CORONAVIRUS
Guess the celestial forces are not working in favour of China. Death toll exceeds 900, thousands of people already infected and with the whole of economy hit hard, China is really having a bad time. Any other financial, economical or political problem would be easier becuase they would still have a strong and committed workforce to develop solutions. But here, the power of human resource is itself dwindling.
On 31st december, 2019, Wuhan, a city in China reported several cases of pneumonia to WHO. Later it was confirmed that there was an outbreak of Coronavirus, a virus that usually spreads among animals. It spread out like wildfire forcing the government to order for a complete shutdown.
Let's now get into detail on the economic part.
SECTORS AFFECTED:
1. Mask industry - Whether you plan for a heist or protect yourself from virus, the first thing you do is to cover your face. These surgical mask companies are the gods, heroes or whatever you call. The demand is soo high that even the auto, energy and other industries are using their technology to produce these masks.
2. Export - China is the world's largest exporter of goods. With all offices and factories shut down, all the importing countries now feel a pinch.
3. Tourism - I dont think you need an explanation. Why would someone even think of planning a trip to China? Wait. It's not just that. Thailand and few other countries are the top destinations for Chinese tourists. Now, they stand to lose millions.
4. Stock market - Good news = bull market, bad news = bear market.
5.Airline industry - They are already in survival mode. Added to this is the cancellation of flights to and from Wuhan which reduced their revenues significantly.
Long story cut short, every single industry is affected. Only the degree of impact varies.
Drastic time calls for drastic measures.
The WHO has published a report titled 'Strategic preparedness and response plan' on 3rd feb. According to that report, the infected were isolated and given special care. Steps were taken to prevent or reduce all forms of contact between humans. China has partnered with various other agencies and networks to prevent further damage and to develop a vaccine.
It's been weeks and the number of deaths are on rise. Unfortunately, all we can do is wait and watch how China deals with it.
Meanwhile, if you like reading newsbytes, do share and SUBSCRIBE :)
On 31st december, 2019, Wuhan, a city in China reported several cases of pneumonia to WHO. Later it was confirmed that there was an outbreak of Coronavirus, a virus that usually spreads among animals. It spread out like wildfire forcing the government to order for a complete shutdown.
Let's now get into detail on the economic part.
SECTORS AFFECTED:
1. Mask industry - Whether you plan for a heist or protect yourself from virus, the first thing you do is to cover your face. These surgical mask companies are the gods, heroes or whatever you call. The demand is soo high that even the auto, energy and other industries are using their technology to produce these masks.
2. Export - China is the world's largest exporter of goods. With all offices and factories shut down, all the importing countries now feel a pinch.
3. Tourism - I dont think you need an explanation. Why would someone even think of planning a trip to China? Wait. It's not just that. Thailand and few other countries are the top destinations for Chinese tourists. Now, they stand to lose millions.
4. Stock market - Good news = bull market, bad news = bear market.
5.Airline industry - They are already in survival mode. Added to this is the cancellation of flights to and from Wuhan which reduced their revenues significantly.
Long story cut short, every single industry is affected. Only the degree of impact varies.
Drastic time calls for drastic measures.
The WHO has published a report titled 'Strategic preparedness and response plan' on 3rd feb. According to that report, the infected were isolated and given special care. Steps were taken to prevent or reduce all forms of contact between humans. China has partnered with various other agencies and networks to prevent further damage and to develop a vaccine.
It's been weeks and the number of deaths are on rise. Unfortunately, all we can do is wait and watch how China deals with it.
Meanwhile, if you like reading newsbytes, do share and SUBSCRIBE :)
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