 |
|
Small and medium-size enterprises are affected due to the financial
crisis in the country. Not only the Pakistani shopkeepers are affected;
however, the shoppers are also negatively impacted due to the financial
crisis. Economic instability has occurred as the GDP growth rate came
down. The major cause of this crisis is the pandemic of COVID-19 and
also the devaluation of the currency.
The financial crisis in Pakistan has many contributing factors like the
systematic failure, uncontrollable and unanticipated behavior of humans
or society as a whole, the incentives to take high risk, failure of
check and balance due to the regulatory absence, the unexpected virus or
infectious diseases. The overall financial economy has been disrupted
due to these factors.
Change in the Behavior of Shoppers
An increasing change has been observed in buyers' behavior because the
hike in the financial crisis has hit them hard. People have started
buying the necessities only. Due to the less money on hand, people have
become bound and restricted to spend less and within a self-defined
budget.
Impact on Online Shopper
The e-commerce industry is also affected, whereas the daily shoppers
have headed towards buying the things online. This is a much more
feasible and flexible option for them to get the items at the same
prices online, as offered at stores.
Online shopping in
Pakistan is increasing by the shopper's side due to their trust in
authentic online platforms in the presence of a financial crisis; this
industry is successfully emerging in 2020.
The bargaining option in online business is not generally available;
however, sales on the household items or even at the grocery items are
also offered online, due to which a large number of buyers switched from
physical shopping to online shopping in Pakistan. It also saves their
time to go out and waste fuel; instead, they pay the shipping charges,
or at some stores, the delivery charges are free. |
 |
|
Uncertainty due to the Financial Crisis
Daily shoppers are tensed due to the increasing rates of items daily.
The available daily use items, even the grocery items are also becoming
expensive just because the economy is bearing a financial crisis, and
innocent people have become a victim of paying the hefty taxes and
amounts.
Due to the lack of checks and balances on the grocer, storekeepers, and
many others, the rates offered by them are high, more than what the
authorities have decided for them to sell the product. The uncertain
situations have occurred in Pakistan.
Everyone is selling their items at their selected rates, and no one
bothers to take action against the shopkeepers, but the shopkeepers are
doing this because of the increasing rates by the supplier; however,
this whole supply chain has made the shoppers highly affected for
spending more and getting less.
Economic Crisis in Pakistan
The financial crisis leads to the economic crisis of Pakistan. In 2020
the pandemic has taken the whole year sales with an extreme downfall.
All the industries wither the food, textile, or electronics; every
the industry faces loss except for the one that is the IT industry that has
boosts the E-Commerce industry of Pakistan during this time of the
pandemic.
To make Pakistan's economy sustainable several strategic actions have to
be taken benefit both the buyers and the sellers. Online transactions
have made the shoppers more interested in buying the items online than
physically visiting the stores or outlets.
The mindset of over-spending on a single thing by the shopper is now
changing towards buying the required amount. The financial crisis has
led to a shortage of necessities, also. And our authorities are taking
action to increase the supply as per the demand. Still, the one who
suffers is not only the authorities or the seller. But the buyers
(shoppers) are also affected magnificently due to high-interest rates of
taxes.
|
 |
|
Impact of Current Financial Crisis on Consumers in
2020
The whole economy is pondering for a wayout to revive the industries
again in Pakistan. This global pandemic has impacted the consumers in
several ways, where the financial crisis in this situation has made
everyone stunned. The impact of the financial crisis of daily shoppers
in Pakistan is in several ways:
• Job uncertainty and Unemployment
• The decrease in saving rates
• Decrease disposable income
• Greater consumption risk
• Higher service and product prices
• Lack of financing opportunities
• No loan funding available
There are many other ways by which the daily shoppers are affected by
the current financial crisis. It is anticipated that in the upcoming
years of 2020-2021, the financial crisis might not get brightened up
towards betterment because the pandemic of Coronavirus has not ended
yet. The second wave of this virus is expected to develop, leading to
hitting the economy again.
The industries have now again started to work and manufacture their
products for their survival. Still, due to the inflation and the
country's debts and crisis, each product's prices are getting higher or
public like for the daily shoppers. The actions to overcome this
situation and the measures should have been taken to make the daily
shoppers live a healthy life rather than a life as a victim of the
country's financial and economic crisis.
|