Conglomerates hit as China puts Coronavirus restrictions

Coronavirus is spreading as fast in the businesses as it is affecting humans. As containment is of the virus remains a threat, global business in China are either closing stores or scaling down operations.  
The origins of the virus are yet to be determined as Chinese authorities remain tight-lipped and have gripped well over 7,000 in China and the global count is over 30,000 people. Global supply chain is disrupted as airlines are suspending flights and container ships are being stopped and checked, as China increases restrictions.
WSJ in a report on employee travel bans quoted Kraft Heinz spokesman Michael Mullen:
This will help reduce the unnecessary risk of virus exposure or transmission and is the most prudent measure to take while we continue to closely monitor the situation in China
Among other companies to opt for the same measures are JP Morgan Chase &Co and Ford Motors. Earlier, Google shut down its offices in mainland China, Hong Kong, and Taiwan complying with the directives of the local government.
Electric mobility pioneer Tesla is too not unscathed as the restrictions could affect the production pace in Shanghai. Tesla’s young CFO Zach Kirkhorn told investors that the 1.5-week shutdown would only “slightly” impact the company’s profitability in the first quarter of 2020.

Major fast-food chains including Starbucks and McDonalds have closed thousands of store in China—its second-largest market—and warned the move would weigh on financial results. Yum China Holdings, operator of KFC, Pizza Hut and Taco Bell stores in China also have closed stores, as have the parent company of retailer H&M and the Ingka Group, which operates IKEA stores.
Boeing Co. said it sees the coronavirus as a potential drag on air-travel demand. “The impact of the coronavirus on near-term traffic growth is clearly a watch item this year,” Boeing finance chief Greg Smith said.
British Airways and Indonesia’s Lion Air announced that they would halt all flights to mainland China, and American Airlines said it would suspend flights from Los Angeles to Shanghai and Beijing, citing a significant decline in demand for travel.
Source:-https://dailyvoice.in/news/conglomerates-hit-as-china-puts-coronavirus-restrictions/

Comments

Post a Comment

Popular posts from this blog

Patients Recovering Says AIIMS Bhopal Director

Image
COVID-19: No community spread in MP Madhya Pradesh CM Shivraj Singh Chouhan on Sunday spoke with the director of All India Institute of Medical Sciences, Bhopal regarding the status of COVID-19. Sarman Singh, AIIMS Director told the CM that patients are recuperating well in Bhopal and as of now there no situation of community spread. Technical advisor for the state of Madhya Pradesh on COVID-19 Lokesh Dave apprised the Chief Minister about the arrangements for treatment. Singh informed the CM that in view of the treatment of corona, the hospitals in Bhopal, including the Hamidia JK, AIIMS, JP and Chirayu hospitals are being pooled area-wise, so that the patients in one area can get medical facilities as and when required. Arrangements are being made to provide ICU for the patient in the hospital where treatment is being required. As per an official release the Chief Minister directed the medical team to keep a track record of all the samples being taken by the Corona. All p...
Read more

Ahluwalia wants to Rewrite FRBM Act

Image
Kamal Nath says time has come to re-think Speaking at a state organised workshop in the state capital of Madhya Pradesh Montek Singh Ahluwalia said the need for considering a rewriting the Fiscal Responsibility and Budget Management Act in the changing contexts in view of the increasing financial needs and fiscal limitations of States is impending Madhya Pradesh chief minister Kamal Nath said the time has come for states in India to rethink about their finances and economy. Speaking at a workshop organised by the state on ‘Alternative Finance for Projects’ Nath said: “Global economies are changing rapidly hence the financial institutions and government must reconsider their economic processes.” He said that it is becoming challenging to mobilize financial resources for the changed and constantly changing India and its States. India has the largest young population and we need funds to fulfill their ambitions. Therefore, banks, state governments, and private sector instituti...
Read more