Surviving current Anti-globalization environment
As governments try to guide their countries through COVID-19 pandemic, dilemma remains for the businesses of selling products and managing supply chains on current environment of anti-globalization. The pandemic has forced world to new measures of globalization theft. The catastrophe and emergency public health response are creating great decline in international exchange in modern history. “According to World Trade Organization at this stage, roughly 13–32% in merchandise trade, 30–40% decline in foreign direct investment, 44–80% reduction in international airline passengers in 2020”(Altman, 2020). The forecast reveals major decline in globalization. As of April 2020, every country has restrictions on international travelling and half of world`s countries have completely closed their doors to foreign visitors. Therefore, 2020 will be a low point for globalization tactics. Some questions remain still for many businesses like, how long it will take? How fast will international exchange rebound? How future globalization will be different from past? What restrictions will still be there?
These questions are not possibly be answered soon, but here are some key points business leaders can focus on about future of globalization.
· Follow global public necessity pattern
· Know about supply chain policies
· Cope up with technological shifts
Follow global Public Necessity Pattern
As always, people play a very important role in how globalization will work because they are the people who ban or impose it. Recent poles suggest that people are not likely in favor of inviting foreign visitors or products to their countries to slow down the spread of coronavirus. But on the contrary, they are welcoming the investors who are eager to provide and develop their public health necessities. For example, according to Businesswire.com on April 03, 2020, Canada has imposed ban on non-essential travel and business from all countries, but 3M was readily welcome to supply N95 masks to Canada from China.
Know about Supply chain policies
These remains the top thing to debate on while discussing current globalization norms. Altman in his blog, “Will Covid-19 Have a Lasting Impacts on Globalization? “ raised a very important question that, Will Businesses and governments impose greater safety in international diversification, or will they put efforts in fostering domestic self- sufficiency? An economic idea supports the globalization, but the politics and health care response might include being domestically self-sufficient. Policies will again depend on what the business is all about. If it is about basic health necessities of people, it will not have any boundaries.
Cope up with technological shift
Covid-19 has overpowered e-commerce, video-meetings, and robots. Technology can completely bring decline in global flows. For example, Manufacturers keeping robots at domestic levels to avoid high labor charge. One must think out of the box to profit from the outrageous use of technologies these days internally and externally. Internally, think about how technology can blend into current business models and help the production and employee stress and “externally think about how it could potentially change company standing to its consumers, suppliers and competition” (Altman, 2020).
Source Cited
Altman, S. (2020, May 20). Will Covid-19 Have a Lasting Impacts on Globalization? Harvard Business Review. https://hbr.org/2020/05/will-covid-19-have-a-lasting-impact-on-globalization#_edn1
