Are startups going to save people from Worldwide recession?

2023 and Recession is a topic that has struck everyone with a certain level of anxiety on how is it going to strike the globe. Developed and Developing countries have been strongly striving to make it to the top since the pandemic, and the threat of the virus is still looming in the minds of people. A lot of countries are yet to show signs of economic recovery since the pandemic happened. Post-pandemic there was a Ukraine-Russia War crisis which affected trade and economies to a great extent. There are multiple factors which were hurdles to the economies, luckily there has been a positive response amongst the countries in helping everyone towards survival. But, the question remains of how are we all going to survive the recession phase.

Globally, all the giants had to lay off their employees to maintain a profitable position in the industry. Giants like Google, Facebook, Apple, and Amazon, so many of them had to lay off their employees. We have witnessed what happened with Twitter. Meanwhile, there were startups who were out to hire candidates to move with their operations and work. There are some great startups that have become a success and new ones have emerged in industries like EcoTech, HealthTech, and more. We have shoes and clothes made from Recyclable articles , we got tech aided health products that help us with managing our lifestyle and caring for our health. Startups like SpaceX, and Tesla have been revolutionary concepts too. Tesla coming up with Electric vehicles has boosted an alternative fuel technique.

Startups are now applying AI in their business and making lives easier. One such model of AI which has turned popular is the ChatGPT which has been a big noise among people lately. A lot of tech products have AI backing which makes them user-friendly and widely accepted among people. We've seen how the AI can not just communicate or give you the answers, but create images, generate sounds, and do a lot of things in an intelligent way. Startups based on such ideas are generating Billions of dollars annually and a lot of them are Unicorn with their valuation amounts. The valuations make it rich enough to have expansions which help in generating more jobs and in turn generate more business.

This in turn also encourages investors in pitching more towards profitable startups and helps them scale high. Countries like India, and other fast-paced developing nations have been providing a great environment for entrepreneurs to come up with startups and boost the economy and become prosperous globally with a growing GDP. Recently, the strategy had shown great response when the graph of India was seen in the developing range by 6.1% and more. During the pandemic and later phase, we saw a whooping jump of 13% which was one of the strongest in the times to a report published by the IMF.

Lately, India has reported around 57000+ registered startups and 108 startups have made it to Unicorn status which is very prosperous enough for a developing nation. Worldwide there have been 1 Lakh startups registered as of now and the numbers are substantially growing which is a good sign. All the startups are based on unique ideas and there are revolutionary ideas in many of these setups.

Certainly, the idea of the Recession cannot be ruled out due to multiple factors around the globe. But, at this juncture, startups are helping to a great extent in contributing to the GDP levels. They are considerably and strongly putting a positive impact on the economy. They are generating jobs and adding to the overall benefits towards the country. None of the countries aren't 100% sure if this is the only strategy to save from recession , but it is certain that having successful startups will certainly save the country from impacts of it.

We would like to know your inputs on the topic, do you think that startups are a solution against the Recession? What are your views about the startups in present times? Comment your views. We welcome your valuable feedback on this. If you wish to have more blogs from TalentStack, let us know in the comments.