Impact dollaramas share price
Identify source:
title of article, name of newspaper, magazine, journal, etc. , date, page #, writer’s name.
New Brunswick Public Health shuts down 9 Dollarama stores for potential COVID-19 exposure, Global News, 13th January 2021, Karla Renic.
-summarize the main idea/content in the article.
The main idea of the article is that it shows the effects of the coronavirus in Brunswick. It has led to the closure of nine Dollarama stores for 48 hours, which is because there has been a threat for exposure. The stores closed have been listed, and the reason behind their closure is that they can be cleaned deeply before they are reopened. This is due to the caution about the spread of the virus. It also shows the Brunswick Corona statistics for Wednesday that week being 29 new cases and the third death in 2021.
-tell me the potential impact/influence of this news item on the company (eg. positively/negatively, a little/lot, etc.) and why you think so.
The potential impact is that they are not going to make any sales for those two days, and also, due to the exposure, they are likely to lose clients due to the scare. The clients are the potential to pull away as they consider it a high-risk zone. Also, some workers are likely to stop working and resign due to the scare of being exposed.
The company can also be positively impacted since it may be deemed the safest store to go to with the set clean up and sanitization. Also, there will be more significant developments, especially in the operations, to ensure safe working places while delivering services efficiently.
-also how this would impact dollaramas share price
Its share price is likely to drop because investors may see it as a high-risk company to invest in. Closing up nine branches at a go for those two days leads to the company’s drop in value as it may not be attractive anymore to the investors because it might take long before the band gets back to its feet. This would not be profitable to investors as the share price automatically reduces.