Answer to Question #205765 in Macroeconomics for Netesh

Question

Describe in full details how COVID 19 has affected sales and revenue for business

Answer 1

COVID 19 pandemic has reduced sales and revenues to most businesses. Some businesses have collapsed and other firms are not operating because of the pandemic. Lack of income due to job loss has affected sales and revenues negatively as people do not possess enough money to buy goods and services. The closing of firms is a common event as one way to control the COVID 19 pandemic, thus causing low sales and revenues because some firms serve as customers to other businesses. COVID 19 pandemic hinders staff productivity as most people are now operating remotely and some business activities require physical presence. Therefore, COVID 19 has negatively affected business sales and revenues.