How coronavirus affected the small and medium (SME) businesses in Malaysia
By: AB Newswire
June 01, 2020 at 14:00 PM EDT
Small and Medium (SME) businesses in Malaysia was one of the victims affected by the coronavirus disease. According to New Straits Times, Small and Medium Enterprises Association Malaysia said some of its members had slowdown in their business, especially those in services sector, which are retail, tourism and distribution trade.
In December of 2019, there was an infectious disease appeared which called Coronavirus. In the beginning, the outbreak was identified in Wuhan, China. World Health Organization (WTO) recognized it as a pandemic on March of 2020. Since it became a pandemic around the world, Malaysia was not excluded from it. In order to fight the disease and reduce the risks of spreading disease in Malaysia, our government took the actions and followed the procedures set by WTO by declaring the Movement Control Order (MCO). In this period, the citizens of Malaysia were not allowed to leave our country even they were encouraged to just stay at home. Meanwhile, entering to Malaysia from other citizens was banned. The government had set the rules during MCO and resulted to temporary unemployment of both employees and employers.
Small and Medium (SME) businesses in Malaysia was one of the victims affected by the coronavirus disease. According to New Straits Times, Small and Medium Enterprises Association Malaysia said some of its members had slowdown in their business, especially those in services sector, which are retail, tourism and distribution trade. In the period of Malaysia lockdown, no other countries allowed to visit Malaysia and lead to the depression in tourism sector. The drastic decrease of tourists influenced major retail shops located in the districts of tourist attractions. At the meantime, the retail sector declined their profit as most of the Malaysia citizens lost their jobs temporary, means that they have no income.
Besides, for the manufacturing sectors of SME in Malaysia, they will see the impact caused by Coronavirus. Shortage of raw materials due to the disruption of supply chain from overseas making them to delay or even temporary stop the production progress. Thus, the output will be affected in short-term. Linking to the retailing, the slower consumers purchases bring to the declining of manufacture’s sales, too. According to the Johor South SME advisor, there are many manufacturing sectors of SME usually dependent on producing products and services for the Singapore market. Now, the chain result will post hardship to many SMEs in the long run.
However, there are businesses which faced positive effects through the time of coronavirus disease. As the technology today are more advanced than before, running the businesses by applying the technology is one of the opportunities too. Promoting the businesses by using online platform instead of running on traditional physical store. Both can be appeared in the same time, but online platform is more suitable during 21st Century. Recent, Malaysia steadily proves to be a key player in e-Commerce market as Digital Marketing Service Malaysia are increasing continuously. Digital marketing service helps to transform SME businesses into digital platform as the preference of visiting physical shops are relatively lower than using digital devices.
Furthermore, SEO Service Malaysia was growth exponantially too. Search Engine Optimization (SEO) is a process of optimizing your businesses website to increase its visibility from search engines like Google and Yahoo. Applying SEO services not only maximize the website visible to the search engine as well as help to better targeting the audeinces. Most of the online activities start by a search engine and there are 6 billion searches per day. Hence, you can just imagine the potential opportunities of applying SEO service to the business.
Nowadays, globalization was a norm even for SME businesses. But before going to the trend of globalization, we need to promote the businesses by using the multiple services such as digital marketing and SEO service in local market first. Leverage the business on the digital platform can help to reduce the risks. The business can still running as usual even when the disaster like the Covid-19 pandemic hits.