Indian firms prepared for coronavirus pandemic test: Survey

Despite being badly bruised by the Covid-19 outbreak, more than half of Indian businesses are prepared to deal with any future blow from the pandemic, while 29% are operating normally, a survey of 2,600 businesses across 14 countries, including India, has found.

Even though almost half (46%) of Indian businesses felt 'very strongly' impacted by the pandemic, the highest level across all markets surveyed, as much as 54% in India felt they were well prepared as they possibly could be.

“This is the second-highest level among all countries surveyed and higher than the average across all markets (45%),” the survey said.

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"While Covid-19 has undeniably altered the economic landscape, Indian businesses have shown resilience in the face of adversity. Businesses will have to make varying degrees of adjustments to adapt to this altered landscape, which will be the new normal for the foreseeable future," HSBC India Head of Commercial Banking Rajat Verma said.

The survey also found that 64% of Indian businesses saw the current environment ensuring positive changes to their products and services.

“This is the joint highest across all markets surveyed (along with China) and significantly higher than the overall average at 44%,” according to the highlights of the survey.

However, 2% of those surveyed in India said their long-term survival was under threat.

On the availability of labour, 25% saw negative outcomes from the current environment.

“This crisis forced businesses to work differently. Change happened at speed, faster and flatter structures emerged, and this served as a reminder that people create organisational change.

“Survey respondents emphasise culture, suggesting they view these changes positively. Companies are seeking to become more agile, both to build resilience and equip themselves for a future characterized by change,” the survey said.