Will Corona Pandemic Destroy Business MoghulsJun 10, 2020 09:58 AM
Coronavirus Pandemic had impacted several industries and many businesses. It almost put an end to industries and pushing them to bankruptcy. Big names are struggling and facing huge losses. Apart from construction tourism and media business is on the verge of collapse. Big media houses that seemed invincible once are nearing absolute annihilation.
One glaring example is the Telugu media Moghul Ramoji Rao. No one would have fathom that Ramoji Rao would face a crisis of this magnitude. So far the information gathered from media circle seems that Ramoji is going through a huge financial crisis. And his media empire might crumble. The ongoing situation indicates that it will impact his other ventures like Ramoji Film City, Dolphin, and Tara & Sitara hotels.
One employee said, “The signs of his empire collapsing are very glaring for the employees to see. One wonders whether Ramoji Rao would be able to see the recovery of his empire in his lifetime again.”
The Eenadu is on a steady decline, but it is still surviving because of its goodwill among the Telugu readers. The revenue generated through advertisement had drastically declined from Rs 200 crores to 25 crores. This huge loss is impacting the employees and there is a pay-cut as well as massive cost-cutting. There is also news about stopping district editions and removing the printing machinery including infrastructure.
The TV channels are facing huge crisis including the new venture ETV Bharat which incurred huge losses and several employees had been given a pink slip. Apart from media, his other businesses like Kalanjali and Priya Foods are under losses. The only respite for him is Margadarshi Chit Funds which is doing pretty good. But it won’t be sufficient to cover the losses.