COVID-19 is a global pandemic. The root cause of this pandemic is still uncertain. It has just created a fear among the minds of every individual living their life with a hope for the black shadow of this virus to fade away soon. In my view,coronavirus has both positive as well as negative impacts.
Its negative impacts could be that it has affected all of either physically or mentally. Likewise, due to the prevailing lockdown, daily wage earners are struggling to even fulfil their basic requirements, as well as some of them, have to travel on their feet to reach hospitals for covid tests. Moreover, numerous development works have been stopped and the worldwide economy has also been suffering.
On the contrary, positive effects due to the rapid death rate and fewer operations of numerous industries could be the improvement in the air quality. In short, when we fail to take care of our mother earth by not being able to control pollution, nature itself is taking actions and healing. The next positive effect of coronavirus can be that it establishes a good habit of washing our hands now and then although we have learnt this habit in our early ages but still were lazy enough to imply this habit in our daily life regularly. Moreover, this pandemic has also made us realize how valuable our life is and also has made us realize the importance of our family and time. Most importantly it has also taught us to be grateful for whatever we have rather than focusing on what we lack.
Many business sectors have been affected and some of them are described below:
Tourism sector: Due to the restrictions imposed by the government on the international flights, it has affected the tourism sector of Nepal due to the absence of tourists. Likewise, the “Visit Nepal 2020” project has also been affected as the promotional activities was suspended.
Manufacturing and Construction sectors: Both these sectors have been experiencing a shortage of raw materials, labor and entire manpower. Due to the pandemic all the labors have shifted to their permanent resident. And due to the lack of shortage of raw materials all the development project, construction has been stopped.
Hotels and restaurants: The coronavirus resulted in the lockdown in Nepal due to which people are confined within homes resulting in the decline of the revenue generation by those hotels and restaurants leading them towards developing a thought for shutting down.
Festival organizing group: Due to the fear of coronavirus we could see that this year there is a decrease in activities and cancellation of organized celebrations that used to be held every year. This year in comparison to past festivals of colours, Holi seemed to be celebrated by very few. Likewise, only a few puja’s were done rather than celebrating in a crowd one of the famous Jatras of Nepal i.e. BisketJatra. Along with it festivals such as Pacchare, GodheJatra, RatoMachendranathJatra were also not celebrated joyfully.
Local businesses: Due to the outbreak of coronavirus businesses have not been able to operate such as a shop of electronics, gold etc. Likewise, small businesses such as pathao, food delivery services, wine production areas have not been allowed to operate currently due to this lockdown. Moreover, daily wage earners are also struggling to fulfil even their basic needs. One of its examples could be the people that used to ride Rickshaws in the Basantapur area on a daily basis to fulfil their basic needs, as well as the people who sell vegetables and other stuff on road, are also suffering due to this lockdown.
Despite all these sectors, few sectors have been benefited through this lockdown such as medical stores and hospitals have been earning through the numbers of patients and different kinds of tests. Likewise, the shops or the marts selling basic ingredients also are given the permissions to open for a specific period in a day by following social distancing. Hence, they also earn some amount of money through sales. In a Nutshell, all our business sectors have been affected little or more and it will all take the required time to revive.
Global oil demand has dropped. It had created the shortage of inventories. As a result, the unemployment rate is starting to increase. Recently in America 10 million people filed for unemployment benefits. Likewise, due to the outbreak of coronavirus, different small businesses started up by numerous talented entrepreneurs are shutting down quickly as they are not being able to generate even operating costs for the businesses to survive.
Moreover, it is also because of the lockdown which has been prevailing in most of the countries as well as because of the fear of covid 19 people themselves seem to be less interested in coming out of their houses. Neither the people have been able to visit their production sites to check their items nor have they been able to provide employment opportunities to the jobless people as most of them are thinking about firing the currently employed people. Moreover, Coronavirus has also created a fear in the minds of people to gather in crowded places and to again fly through airlines due to which the tourism sectors of the whole world is devastated leading towards the decline in the number of operating hotels and restaurants most of which have been established by reflecting the country’s culture.
Hence, all the service and business sectors have been affected by Coronavirus causing the downfall of our worldwide economy. Hence, in the future, if the situation becomes worse then it will result for most of the businesses to shut down permanently while some of the businesses might be a survivor through the implications of new technologies and business ideas.
- Nabin Kumar Mahato
Kathmandu University School of Management (KUSOM)