The Impacts of the COVID-19 Pandemic in Supply Chain Operations

Abstract

In December 2019, in Wuhan, China, the emergence of a new disease changed the lifestyle of the entire population. The COVID-19 pandemic has marked the world and continues to do so, causing several impacts in the most varied sectors. This chapter aims to show how the pandemic impacted the global logistics network by showcasing several supply chains that were affected, mainly focusing on e-commerce and food supply chains and their many aspects. This chapter also draws attention to how changes, caused by the virus, have transformed consumer behavior over the past 2 years. It will also present mitigation strategies that have been or could have been used by companies to minimize the risk of disruptions during the pandemic by creating a more resilient supply chain.

1. Introduction

The year 2020 will remain in our memory forever. A pandemic which had never been seen in this day and age, took the whole world by surprise. It all started at the end of 2019, in Wuhan, China, where the first cases appeared. Thereafter, the virus spread around the globe, initially affecting Europe and then reaching Brazil in mid-March that very year. Within the peaks and valleys in the well-known contagion curve, and the emergence of variants which unleashed new waves of the virus, improvements can be seen in the national epidemiological scenario, thanks to the advance of vaccination. However, if we observe European countries, it is clear that there has been a significant increase in the number of people infected with the COVID-19 virus.

This whole scenario has triggered abrupt changes in our way of living, whether in people’s relationships, in the way we work, attend classes, or do our shopping.

Everything has become digital and it is unimaginable to think that from now on, things will change or go back to the way they used to be.

Considering the general aspect of purchasing a product, the entire chain of events, from the beginning of the production process, up until delivery to the final consumer, many changes have taken place. Either, due to variations in terms of product demand, the increase of prices, or the lack of raw materials, all of which was inevitable, mostly because of the several factors involved in a production chain.

The purpose of this article is to analyze the impact of the pandemic on the Supply Chain, a term coined in the Unites States, which literally means “a network between a company and its suppliers to produce and distribute a specific product or service.” Supply Chain refers to the set of production processes of a material, from the extraction of raw material to delivery of the final consumer.

The article will also analyze how certain aspects have been directly affected, more specifically, e-commerce, which is not only an important electronic sales channel, but also an opportunity to develop (Business to Consumer) B2C and (Business to Business) B2B companies. We also intend to look into how e-commerce was used as a reactive strategy to minimize the breakage risks during the supply chain cycles.

Furthermore, we intend to point out some changes in consumer behavior and how companies may adapt to the abrupt changes, in order to become resilient, in other words, to be able to reuptake their initial conditions, prior to the pandemic, and face these great transformations.

Subsequently, Section 2 will present the research methodology, while Section 3 will focus on literature review, followed by the analysis and discussions in Section 4. The final remarks and conclusions can be found in Section 5.

2. Methodology

This article aims to present how the COVID-19 pandemic has affected and continues to affect national and global supply chains, especially in the last link of the chain, the consumer. This section aims to show how this work was compiled.

An exploratory research was carried out to list, in amongst the countless existing supply chains, those which were directly impacted by the COVID-19 pandemic, such as a sudden increase in product demand, or several changes in consumer behavior during the most diverse stages of the pandemic. The research was conducted using a systematic search engine on targeted websites and applications, in which, by means of delimited keywords, it was possible to identify articles and reports published from January 2020 to October 2021, as specified in Table 1.

Sites and applications	Journals and academic magazines	Keywords
Scielo	International Journal of Production Research	Supply chain + COVID
Eric	International Journal of RF Technologies Research and Applications	Supply chain + e-commerce
Google Scholar	Emerald Insight: Discover Journals, Books & Case Studies	Supply chain + pandemic
Capes Brazil	International Journal of Supply and Operations Management	e-commerce + pandemic
BDTD	International Journal of Supply and Operations Resilience	Supply chain management + COVID
Research Gate	Brazilian Journal of Production Engineering	Supply chain management + COVID + impact
	Brazilian Journal of Operations & Production Management	Supply chain food + COVID

Table 1.

Search structure.

Source: The author.

Among all articles found in the systematically structured research, it is possible to identify the effect of the COVID-19 pandemic on the supply chain in two specific sectors: e-commerce and food supply. In addition, as the aim was to globally assess these impacts, it is possible to collect data in the specified period from January 2020 to October 2021, simply by inserting specific keywords with names of countries, such as Brazil, United States, Mexico, England, Spain, France, Italy, for instance.

A bibliometric and exploratory research is of significant help in the decision-making process, because researchers can explore, organize and evaluate large masses of data which, if not evaluated with a more structured method, will not accurately generate such valuable results for decision-making [1]. By organizing this data, it is possible to reach a conclusion.

This work presents a combination of qualitative and quantitative research, as stated by [2], “qualitative research provides a better vision and understanding of the context regarding the issue, while quantitative research seeks to quantify the data by means of statistical analysis”. Firstly, the whole pandemic scenario was contextualized, and afterwards, a data analysis was carried out on consumer behavior.

This study also intends to show, among a variety of risk mitigation strategies which happen during chain interruptions, those which successfully enabled companies to deal with disruptions and measures which could have been taken to avoid further losses and maximize profits.

Table 1 demonstrates the structure and research methodology applied, as well as sites, applications and keywords used.

3. Bibliographical review

This section will outline the literature review done, so as to present the main concepts present in the course of the work. The themes covered are as follows: supply chain, pandemic impacts in North America, pandemic impacts in Europe, e-commerce, pandemic impacts in e-commerce in Brazil and supply chain resilience (SCRes).

3.1 Supply chain

In [3] a supply chain is defined as “a network of organizations which are connected and interdependent of each other, working cooperatively to control, manage and improve the flow of materials and exchange of information from suppliers to end users”.

A supply chain, in addition to all activities which it involves, such as input purchasing, storage, transport, packaging, sales and distribution, incudes all physical infrastructure and processes that support the operations. In other words, the supply chain is made up of physical elements, as well as planning and operational processes [4].

It is important to emphasize that a well-developed supply chain, which functions appropriately, is a major competitive differentiator. Lambert and Cooper, [5] claims that one of the most important paradigm shifts occur when companies, nowadays, do not compete with one another, nor does a product compete with another product, instead, the competition would be of one supply chain against another. That, in turn will reinforce the need to establish a strengthened chain management able to stand in good stead, should any adversities appear, as shown in Figure 1.

Figure 1.

Supply chain flow. Resource base: (Capacity, Information, “Core” competencies, Banking). Source: [6 , p. 9].

The several organizations involved, in addition to the large amount of information and materials that circulate both ways, only emphasize how dependent each member is of the other, and events which disrupt the balance of the chain can cause great harm to the parts involved.

3.2 Pandemic impacts in North America

According to [7], the COVID-19 pandemic has been one of the most significant events to disrupt the supply chain in recent history, and it is also likely to weaken many organizations globally. In an attempt to prevent the spreading of the virus, most governments around the world have responded with the implementation of human restriction measures. As there were no pharmacological treatments at the beginning of the pandemic, such as vaccines, border closures and quarantines, all of which proved to be extremely challenging to combat, as symptoms appeared at different levels of intensity in patients [7]. Global response has severely impacted international supply chain operations [7]. The National Association of Manufacturers (NAM) conducted a survey of its 558 members in the United States on the impact of COVID-19, and found that more than 78% of its members expected a serious financial impact on their businesses due to the uncertainty caused by the pandemic [8].

Another study by (PricewaterhouseCoopers) (PwC) reports that 87% of multi-sector companies in Mexico and the United States were very concerned about the disastrous impact of the pandemic [9].

As explained by Baldwin and Tomiura in a publication of 2020 [10], it can be predicted that the financial impact caused by COVID-19 on the manufacturing sector alone, will almost triple.

They state that, initially, the concentration of the disease was mainly in the world's manufacturing center (East Asia), and its spread to other industrial powers in the US and European Union (EU) would therefore create direct and massive disruptions in supply, which in fact did occur. Such sudden supply disruptions would then cascade to other industries in less affected countries due to the contagion effect on the supply chain. Eventually, macroeconomic declines in aggregate demand, along with delays in investment by companies, will undoubtedly generate countless disruptions.

Thus, both the vulnerability and the complexity of supply chains spread and triggered the effect of the pandemic, even in countries that initially did not suffer from the disease itself. China's large share of global trade and its expressive significance in the supply chain amplified the economic repercussions for other less affected markets. Even if the peak of the outbreak were short-lived (something that notably did not happen), with gradual recovery in production and demand in the coming months (which also did not occur), it still posed a substantial threat to global growth in 2020 [11].

No business sector was immune to the effect of the pandemic. Given the economic importance, considerable supply and demand shocks were not leveled in firms and industries. The impact of COVID-19 on different business sectors may vary due to differences in supply and demand patterns [12]. While some sectors saw a drop in demand, others saw a sudden increase. As people began to follow government calls to stay at home, some industries such as car manufacturing, crude oil production and transportation saw a decline in demand. In contrast, most tech companies experienced an increase in demand. Companies operating in the healthcare sector experienced a sudden surge in demand which has proved to be a tall order to meet in such a short period. Service companies that rely heavily on tourism and travel were also one of the first to suffer from a very strong and unexpected decrease in demand.

As this work unfolds, it aims to show specific cases where impacts of the pandemic are more evident, such as in e-commerce in Brazil, as well as certain effects of the pandemic in Europe because these were sectors where significant changes in consumer behavior were noticed, besides a substantial amount of other collected comparative data used to carry out the study. The response strategies used to mitigate the supply chain risks caused by the ongoing pandemic will also be respectively shown, compared and analyzed.

3.3 Pandemic impacts in Europe

A shortage in food is inevitable, considering the initial approach to combat the pandemic. The food supply chain is a complex web which includes producers, agricultural inputs, transportation, factories, distributors and retailers.

According to experts, restrictions on transport and other blocking measures, such as the implementation of greater control over sea cargo, the production process has suffered significant impacts. As a consequence, labor shortages started to unfold and prices peaked, which has led to food loss and waste. These obstructions normally prevent farmers from accessing markets, restricting their productive capacity and preventing them from selling their products [13].

As commuting and movement of people was restricted, restaurants that depended exclusively on face-to-face service were severely affected and had to be shut down. In Spain, for example, around 40,000 hotels, bars, cafés and restaurants had closed their doors by July 2020 (Le Parisien). To minimize this effect in England, the government gave a one-time cash donation of up to £25,000 to eligible restaurants, cafés, bars and pubs; a £1,000 bonus per employee to employers who retained employment contracts until 31st January 2021; besides paying 80% of salaries to employees placed on leave when establishments shut down because of the quarantine and other restrictive measures [14].

As a form of recovery, the UK instituted the “eat out to help out” project, in which the government paid up to 10 pounds for meals made from Monday to Wednesday in restaurants across the country [15].

Lockdowns reduced the movement of people and prevented some workers from reaching their workplaces. Many sectors, including the fuel industry saw a decrease in demand, as more people stay indoors, which consequently increased the price of fuels used by trucks to transport all sorts of materials.

On the other hand, the crisis also generated the need for innovations, creating opportunities for new business models in Europe and around the world [16]. Analyzed the implications of COVID-19 on food supply chains and reported that demand and supply shocks created during a pandemic mainly occur as a result of a change in consumer behavior. For example, the sudden urge to buy ready-to-eat foods caused several demand shocks, which led to labor shortages and disruptions to the transportation network. In addition, restrictions on transportation and delivery of goods across borders led to collateral shocks in food supply chains.

The change in consumer behavior can be seen in a survey carried out by the Reply platform, which collects data and performs analysis in the attempt to understand the progress of the pandemic and how it has affected society as a whole. Using the Quentin data research tool developed by TD Reply, which gathers data from Google Trends and Google Ads, it is possible to notice the effects. Figure 2 shows how the COVID-19 pandemic impacted the Food and Beverage sector in Europe in 2021.

Figure 2.

Food delivery in Europe. Source: [17].

One of the first major changes that appeared at the beginning of the pandemic was how the population purchased food. As bakeries, markets and restaurants were closed, many people turned to the online format to buy their food. There was a 140% increase in Europeans’ interest in buying food online in 2020 (data obtained through Quentin, a TD Reply's data research tool, Europe. 2019 x 2020).

The orange line represents the delivery rate of groceries, while the red line shows the delivery rate of ready-made meals. While the delivery of market products indicates large peaks, especially at the beginning of the pandemic on the European continent, the delivery of meals did not suffer great variations throughout 2020. This indicated a possible tendency of the European people to experience food consumption in a different way, by ordering it from a specific restaurant and delivered to their homes.

Another aspect which underwent a major impact was how products were paid for. 87% of Europeans are willing to use less cash in the near future [18]. In addition, there has also been a greater concern with hygiene on behalf of establishments, in the attempt to reduce the circulation of banknotes, creating the perfect environment for the implementation and growth of new payment technologies, such as the QR code.

Figure 3 reveals how familiar the population was with the use of this technology in the same four European countries.

Figure 3.

Knowledge of the QR code in Europe. Source: [17].

The orange line represents people who are not familiar with QR technology and the red line shows those who are, but do not know how to use it. Towards the end of 2020, those countries revealed a gradual drop in both lines, which indicates a possible increase in the population's knowledge on the subject.

3.4 e-Commerce

The e-commerce segment is an important sales channel and development opportunity for B2C and B2B companies.

It is impossible to imagine our current globalized world without the internet and all the transactions that take place in it. Besides the fact that the internet is undeniably helpful and offers a wide variety of benefits, the ‘Internet of Things’ (IOT) and data clouds are on the rise. Together they can integrate and improve communication and data storage of organizations, working hand-in-hand with each other. As the IOT is able to capture and process information, cloud technology transfers information to other devices.

The progressive digitization of commerce ensures fast communication between customers and companies and especially between companies that make up the same supply chain.

Organizations today aim to have a competitive edge over their contenders, continually considering the expansion of their businesses to reach different customers in different locations. This is not possible with a normal distribution channel, such as a physical store, or a single point of sale. This is achievable thanks to the Internet, available to anyone, anywhere. Similarly, modern supply chain management assists companies to reach an entire niche of customers in a healthy competitive way.

With an expressive rise in popularity in online sales, intensified mainly by the pandemic, further supply chain challenges have surfaced. Such challenges need to be resolved promptly in order for companies to be able to take advantage of the opportunities that e-commerce creates for them.

As the pressure to adapt and improve increases, e-commerce strategies create both difficulties and opportunities for companies that use this type of technology to boost sales.

Here are a few of the many types of relationships established between e-commerce practitioners [19]:

• C2C (customer to customer)—transactions between consumers on online sales platforms.

• C2B (customer to business)—encompasses transactions between consumers and companies, usually initiated by consumers to compare prices.

• C2G (client to government) –involves transactions between citizens and public administration, such as taxes.

• B2B (business to business)—implementation of business procedures between two companies.

• B2C (business-to-consumer or business-to-client)—classic business-to-consumer transactions.

• B2G (business to government)—transactions between businesses and public administration, such as public contracts or bids.

E-commerce was one of the most positively affected sectors during the pandemic. A remarkable increase in sales took place and the production chain was put to the test in order to meet the high variation in demand.

3.5 Pandemic impacts on e-commerce in Brazil

According to the Brazilian Chamber of Electronic Commerce (ABComm), more than 135,000 Brazilian stores adhered to e-commerce sales in the first three months of the pandemic in 2020, with the aim of remaining active even after their physical stores had been shut down. Figure 4 represents the growth of e-commerce sales in Brazil since 2011. The comparison displayed only refers to the first semester. In other words, what we see is an immediate response to the beginning of the pandemic.

Figure 4.

The growth of e-commerce sales in Brazil. Source: Ebit | Nielsen via Meio & Mensagem.

A report by Setores do E-commerce no Brasil, published and released by an agency named Conversion, in November 2020, proved that there was, in fact, a significant growth during that period. Compared to the same period in 2019, 12 of the 15 sectors analyzed, presented a noticeable increase in online sales.

Pet products proved to be one of the markets with an expressive increase in e-commerce, with a leap of 60% in sales compared to 2019. The “food and beverage” and “home and furniture” sectors appear in second and third place, respectively.

After another year of COVID-19, with additional data collected from 2021 to be compared to, speculations that e-commerce would retract were utterly discarded. According to the report by Setores do E-commerce no Brasil, released by Conversion, a specialized agency in November 2021; e-commerce still presents positive rates although physical stores have been gradually reopening, with a 1.58% growth in October compared to September, that year.

Christmas, which is an extremely commercial period, can also be taken into account. Figure 5 reveals how consumers preferred to do their Christmas shopping in 2020.

Figure 5.

Sales channels consumers intend to use for their Christmas shopping. Source: Conversion (2020).

I − 6 + n relation to the year 2021, a survey carried out by the National Confederation of Shopkeepers (CNDL) and the Credit Protection Service (CPS) reveals that 77% of Brazilians are likely to go shopping at Christmas. Following the trend of online shopping, (45%) of consumers will purchase their goods on the internet, followed by (43%) in department stores and (40%) in malls.

Among those who will shop online, 37% should purchase almost all presents on the internet; 31%, half their presents; and 21% are estimated to buy all their presents that way. On average, 67% of presents will be purchased online. With an expectation of moving BRL 64.8 billion in the economy, according to the National Confederation of Store Managers [20], with the vast majority of consumers still opting for online shopping, e-commerce is expected to maintain its strength this year. Even though vaccination rates have advanced and shopping in physical stores should be on the rise, the trend of increased online shopping, which started at the beginning of the pandemic, is far from being cast aside. On the contrary, it will continue to grow strong.

3.6 Supply chain resilience

In reference to [21] resilience is defined as: “The ability of a system to return to its original state or move to a new, more desirable state after being disturbed”. SCRes refers to the ability of chains to prevent and withstand changes and recover the initial performance level after an unexpected disruption [22].

Much of the previous work on SCRes is related to quantifying the level of resilience before developing response and recovery [23, 24, 25, 26]. In the wake of a disruptive event, significant participants in supply chains should be able to anticipate, be prepared and understand the extent of the impact caused by a disruption. They ought to generate strategies, so as to respond as quickly as possible to the impacts and redesign their resources to strengthen competencies and adapt to the resulting effects. Such modifications and the capacity for renewal to readapt allow for sound recovery from interruptions [25, 27]. The evaluation of SCRes in the literature has been dominated by theoretical and modeling approaches. The SCRes modeling and quantification approaches can be grouped under two different categories. The first category encompasses metric-based models that directly quantify (SCRes). In [23] five assessment metrics have been highlighted: economy, vulnerability, recovery time, uncertainty, and resilience-building considerations.

Other authors, such as [28, 29, 30] used performance loss to measure provider capacity and service performance. In reference to [31, 32] recovery time was used when assessing the impact of disruptions on a supply chain.

The second category of quantification models does not measure (SCRes) directly, but rather attempts to assess resilience strategies. Hirotsu et al. [33] assessed supply chain vulnerability using a multiple inputs and outputs model for different mitigation strategies. Ghomi-Avili et al. [34] measured supplier support and inventory levels as a resilience strategy to maintain performance during an outage. Hosseini and Ivanov, [35] evaluated (SCRes) by measuring supplier segregation, including geographically grouped suppliers.

However, despite the wide variety of theoretical studies which can be found, most emphasize the need for further empirical research on (SCRes), especially during outbreaks and disruptive events. Furthermore, previous literature on (SCRes) has mainly focused on exploring the facilitators, antecedents, common practices, capabilities and competencies needed to build resilient supply chains, without any emphasis on strategies to manage disruptions [36].

According to [25], these factors somehow form strategies to build (SCRes), and incorporate concepts such as the improvement of the supply chain in terms of promptness and better visibility, with the enhancement of flexibility, eliminating redundancies and optimizing the overall collaboration between partners. By doing so, it was possible to identify several SCRes strategies proposed in previous studies, which are summarized in Tables 2 and 3. Those are classified into two categories, the proactive and the reactive strategies.

Proactive strategies	Description	References
Digital connection	The IOT and block chain Technology are proving to have great potential to boost SCRes through high connectivity, accuracy and transparency.	[37, 38, 39, 40]
Supply chain automation	Regards the systematization of physical workflow and information throughout the supply chain for process improvement. This implies the use of technologies to minimize the dependence between people from different companies.	[37, 38, 41]
Supply chain regionalization/location	Both supply and processing are located within the same region to meet local demand and reduce supply chain integrations. Consequently, risk is maintained within a specific region.	[42, 43]
Supply chain collaboration	Companies of all levels should work in synchronicity with each other in order to anticipate, predict and prevent potential threats to supply.	[36, 39, 43, 44]
Human capabilities	Involves human analysis of vast amounts of information and data, in which critical points are monitored and controlled in an entire supply chain system.	[36, 45]

Table 2.

Proactive supply chain risk mitigation strategies.

Source: The author of this work adapted from [46].

Reactive strategies	Description	References
Big data analytics (BDA) and real-time information systems	Supply chain information systems use BDA to collect, process and extract meaningful key insights from real-time data across a supply chain to support appropriate and timely decision-making strategies.	[46, 47]
Virtual markets	Involves the development of digital markets for the delivery of products and services.	[39, 48]
Test running	Test running has proved to be efficient in decision-making scenarios, as it deals with the uncertainty and complexity of problems related to supply chains.	[7, 38, 49]
Business continuity planning	Business continuity planning is extremely important when it comes to creating processes for the prevention of and recovery from potential disruptions in supply chain systems. (This can also be considered a proactive strategy.)	[27, 50]

Table 3.

Reactive supply chain risk mitigation strategies.

Source: The author of this work adapted from [46].

Proactive strategies are primarily technology-oriented and rely on developing technical infrastructures such as digital connectivity and supply chain automation to prevent future disruptions [37, 38, 41]. Hosseini and Ivanov, [42] pointed out the location and regionalization of supply, while [51] delved into integrated approaches to supply chain risk management.

Other authors have proposed strategies related to a more social aspect, focusing on a social supply chain [42] whereas, [45] took to the subject of human capabilities.

Reactive strategies, on the other hand, mainly rely on a real-time information system and are based on decision-making with the use of data [46, 47], the creation of virtual markets in [48] and by means of supply chain simulation resources [38].

Some strategies, such as digital resource development and supply chain collaboration, can be both proactive and reactive, depending on the timing and purpose.

In a time as complicated as a pandemic, with huge variations in price, demand and consumer behavior, as shown in previous sections, developing a resilient supply chain is essential for a business to thrive.

4. Analysis and discussion

The previous sections of this article aimed at contextualizing the COVID-19 pandemic and its effects on supply chains. It also included data on consumer behavior, as well as certain strategies made to combat possible disruptions which took place in supply chains and how to counteract their effects in resilient way.

Among the supply chains shown, e-commerce stood out and happened to be an important escape valve at the beginning of the pandemic, which allowed some stores to remain in activity. More than 135,000 Brazilian stores adhered to e-commerce sales in the first three months of the pandemic in 2020, according to the ABComm.

Despite the advances of vaccinations and the reopening of businesses worldwide, online sales will continue to conquer space and become an excellent source of income for companies. For example, most customers are more likely to do their Christmas shopping online in 2021, as shown in Table 4. Yet, those figures indicate the sum of percentages combined and therefore exceeds 100% because products were purchased in different ways by the same customer. However, online shopping is always their first choice. This falls under the reactive strategy “developing digital marketplaces to deliver products and services” [39, 48].

The Internet	45%
Department stores	43%
Shopping malls	40%

Table 4.

The most popular purchasing methods for Christmas 2021.

Source: The author of this work.

Still on the topic of reactive strategies, in addition to those mentioned above, all strategies operate by means of technology, whether by test running, information systems or big data. It is crucial to elicit that the application of these strategies is of paramount importance, as they collect and process data in real time, and offer vital support to decision-making processes, preventing the mechanisms in a supply chain, from making wrong and hasty decisions that can affect the product flow, as well as the information exchange needed.

Undeniably, technology plays an important role in all stages of the supply chain. Consequently, the flow of information and goods is optimized, and disruptions may be prevented.

When it comes to food supply chains, all proactive strategies ought to be put to work under the best possible conditions. The use of technology is essential for a good flow within the chain, in terms of products or information. As there was an increase of 140% of food bought online in Europe in 2020, markets, which were able to successfully respond to that abrupt demand, gained significant competitive advantage over others.

On the other hand, as the movement of people was restricted, restaurants that depended exclusively on face-to-face services were severely affected and were forced to shut down. Under such conditions, bars and restaurants may target customers who enjoy eating out by investing in marketing strategies. As a result a large number of people could be attracted to their establishments. However, the reactive strategies of these companies must be very well defined, as new variants of the coronavirus can emerge at any time, generating new waves of infections and local services may need to be closed. The regionalization of supply chains could have been adopted, among other proactive strategies, not only to mitigate the risk of disruptions during the pandemic, but also avoid future problems [42, 43]. When sourcing and processing are located within the same region, the risk remains within the same domain. As the pandemic started in China, a country where several supply chains branch out at their initial stage to other parts of the world, many other countries which had not yet suffered from the virus itself, were already heavily impacted due to the lack of supplies. If there was less dependence on this global hub, perhaps countries like Brazil, would be able to have a better response to the disruptions caused by the pandemic.

Still on the subject of technology, it is essential that all companies, not just bars and restaurants, adapt to the new reality of banking transactions. As most of the European population has become more knowledgeable about QR code technology, better purchase conditions have been offered to customers and therefore, Europe is more likely to prevent a breakdown in the last link of the supply chain.

Furthermore, the pandemic caused a change in consumer behavior due to disruptions in global supply chains. As a result, consumers have become more dependent on their closest communities. As fresh food, fruits and vegetables are delivered to them faster, people have adopted healthier eating habits. Moreover, by reducing consumption, avoiding waste and recycling materials, economy has become more circular.

5. Final considerations

This work aimed to present how the pandemic has affected and will continue to affect supply chains. It looked into the impacts caused by the pandemic, such as unexpected demand variations, changes in consumer behavior and how to mitigate sudden risks by using reactive strategies like e-commerce. That led to companies adapting their activities to a completely new reality of constant change and inconsistency.

The objective of this work was successfully achieved by researching data from reliable sources, acquiring a substantial amount of information to be analyzed, which not only allowed for a clear demonstration of the impacts on consumer behavior in Europe, North America and Brazil, but also to list strategies that were used to minimize risks, enabling companies to adapt to this new reality.

However, as it is a recent and ongoing issue, it was challenging to encounter more factual data regarding the effects in other continents, such as Africa and Oceania, in order to perform a truly global analysis.

As this work was completed in the first fortnight of December 2021, it was not possible to analyze and compare how Christmas shopping figures actually differed from the previous year. No compilation of data on European consumer behavior in 2021 was available, making it impossible to compare figures to those in 2020. This data can be explored in future work, with the compilation of information in future years, so as to confirm whether consumer behavior has really changed and set new trends, or if it was only temporarily induced by the incidence of the pandemic.

There is also a future perspective of several possibilities for achievable improvements to be implemented throughout the production chain.

Using the test-run method, it would be possible to develop a model to predict whether the trend of online shopping in supermarkets would continue. In other words, fewer consumers would physically go to shops and stores, which would make such locations redundant, and which could then be adapted to any sort of existing need. That would consequently reduce costs, allowing for investments to improve customer experience, from user interface to delivery and consumption.