The coronavirus outbreak, which originated in Wuhan, China, has infected more than 1,000,000 people worldwide and it’s spread has impacted businesses around the globe.
In order to stop the spread of coronavirus, or Covid-19, many countries have implemented extremely tough measures. Whole countries and industrial centres have been put under strict lock down to slow down transmission, bringing an almost complete halt to major production and supply chains.
In China, industrial production, sales and investment all fell in the first two months of the year, compared with the same period in 2019, according to the BBC. The Dow and the FTSE also saw their biggest one-day declines since 1987.
China makes up a third of all manufacturing globally, and the country is the world’s largest exporter of goods. The strict lockdown in China has therefore affected a number of supply chains across the world.
This is leading to shortages of key components into the UK, which, in turn, is leading to widespread concern that there will be severe shortages of IT hardware due to several large factories being forced to close. Many electronics retailers have been told that it is taking up to three times as long for PC’s and parts to be delivered, according to the Financial Times.
However, even as cases begin to drop in China and many factories have reopened recently, supply chain experts believe that the effects of the shutdown will linger. This is due to shortages of components which only gradually become visible.
The Covid-19 crisis has now spread to new epicentres in Europe and the US, which will lead to many more companies being affected by lockdown closures and supply chain problems.
Many responsible distributors around the world have prepared for an event such as this by increasing their stock holdings, which has proved a vital decision. However, because this stock is now in high demand, prices have already started to rise with laptops in particular (along with other items required for home working) experiencing extreme jumps in price.
Whilst market conditions will inevitably lead to price rises across certain product ranges, as an SME ourselves, we understand the pressures that businesses throughout the UK are under. As a result, we’re committed to doing our utmost to keep our hardware prices to a level affordable by all.
Whether you’re an existing client or somebody we’ve never spoken to before, regardless of your situation we’ll do our utmost to support both you and your business through these difficult times.