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How Big Businesses Influenced Small Businesses During the Pandemic

A new Berkeley Haas study that included researchers Berkeley Haas professors Sameer Srivastava and Abhishek Nagaraj and PhD student Saqib Mumtaz, reveals how businesses influence each other. The phenomenon called “social learning” found that small businesses followed suit when big chains shut down due to the pandemic.

The study used anonymized cell-phone tracking data to identify whether local business and larger business chains were open or closed from March 1, 2020 to April 15, 2020. The time period begins when local governments started issuing stay-at-home orders.

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