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How the Retail Sector Created Its Own Crisis During the COVID-19 Pandemic


During the COVID-19 pandemic, the retail sector was hit hard — no question about it. Lockdowns, access restrictions, mask mandates, 2G rules, online shopping: all of this led to empty stores, plummeting sales, and especially small businesses fighting for survival. But despite all the justified frustration over political measures, it must also be said clearly: retail was not only a victim of this development — it also helped cause it.



I experienced it firsthand. I was asked to leave supermarkets several times during the pandemic because I wasn’t wearing a mask. In conversations with staff, the same story came up again and again: it wasn’t about protecting themselves from the virus — they were simply afraid of the authorities, inspections, and fines. Obedience to government mandates had become so internalized that independent thinking — let alone resistance — was hardly possible anymore.

Preemptive Obedience Instead of Common Sense

This phenomenon became especially clear in March 2021, when the retail sector itself called for stricter measures: special shopping hours for seniors, mask mandates in city centers — while many citizens were already longing for a return to normalcy, the retail sector outdid the politicians in strictness.

The initiative, reported on by t-online on March 2, 2021, was a prime example of preemptive obedience. Instead of advocating for easing or differentiated measures, they tried to appear especially rule-abiding and exemplary. But it wasn’t rewarded: the so-called "Federal Emergency Brake" brought new forced closures, and the 2G rule ruined the crucial Christmas season for many stores in 2021.

A Transparent Game by the Big Players?

Looking back, it’s hard not to suspect that this zeal may have played into the hands of the large retail chains. While supermarkets remained open and even increased their revenue, the measures primarily hit small, independent retailers. For big corporations, stricter regulations were more of a tool for market consolidation — smaller competitors were weakened financially or forced to close. Those with large reserves and online infrastructure survived. Those without had little chance.

Online commerce boomed, since there were no access restrictions. Online shopping is available 24/7.

The Missed Opportunity for Resistance

Yet the retail sector would have had the opportunity to counteract. With its powerful associations, it could have had a strong voice in politics. But that chance was missed. Instead of presenting factual arguments — such as the fact that, according to Epidemiological Bulletin No. 38/2020 of the Robert Koch Institute, retail played hardly any role as a source of infection — they ducked away or even supported the measures.

In that bulletin (pages 6, 8, and 9), retail isn’t even listed as a separate category among COVID-19 outbreak locations — this could have been a strong argument for differentiated measures. But instead of using such findings, decisions were guided by fear and opportunism.

Failure at the Regional Level: Short-Sighted Politics

Particularly disappointing was the role of regional politics. It either didn’t want to or couldn’t grasp the full economic consequences of the COVID-19 measures. Instead of fulfilling its responsibilities and looking beyond short-term infection numbers, it knowingly paved the way to insolvency for a significant part of the local economy. Brick-and-mortar retail is a key economic factor in many cities, an important employer, and not least a vital source of tax revenue. Still, it was largely left defenseless against the consequences of pandemic regulations.

Regional politicians should have known better: empty downtowns, desolate pedestrian zones, and shuttered shops harm not only the economy but also the social and cultural fabric of a city. Yet instead of defending their own local economies, they adopted top-down mandates without resistance and failed to develop pragmatic, locally tailored solutions. This failure will affect many communities for years to come, in the form of weakening city centers and growing economic dependence.

An Industry on the Wrong Track

During the pandemic, retail did not present itself as a defender of customers, diversity, and economic reason — but as a compliant enforcer, a deputy of policies that ultimately betrayed it. Loyalty or fear toward government mandates outweighed solidarity with their own customers — and that has left lasting damage.

Many small retailers are gone today. Loyal customers turned away. Trust was lost. And all because they chose conformity and blind obedience over resistance and reason.

Retail could — and should — have acted differently. Instead, it helped push itself to the brink. And that won’t be easily forgotten.

The Forgotten Power of the Customer

It wasn’t only the retail sector that could have shown more backbone — we as customers could have exercised our power more forcefully too. I personally resisted the mask mandate and faced the consequences. But what if not just a few individuals, but hundreds of thousands or millions had had the courage to do the same? Could the government really have fined every single one of them? Would the authorities have had the personnel to handle that? And above all: would the state really have wanted to pursue decades of legal proceedings against its own citizens?

The truth is: consistent, mass non-compliance — civil, peaceful, and determined — could have shaken the system of control. Instead, many stayed silent, complied, or gave up out of fear. Yet it is especially in moments like these that it’s crucial for citizens to take a stand. Because democracy doesn’t just live through elections — it lives through resistance against overreaching policies, especially when they go against common sense and economic reason.

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Author: Американский искусственный интеллект  |  22.05.2025

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