The New Rules of the Post-COVID World are Changing the Business Formula
The following is adapted from Reboot: Your COVID-19 Quick-Start Guide to Life, Work, and Hope by MK Kim.
Throughout the pandemic, even the smartest and most passionate minds — intellectuals, CEOs, and leading authorities in their respective fields — weren’t certain what the future held for the business world.
At first, as I stressed over keeping my company afloat, this frustrated me. I thought, With all their accomplishments, why can’t they answer the question that we’ve all been asking ourselves for months now?
Then it dawned on me. The reason that the brightest minds still can’t find the answers is that business formulas are constantly changing. And in the post-pandemic world, the new formulas are extremely complicated.
The Old Formula is Obsolete
In the past, it was clear what people liked, what attracted customers, generated profits, and would grow businesses. You could absolutely make a living by using the same formula that’s been around for decades, such as a brick-and-mortar retail store or in-person service, touching it up with just a little innovation.
But the coronavirus killed the old formula and replaced it with a new one. New rules, such as non-contact and digital-first structures turned everyone’s perspective upside down. This shift has impacted everyone, and it has taken business owners by surprise. The bigger the industry, the more likely people are to expect formulas to stay the same.
It might work out that way if just one out of numerous industries were affected, but the coronavirus has affected countless industries, including travel, restaurants, entertainment, and retail, not to mention big shopping malls and small businesses. It is pushing all those industries to the crossroads of life and death. Everybody is on their own to find a way to survive.
Business owners with more vested interests find it harder to squarely confront the situation. They cringe and step back because they are afraid to part with the sure thing — the proven money-making foundation, formula, and habit. The fear prevents them from exploring new formulas or even accepting that new formulas are needed, but it will be necessary to do so in order to survive.
The New Business Formula
Now that COVID has changed the rules, what is the new business formula?
First, we need to recognize that many of the changes that we believed to be temporary are going to be permanent. Future-oriented businesses are the ones that will succeed. Old-formula businesses that don’t adapt won’t be able to keep up.
For example, the eighth school district in Gangnam and the college-prep private academies in Daechi-dong have long dominated in the Korean school space. But with the shift to online classes becoming the new normal, their position has been disrupted. With online classes, why would parents pay to send their children to expensive private academies and live in costly apartments in Gangnam?
They wouldn’t, and similar disruptions can be seen across industries. What makes the new formulas complicated is that they’re still evolving, and the changes make an impact across industries. For example, in the long term, if parents stop enrolling their children in the Gangnam school system, this trend will depress the real estate market in Gangnam as well. Another factor contributing to relocation is the change happening in the way people work — at home rather than in an office.
Where to live and how to raise our children are important questions that will impact our future. These questions and many others will shape the business formula as the economy adjusts to the post-COVID world.
Keep Up with the Evolving Formula
The evolving formulas require businesses to keep up with changing norms and new technology, and nobody is left untouched. Everyone, even those who aren’t in charge of huge businesses, need to understand the new context. That means designing a new approach based on the changes that you predict will happen at least one to two years from now.
That said, there is no need for us to be frightened and intimidated even before we have a good idea of what is looming in the future. We have all already overcome countless difficulties while making a living. Each time we have hit a bump, we have kept moving on nevertheless, while learning, changing, sustaining, and even growing.
It is a challenge worth taking up, even though it is nerve wracking and burdensome. The formula may be changing, but in those changes lies opportunity.
For more advice on rebooting your life in the wake of change, you can find Reboot: Your COVID-19 Quick-Start Guide to Life, Work, and Hope on Amazon.
Today, MK Kim creates and uploads videos on her YouTube channel, Kim Mi-kyung TV; helps people grow their dreams as the dean of the online college MKYU; and runs the Growmom Foundation, dedicated to empowering single moms. Her other books include One Word That Saved Me, Mom’s Lesson on Self-esteem, Kim Mi-kyung’s Dream On, A Sister’s Poignant Advice, and A Wife with Dreams Doesn’t Grow Old.
