SQ - 5 Stocks That Will Emerge Stronger From the Great Redundancy Crisis
As the global economy tries to mount a recovery from the adverse effects created by the coronavirus pandemic, now might be a good time to take a moment to consider the "great redundancy crisis." That's the phrase I'm using to describe the COVID-19 partial lockdown and the subsequent economic damage it has caused.
Hindsight, as they say, is 20/20. While we've known for several years now that times are changing, the pandemic has exposed that some parts of this economy were definitely operating on borrowed time. This crisis has shown that the world has an excess of real estate, services based on in-person interaction, big retailers offering little differentiation, needless commuting, and so on. In its aftermath, it's becoming more and more clear that some parts of the economy will need to completely evolve if they are to survive.
Few consumers or businesses can ever be truly prepared for a shutdown like the one the world is trying to manage, but some sectors of the economy (like travel, for example) will eventually rebound. Others, though, will need to rebuild a more lean, efficient, and profitable future that cuts out redundant spending and plans for digital-first operations.