Welcome back. This is the sequel to my earlier blog article. If you have not read it yet, go here.
In this article, I want to share with you what I see – the 5 “Falls.” Please read this article with an open mind, and you are free to agree or disagree with the contents mentioned here. Enjoy.
- The Fall in GDP due to business closures in the Retail, and Hospitality Sector
As mentioned in my previous post, we will see the closures of many retailers, restaurants, cafes, F&B outlets, and hospitality businesses, etc. Walking into a shopping mall will not be the same as before anymore. Many retail brands that you used to go to buy your clothing, shoes, handbags, etc. before the pandemic may no longer be there anymore. Your favorite hangouts for food, drinks, KTV, Clubs, Bars, and hard liquors, etc. may no longer be there for you and your kakis.
- The Fall in Personal Productivity
We have been talking about working from home for decades but to no avail. However, this COVID-19 pandemic has “forced” many businesses to work from home abruptly. Many employees are still excited working from home now as it is something “new” to them, but I feel in the longer term, the personal productivity per capita will fall.
When you are working from home, you merge work and family into one. As such, you do not have any “break time” from your family unlike when you are working in the office. You will not have the “break time” to unwind yourself like going for a drink with your colleagues after your work at the office before heading home.
Also, your skeptical boss will want to set a GPS on you to track your movement and to see your face on the computer camera during the “office hour” at your home to ensure that you are working from home. This “invisible” force increases your mental and psychological stress.
Also, you are more likely to face distractions from your maid, your children, your spouse, your in-laws, etc. while working at home. Strong personal discipline and a work environment at home are needed and these may not be easily available in the home setting.
As a result, tension mounts, temper rises, and productivity suffer and fall.
- The Fall in Social Interactions
Because of the infectious state of this COVID-19 pandemic, it has caused all of us to be less sociable than before. No kisses, no hugs, and no handshakes between friends, colleagues, and loved ones. We are supposed to keep at least a meter apart from one another. Period.
Talking to a stranger outside of your family nucleus becomes a suspicious encounter. We do not share the same lift with our neighbors living in the same block anymore. We are not supposed to talk to anyone when taking public transport. The food delivery man will just press your doorbell and leave your food at your gates without allowing you to say thanks.
In other words, we are all suspects until proven to be positive with COVID-19.
- The Fall in Industrial and Commercial Prices
Going forward I see the sale and rental prices of industrial and commercial properties plummeting due to the increasing number of business closures and plummeting demand for such properties. A lot of industrial spaces will probably be given up due to manufacturing scale down, and supply chain disruptions, etc. Stock prices in these sectors shall suffer as I see it.
- The Fall in CO2 Emission
This is a piece of good news for the environment though. Researchers have recorded a 7% drop in CO2 emission in the atmosphere during the global lockdowns. Now, our planet has a chance to breathe easier during this period.
These are the 5 “Falls” that I see. I hope you have enjoyed reading it as much as I have enjoyed writing it. Take care and stay safe.
Founder & CEO, ALGOINSIGHTS PTE LTD