How the German Mittelstand is mastering the COVID-19 crisis

A comprehensive survey sheds light on the economic impact of the COVID-19 crisis on Mittelstand enterprises: their outlook, key success factors in mastering the shutdown, and the way out of the crisis.
When the COVID-19 crisis became evident in Europe, Germany put strict measures in place beginning mid-March, including school closures and store lockdowns. The government gradually began relaxing those measures at the end of April. By mid-May, all shops and stores, regardless of their size, reopened with certain conditions in place. Though the federal and state governments are trying to reopen the German economy, nine weeks of lockdown have had a tremendous effect on enterprises of all sizes, including the German Mittelstand. 1 As a category, these businesses account for 57.6 percent of employment in the country and 34.4 percent of national revenues. 2 There are 2,700 “hidden champions” 3 worldwide—almost half of them are German Mittelstand enterprises. 4