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Frost & Sullivan: Businesses Will Find a Way to Cope with Brexit


News provided by

Frost & Sullivan

18 Jan, 2017, 14:13 GMT

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It is imperative to take action today as the nature of the UK's post-Brexit relationship with the EU and other global trading nations is far from certain and will remain so for a considerable time

LONDON, Jan. 18, 2017 /PRNewswire/ -- Frost & Sullivan Senior Partner Gary Jeffery comments on the implications for businesses both in the UK and outside following the Prime Minister's speech on Brexit.

"So, the Government has released its opening gambit on Brexit comprising 4 principles (well 5 actually but let's count Certainty and Clarity as half each) and 12 objectives.  Theresa May set out an ambitious plan of maintaining a free trade relationship with the EU, while being outside the single market, and establishing preferential trade agreements with other global nations, notably China and the US, with Trump - a strong supporter of Brexit - promising to negotiate a speedy trade deal with the UK.  Naturally the messaging was very pro-UK and even included some criticism of the EU's institutions.

Early European reaction is somewhat positive though.  Europe's leaders want to see the triggering of Article 50.  A hard Brexit is perceived to work best for the EU as it doesn't compromise its raison d'être.  It should create opportunities for continued collaboration and trading.  A hard Brexit is also more likely to be agreed within the daunting 2 year time frame than a complex soft relationship.

While Mrs May has attempted to provide clarity and certainty, the nature of our relationship post-Brexit with the EU and other global trading nations is far from certain and will remain so for a considerable time.  After all, there are 27 other national views to take into consideration before a deal can be done.  How will they respond to the UK's notion of a hard exit softened by the continuation of preferential treatment.

Our advice to companies (both in the UK and outside) remains the same as on that momentous day in June:

  • Evaluate the impact of different Brexit scenarios (in terms of tariffs and barriers, immigration controls etc) on all aspects of your business value chain and business model
  • Look for new growth opportunities to offset future challenges in existing markets
  • Join forces with others in your industry to lobby your government to negotiate in your interests.  The UK government seems to know about SUVs, aeroplane wings and financial services.  Does it know about specialty chemicals, compressors, orthopedics, therapeutics and the like?

Businesses will find a way to cope with Brexit.  By acting now you have the chance to help shape Brexit into a form that provides opportunity for you and your industry."

To schedule an interview, or for more information on a Frost & Sullivan's workshop on the impact of Brexit on businesses, please contact Chiara Carella, Corporate Communications: chiara.carella@frost.com

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact:
Chiara Carella
Corporate Communications
P: +44 (0) 20 8996 8585
chiara.carella@frost.com

Twitter: @Frost_Sullivan
Facebook: FrostandSullivan
Linkedin: Frost & Sullivan

http://ww2.frost.com

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