Is COVID-19 a bridge between two different worlds and realities? The NEW NORMAL draws the idea that COVID-19 is not the beginning of the end, but the beginning of a new world with different core attributes.
Is COVID-19 a bridge between two different worlds and realities? Are we too concerned about the current situation that we are unable to see the future clearly? What is the NEW NORMAL?
The NEW NORMAL simply draws the idea that COVID-19 is not the beginning of the end, but it is the beginning of a new world with different core attributes than before. Post to every global crisis, many industries reach the bottom of the decline stage, yet many other industries reach their peak in the growth/maturity stage.
The aviation industry encountered a significant negative impact due to the pandemic. Airbus suspended the A320 production line in Tianjin China and reduced the production rate by 30%. Boeing considered approaching employees suggesting early retirement and mutual contract termination. The automotive industry was similarly affected — Hyundai Motors' production line in Wuhan covers almost 50% of their annual production.
The tourism industry holds a total of 10% of the world's GDP, and 50 million jobs across the world were under threat. However, the surprising result is that SMEs were less affected by the global pandemic. In fact, many countries provided outstanding support to SMEs. The European Commission announced a budget of €1 billion to support SMEs, and the United States Senate announced $60 billion.
According to McKinsey & Company, the fundamental cause of this support is that SMEs are highly dependent on local resources, especially when the global logistic network is under disruption. Hence aiding SMEs to survive is essential to protect the local economy from potential saturation.
Virtual and augmented realities could add $1.5 trillion to the world economy by 2030. Innovation, technology, and internet are the main sectors benefiting from the pandemic. TikTok recorded a 98% increase in downloads, social media utilization increased by 73%, gaming platforms recorded 256% increase in downloads, and online education platforms recorded traffic increases up to 1000%.
If you are wondering where to set your career or employ your investments according to the NEW NORMAL, the answer is simple: Innovation, programming, and technology. Markets are extremely competitive — focus your efforts on innovation to put yourself or your business under the "Monopolist" factor.
Lina Al-Wahaidi
