IESE Business School INSIGHT No. 152

Page 40

+IESE

BREXIT VIEWS What are the impacts of the U.K. leaving the EU?

Chris Daniels

Chief Commercial Officer, Satavia

mba ’00

The most difficult aspect of Brexit has

ted to stay and work in the U.K. and ded-

been not knowing – for example, wheth-

icate more resources to keep abreast of

er U.K. companies can continue to supply

legislative changes. In short, we have to be

EU aerospace companies. Short-term im-

nimbler to react when the final outcome

pacts may be resolved quickly but, longer

is known. For any company, it has been

term, manufacturing will likely shift away

difficult to plan adequately. If there’s any

from the U.K. Big market players are bet-

lesson, it’s that those in authority must put

ter equipped to shift capital, personnel

together clear guidelines for business early

and production to the EU. They’re able to

on. Going to the brink may be a useful ne-

hedge their bets by having operations and

gotiating tactic, but it’s fundamentally un-

legal entities in both the EU and the U.K.

helpful for business. With the end-points

But smaller companies, like ours, cannot

constantly shifting, being able to offer

do this so easily. Instead, we have to rely on

some points of clarity throughout the pro-

promises that EU nationals will be permit-

cess would have been helpful.

38 | IESE Business School Insight | no. 152


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