Tag Archives: coronavirus

INSATIABLE DEMAND

The U.S. Food and Drug Administration has said malaria drugs hydroxychloroquine and chloroquine are in shortage due to a surge in demand because of the coronavirus pandemic.

There is an urgent need for new treatments as the pandemic that has killed 42,000 people globally puts a strain on healthcare systems and wreaks havoc on financial markets.

Studies are underway in a number of countries to see whether hydroxychloroquine and the related malaria drug chloroquine may be effective in controlling the spread of coronavirus, which has led to a surge in demand for the treatments.

The agency has said it was working with companies making generic versions of the drugs to ramp up production.

The unprecedented demand created by the global pandemic is creating shortages for even basic over-the-counter drugs like Tylenol, as supply chains strain from the manufacturers that produce the medications to the wholesalers that deliver them to pharmacies, making it extraordinarily difficult to keep shelves fully stocked for key items in hot zones like New York.

Pharmacies are improvising when they can. City Drug & Surgical in one Manhattan’s neighborhood has been making hand sanitizer since the brand names sold out about three weeks ago. It takes about 40 minutes to make a batch of 24 bottles. They sell out the same day.

online shopping increase due to coronavirus

As we have seen in class and as @CMERIZALDE has mentioned in the previous post, inventory control is really important for a company and there are different ways of controlling it. Nevertheless, when society is suffering from panic, like coronavirus they begin to do panic sales and the normal supply grocery stores are receiving is not enough, the company will experience shortages. In a lot of countries, shelves are getting empty. In my case, I have seen photos of supermarkets in Spain, Mexico, the US, Ecuador, Dominican Republic and Peru, empty, without toilet paper, water, tuna, rice, and other nonperishable goods, the panic sales don´t give time to supermarkets to replenish the shelves and their logistics system are oversaturated.

As another option, people are using technology to avoid doing physical contact and are trying to buy online groceries. Mercadona, Carrefour and Corte Inglés, among others have experienced an increase of 138% in the week of February 24 and March 1, due to the overdemand, they have been hiring temporary workers to try to satisfy it, but in some cases like in Madrid, Mercadona cancel the sales because they were not able to warranty the deliveries. In other cases, Dia and Carrefour are limiting their services to “the one that most needed” like people over 60 years old.

Additionally to groceries, other sectors have experienced an increase in demand, clothes stores like Mango and Zara had an increase in their online sales, one of the reasons is because their physical stores are closed due to quarantine. Similarly, technology stores have experienced an increase in their online shopping, the most popular products are video games, computers, tablets and TVs. It´s important to mentioned that delivery guys are one of the people that will be more at risk due to their exposure.

Here are more news if you are interested in the subjetc.

https://smoda.elpais.com/moda/actualidad/compras-online-coronavirus/

https://www.modaes.es/entorno/coronavirus-y-si-ni-el-ecommerce-salva-a-la-moda.html