start-ups face significant challenges, as they are more vulnerable than older incumbents to the shocks brought by COVID-19. They tend to engage in high-risk activities compared with other small and medium-sized firms (SMEs), face constraints in accessing traditional funding, and have a formative relationship at best with suppliers and customers.
At a time marked by significant economic uncertainty and with their revenues affected by containment measures and significant drop in demand, start-ups may become even more financially fragile and will need support for their short-term liquidity needs, critical for their survival. 1
In many countries, policy responses aimed at shielding the economy from the crisis are already targeting firm’s financial fragilities, especially for SMEs . These include measures to sustain short-term liquidity needs, such as loan guarantees, direct lending, grants or subsidies. However, policy responses should take into account the specificities of start-ups with respect to other SMEs.
Notes: The figure shows the employment losses associated to a 20% decline in the number of entrants, relative to aggregate employment in the initial year, on average across countries and cohorts of entrants in 1995, 1998, 2001, 2004, 2007, 2010, and 2012 depending on availability. The simulation is based on the decomposition proposed by Calvino, Criscuolo and Menon (2016), focusing on SNA A38 industries in manufacturing and non-financial market services. Countries included are Austria, Belgium, Brazil, Canada, Costa Rica, Finland, Hungary, Italy, Japan, Korea, the Netherlands, Norway, Portugal, Spain, Sweden and Turkey.
Source: OECD (2020), DynEmp3 database.
Some countries are already introducing measures more specifically focused on start-ups. For example, France set-up a EUR 4 billion fund to support start-up liquidity , including bridging start-up funding rounds, Germany has announced a tailored start-up aid programme , expanding and facilitating venture capital financing, and the United Kingdom has announced a co-financing fund for innovative companies facing financial difficulties.
COVID-19 is not only a challenge for existing start-ups but also for the creation of new ones. Indeed, periods of crisis usually correspond to drops in business registrations. Analysis of the most recent data in France confirms that firm creation has dropped by about 25% in March 2020, while early analyses of the latest US Weekly Business Formation Statistics seem to highlight qualitatively similar declines, with sharp short-term contractions exceeding those observed during the Great Recession. 2
A reduced number of new firms, even in a single year, has sizeable and persistent effects on different social and economic outcomes, including innovation and notably aggregate employment. Simulations based on the OECD DynEmp3 database (Figure 1) show that a 20% decline in the number of new firms – a drop similar to the one experienced during the global financial crisis – leads to an employment loss of 0.7% of aggregate employment 3 years after the shock, and still of 0.5% 14 years after. Furthermore, a lower number of new firms may further amplify pre-existing long-term declining trends in business dynamism in many countries.
Although the COVID-19 outbreak is, and will continue to be, a significant challenge for the start-up ecosystem, the current crisis may also create short- and longer-run opportunities.
There are relevant opportunities for start-ups in times of crisis
Notwithstanding the significant economic disruption caused by the COVID-19 crisis, long-term effects on employment and innovation may be mitigated by taking steps now to support existing start-ups and the creation of new firms, limiting the negative effects discussed in the previous section. Recessions are often times of heightened restructuring that may ultimately lead to a stronger and more resilient economy.
In fact, even as the number of new business registrations generally drops during recessions, many successful innovative start-ups or businesses emerged from periods of crisis. Examples include Dropbox, Uber, Airbnb, WhatsApp, Groupon, and Pinterest, which were all founded during or just after the global financial crisis, or Alibaba’s Taobao that was founded during the SARS outbreak in the People’s Republic of China in 2003.
This confirms that periods of crisis are not only a challenge, but also provide new opportunities for entrepreneurship, where start-ups can help address the constraints created by difficult health or economic conditions, and respond to changing preferences and needs. Relevant examples in the time of COVID-19 are outlined below.
First, there are opportunities for start-ups that introduce (or upscale) radical innovations that can be useful in the short run; today, that could mean innovations in tele-medicine, remote personal care, medical equipment, home delivery, food processing, teleworking, online education, contact tracing. These short-term needs have been targeted by some policy interventions. For example, the European Commission called on start-ups with technologies related to treating, testing, monitoring or other aspects of the COVID-19 outbreak to apply for fast-track funding under the EIC Accelerator program. These however tend to ultimately address specific activities for which there is immediate demand or need.
Second, and importantly, the COVID-19 outbreak may induce persistent changes in societies, consumer habits or needs that could uncover valuable business opportunities for start-ups that are able to anticipate the changes. For instance, demand for remote working, e-commerce, education and health services may also change in the medium run, global value chains and cities may be transformed.
Policy makers should therefore consider interventions oriented at raising awareness of these opportunities, especially in industries that appear more resilient to COVID-19, such as digital intensive sectors, which are also generally characterised by higher post-entry employment growth (Figure 2) and contribute disproportionately to job creation.
These policy interventions should aim at providing right conditions and incentives for innovative start-ups and potential entrepreneurs, and boost their potential and capabilities to grasp them. Reducing barriers to entrepreneurship, such as administrative burdens, providing incentives for start-ups and entrepreneurs, ensuring that funding remains available, and boosting entrepreneurial potential and training could limit the detrimental employment and innovation effects of a missing generation of new firms and help speed up the recovery.
Notes: The figure shows the employment growth of surviving entrants in digital-intensive and other industries, on average across countries and cohorts of entrants in 1995, 1998, 2001, 2004, 2007, 2010, and 2012 depending on availability. Countries included are Austria, Belgium, Brazil, Canada, Costa Rica, Finland, Hungary, Italy, Japan, Korea, the Netherlands, Norway, Portugal, Spain, Sweden and Turkey. The figure focuses on SNA A38 industries in manufacturing and non-financial market services. Digital-intensive industries include Computer & electronics, Machinery and equipment, Transport equipment, Telecommunications, IT, Legal & accounting, Scientific R&D, Marketing & other and Administrative services.
Key recommendations
In this context, policy makers may consider the following:
Tackle short-term challenges
Support short-term financial needs of existing start-ups (e.g. with loan guarantees, direct lending, grants or subsidies) with minimal bureaucracy, and help secure jobs and incomes of their workers.
Raise awareness about existing measures and support initiatives that provide guidance to help start-ups adapt to the COVID crisis (e.g. through official platforms that centralise information on support programmes, provide advice on cash-flow management, or best practices to connect with investors remotely).
Support R&D and prizes for radical innovations to help tackle the health crisis, and support start-ups adapting their products.
Promote investments in skills and online training, to prevent skills depreciation and encourage upskilling of start-up workers.
Reduce barriers to entrepreneurship and provide the right incentives
Reduce administrative burdens for start-ups by implementing simplified procedures, and accelerating transitions to e-government. Minimise regulatory uncertainty, both during the crisis (e.g. red tape) but also after (e.g. health and safety requirements in the early recovery phase), as start-ups suffer most from these uncertainties.
Reduce possible barriers associated with the entrepreneur status, especially those that may be seen as particularly critical during and after the pandemics (e.g. related to access to health care and paid sick leave), making social protection more portable. In other words, link entitlements to individuals rather than jobs.
Ensure that funding remains available for innovative start-ups at all stages of their development, in co-ordination with private actors. For example, provide additional public funds to public venture capital umbrella-fund-investors, which can be used in co-investment with private investors for financing rounds of start-ups; take over shares from defaulting fund investors with additional public funds; or simplify venture capital financing).
Boost entrepreneurial potential
Promote entrepreneurship training, also in combination with benefits for displaced workers and lifelong learning, to facilitate (un)employment-to-entrepreneurship transitions, with particular attention to disadvantaged groups.
Promote university-business collaborations to facilitate industry applications of innovation and university-to-entrepreneurship transitions.
Promote network developments, including those linking job seekers and start-ups and those facilitating access to international markets.
Maintain investments in the start-up ecosystem, notably to ensure incubators and accelerators continue playing an important medium-term role in providing guidance, coaching, and mentoring to potential entrepreneurs and existing start-ups.
Further reading
Calvino, F., C. Criscuolo and C. Menon (2016), “No Country for Young Firms?: Start-up Dynamics and National Policies”, OECD Science, Technology and Industry Policy Papers , No. 29, OECD Publishing, Paris, http://dx.doi.org/10.1787/5jm22p40c8mw-en .
OECD (forthcoming), “How innovative STI policy approaches can help fight COVID-19”, OECD, Paris.
OECD (2020), OECD Economic Outlook, Interim Report March 2020 , OECD Publishing, Paris, https://doi.org/10.1787/7969896b-en .
OECD (2020), “SME Policy Responses”, OECD, Paris, http://oe.cd/il/2VB .
OECD (2020), “Supporting people and companies to deal with the COVID-19 virus: Options for an immediate employment and social-policy response”, OECD, Paris, http://oe.cd/il/2Vx .
An early assessment based on data for the United Kingdom suggests that young firms (between one and five years old) account for three quarters of the 70% increase in the number of company dissolutions in March 2020 relative to March 2019.
Strong contractions in the United States are also confirmed by further analysis based on the Startup Cartography Project.
Know about different business ideas to explore
The allure of starting a small business in the field of one's choice is driving millions of entrepreneurs to set up a business of their own. In light of this, it is essential to identify the best areas for small businesses to thrive and grow.
Here are some of the interesting business ideas in India for setting up a small business:
1. Automobile repairs
Car and bike users have to visit expensive service centres and wait for days to get their vehicle fixed. However, this practice is soon changing with doorstep repair services.
If you are a skilled mechanic, you can start a mobile auto repair business with a few simple tools and invest in specialised equipment.
Advertise online by taking a business loan to offset marketing costs and use a smartphone app to approach customers within a specific radius.
2. Tiffin service
Tiffin service is one of the fastest-growing businesses in urban and semi-urban India. Delivery of meals at workplaces and residences has seen an increase in demand due to its convenience, particularly to working individuals. The initial investment required is relatively low, making tiffin service a lucrative business idea in India.
Aspiring entrepreneurs can thus cash in on this opportunity and give shape to their business idea. Providing fresh, home-cooked, wholesome meals thus by far remains among the top few business ideas in India.
3. Electronics repair
Most of us use multiple electronic devices at home and work. Even a slight issue in the functioning of an everyday gadget, such as a cell phone, causes a significant inconvenience. Instead of visiting an electronics shop, it would be much more convenient to receive help right at the doorstep. If you have a degree in electronics and technology, you can provide door-to-door electronics repair services.
Additional read: Business ideas for women in India
4. Blogging as a small business
The advent of the internet has opened up several business opportunities, blogging being one of them. Initially used for recreational and informative purposes, blogging has of late emerged as a lucrative new business idea.
You can choose your fields of interest and expertise to start blogging and generate income via affiliate marketing, sponsored blogging, etc. You can create your own blogging business with a small investment amount. The business idea brings significant earning opportunities over time.
5. Private tutoring
Many parents in India are realising the importance of overall development for their children that schools alone are unable to provide. There is also an increasing need for specialised coaching to help children excel in academics. If you are an expert on any subject or skill, leverage your knowledge to set up a successful business holding private classes in subjects such as self-learning, drama and speech or even watercolour painting.
6. Pet-care service
If you are looking for the best business ideas with low investment, a pet care service is ideal to start with. Pet owners take special care to ensure their pets receive the right care and treatment while they are away. Hence, they look for professionals who can take care of their pets while travelling.
Pet care service is thus a potential opportunity where you can tap in to generate income. If you are a pet lover, it couldn't get better than opening a pet care service. The initial investment required is also minimal, thus making it easy to start and operate.
7. Educational mobile apps
If you’re interested in creating teaching aids, mobile apps are a promising avenue for you. You must have expertise in the subject matter and either outsource the technical development or do it yourself. Apps related to general knowledge, mathematics and overall development are highly sought after and can help you create a substantial business.
Additional read: How digital business owners can find success
8. Bake the cake
Bakery products are in huge demand today, thanks to the happiness they add to celebrations. You can start with your own bakery business with minimal investment and generate considerable revenues from cookies and muffins to cakes and other bakery products.
Among the best business ideas in India, the bakery has immense potential for growth and expansion. As the market trends towards first-hand bakery products at affordable prices, a home-grown bakery has a golden chance to be an instant hit these days.
9. Clothes and accessories
There is a growing business trend to rent clothing and accessories at much lower rates than their original prices. If you are excited by fashion, you can establish a renting service and turn it into a lucrative business. Use social media for advertising your offerings and set competitive prices to attract millennials.
Additional read: How to start a clothing boutique
10. CCTV and surveillance
CCTV and surveillance are increasingly becoming one of India's most profitable business ideas with increasing consciousness towards personal security. Surveillance solutions offer improved security along with counter-measures against theft or similar incidents at residential and professional dwellings.
With more people opting for personalised CCTV surveillance systems, the demand for such advanced technology is rising. Although initiating such a business of offering holistic security solutions requires considerable investment, it is a highly profitable venture.
11. Home and office furniture
As people move all across the country for short-term projects and jobs, they require furniture at home and at the workplace to feel more comfortable. However, they don't want the hassle and expense of buying new furniture. You can tap into this mindset by providing tables, chairs, PCs, printers, couches, TVs, ACs, etc., on rent. You can tie up with tempo services and seasonal labour to shift furniture when required and gain on using the same inventory repeatedly. If you run short on inventory, you can take a working capital loan to boost your inventory during busy periods.
12. Used laptop and computer
Laptops and computers have become an essential part of an individual’s daily requirements for work, education or recreational purposes. There is an upcoming parallel market for used laptops and computers with decent configurations available at low prices. The demand for these products is high and expected to remain so for some time.
Starting a dealership for the sale and purchase of such products creates attractive earning avenues, thus making it a good business idea in India. Tapping into this huge market by modifying used laptops and computers and selling them does not require hefty investments. Hence, the business is considered a highly profitable one.
13. Consulting
If you are well-versed in a particular industry or subject, you can become an independent consultant and create a customer base. You can speak at events and conferences, provide strategic solutions on a contractual basis or serve as an advisor. This may be in fields as diverse as education overseas, ex-pat coaching or investment.
14. Air-conditioner repair/ maintenance
Air-conditioners have become a necessity for most workplaces as well as households. Maintenance and repair of ACs for proper functioning are necessary considering the increasing number of users and the extensive usage.
Setting up a small venture that provides AC repairing and services is one of the best business ideas. It offers high profitability and stable returns if annual maintenance contracts for AC repairs of workplaces or residential complexes are acquired. You can set up the business with a small investment to receive the necessary equipment and skilled workforce.
15. Accounting
Efficient money management is a vital part of all businesses. However, most people need help with keeping their finances in order. If you have a finance, accounting, or bookkeeping background, you can run a very successful business that offers financial solutions to SMEs and firms.
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11 Creative Restaurant Ideas to Come Out of COVID-19
Getting creative
The restaurant sector is synonymous with experimentation. New trends and innovations in the food industry are a constant, and the pandemic only hastened this ideation process.
Sure, obstacles like dining room closures posed a monumental challenge. But when push came to shove, the industry showed a willingness to drive innovation in order to survive. Here are 11 creative ideas to come out of the crisis, with solutions that have crossed the technology, marketing, and menu spaces.
Shipping Container Brick-and-Mortars
In the pre-pandemic era, seeing a shipping container in a parking lot may have been a jarring sight. But throughout the year, shipping containers became a solution for restaurants trying to make the most of their available real estate.
This shift to shipping box containers has helped brands utilize otherwise empty parking lots to complete orders that abide by ever-changing guidelines. For Michigan-based coffee brand Biggby Coffee, modular drive-thru containers provided drive-thru units that could function within 48 hours. Other brands, like soda concept Swig, have value-engineered more intricate set-ups consisting of multiple shipping containers welded together to become an actual building.
Swig president Chase Wardrop says shipping containers have even opened doors for potential partnerships with grocery brands such as Kroger, where draw from shipping containers in a parking lot could bring in more revenue for both parties.
Online Events
2020 put a pause countless graduations, weddings, and other milestone events. But when these celebrations couldn’t take place in person, the digital space offered a safe space for people to gather. In the case of fast food chain Jack in The Box, the virtual space allowed them to execute a virtual prom for one group of Californian high school seniors.
The #PromInTheBox event featured music by DJs Dillon Francis and Diplo and amassed more than 6,000 views. The event’s engagement a 355 percent increase in views from the brand’s previous Instagram Live campaign.
The success of Jack in the Box’s virtual prom is an example of the way brands and reach their audience, albeit virtually. With live streaming platform Twitch reaching record numbers of engagement in 2020, the possibilities of brands in the virtual spaces has steam going into 2021
Even fine-dining icon Commander’s Palace hosted a 1,000-plus virtual party known as “The Zoom That Saved Wednesday” that ballooned into a national event .
The restaurant began to shipping packages across the country for $179 , which included three bottles of wine, two cheese selections, a charcuterie selection from Cochon|Butcher in New Orleans, crackers, and preserves.
New and Improved Vending Machines
Vending machines have been a longtime office staple, but inventive twists on the classic have gained popularity. Healthy concept Saladworks provided one such example with its vending machine concept, Sally the Robot . The concept was already in the works at the end of 2019, but now the brand is seeing a surge of interest from places like hospitals, where sanitized environments is imperative.
Similarly, salad concept Coolgreens saw an increase in demand for its “smart fridge” salad vending machine concept from hospitals throughout the pandemic. Armed with capabilities to serve in a hygienic environment, innovative vending machine creations have new possibilities in spaces that need sanitized service.
DIY Meal Kits
Brands went about their own ways of defining what the off-premises experience entails, with some deciding to give consumers an active role in making their food— namely, through the DIY kit.
Blaze Pizza is one brand that has utilized this strategy, with kits that allow customers to pick up the pizza ingredients from their local Blaze store, then assemble the pies in their own kitchens. Dunkin’ has also hopped on the trend with donut decoration kits.
The cost-effective option also requires minimal labor, so the trend is a win-win for brands and consumers stuck at home. While the complexity of these kits vary from brand to brand, some have also included a social media component to further drive engagement.
Health Assurance Technology
Ensuring labor safety has become a no-brainer this year. But obliging masks for both guests and employees only scratches the surface to these adjustments. Creations like Squadle’s Sense Thermal Scanner, a 2020 QSR Applied Technology Awards winner , reflect efforts by companies trying to further innovate in the space.
The scanner’s ability to integrate with Squadle’s self-check apps and Checklists safety platform have shown the technological possibilities in the health space. And when health maintenance for employees and guests, comes top of the list for operators, having ways to guarantee safety are a must.
Drop-off Sites
Drive-thru was the name of the game this year, and success was all but certain for brands that had their own car-friendly system. But this posed a big problem for fast casual Chicken Salad Chick, as over half of its locations don’t have drive-thru capabilities.
From this pain point, Kathleen and Ron Ram came up with the idea to start community drop-off sites. This twist on the pop-up location involved developing an ordering system where customers pre-ordered their meals and picked it up at predetermined locations.
Ron says as many as 60–70 cars showed up at these drop-off spots, even in communities they had never visited before. The solution did more than just save the store, but placed them within the top five Chicken Salad Chicks for sales during the height of COVID-19.
Virtual Discovery Days
One of the pains of growing through a pandemic has been figuring out how to bring on new franchisees onboard despite the inability to meet with them in person. This year heralded the virtual discovery day as an alternate to the in-person discovery day process.
For chicken fast casual Dave’s Hot Chicken, franchisees could discuss their business plans through email and use real time video capabilities through technology services like Zoom, giving franchisees immediate feedback.
The one-on-one attention of a video meeting can be attractive for franchisees, as well as attract those who previously didn’t have the capabilities to attend an in-person discovery day. Though experiencing a restaurant’s physical presence is crucial before a franchisee invests, the trend may still have a place post-pandemic for its cost effectiveness.
Hashtag Movements
Driving sales during the pandemic was crucial during lowest point of the pandemic. Especially as restaurants were adjusting to the first inklings of dining room closures, the industry’s more than 15 million Americans were affected.
On March 24, a coalition of restaurants that included Panera Bread, Noodles & Company, Veggie Grill, El Torito, Jason’s Deli, The Habit Burger Grill, Lemonade, Modern Market, Pieology, Potbelly, and Chevys Fresh Mex asked people to order a delivery or pick-up meal in a unified effort called The Great American Takeout.
The Great American Takeout also asked participants to share their efforts on social media, and was so successful that a sequel followed the week after the initial . As the likes of #TakeoutTuesday have now penetrated the virtual space, the event reflected social media’s ability to create industry-wide change.
Menu Slimming
Slimmed-down menus were a key operators made this year in order to function on a leaner scale, and have allowed for flexibility for pandemic adaption.
As a result, brands have turned to using a slimmed-down menu as rebranding opportunities. For Marijuana-themed Cheba Hut, paring down its menu to the “Dank Dozen” allowed the brand to minimize ingredients when sales predictions were uncertain. Texas-based Torchy’s Tacos also got rid of its poorest-selling menu items, but brings back old flavors through its limited-time “Taco of the Month”.
Virtual Brands
The virtual brand trend has exploded since off-premises demand has driven the popularity of ghost kitchens and third-party delivery services. With the arrival of virtual brands, companies who had brick-and-mortar spaces could now carry out new products to drive sales.
Smokey Bones CEO James O’Reilly first caught on the trend last year when it launched virtual brand The Wing Experience out of Smokey Bones’ brick-and-mortar kitchens. Since COVID-19, O’Reilly says, the company leaned into our off-premises capabilities faster and more aggressively than in the past.
Operating brands in the virtual space has is franchisee potential, too. Barbecue brand Dickey’s started offering virtual kitchens in August for franchisees, and has seen success as 95 percent franchisee-operated brand. Looking into the future, this trend could mean new possibilities for brands to reach consumers off-premises.
Hospital Hospitality
COVID-19 affected the healthcare sector deeply, but a silver lining to the coronavirus has been the move for the restaurant industry to help those in need. Against the backdrop of a worldwide pandemic, restaurants have supported health workers in their own ways.
Some have utilized off-premises platforms to bring food to hospitals , while others have donated food to healthcare workers . No matter the form of assistance, restaurants have used their creativity to help those on the frontline weather the storm.
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What Big Business Idea Will Emerge from the Pandemic?
CEOs are reimagining the firm and fighting a snap back to old ways of working.
By James Allen
- April 13, 2020
Spring is emerging. Some curves are bending. In parts of Asia, lockdowns are easing. Yet under those curves, families are still suffering and much of the global economy remains frozen. With each difficult new week of the pandemic, CEOs are gradually moving their focus from protecting the business to recovery to retooling , and asking: “How do we learn during this crisis and retool our business so we emerge as clear future winners?”
For the past few weeks, we’ve tracked the lessons of leading CEOs on this journey and uncovered three major ideas:
- They view the Covid-19 crisis as a dress rehearsal for a more turbulent world to come.
- They are looking back to the CEOs at the beginning of World War II who faced the last great global supply and demand shock. In the 1940s, leading CEOs recognized the “big idea” that emerged from the war: marrying mass production with a global mindset. They envisioned new boundaries for the firm: Most notably, the role of public-private partnership became a critical source of competitive advantage. They understood that after the war, new customer segments would emerge with radically new needs. The leaders that retooled their companies based on these lessons outperformed their competition.
- Today’s CEOs are exemplifying the ethos of their 1940s counterparts. To transform their business into a winning firm of the future , they are sharing three main messages with their people: Talk with the most important customers now. Avoid a bounce back to old ways of working. And let the company’s values and principles guide all decisions.
This week, we held dozens of conversations with CEOs about the big idea, or the major theme, that will frame all strategic and organizational changes to come. Most CEOs agree on the big idea emerging from the current crisis: “We can’t go back to the way we were. Instead, we must become a more adaptable, learning organization, competing not only with scale, but also speed. We must rediscover business building—to disrupt the status quo and step confidently from this crisis into a much-changed, new world.”
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While these CEOs agree on the “what” of the big idea, they differ on the “why.” We can roughly categorize their vision in the following three ways.
- The “lessons from lockdown” CEOs . They are enjoying the flexibility of working from home, the smaller and shorter Zoom meetings, the faster cadence, the greater experimentation, the empowerment of local offices and more. They’re telling their organizations, “This new normal feels smarter and better than the way we worked before.”
- The “rapidly accelerating trends” CEOs . They argue that the crisis isn’t bringing anything new, it’s actually a rapid acceleration of current trends. For their company, that might be digital disruption, evolving customer behaviors, new attitudes toward climate change, the erosion of globalization and so on. They’re saying, “These trends are now accelerating. We need less talk, more action.”
- The “end of an era” CEOs . They believe we’re seeing the final decade of the “ professional management system .” This system, which originated in the 1920s, manages scale well, but creates a huge amount of complexity. Today’s incumbents don’t have time to manage that complexity—they need to keep up with new industry entrants that compete with scale and speed (we call them “ scale insurgents ”). These CEOs are saying, “This crisis has exposed the cracks in professional management and forced us to work differently. Let’s seize this moment and start our own journey to become a scale insurgent.”
We embrace all three approaches. Leaders can decide which one will work best for their people. Regardless of the decision, as CEOs think about the big idea of retooling their firms, they’re sharing the same three messages with their people.
Refocus on the best of global and local
The pandemic has underscored that the professional management system fails to put the customer first. Customers are suffering from organizational complexity. Many CEOs understand that the more disruptive post-crisis world will require a leaner but stronger global center. Upgrading the center starts with risk management: the capacity to predict risk, adapt and test resiliency. In addition, the center must deliver the benefits of speed and scale to customers. With the customer in mind, leaders can define the best ways to resolve the three great conflicts of business — scale vs. customer intimacy , routine vs. disruption, and delivery of the current business vs. development of new business.
Once leaders establish the leaner framework, strategic and financial guidelines, and non-negotiables of the new global center, there will be no soul-destroying renegotiations. The days of endless opt-in or opt-out debates between local offices and the global center will end.
The quid pro quo of a tight model for the global center will be a loose model for local teams. Why? Many leaders anticipate radical shifts in industry profit pools and competitive dynamics following the crisis. Since these changes won’t be homogenous across markets, they will require fast local responses. This dynamic already unfolded during the lockdown: As the Covid-19 virus spread across the globe, CEOs saw the value of local experimentation and shared best practices. Moving forward, they will empower their local teams to take the lead in strategic innovation so they can provide tailored solutions in their regions. The local teams will operate within the guidelines of the global center. And CEOs will take the best practices and roll them out globally.
It can be helpful to apply a technology mindset when rethinking the roles of global and local teams. Imagine the organization as an operating system and a set of applications. The global center serves as the operating system, or OS. Once the OS is designed, the app developer doesn’t change it. But the developers and their empowered teams are free to run and build out their own applications as they see fit. The applications benefit from being part of the company, with an investment in a single, scaled operating system and the ability to share lessons across application teams.
This mindset also applies when considering “the rest.” Once the retooled firm gets the operating system and applications right, it’s left with the rest: The vast “middle” of the company that neither sets global strategy and standards nor serves local customers. Leading CEOs will reduce the rest. They will no longer allow complexity to slow down their firms .
Rediscover business building
The companies that emerge stronger from the Covid-19 pandemic will be business builders. They understand that customer behaviors and needs will change. They will build new businesses to respond to those changes. They know that industry boundaries will evolve. And they will build new businesses to lead and control those new profit pools. This is the firm’s deepest, most critical work, yet most incumbents have forgotten it. Long ago, they lost the true art of business building in favor of the professional management system and its promises of efficiency.
As today’s CEOs lead an effort to rediscover the routines of business building , they can start by asking a few guiding questions:
- How do we get better at identifying our points of failure when building a business?
- How can we empower teams to solve these failures through market testing?
- How can we globally scale the winning prototypes that come out of market testing?
- How do we move beyond innovation and consider business building more broadly? How do we determine our products, our routes to market, our ecosystem partnerships and more?
- How can we stop our leaders from second-guessing our team’s innovative business building efforts, and focus instead on “amplifying” team successes?
As CEOs reorient the firm around business building, they will discover that their global capabilities aren’t fit for this purpose. They are designed to run, not build, businesses. And the senior team isn’t geared to be fast, adaptive and supportive of local experimentation and learning. It’s best to recognize that from the start.
CEOs will also discover that they suffer from the illusion of speed. They believe that their firm makes quick decisions. Over the last year, we’ve heard several CEOs comment on Amazon, with some version of the following: “I’ve talked to a lot of Amazon leaders. The time taken around those legendary six-page memos makes my company look like a fast-moving start-up. The processes around that memo are more bureaucratic than anything we have.”
It’s true that Amazon—the once nimble start-up, now behemoth—wrestles with the consequences of its size. But these CEOs are missing something vital: the scope of that six-page memo. In a matter of pages, Bezos and his leadership team address multiple aspects of the business they’re building and debate a vast number of fundamental questions. The seemingly slow process to approve six pages is only one aspect of a “go” vs. “no go” decision. When it leads to “go,” the business builder can get on with it. In contrast, most incumbents’ notably undefined process for business building involves hundreds of meetings and thousands of decisions. While each meeting may feel quick and decisions may be fast, no single decision emerges that gives the green light to the business builder.
- The Great Retooling
In the face of Covid-19, CEOs are acting swiftly to protect employees, customers and businesses. But leading CEOs are also planning for the "Great Retooling"—a time to make their organizations fit for purpose in the world that emerges from the pandemic.
Reorient your talent model and culture to those that really matter
The most inspiring aspect of the big idea, of retooling a firm for the new world, is the effect it will have on people and culture. Through virtually managing a team and revamping a business , leaders will find that so much of what we call “people development” is actually a set of processes that train people to manage complexity, rather than question it. Some CEOs are realizing they don’t need smooth operators—those all-rounders, devoid of obvious weakness, whose main strength is managing the complexity they often create themselves. Instead, CEOs need the messy folks who tell it like it is—those people who have “spikes,” or great strengths, in some areas and some glaring weaknesses in others. There’s magic to those diverse folks who help us find surprising ideas in surprising places.
And so, during the crisis, great CEOs are celebrating the disruptors who have the new ideas and the ability to navigate around—not through—obstacles. They’re celebrating their best operators who flawlessly execute on the customer experience playbook. And they’re celebrating the scalers who industrialize creative ideas to form new businesses.
Finally, in light of the crisis, they’re celebrating the “essential worker”—those frontline heroes who really matter to customers. They prepare food, deliver packages, transport the ill, clean surfaces to keep us well, and more. Customers know these workers are vital; society has deemed them essential. Firms must as well by keeping them top of mind when celebrating those that matter and distributing rewards. We can’t snap back to the way we were before.
Leading CEOs will also use the big idea to celebrate their 26-year-olds and give them a chance to shine. They recognize retooling as a second founding moment. It’s an opportunity to recreate the magic of their company’s founding, when heroic 26-year-olds did heroic things in heroic times. The CEO role will be more fun and influential if young emerging talent is empowered and, through their thousands of experiments, the entire firm learns and adapts its way into the new world.
Retooling also provides an opportunity to nurture a more resilient culture. The crisis has revealed the limits of prediction. Companies didn’t fail because they never considered pandemics—there’s probably a dusty presentation somewhere. They stumbled because when the crisis hit, they didn’t adapt quickly enough. They stumbled because past decisions weren’t resilient. But companies also stumbled due to the biggest supply and demand shock in 80 years. Don’t forget that.
The winning cultures founded in retooling will be learning cultures, starting with the lessons of the pandemic. Leaders will adopt a growth mindset . The winning organizations will embrace Agile. They will be adaptable. They will celebrate the teams that mobilize around crisis issues and business-building problems. They will rise above the hard days, because customers expect nothing less.
While we’re still in the difficult part of the crisis, we’re beginning to see the big idea. Whether you got here through the lessons of lockdown, the race to catch up with accelerating trends, or a more profound change in the composition of your industry, the idea is becoming clearer. Instead of snapping back to the way you were, radically simplify what you do and how you do it, and respond faster to your changing customers. They want you to build the businesses they need, but they won’t wait. Your spiky leaders and next-generation stars want you to retool for the future, but they won’t wait either. Every decision you make signals to your people and customers whether you will emerge from this crisis as the winner. Send the right signals. This is your moment.
- Coronavirus
The global Covid-19 pandemic has extracted a terrible human toll and spurred sweeping changes in the world economy. Across industries, executives have begun reassessing their strategies and repositioning their companies to thrive now and in the world beyond coronavirus.
James Allen is a senior partner in Bain & Company's London office and coauthor of The Founder’s Mentality . He formerly led Bain's Global Strategy practice and helps lead our CEO Forums and Founder Summits, all of which have moved to virtual support.
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Start » strategy, 7 service-based business ideas that will be in high demand.
While some industries have been negatively impacted by COVID-19, other service-based businesses have flourished in the age of social distancing.
By: Nicole Fallon , Contributor
The COVID-19 pandemic has taken a tremendous toll on restaurants, events, personal services and any other business that relies on close in-person interactions. On the flip side, service-based businesses that require little or no person-to-person contact have had an unprecedented opportunity to thrive.
With a new wave of positive cases popping up across the country, the era of social distancing won't be over any time soon. For aspiring entrepreneurs, now is an excellent time to consider launching a business that will be in high demand for years to come, even through the current economic downturn.
Keep a close eye on these service-based businesses that are poised to grow in the post-COVID age.
[Read: How to Start a Business After COVID-19 ]
Box subscriptions
Even before COVID-19, box subscriptions for everything from meal preparation kits to beauty products were thriving. These businesses have recently seen a surge in new customers who want to avoid crowds and get everything they need delivered right to their door.
Aside from the obvious convenience of not having to leave the house, the biggest advantage of box subscriptions is their ability to curate product recommendations based on the individual consumers' tastes and preferences. Top-notch products combined with a superior customer experience will help any subscription service stand out in the crowded market. When deciding what type of products to include in their boxes, entrepreneurs should consider catering to consumers' renewed interest in home-based hobbies and DIY activities like building model planes and trains, origami and sewing.
Commercial cleaning
Commercial cleaning services have been essential to helping brick-and-mortar businesses like gyms and salons bring customers back in the door as parts of the country reopen. As office-based businesses begin contemplating their timeline for returning to their physical workplace, they'll need help deep-cleaning and disinfecting their work stations to ensure their employees' health and safety.
Even after the initial deep-clean, businesses will want to have a commercial cleaning service handy in case an employee tests positive for COVID-19 and the office needs to be disinfected again. These services can set themselves apart by using and advertising EPA-approved green cleaning products to reduce the impact on the environment and employee health.
Errand services
Third-party food delivery services like Seamless, Uber Eats and DoorDash have kept many gig economy workers employed throughout the pandemic. But consumers — especially older individuals and other high-risk groups — need more than takeout meals delivered to their home.
That's why errand services have become so important during COVID-19. People with increased health risks can hire someone to pick up and deliver essentials like groceries, medicine and personal care items, or run to the bank and post office on their behalf, thus reducing their need to leave the home and expose themselves to the virus. Contactless payment options through digital apps makes this an ideal COVID-era service business.
[Read: 15 Small Businesses Thriving During Coronavirus ]
Like many in the healthcare field, therapists and other mental health professionals who offered in-person client sessions have been shifting their services to the virtual realm.
Freelance copywriting and design.
Nearly every business has had to pivot its marketing and communications strategies during the coronavirus pandemic. To successfully meet the demand for relevant, helpful content, many companies are relying on freelance copywriters and designers to produce blogs, social media posts, thought leadership articles, webinar scripts and other content marketing assets.
Since the pandemic and state reopenings are evolving quickly, freelancers who can deliver high-quality, well-researched work on a tight deadline will gain and retain clients.
IT and cybersecurity consulting
Businesses that didn't have a remote work policy in place before COVID-19 may have experienced a difficult transition from in-office to at-home operations, especially from a technology standpoint. Companies may have cobbled together a remote work IT infrastructure as a temporary fix, but as working from home becomes more widespread and normalized, they'll need to put more permanent — and secure — solutions in place.
An IT consultant can work with these companies to recommend the best programs and tools for keeping business data secure, while ensuring remote employees have seamless access to their work files. They might be responsible for things like VPN and multi-factor authentication setup, cybersecurity maintenance and training staff on new remote work software.
Teletherapy
Social isolation, canceled milestones and celebrations, and illness or death of loved ones have become common experiences during COVID-19. All of these factors, plus the recent civil and political unrest over racial justice in America, have taken a serious toll on people's mental health.
Like many in the healthcare field, therapists and other mental health professionals who offered in-person client sessions have been shifting their services to the virtual realm. Teletherapy through HIPAA-compliant chat and video services has become an important lifeline for people struggling right now, and the demand is likely to grow as more individuals feel comfortable discussing mental health.
[Read: 8 Small Business Trends That Are the New Normal ]
Virtual personal training
Between gym closures and remote work orders, it became easy for many Americans to stay sedentary and gain a few extra pounds. Now, people are looking to shed the " Quarantine 15 ," and they might need a little more accountability and personalized guidance than a home workout app or group fitness class can offer.
Virtual personal trainers can offer one-on-one live sessions via video conference and work with clients from the comfort of their homes. They can also share digital guides with exercises and meal plans, and offer text or email-based support to clients between workouts.
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COVID-19 and the future of business
When everything is a priority, nothing is a priority. And as executives struggle to make sense of the post-COVID business environment, many find themselves leading from this gray area of indecision.
Two years ago, relatively few executives considered competencies in crisis management, enterprise agility, cost management, workforce resiliency, innovation, or cash-flow management as critically important to their business. Today, however, top executives tell a different tale.
New research from the IBM Institute for Business Value shows that executives are now prioritizing all these capabilities. In the next two years, our findings show that we should expect another huge shift in prioritization. Executives are clearly telling us they plan to emphasize workforce safety and security, cost management, and enterprise agility.
Opportunities for a new era Executives' top priorities are shifting dramatically as they plan for an uncertain future.
Change remains the name of the game
Leaders are expecting more from their transformation initiatives. They identify competitiveness and workforce resilience as the benefits they most want from ongoing digital transformation. Transformation is also accelerating among a majority of organizations. But strikingly, greater focus on transformation seems to be at the expense of customer relationships and partnering opportunities.
Executives identify competitiveness and workforce resilience as the benefits they most want from ongoing digital transformation.
This special IBV Trending Insights report integrates results from multiple proprietary surveys of consumers and executives conducted from April through August 2020, punctuated by new data from executives across industries who collectively oversee USD 3.7 trillion in revenue. Our overwhelming conclusion: Post-COVID-19, the reality for businesses has radically shifted.
Whether reflecting on current conditions or future plans, business leaders’ needs for speed and flexibility have been amplified dramatically. Old barriers are being brushed aside under the pressure of unrelenting disruption, rapidly evolving customer expectations, and an unprecedented pace of change. There seems to be renewed clarity in their perspectives. Motivation is not aspirational—it has become existential.
The COVID-19 pandemic has accelerated digital transformation at 59% of surveyed organizations.
Our research suggests five key epiphanies from leading executives for the post-pandemic business landscape, offering new perspectives on digital transformation, the future of work, transparency, and sustainability. Together, they provide a playbook for proactive leaders who understand that old ways of working are gone.
Anecdotal tales of “game-time” pivots—moving swarms of workers to remote platforms, rethinking and remaking supply chains, shifting manufacturing to produce in-demand personal protective equipment—aren’t just near-term business contortions. Adaptability is now a mandatory business competency, and an accelerated pace of change has become normal.
The COVID-19 pandemic has accelerated digital transformation at 59 percent of organizations we surveyed, and 66 percent say they have been able to complete initiatives that previously encountered resistance. This culture shift is in part defensive: reducing costs is the top benefit attributed to transformation initiatives.
But something bigger and more long-lasting than crisis management is underway. Before the pandemic, many organizations seemingly distrusted their own technological capabilities and doubted the skills of their own workforces. Yet, in the blur of this year’s pandemic-induced reactions, those anxieties proved largely unfounded.
Executives have become more trusting of what technology can do, and they are pushing ahead with digital transformation.
Reliance on tech platforms became more acute, and those platforms—along with the corporate teams who use them—delivered results. It’s not that new tech was suddenly discovered and implemented; rather, the tools already at hand were deployed to fuller potential. Previous barriers to implementation were unceremoniously shoved aside, and those who moved first saw nearly immediate results.
The COVID-19 pandemic has forever altered how organizations around the world operate. Some 55 percent of respondents say the pandemic has resulted in “permanent changes to our organizational strategy.” An even larger 60 percent say COVID-19 has “adjusted our approach to change management” and “accelerated process automation,” with 64 percent acknowledging a shift to more cloud-based business activities.
Defining a different normal Organizations made big changes in response to the pandemic—and there’s no going back.
Executives have become more trusting of what technology can do, and they are pushing ahead with digital transformation. They indicate they are planning for COVID-19 recovery to include investment in technologies such as AI, IoT, blockchain, and cloud. The benefits long extolled by technophiles have become more broadly embraced across organizational leadership. To stack the deck for success, organizations need to be sure their people are as capable, resilient, and adaptable as their technologies for the long term.
While executives plan to expand almost all tech competencies during their future digital transformations, the secret to success lies in human resources. In one IBV data set, our analysis confirms that the business competencies that account for the largest part of an organization’s expected growth are those centered around employees and customers, such as workforce training and customer experience management.
But remarkably, these factors seem to have eluded executives. More than three-quarters of executives expect changed customer behavior to continue after COVID-19, trading face-to-face contact for more shopping and customer service interactions online. To that end, 84 percent of executives say that customer experience management will be a high priority over the next two years, compared to only 35 percent just two years ago. And yet, “improved customer service” sits in the bottom half of the list of benefits that executives seek from digital transformation.
More than 3 in 4 executives expect changed customer behavior to continue after COVID-19.
This is curious, since 60 percent of executives also said they will employ AI-based customer engagement tools to achieve their goals, and in some organizations, chatbots are handling upwards of 80 percent of customer assistance traffic during the pandemic. We wonder how they will enhance customer experiences, if not at least in part through digital transformation.
If executives are conflicted about how they’re connecting with customers, they’re doing even worse with their employees. While workforce safety, skills, and flexibility are important, employee satisfaction has been deprioritized. Executives recognize that their employees have been under intense pressure, and they contend that employee well-being is among their highest priorities.
Employers significantly overestimate the effectiveness of their support and training efforts.
But our research highlights a gaping chasm between what executives think they are offering their employees and how those employees feel: employers significantly overestimate the effectiveness of their support and training efforts. Only about half of employees say they believe that their employer is genuinely concerned about their welfare. Clearly, there is massive opportunity for leaders who can get this right, when most seem to be struggling.
This trust gap is not simply about perceptions. On the contrary, there is a reasonable foundation for employee skepticism about corporate commitment to them. According to our survey results, 22 percent of people have been either temporarily furloughed or permanently laid off since the pandemic began. Pair that with corporate priorities on cost-containment and technology resources—which are practical and even necessary—and employers may be sending signals that human resources are replaceable. Increased automation, AI adoption, and the emergence of other “contactless” activity reduce the number of people needed to do the work. In addition, the rising cost-management priority can hinder workforce support, work- from-home tools lag significantly behind needs, and the move to more remote work undercuts the personal connections that help define many corporate cultures.
Executives are tasked with defining their organizations’ vision. But it can be hard to focus if they are continually putting out fires. While workforce safety and resilience, cost management, and organization agility emerge as top priorities for the short- and longer-term, the pandemic has amplified old business fears and introduced new ones. The result? Executives are enamored with the priority du jour .
Since the beginning of 2020, executive priorities have been a bit fluid, and they’ve reshuffled again the last few months. Now they seem to be focused on internal operational capabilities, which may be taking attention away from the customer service experience at a time when it could be critical.
Executives are looking inward in the wake of COVID-19 Leaders plan to prioritize operational capabilities—not external growth—over the next two years.
According to survey results from 3,450 executives in 20 countries across 22 industries, corporate priorities are much more focused on crisis management, workplace safety and security than they were two years ago. But in the future, 86 percent of executives expect cash-flow and liquidity management to be a priority— for more than twice as many respondents as two years ago.
In the same vein, 87 percent of respondents say cost control will be crucial. There is a heightened emphasis on resiliency, with 75 percent planning to prioritize IT resiliency over the next two years. And supply-chain reliability is of rising importance, with 40 percent of executives stressing the need for spare capacity to weather future crises, a telling move away from longstanding just-in-time-delivery goals.
94% of executives surveyed plan to participate in platform-based business models.
Cybersecurity concerns have skyrocketed, too, with some industries showing an increased commitment of more than 90 percent. Overall, 76 percent of executives plan to prioritize cybersecurity over the next two years, with 46 percent planning to use AI to enhance cybersecurity in the same timeframe. That is twice as many as deploy the technology today.
Pre-COVID-19 commitment to business agility, AI, data and analytics, and other emerging technologies has grown. With the promise of competitive advantage now augmented by a new appreciation of the risks posed by crises, 87 percent of executives plan to prioritize enterprise agility over the next two years. More than 65 percent of respondents say investment in IoT, cloud, and mobility will be a priority; a whopping 94 percent plan to participate in platform-based business models.
So, everything is important. Everything except improving the customer experience— the one thing that can help drive performance and growth when the competition is lost in the fog.
The COVID-19 pandemic has not impacted all organizations and industries equally. This situation mirrors what some economists have described as a “K-shaped” consumer environment, where some thrive and others languish. The bifurcation in the stock market—where the biggest consumer tech platforms have steamed ahead while other shares drop—is just one indication of this divide.
Consider Amazon, which is up 78 percent this year. Its rise helped offset declines by more than half of the other companies in the consumer sector. Or look at Apple, which is up 60 percent and is now bigger than the bottom third of companies in the S&P 500 combined. The Amazons and Apples of the world may be examples of successful solo players, but most businesses need partnerships and ecosystems.
Scale alone doesn’t predict above-industry performance. The melding of size and flexibility is the defining characteristic of those poised for success.
Our findings show that executives expected health-related sectors to be the most likely post-crisis winners. Telecommunications, media, and entertainment were also expected to show positive impacts, buoyed by stay-at-home orders and habits. Atop the losers’ list: travel and transportation, and manufacturing-intensive industries, including automotive.
Within sectors, expectations are growing that broader reach will help define winners. Our data also point to greater reliance on platform business models and partner networks, with 70 percent of executives planning significant partnering activity inside their industry and 57 percent looking outside. Either way, they expect such participation to grow more than 300 percent over the next two years compared to two years ago.
Businesses are partnering up Executives increasingly see platforms, ecosystems, and partner networks as key success factors.
The critical distinction here is that scale alone doesn’t predict above-industry performance. Large enterprises that can operate with agility have been the ones to remain steady (in a troubled sector) or outperform. The melding of size and flexibility is the defining characteristic of those poised for success.
There’s another point, too: When pandemic lockdowns were imposed, exceptions were made for services deemed essential—and “essential workers” became the most appreciated, cheered contributors in society. Alongside this heightened recognition of those who enable others to live, work, and play has been a refocusing on “the essentials” in all organizations and for all budgets.
A focus on growth and competitiveness demands renewed discipline around assessing and managing new business ventures and expansions.
Perhaps this explains why executives don’t expect to see benefits in these areas from digital transformation—it’s second-to-last on the list, behind only customer service. From an organizational perspective, a focus on growth and competitiveness demands renewed discipline around assessing and managing new business ventures and expansions.
In this time of disruption, it’s not a surprise that many, perhaps most, organizations have doubled down on their core—the operational improvements and workforce enhancements that may best address a returning crisis. And yet, executives must keep these hard-to-reach goals in their sights if they are sincere in their desire to increase competitiveness. These efforts are where tomorrow’s innovations and growth will come from. But approving and allocating resources for them will be scrutinized more than ever.
Before coronavirus, sustainability strategies were largely centered on environmental issues: the risks to planetary health from pollution, climate change, and the like. Consumers were increasingly choosing products and brands that demonstrated authenticity in these areas, inspiring passion and allegiance. Regulators were echoing those concerns and priorities, as well.
Yet, faced with a human health crisis, environmental sustainability became joined with issues of personal safety. Consumers have been wearing disposable masks and gloves, and opting for more individual packaging than ever. To protect themselves and their loved ones from the virus, they’ve been receiving delivered goods to avoid going out in public. These actions seemingly pit protecting human health against protecting the planet.
But our research indicates that consumers’ passion for environmental issues remains. In fact, health and safety have been conjoined in a new, expanded, and more complex definition of sustainability. New burdens are already appearing for corporations, as they must make good on existing sustainability goals—reduced carbon footprints, more efficient waste management, or otherwise—while simultaneously meeting new health-and-safety requirements.
People and planet are inextricably linked Executives' concern for sustainability topics has skyrocketed in two years.
This may be among the more challenging—and critical—implications of post-COVID-19 business. Meeting this bar will require not only new practices and new materials, but also new kinds of data and efficiency. For example: What is the environmental cost of meat spoiling or being discarded versus using more plastic to make it safer? How do we enable supply chains and last-mile delivery to get what businesses and consumers require, without being needlessly wasteful? More sophisticated questions are coming, and leaders will be expected to provide more nuanced and educated answers.
Where to from here?
The pandemic was a wake-up call that the unexpected and the unlikely are more tangible and plausible than anyone previously anticipated. For many, it has been a bitter reality: painful, costly, still unresolved. For a few lucky others, it has offered an unforeseen windfall; one that organizations have struggled to capitalize on. Either way, executives must accept that pandemic-induced changes in strategy, management, operations, and budgetary priorities are here to stay. Accelerated investment is coming in digital tech, transformation, and cloud adoption.
We are on the leading edge of a self-reinforcing process, promising even greater acceleration ahead. This presents an enticing opportunity for executives who can manage complexity and drive competitiveness by tying digital transformation to business priorities—while others are still waiting for things to “go back to normal.”
There is no going back to normal. The risks and opportunities are too great. The stakes are too high.
Organizational complexity remains the biggest hurdle to progress. More than twice as many executives mention it as a barrier today as in the past. Another related obstacle: employee burnout. Data indicates that employees feel tired and overloaded, potentially as a reflection of that complexity.
All of this affords a new opportunity to build better businesses and a better world. It starts with enabling a diverse workforce to perform optimally—and building trust and confidence among employees will be critical. How they are treated now will have an outsize impact on perceptions and value in the future.
Take action now
In the race for competitive advantage, it is imperative that organizations react in real time—that is, now—to navigate this new environment. Businesses need to take action in three critical areas in order to survive and flourish.
- Lead, engage, and enable the workforce in new ways with inspirational leadership . Provide support for more flexible work options (like hybrid models of remote and in-office work). Emphasize employees’ mental health and well- being, and skills development. All this can help in driving trust, binding the right talent to the organization long-term post-pandemic.
- Apply AI, automation, and other exponential technologies to make workflows more intelligent . Focus on supply chain resiliency, cybersecurity, and adoption of automation and AI.
- Improve operational scalability and flexibility , including the prioritized use of the hybrid cloud and moving more business functions to the cloud.
This new world permits no time for complacency or nostalgia. There is no going back to what used to pass as normal. The risks and opportunities are too great; the stakes too high. Executives need to prepare their businesses for ongoing uncertainty, inevitable disruption, and never-ending change.
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Originally published 21 September 2020
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Op-Ed: Analysis of 8 billion page views shows where the next hot start-up can thrive
- The current economic downturn provides an opportunity for new start-ups to emerge and capitalize on the changes caused by the coronavirus pandemic.
- According to data compiled by ad-tech company Taboola, home improvement, gaming and pet products, among others, have all seen a surge in interest while most of the economy falters.
Looking up at the bull's horns while the bear swipes us down should be every business's focus in the wake of Covid-19. Volatile stocks , record unemployment rates , and predictions of our worst recession yet are naturally spurring companies of all sizes into cost-cutting defense, which is natural—most people's natural behavior in times of crises is to look inside for solutions or protection.
Recessions, while always difficult to navigate, have fostered some of the most impressive companies in history. The Great Depression brought us GE , Disney , and HP, who all benefited from marketing while their rivals cut back. The Great Recession brought us companies that ushered us into the digital age and opened up the gig economy—Airbnb, Credit Karma, Uber , Slack , Venmo and Square .
These companies were successful because they looked outside for opportunities as times changed, and came up with products and services the world needed. There were many signals that illustrated their eventual rise — but their success was fueled by a world looking for alternative work during hard times.
During the recession, just before Airbnb was founded in 2008, searches for the keyword "mortgage " were beginning to drop, and the number of real estate, rental and leasing contractors was increasing by almost half a million . The share of the U.S workforce in the gig economy as a whole rose from 10.1% to 15.8% in 2015. People were looking for ways to reduce their costs, and earn more anyway they could.
Airbnb, and many other examples that fueled desire for alternative income in 2008 and 2009, were born from loss — we lost 533,000 jobs in 2008, the biggest drop since 1974.
The desire for alternative work arrangements stuck. As we came out of the great recession, the number of people doing alternative work rose by over 3% .
Back to 2020. After the coronavirus fades from the public mindset, what might be the next "gig economy" born from this recession, what is going to be the next AirBnb, or Uber?
Looking at a variety of data sources shows these as the categories will be ripe for startup innovation.
Home improvement: 140% growth in consumer interest
The combination of empty grocery store aisles and springtime has driven many people to garden and raise livestock, increasing self-sustainability .
Businesses selling the materials to support them are thriving. Home Depot 's shares are up 4.21% , and keyword searches for ' how to snake a toilet ' and ' home garden ' are both on the rise.
The entire home and garden category has seen a 140% increase in page views in the last month. Consumers are specifically interested in gardening and plumbing, which has seen an 245% increase.
Plumbing is an entirely new topic we've seen emerge in the last month. As toilet paper shortages forced some to use alternatives, plumbers have been busy snaking toilets—but many consumers are simply learning how to do so on their own .
Perhaps a new marketplace of local service providers, a "Seamless" of plumbers will be born, and consumers will be a "click away" from getting someone to come and fix their plumbing. Marketplaces like TaskRabbit, Handy and Thumbtack will thrive, and new players will emerge.
Pet products: 50% growth in consumer interest
Lockdown has been an opportunity for animal shelters, who have urged people to adopt while home—and it's working. New Yorkers have adopted 10x more pets than usual and Los Angeles has seen a 70% increase in adoptions from shelters. In fact, shares of Chewy , a popular pet marketplace, are up 7%.
Over the past month, we've seen a 50% increase in pageviews related to pets.
We'll start to see a whole new host of pet-related businesses—from the basics of food, toys and grooming, to mainstream TV channels for dogs like dogtv.com , more dedicated Netflix original shows for pets to keep them entertained, a proliferation of homemade meal services for cats and dogs like NomNom, virtual dog training courses, and tools to communicate with your pet like Hunger For Words.
Home beauty products: 36% growth in consumer interest
Consumers are getting more comfortable with performing their own haircare and skincare routines.
At home beauty and wellness alternatives are currently experiencing double digit growth , a trend that we'll see impact the beauty industry permanently. It's not an entirely female phenomenon. Hair clipper sales have soared 200% and more and more men are more likely to shave their heads in quarantine.
Page views related to haircare and skincare products DIY home kits has increased—we've seen 36% and 1.7% increases respectively.
Companies providing not only the beauty products themselves, but also those providing custom training services, communities and more, will thrive. Perhaps beauty companies will offer VR filters people can swipe through at home like those offered by Pinterest and others. Once consumers like what they see, companies will then supply products to make them look like the filter.
Gaming: 145% growth in consumer interest
This may be obvious—video games and board games are providing all types of people with a welcome escape in lockdown. The Nintendo Switch is flying off the shelves , and the company currently can't make enough game consoles to meet the demand. This is due in part to one of their new releases, Animal Crossing, which has drawn the attention of the masses from across the globe.
In fact, as many people turn to safe, at-home entertainment, the U.S, has spent $1.597 billion on gaming hardware— a blockbuster amount —since the great recession, when we spent over $1.8 billion on hardware.
Our enthusiasm for gaming has been reflected on the open web. We've seen a 145% increase in gaming page views on publisher sites.
There's a huge opportunity for people to connect through video games—it could be the sports' world next frontier, as eSports are currently outperforming their goals. Games that include world building scenarios, the ability to socialize and incorporate exercise will thrive post-pandemic.
Fitness and Health: 2,000,000% growth in consumer interest
Most of the health-related news cycle revolves around obesity in relation to coronavirus deaths, but also, educational content on how to not lose weight in lockdown. Searches for ' weight loss ' have steadily increased the more time we've spent in quarantine, and the more fitness and health apps we download. According to Statista, we downloaded over 2.6 million home workout, no equipment apps in March of this year.
Staying healthy sustainably, and while sedentary, is a challenge. But some companies are starting to figure it out. Blue Apron recently made a comeback as more and more people look to learn to cook healthy, and Peloton stock is up 4% in the last month.
We've seen a huge spike in searches related to weight loss since the global pandemic began.
Now stuck at home, we're now more aware of our fitness, which may build habits that stick around. With so many healthy food, fitness and exercise options available, there's an opportunity here for aggregation of the market.
Just like we saw streaming services aggregate to places like Roku and Apple TV, fitness and food aggregation will be next. Physical gyms might also thrive later, to meet the new demand.
I'm optimistic. Entrepreneurs, this is your moment
The news cycle is a direct reflection of what's grabbing consumer attention in real-time. Successful businesses will heed it's advice and use it to "look outside" in times of crises, but also how to "look inside" effectively to determine where to save costs and make responsible business choices.
There is not enough content that speaks about why the opportunity in all of this for existing companies, and new companies that will be born now and be with us forever. For the next Airbnb of healthcare, of fitness, of home improvement, look outside .
Methodology
Data analysis was sourced from aggregated readership data from more than 1,000 Taboola publisher partner websites in the U.S. and our Taboola Newsroom product, which analyzes more than 8 billion page views per month. Data for this piece was analyzed from readership associated with more than 16 million page total views related to the topics outlined in each section, from March 2020 through April 2020.
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Adam Singolda is the founder and CEO of Taboola.
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How Martha Stewart makes and spends her millions, from building her media empire to owning a 156-acre estate in New York
Martha Stewart was the first self-made female billionaire in America.Matt Winkelmeyer/Getty Images
Before she started a media empire, Martha Stewart worked as a stockbroker in New York City.
- In 1999, Stewart became the first self-made female billionaire in the United States.
"It was not until I left Wall Street that I discovered my true entrepreneurial bent. I loved ideas. I loved building. I loved creating," Stewart wrote in a post on her website . "I loved making things that would enhance everyday living. And I loved making money as a result."
In 1976, Stewart left her career as a stockbroker to start her own catering company from her kitchen. She went on to become one of the most famous celebrity chefs in the business, with thriving home decor and furniture lines, cookbooks, and a media empire.
It was not until I left Wall Street that I discovered my true entrepreneurial bent. I loved ideas. I loved building. I loved creating, Stewart wrote in a post on her website . I loved making things that would enhance everyday living. And I loved making money as a result.
Martha published her first book, "Entertaining," in 1982. It quickly became a smashing success.
In 1977, Stewart and her catering business were hired to make the food for a book-release event. At the event, Stewart was introduced to Alan Mirken, the head of Crown Publishing Group, a subsidiary of Random House, at the time. The two got to talking, and Mirken encouraged Stewart to write a cookbook that included the recipes she used for her catering events.
After "Entertaining" was published in 1982, it sold more than 625,000 copies , according to Entrepreneur. She has since published almost 100 cookbooks.
After Entertaining was published in 1982, it sold more than 625,000 copies , according to Entrepreneur. She has since published almost 100 cookbooks.
In 1997, Stewart borrowed $85 million to finance the acquisition of her magazine.
The first issue of Martha Stewart Living magazine was published in 1990 in partnership with Time Publishing Ventures.
Subscriptions to the magazine grew to over 2 million and, in 1991, Martha Stewart and Time launched Martha Stewart Living as a quarterly magazine. Soon, Time was publishing an issue of Martha Stewart Living every month.
Stewart saw the value in owning all of her brands outright as part of the media conglomerate Martha Stewart Living Omnimedia, which she founded in 1996 .
When Stewart's media company Martha Stewart Living Omnimedia went public in 1999, she became the first self-made female billionaire in the United States.
On the day her company, Martha Stewart Living Omnimedia, launched its initial public offering, stocks were priced at $18, but the stock tripled in value before closing. Stewart's 70% stake in the company was now worth more than a billion dollars.
Martha Stewart not only became an instant billionaire but America's first self-made female billionaire .
"Martha Stewart Living Omnimedia went public in 1999," she told People in 2020. "I was the first self-made female billionaire. I had opposition, and that kind of opposition to a woman-built business was really outrageous. Even my own lawyers were negative about the possibility of success. I remember one lawyer sending me an orchid, saying, 'Oh, you did it. Wow. What a surprise.' What a piece of garbage that guy is."
Oprah Winfrey, another lifestyle icon, became a billionaire just a few years after Stewart, in 2003.
Martha Stewart Living Omnimedia went public in 1999, she told People in 2020. I was the first self-made female billionaire. I had opposition, and that kind of opposition to a woman-built business was really outrageous. Even my own lawyers were negative about the possibility of success. I remember one lawyer sending me an orchid, saying, 'Oh, you did it. Wow. What a surprise.' What a piece of garbage that guy is.
In 2015, Stewart sold Martha Stewart Living Omnimedia, which includes her branded products and magazine, to Sequential Brands Group for $353 million.
After the sale, Stewart continued to receive a salary reported to be upwards of $6 million in 2017, according to the New York Post . Her salary included $406,941 for "non-business" travel, $114,620 for "utilities and telecommunication services," and $146,880 tied to "personal fitness, wellness, beauty, and wardrobe."
In 2019, Martha Stewart Living Omnimedia was sold for $215 million to Marquee Brands, according to Forbes .
After the sale, Stewart continued to receive a salary reported to be upwards of $6 million in 2017, according to the New York Post . Her salary included $406,941 for non-business travel, $114,620 for utilities and telecommunication services, and $146,880 tied to personal fitness, wellness, beauty, and wardrobe.
Martha Stewart lost her billionaire status in 2002 after the price of her company's stock dropped.
According to Forbes , Stewart's stock briefly went up after she was convicted of three felony charges in 2004 and spent five months in prison. She was also fined $30,000.
In 2004, Stewart was found guilty of one count of conspiracy, two counts of making false statements, and one count of obstruction of agency proceedings, and she spent five months in a minimum-security prison, followed by five months of home confinement.
The charges stemmed from an incident in December 2001: After receiving information that was not publicly available, she sold off her ImClone Systems shares a day before their value plunged, avoiding a loss of more than $45,000 , according to the US Securities and Exchange Commission. Prosecutors said she later lied about receiving the tip-off, according to an Associated Press report .
In 2017, she called the experience of prison a "very, very awful thing."
"It's not a good experience and it doesn't make you stronger. I was a strong person to start with and thank heavens I was. And I can still hold my head up high and know that I'm fine," she told Katie Couric.
However, Stewart's sentence had a surprising effect while she was serving her time — she even became a billionaire again. But she lost the title again when she was released.
In 2017, she called the experience of prison a very, very awful thing.
It's not a good experience and it doesn't make you stronger. I was a strong person to start with and thank heavens I was. And I can still hold my head up high and know that I'm fine, she told Katie Couric.
Over the years, Stewart has made a fortune from her many business ventures.
Stewart has her hand in a variety of industries, from a CBD gummy brand to a wine partnership with 19 Crimes and various home accessory, improvement, and furniture lines with department stores like Sears, Kmart, Home Depot, and more.
In 2021, Forbes reported that Stewart's brands pull in roughly $900 million in combined retail sales annually and her branded products can already be found in more than 70 million households.
Forbes also estimated that Stewart's kitchen-goods brand, Martha Stewart Kitchen, would bring in as much as $1 billion by 2025.
Stewart has also starred in popular television shows, from "The Martha Stewart Show" to "Martha & Snoop's Potluck Dinner Party."
According to the New York Post , Stewart was paid $1 million for the first season of "Martha & Snoop's Potluck Dinner Party."
According to the New York Post , Stewart was paid $1 million for the first season of Martha & Snoop's Potluck Dinner Party.
Stewart recently opened her own restaurant, The Bedford, at the Paris Hotel and Casino in Las Vegas.
The restaurant has been criticized for its high price tags — the roast chicken entrée costs a whopping $90 .
Reviews have also been mixed, with one New York Times reporter writing, "The Bedford is decent enough that it will probably make money for the Paris and Marquee Brands, but it's ho-hum enough that it just might dim Ms. Stewart's reputation for dazzling competence in everything she touches."
Reviews have also been mixed, with one New York Times reporter writing, The Bedford is decent enough that it will probably make money for the Paris and Marquee Brands, but it's ho-hum enough that it just might dim Ms. Stewart's reputation for dazzling competence in everything she touches.
Martha Stewart has a real-estate portfolio worth millions of dollars.
Stewart's primary residence is an extensive 156-acre farm in Bedford, New York, that she purchased for $15.2 million in 2000. The Westchester County town of Bedford is about an hour's drive north of Manhattan and is considered one of the richest communities in America .
There are seven houses in total on the property , with Stewart residing in a three-story home that she calls the "Winter House." In addition to Stewart's residence, there is a circa-1770 Colonial home called the "Summer House," a tenant cottage, a guest house, stables, tennis courts, and a swimming pool on the property.
Stewart is also known to summer at her 63-acre estate in Seal Harbor, Maine, which she calls her "favorite place," according to Architectural Digest .
Completed in 1925, the home was originally built for Edsel Ford of the Ford automotive family. It remained in the Ford family's ownership until Stewart purchased the property, which includes a grand 12-bedroom house, in 1997.
Stewart also owns two homes in New York City : one on Perry Street in the West Village and another on Fifth Avenue.
There are seven houses in total on the property , with Stewart residing in a three-story home that she calls the Winter House. In addition to Stewart's residence, there is a circa-1770 Colonial home called the Summer House, a tenant cottage, a guest house, stables, tennis courts, and a swimming pool on the property.
Stewart is also known to summer at her 63-acre estate in Seal Harbor, Maine, which she calls her favorite place, according to Architectural Digest .
Stewart and her then-husband bought their first house together for $80,750 in 1970. It sold decades later for $6.7 million.
The three-bedroom house was built in 1805 and featured two greenhouses, a carriage house for guests, a "party barn" with a sleeping loft, expansive gardens, and a heated outdoor swimming pool.
When the home hit the market in 2006, it listed at nearly $9 million, according to The New York Times . It eventually sold to a private buyer for $6.7 million , The Wall Street Journal reported in 2007.
The three-bedroom house was built in 1805 and featured two greenhouses, a carriage house for guests, a party barn with a sleeping loft, expansive gardens, and a heated outdoor swimming pool.
She sold her East Hamptons home on Lily Pond Lane for $16.5 million in 2021.
Stewart paid just $1.7 million for the one-acre property in 1991, following her divorce from Andrew Stewart.
Stewart raises peacocks, chickens, cows, geese, miniature donkeys, pigeons, and horses on her farm.
Horses are known to be expensive to raise, and the price of peacocks ranges from $40 to $300 each . Given that Stewart owned more than 20 peacocks on her farm before six were killed in July 2022, it can be assumed that Stewart paid a small fortune for all of her beloved animals.
Though she's no longer a billionaire, Martha Stewart continues to live a very luxurious life.
Stewart has shared photos of pasta dinners topped with caviar and luxe vacations in tropical locales , showing that she knows how to live it large.
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MIL-OSI Global: COVID-19’s housing crisis hit many Asians in the US hardest – but only after government aid began flowing
Source: The Conversation – USA – By Kusum Mundra, Associate Professor of Economics, Rutgers University – Newark
The pandemic put millions of people on the edge of eviction. AP Photo/Mary Altaffer
The Research Brief is a short take about interesting academic work.
The big idea
People of Asian descent living in the U.S. experienced an increase in housing vulnerability in 2021 – as measured by the share who said they had fallen behind on their rent or mortgage payments – even as the government spent over US$5 trillion trying to relieve the COVID-19 pandemic’s burden on Americans. Meanwhile, housing vulnerability among white people, Black people and Hispanic people all fell during this period.
These are the main findings of our recent working paper that examined housing vulnerability during the pandemic.
The massive upheaval sparked by the pandemic in early 2020 put millions out of work and made it harder for many people to afford basic necessities like rent amid government-imposed lockdowns. In December 2020, over 2 million homeowners were more than three months behind on their mortgage payment, and 8 million renters were behind on their rent, according to a March 2021 Consumer Finance Bureau report.
We wanted to better understand what was driving this degree of housing vulnerability, how that changed during the pandemic and across ethnic groups, and how it differed between renters and homeowners. To find out, we examined data from the Census Household Pulse Survey , which has sought to quickly measure the social and economic toll from the pandemic in frequent surveys, for three different periods: April/May 2020, April/May 2021 and April/May 2022.
We found that housing vulnerability was high for all groups in early 2020 as the first financial shock of the pandemic struck, though people of color and renters were especially hard hit.
Among homeowners, the overall share of people who said they were not caught up on their mortgage payments was elevated in 2020 but declined in 2021 as government aid helped relieve household hardships. An exception was for homeowners of Asian descent, who reported even higher levels of housing vulnerability in 2021 – and more than any other group. By 2022, housing vulnerability had come down for all groups.
The picture was much worse for renters. About 25% of Black renters reported being behind on rent in 2020, compared with 18% for Hispanic respondents and 9.5% for Asians. While the figure fell slightly in 2021 for Black people and Hispanics, the share soared for Asians to 17.1%. The figures stayed elevated in the double-digits for all groups except for white people in early 2022.
An additional econometric analysis we conducted, which adjusted the data for levels of education, income levels and other factors, confirmed our results.
Why it matters
Housing vulnerability is an important measure to look at because it signals someone may be at risk of losing their home, whether they’re an owner or a renter. In addition, research shows there’s a link between housing vulnerability and other negative health outcomes, such as higher stress levels and mental distress .
Our own research uncovered disparities in how different groups experienced this vulnerability during the pandemic, when the government was spending trillions to support families and businesses . It suggests some groups benefited more than others from these relief efforts.
What still isn’t known
Our study didn’t reveal why Asian housing vulnerability increased from 2020 to 2021 and why this group of people didn’t seem to benefit as much from the federal aid as other groups did.
An August 2020 McKinsey report suggested aid to Asian small businesses would likely lag behind other groups due to language barriers or a lack of understanding of the system. The same thing might be true for aid to households as well.
What’s next
In our future research, we plan to investigate what factors contributed to the rise in housing vulnerability among Asians relative to other groups. We believe it’s important for policymakers to examine these issues in hopes of making future aid programs more equitable.
The authors do not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.
– ref. COVID-19’s housing crisis hit many Asians in the US hardest – but only after government aid began flowing – https://theconversation.com/covid-19s-housing-crisis-hit-many-asians-in-the-us-hardest-but-only-after-government-aid-began-flowing-196191
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After the sale, Stewart continued to receive a salary reported to be upwards of $6 million in 2017, according to the New York Post. Her salary included $406,941 for "non-business" travel, $114,620 ...
The big idea. People of Asian descent living in the U.S. experienced an increase in housing vulnerability in 2021 - as measured by the share who said they had fallen behind on their rent or mortgage payments - even as the government spent over US$5 trillion trying to relieve the COVID-19 pandemic's burden on Americans. Meanwhile, housing ...