As the scarring of the Covid-19 outbreak is being experienced globally it is clear it is going to take some time for things to revert back to any sense of normalcy.
Whether it is Rolls Royce laying off 9000 workers as the airline industry is in a state of shock with lanes grounded in their thousands, resulting in orders for engines being cancelled or deferred, or large well established stores like Wendy’s being given a 46% likelihood of bankruptcy, recession is in the air.
Small shops in the millions globally that have been starved of cash flow for months, unable to pay their rent. Shops seeing occasional bursts of sales as people stockpile rather than attempting to shop regularly are having an impact on the way the supply chain functions. Orders from farms and producers are affected and commerce having to rethink their strategies going forward look to culminate to something drastic in the coming quarters of 2020.
Luxury goods have been hit particularly badly with the chairman and chief executive of LVMH Moët Hennessy – Louis Vuitton SE, LVMH, the world’s largest luxury-goods company Bernard Arnault losing a considerable percentage of his overall wealth. The largest possible loss of any other billionaire out there.Which illustrate how people are changing their perception andtheir purchasing habits post covid-19.
Companies are folding at their fastest rate in over 300 years, a trend likely to continue as different links within the various companies industries and sectors take their toll. These unprecedented level of changes are in turn forcing the hands of commerce and industry that will result in a great recession.
Oil is attempting a rebound in prices where a few weeks ago it was in severe distress. However the small bounce in price increases is very welcome to OPEC producers and those economies having to survive on this resource, but where they need to be is completely different from where they are presently, They are bracing themselves for the worst to come.
Individuals have seen the changes impact their daily lives, forcing them to make decisions about food, transportation, communication, and even personal habits. Those changes are the kind of events that culminate in little communities to towns, cities, countries, continents and eventually the world. Even though lt is largely unseen, there is an ominous outlook that people instinctively know is not going to good.