Impact of COVID-19 on Small Businesses: A Literature Review

Research

Table of Contents
INTRODUCTION...........................................................................................................................3
Literature review..............................................................................................................................3
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
The coronavirus disease of 2019 (COVID-19) has wreaked havoc on the economy. We focus on
three questions in this paper as we investigate the impact of COVID-19 on the local business
landscape. First, how did business owners respond to the COVID-19-related economic
breakdowns is discussed. Second, how long did businesses anticipate the crisis lasting, and how
did this influence their behaviour is explained. At last, what impact might alternative policy
proposals have on company and job security is proposed.
Literature review
Small businesses employed half of private sector workers in relation to financial crisis. Through
this growth of business exists which is based over long term underemployment and economic
harm making temporary closer done of an business. This made awareness assist businessman and
decision making over developing treatment for protecting firms within short term ad ensures tat
participation within restoration put more resourceful foundation over years ahead. The pandemic
brought various challenges for small business. Further there are two million organization which
are small in nature and are related with construction and fabrication over fewer business
reporting negative impact over pandemic with less finance resiliency (Liamputtong, 2020). As
long COVID 19 has been persisting over generating risk the industries are facing renovation for
example determinately sensitive economy should develop focus over longer bounds and better
adaptability leaving economy vulnerable for future. This has extended due to COVID 19
effecting each sector over likelihood impacting organization closing differences. Small
organizations are known for hurdles like restaurant and hotels over serving impact. Also the
pandemic has impacted various perspectives like educational, healthcare, and welfare that is an
important part of countries growth. Also COVID 19 made physical contact less making small
organization suffer while conducting there functions.(Sugimoto, and Larivière, 2018). We estimate
that without effective treatments, around a portion to about 40% of small companies with fewer
than 20 workers could be exposed to indefinitely closing in the first 4 years of the COVID-19
crisis, comparison to less than 5% of firms with 100 to 499 staff members, based on previous
times of recession when these firms taken into account for the large majority of perpetual
closures. Even when they do not close indefinitely as a whole, those larger companies may
reduce their employment rates or close several more locations. Employers are small businesses.

Project BMM3103
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Table of Contents
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................4
CONCLUSION................................................................................................................................8
REFLECTIOLN..............................................................................................................................8
REFERENCES..............................................................................................................................10
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INTRODUCTION
In recent times, the pandemic has affected on global economy. Almost every nation is
fighting with this situation and taking relevant measures to minimise impact on pandemic on
their economic growth. There are various types and size of businesses which operate in a country
such as small, medium, micro, large, etc. They all contribute in GDP and economic growth of
nation. Besides that, they all provide variety of products and services to people to fulfil their
needs. But due to lock down the business are not able to operate. Those who were having online
presence offered products via website (Bartik, and Stanton, 2020). Along with it, in many nation
small business owners faced a huge challenge to survive in market. even after opening of market
still it is found that many small businesses are not able to survive. They are shut down due to
huge loss incurred.
It is analysed that there are various factors which resulted in closure of small business. for
example – due to lack of demand of products the face huge loss, also, there was issue related to
logistics as well. There was lack of logistics resources to supply goods in the market. Here, in
agricultural business they face challenge due to raw material shortage. Thus, they were not able
to produce products. There are different types of resources which is required for business to grow
and develop. The resources are HR, physical, financial and organisational. During pandemic
there was lack of all these resources. There was imbalance in resources and this led to critical
consequences of it. In such time of crisis, it is important for SME to focus on their survival rather
than expansion. They all were kept reserve in order to execute it next phase of growth.
The project is related to investigate affect of covid 19 on small business and what
consequences it can have in the future on their growth. for that research is conducted and
secondary data is gathered (Beland, Fakorede, and Mikola, 2020).
Project aims and objectives
Aim – To analyse the impact of covid 19 on small businesses.
Objectives
 To evaluate impact of covid 19 on small business
 To identify factors other than covid 19 for shut down of business
 To recommend strategy how small business can minimise impact of covid 19
Project question
 What is impact of covid 19 on small businesses?
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