by Aahana Khemani and Ayanna Puri
The infamous Corona Virus that originated from China, has taken away thousands of lives, has snatched away many jobs, and is now disturbing the market to a whole other level. Why? Are there any possible solutions? Let’s analyse the facts.
As publicly known, almost every country is on lockdown and so things cannot be imported or exported. This means that goods cannot be delivered and sold. Say somebody is selling stationary, their products are made in China. Because of the lockdown they cannot get it imported, thus they have nothing to sell. This means, no profit. This way, companies’ values will go down by the day and everyone will pay less, so just like this, the country’s economy will go down. This is why Covid 19 is having such a terrible effect on the market.
Then of course companies need to pay their employees which is another huge expense considering no profit is being made. To top the cake with icing companies also need to pay the rent of their office (if they’ve rented it) and pay electricity bills. This is a tremendous loss for companies because no profit is being made but there are expenses.
Along with this, people are not allowed to go out, which will be a major letdown for many business owners and employers. This is because many businesses are more physical than online, meaning that one would have to go out, which we can currently not do. Some examples of these types of jobs include malls, and markets, maids, and chefs. These people are not able to do their job as their jobs require a certain amount of exposure to the public, which once again is not there. This will lead in a downfall in profits for these people, and intake a downfall in the market all together.
Corona Virus has such a major effect on the market, unfortunately there is not a lot that we can do. The only thing we can do is take care of ourselves and our community by being hygienic and a few other things. We must stay inside our house, no matter the repercussions, we have to stay safe and that’s the bottom line.
Corona Virus has had a very unpleasant effect on the market and it will continue to do so as long as the virus is unleashed. If we just maintain personal hygiene and do not contact other people physically, markets have a chance to sustain. Of course, with doctors doing their part as well. Hopefully, this pandemic is over soon, however, if not, there will be an even greater negative effect on the market. So for now, all we can really do is stay home, stay safe, and hope for the best.