Adapting and Thriving in the Time of COVID-19
The COVID-19 crisis was not easy for anyone, but was its impact purely negative, as many believe, or was it also positive? Let's ask the question differently - was COVID-19 a curse or a blessing? It may seem confusing, as it is natural to view the COVID-19 crisis pessimistically, as the world has seen the terrifying effects of it. However, looking closely, we can find many positive aspects that the world, communities, and individuals have gained from this crisis. Despite the high death toll, fear, panic, bankruptcy, and economic decline, we can now see the increased health awareness among individuals and communities, the scientific breakthroughs that occurred in a short period, and the growing economies of general and private sectors as a result of adapting and evolving with the crisis.
Everyone is suffering, and everyone is complaining. The most significant impact of the COVID-19 crisis is not in the health crisis but in the economic situations that individuals and communities have suffered since the beginning of the problem and the implementation of preventive measures. However, looking back at past crises, we find that adaptation and technological innovation were the only way out.
Indeed, adapting to the COVID-19 crisis by communities and individuals was a very positive step in confronting the pandemic, reducing gatherings, imposing curfews, obliging citizens to wear masks, and spreading health awareness campaigns against the pandemic.
Just as preventive measures positively impacted communities and individuals' health, they hurt the economies of many public and private institutions. Due to curfews and citizens being forced to stay at home for extended periods - as was the case in most countries around the world - all commercial activities and profit-making institutions, small, medium, and large, were at risk of bankruptcy.
During this period, adapting to the crisis was not a choice but a necessity for anyone who wanted to survive. It was not an exaggeration that the fate of many companies was to declare bankruptcy due to their inability to adapt to the crisis. Among the large companies that declared bankruptcy due to the COVID-19 crisis were:
- Crew, the American clothing company
J. Crew, the American clothing company, used to achieve annual sales of around $2.5 billion before the COVID-19 crisis. However, like most companies, when the pandemic hit and J. Crew was forced to close all of its stores to prevent the spread of the virus, sales significantly decreased, leading to a buildup of debt and, ultimately, bankruptcy.
Gold's Gym
Gold's Gym, the popular fitness center chain, was also unable to avoid bankruptcy due to the government-mandated closures around the world to mitigate the spread of the virus.
Brooks Brothers Company
Similarly, Brooks Brothers, the American clothing company with an estimated 250 stores, could not adapt to the mass closures imposed by the US government, leading to the closure of 20% of the company's total stores. On August 17, 2020, the company was sold for $325 million to Simon Property Group and Authentic Brands.
On the contrary, many companies could put professional strategies in place that secured their competitive position in the market and brought about considerable breakthroughs in their income by developing marketing and sales systems, taking advantage of the COVID-19 crisis. Among the most prominent of these companies:
Microsoft Company
Microsoft was able to leverage the technological advancements of the COVID-19 crisis to double and maximize its profits, thanks to the surge in the use of the company's applications and products. The most important of these products were the Teams platform, which many users relied on to conduct remote interviews and meetings, the Azure platform, and the Xbox Live gaming service.
Tesla Company
During the crisis, Tesla broke into the automotive industry, surpassing all its competitors and achieving sales estimated at $108.4 billion. This was due to the company's adaptation to market needs and the rapidly evolving technology in the automotive market, which Tesla rightfully and undisputedly leads.
T-Mobile Company
T-Mobile, the American wireless telecommunications company, benefited from the complete closure period imposed by the US government, which made people more reliant on their phones for communication. This made T-Mobile the third largest company in the US telecommunications market, after AT&T and Verizon.
This was a simple clarification of the position of major global companies in the COVID-19 crisis, as well as an explanation of the companies that relied on adaptation and technological development to combat the crisis. When looking at the state of small businesses, we find that those who relied on modern technology to market their products and services and resorted to online sales were able to survive and benefit from the COVID-19 crisis.
The problem lies in need for more conviction of small business owners in what technology and digital reliance can do to strengthen their economic centers. They see it as a waste of time and money. When you ask one of them about the state of their business, you find them complaining about market conditions and low sales but deliberately ignoring the critical role they should play in adapting to that period and revitalizing their business activity.
Bankruptcy is inevitable for any business activity that does not adapt to the surrounding conditions and circumstances; sooner or later, it is a fact. If you want continuity for your move and the success of your ideas, you must adapt to the current conditions by relying on technological development.
It is worth mentioning the important conditions of the COVID-19 crisis for many young people and investors with creative ideas for business projects that rely entirely on technology and technological development. Those projects were wholly built on a digital basis without the need for a physical office for business activity, which clearly indicates how business activities will look in the future. The best examples of those activities are:
- Hudson Valley Seed Company: An American company specializing in providing garden and orchard services, Hudson Valley Seed's appearance was based on the massive demand for gardening services, as people wanted to plant fruit trees and vegetables in their gardens to avoid mixing and crowding in grocery stores.
- Tokki: Tokki had a previous presence before the COVID-19 crisis, where the company specialized in gift wrapping. The company's activity was redirected, and all its inventory was turned from fabric to mask manufacturing. Tokki has witnessed an incredible surge in demand since its move to mask manufacturing. In addition, 20,000 stores in the e-commerce market are selling masks now, which shows the extent of demand for that product. Tokki's business adaptation was the best example of adaptation and development with the surrounding conditions.
- Red Star Yeast Company: Specializing in bread making, the company witnessed a massive increase in pre-orders for all its communication channels, like never before, due to the increased demand for bread, flour, yeast, and subsidiary products used in making baked goods at home. This was due to people staying at home during curfew periods and spending their time making sweets and baked goods. This was a global reaction.
Thinking about the global COVID-19 crisis from a different perspective and considering the reasons for adaptation and technological development are the concrete solutions to overcoming the crisis's impact on individual economies. Think positively and be more realistic. The world is adapting and adjusting to the current situation, and everyone is now relying on technological development and digital solutions to develop themselves and their activities. Technological development is not limited to the commercial side only, but it includes all aspects of our lives now, in education, health, food, clothing, and even travel and transportation. The matter is comprehensive and deserves to be considered.
By reaching this point in the article, and if we have succeeded in convincing you that the COVID-19 crisis is not a curse at all, but an opportunity that must be exploited, we must notify you that Alalmiya Alhura Company is your technological partner for developing your business activity. Through Alalmiya Alhura, you will be able to adapt to the crisis's conditions and create your business activity through the professional technological solutions we offer, including:
- Designing and developing online stores.
- Designing and developing mobile applications.
- Designing and developing websites.
- Corporate systems.
- Website hosting.
Book your seat at the summit by relying on Alalmiya Alhura Company to take successful steps towards adapting and technological development for your ideas and business activity, and always remember that COVID-19 does not necessarily have to be a crisis for everyone. However, it is an excellent opportunity for those who harness and seize it.
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