Business 2020

In no way should the world stop, despite adversity we must move on. When I started this blog I remember the lyrics of the song Resistiré, which has been used to give strength, through the pandemic of COVID-19, in Spain, Mexico and in other Spanish-speaking countries, which says:

«I will resist, to continue living,

I will take the blows and I will never give up

And even if my dreams are broken into pieces”

And this is how we continue and will continue walking through this life.  Despite the dramatic numbers that this crisis presents, we are beginning to live. Example is the forecast of 40% of businesses, more than 88 thousand businesses, in Mexico City that will no longer open their doors after the pandemic, leaving more than 1 million people unemployed.

However, as the song I transcribed above says, we must resist, bear these blows, even if our dreams are broken. We must reinvent ourselves, Andrés Oppenheimer already said in his 2015 book: “create or die”: A recommendation to work on this mission is to analyze what businesses would be profitable in this year 2020, whether the COVID-19 had existed or now of the pandemic. And today more than ever it becomes more palpable that we are facing a world that, regardless of the industry you dedicate yourself to, must come accompanied by digitization.

Let’s look at the SARS pandemic from 2002 to 2004 as an example, which catalyzed the exponential growth of a then-small e-commerce company called Alibaba and helped establish the forefront of retail in Asia. This growth was fueled by anxiety about travel and human contact, like what we see today with Covid-19. Another example of how innovation is required to create businesses this year that are sure to be exponential, are Airbnb and Uber, which, after the 2008 financial crisis, skyrocketing in popularity as high-risk crises meant lower savings and income for the masses , forced people to share assets in the form of free rooms and car trips to cover the deficit.

COVID-19 begins to see early signs of a change in consumer and business behavior to create successful businesses this year and in the years to come. These changes include remote work, low airline seat occupancy, disrupted supply chains, a lack of ibuprofen, and mass toilet paper. Some of these changes are short-term responses to COVID-19, others will continue to shape companies for decades to come.

Pandemics like recessions are accelerators of innovation, rather than direct causes of it. These startups and / or trends already existed but gained popularity at a faster rate thanks to a certain crisis event. With this analysis we present in Puente Negocios, three macro innovations that we can expect as “profitable ideas” to do successful business 2020:

  1. Merging supply chains in resilient ecosystems. This would require the creation of global platforms using sophisticated technologies like 5G, robotics, IoT, and blockchain to help link multiple buyers with multiple suppliers reliably through a «mesh» of supply chains. This will also have an impact on the adoption of autonomous cars and delivery drones, as the demand for e-commerce logistics will far exceed the number of drivers required to meet them.
  2. Digital bureaucracies will become the mainstream. As governments learn from the Covid-19 experience, investment will shift in favor of smart cities, as having them would be critical to better manage the next catastrophic event.
  3. Other innovations are virtual or augmented reality, technological tourism, Big Data, 3D printing, more scientific research, healthy food apps at home, home businesses (example, a home laundry, which picks up and delivers washed and ironed clothes in a matter of hours), home aesthetics, electronic commerce, digital sale of pet products at home.

Undoubtedly, the next decade brings us a world in which technologies will define life. There will be companies, entrepreneurs and scientists who will contribute discoveries in the digital environment that we cannot even imagine. Yours will be the next ten years. They will bring, insurance, machine learning, 5G, 6G, robots, blockchain, autonomous cars. Hopefully you live interesting times, you go to investigate and do business with countries that are already advanced in these fields. Other dawns will come with much lighter and Puente Negocios plans to help you in this process.

By: @GamboaSofia