Epidemiological control measurements at the business sector and impact of pandemic on business creation in the department of magdalena Colombia

ABSTRACT

This study aims to analyze the impact of the COVID-19 pandemic on the records of the creation of new companies in the department of Magdalena (Colombia), mainly between 2019 and 2020. In the same way, an analysis of epidemiology control measures is developed at the national and departmental levels to better understand COVID-19 containment initiatives. For the development of this study, the data on business creation of the last five years (2016 - 2020) in Magdalena was taken as a reference;as well as measures for epidemiological control at the national level (prevent, mitigate, and suppress), along with those adopted specifically for Magdalena were analyzed. Among the main findings, it was found that, when comparing the years 2019 and 2020, there was a 2.6% decrease in the creation of new companies in Magdalena, a percentage that represents 202 production units less than in 2019;This downward trend in the creation of companies came from 2019, the year in which there was a 0.8% drop in the establishment of new companies compared to 2018 -62 fewer companies-;the overwhelming drop in 2020 is a reflection of the disastrous effect of the appearance of COVID-19 on business dynamics in Magdalena;On the other hand, the business associations management measures were a key important factor. Additionally, the financial support to boost the economy in Magdalena, as well as a prudent chronology - in terms of epidemiological controls in the Territory.