Several companies across India are taking aggressive measures to cut down costs and protect their bottom lines in the wake of coronavirus (Covid-19) pandemic. However, if companies forget their social obligations there could be a significant backlash, because unlike other downturns, Covid-19 is predominantly a human tragedy, says GlobalData, a leading data and analytics company.
Sapana Maheria, Practice Head of Thematic research at GlobalData, says: “The crisis has brought out the best in many Indian companies, which have come together to help the nation. They have donated money, run campaigns to spread Covid-19 awareness, manufactured healthcare supplies, helped the poor with food and shelter, helped people stay connected, and fought fake information.
“When the dust settles, companies will turn inwards to save their businesses. But those that forget their social obligations post-Covid-19 run the risk of angering huge swathes of the population, and causing long-term damage to their brands. Conversely, those that strive to protect all stakeholders and the community as a whole would succeed in the long-term.”