In today’s scenario during Covid-19 pandemic, a small startup has more capability to withstand the current condition because of being lean and nimble compared with the bigger giants. Also, it doesn’t have much to lose compared to the bigger giants.
So, if you have been thinking to get into the start-up world, this might be the perfect time to jump in.
The Covid-19 damage
It’s been just some time since the coronavirus pandemic has spread across the world which got started in Wuhan, China. However, the economic shock can be felt by innumerable businesses across the world.
Big brands such as Apple, Microsoft, and GE are preparing themselves for loss in sales due to closed shops.
Consumers are not only staying at home but also are cutting their personal expenses. Stock markets are going through a lot of fluctuations. In short, buying the latest model of the iPhone is not a priority anymore.
Many big companies have already seen their stock price falling down. A lot of them will be losing on their quarterly earnings and this would take time to recover.
Many start-ups are also affected by the same factors especially the ones who have their manufacturing bases in countries such as China. But when it comes to surviving the recession due to the pandemic, being small is always an advantage.
Lean and nimble
Let’s consider the case of Nike: They produce around billion units of shoes every year which accounts for around 60 per cent of its overall revenue. If their main product unit gets