The Cost of Coronavirus
Most people recognize the affect the coronavirus is having on the travel industry. However, much of American business is being significantly affected.
Dr. Audrey Guskey, associate professor of marketing at Duquesne University and a consumer trends expert, says the coronavirus is majorly impacting the availability of consumer goods.
"The Severe Acute Respiratory Synodrome (SARS) outbreak of 2002 and 2003 had a huge economic impact estimated at $56 billion," says Guskey. "The effect of the coronavirus has already surpassed this and is an even bigger threat to global supply chains."
Some of the impacts the consumer market has already seen:
- Worldwide Apple iPhone supply will be temporarily constrained.
- Nike has shut half of its stores in China.
- Amazon is already preparing for issues it may face for its Prime Day which is set for mid-July.
- 4/5 American companies with operations in China do not have sufficient staff to run full production lines.
- Under Armor expects to lose $50 million or more in sales.
- Coca-Cola is experiencing shortages due to tighter supplies of artificial sweeteners.
Additionally, one National Economic Council director predicted the fallout can shave .2% off the U.S. economic growth in the first quarter. Estimates are that if it becomes a pandemic, then there could be $1 trillion lost by businesses globally.
Dr. Guskey is available for media interviews regarding this subject.
Media Contact: Emily Stock 412.396.1317 / 412.277.9273 (cell)
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