Coronavirus Outbreak in China, and How We Adapt to the Black Swan World

So far, as we all know, in Chinese New Year, a noval coronavirus is fastly spreading across China and abroad. The outbreak was firstly reported in Wuhan, central city of China. The rumor still need verfied is that the disease is caused by people eat bat.  

Here is what we know about the coronavirus impact until Feb 14:

There is no doubt that the Noval Coronavirus is hugely affecting everyone life in China. Normally, in Chinese new year, most of Chinese going back to there home town to celebrate with their family. You can see full of people, cars everywhere, however, there is almost no one on street in this Chinese New year. 

This pic shows in Guangzhou South train station, and people wait the train to go home town.

The following pic shows almost no one on the walking street , and no open shop in my home town.

People stayed home by themselves to prevent from infected by Noval Coronavirus, instead of paying visit to their relatives. It’s clear that the Noval Coronavirus outbreak afftected everyone’s life in China, and has a big impact on Chinese economy. This was reflected in Chinese stock market directly. In Feb 3rd, the Shanghai market index fell sharply by 8.8% on the first day market open after Chinese New Year. However, the index recovered since then.

The Noval Coronavirus affected other industries, such as tourism, service, shopping, etc. I believe that numerous SMEs will be closed and lot’s of people will out of job during this epidemic. However, this is not the worst. In the beginning of 2020, we have experiencing disasters globally: forest fire in Australia, earthquake in Philippines, grasshopper in Africa. Black Swans are dancing all over the world.

As the world moves into globalization, the butterfly swings in each corner will cause a big impact in everyone’s life, and we will see more and more Black Swans in our life. 

So, How we adapt to this new world?

I think we can prepare from several aspects:

  1. We need to have different working skills to have several income sources to prevent we may lose job one day;
  2. We need to exercise our body to have strong power of resistence to epidemic virus;
  3. We need to have enough cash to invest in great companies stocks when the stock market fell sharply;

In 2003, when SARS spreads, Online shopping trends to make JD, Alibaba as a part in everyone’s daily life. And in 2020, I believe that the new coronaviurs will have new trends to transform the society in the future, such as online hospital, online education, online working, etc. For example, as the Chinese government makes quarantine policy, I have online meeing through Tencent Meeting APP。More and more people go to online hospital platform, such as Ping An Good Doctor APP 

When bad things happend, new good things will occurs, that’s why the world become better and better. 

Chinese Personal Website:雪球侠   
English Personal Website:Investment Traveler

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