Coronavirus, Business, Tourism, and Language Solutions – What Can We Do?
The novel Coronavirus has a significant impact on China’s business and economy. “An interconnected global economy is feeling the strain of China’s viral outbreak,” as Bloomberg puts it. “And the potential $160 billion hit in lost growth that may be on the way.”
Every sector feels the blow of this outbreak. Whether it’s in B2B or B2C, the reality is that almost all businesses are connected to China. Tourism and hospitality sectors are experiencing a massive blow as several countries like the United States have already banned foreigners who have been to China within the past 14 days.
What are the latest updates about the Coronavirus?
As of this writing, here are the developing stories about the Coronavirus.
- The Huoshenshan temporary field hospital in Wuhan was completed in just 10 days
- First death outside China was reported in the Philippines, February 2, 2020
- 11 of the 17,000 cases of Coronavirus are in the United States
- Death toll rises to almost 500
- Confirmed cases have reached 24,324, with more than 3,000 in critical condition in Mainland China
- China markets slow down amidst the surge of Coronavirus cases
- Countries are imposing travel bans and closing their borders
- Coronavirus death toll surpasses SARS epidemic
Lian Weiliang, deputy chief of the National Development and Reform Commission, said, “We are fully confident in and capable of minimizing the epidemic’s impact on the economy, at a news conference in Beijing.
What are the effects of the virus outbreak in China’s business and economy?
Chinese stocks have plunged by almost 9% at the start of the trade on Monday, Deutsche Welle, reported. In conjunction with Chinese New Year, which is supposedly one of the busiest days of the year, tourism and hospitality sectors felt the effects as travel bans in other countries were already imposed.
People’s Bank of China poured $173 billion into its economy on Monday just so it can maintain “reasonable and adequate liquidity” of its banking system. This move is to ensure that there’s ample liquidity supply as the market is experiencing the outbreak prevention.
No one really knows until when this outbreak will cool-off. But there are already reported cases where a patient found in Japan was already cured. This also included the other patient identified as Chen, who was previously discharged from a hospital in Shanghai.
Business trips are canceled, and companies, both overseas and in the Mainland, were also advised to take preventive measures to protect employees’ health and welfare.
But amidst this epidemic, according to Alan Li, a portfolio manager at Atta Capital, “Tencent is the best choice for a market rebound.” Li said that Tencent’s online game and other entertainment businesses are benefitting from the current situation.
The sectors that were hard-hit by this virus outbreak are air travel, casinos and property, and retail-based on Hong Kong stocks that were traded after the Lunar New Year holiday.
What are the short-term solutions for businesses?
For companies operating in Mainland China, these are the things they did to curb the outbreak. Companies such as Alibaba and Tencent asked their staff to work from home as there are also extended holidays after the Lunar New Year.
It’s business as usual for Minnesota companies in China, where they are finding ways to remain operational.
Meanwhile, other companies go for phone calls, and video conference calls to connect with their Chinese counterparts and employees. For overseas companies that have canceled business trips, they opt for phone interpretation.
If you want to maximize your virtual operations amidst the virus outbreak this season, you can always contact LIMPID to arrange phone interpretation for you in Mandarin or Cantonese.