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COVID-19 Business Impact: The Best (And Worst) States For Solution Providers

The COVID-19 crisis has hit state economies–and businesses–hard. Here’s a state-by-state look at the business impact of the pandemic and the recession to help guide solution providers as they make strategic decisions in the months ahead.

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The Business Impact Of The COVID-19 Pandemic

The headlines and news stories have focused on the number of COVID-19 cases and fatalities–and rightly so–with the U.S. recently passing the sad milestone of 200,000 deaths.

But the pandemic and ensuing recession that officially began in February has impacted the economies of each of the 50 states to varying degrees. Such differences have hinged on the prevalence of COVID-19 in each state, the degree of efforts by state and local governments to contain the virus by shutting down businesses, the level of financial support and other resources provided to reduce the impact of economic shutdowns, and other factors.

Each year CRN undertakes its Best States project to help IT entrepreneurs identify the best and the worst states in the U.S. to start and operate a solution provider business. This year, because of the pandemic, solution providers had to quickly pivot their businesses as the IT needs of their customers changed and everyone adjusted to a new normal.

With the pandemic ongoing and the economy struggling to recover, CRN is itself pivoting with this year’s Best States. This year’s overall state-by-state included a number of COVID-19-related criteria such as the pandemic’s impact on each state’s GDP and employment. In addition to that analysis, we provide in the following slides information and state rankings that pertain solely to the pandemic and its business impact.

The state rankings look at a range of data such as state and local government efforts to contain the spread of the virus, the impact on small businesses, available resources to assist businesses to mitigate the impact of business shutdowns, job losses and declines in state GDP, and state economy recoveries. The rankings start with those states where the business impact was the greatest.

A complete list of data sources is provided at the end of the slide show. (Note: Given the focus on business impact, data on state COVID-19 cases and deaths were not included in the analysis.)

Some of the results may be surprising and possibly even counterintuitive. Some states that made headlines when struck hard by the virus fared better from a business perspective either because of a more vigorous government response, more available resources and a more diversified economy. Consequently, businesses may have done better in states that implemented more limited economic shutdowns.

50-41 | 40-31 | 30-21 | 20-11 | 10-1

 
 
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