Group project IBC201 TOPIC THE SCARING EFFECT OF THE COVID 19 PANDEMIC ON THE GLOBAL ECONOMY

The effects of the global economy before the pandemic, during the COVID-19 pandemic...11 2.. The purpose of this paper is to presentglobal business issues and the impact of the pandemic

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Group Project IBC201

TOPIC: THE SCARING EFFECT OF THE COVID-19 PANDEMIC

ON THE GLOBAL ECONOMY

Name of group member Contribution (%)

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TABLE OF CONTENTS

I ABSTRACT 1

II INTRODUCTION 1

1 What is international business? 1

2 What is international trade? 2

2.1 There are two methods to understand international trade 2

2.2 Benefits and drawbacks of global trade 2

3 Business theory of culture 3

3.1 Organizational culture traits 3

4 Global issues 5

4.1 Safety and Welfare 5

4.2 Unemployment 6

4.3 Corruption 7

5 COVID-19 Pandemic 8

III METHOS 10

1 Objectives 10

2 Methos 10

IV RESULT & DISCUSSION 11

1 The effects of the global economy before the pandemic, during the COVID-19 pandemic 11

2 The effects of the global economy after the COVID-19 pandemic 17

3 Barriers to international business 19

Tariffs 22

Quota 22

Non-tariff barriers 23

4 Ethics in business 23

4.1 Using labor 24

4.2 Environment 24

4.3 Food safety 24

4.4 Ethical obligations of multinational corporations 25

5 Strategies and plans to solve the problem 25

V CONCLUSION 27

VI REFERENCES 27

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The Coronavirus (COVID-19) pandemic has been and is a public health threat, itposes dangers to our lives and it is also a world economic threat All countries, advanced

or less advanced economies are severely affected and are facing limitations in theirresource capacity with shortages becoming more acute in developing countries TheCovid-19 pandemic is also the most serious economic challenge, even more, profoundthan the Global Financial Crisis of 2008-2009 In 2020, the world economy will shrink

by 3.5% For developing countries, which are heavily dependent on services, the impact

is especially severe Southeast Asia's growth slowed by 3.9% due to a loss ofinternational tourism revenue, a decline in private sector investment, and a decline inactivity in the construction and mining sectors The purpose of this paper is to presentglobal business issues and the impact of the pandemic on the world economy Thiscurrent crisis is creating spillover effects throughout the supply chain As a result,countries that are heavily dependent on foreign trade are more negatively affected.Besides, we can assess the industries seriously affected by the pandemic and come upwith appropriate solutions to revive the global economy

II INTRODUCTION

1 What is international business?

International business is all transactions of a business nature, between enterprises

of different nationalities, to meet the needs of international customers and thereby earnprofits for businesses and individuals, and economic organizations If the transactions arenot for profit, the transaction is not of a business nature International business differsfrom domestic business in terms of scope, complexity, legal system, the currency used inpayment, and payment methods

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Group.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMY

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2 What is international trade?

2.1 There are two methods to understand international trade

When used in a limited sense, international trade refers to the trading andexchanging of physical items between nations to produce advantages that domestic tradeand exchange activities do not have or cannot match International trade is appreciatedand understood in a broader sense, not just as a trade-in tangible item but also as a trade-

in good, along with the growth of international economic relations, especially in recentdecades Intangible commodities, services, and investing for financial gain are alsoincluded in this category of activities

A very broad definition of international trade embraces all commercial activity onthe global market, including international trade and investment activities, from thepurchase and sale of physical manufacturing to services such as transportation, tourism,information, insurance, finance, credit, etc

2.2 Benefits and drawbacks of global trade

International trade can benefit nations by boosting their economies and those ofother nations with which they conduct business, but it can also reward big corporations

by boosting their profits There is no market for small companies, such as national tradeand sales, which can aid businesses in growing their networks, connecting with newclients, and generating considerable economic growth International trade, however, canalso disadvantage small businesses because they cannot reach the same number ofconsumers and offer the same pricing, including family-owned and local businesses'competitive balance

Participating in international trade not only helps nations develop their economybut also enables them to set prices and rules that benefit all parties Collaboration andteamwork are essential for establishing a regulatory framework because they fosterpositive political ties among trading states International commerce can benefit theeconomy of all parties involved because it creates new markets for countries to sell theircommodities on while also supplying the receiving nations with employmentopportunities and consumer goods Global trade, however, can also harm theenvironment because it necessitates the use of fuel-powered ships and aircraft for the

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manufacture and movement of goods and products Global trade ultimately has thepotential to benefit society as a whole while harming smaller businesses and allowing thebiggest and most dominant firms to dominate the market.

For instance, the industry of export and import Exporting is the act of shippingcommodities made in one country to another for consumption Bringing products madeelsewhere into the nation for consumption is the process of importation Local exportactivities may also be included in export activities Local exports have a similar economicimpact to exports even though the commodities haven't yet crossed international borders

3 Business theory of culture

Uncertainty avoidance is a cross-cultural characteristic that describes howdifferent cultures or societies respond to and accept uncertainty It focuses primarily onhow local communities deal with the uncertainty that is evident in key areas ofgovernance An illustration would be when a business wants to help these clients reduceuncertainty avoidance by developing familiar experiences that concisely and effectivelyconvey critical information, such as prices or quality standards

Collectivism is a theory or way of life that puts the interests of the group beforethose of the individual Individualism, on the other hand, is a value or political viewpointthat emphasizes personal individuality and freedom For example, although two leadersare promoting the same product, their mentalities are very different The individualistleader holds that a company's success rests on its capacity to foster employees'distinctive, original contributions to the workplace Collective leadership places moreemphasis on the needs of the business as a whole than on individual needs

3.1 Organizational culture traits

Organizational culture is highly complicated Like everyone else, every businesshas its unique personality, the term "culture" refers to an organization's distinctivecharacter

 Organizations with innovative cultures encourage their staff to take chances and

be creative in their work

 Companies with innovative cultures expect their workers to carry out their duties

in the same manner as instructed, without aiming to do better

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 The degree to which accuracy in work is expected of employees is determined bythis aspect of the corporate culture.

 A culture that values attention to detail highly expects its workers to do their tasksaccurately, in contrast to a culture that values this quality less highly

 How this value of organizational culture is emphasized by results-focused andnon-results-focused businesses

 A corporation with a high-value culture that emphasizes result characteristics tellsits sales team to do whatever it takes to win orders

 Companies that embrace this aspect of their organizational culture also value howdecisions they make will impact all of their employees

 These businesses recognize the value of treating their staff with decency andrespect

The major problem is if an MNC’s organizational culture in one country’s facilitydiffers sharply from organizational cultures in other country’s facilities This list is notintended to be all-inclusive, but it does help illustrate the nature of organizational culture.The major problem is that sometimes an MNC’s organizational culture in one country’sfacility differs sharply from organizational cultures in other countries For example,managers who do well in England may be ineffective in Germany, even though theywork for the same MNC In addition, the cultures of the English and German subsidiariesmay differ sharply from those of the home U.S location Effectively dealing withmulticulturalism within the various locations of an MNC is a major challenge forinternational management A good example is the German MNC Hoechst AG, a verylarge chemical company that employs more people on the other side of the Atlantic than

in Germany As its chairman has noted, “We are not merely a German company withforeign interests One could almost say we are a non-national company.” And because ofthe high labor costs in Germany, the firm has been expanding its operations to lower-costregions It has also been selling some of its German operations while purchasingbusinesses in other countries Hoechst has also made its top management less German as

a result of this process

There is a widely held belief that organizational culture tends to moderate or erasethe impact of national culture The logic of such conventional wisdom is that if a U.S

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began to "think like Americans." Evidence is accumulating that just the opposite may betrue.

Hofstede’s research found that the national cultural values of employees have asignificant impact on their organizational performance The cultural values employeesbring to the workplace are not easily changed by the organization So, for example, whilesome French employees would have a higher power distance than Swedes and some alower power distance, chances are “that if a company hired locals in Paris, they would,

on the whole, be less likely to challenge hierarchical power than would the same number

of locals hired in Stockholm.”

Hofstede provided the early database of a set of proprietary cultural-analysistechniques and programs known as DOCSA In examining and addressing the differencesbetween organizational cultures, Hofstede provided the early database of a set ofproprietary cultural-analysis techniques and programs known as DOCSA (DiagnosingOrganizational Culture for Strategic Application)

4 Global issues

Global concerns are matters of concern that affect the entire world on aneconomic, social, and political level These issues impede human growth in terms ofsocial and economic development Here is a list of some of the pressing global concernsthat must be addressed for society to advance

4.1 Safety and Welfare

Some of the most urgent issues of our time are those related to security andwellbeing Millions of people around the world are impacted by issues like terrorism,cybercrime, and natural catastrophes Politicians, corporations, and internationalorganizations are all prioritizing these challenges For instance, the State permits thedevelopment of a park or a kindergarten in a neighborhood or industrial park Then,everyone enjoys the same benefits, including residents of residential regions andemployees of industrial zones Another example is the fact that when hospitals are built,people don't care who will be treated there, whether they are wealthy or not instead, theyjust consider what categories of diseases can be treated for each patient hospital type

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Everyone who requires medical care at that time will get it, and they'll all get the sametreatment However, the choice of particular individuals or groups of individuals in terms

of welfare and security policy depends on their particular circumstances, which arereferred to as varied "levels of interest" in social welfare economics Workers, forinstance, are concerned with finding work, making a livelihood, and maintaining livingconditions to ensure the reproduction of the labor force Social welfare economicsdemonstrates that the government plays a significant role in welfare and social securityand is the only entity that can address market flaws and shortcomings Recalling theaforementioned illustration of constructing a kindergarten and park It is improbable thatany business has invested money if it is simply for profit However, the government mustplan the construction in the interest of the general public (with the state capital)

4.2 Unemployment

Many people, especially those between the ages of 15 and 24, won't be able to find

a job and establish a sufficient way of life for themselves and their families without theeducational knowledge and skills required for employment family This will result in ashortage of necessities like food, clothing, transportation, and livable conditions To helpindividuals escape poverty, there are organizations all around the world that educatepeople on the skills required for jobs and interviews

Automobile assembly lines that employed workers to create welds on vehicleswere created in the 1970s In the 1980s, as robots took the place of employees due toautomated procedures, local automakers no longer had the same need for technicians.However, there is a significant need for welders in other areas of the country and otherindustries, such as the oil industry (such as Alaska and the states with oil wells) Welderslaid off in the car industry can find work and stop being unemployed if they are aware ofthe job opportunities (and a suitable fit)

Retraining workers with outmoded job skills to work in fields that require peoplewith different skill sets is another strategy for addressing structural unemployment.Robots have reduced the need for welders on auto assembly lines, yet automatedautomobile assembly systems have increased the need for employees to maintain andprogram them Robotic assembly line maintenance and programming can be taught to

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Less structural unemployment occurs in the economy for workers who successfullyundergo retraining to operate and program automated production lines.

of his position and power to direct his staff, who are directly accountants and treasurers,

to make false documents to settle economic contracts to withdraw nearly 1.9 billiondongs Along with that, the director divided among the treasurer and accountant each 100million dong, the rest the director spent for his purposes Accordingly, because he tookadvantage of his position to occupy the company's assets for personal purposes, thisdirector was guilty of embezzlement For example, in a company where corruptionoccurs, the person who commits the embezzlement act is the head of the department Thebehavior of the head of this company, if it is about the harmful effects of losing thecompany's common assets, leads to a decrease in the company's capital and not enoughmoney to buy new equipment for the production line As a result, manufactured productscannot be sold due to high prices, but the cause of high prices is poor labor productivitydue to outdated production lines

5 COVID-19 Pandemic

Covid 19 is a global epidemic, greatly affecting people, the global economy ingeneral, and the economy of a country in particular The Covid-19 epidemic hascomplicated developments, disrupting the socio-economic activities of countries aroundthe world The global economy is expected to experience the worst recession in the

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history of all nations, including major economies And the Covid-19 epidemic's negativeeffects would significantly slow growth.

In December 2019, a patient with pneumonia of unknown cause in Wuhan, HubeiProvince, China was found to have been infected with the novel coronavirus that causessevere acute respiratory syndrome coronavirus 2 (SARS-CoV)-2 ) The illness this viruscauses is called Coronavirus Disease 2019 (COVID-19) The COVID-19 has thendeclared a pandemic on 11 March 2020 with more than 118,000 cases in 114 countriesand 4,291 deaths

Through its hubs, the COVID-19 epidemic is significantly affecting the globalvalue chain During the COVID-19 pandemic, hard-hit countries are also centers of the

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global production network such as China, Japan, South Korea, and the US When thepandemic broke out, social distancing measures were implemented, and many productionactivities were halted The supply chain is interrupted, affecting global trade andinvestment activities, thereby reducing the growth of the world economy in general andmany countries and regions in particular.

Previous studies have shown that COVID-19 causes economic struggles to bemore severe for minority, low-income, younger, and female demographic groups, whilealso causing an increase most common in rates of depression and anxiety for the samedemographic Our analysis of U.S Census Bureau data is consistent with the findings ofpreviously published research, as the trends plotted are similar to those outlined in thedocument authority Going forward, researchers should examine the mental health of thegroups most economically impacted by COVID-19 to uncover its long-term effects Suchresearch will examine whether those affected can recover financially or psychologically.Additionally, this literature review focuses on the economic and mental impacts on theUnited States from COVID-19 To understand the global scale of the impact of COVID-

19, researchers should look for trends in mental health and economic impact acrossdemographic groups in other countries

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III METHOS

1 OBJECTIVES

The goal of studying the economic impact of COVID-19 is to understand thedetails of the global economic problems and impacts of the pandemic From there,provide detailed information on appropriate solutions and development strategies, andquickly find new directions to achieve the final result, which is to ensure socio-economicstability, and create favorable conditions for the economy and society's rapid economicrecovery in the post-COVID-19 period, support economic activities, especially in thedeveloping country, to prevent and minimize illiquidity, bankruptcy, and dissolution, andcreate conditions for the developing national sector to recover quickly when the impact ofthe pandemic subsides and ends, carry out economic restructuring in line with changes inthe world after the pandemic, stimulate usage within the country, and ensure socialsecurity

2 METHOS

To find out the problems affecting the world economy after the great economicrecession caused by Covid-19, research methods must be accurate and fully exploited.From determining the methods that will be used in the research, different approaches willgive different research results Differences in the use of research approaches ininformation research are based not only on the collection of data but also on the practicalconsequences of investigating and interpreting the findings However, when applying theappropriate method, the research paper will become harmonious and the contents,arguments, and concepts will be generalized according to the model from low to high,from narrow to broad Thereby, the information will be comprehensive, accurate, andmeet some specific criteria The research has been carried out based on the researchmethod is qualitative research, the secondary data is collected through documents anddata in the form of “non-numeric” to get detailed information about the subject researchthrough scholarly articles, journals, publications, websites, and online journals andsources At the heart of the methods is the transparency used including why, how, and forwhom they are taken in the particular research context so that they can be discussed,

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collected, analyzed, and construed It is important to use relevant citations to support thefindings Besides adding more information, context with emphasis, or real-life examples.

Quantitative research focuses on collecting numerical data and generalizing data toexplain a particular phenomenon or situation Outcome quantitative research is mostlydone in the social sciences using the statistical methods used above to collect quantitativedata from the research In this research method, researchers and statisticians developmathematical frameworks and theories related to the quantities in question Quantitativeresearch paradigms are objective Data collection was performed using a structuredmethod and was conducted on larger samples that were representative of the entirepopulation The study acknowledges the importance of experts, researchers, andpolicymakers, making recommendations and recommendations as a tool forunderstanding policy and marking strategies in countries

IV RESULT & DISCUSSION

1 The effects of the global economy before the pandemic, during the COVID-19 pandemic

The world economy is still going up and developing strongly Although the worldeconomy had declined before the pandemic, everything was still under control Allactivities have standards and so do people Economists have painted a picture of a goodchange and development of the economy Everyone thought that nothing would destroythis normalcy until Covid 19 appeared No one could have expected that this is a turningpoint that changes a lot of things about the world and especially affects the economy It isconsidered a serious crisis that severely affected the world only after World War II

Covid-19 can be considered a "shock" to the economy The outbreak of Covid 19affects all countries in the world in all aspects like work, study, shopping, transport, andhealth The specific figures given have proved that hit hard in May 2020, the worldeconomy suffered between $5.8 and $8.8 trillion in damage This is the data compiledand announced by the Asia Bank Christine Lagarde, President of the European CentralBank, warned in April 2020 that the Eurozone economy could contract as much as 12%

2020 In August 2020, there is 15 million people are unemployed in the European Union,

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annual rate for the first quarter/quarter of 2020 and 32.9% for the second quarter.Consumer spending in the US is down 10% in 2020 compared to 2019 The UK economyshrinks by in the second quarter of 2020, 20,4% After nearly 30 years of growth,Australia is in a recession when the country's economy shrank 7% in Q2 2020 Japan'sGDP fell by 27.8% from April 2020 to June 2020 Not only that, Covid 19 has upset therankings of those the world's largest economy led to many countries falling into the GreatDepression at that time.

For agriculture, the pandemic has had a strong impact, agriculture is consideredone of the essential sectors of the economy worldwide large people Some placesspecializing in growing vegetables and fruit trees had to temporarily stop productionbecause they could not be sold, some vegetable farms lacked labor due to socialdistancing, and the main difficulty was in the consumption of vegetable products to theharvest, the transportation of products, leading to low prices of agricultural products,especially fruit trees In aquaculture, the operation faced difficulties due to the high price

of animal feed, which increased production costs, some industrial farmingestablishments, after being sold, do not dare to re-operate Some fish and seafoodproducts have difficulties in consumption until the harvest season, the selling price islow, affected by the low price of seafood as raw materials for processing becauseprocessing enterprises reduce purchasing and processing export variables The pandemicmakes trade between countries and continents more difficult, closing borders andrestricting the import of goods has caused serious disturbances The proof is that duringthe severe pandemic, some countries in the world have difficulty accessing goods such asAfrican and Middle Eastern countries Vietnam was also severely affected at that time,during the pandemic, our food source was in serious shortage The closure of all seaportsand airports or a massive reduction in the transport capacity of agricultural goods couldcause significant disruptions in global supply chains including agricultural commoditiesand foodstuffs Some border gates bordering Vietnam are temporarily closed or increaseddisease prevention measures are when goods pass through the border gate, wholesalemarkets such as Ba Ria market, and Thu Duc market in Ho Chi Minh City are closed, andsome markets in the province were also blocked, tourism activities, restaurants,restaurants were closed, etc, which disrupted the supply chain of agricultural products ofthe province, the transportation and circulation of goods when 19 Southern provinces

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and cities applying Directive 16 of the Prime Minister have been greatly affected, causingthe consumption of agricultural and aquatic products by farmers across the country ingeneral and several fruits and aquatic products in particular, the province faces manydifficulties, can't sell or consume very slowly, prices are low, transportation costs arehigh However, the more serious problem is food insecurity, which harms people's health.

In less developed and developing countries due to a lack of resources to maintainproduction and ensure food safety and security of supply Difficulties come from bothbuyers and sellers Supermarkets' limited supply capacity to replenish after anunprecedented increase in demand Fresh food is also greatly affected due to the inability

of farmers or agricultural units to transport from the place of production to the localmarket or the logistical problems associated with transporting agricultural products tosupermarkets in the country or exported elsewhere Food exports and imports plummeted,businesses went bankrupt, lost income, unemployment, poverty, and inequality Thepandemic has had far-reaching effects on international relations outside of agriculture As

a country with a tradition of agriculture like Vietnam, it has had a profound effect onfarmers, when most of their income is thanks to vegetables and fish Canada is theworld's fifth-largest agri-food exporter and its agriculture has also been significantlyaffected They operate in an internationally competitive environment subject to manyeconomic and political influences However, the shock of the rapid spread of the COVID-

19 pandemic is unprecedented in its rapidity and magnitude of impact The demandshock arises from falling incomes as much of the rest of the economy closes and the shiftfrom meals consumed outside the home to consumption indoors requires repositioning ofsome supply chains response Despite short-term shortages of some foods, there arealways enough substitutes on the shelves to make a wide selection of foods available Theprices of foodstuffs and foodstuffs have increased continuously due to the high demandfor home storage and the shortage of workers in this field These effects relate torestrictions imposed by countries on movement and interaction, loss of labor, andreduced demand due to the closure of restaurants and hotels The agricultural sector ishighly interconnected A survey to investigate the impact of COVID-19 on the businesses

of 679 agricultural workers, farmers, and ranchers from 43 different US states Nearly90% of respondents expect a negative impact on their business, while about 30% of themworry about contracting the new coronavirus In this investigation, ranchers and farmers

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are also concerned about the unexpected situation of the market as well as the health of

the workforce as well as their loved ones The negative impact of COVID-19 on food

security can be mitigated through increased local production and short food supply

chains The globe faces several challenges in transporting many food products Exports

and imports of countries have been reduced during the pandemic

estimated that more than 5 million businesses worldwide are affected The pandemic

started in China, which has a global business network A report by global business

research firm Dun & Bradstreet said that areas affected by 100 cases and confirmed

Covid-19 again, as of February 5, are home to more than 90% of enterprises in China Of

which, about 49,000 enterprises in these regions are branches and subsidiaries of foreign

companies Nearly half have subsidiaries in areas of influence based in Hong Kong while

the US accounts for 19%, Japan 12%, and Germany 5% According to the OECD, global

trade is down 10.2% in 2020 and foreign direct investment is down 40%, causing major

disruptions in supply chains A massive cut in the kernel usage standard leads to an

increase in corporate defaults in 2021, especially in sectors hit hard by the global

shutdowns In most countries, unemployment is rising but is checked by restrictive,

job-retention measures such as short-term work or pay schemes It has begun to strengthen its

national and global leadership, with the closure of many factories and production

facilities, disruption of supply chain models, and the profitability of multinationals It has

hit the service business heavily, especially in industries that involve face-to-face

interactions such as retail trade, entertainment, hospitality, and transportation While

fashion, furniture, and electronics retailers follow government directives to temporarily

close, food retailers, as necessary, continue to trade to allow customers to purchase food

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materials and input materials of enterprises, including enterprises producing chemicalssuch as analysis, protective plants, enterprises of textiles, leather, and footwear, paperproduction, and wood products, steel production, and trading, construction enterprises.This enterprise is missing the source of resources that start to affect the activity is thebusiness output, fulfilling pre-ordered orders, thereby affecting the revenue and signal ofthe business Service industries such as tourism, transportation, warehousing, retail,finance and banking, insurance, real estate business, medical services, education, andtraining are strongly affected by fluctuations in total income The strongest influence isthe tourism industry (travel, accommodation, catering, and travel services) Due to thespread of the disease, many countries have taken measures to shine, restrict travel, andincrease epidemic testing, so the demand for cross-border travel has decreased Domestictourism demand also reduces disease and reduces people's income The University ofOxford (2020) reported that “the travel and tourism industry has been hit hard by theeconomic disruption from the COVID-19 storm, with impacts on both tourism supply anddemand” Tourism represents about 75% of the tourism economy in countries that arelikely to decline significantly Tourism is one of the most important industriesworldwide, and one of the leading contributors to countries' GDP Workloads areoverwhelmed by the surge in booking cancellations, canceled events, shuttered doors,and attractions closing instantly noticed in other parts of the supply chain - cateringservices, and restaurants When the Covid-19 translation appeared in Vietnam, theGeneral Statistics Office conducted a survey of businesses and the results showed that up

to 85.7% of surveyed businesses were affected by the Covid19 epidemic Industry construction, and service sectors are affected by 86.1% and 85.9% of total enterprises.Aviation is affected 100%, accommodation services 97.1%, catering services 95.5%,activities of travel agencies 95.7%, education and training 93.9%, Textile and garmentGarment, leather production, leather products, electronic manufacturing, manufacturingall have an impact rate of more than 90% (General Statistics Office, 2020) Manymanufacturing sectors of Vietnam depend heavily on imported raw materials and fuel,mainly from China, Korea, Japan, the US, and the EU Tourism revenue in the first eightmonths of 2020 was estimated at more than VND 13,000 billion, down 54.4% over thesame period last year (GSO) According to the Vietnam Logistics Service Association(VLA), enterprises in the transportation industry are also significantly affected by the

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-Group.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMYGroup.project.IBC201.TOPIC.THE.SCARING.EFFECT.OF.THE.COVID.19.PANDEMIC.ON.THE.GLOBAL.ECONOMY

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epidemic Domestic and international routes are closed, and revenue from air freight,railways, and deceleration roads The real estate business is also strongly affected by theCovid-19 pandemic, including the field of commercial space leasing, offices for rent,hotels, and apartments Employees at real estate exchanges lack both the supply to offerand the demand for transactions, resulting in no revenue Many business premises arereturned or rent reduced Many real estate enterprises are in the situation of having tosuspend operations.

2 The effects of the global economy after the COVID-19 pandemic

After a long time, all economic activities have been severely reduced in the world,and have been expecting a revival after the Covid-19 pandemic The world economybegan to show positive signs again However, the ability to recover is quite different fromcountry to country and depends on the strength of the industry The United NationsIndustrial Development Organization (UNIDO)'s latest World Manufacturing Report

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countries In particular, China recovered the fastest with a growth rate of 38.2% in thefirst quarter of 2021, partly due to the relatively low comparative base of 2020 On theother hand, industrialized economies face another wave of infections in the fall of 2020,forcing them to reintroduce stricter containment measures UNIDO's report also showedthat the high-tech sector recovered at a faster rate, while the low-tech industries had aslower growth rate compared to the same period last year The model of the gradual, step-by-step, and deliberate opening is quite widely used Countries allow people who havecompleted vaccinations or have recovered from the disease within 6 months, or havetested negative to travel and participate in public activities Supported tourism activitiesreopening and many attractive incentives help attract visitors after a long time at home.Along with that, technology has become the mainstay, facilitating the promotion of the

"new normal", while human consumption and labor trends have changed to suit the newsituation Living safely with Covid-19 also changes people's thinking and lifestyle It can

be said that the proactive and flexible adjustment of Covid-19 response strategies hascreated a turning point to help many countries return to the "new normal" life andeconomic recovery In the World Economic Outlook (WEO) report released on October

12, 2021, the IMF forecasts that global economic growth in 2022 will reach 4.9%, ofwhich the US will increase by 5.2%, Europe by 4.3%, Japan rose 3.2%, China increased

by 5.6% After recovering, global trade is estimated to reach 9.7% in 2021 and isexpected to continue to increase by 6.7% in 2022 Besides, many countries have beenstepping up the implementation of programs and planning socio-economic recovery Inthe current period, many countries have given priority to restoring production and supplyactivities in the face of supply-demand imbalances and production supply chaindisruptions to create a resilient business environment for the business sector in the futuregrowth recovery phase Not only escaping the "black shadow" of recession, but the worldeconomy in 2021 has also recovered faster than expected and regained growthmomentum, despite the complicated developments of the Covid-19 pandemic It can besaid that the world economy has the strongest recovery momentum in the first months ofthe year when countries gradually reopen

Tiêu đề	The Scaring Effect Of The Covid-19 Pandemic On The Global Economy
Tác giả	Nguyễn Thanh Kim Lan, Bào Thanh Trúc, Đào Thị Bích Phương, Lê Xuân Cát Tiên, Đinh Quốc Huy
Trường học	FPT University - Campus Can Tho
Chuyên ngành	International Business
Thể loại	Group Project
Năm xuất bản	2022
Thành phố	Can Tho

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Số trang	71
Dung lượng	768,77 KB