Commercial Awareness w/c 18.01.2021

I have introduced a new theme over on my Instagram, providing my followers with bite-sized commercial awareness posts, three times a week. In conjunction with this, I thought it would be beneficial to round up everything from the week in to one post here on my blog. If you want to check out my original posts, them do head over to my Instagram page (legally.jones).

1. EasyJet holiday sales up 250% on same time last year:

May is currently the most popular month of bookings. Even with new requirements to travel to the EU, this doesn't appear to be deterring people from booking holidays. The aviation industry is calling on the government to ensure there is a plan in place for when restrictions ease. There is also the issue of potential Covid-19 documentation being implemented for travellers.

2. BlackRock invest in Clarity AI

Clarity AI is a Spanish fintech company that uses machine learning to show investors their societal impact on their investments. BlackRock is intending on incorporating this programme into their Aladdin operating system for their investment professionals. Sustainability is increasing in the financial world, so this demonstrates BlackRock recognises this.

3. China is to become the world's largest economy by 2028

Economists prediction of such has moved forward five years. China's stock market is also seeing its highest levels in 13 years. China generally sees rapid growth, but has also done well dealing with post-pandemic recovery, which could see China become a high-income country by 2023. This is making their consumer market even more appealing to investors.

4. HSBC is set to close 82 branches across the UK

They are due to close these branches between April and September of this year. To think about this in commercial terms, consider things such as: will there be investment in HSBC's online platforms and solutions; will there be any job security for the employees in branch; and will other banks follow suit and continue to move toward a predominant digital offering.

5. Unilever announces suppliers must pay staff minimum wage

This is to be enforced by the year 2030. This will change depending on which country the supplier is based, but will cover basic costs such as travel and clothing costs. In commercial terms, consider whether this means prices of products will increase due to higher wages?

6. Retailer Next is out of the race for Topshop purchase.

Supposedly Shein, the Chinese online retailer, has outbid Next with an offer of over £300 million. At the moment, it appears most bids are for individual brands, rather than the whole Arcadia Group altogether.

7. John Lewis is to repay government Covid support package two months early

This means the company will avoid reporting a full-year loss, which they have never had to do since establishing in 1920. The company saw better-than-expected profits from the Christmas period, meaning they are looking to pay back the £300 million back two months earlier than the March 2021 deadline.

That is the roundup of news stories this week. I hope it has been helpful and enabled you to either focus on a couple of stories or think of them in a more commercially minded way.