RSS
Ionescu (ASF): Present crisis will force birth of many industries. Those who adapt will be winners
The present crisis will generate the birth of huge innovation opportunities and will force rebirth of many industries, said Valentin Ionescu, director of the Department of Financial Strategy and Stability In the Financial Supervision Authority (ASF).
“The crisis will trigger creative destruction. Huge opportunities for innovation, dynamic improvements of activities will appear as long as resources from inefficient or bankrupt businesses will be efficiently re-allocated to other areas. The crisis clearly forces the rebirth of many industries. Everybody stays at home in isolation, while re-imagining consumption ways, interaction and productivity. Paradoxically, due to technology, today people are better connected than ever. In the meantime, this creative destruction the crisis has triggered will finally offer dynamic productivity innovation and improvement opportunities as long as resources in inefficient sectors will be reallocated for better, more profitable purposes”, Ionescu said.
He pointed out the fact that crisis effects will be found in Romania's economy, but businesses will have to reconsider the role of human contact.
“Private companies looking for capital should expect investors to apply much more exigent models for evaluation and the money will not flow as freely as in the past. While the last decade belonged to disruptive businesses, focused on consumption, which redefined relations with known brands, I think next years will belong to those who rethink the role of human contact in affairs they carry out within transactions. In the present crisis I saw that businesses carried out online now are winners while traditional businesses have the opportunity to extend, to reconsider operations. Those who will adapt will be the winners. Undoubtedly there will be new companies in the market. The crisis can create opportunities, some of them will fit new norms which are now effectively built. Changes must be based on the principle of evolution and not of involution,”the ASF official said.
Representatives of the financial-banking environment and of the capital market participated on Tuesday on the video conference “The Post-Pandemic World”, organized by Bursa press group.