Impact of Brexit on Business Sectors: Struggle and Prosperity

BM461 GLOBAL BUSINESS
MANAGEMENT

TABLE OF CONTENT
2A)...................................................................................................................................................3
Consumer confidence..................................................................................................................3
Business sector which will struggle for the next 12 month.........................................................3
Business sector that will prosper for next 12 month....................................................................4
2B)...................................................................................................................................................5
REFERENCES................................................................................................................................7

2A)
Consumer confidence
Consumer confidence refers as the economic indicator that tracks the optimism degree which the
consumer feel about, means how confident they are about the complete economy state. It affects
their decision like in purchasing activity (Amankwah-Amoah, Khan and Wood, 2021). It is
important because it allows the businesses to make effectual decision based on customer
behaviour.
Business sector which will struggle for the next 12 month
Finance sector is seen as highly suffered sector due to the Brexit effect, most of the finance
company have left the UK because of the their EU origin. It left UK suffered the most; people
lost their jobs because of exit of banks firm. After this UK’s bank are not allowed to continue
their services in providing the accounts to the EU residents (Blocher and et.al 2019). Lloyd bank
British commercial bank and consider as the greatest clearing bank. But after Brexit Lloyd
banking organisation suffers the most they have lost around 30 percent share price due to Brexit
impact. Due to this company has cut down around 3000 jobs they also announced to shut down
their 200 branches due to the changes drives in economy rate. Firm also announced to shut down
the 44 other bank branches in September to November month (Leonidou and Hultman, 2019).
As per the FTSE performance, revenues for the Lloyd seen as gradually dropping down they
have lost around 1.74 to 53-61 points, market for the firm decreased by huge margin.
Before Brexit UK”s trade are control or manage by the EU but after Britain’s exit from
the EU, creates a lots of impact, as most of the banking organisation are from EU, due to this
they left UK market which develops the high unemployment rate in the nation, as well as
businesses has to face the tariffs and customs at borders. When UK were part of the EU it was