Economy & Politics

BCG study how the corona differs from the financial crisis

The corona crisis is creating pressure to adapt in industryimago images / Westend61

The financial crisis after 2008 hit all industries, the Corona crisis gives a more differentiated picture. As a study by the management consultancy Boston Consulting Group shows, there are even winners in the corona crisis. These include consultants for biotech and medical technology companies, tech companies and consumer goods manufacturers. BCG measured this against the development of share prices in the months after the outbreak of the crisis.

According to the study, the big losers include the travel and tourism industry, which had held up comparatively well during the financial crisis. In the corona crisis, holiday travel is virtually impossible due to the shutdown and entry restrictions. It is therefore no wonder that the share prices here have slumped across the board. According to the BCG, the total shareholder return worldwide is minus 33 percent. The crash was even more severe in Germany.

But crisis winners also stand out more in Germany than in a global comparison. Tech companies, energy suppliers and retailers were able to gain in the corona crisis. The retail sector even recorded growth of nine percentage points in Germany, while it is one of the losers of the crisis worldwide with minus four percentage points.

Why it is like that? Because, among other things, the German online retailer Zalando is benefiting from the crisis, whose papers are now reaching new highs. On the stock exchange, Zalando is worth EUR 15.85 billion today, more than some Dax companies. Zalando is listed in the MDax, the index for medium-sized stocks.

Permanent changes

The capital market caught in the corona crisis much faster than after the financial crisis. But unlike the 2008/2009 crisis, which mainly took place at a macroeconomic level, the corona crisis also changes consumer behavior.

BCG analyzes that some sectors will change permanently after this crisis. According to BCG Germany boss Matthias Tauber, there are three main sectors: travel and tourism, trade and the oil and gas industry. “Wherever customers have positive experiences, there will be permanent changes,” says BCG restructuring expert Ralf Moldenhauer. The consumer had got used to better hygiene concepts and online shopping in retail, and they were now part of the “new reality”.

It is now a matter of developing a strategy for the time after Corona. The financial crisis had already shown that quick switching is worthwhile. Companies that had acted quickly and purposefully at the time emerged stronger from the crisis. A crisis, says Moldenhauer, is always an opportunity for improvement. Companies now used the time to adapt their processes and production networks to the new conditions.

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