Covid-19 is a study in risk appetite and sense-making. Some looked after their own and others were concerned about communities and the world at large. As its impact crystallised, doing what we can to survive, moved into understanding the facts, analysing connections and integrated ecosystems, and unpacking what immediate steps could be taken.
Businesses adapted their business models and strategies, cut costs and exposure and looked at new strategies and opportunities. The uncertainty often hampered progress. Risk appetite either increased as people traded off economic considerations with health or increased economic activity. Others seemingly had very high-risk appetites and refused to wear masks and self-isolate. Overall the pandemic has been polarizing along risk appetite lines and pitting conservative people against risk-takers. One thing is certain, and that is that this pandemic has changed life as we know it. We do not know what the long-term implications will be, human behaviour may change for good in terms of working from home, shopping online and travel. But will behaviour revert back to the way it was? Either way, it will be interesting to watch what it means for the global risk appetite of humanity and if we reset to a new level or not.
