Businesses, too, are eager to boost productivity and demand. Consumer companies may feel these needs more acutely than most, as two reports published
This week, we returned to the overarching story of the pandemic: the twin imperatives of saving lives and livelihoods. Our latest research builds on reports we published in April and May 2020, and on recent academic findings that the stringency of national lockdowns is not well correlated with changes in GDP. In our new report, we find that successful control of the virus is the key to unlocking the economy, by restoring the confidence consumers need to reengage in economic activity. In countries that have successfully controlled the coronavirus (“near zero” countries), economic activity (in the form of discretionary mobility) has returned to normal; in those that have not it is still about 40 percent lower than before the pandemic.
It seems that controlling the virus can get countries back to where they were at the start of the year. But where do we go from there? A companion report outlines the future of economic growth in the United States, by looking back at what worked well in the years after the 2008–09 recession. Federal, state, and local governments can take a range of actions to both improve productivity and stimulate demand. Among the most powerful is investment in inclusive growth and unlocking the maximum productive potential of all people in communities. For example, achieving gender equality could add $4 trillion to the US economy, and closing the Black–white wealth gap could add a further $1.5 trillion.
Businesses, too, are eager to boost productivity and demand. Consumer companies may feel these needs more acutely than most, as two reports published this week demonstrate. McKinsey experts outlined the five bold moves that consumer companies should make to adapt their organizations to the exigencies of the crisis. Another requirement is to meet the next-normal consumer. Seemingly every consumer behavior has been altered by the crisis; companies need to adapt to big changes in how people get their information, what and where they buy, and how they experience shopping.
Click Here to download this 51 page pdf market report by Mckinsey. This lates report by Mckinsey looks at restoring manufacturing activity today and tommorrow.
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