Library Dissertation Showcase

The Impact of Brexit to UK Private Manufacturing Supply Chain and Response Options Based on Management Perspective

  • Year of Publication:
  • 2020

For the business environment in the United Kingdom, it currently suffered a strong threat from the external factors like Brexit. For manufacturing industry, Brexit certainly creates an atmosphere of unstable because there are many influence factors like customs duties, more paper work, and rises logistics costs, etc. that impact on the integrity of the original supply chain before the Brexit. In this article, the research objectives basically around 3 key aspects, as a) to explore the key risks brought by Brexit based on different supply chain risks model; b) to reveal the possible strategies that used by the private company when facing supply chain crisis; c) to find out whether different size of the private manufacturing will show different characterize from the supply chain crisis. After applied the quantitative research method, more 147 respondents from the private manufacturing firms have offer their opinions through only questionnaire survey. As results, more respondents believed that their firms are facing strong threats from the supply side risks instead of the demand risks, because the Brexit bring up the overall expenditures in the raw materials, tax, etc. As for the second objective, the primary strategy to handle the crisis or reduce the supply chain risks is rest upon on the strengthen joint planning and coordination within the supply chain, because the nature of Brexit indeed damages the overall capacity and coordinate power within the supply chain.

Last but not least, different firm size indeed provides a different reaction to the possible risks brought by the Brexit, and large size firm can better handle the crisis. Overall, the Brexit along with the outbreak of COVID-19 indeed bring out countless challenges for the UK companies, and without appropriate measures and strategy, it may cause economic recession and large-scale business failures. But after all, the market economy will also find a way to resolve unexpected event and adapt a new business mode within a short-term.

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