The Pandemic and Canadian Businesses: Why They Need Our Help

It is wild to think about what society looked like a year ago today. Maybe you were taking the bus to work, at lunch with a group of coworkers, anxiously waiting on a blind date, having a drink with some friends.

About a year ago, I was sitting in my 9:30 lecture, ready to give a presentation on an article titled, “The Coronavirus and why it will NOT affect North America”.

Oh boy, were we wrong.

And now here we are, sitting in 2021, working from home, wearing face masks, maintaining 6-foot social distancing, staying in our ‘bubbles’. Each of us playing our part in limiting the spread of covid-19.

The pandemic has forced us to adjust significantly to this new way of life and what that looks like for each of us everyday. But we aren’t the only ones having to make changes.

Before we jump too far into this, I’m going to insert a little bit of textbook economics that I think is crucial in understanding a deeper level of small businesses vs. large businesses and the cycling of funds in an economy. (Disclaimer: this is a general statement and may not apply to every company).

Profitability is the goal in every business model and in large companies, profits are massive. These conglomerates definitely rake it in. This money is used within business activities that are equal to the sheer size of that company. Simply put, large corporations often pour money into other large corporations for materials, capital, investments, networking, etc. This money moves up the ladder to the top owners and investors.

Small businesses are different. Their goals and motivations often go to supporting other brands in their business ‘class’. This means that the money going into local businesses gets spent at other local shops, and that money gets spent at the next local store, and the cycle continues. Translation: the money from the community stays in the local economy. In this local economy, the money doesn’t move up the ladder or go to top CEOs. It trickles down to the community and supports our fellow Canadians.

I'd also like to say, both of these components are important for any economy to function. We need those larger corporations just as much as we need local businesses. However, with the pandemic at large, the balance between the larger national economy and the local economy has been off. We can demonstrate this as a 'K', meaning the big companies are getting richer and the smaller companies are loosing profits.

That is why, especially right now, we need to be supporting our small Canadian businesses.

There has been a silver lining for those small business that are still with us. Many customers have noticed the closing doors and the importance of Canadian owned small businesses in our economy. With this, Canadians across the country have created a 'Support Local' push that has allowed more doors to remain open.

But they still need more support.

Covid-19 has been a pandemic for the small Canadian business sector as well. So many of our favourite corner stores, restaurants, bookshops, clothing retailers, sustainability brands etc. have all had to shut their doors for the safety of the public.

We all hope the future holds promise for the health of all Canadians, but the projection of the economy with these necessary restrictions is difficult to predict.

How will we bounce back? How will our pride, our Canadian entrepreneurs bounce back?

The push to shop local has been a tremendous help to Canadians and will be a significant factor in determining the future of our economy. The importance of supporting our local economies, cycling funds within our communities, and encouraging small scale entrepreneurship is so critical in the bounce back of our local and national economies. It all starts in restoring the balance and supporting the local businesses, to build the strength of our Canadian entrepreneurs and our national business recovery!

This is why Shop Sustainably is so vital. By hosting a one-stop site for sustainable, eco-conscious products, we can support these important Canadian entrepreneurs who are making a difference for the environment.

Check out some of the awesome products in our catalog, catered to your kitchen, bathroom, and household needs!

Sign up for our newsletter to receive notifications on new blog posts and available products! Best, Emily @ Shop Sustainably