David Brooks  28.06.2016

As UK  voters opt for the EU exit, companies will need to take a new look at their marketing plans.

Although just 6% of UK businesses export products or services, removal of the protectionism of tariff walls and non-financial barriers to trade will create a more competitive market in the UK. Businesses that only trade in the UK should still be assessing their products, manufacturing costs and profitability to ensure they compete against a probable new wave of imports that now can enter the country duty free. One option is to evaluate not just against product cost, but also look at some form of arrangement with the manufacturers to represent their products in the UK and increase your market share. If the imported products can expand the product portfolio presented to the UK  market, may be the reverse will be true and there is an opportunity to sell your products back in return.  This is just one thing to look at to a] protect your local UK market, b] increase market share and c] find new markets for your products previously only sold to the UK  market.

The UK is also a net importer of goods from the EU and it is reasonable to assume that the producers in Germany, France, Italy, Spain and all the rest will continue to want to sell their products in the UK. The new arrangements will offer opportunities especially for the smaller companies in the EU to form partnerships at a business to business level. We once coined a phrase that businesses should 'Think Globally, Market Locally.' For small businesses [SMEs] setting up an operation in each, of say, the top 5 countries in the EU is an expensive thing to do. But partnering with an existing business immediately gives that 'local' presence. 

Generally speaking the benefits of an independent UK  should appeal more to SMEs than big companies. Big companies prefer dealing with other big organisations, they have company headquarters where it is most tax efficient, do deals with other big organisations, such as government, lobby Brussel's law makers, trade unions and minimise or eliminate  tax due. A UK partner company offer EU based business opportunities too and crucially an English speaking operation as a native language that is used so extensively in global business.

Rather than the gloom and doom prophecies of proponents of remaining in the EU, there is now a new hope. Or in the words attributed to an earlier advocate of a European political union - "Europe today, tomorrow the world."



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++Check out the informational film -  Brexit the Movie.

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And don't forget to check out our new book at etbooks.

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