Covid-19 has created a panic in everyone’s life. The normal lifestyle has experienced a serious transformation. In this nervy situation, the most affected is the business industry around the world. The well-settled businesses have also seen a major setback and experienced a downfall in their profit.
During the 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. But with the fear of experiencing downfall, the newcomers have moved a step back and are now re-thinking their idea of the startup.
Read at the below link to know about the impact of COVID 19 on startups:
The widespread uncertainty among investors, consumer hysteria, and the disruption of the supply chain caused due to the spread of coronavirus around the world have proven catastrophic in more ways than one. The second phase of the lockdown is likely to be undertaken which would further disrupt the daily business operations of the economy depleting the Indian startup ecosystem of India's gross domestic product (GDP) growth even further. To know more, read the article:
41% of startups globally are threatened in what we call the “red zone”: they have three months or less of cash runway left. A major reason for the drops in revenue comes from the effect of the crisis on industries those startups serve. To better understand the impact of the COVID-19 crisis on startups globally and equip governments with tools and actionable insights to support their innovation ecosystems, click here;
Amidst all these, entrepreneurs must focus on the long term and avoid COVID – 19 temptation. The pandemic and resulting recession really are unprecedented in scale. Hit by the Covid-19 slump followed by social distancing and a nationwide lockdown, businesses are experiencing major impacts no matter how established they are. Although the covid-19 crisis is unavoidable, the start-up should shift in the new normal business strategy its focus to the brighter side. Start-up focus should be on the available new opportunities.
Read the below links to know why start focus should be on the long term and not on the COVID – 19 temptation:
For entrepreneurs trying to plot a path for their company, this is the most challenging environment in living memory. One must be very careful about the wording you use when you talk about your business in the context of Covid-19. Some sectors have been given a significant boost; many have not. To know why entrepreneurs must focus on the long term, click here:
Companies would be wise to stick to long-term marketing strategies that work. Remaining consistent, and making small adaptations to long-term marketing strategy is no easy task. To know the three areas entrepreneurs should consider in their efforts to remain true to their brands and come out stronger on the other side of this crisis, click here:
It has become challenging for most businesses to keep their financial wheels turning during the lockdown period due to less revenue churn and the general uncertainty in the global financial environment. In order to extend the runway, businesses can even approach existing investors for additional funding. This is the time when understanding the gravity of the situation and turning it favorable for the business is all that matters to let it sail smoothly in these difficult times. To know what are a few tips to stay connected and afloat during the shutdown, click here:
India is not likely to remain decoupled from the global economic slowdown, and uncertainty is evident among VCs and startups on what the future holds post coronavirus. To know the tips for entrepreneurs during the Covid-19 crisis, read the article:
Post-COVID, there is going to be a wide pool of opportunities for entrepreneurs. Few sectors seem to be making the most of these recent turn of events. While for some of us it is a battle for survival, there are a few that seized this opportunity to make fortunes of this state. The change that COVID – 19 has brought in our lives, will last longer than we have even imagined. And these new habits will certainly demand comfort and resources. To fulfill those, startups can focus on entering the arena.
To know about the possible future opportunities for the startups to focus on, read:
Economies are uncertain for growth, widespread unemployment looms over us for the upcoming quarters, but not for the sectors and industries. For some of the sectors, the new normal would bring in newfound opportunities. A whole new market that was untouched before is now up for grabs. To know about the sectors which would be at an advantage for the business model they possess, read the article:
The insurance sector is now witnessing a slew of new players joining the fray, selling insurance primarily online, keeping costs and premiums low to disrupt the traditional model of buying and servicing the insurer. India is a goldmine for any investor. To know about five emerging startup opportunities in insurance in a post-COVID-19 world, click here:
The lockdown procedures imposed around the world have had a huge impact on small businesses across the United States, with many having already laid off a large number of employees by the time the government offered its relief package. The COVID-19 crisis presents severe challenges for all small businesses, which account for the majority of companies. To know what can help policymakers design and implement effective measures to support small businesses, click here:
We, at OpenGrowth, are continually looking for trending startups in the ecosystem. This was a blog on the impact of COVID – 19 on startups and future opportunities for the startups. If you want to know any further information about the startup ecosystem or have any mind-boggling ideas, do refer to the other blogs at OpenGrowth. If you have any suggestions, do let us know in the comment section below.
Contributor: Amrita Sinha
Amrita is in the field of media. She has a deep inclination towards writing and public speaking. She has the aim of removing the stereotypical mindset of society. She loves to read and photography is her passion.
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