THE global death toll for Covid-19 has soared past 80,000. Dismally, the outbreak did not just kill people, but it has also killed businesses.
In battling the impact of the prolonged outbreak, businesses across countries and industries are adjusting to the new normal.
From the roadside hawkers to the C-suite executives, everyone is doing everything they could to stay afloat within the pandemic ruthless wave.
Figuratively, companies are changing their horses mid-race or changing their tracks to adapt, because failing to respond fast enough could result in great losses.
Put succinctly, in the face of a global pandemic, business model innovation is unavoidable. At its simplest, business model is the way a person or a company creates, delivers and captures value.
Business model innovation has gone blindingly obvious when many companies are flocking into the healthcare industry to respond to the swell in demand that far exceeded supply.
In several instances, LVMH in Paris repurposed its factory from producing perfume to making hand sanitizer.
New Balance, a giant footwear brand, is now manufacturing protective masks.
Collaborating with 3M and GE, Ford Automaker is supplying respirators and ventilators.
Well-known retailers like Prada, Zara (Inditex) and H&M are joining the bandwagon to produce personal protective equipment.
Arguably, the reasons behind these shifts could be multifaceted: changing the product line to keep operations going, turning threats into opportunities, diversifying customer segments, scoring competitive advantage, boosting reputation, cutting cost, to name a few.
In Malaysia, since the Movement Control Order (MCO) came into effect, businesses had vigorously turned to digital technology and venture into the online marketplace, e-commerce store and drop-shipping.
Off-the-shelf-products are now digitized, with face masks and sanitizer as the new promotional bait.
The pandemic is reshaping the way businesses are operating, forcibly pushing the conventional ones beyond their comfort zones.
As proof, traditional kuih stalls are now take teaming with delivery riders; Pasar Pagi are now taking order over the phone; the neighbourhood grocery stores are now doing promotions online.
With the start of Ramadan month just around the corner, Malaysians could already envisage a whole new experience for the most awaited annual bazaar with e-bazaars or drive-through bazaars as a possibility.
The uncommon is now mainstream.
In parallel, a whimsically unique tradition in fish markets known as Pasar Bisik up north in Penang and Kedah are also experiencing a hefty reversal.
Literally translated into ‘the whispering market’, Pasar Bisik allows bidders to offer their price and fishmongers to auction their seafood only by whispering.
However, the peculiar custom is now abolished. What once used to be a quiet market for the past 60 years, is now bustling with bidders’ voices and fishmongers’ chants.
Amid these transfiguration, not all business has the luxury to pivot their business models overnight. Consider this, how could a barber, a beautician, a manicurist or a masseur attend to their customers when social distancing is strictly imposed?
Withal, for the risk-averse businesses especially the small ones, changing its business model may put their livelihood at stake, risking their ability to make ends meet.
Standing at the crossroads, their old business model is failing and at the same time, they are unable to whip into a new shape rapidly.
In this regard, the only option left is to stretch their creativity beyond the normalcy or change the track completely.
This piece is not merely unveiling the virtues of business model but more importantly it is to highlight that an everlasting business model is dynamic, hence, never static.
The grim reality of Covid-19 brings with it one important lesson for business owners which is: the outbreak has changed the rule of the game, therefore, business owners need to play the game better or play a different game.
While it is not wrong to believe ‘if it isn’t broken, don’t fix it’, in the anticipation of worst times ahead, business owners need to be ready to batten down the hatches.
With the possible extension of the MCO, nobody could guarantee when things would bounce back to normal. For that, the time has come for businesses to re-think their business models.
Dr Zurina Moktar is an expert in business model innovation, technology commercialization and biodiversity conservation. She holds a PhD in Engineering from the University of Cambridge, UK.
The views and opinions expressed in this article are those of the author(s) and do not necessarily reflect the position of Astro AWANI.
Dr Zurina Moktar
Fri Apr 10 2020
With the possible extension of the MCO, nobody could guarantee when things would bounce back to normal. - Filepic
ANALYSIS - What could happen if Trump rejects the US election results
If Trump seems to be losing, the delay could let him claim fraud and undermine confidence in election officials.
Motorcycling - Marquez wins Australian MotoGP after intense battle with Martin
The 31-year-old, third in the championship standings, has now won the Australian MotoGP four times in the premier class.
Prabowo takes up Indonesian presidency, vows to tackle corruption, other issues
Indonesia's Prabowo Subianto on Sunday took over as president of the world's third-largest democracy, vowing to combat internal issues
Nepal's Sherpas deserve more, says teenager who scaled world's 14 tallest peaks
Sherpas are known for climbing skills that make them the backbone of mountain expeditions.
Inside the underground lab in China tasked with solving a physics mystery
China will soon collect neutrino data, aiming to unravel one of particle physics' biggest mysteries.
Millions in Cuba still without power as major outage persists
Millions of Cubans remain without electricity because of a prolonged outage at the main power plants on the island, Anadolu Agency reported.
Surge in Gaza violence increases famine risk, monitor says
About 1.84 million people across the besieged Palestinian enclave are living through high levels of acute food insecurity.
Israel pounds Beirut and Gaza after rockets hit Israel's north
A drone was launched at Prime Minister Benjamin Netanyahu's holiday home.
Elon Musk promises to award $1 mil each day to a signer of his petition
He awarded a $1 million check to an attendee of his event in Pennsylvania aimed at rallying supporters behind Donald Trump.
Former special forces commander Prabowo to take up Indonesian presidency
Indonesia's Prabowo Subianto will take over as president of the world's third-largest democracy after sweeping the country's election with policies like free meals for school children
Father of Malaysian Islamic banking, Abdul Halim Ismail passes away
His dedication and pioneering spirit played an important role in shaping the journey of Bank Islam as well as leaving a lasting impact on the development of Malaysia's Islamic finance industry.
Zayn Malik postpones US tour dates after One Direction bandmate Liam Payne's death
Payne, 31, died on Wednesday after falling from a third-floor hotel room balcony in Buenos Aires, shocking fans of the boy band.
Why voters in a handful of swing states will decide the US presidential election
The contest will almost certainly be decided by just tens of thousands of voters a tiny fraction of the populace in a handful of states.
INSIGHT - Sudan's war risks 'lost generation' of children
A devastating crisis is unfolding in Sudan, where the most vulnerable members of society children are bearing the brunt of the violence.
Who is Prabowo Subianto, incoming president of Indonesia?
A wealthy ex-general with ties to Indonesia's popular outgoing president and its dictatorial past, looks set to be its next leader.
Trump says he would impose tariffs on China if China went into Taiwan
Republican presidential candidate Donald Trump said he would impose additional tariffs on China if China were to "go into Taiwan,"
Iran's supreme leader says Hamas leader's death will not halt 'Axis of Resistance'
The "Axis of Resistance", built up with years of Iranian support, includes Hamas, the Lebanese Hezbollah group, the Houthi movement in Yemen, and various Shi'ite groups in Iraq and Syria.
Putin says Russia willing to seek compromises between Iran and Israel
Russia is ready to help seek compromises between arch-foes Israel and Iran, President Vladimir Putin said on Friday, saying these would be difficult but possible.
What proposals will Russia push at the BRICS summit?
The proposal is also to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and key commodities between members.
Indonesia's free meals plan in the spotlight as Prabowo readies for office
Prabowo calls the programme one of the main drivers of economic growth, eventually set to add an estimated 2.5 million jobs.