CORONA AND ECONOMY
The rapid spread of the coronavirus disease has sparked an alarm for the upcoming economic collapse.
The ultrarapidly spreading pandemic has locked us within four walls. What's even worse is the threatning disease is still left uncurable. The economy is hard hit as the circular flow of money has been stopped to large extent in past months.
Stats show that 53% of buisnesses have specified a certain percent of shut-down as an impact of COVID-19 while various buisnesses like hotels and restaurants,airlines, theatres are on a complete shut-down.
The most devasting damage comes from the local small scale buisnesses that served a large population their
bread and butter.
By april 24, the unemployment rate in India increased to 19% & total unemployment to 26% within a month!
A rough figure of around 14 crore depicts total unemployed population in India.
A KEEN OBSERVATION
The question arises- "Has the country's economy completely collapsed?" The answer is NO!
We are still getting our regular supply of water, food electricity and other daily requirements. The economy is actually stuck. Still there are a few buisnesses that do work in every situation.
The IMF projects India's Growth rate 1.9%(GDP) as of 2020. No wonder that Government has taken vigorous steps to boost GDP. The package of 20 lakh crores is a captivating one. However, one cannot promise it to prosper at ground level.
The real issue lies in identifying the thrust domail to invest. Analysing the risk and acting accordingly can be a good option.To be precise, it is the only option we are left with. The construction department is hard hit so it will be better if we use our pre-made infrastructure wisely & efficiently.
E-COMMERCE : A Powerful Weapon
Internet is easily available throughout the country. Apart from entertainment, it is a major contributor to economic flow. There is no doubt that ability to sell online has made many buisnesses viable and profitable.
It has a huge market that is even available overseas. Investing in online buisness can be a good option as
it has various advantages like-
1. One need not to travel to desired place to iniciate the buisness process. (the stated point is most efective in times of corone as people won't come in contact with each other.)
2. It saves loads of time as transfer of money is possible within a fraction of second.
3.The market demand can be quickly studied through streamlined logistics.
4. The seller and the consumer are backed with high security through tracking and data encryption.
5. Cost Effective: Such a facility that require less man power is affordable at lower costs because capital is only required once to set up and effectively maintained at low costs.
E- commerce should be promoted but only if it circulates flow of money in the country itself, and help bring money through foreign exchange to India. The misfortune is we have all major e commerce companies of foreign origin.
Essentially, we are in extreme need of "Made In India" phase.
It can be a small scale buisness also. This will help Agro based and other small scale industried to flourish.
It will provide employment to ground level. when extended to the world level, it will counter balance the flow of money to foreign countries. Hence, it will lift Rupee in the world market and certainly help in lifting GDP.
-Brought to you by Scoobynel.
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