The retail industry was severely impacted by the global outbreak of COVID-19 and currently faces significant market, financial, people and operational challenges.
The pandemic has affected parts of the industry in different ways. For instance, the grocery sector struggled with supply chain issues, while consumer goods and apparel businesses have been challenged by store closures and rapid growth of online sales.
In light of helping companies in the retail industry, Grant Thornton International Ltd. produced a publication titled ‘Retail: Navigating the Impact of COVID-19’ for retail businesses’.
“As non-essential trading was halted in many parts of the world, many businesses have experienced a significant drop in revenue with store closures. As a result of this, many retail staff were made redundant or worked reduced hours during the pandemic,” said P&A Grant Thornton chairperson and CEO Marivic Espano.
She underscored the importance of the retail businesses to focus on liquidity, cost management, debt and restructuring to assess, protect and restore value for their business.
“This publication will provide some guidance on the steps required to position themselves for the ‘new normal’ that is emerging after the lockdown restrictions are eased,” she said.
Retailers need to ensure their businesses are resilient going forward, she said. Lenders and stakeholders need to know there is a working strategy for transitioning from the present disruption to operating in the new normal. Othel V. Campos
With the focus of helping retail businesses, Grant Thornton ASEAN launched the ASEAN Focus Retail Industry.
This is to meet rising demand from retail businesses looking to relocate operations to the region in the wake of the COVID-19 pandemic and fluctuating US-China trade tensions.
The service will focus on medium to large enterprises looking to expand, relocate or diversify their businesses in the region.
While the ASEAN region is often the prime choice for businesses and investors, any relocation or expansion in a new country or region can be challenging.
Many factors need to be considered, including risk management, cost management, investment returns, cultural differences and more.
The growing demand for help in these areas is the driving force behind the Grant Thornton member firms from the Big 7 ASEAN countries—Malaysia, Indonesia, the Philippines, Singapore, Thailand, Vietnam and Cambodia– coming together as Grant Thornton ASEAN.
“We offer seamless cross-border services to all the medium to large enterprises looking for opportunities to expand their retail businesses across the ASEAN region” said Espano.
With a team of local experts from different countries, Grant Thornton ASEAN can provide medium to large enterprises valuable business insights and strategic perspectives, evaluate business challenges and support their needs in local or regional growth, risk management or cost management.
