Kitco interviews Shark Tank’s Daymond John on March 27th amidst the Covid-19 crisis. While most are in awe of what is happening, Daymond is figuring out how to thrive in our new reality.
Daymond grew his clothing line FUBU with forty dollars and a few sewing machines in his mother’s basement. He turned it into a $6 billion dollar fashion industry giant.
Daymond John Predicts Covid-19 to Last 6 Months Minimum
Daymond John believes the crisis effects will be felt for two years and outlines a game plan for entrepreneurs and business leaders.
T-Shirts vs. Medicine and Medical Supplies
Daymond explains that to produce a t-shirt and deliver it to 350 million people would take 2-3 months, so medicine and medical supplies will take longer. John explains,
“I don’t want people here to be unrealistic and say it’s over in two months or three months. I think we have a six-month hold on this. And the effect on the economy over the time will be at least two years.
However, that’s the downside; the good side is some of the biggest brands we know today were launched during the 2008 recession.”
He cites Instagram and Lyft as two examples.
Daymond John gets into the power of working virtually, harnessing social media and the new way of doing business. He talks about his focus on hiring younger and smarter employees. As a business leader, his preparation and mindset are impressive.
Daymond’s Predictions Mean Market Pain
If Daymond John is right and the economy will not start back up in a matter of weeks or even a few months, the markets are likely heading much lower. The transition to virtual work or working from home will not happen overnight. Those betting on a swift recovery may want to recalibrate their internal expectations. Many businesses, particularly the service sector, which so many low paid workers in the United States depend on, cannot work virtually. Still, every crisis gives birth to opportunity. Innovators and risk-takers will succeed as new thought leaders emerge, and a new way to do business unfolds.