A Case Study: Brexit's Impact on the UK Automotive Industry, Jaguar

This report analyzes the multifaceted impact of Brexit on the UK automotive industry, using Jaguar as a case study. It begins with an introduction to Brexit and its economic consequences, followed by a literature review that examines the knowledge about Brexit, its impact on the automotive industry, and potential positive effects on businesses. The research methodology outlines the research approach, including the use of interpretivism, an inductive approach, and qualitative research methods. The report details the research design, data collection methods (questionnaires), and sampling techniques. It also incorporates a Gantt chart and work breakdown structure to visualize the project timeline and task division. The report examines the challenges faced by the automotive industry, such as increased tariffs, reduced customer base, and market limitations, while also considering potential benefits, such as opportunities in new markets. The report concludes with a comprehensive list of references.

How Brexit would affect automotive Uk
businesses

Table of Contents
Topic of the research is “To analyse the impact of Brexit on automotive industry in UK. A case
study on Jaguar.”..............................................................................................................................3
INTRODUCTION ..........................................................................................................................3
Research Aim .............................................................................................................................3
Research objectives.....................................................................................................................3
Research Questions ....................................................................................................................3
Research rationale ......................................................................................................................4
LITERATURE REVIEW ...............................................................................................................4
Knowledge about Brexit ............................................................................................................4
Impact of Brexit on Automotive industry ..................................................................................4
Positive impact of Brexit on business.........................................................................................5
RESEARCH METHODOLOGY ....................................................................................................5
Gantt chart and Work breakdown structure ...............................................................................7
REFERENCES .............................................................................................................................10

Topic of the research is “To analyse the impact of Brexit on automotive
industry in UK. A case study on Jaguar.”
INTRODUCTION
Brexit is the withdrawal of UK from the European Union. After the referendum held in
the year 2016, more than 50% of UK's population voted to leave the EU. This impacted business
of UK a lot. Brexit was both political as well as economical shock. Brexit is been an essential
source of uncertainty for various UK businesses. There is more than 6% reduction in investment
after referendum and employment rate has also decreased (Head, 2017). Brexit has resulted in
decline of productivity of UK. Majority of business has anticipated that Brexit will increase costs
and reduce sales. The share of firms responds that Brexit was one of the drivers of uncertainty
increased a lot. The automotive industry has been affected a lot after Brexit. The automotive
industry is affected as there are various companies that export services and auto vehicles to the
EU. After the Brexit, there were different problems faced by the automotive company such as
higher tariff rates, reduced number of customers, higher cost of expansion, limited market, etc
(Gasiorek, Serwicka, and Smith, 2019). The following report is based on analysing the positive
as well as negative impact of Brexit on the automotive industry of UK. The company considered
in this report is Jaguar. This is a luxury vehicle brand of Jaguar Land Rover. This is a British
multinational car manufacturer and the headquarters of this company are located in England.
This automotive company is one which is responsible for production of Jaguar cars.
Research Aim
“To analyse the impact of Brexit on automotive industry in UK”
Research objectives
 To increase the knowledge on Brexit
 To assess the Impact of Brexit on Automotive industry
 To evaluate positive impact of Brexit on business
Research Questions
 What do you know about increase the knowledge on impact of Brexit on business ?
 What is the Impact of Brexit on Automotive industry ?
 What is the positive impact of Brexit on business ?

Research rationale
The present research is conducted on evaluating the affect that Brexit has on the
automotive industry of UK. This is done on considering a company naming Jaguar. The main
motive of doing this project will help in knowing what are the actual factors that are faced by an
organisation within the UK market and exporting the products and services in other international
markets (Izzaty, and Sastra, 2019).
LITERATURE REVIEW
Knowledge about Brexit
As per the viewpoint of Colantone, and Stanig, (2018), It is analysed that Brexit is
basically the withdrawal of UK government from the European Union after concluding votes in
referendum in the year 2016. When this happened, UK government was badly affected and
economy of this country faced downfall. The withdrawal of UK from EU affect the companies
which are trading with UK or those who are affected by UK participation in other ways. The
government has taken all companies concerned for taking necessary measures and preparing for
Brexit. It is necessary for companies to keep themselves updated with developments, analysing
the specific risks and taking necessary measures for preparing for Brexit.
Impact of Brexit on Automotive industry
According to the views of Bailey, (2017), it is analysed that Brexit has impacted
business of UK. The various sectors that get impacted by Brexit are manufacturing industry, auto
mobile industry, The exit from EU have costed the automotive industries more as they have to
pay extra tariffs and taxes to a number of countries in which earlier there was free trading due to
EU. The main losers of the auto mobile industry are those companies that are based in UK
consisting of foreign auto makers with vehicle manufacturing plants within the country. After
Brexit, there was limited access to foreign customers. Brexit was a factor that affected business
in negative manner. Earlier, the automotive industries were easily getting entry in various
countries. But now there is need for paying a lot of funds in the form of tariffs. Also, there is
need for the companies to follow all the rules and regulations of the country in which it is
operating.

Positive impact of Brexit on business
From the viewpoint of Davies, and Studnicka, (2018) , Brexit negotiations have
contributed positively in business. This is a complex and multi faced issue but business must be
aware of potential in various areas. Some of these are sterling weakness, inflation, hiring and
new markets. Brexit have impact on the value of the sterling can be negative for the business.
Exporters may stand for benefiting from the weak pound, but businesses have to raise pound to
compensate for rising raw materials costs, that put pressure on stressed UK customers. This
increases risks of inflation and this can squeeze company margins and decrease the potential of
investment. There are more than 36% of UK companies who are exercising caution around
hiring. Some of these expresses particular concerns regarding the ability for accessing talent
which is needed in post Brexit environment. There are more than 80% of business leaders who
are prioritising growth. Now businesses are making strong and effective marketing strategies to
enter new international markets for increasing sales and profits of the company.
RESEARCH METHODOLOGY
Research Approach or Methodology
Research methodology refers to the process of investigation which consist of detail
information about different types of techniques so that effective information will be collected,
examine, interpret as well as conclude the data in effectual way (Békési, Kovalszky, and Várnai,
2017). It has been said that for accomplishing the aim and objectives, a research methodology
framework is used which is named as research onion. This is the tool used by researcher while
doing investigation so that effective data will be collected, analyse and interpret in an appropriate
manner. This is the framework which describe ample number of techniques, approaches and
tools so that understanding on the specific techniques will be increased. Some of the tools &
techniques which is included in the research onion are going to be discussed as follows:
Research philosophy:- It has been stated that, Interpretivism & Positivism are
philosophies which is used to investigate a particular topic. According to the perception of
authors, the most feasible as well as suitable philosophy is interpretivism. This philosophy assist
researcher to understand authors view effectively as it gives accurate and timely information. In
addition to this, it gains an understanding about Amazon racial discrimination.
Research Approach:- Deductive and Inductive research approach is used to collect the
data in appropriate manner. Inductive approach is adopted by the researchers to do in-depth

examination of the given information and to gain the opportunity due to which research
objectives & aims can be achieved in a accurate manner. In addition to this, Inductive research
gives a direction to attain research objectives within time the frame.
Research choice:- There are mainly two forms of research which involves quantitative as
well as qualitative method. Qualitative research is used to gain an insight about the opinions of
the respondents. In the current research, qualitative investigation method should be used to
present the information considering research objectives and aims. In addition to this, qualitative
research consist of theoretical framework that supports to provide information in an appropriate
manner.
Time Horizon: In order to attain the objectives of research, it is important for researcher
to set the time of each and every activity related to research as it assist them to perform them in a
defined manner (Coffey, and Thornley, 2020.). In the present research, Gantt Chart, a graphical
tool should be used by researcher which consist of activities with the time period. By the
assistance of Gantt chart, the activities can be finished on time effectively.
Research design: it is basically a tool which is used by researchers to present the
information in a defined manner. The main forms of research design involves exploratory,
experimental and descriptive as well. In order to effectively perform the current research, the
researcher should uses Descriptive research as it describes the data more clearly and allows an in
depth description of data as well as information.
Sources of data:- The major sources to assemble information as well as data are primary
& secondary methods. Primary method involves questionnaire, surveys, interviews and so on.
The secondary sources consist of journals, library, books, newspaper, internet, magazines, online
sources and many more. Primary data takes more time and money as compare to the data
collected through secondary sources.
Data Collection Methods: There are various techniques adopted to perform as well as
for investigation. It includes interview, surveys, questionnaire, observation and many more. In
the present research, Questionnaire should be used to collect accurate and correct information.
Sampling:- There are various methods of sampling that is judgement sampling, stratified
sampling, random sampling, systematic sampling etc. in the current research, the sampling
method which should be acquired are judgement and stratified sampling. This sampling methods

assist to properly present the identified segments. In the present report, the perception of 50
respondents can be taken into account to perform research appropriately.
Research ethics:-The present report can be performed considering all the ethical values
that is confidentiality, anonymity & informed consent. These ethics will be followed in order to
present reliable as well as accurate data with the assistance of investigation.
Research limitation:- one of the main issue that is faced by researcher to perform
particular investigation is specified time period. The time given is less and impacts on the
activities which is require to perform and fulfil research objectives and aims. Due to the limited
time period, the overall presentation of data outcome can be inappropriate.
Reliability and validity:- The validity & reliability of particular research rely on those
sources which is used for collecting appropriate information. In the current research,
Questionnaire method is adopted by researcher to collect data as per their requirements. In this,
the respondents gives answer as per their knowledge as well as experience. In addition to this,
adoption of this method supports researcher to collect accurate and the reliable information
which fulfils the requirement of present investigation.
Gantt chart and Work breakdown structure
Gantt chart is defined as illustration of all the project activities and tasks on the basis of
time required for completing these tasks. The Gantt chart for the present research is given below-

Work breakdown structure – This is defined as dividing of the main research task into smaller
activities. This strategy is helpful in dividing a big task into smaller activities. The work
breakdown structure is given below -

REFERENCES
Books and Journals
Head, J., 2017. An analysis of different Brexit outcomes and their effect on inward FDI to the
UK. Global Business and Economics Review.
Gasiorek, M., Serwicka, I. and Smith, A., 2019. Which manufacturing industries and sectors are
most vulnerable to Brexit?. The World Economy, 42(1), pp.21-56.
Izzaty, N. and Sastra, H.Y., 2019, June. The Implementation of Graphene Composites for
Automotive: An Industrial Perspective. In IOP Conference Series: Materials Science
and Engineering (Vol. 536, No. 1, p. 012133). IOP Publishing.
Coffey, D. and Thornley, C., 2020. Britain’s Car Industry: Policies, Positioning, and
Perspectives. In New Frontiers of the Automobile Industry (pp. 137-161). Palgrave
Macmillan, Cham.
Békési, L., Kovalszky, Z. and Várnai, T., 2017. Scenarios for potential macroeconomic impact of
Brexit on Hungary (No. 125). MNB Occasional Papers.
Colantone, I. and Stanig, P., 2018. Global competition and Brexit. American political science
review, 112(2), pp.201-218.
Bailey, D., 2017. Brexit, the UK Auto Industry and Industrial Policy. Regions Magazine, 306(1),
pp.4-5.
Davies, R.B. and Studnicka, Z., 2018. The heterogeneous impact of Brexit: Early indications
from the FTSE. European Economic Review, 110, pp.1-17.