Businesses desperate to survive the harsh economic times brought on by the coronavirus pandemic have come up with various measures that range from the ingenious to the downright mortifying. And it is understandable. Globally, the virus is driving companies into early graves. Only the strongest and smartest firms will survive this economic maelstrom occasioned by Covid-19, which has infected nearly 2.5 million people worldwide, with 281 cases in Kenya as of yesterday. Pay cuts and layoffs Businesses with nearly zero chances of diversifying their revenue streams and with thin balance sheets have frantically gone for the scissors to restructure their operations. Some of the businesses, including those in the hospitality, horticulture, aviation and media industries, have ruthlessly instituted deep pay cuts and massively chopped their workforces to stay afloat. Although others, like hotels and travel agencies that have been directly affected by the coronavirus pandemic, are yet to file for bankruptcy, nearly all of them have bolted their doors to stop the accumulation of overhead expenses, such as labour costs and electricity. They have sent their employees on unpaid leave. Shifting from the core business Extraordinary times call for extraordinary measures, so some businesses have backtracked from their long-held values to venture into new frontiers to snap up opportunities that the pandemic has presented. With consumers increasingly getting uptight as their sources of income dry up, some businesses have crafted inventive ways of extracting an extra dime from broke Kenyans. They have unveiled new products that resonate with the new reality of the stay-at-home order by the government. If your firm sells food, confectionery, detergent or face masks, the outlook is good. Riding on technology for home delivery With people being asked to stay at home, the new normal is home delivery. It is not just supermarkets and e-commerce companies that have gone into home deliveries; so have beverage companies such as East Africa Breweries Ltd. Many tech companies around the world are also seeing surging demand for their services. Safaricom, for instance, has experienced a surge in the data business as more people work from home. E-commerce companies such as Jumia have also seen an uptick in their operations, partnering with various restaurants to deliver food to those at home. Almost every other firm has attempted to do business virtually. They have endeavoured to deliver products to a customer’s doorstep even as others, such as banks, have drummed […]
How firms are surviving the pounding corona tide
Businesses desperate to survive the harsh economic times brought on by the coronavirus pandemic have come up with various measures that range from the ingenious to the downright mortifying. And it is understandable. Globally, the virus is driving companies into early graves. Only the strongest and smartest firms will survive this economic maelstrom occasioned by Covid-19, which has infected nearly 2.5 million people worldwide, with 281 cases in Kenya as of yesterday. Pay cuts and layoffs Businesses with nearly zero chances of diversifying their revenue streams and with thin balance sheets have frantically gone for the scissors to restructure their operations. Some of the businesses, including those in the hospitality, horticulture, aviation and media industries, have ruthlessly instituted deep pay cuts and massively chopped their workforces to stay afloat. Although others, like hotels and travel agencies that have been directly affected by the coronavirus pandemic, are yet to file for bankruptcy, nearly all of them have bolted their doors to stop the accumulation of overhead expenses, such as labour costs and electricity. They have sent their employees on unpaid leave. Shifting from the core business Extraordinary times call for extraordinary measures, so some businesses have backtracked from their long-held values to venture into new frontiers to snap up opportunities that the pandemic has presented. With consumers increasingly getting uptight as their sources of income dry up, some businesses have crafted inventive ways of extracting an extra dime from broke Kenyans. They have unveiled new products that resonate with the new reality of the stay-at-home order by the government. If your firm sells food, confectionery, detergent or face masks, the outlook is good. Riding on technology for home delivery With people being asked to stay at home, the new normal is home delivery. It is not just supermarkets and e-commerce companies that have gone into home deliveries; so have beverage companies such as East Africa Breweries Ltd. Many tech companies around the world are also seeing surging demand for their services. Safaricom, for instance, has experienced a surge in the data business as more people work from home. E-commerce companies such as Jumia have also seen an uptick in their operations, partnering with various restaurants to deliver food to those at home.
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Almost every other firm has attempted to do business virtually. They have endeavoured […]
