The effects of stockpiling on businesses and consumers during the Covid-19 pandemic: advantages and disadvantages

Abstract

The Covid-19 pandemic has profoundly impacted businesses and consumers worldwide triggering significant changes in supply chains and marketing strategies. Particularly, the emergence of stockpiling at the onset of the pandemic has created both challenges and opportunities. This study aims to understand the effects of products stockpiling during the Covid-19 pandemic on businesses and consumers. Specifically, it investigates the reasons behind the increased stockpiling and examines its implications for business operations and consumer shopping behaviors. The research includes a literature review and various survey studies conducted to understand business and consumer behaviors during the Covid-19 period. The literature review synthesized findings from previous studies to analyze the effects of stockpiling on businesses and consumers. Survey studies aimed to gather real-world data by directly engaging with business Owners and consumers. Findings indicate that product stockpiling provides short term Advantages for does but leads to long term challenges in supply chain management and cost increases. For consumers stockpiling creates a sense of security during uncertain times but contributes to supply shortages and price fluctuations. These results contributed significantly to strategic management and consumer behavior studies during Crisis periods.