Analysis of Brexit, Birth Rates, and Decarbonisation on UK Business

This report analyzes three key areas impacting UK businesses: the effects of Brexit, the implications of declining birth rates, and the influence of decarbonisation efforts. The report details how Brexit affects trade, immigration, and financial funding, highlighting both challenges and potential benefits. It then explores the consequences of declining birth rates on economic growth, workforce, and consumer behavior. Finally, it examines how decarbonising the economy, through strategies like using low carbon technology, will impact various industries, including telecommunications and financial services, and identifies opportunities for UK firms to gain competitive advantages. The report concludes by emphasizing the importance of understanding these business areas for effective management and long-term success in the UK.

Understanding
business

TASK
P1 Areas of business that will affect by Britain leaving the EU
In this competitive era, it is essential for every organisation to recognise their all aspects
of their business which are getting involved in accomplishment of business activities and
operations. If management have proper knowledge of their business practices then they can
easily plan all strategies and policies (Cumming, Johan and Zhang, 2014). While performing in
external market managers should describe those areas which will get affected by Brexit.
Since 2013, British Prime Minister has announced they get highest vote on continuing the
UK's membership with European Union. It had been much speculation as to achieve possible
effects which is called Brexit. When UK voted to leave the EU, the number of migrants looking
for jobs outside the UK have spiked up. The unemployment rate is likely to increase due to
recession, which is a loss equivalent to million and billion jobs (Los and et. al., 2017). After
Brexit will happen i.e. Britain will leave European Union, Share of EU will get declined
tremendously in the field of trade and it happens due to enormous growth in economy or
economic system of emerging countries. Furthermore, Brexit will also influence the functional
areas of corporations in positive and negative manner because Brexit stifle development for
companies that operate in Europe. Brexit poses a fundamental challenge to the future of the
United Kingdom by removing the European Union law that has helped to bind it together,
a committee of lawmakers from the British parliament’s.
Apparently, UK government as well as well established corporate businesses and
entrepreneurs will face so many problems because of Brexit. Many entrepreneur and start-ups
will face hurdles in the field of financial funding. This will impact badly on their organisation
growth, sales and goodwill. In addition, Export and import as well as trade policies will also get
changed drastically after Brexit, which results huge losses in commercial business organisation
in the sector of productivity and customer retention rate which reflects on company overall social
as well as economic growth and sales. (Rong and et. al., 2015).
Brexit will provides wide range of benefits due to reduction in immigration; EU
immigration has done no harm to the average wages and job chances of the UK-born. In fact,
because EU migrants are better educated than the UK-born and more likely to work, they help to
pay for our public services and pensions, and give a modest boost to productivity.

For example – In Auto-mobile industry, export and imports of cars is more difficult as
well as company have recruit new labour force which is most costly in terms of previous with
regards to commercial business. Along with this, European Union will have a pervasive impact
of Brexit in terms of employment rules and legislations as the a social policy is created i.e. red
tape for entrepreneurs (Los and et. al., 2017). It could a eliminate laws which are required to
employment and immigration policy. In addition to this, it will provide a detailed information for
UK government regarding rules and regulations which might helps in increasing the viability of
business entities or not.
For example – After Brexit billions of peoples will leave UK, which will create huge
problem for specially small -medium industries as well as big corporates also in the filed of
workforce. Now they will have to recruit new workforce again from UK itself and which will
provide them proper training regarding work. Previously they recruit or selected employees from
different European Union nations on the basis of their skills and knowledge.
Trade within Europe -
UK region plays crucial role in trading sector in European Union that good for both EU
and UK region but post-Brexit results are differ in terms of reduction in trades and raise the
trading cost among UK and Europe that will damaging for both sides. The EU and UK region,
both of them are their trade partners of each others but United States demand regarding bilateral
deficits which US have to faced because of Brexit and it will impact negatively on their
economic growth (Basole and et. al., 2015). Whereas commercial businesses of UK will
comparatively better in the sector of supply chain and productivity with quality maintenance
from European nation companies.
P2 Issues for business of reducing a birth rate in nations.
Declining is birth has been become a major issue for all developing countries. Although,
fertility rates are higher but due to broad maternal and perinatal mortality, there is a diminution
in birth rate. Along with this, in many nation children are treated as labour force and due to
living independently people are avoiding to take the responsibility of children. In this modern
era, human being are aware about all terms and conditions of paternity. People living longer
means they also stay in work longer, and in UK an ageing population, lead to a 'skills gap' . It
results that, those workforce who work from past decades have tremendous experienced but they
can't share knowledge and skills with younger generation employees (Trompenaars and

Hampden-Turner, 2011). Therefore, it can be said that lower fertility rates put a huge impact on
growth and success an economy and its business organisations as well. As if people are not
remaining to purchase the products and services, business organisations cannot attain high
profitability and sales revenues. Reduction in fertility rates also decreasing new thinking the
number of youth get decreased (Coulter and Hancké, 2016). Along with this, it also raise other
global issues, such as- changes in driving policies from climate instability to mass migration, on
the other hand overpopulation, and its effects of an ageing population living and working longer
are increasingly being identified as the key economic motivators. Thus it is essential for
government to keep remain a stable economy by regulating certain programmes and events
which helps in raising sales and profitability of an organisation in an effective manner. However,
countries do not get new and innovative ideas in order to running business activities in an
effective manner which declines industrial development and evolution.
P3 Decarbonising the economy will affect UK business in future
The term decarbonising entails to reduce the issues or barriers within an economy and
make it more stable and effective so as to run successfully for long term period. In other words, it
entails to remove overall potential risks and other factors which can ruin the economic condition
of the nation by providing long term certainty to investors as well as business organisations.
British Government applied this concept to create an effective supply chain and reduce the cost
of renewable. The main objective of decarbonising strategy is to use low carbon technology, i.e.
off shore wind and CSS. It will beneficial for business organisations in terms of regaining the
competitive advantages, generating jobs and securing investments. At present, UK is already
leading in key areas of renewable and off shore waves or winds. The 2030 targets of British
government is to protect household and industries from higher energy bills; it will eliminate the
over dependence of gas (Portes, 2016). Government strategy has implies that an under
consideration of high carbon intensity so as to support as well as driven up the investments of
lower carbon forms. The CCC has shown that a virtually carbon free power sector by 2030
would save consumers £25-45 billion over a predominant reliance on gas till 2020.
In terms of business organisations, the main objective of decarbonisation is analyse all
those external factors which can hamper business activities in an adverse manner. It is
fundamental for British government to allow businesses as they can easily survive for long term
period at global level. Along with this, changes in business environment also entails with causing

volatile and difficult to predict future risks; hence increasing legislation throughout the world
concentrated on measuring and reducing the carbon footprint of organisations, institutions and
individuals.
Growth opportunities for business organisations: - Entire supply chains will be
reconfigured to enable a more circular economy that is resource-efficient and reuses existing
materials. Thus, if British Government applies the concept of decarbonisation then it affects
various industries, like telecommunication, retail, financial etc. as they can freely survive at
international level. The low carbon growth will be potential, thereby it extends well beyond
current market assessments to include not just clean energy but also transport, industry,
agriculture, forestry, consumer products and services (Pollitt, 2017). It will raise the
opportunities for UK firms, as many of these activities are key areas of UK comparative
advantage, particularly high value services. Strong opportunities exist for the UK to increase its
low carbon exports but some areas are at risk of losing market share.
Impact of decarbonisation on business organisations: - IT and telecommunication services: software and network infrastructures for the
operation of low-carbon goods, satellite systems used to monitor land use or
leaked/flaring of emissions from oil and gas operations Financial services: project financing, low-carbon securities, carbon trading, commodity
trading for low-carbon goods, merger and acquisitions of low-carbon businesses, or
access to markets (McGrattan and Waddle, 2017.).
 Retail market services: for selling low-carbon goods, including online platforms and
branding
CONCLUSION
From the above mentioned report, it get analysed that understanding a business is very
essential for management. It stated that Brexit high affected an economy in terms of increasing
foreign direct investments and future trader. EU and UK both nations were highly depended
upon each other, but after Britain leaving it is become difficult for UK to get economically
stable. Along with this, if birth rate in a nation get reduced then it put influence its businesses
and corporate associates as the sales goes down. Furthermore, decarbonising consists to make a

healthy and wealthy economy which helps in getting high competitive advantage to organisations
at global level.

REFERENCES
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