Doing Business in Time of Recession – EgyptToday

Doing Business in Time of Recession – EgyptToday

CAIRO - 4 February 2021: A crisis or a change in the business ecosystem can alter how an enterprise functions and can even terminate industries giving rise to others. The COVID-19 pandemic hit hard various industries, businesses of different sizes, and developing countries in specific. Given that adaption is key to survival, the following article highlights aspects to consider while adjusting, and takeaways of the behavior of firms one year through the crisis.

 

Expert Perspective

 

BP Endowed Chair and Associate Professor of Marketing at the American University in Cairo (AUC) Hamed Shamma tells Business Today Egypt, "during times of recession, some businesses face difficulties and others face opportunities. It is really up to each business whether they want to treat the difficulties as threats that cannot be addressed, or turn them into opportunities. For every threat there is an opportunity. Consumers will always have needs. Their needs change at different points in time. This is the case with recession."

 

With regard to difficulties a business encounters in time of recession, Shamma explains they include "declining sales, inadequate cash to pay salaries, increased costs, customers default, reputation crisis, and overall business