How the business world is changing due to COVID-19

Companies across Canada are switching production to manufacture medical supplies to support healthcare services stretched by the COVID-19 epidemic

The coronavirus pandemic is not only a health crisis but it has also impacted the global economy, resulting in mass layoffs, panic-buying, and increased online shopping.

Companies that are able to adjust to these changes will keep their employees working and contribute to the fight against COVID-19, says Simon Fraser University professor Rajiv Kozhikode.

Kozhikode, an associate professor at SFU’s Beedie School of Business, says businesses that step up their social commitment now will benefit in the future, as social responsibility is a form of corporate political activity.

“Business can expect a bailout in the future if their good behavior now gets them in the red in the future,” he says. “But if they neglect society now, they still might end up in the red, but without any respite from the government.”

Many businesses are repurposing their production facilities to produce much-needed healthcare supplies in response to the federal government’s request.

Breweries are making alcohol-based hand sanitizer, clothing companies are sewing face masks and auto parts manufacturers are producing ventilators. The federal government recently signed a deal with Amazon Canada to manage the distribution of medical equipment. Hotels and convention centres are being converted into makeshift hospitals.

Read the full story on SFU News.