Economics 5 Report: Analyzing Coronavirus Impact on World Economy

This report examines the profound economic consequences of the coronavirus outbreak, which originated in Wuhan, China, in December 2019. The study investigates the virus's impact on various sectors, including manufacturing, services, and global trade, highlighting the significant slowdown in China's economy and its ripple effects on countries with close economic ties. The research addresses the decline in consumer spending, affecting retail, restaurants, and aviation, and the disruption of global supply chains. It identifies the need for a communication strategy to mitigate the spread of the virus and its economic repercussions. The methodology involves secondary data analysis and a qualitative research design to understand the virus's effects and propose precautionary measures. The report concludes that the virus has led to a global economic impact, emphasizing the importance of communication strategies to address the pandemic's effects.

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Contents
Background of the study..................................................................................................................2
Purpose of the study.........................................................................................................................2
Research problem............................................................................................................................3
Research objectives.........................................................................................................................4
Research methodology.....................................................................................................................4
Research process outline..................................................................................................................5
Summary of recommendation..........................................................................................................6
References........................................................................................................................................7

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Background of the study
Presently, the outbreak of virus has become one of major threats to global economy as well as
the financial markets. The new coronavirus has arisen in Chinese city of Wuhan in December
2019. This virus has affected over than 110,000 persons in at least 110 nations as well as lands
across world as per the World Health Organization (Lee, 2020). The eruption has led main
organizations as well as banks to cut their predictions for worldwide economy.
In the research, this has been found that the virus has directly impacted the different industries
which include manufacturing industry, service industry, the decline in the prices of oil and many
others. The slowdown in the manufacturing industry of China has hurt different countries with
close economics alignment to china with the other countries like Vietnam, Singapore, and South
Korea. This leads to a decline in the world economy due to the emergence of the virus which is
spreading with contact. Also, virus eruption in China has hit the nation’s service industry as it
has brought the decline in the consumer spending which means it has hurt retail stores,
restaurants as well as the aviation among the others. The virus has affects the new corporate from
overseas as the clients held back from putting the orders that amid worldwide doubt in economy
(Jones, 2020). The virus has affected the activities across the world and this discount in the
worldwide financial action has brought decline in the demand of the oil. China, epicentre of virus
eruption is considered as world’s largest crude trader of oil.
Purpose of the study
The purpose of the research will be to identify how coronavirus will affect the world economy
and this also shows that there is need of the communication campaign about the precaution to

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safeguard from the effect of the virus (Cuervo‐Cazurra, Mudambi, Pedersen and Piscitello,
2017). The study will be conducted with the motive to understand how badly the virus has
affected the world economy and its related consequences. This communication campaign will
help in saving the maximum spread of the virus across the different areas of the world and
coming up with the solution.
Research problem
The research problem is that China is considered as one of the major exporters of the products in
the global economy. In the research, this is witnessed that china makes up a third of the
manufacturing worldwide and it is world’s major exporter of products. The spread of the virus in
the chain and other areas of the world have affected the world economy (Lee, 2020). The fear of
this virus has affected the people as they are selected to evade the actions that might depiction
them to the danger of contamination which includes going out at spending, theatre for
entertainment and many others.
In the study, this is clear that China is the place where majority of established cases are
witnessed which include even over than 80,000 infections that have been stated in mainland till
the time (Lee, 2020). Even to consider this outbreak of the virus, the authorities of chain locked
down cities, restricted all the actions of the millions, as well as the postponed commercial
processes, move that will bring decline in world’s second-largest economy and it will drag down
world’s economy. Along with this, the spread of the virus has affected this much that global
trade is highly influenced across the world. The outbreak of the virus has affected the businesses
to the most in china due to which the operations of china are badly affected. This effect is

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witnessed on the world economy as the slowdown in manufacturing; service industry has
affected the decline in consumer spending and many others.
Research objectives
The objectives of this research are given below: -
 To understand how coronavirus will affect the world economy.
 To comprehend the negative outcomes of coronavirus across the world in terms of
business.
 To form the communication strategy that includes the recommendation for taking
precautions that safeguard from this virus.
Research methodology
The research methodology is considered as particular procedure or techniques that are majorly
used with the motive to determine, select, process as well as to analyse the information that is
linked with the topic (Kan and Gero, 2017). The methodology section will allow the reader to
critically analyse the study’s overall validity as well as reliability for the research that talks about
how it affects the overall world economy.
The research design and method will contribute to forming the communication strategy for how
coronavirus will affect the world economy. In the research, the data collection method is
considered as one of the feasible ways through which further research becomes possible. There
are generally two different methods that can be used by the researcher which include primary
and secondary tool. The researcher will make use of the secondary data collection method which
is vital for collecting details from the different sources like online website, news and other

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articles (Kumar, 2019). For this research, the researcher will conduct the literature review that
helps them in analysing the views and opinions of the different authors, news articles, and
research about the coronavirus and its related effect on the world economy. The investigator will
be able to conduct the in-depth analysis that will help in findings out the ways that can prevent
the people from this virus.
Research design is an essential element of the methodology that is required to be selected by the
researcher. Generally, there are Qualitative, Quantitative and mixed research design, out of
which the researcher will select on the design for researching how coronavirus will affect the
world economy and its communication among the market. For this research, researcher will
select the qualitative research design which will be helpful for how coronavirus will affect the
world economy (Quinlan, Babin, Carr and Griffin, 2019). The analysis of data that has been
collected will be done with the help of the content analysis method. For this research, the
researcher will make use of the summative content analysis with the motive to get the authentic
details.
Research process outline
The research process consists of the entire process that the researcher follow when it comes to
the identifying, locating, assessing, as well as analysing the information that is required to assist
with the research questions related to how coronavirus will affect the world economy. The entire
process that will be followed for this research is selecting the research area, the formation of the
research questions, conducting the literature review, selection of the data collection methods,
analysis of data, concluding the dissertation, completing the entire research (Silverman, 2016).
All these steps will be followed by the researcher for completing the objectives of this research.

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Summary of recommendation
In the end, this is summarised that the concerned topic of research that is how coronavirus will
affect the world economy. This is summarised that the virus leads to an impact on the global
economy because the trade and manufacturing are stopped as more and more cases are witnessed
(Walliman, 2017). The recommendation has been found to apply the communication strategy
which is essential to communicate about the preventions of this virus and its impact on people.

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References
Cuervo‐Cazurra, A., Mudambi, R., Pedersen, T. and Piscitello, L. (2017) Research methodology
in global strategy research. Global Strategy Journal, 7(3), pp.233-240.
Jones, L. (2020) Coronavirus: Eight charts on how it has shaken economies [Online]. Available
from: https://www.bbc.com/news/business-51706225 [Accessed on 15th March 2020]
Kan, J.W. and Gero, J.S. (2017) Quantitative methods for studying design protocols. Dordrecht,
The Netherlands: Springer, pp. 1-137.
Kumar, R. (2019) Research methodology: A step-by-step guide for beginners. Sage Publications
Limited, pp.1-350
Lee, Y.N. (2020) 6 charts show the coronavirus impact on the global economy and markets so
far [Online]. Available from: https://www.cnbc.com/2020/03/12/coronavirus-impact-on-global-
economy-financial-markets-in-6-charts.html [Accessed on 15th March 2020]
Quinlan, C., Babin, B., Carr, J. and Griffin, M. (2019) Business research methods. South
Western Cengage, pp. 1-243.
Silverman, D. ed. (2016) Qualitative research. US: Sage, pp. 1-453.
Walliman, N. (2017) Research methods: The basics. New York: Routledge, p. 1-183.