COVID-19 and World Business: Arnault, Billionaire & Once the Richest in the World, Suffers More Money Loss than Anyone; Promises Rebound!

Bernard Arnault, Europe’s wealthiest man, is now spending time devising post- pandemic strategies to kickstart his business and recover the lost wealth. The French Billionaire businessman and chairman of LVMH, the world’s largest luxury goods’ company echoes that this is one of the worst crises the world has seen so far. 

Arnault’s wealth has dropped significantly, more than other businesses. The shares have dropped down by 19% and his net worth has shrunk by more than $30 billion. According to Bloomberg Billionaires Index, he has lost more money than any other individual in the world. Reportedly, he has lost about as much money as Jeff Bezos, Amazon.com Inc. Chairman has gained in the past month.

Louis Vuitton brand was estimated to have a profit margin of almost 45%. However, the coronavirus outbreak and lockdown measures have forced the shutdown of shops and businesses. This pandemic is being seen as the worst crisis since World War II.

Most of his fashion boutiques continue to remain closed for almost a month now. This has led to a loss of billions. Being the maker of a fifth of the world’s champagne, the business contributed to a massive part of his wealth. Again, with night clubs, bars, parties and restaurants being shut down, the champagne business too suffered a humongous cut in its profits. 

The Coronavirus pandemic has crushed businesses of varied scales and affected economies across the globe.