Survey: Business Impact of the Coronavirus
The American Chamber of Commerce in Hanoi conducted a survey on February 13-14 about the business impact of the coronavirus on business operations in Vietnam. The survey focused on quantitative issues such as the coronavirus’ expected impact on corporate revenues and Vietnamese GDP, as well as workplace issues such as travel and work from home policies. Survey results showed that our members are concerned about the health impact of the coronavirus in Vietnam, and are very concerned about the economic impact of the coronavirus here.
- 60% of companies responding now allow staff to work from home and almost all members offer hand sanitizer in the workplace.
- One-quarter of respondents are restricting staff travel within Vietnam, while three-quarters are restricting travel to some or all countries abroad.
- One-half of respondents are experiencing difficulty getting people to come here from abroad, and almost 80% of member firms have cancelled or postponed meetings or events due to concerns over the coronavirus outbreak.
- Most members say it is too early to gauge the impact of the coronavirus on their estimated 2020 revenues. However, of companies that are able to estimate the impact, 70% percent say the coronavirus is expected to reduce their revenue by 10% or less this year.
- One-quarter of respondents think Vietnam’s GDP will drop by more than 1.5 percent due to the coronavirus. One-quarter expect little or no change in GDP. The remaining one-half are somewhere in the middle.
- Over 50% of responding members in the manufacturing sector are experiencing difficulty sourcing supplies/materials due to disruptions from the coronavirus and 35% of respondents say that current supply chain disruptions are already seriously impacting their company’s global operations.
- The biggest challenges are securing alternative materials/goods supplies, along with inventory management.
Click HERE to view highlights from the survey.