The COVID-19’s impact will still be observed for several months
Majority of UK companies to run out of cash in less than 3 months. Source: pixabay.com
Luke Gowland, an analyst from GlobalData, revealed that 6 out of 10 UK companies have no more than 3 months of cash left.
According to the statement, the majority of the retailers must come forward with their digital strategies of running a business. Due to the fact that quarantined customers are increasingly turning to e-commerce, retailers with no transactional website online presence have been impacted the hardest during the lockdown.
For instance, Primark has no transactional website meaning it has no way to make up for the $650 million net sales per month. This way, the retailer is expected to lose it from the closed stores. Retail businesses may also suffer in the long-term if the current use of e-commerce becomes a trend.
The analyst also unveiled that one of the areas that stand relatively untouched by tech is the last-mile delivery process. Such e-commerce giants like Alibaba and Amazon have significantly invested in last-mile automation.
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