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4 Ways You Can Improve Your Programming Skills

Read code

Everything you learn about coding will help you to become a more skilled programmer.

You can learn a lot from the code of other programmers. You can consult with masters in your industry, or you can search for code that is comparable to your own on GitHub. You can also browse through GitHub repositories to discover how other programmers have written their code and form your ideas to improve the code you are writing. It’s fascinating to learn about different developers’ coding styles and problem-solving techniques. You will learn to think critically, is the approach that they employ comparable to yours?

The following are some examples of Github repositories with excellent code:

  • Scikit-Learn
  • Findings from Stackoverflow by JJruner
  • Bootstrap

It doesn’t just end at reading code, either. As a complement to programming every day, why not try reading at least one article or a few chapters of a programming book daily as well?

The Pragmatic Programmer by David Thomas and Andrew Hunt and Deep Work by Cal Newport is a popular book to get you started on your path to becoming a better programmer. Still, reading, in general, is highly beneficial because it broadens your perspective and increases your knowledge.

Write Clean, Readable, and High-Quality Code

“Any fool can create code that a machine understands. Good programmers create code that is understandable by humans,” says Martin Fowler.  A good programmer should write clear and understandable code since it will make it easier to debug your code and for other programmers to comprehend it.

Programmers spend the majority of their time writing code. In the codebases of their projects, programmers frequently add, remove, or modify code lines. Those changes to the source code either improve or degrade the codebase. The codebases must constantly be improved with high-quality, bug-free code, and it is necessary to adhere to a well-defined coding style guide. If your project still lacks a coding style guide, you can always recommend one widely used.

The development of software is a team effort. Many programmers frequently collaborate within the same piece of code. Some programmers are adept at swiftly applying fixes to complex source code written by others. Some programmers, on the other hand, have difficulty with complicated source code. As a result, even if you’re implementing amazingly complex logic, you should always write self-explanatory code. Design patterns, directory layouts, and module decompositions all aid in the creation of clean code. Consider how the Chromium team arranged the browser’s UI controllers to simplify things.

Become a Learner

Across every profession, the process of learning never comes to an end. Similarly, there will always be something new to try and learn in the field of programming daily. There are numerous computer science-related theoretical articles, research papers, and methods published in professional journals and online publications every day. Similar to any other profession in the world, the field of computer science is still expanding. As a result, you will find something new to learn every day that will help you improve your abilities. For example, you might learn a new design structure today that will help you improve the readability of the code you produced yesterday and use it tomorrow.

Learning to code is a skill that can be compared to other activities such as sports. If you want to be great at something and perform well at work, you must put in the necessary time and effort. Make an effort to code every day, whether it’s during your lunch break or after work. It doesn’t matter if it’s only for an hour; you will notice changes, even a simple one, if you establish a routine and stick to it.

Seek expert assistance, whether it’s from your team’s leader, members of your local group, or even Stack Overflow, if necessary. Demonstrate your code and seek comments without fear of being criticized.

As a programmer, you could feel overwhelmed by the number of similar problem-solving activities you have to complete. As a result, to learn efficiently, it is essential to use engaging tactics such as flashcards, online quizzes, algorithmic puzzles, creating inventive apps, and so on. Always allow yourself enough time to really comprehend the subject rather than simply resorting to notes. If you don’t enjoy coding, you’ll feel weighed down by the theories.

Work on projects

Look for an app to build, understand how to get started, then put in some serious time on it. I’m not asking you to improve the quality of your work, but I do want you to challenge yourself and discover how well you understand coding fundamentals. You will be able to assess your weaknesses and will be allowed to improve.

So, how do you go about locating these opportunities? If you want to work from home, you may look into freelancing sites and offer your skills to small firms. Alternatively, you may cold email local agencies with freelance ideas and offer to assist them.

Writing a large number of small programs at the beginning of your programming career is a simple trick you can use to develop more programs. This will help you increase the quantity of code you write each day, allowing you to produce a far greater number of programs.

A vast number of small programs, on the other hand, would not be sufficient to cover the range of programming skills required to be deemed a good programmer. It’s critical to move from writing a significant number of small programs to developing larger ones at some point since doing so will expose you to a new set of obstacles that will compel you to become a better programmer overall.

 

Artificial Intelligence (AI) Impact on Businesses

General

Advanced artificial intelligence (AI) has a wide range of potential applications in the business setting. In truth, the vast majority of us interact with artificial intelligence regularly, in one form or another. Artificial intelligence is now revolutionizing every business activity in every industry and impacting everything from the mundane to the astonishing workloads. Increasingly, businesses aiming to maintain a competitive advantage rely on artificial intelligence technologies, which are becoming more prevalent.

Before we can talk about how artificial intelligence is revolutionizing the way we do business, we must first grasp how it relates to the business sector. In computing, “artificial intelligence” refers to any type of computer software that performs behaviors comparable to those performed by people, such as learning, planning, and problem-solving.

In the context of business, artificial intelligence (AI) refers to a computer-based system that executes, improves, or transforms business processes by replicating human behavior. Artificial intelligence (AI) is utilized in business to increase the efficiency and effectiveness of the company.

If you’re curious about how artificial intelligence might affect your business in the short term or even over the long term this article can help you keep your finger on the pulse of the latest advancements in artificial intelligence practice in the industry The picture shows some of benefits implanting AI across the industry.

 

DEALING WITH DATA

Artificial intelligence is often regarded as a supporting tool rather than a replacement for human intelligence and creativity. Although artificial intelligence is currently incapable of doing commonplace activities in the real world, it can digest and analyze large amounts of data significantly faster than a human brain. The artificial intelligence software can then present the human user with synthesized routes of action. Artificial intelligence can assist humans in ruling out the potential effects of each decision and simplify the decision-making process in this way.

Businesses will be able to create better, more tailored, and profitable campaigns as AI gets increasingly adept at processing and understanding mountains of data at a faster rate than ever before. It means you can better allocate budget and resources based on the insights gathered from the developing field of artificial intelligence and deep learning as AI apps gather patterns and insights from text, statistics, still photos, and video. The data assists businesses in improving marketing effectiveness, better understanding customers, segmenting customers to provide personalized experiences, and developing business strategies to aid business decision-making.

“Artificial intelligence is the software’s second coming,” said Amir Husain, a machine learning business founder and CEO of SparkCognition. “It’s a type of software that can make judgments on its own and act in scenarios that the programmers haven’t anticipated. In comparison to traditional software, artificial intelligence offers a greater range of decision-making capabilities.”

These characteristics make artificial intelligence extremely beneficial in various businesses, whether it’s just assisting visitors and employees in smoothly navigating a corporate site or executing a task as difficult as monitoring a wind turbine to predict when it will need repairs.

Machine learning is frequently employed in systems that collect a large amount of data. Smart energy management systems, for example, collect data from sensors attached to various assets. Machine learning algorithms contextualize the troves of data before delivering it to human decision-makers to comprehend energy usage and maintenance demands better.

Artificial intelligence is now used in a variety of business intelligence solutions. Microsoft Power BI is a popular application that helps businesses obtain crucial information to determine which approaches and decisions impact business performance. Furthermore, the integration of machine learning capabilities within Power BI can assist companies in developing machine learning models for making valuable forecasts and predictions from data and automating business operations.

CUSTOMER RELATIONS

CRM (customer relationship management) systems are also being influenced by artificial intelligence (AI). For software like Salesforce or Zoho to remain current and precise, a significant amount of human engagement is required. However, when artificial intelligence is applied to these platforms, a standard customer relationship management system morphs into a self-updating, auto-correcting system that takes care of your relationship management for you.

Although client engagement is a vital element of any B2C business, artificial intelligence is predicted to transform these customer support procedures in the next few years.  Artificial intelligence-powered software solutions, such as sentiment analysis technologies, eliminate the need for a human to accurately assess a customer’s tone of voice, allowing businesses to respond more effectively to consumer problems, complaints, and inquiries. After all, customers who have a positive experience with a service are more likely to tell their friends and family about their positive experience, both online and offline.

Incorporating artificial intelligence (AI) into your customer engagement strategy, for example, through the use of automated live chat software, can enable you to provide better and more dynamic responses in a shorter amount of time. It will assist you in reducing the staffing required to study solutions and build stronger engagement and customer loyalty. As a bonus, it will provide you with predictive insights, which will enable you to automatically propose similar things or services to customers who may be interested in them.

By 2021, it is expected that 85% of consumer contacts will be handled without the involvement of a human. Customers will benefit from this disruptive innovation in business from artificial intelligence since it will reduce the requirement for human engagement, hence lowering business expenses while vastly enhancing customer care accessibility and everyday experience.

PERSONALIZED AND TARGETED MARKETING

Recognizing a customer’s desires and knowing what products to promote to each customer is essential to increasing a company’s income. Customers have incredibly limited time in today’s world of rising digital interaction, and there are far too many companies trying to advertise their products to them simultaneously. This explains why it is becoming increasingly important to sell only those products that appeal to each client and know who to promote each company’s products.

Companies can now use artificial intelligence to predict and target who they should sell a particular item to increase the probability of sales and the efficiency of the marketing activities while at the same time reducing the overall marketing cost. This is made possible by data obtained from customers’ online activities.

TikTok’s algorithm is one of the advanced algorithms used to personalize internet material.eByte Dance, owner of TikTok, announced in June that the company’s technology is based on user interactions, video information, and, to a lesser extent, device and account configurations. Data analysis can be used to personalize cosmetics as well as other products. Beauty companies, like Kao, are utilizing genetic data to combat wrinkles and dermatological problems.

Spotify, for example, monitors and understands the listening behavior and song preferences of users, which then uses this information to deliver song recommendations that each user is likely to enjoy. Other companies, such as Netflix, use artificial intelligence recommendation systems to keep users engaged and hooked to their service. They do this by delivering movie recommendations tailored to each user’s preferences based on their individual histories.

These recommendations influence approximately 75% of what Netflix subscribers watch, and the business’s AI recommendation system saves the company approximately $1 billion per year in operating expenses. Banks and Fintech businesses also utilize artificial intelligence for predictive analytics, fraud detection, and assessing which clients are most likely to repay loans before processing loan applications.

Personalization of products and marketing is an area that is rapidly developing and has the potential to provide significant benefits to producers and merchants. According to a 2018 analysis by PwC, a Big Four accounting firm, the value obtained from the effect of artificial intelligence on customer behavior, such as product personalization and an increase in free time, might reach $9.1 trillion by 2030.

NATURAL LANGUAGE PROCESSING

Customer service chatbots have become a cornerstone of many customer care centers. They are utilized to answer questions on various topics ranging from product possibilities for online marketplaces to phone inquiries at utilities and financial institutions.

Depending on the product, these digital assistants range in sophistication. Still, they are always restricted by their command of “natural language processing,” which is the capacity to treat words as more than just inputs and outputs. As a result, sympathetic responses are difficult to imitate, and AI cannot discriminate between a joke and a slur due to its inability to interpret contextual information. With developments in natural language processing, companies are increasingly offering smart digital assistant solutions to assist customers in doing everyday tasks.

Companies are now utilizing artificial intelligence to generate automated business reports without the need for human supervision and conduct sentiment analysis to understand how people perceive their brand based on various online comments, tweets, and other communications about the company.

Companies may continually understand how customers feel about their products and services by employing sentiment analysis techniques. This contributes to the improvement of the overall quality of services and the personalization of product offers.

 

 

10 Best web development framework: Backend and Frontend

Every website developer should know the rules and techniques of web development. To make a website look and work the way you want it to, you need to learn web technologies. To create an app or website, you need to know 3 languages: Javascript, HTML, and CSS. Understanding web technology and how it works becomes much easier once you know what you’re doing.

In computing, a web framework is a software platform for building and maintaining websites. It provides pre-written components, code snippets, and application templates for creating online services, web APIs, and other web resources. Most web development platforms allow you to customise ready-to-use templates and components to meet your individual needs. You can also integrate your code.

Using frameworks endorsed by thousands of developers worldwide is a sensible approach for building rich and interactive web applications. A web app has a backend (server-side) and a frontend (client-side), so we discuss both the best backend frameworks and frontend frameworks.

Backend frameworks

Express

Express is an open-source backend framework that supplies a variety of features for website and mobile development. It is considered one of the best web development frameworks as it is a minimal, flexible, and un-opinionated framework for backend development on Node.js.

Companies using Express for their projects are MuleSoft, Accenture, Myntra, Uber, Myspace, etc. Express is written in JavaScript and provides features for creating web applications, APIs and mobile solutions. It’s also compatible with third-party frameworks such as Kraken, Sails, and Loopback. It provides some core framework functionalities without obscuring the features of Node and leverages the robust performance of the asynchronous Node.js. Perhaps the biggest drawback of Express is the fact that there’s no defined way of doing things, at least for beginners.

Django

Django is a Model-View-Controller (MVC) framework that uses Python for web development. It allows for fast development and incredible scalability. It is perfect when competing with fast-moving deadlines and the challenging requirements of veteran developers. The Django applications are tremendously scalable, fast, versatile, and secure. The companies that use Django are Pinterest, Disqus, YouTube, Spotify, Instagram, Google, etc.

Django boasts its batteries-included feature, which is many features such as authentication and messaging that it has. It follows the Convention Over Configuration pattern and the DRY pattern as well. Security in Django is essential. It provides techniques and tools for developers to build a secure website or implement the security features in the framework itself, like preventing code execution in the template layer.

Ruby on Rails

Ruby on Rails (RoR or simply Rails) is an open-source backend web application framework written in the Ruby programming language and based on the MVC architectural pattern. Though RoR was invented more than 15 years ago, it is still a popular tool for developing complex web applications.

Discovered by David Heinemeier Hansson, RoR is generally ten times faster. It is one of the best backend frameworks as it comprises everything needed to form a database-driven application. Popular websites written with Ruby include GitHub, Airbnb, Groupon, Shopify, Hulu, Netflix, etc.

Rails are considered a beginner-friendly framework that helps beginners get started with web development quite quickly. There are many valuable gems for rails, which are library-like dependencies that extend the functionalities of your application and help you develop even faster and more efficiently. The Rails community is reliable and friendly, and there are many tutorials, screencasts, and resources that can help you become a rails expert in no time.

The main disadvantage of rails lies in the fact that they take quite some effort to deploy and run in a production environment. The learning curve of rails becomes steep once you dive deeper into the framework to unravel the magic behind it.

Laravel

Laravel is a Model-View-Controller framework that uses PHP, one of the most popular languages on the web. It’s relatively young compared to other frameworks on this list and ideal for small websites. It is proving to be the best framework for websites like Neighbourhood, Travel, Deltanet, Lender, and many more.

It comes with several useful features, including the MVC and API support, object-oriented libraries, Artisan, authorisation technique, database migration, etc. It is currently one of the most community-supported and community-developed frameworks. Given that PHP has one of the largest communities out there, Laravel is a great tool powering both small websites and large-scale B2B web apps, managing millions of transactions daily.

You can quickly learn Laravel with the help of the tutorial website Laracasts, a screencasts tutorials website with over a thousand videos on PHP. However, in terms of performance, Laravel doesn’t compare to Django or Express, which might be a drawback for massive projects.

Spring

The Spring Framework, invented by Pivotal Software, is one of the most popular backends web frameworks. Built for the Java platform, you can form simple, flexible, and fast applications and systems with the Spring framework. It is very lightweight in terms of functionality and size. Websites like Wix, TicketMaster, and BillGuard are users of this framework.

Spring possesses many sister projects that boost its performance and let you scale your business quickly. It uses Java, a strongly typed language, is a severe pro to many web developers and will not lose traction in the years to come. The learning curve might be quite steep tho, especially if you don’t know Java. The Spring framework’s large and active community continuously helps improve the platform and is always ready to help with real-life use cases.

Frontend Frameworks

Angular

Angular is one of the best frontend web development frameworks for developers. It is a TypeScript-based, open-source web app framework managed by Google Angular Team. You can use Angular to construct vast, high-functioning web applications. It is one of the best platforms for websites, mobile web, native mobile, and native desktop development. With Angular, you can create cross-platform applications with high speed and performance without using other frameworks or plug-ins.

The features include well-made templates, MVC architecture, code generation, code splitting, etc. All the expressions are like code snippets enclosed within curly braces and do not use any loops or conditional statements. It Specialises in building rich Single-Page applications. Previously, there was AngularJS; the Google team rewrote it from scratch in TypeScript, and now the framework is known as Angular 2+ or simply Angular.

Numerous apps are built with the assistance of Angular as its applications are much easier to maintain. Websites that use Angular are Upwork, Lego, PayPal, Netflix, Microsoft, etc. The core disadvantage of this platform is its large size, which can negatively impact the performance of web apps. However, the team has been reducing the size with each new release.

React.js

React is not a framework; it is an open-source JavaScript frontend library (it can use TypeScript as well). However, it’s easily comparable with other frameworks and is an excellent alternative to some of them. React was the first to adopt the component-based architecture that Angular and Vue and many other frameworks started to adopt later on. React’s virtual dom makes the dom-manipulation much faster, and it’s quite easy to pick up, mainly thanks to its JSX syntax.

React could be used server-side or client-side. It was developed and maintained by Facebook, and Facebook and Instagram use it. With React, you can build rich user interfaces and create custom components. It also allows for mobile app development. It is flexible, easy to learn, and SEO-friendly.

Vue.js

Vue.js is the new rising star; it started as an individual project and quickly grew into one of the most trending JS frameworks out there. It is the most high-performing lightweight JavaScript library of UI components. You can build dynamic UIs and single-page applications extremely fast using Vue. It provides a lot of features that can assist you in developing a seamless user interface.

Vue features a highly flexible and adaptable architecture (MVVM pattern) that allows you to integrate multiple third-party solutions. It also employs both one-way and two-way data binding. You can choose from numerous components, using Vue as a library to improve your existing app or utilising it as a full-featured framework.

It is also a progressive framework, which means that if you have an existing project, you can adopt Vue for one portion of the project, and everything would work just fine. It brings the component architecture to play, and the Vue ecosystem can help you build complete frontend applications.

Some people are wary of using Vue since big companies like Facebook or Google do not support it, but that’s quickly changing as big names are starting to invest in Vue. Companies using this framework for their projects are Gitlab, Behance, Grammarly, 9GAG, etc.

Ember

Ember.js is an open-source JavaScript framework based on the model-view-view-model (MVVM) architecture pattern. It aids web developers in forming extensible single-page applications by utilising general idioms and advanced practices. It was named the best Javascript framework back in 2015. Though mainly considered the best web framework, it also supports building mobile and desktop applications. A noteworthy example of the Ember desktop application is Apple Music, an attribute of the iTunes desktop app.

Today, the Ember community is enormous, and it’s ever-expanding, with new features and releases added frequently to keep improving the platform. Ember possesses the two-way data binding that Angular boasts, and it comes with many features and components that you can use out of the box.

Ember revolves around the developer’s productivity and attempts to maximise it by eliminating time-wasting activities or adopting some JS best practices in its core design. A significant feature of Ember is a testing program that is generated for each new entity by default. Heroku, Microsoft, Netflix, and Google utilise this framework entirely regularly.

JQuery

Introduced in 2006, jQuery is one of the earliest frontend frameworks. Fundamentally, it is a library that is used to manipulate CSS and DOM and optimise a website’s functionality and interactivity. It is written in JavaScript that is used to simplify frontend code that manipulates HTML.

Developers like it for its simplicity and cross-browser compatibility. The clean and simple syntax of jQuery facilitates interactions with DOM elements on web pages. You can also create breathtaking effects and animations without spending years learning these skills.

Though we couldn’t build mobile apps with jQuery, recent developments in jQuery mobile have expanded the usage boundaries. What’s more, the recent development in this framework enables developers to build native mobile applications with its HTML5-based UI system–jQuery mobile. Besides, jQuery is browser-friendly and supports any browser you intend to use. They are moved to plug-ins, so if needed, you can easily add any function.

Companies That Raked Billions During This Pandemic / COVID-19
TECH

The coronavirus pandemic could not hinder the seven largest tech businesses from increasing revenue by $3.4 trillion in total last year, indicating that they indeed had a big year in 2020. Although these corporations earn profit in diverse ways, the findings served as yet another indication of their power over their consumers.

Amazon recorded $108.5bn in revenue in the first 3 months of the year, a 44% increase over the same period last year, thanks to the pandemic pushing sales online and consumers flushed with stimulus checks from the government. In terms of dollars per minute over three months, this equates to $837,330. In addition, it reported a profit of $8.1bn, representing a 220% rise over the same period the previous year.

Apple came in second place in revenue-per-minute, bringing in $691,234 every minute during the first quarter of 2021, only behind Amazon. In the middle of a pandemic, the business reported revenue of $89.6bn for the quarter, exceeding Wall Street projections by a wide margin. iPhone sales increased by 65.5% at the same time a year earlier, according to the company. Apple also has the highest market capitalization of any corporation globally, with a market pro of more than $2.2 trillion as of May 2021. Amazon has a market price of $1.76 trillion.

Meanwhile, according to the most recent quarterly data from Google’s parent company, Alphabet, which has a market price of over $1.6 trillion, the business earned $426,805 every minute. The corporation recorded a total of $55.3bn in sales during the first quarter of 2021. Microsoft, which has a market price of $1.9 trillion, recorded $41.7bn in quarterly sales this past week, equating to $321,805 in income each minute.  The company’s advertising income increased by 69% to $50.44bn, thanks to what CEO Sundar Pichai has referred to as a “rising tide” of online activity between consumers and small and medium-sized businesses.

According to the company, Facebook, which has a market price of $925bn, generated $201,936 in income every minute and $26.2bn in overall revenue in the first three months of the year.  Sales at Facebook Inc. increased by 48% in the first quarter, above analysts’ expectations due to robust demand from shops and other advertisers looking to capture the attention of the social network’s bns of users.  Facebook also announced 2.85bn monthly active users, a 10% increase, more than the analysts’ expectations (2.83bn). In addition, the stock gained more than 6% in late-day trade.

Based on its GAAP, Tesla ($677bn market price), which generated $80,162 in revenue every minute, reported net profits of $438m with $10.4bn in quarterly revenue.  The company reported a profit of $1.1bn, or $1.02 per share, in the second quarter, an increase from $104m in the same time a year earlier. It brought in $12bn in sales.  More than 200,000 electric vehicles were sold by Tesla in the third quarter, up from around 91,000 vehicles sold in the same period a year earlier, when the coronavirus pandemic hindered sales and manufacturing for all automakers. Tesla sold 185,000 vehicles in the first quarter of 2021, according to the company.

Netflix (market price of $227bn) is coming off a year of record revenues in 2020. However, according to the company, the streaming giant’s subscriber growth slowed in the first quarter of 2021. Despite this, Netflix generated $7.2bn in sales in the year’s final quarter, equating to $55,270 in revenue every minute. With 4m new members in the first quarter, the streaming powerhouse fell short of its initial estimate of 6m and fell short by half of the 8m it gained by its last quarter in the year 2020. During the current quarter, the company expects to gain only roughly 1m new customers, which would be the slowest rate of growth the company has ever experienced.

 

 

PHARMACEUTICAL

 

 

Pfizer claimed that the vaccine generated $3.5bn in revenue in the first 3 months of this year, accounting for over a quarter of the company’s entire revenue. In the second quarter, it made $7.8 bn from the Covid vaccine doubling its $3.5bn in revenue in the first quarter. Pfizer, which distributes costs and profitability evenly with BioNTech, expects $15bn in sales in 2021 based on current agreements, according to the company. According to Pfizer, the final amount might be twice as large because the company expects to provide 2bn doses this year. According to a Barclays analyst, sales will reach $21.5bn in 2021 and $8.6bn the following year under the premise that the jab will be administered only once.

Moderna made its first-ever quarterly profit after selling $1.7bn worth of Covid-19 vaccines in the first three months of the year, marking the company’s first profit ever. It reported that it sold 102 m doses of its vaccine during the first quarter, resulting in total revenues of $1.9bn. Net income for the quarter was $1.2bn, compared to a loss of $124m in the same time the previous year. Moderna has stated that it expects revenues of $18.4bn in 2021.

It is the commitment of Johnson & Johnson to make its COVID-19 vaccine available on a not-for-profit basis for use in emergency pandemic situations. The business hopes to administer at least 1 bn doses this year throughout the United States, generating $10bn in revenue. Furthermore, J&J reported today that Covid-19 vaccinations accounted for barely $100m — or slightly more than 2% — of the company’s total sales of more than $22bn.

AstraZeneca’s Covid-19 vaccine generated $1.2bn in revenue in the first six months of this year, with sales more than doubling in the second quarter compared to the first. UK’s largest pharmaceutical company reported $894m in revenue from Covid-19 vaccine sales in June. This is an increase from the $275m it generated in the first three months of this year. Analysts predict that revenues will reach $1.9bn this year and $3bn in 2022. If AstraZeneca accomplishes its ambitious 3bn doses by 2021, the figure might be far higher.

COVID-19 Effects on Small vs Big Businesses

The Covid-19 pandemic is a global catastrophe that has affected billions of individuals worldwide, including Malaysia. In addition, the pandemic had significant consequences for the global economy, industries, small and medium-sized enterprises (SMEs), and large and listed enterprises (LLs). Therefore, experts anticipate that the slowdown of economic activity will begin in March 2020 and continue until an unspecified date in 2021 or later.

In the beginning, COVID-19 was a health crisis that soon morphed into a global economic crisis at incredible speed and size, unlike anything we have ever seen before. The ripple effects of this pandemic are still being felt worldwide, and it is unclear that the full implications of its influence will be known until the situation stabilizes. In this post, we will look at how COVID-19 has affected SMEs and LLs in Malaysia. Based on the study, SMEs and LLs business effects from COVID-19 can be discussed in 5 areas: financial, customer, technology, supply chain, and employee.

FINANCIAL

According to Bank Negara Malaysia (BNM) figures, financial concerns faced by SMEs were already apparent during the third quarter of 2019, owing to an average debt-to-equity ratio of 25% and a profit margin of only 5.7%. As a result, the effects of sudden shock situations on the stability of a corporation cannot be avoided. According to the results of an online survey on the sustainability of Malaysian SMEs conducted among 15,627 respondents, the majority of SMEs are extremely cash-strapped and expect to have no cash inflow for at least three months upon MCO due to multiple commitments such as staff salaries, rental payments, and other statutory payments. Approximately 33.3% of SMEs will only sustain their cash flow until March 2020, while 37.8% will sustain their cash flow until April 2020.

While for the large businesses, in contrast to the early months of the pandemic, there are indications of a slow but steady recovery; yet, liquidity seems to be a significant challenge, with the medium businesses having only two months of cash flow remaining. In October 2020, 60% of companies were already in difficulties or were on the verge of going into problems within the next six months. The tourism and transportation industries currently have the most considerable proportion of enterprises in difficulties, but the automotive and construction industries have the strongest impression of falling into financial hardship. Because of this widespread image of getting into arrears among businesses, many businesses are hesitant to take out loans for the risk of not being able to repay them.

CUSTOMER

Across large and SME companies, nearly half of the respondents have cited that a fall in demand is their key challenge, followed by a lack of client access for their products.

To overcome the lack of demand, digitalization is the most effective way for both LLs and SMEs. The justification for digitalization is apparent for big businesses: it increases productivity, competitiveness, and scale of operations. Complex technologies, such as automation of production processes and data-driven quality control systems, can help businesses cut costs and boost profits.

The low levels of back-end digitalization among SMEs before the COVID resulted in reduced productivity, lower efficiency, and a lackluster performance in business operations during the MCO. The week after the compulsory MCO, 70% of SMEs reported a 50% decrease in their commercial activity. Comparing these numbers to those found in the digital space within the same time frame reveals that online non-food purchasing climbed by 53%, online grocery shopping increased by 144%, and online food delivery increased by 61%. 

TECHNOLOGY

A total of 84% of SMEs reported experiencing challenges with their internet infrastructure and communications with clients and suppliers during the MCO survey. Meanwhile, for LLs, nearly a third of large and listed companies cited the inability to contact clients and suppliers as the major challenge.

SUPPLY CHAIN

Outages in the supply chain had a negative impact on sales and operations in the vast majority of companies. The failure of supply chain interruptions resulted in difficulty in completing sales orders for almost two-thirds of the impacted companies in October 2020. When it comes to supply chain shortages, exporters are hammered harder than non-exporters.

To deal with these interruptions, companies are employing a variety of tactics. These strategies include expanding supplier networks and boosting in-house manufacturing. Other than that, inciting large corporations to engage with SMEs, for example, by increasing their help in supply chains concerning financial recovery, raw material sourcing, and project outsourcing, can provide financial stability for SMEs and LLs for the time being. 

 EMPLOYEE

Most industries have seen a net loss in employment since the implementation of the MCO, which has had a considerable influence on employment levels. The most often implemented changes by businesses in October 2020 were the reduction of working hours and wages. Numerous employees were compelled or forced to remain home because the pandemic and self-isolation may be optional in several countries. In more seriously affected areas, the government may mandate non-essential employees not to break isolation restrictions. These restrictions may affect SMEs and LLs business in many ways, from delays in upskilling, completing projects, and operational downtime.

The Future of E-Commerce

In the eCommerce world, things like product selection, pricing, shipping, and customer service all play an important role in the customer experience. We see a company like Amazon really trying to stay ahead of the curve on shipping by their proposed use of drones to deliver small packages.

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