APD | South Korea promotes “untact economy” to curb coronavirus spread

APD NEWS

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By APD writer Alice

The trend of keeping distance from others to avoid transmission of the novel coronavirus (SARS-CoV-2) is taking place in various forms in South Korean society.

Contactless activities such as working from home and online shopping are spreading throughout the Korean economy and society.

In the field of catering, home delivery revenue has increased sharply, while most of the job interviews, university classes and export negotiations have been online.

Keeping a distance from others is considered one of the first crucial measures in preventing the COVID-19 outbreak, which is currently spreading not only in South Korea but also worldwide. Initially, the Korean epidemic prevention agency recommended that people prioritize wearing masks to prevent virus infection. However, after the epidemic spread, masks became scarce, the South Korean government emphasized measures of regular handwashing and keeping distance from others.

The authorities have recommended businesses allow their employees working from home. During the coronavirus outbreak, online meetings and lectures and online shopping are taking place vigorously to limit direct contact, thus preventing the spread of the virus.

Economic activities in the traditional sense usually involve face-to-face contact.

The marketplace is where supply meets demand. Therefore, avoiding going outdoors and meeting people will interrupt economic activities. However, these days, the notion of the online economy is nothing new and is very much ingrained in daily lives.

To avoid infection, contactless activities are taking place based on existing technology infrastructure. Many shopping malls, used to be popular offline shopping venues, are actively stimulating demand for online shopping.

In response to the sharp drop in shoppers due to the COVID-19 epidemic, some trade centres have expanded e-commerce channels and achieved positive results.

In Daegu city and North Gyeongsang province, where were hardest hit by COVID-19, local governments are actively organizing “contactless” marketing and consultation sessions like online export consultation. These measures are taken in the context of the increasing number of countries restricting entry of South Koreans, making business activities abroad such as exhibitions and working trips more difficult.

Some universities in South Korea have started offering online lectures to students, while businesses have conducted video interviews during the recruitment process.

Restaurants show the most obvious changes with strong sales coming from home delivery orders. In addition, information technology (IT) firms are also taking active measures. Naver, the largest portal operator in South Korea, is stepping up support for untact technology, such as deploying online commerce tools to help sellers introduce products via live streaming (live video). In addition, the company has also converted training programs for small businesses to online training.

The prolonged COVID-19 epidemic is changing the way economic activities take place. Untact economy may become a new trend after the epidemic is controlled, experts said.

(ASIA PACIFIC DAILY)