Impact of Brexit on Automobile Industry in UK: A Study on Land Rover

This report analyses the impact of Brexit on growth and business functions of automobile industry situated in UK, with a focus on Land Rover. It examines the challenges faced by Land Rover due to Brexit and ways used by the company to mitigate them. The research methodology includes a deductive approach and quantitative method. The report concludes that Brexit has both positive and negative impacts on the automotive industry, and organisations need to develop strategies to recover from the challenges faced.

Research Methods
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Table of Contents
Executive summary .........................................................................................................................3
BACKGROUND.............................................................................................................................4
Literature review .............................................................................................................................5
What is the concept of Brexit in context with automobile industry?..........................................5
Challenges faced by Land Rover due to Brexit in their growth and business functions............5
Ways used by Land Rover to mitigate challenges associated with Brexit as their business
functions......................................................................................................................................6
Research Methodology....................................................................................................................6
Approach.....................................................................................................................................6
Design.........................................................................................................................................7
Unit of Analysis (Participants)....................................................................................................7
Data Analysis Strategy................................................................................................................7
Validity and reliability................................................................................................................7
Time Scheduling..............................................................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................10
Books and journals....................................................................................................................10
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Executive summary
Brexit is regarded as the deal which is associated with withdrawal of United Kingdom
from European Union. This deal has take place on 31st January 2020. This decision has impacted
all the businesses which are situated in United Kingdom and European Union. The report is
associated with analysing the impact of Brexit on growth and business functions of automobile
industry situated in United Kingdom. This is examined within the report that the impact over the
industry is huge as the decision was giant and lead the businesses to face severe issues.
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BACKGROUND
The current research topic is related with analysing the impact of Brexit over the growth
and business functions of automobile industry situated in UK. As per the given report this is
analysed that the industry has faced severe issues due to which their business functions has faced
implications. In this manner the report is enlightening the issues related with the issues generated
through Brexit (Dehani and Hägerström, 2021). There are various challenges which are faced by
automobile industry in their growth and business functions due to implication of Brexit. These
challenges are linked with minimised labour force, availability of resources. These challenges are
providing several issues to the business such as lowered productivity and minimised business
efficiency. On the other hand, there are various ways that can be used by automobile industry so
that to mitigate issues related with Brexit. In this manner by adopting change management within
business this will be easier for the business to manage their functions and to provide business
acknowledgement. On the other hand, the businesses are required to develop their processes in
prominent way in which employees are required to be added in the business. Similarly the
industry is facing issues of supply chain management as 70% of the cars are sold in UK which
are imported by Europe (Truxal, 2021). In this manner the industry is also facing issues in their
economic policies as in context of such businesses economic conditions are minimised. The
industry is highly related with developing economic benefits to the nation but at the same time
due to Brexit implication over the industry.
Topic: How Brexit will affect the automobile industry in UK for Land Rover.
Aim
“To identify the impact of Brexit on growth and business functions of automobile
industry in UK.” A study on Land Rover.
Objectives
 To study the concept of Brexit in context with automobile industry.
 To investigate the challenges faced by Land Rover due to Brexit in their growth and
business functions.
 To discern the ways used by Land Rover to mitigate challenges associated with Brexit as
their business functions.
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Literature review
What is the concept of Brexit in context with automobile industry?
According to Free and Hecimovic (2021), Brexit is regarded as the withdrawal of United
Kingdom from European Union. In UK 70% of sold cars are imported from European Union
which means that the industry has faced severe issues in their management and organisational
functions. This is stated that prices of automobile products has been increased due to this
implication and the major suffering lead to the customers. Brexit was one of the crucial time
which was seen in European Union and United Kingdom and this lead the currencies of such
nation to face downfall. The another impact of Brexit decision is related with minimised labour
force which means that such businesses are loosing skilled labour which is tarnishing
organisational image in global manner. This is seen that such impact is related with developing
challenges to the business in terms of minimised growth opportunities and execution of business
functions.
Challenges faced by Land Rover due to Brexit in their growth and business functions
There are various challenges which are faced by Land Rover due to Brexit in their growth
and business functions. Such as supply chain is one of the challenge faced by organization. This
is because Brexit has resulted in the increase of cost which has led to the delay in supply chain
management from its initial stage to the customers deployment. Supply of vehicles parts along
with the final product got affected due to the Brexit situation in UK. Custom or border tariffs is
also an another challenge faced by organization. This is because it is becoming difficult for the
exporters and importers of the product to understand the custom implications for the company.
Land Rover facing difficulty in such tariffs customizations which is creating complications for
them. Workforce is also one of the challenge faced by organization. This is because Land Rover
has faced the culture and diversity management issues due to the Brexit. The reason being is the
people from different areas have different beliefs and therefore facing conflicts regarding the
same. Regulation is also an another challenge faced by organization along with the various
economic issues and intellectual property rights also creates the disruption in the functioning of
the company (Sundarakani and Onyia, 2021).
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Ways used by Land Rover to mitigate challenges associated with Brexit as their business
functions
There are various ways used by Land Rover to mitigate the challenges associated with
Brexit as their business functions. Such as the company must keep calm and hold steady in order
to expand and grow its business. Organization must identify that at what point they need to
innovate and at what point they need to slow down so that planning can be done in a more
efficient way that how they can deal with the Brexit situations. It is important for the
organization to take care that the labour market of UK is strong with good talent and potential
needed in the person. This can help in the productive growth of the company by having new
skills and abilities to perform operations in the firm. Organization must try to mitigate the several
risks associated with the brand such as customer risks, supplier risks, employee turnover risks,
shareholders risks and other important stakeholders who are related with the Land Rover. All
these are the mitigations and solutions for the negative circumstances that raised and affected the
business functions of Land Rover (Hassan, Hollander, van Lent and Tahoun, 2021).
Research Methodology
Research methodology is refer to the procedure of the techniques sued to identify, select,
analyses the data and information about a particular topic. It is a methodology which allows the
audience in critically evaluate the study of overall validity and the reliability (Seuken, Friedrich,
and Dierks, 2021). This will helps the researcher in identifying and analysing the data and
information in most effective manner. Also it will helps in achieving research aim and
objectives.
Approach
There are two approaches which helps in achieving research aims and objectives. Also, it
consist of two methods these inductive and deductive approaches, within this research,
investigator is using deductive approach which helps in determining the quantitative data and
information. Also, in this two types of approaches are there. These are qualitative method and
quantitative method. Quantitative method is being sued by investigator within this research to
collect numericals data and findings.
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Design
There are three types of research design. These are descriptive, exploratory an
experimental resign design (Machin, Fayers, and Tai, 2021). Within this research, researcher is
using descriptive research design because it helps in collecting numerical data and findings and
also in this quantitative method is used to collects and analyse data and findings.
Unit of Analysis (Participants)
The number of participants within this research report is 30 respondents who are the
employees of Land rover. In this probability random sampling is sued because it helps in
selecting a sample from large number of participants without doing any of the biasses. This helps
in selecting random sample. They are participating in the questionnaire survey which provides
true and reliable information and data in most effective manner.
Data Analysis Strategy
The data strategy consisting of various strategies and out of those frequency distribution
tables is used to collect quantitative data and information. Also, there is a use of questionnaire
survey which consist of close ended questions and developing more accurate informations.
Validity and reliability
Data is valid because researcher is using questionnaire survey which brings true and valid
information. It includes close ended questions and which brings accurate data and findings. Also
there is a use of graphs and charts (Pollock, Davies and Munn, 2021). Further, researcher is using
literature review which provides reliable data and in-depth knowledge about a particular topic.
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Time Scheduling
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Conclusion
From the above report, it is concluded that Brexit is impacting the automotive industry
which creates both positive and negative impacts on the company. As there are certain
challenges which are to be faced by organisation related with workforce, supply chain
management etc. these will will be considered in mind and some of the strategies should be made
in order to recover from those challenges.
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References
Books and journals
Capita, R.G.P. and Rates, E., CONTEXT: A MODERATING RECOVERY.
Dehani, A. and Hägerström, K., 2021. The impacts of Brexit on United Kingdom and European
Union trades and logistics-Impacts on import/exports, trades and logistics through the
perspective of Sweden and online retails in Ireland.
Free, C. and Hecimovic, A., 2021. Global supply chains after COVID-19: the end of the road for
neoliberal globalisation?. Accounting, Auditing & Accountability Journal.
Hassan, T., Hollander, S., van Lent, L. and Tahoun, A., 2021. The global impact of Brexit
uncertainty.
Machin, D., Fayers, P.M. and Tai, B.C., 2021. Randomised clinical trials: design, practice and
reporting. John Wiley & Sons.
Pollock, D., Davies, E.L., Peters, M.D., Tricco, A.C., Alexander, L., McInerney, P., Godfrey,
C.M., Khalil, H. and Munn, Z., 2021. Undertaking a scoping review: A practical guide
for nursing and midwifery students, clinicians, researchers, and academics. Journal of
advanced nursing, 77(4), pp.2102-2113.
Seuken, S., Friedrich, P. and Dierks, L., 2021. Market Design for Drone Traffic Management.
arXiv preprint arXiv:2110.13784.
Sluggish, G.A.R., 1CHAPTER.
Sundarakani, B. and Onyia, O.P., 2021. Fast, furious and focused approach to Covid-19
response: an examination of the financial and business resilience of the UAE logistics
industry. Journal of Financial Services Marketing, pp.1-22.
Truxal, S., 2021. The EU–UK Competition and State Aid Regulatory Environment for Airlines:
Post-Brexit, Post-Transition. Air and Space Law, 46(Special).
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