Post by Vicky Ayech Post by Mike
As and When Covid-19 has been dealt with, we are likely to have many
businesses who are in financial problems and possibly shutting down. The
future needs of the global market is unlikely to disappear as we all
continue to need feeding, housing, transporting, entertaining, governing,
policing, caring for etc.... those services will still be needed just as
before. I wonder if businesses and services etc. will be rekindled from the
ashes, there will be debts but probably no way to pay them off in a short
time so; long term low interest financing is the most probable scenario in
my opinion - perhaps if ‘Phoenix business’ isn’t the solution, are there
likely to be masses of people starting new enterprises - possibly ‘taking
over’ existing but now defunct businesses?
I don't think the world was in a good place before the virus.
Governments were pouring a lot of money into various firms and the
economy but that was a debt that would have to be paid. We needed a
reset. Perhaps this is it.
One inevitable impact of the lockdown will, in my view, a demonstration
that retail which drove the economy from Thatcher till now is "dead".
In the 80s onward the economy was no longer powered by heavy industry -
coal, steel, car manufacturing (although that made a come back), heavy
rail manufacturing, oil rig building and so on. Instead retail powered
the economy and it was this - with building out of town retail parks,
huge supermarkets and many shopping centres has killed off the smaller
traditional retailer. Those large shops contributed huge amounts of
rates to councils and rent to landowners. "Going shopping" seemed (but
probably not in umra) to be an obsession. Alongside this was eating out
- be it humble McDs through to the many many upmarket Michelin
Moving from 6 day a week opening to 7 was pursued to extend the retail
reach and the money it generated.
Will people want to go to shops having found they can manage with
deliveries and only buying what they want? Will the food areas see many
I want some new sandals but frankly can probably order something online
that will do the job - why bother to catch the train to somewhere and
get tired legs when it can be delivered?
I am not sure that the politicians in pushing for all day Sunday opening
have even given this a thought.
Nor have the rioters obviously.
Kosmo Richard W