Conceptual Framework

Figure 1: Conceptual Framework

This Conceptual Framework is designed to present the impact of Coronavirus (COVID-

19) to the sales performance of online clothing micro-businesses by assessing the following
factors: Supply Chain Process Management, Marketing, Pricing Policies and Strategies, Human
Resource Management, and Financial Health and Operational Continuity. Online clothing micro-
businesses was selected as the center of the investigation due to the following reasons: First,
the online clothing industry have grown for the past years and clothing have been one of the
most frequently purchased product online. Second, the clothing industry is highly volatile,
hence, clothing businesses must quickly adopt to the rapid changes in order to satisfy consumer
demands.

Supply Chain Process Management

 Due to the dramatic shift of demands during the pandemic, clothing retail industries
have undergone drastic changes in their supply chain process management. Because of the
pandemic, many clothing stores have been forced to close and some are subjected to limited
operations. The pandemic gave an adverse effect to the transportation links and distribution
mechanisms between suppliers, producers and customers. This led to a major disruption within
the supply chain of every clothing retailers. A rapid response of online clothing micro-
businesses in addressing this problem by reevaluating their supply chains will measure the
effectiveness of their operation during the time of pandemic.

Marketing

Thinking a creative and innovative marketing strategies and practices will navigate the
online clothing businesses through this new normal. Covid-19 increases the competition
between clothing industries, therefore, this forces every retailers to reassess their thinking
about the direction of promotion, advertising, and marketing campaigns to sustain a steady
stream of revenue.

Pricing Policies and Strategies

The pandemic initiated an unusual and simultaneous rise and fall in demands of clothing
products. Hence, pricing still remains critical not only on clothing industry but also across
different industries. Pricing is a vital component of a business' rapid revenue recovery strategy.
Therefore, it is important that pricing leaders focus on being creative when it comes to fulfilling
the customer's demands while preserving value.

Human Resource Management

The covid-19 has influenced the cost structure and the workforce size of every
businesses. The lockdown resulted to increase in unemployment rates due to lack of work and
high cost to retain these employees. This gives way to retailers encouraging their customers to
purchase online. Due to changes in cost structure, the cost of production also changed which
affects the sales performance.
Financial Health and Operational Continuity

The crisis created by the covid-19 outbreak have threatened the continuity of
operational activities and the overall financial health of every businesses. During the pandemic,
small businesses have been particularly hit hard by the substantial reduction in revenues. A lot
of businesses were even forced to file bankruptcy since their income is not enough to cover the
cost of production and making it harder for them to pay their bills. The financial health and
operational continuity of a business is a good indicator whether a business' sales performance
is increasing or decreasing.