The global economy is in tatters over the past few months due to the severe impact of the COVID 19 pandemic that has acquired catastrophic proportions. Recovery will be an arduous journey that will require serious collaboration between public and private sectors, believes Beth Ann Debouvre. Strange it might sound but true that most countries have been shut down for months, there is no sign of bringing the virus under control across the globe, although some countries are doing better than others as we are still in the COVID 19 response phase. However, there is enough reason to believe that the innovation economy heralded by the startups that have contributed immensely to growth across the world will once again serve as the supply chain to the new economy in a posy COVID 19 world.
Founders of startups put everything on the line to have a chance to serve the world by building something that is useful and innovative and helps to improve the world. The downturn has put the leaders’ creativity, and scrappiness to test, and those who survive and come out of the crisis by garnering more strength and self-belief will lead the recovery into the new economy.
Beth Debouvre explains why startups are key
The crisis has shown a need for creative and fast-adapting businesses, and startups are the most adaptable businesses both in the pre-COVID and post-COVID situations. Startups with the given traits must be ready to seize the moments as done by other successful enterprises during the previous crises. Whether the new founders are young adults, adults, or youth, they must have the time and the zeal to grow their business. In addition to funding and time, they would need entrepreneurial skills such as creativity, problem-solving, dealing with uncertainty, opportunity recognition, emotional intelligence, as well as sustainability skills.
The pace of growth is the differentiator
Why startups will play a major role in the economic recovery will become clear from some figures. As per figures available from the World Economic Forum, in 2019, the global startup economy’s value was 2.8 billion dollars, with a growth rate three to four times more than the rest of other economies. This clearly shows the importance of startups being the flag bearers of the economic revival post-COVID 19. Given their small size and fast growth, startups and SMEs have bee providing long-lasting employment and good jobs.
Startups have the innate ability to identify opportunities amid crisis as proved time and again, and it will not beany different this time. The COVID 19 will also have its share of opportunities that startups must be ready to avail and prove their worth by helping the economy to turn around and put it in the upward trajectory for which we have been waiting for months. All will depend on their ability to adapt to the new normal after COVID19 and the industry segment to which they belong. With work from home being the way forward, tech startups that have been used to it since long seem to have a distinct advantage to fulfill their global dreams.