The entrepreneur, almost by definition, lives with difficulty and faces numerous difficulties in his dealings. No one would expect, however, that a virus would be able to cause such devastating effects on the world economy (in addition to all the other fields of our life). Many companies closed, most had reduced revenues, but some also managed to benefit from this scenario. Now is the time to look to the future. What lessons does the pandemic bring to entrepreneurs that should be taken into the future of their business?
Certainly, the biggest change that the coronavirus crisis caused was an acceleration of the so-called digital transformation. We are in the Fourth Industrial Revolution, guided by technology, but many companies still resisted adopting digital resources and solutions, either due to lack of knowledge, lack of capital or even ignorance. Now, we see that the companies that best survived, and even prospered, in the midst of the pandemic were those adapted to the digital environment. Online retail giant Amazon posted its highest quarterly profit between April and June 2020, a gain of $ 5.2 billion for the quarter. In Brazil, Magazine Luiza and Via Varejo also saw sales soar, even with stores closed, and have been investing more and more in digital. Everything shows that businesses that do not work online, even if they have physical stores, are bound to be left behind in the search for customers.
As I said, no one would expect a crisis of this size to hit the whole world. Which leads us to reflect on crisis management and preparedness. First, entrepreneurs need to add to their mentality the need to prepare their businesses for the most diverse possible scenarios for the future. Many companies operate “on account”, with tight margins and no cash to sustain for a long time. This behavior can be deadly. It is essential to manage the company in such a way as to have the breath to withstand bad weather that appears, after all, moments of economic depression will always exist. What will differentiate successful and unsuccessful companies will be the ability to deal with unforeseen events. This ability is also reflected in the entrepreneur who prepares and trains. Studying your business, the market, competitors and the public even helps in predicting problems, allowing for contingency strategies.
Last but not least, the watchword for the post-pandemic entrepreneur: innovation. If that was already a requirement for success, now it becomes even more important. Competitiveness must increase, and only innovators who develop charming ways of solving the problems they pose will have the opportunity to progress. Remember: the public is increasingly demanding. Modern generations demand fast, captivating, personalized service. It is up to the entrepreneur to identify these demands and meet them.
The business world is changing a lot and rapidly due to the coronavirus pandemic. In this uncertain scenario, minimizing risks and preparing for the future is the duty of every company. For this, the manager must define the appropriate lines of action, with a view to a complete overview of the enterprise. Let us make the difficulty a learning experience.