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    Is Bain'S New Crown Pneumonia Trapped In China'S Economy? "

    2020/2/20 11:00:00 158

    New CrownPneumoniaEconomy

    The outbreak of new coronavirus pneumonia has affected the retail industry of China and the whole world to varying degrees. During this period, a number of well-known investment institutions and consulting companies in China and overseas have issued reports in a series of views on the impact of the epidemic on the development of China's economy and industries, and put forward relevant suggestions.
    ?
    Does the new crown pneumonia trapped by the bain company of American management consulting firm trap the Chinese economy? According to the report, looking back at past epidemics or natural disasters, the retail market generally experiences three stages: impact, recovery and stabilization.
    ?
    In order to better analyze and discuss the impact of the epidemic on consumer behavior and preferences, Bain divides the retail scene into 9 categories: fresh food, leisure food, Party festivals, mother and child care, personal care, family cleaning, health protection, clothing, clothing, electronics and electrical appliances.
    ?
    Bain found that the demand patterns and changes in different scenarios after the end of the epidemic are different. They can be broadly divided into three categories:
    ?
    Rapid stabilisation: in the epidemic situation, there was a blowout in need of panic, but after the outbreak, it quickly recovered smoothly, and was suitable for daily consumption situations, such as fresh food, maternal and child care, and so on.
    ?
    Short term hoarding: in the outbreak of the outbreak, panic buying has resulted in a large number of stockpiling, resulting in low consumption frequency and low demand after the end of the epidemic. It is suitable for daily demand but with hoarding consumption scenarios, such as health protection and family cleanliness.
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    Rebound / retaliation consumption: demand is seriously affected by the epidemic, and after the end of the epidemic, demand is released, and rebounded or even vengeful consumption is applied to non rigid consumer scenarios, such as personal care, Party festivals, clothing and clothing.
    ?
    Bain pointed out that changes in consumer behavior and preferences will further affect the competition pattern in the consumer market. The industry concentration will accelerate, and the Matthew effect may become more apparent. The sustainability of SMEs will face greater challenges. At the same time, the competitiveness of modern channels will be more significant, and the extrusion of traditional operators will become more intense.
    ?
    Bain suggested that retail businesses could cope with the impact of the new crown pneumonia outbreak by focusing on one thing in the short term, strengthening two things in the medium term and enhancing three things in the long term.
    ?
    One thing in the short term: win trust from customers and employees.
    ?
    Two medium-term events: adjust the annual budget, enhance the retention of old customers and new customers.
    ?
    Three things in the long run: meeting the needs of all channels, strengthening supply chain construction, finding potential cooperation or merger opportunities.
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