This pandemic has a directly transformative effect – “new normal” – things after the pandemic are going to be far from normal.
3 fundamental transformations that occurred:
1. Market consumption transformation
Consumers spend less & they look for safer ways to enjoy the market. This gives rise to digital consumption and digitised economies to an unprecedented level.
2. Business operation transformation
Businesses had to explore new ways of running a business such as remote working. Globalisation has been effectively put on hold and resulted in many companies’ supply chain to be completely replanned, giving rise to automation, localisation and decentralisation.
3. Capital flow transformation
Capital flow has been stunted as investors’ confidence has been shaken and decrease foreign direct investments. Thus, overall venture capital financing and startup financing fell during these times.
What is clear is that these changes are likely to be more permanent structural changes in the way we live, work, and consume in the future. So, what does this mean for entrepreneurs?
We have to remember that all entrepreneurs are problem solvers. So now more than ever, entrepreneurs have the lead role in developing pressing and creative solutions. In times of crisis, entrepreneurs fulfilled the most important roles in providing goods and services with their creative business ways. So, there are 3 core steps that define successful entrepreneurship post-pandemic:
1. Focus on the survivability of their startups
Ensure you build an effective runway to align with the market realities of today.
2. Re-examine their markets and their business’s fit into the market
Customer’s disposition might change and what once a value proposition offered by their business, is no longer considered valuable due to the change in the landscape.
3. Entrepreneurs can survive and rediscover the new market realities and conceptualise new value propositions
Currently, more organisations have operating models that were built fora market landscape that no longer exists. Entrepreneurs need to invest, develop new resources and secure new partners to build these new core capabilities.
Future entrepreneurs need to gain a competitive advantage in the aftermath of the crisis so that their businesses are relevant to the new economic and social reality.