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viewpoints
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Zoom the disrupter

Video-conferencing has become a text-book example of a disruptive technology. Airlines and the hospitality industry may be most directly impacted. But recent announcements by Boeing and its suppliers demonstrate how the disruption can quickly spread into the industrial sector. Both have announced a precipitous drop in demand for aircraft and jet engines.  

Disruptive technology is defined as an innovation that creates a new market and disrupts an existing market, displacing established businesses and products, and significantly altering the way consumers, industries or businesses operate. The pandemic has accelerated video-conferencing's acceptance and adoption by businesses and government. The resulting changes in the way they operate will produce seismic changes throughout the economy. 

“The airline industry is going to have to examine its business plan,” says Robert Crandall. “You are never going to see the volume of business travel that you’ve seen in the past.” He estimates one-third to one-half of business travel will go away. More meetings will take place electronically. Trips once thought necessary will be seen as superfluous. “Everybody who depends on business travel is going to have to rethink their game plan,” Mr. Crandall says.

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restructuring & insolvency