Some people say that the coronavirus will change the world’s economy permanently. It will reshape how we work and live. It may be too early to say how long this virus situation will last. However, it is clear there are always new business opportunities under this public health crisis. If you want to register a company in Hong Kong or start a small business, you may consider the following ideas.
The travel industry is heavily affected by the virus outbreak. There are travel restrictions in more than a hundred countries around the world. There is a travel ban which is important in decreasing the spread of the virus. There is a quarantine requirement a well. Many cities have been locked down. There is no movement both in or out. Many major international events are expected to be canceled. For example, the Tokyo 2020 Olympics is likely to be postponed. The Canadian Olympic Committee states that Canada will only allow athletes to join the Tokyo Games if the game is postponed to 2021. Even if the virus situation can be controlled, it looks like most people have no confidence to travel in a short time.
As virtual reality technology is becoming more sophisticated these days, it may be a perfect idea to start a VR traveling business. With the latest technology, it is not just about a sense of vision. We can also hear, smell, touch or even sense the intensity of heat. For example, if we want to have a holiday at the beach in Thailand, a technology company can use equipment like fans to deliver a sense of cool breeze to match the visual scene which we are enjoying.
While there are more budget airlines these days, it is still kind of a luxury to travel. Even if we can afford the ticket and hotel, we may not have the time. Virtual reality traveling can save us time and cost. We can have a short break by staying in the same city.
Food & grocery delivery
Due to the virus outbreak, many restaurants are closed permanently. This is the first time that the Hong Kong food industry records a decline in earnings since 2003. The Hong Kong government asked citizens to keep social distancing. This is to reduce or to slow down the spread of this highly contagious virus. The Hong Kong government also imposed a new law that it shall ban public gatherings for more than 4 people. The table in each restaurant needs to be 1.5 meters apart from each other. If you are in the Central business district during lunch hour, you can see a long queue waiting for food.
In fact, food delivery companies are enjoying strong demand these days. Many of you should have heard of Foodpanda and Deliveroo. Foodpanda has reported an 80% increase in demand this year. Similarly, some companies have started to use a drone to deliver meals in Shanghai China. A chained restaurant like KFC, Pizza hut have also started contactless delivery.
Apart from takeout food, there are more demands for grocery deliveries. “HKTV mall” has a huge increase in demands. It has to hire additional staff for daily operation. I am a registered user of HKTV mall. I have been using it for more than a year now. From my recent experience, an average delivery time has increased from 1 week to 3 weeks. As the virus may last for some time, it may be a good idea to start a delivery company in 2020.
The third potential business opportunity is health care products. We all know that there is a debate on whether we should wear a face mask. In Hong Kong, the answer is definitely “yes.” People treat it as a civic duty. You never know whether you are a carrier of the virus at the beginning. If you put on a face mask, it does not only protect you from infection. You can also avoid spreading the virus to others via respiratory droplets. I know some people may disagree. Some are in the view that only sick people should wear masks. Some health officials also suggested that people only have to wash hands regularly and avoid crowded spaces. While there is no consensus on this matter, there is a big business opportunity for healthcare products.
There were long queues outside pharmacies every day and people want face masks for themselves and their families. Some even queued overnight just for a box of face mask. In normal days, a level-3 mask costs HK$1.5 each from retail stores. While big retail shop like Watsons or Mannings still sells face masks at its original price, many are selling face masks at HK$ 4 – 10 dollars each. The pricing has become very ridiculous. Similarly, hand sanitizer and other cleaning materials were also in shortage in the past few months.
Hong Kong relies heavily on imports and export. The city rarely manufactures its own products. The Government has recently introduced the local mask production subsidy scheme. This is to encourage businesses to manufacture and produce face masks in Hong Kong. Perhaps after this incident, more authorities will treat healthcare products or protective gear as strategic stocks. You may want to start a healthcare product company today.
In fact, if you have been following our blog since 2019, you probably remember I mentioned the same idea last year. Online tutoring is not affected by this virus outbreak. Moreover, many Universities also conduct classes online. Teleconference apps like Zoom said there has been a big increase in usage since January 2020. Online teaching is likely to be a future trend. You can teach yoga, cake decorating, candy making, cooking, dancing, flower arranging, jewelry making, kids crafts, painting, photography, furniture restoration, gardening, anything you can think of. All you need is just a computer and a stable internet connection.
Thank you for reading. I hope this article gives you some new ideas. If you are interested in setting up a company in Hong Kong, you can contact our incorporation team at firstname.lastname@example.org The incorporation process can be completed as fast as 1 business day. Setting up a Hong Kong Company has never been this easy.