According to the CBI Quarterly Industrial Trends Survey, British businesses experienced a positive end to 2014, due to rising demand both at home and abroad. Yet there is cause for concern amongst UK companies looking to expand their revenue through exporting their products, as forecasts are not so optimistic for the next quarter.
Successful businesses are already fully aware of the challenges they face in highly competitive and crowded international markets. So while this is nothing new, it has been predicted that the current economic climate, as well as the political landscape may prove increasingly difficult to prosper in.
Rain Newton-Smith, CBI Director of Economics, explains how even though exports have indeed grown ‘modestly’, there is ‘a feeling that we will not see a repeat in the next quarter, especially with the Eurozone still treading water and battling deflation’.
If we combine these economic obstacles with the forthcoming general election then, according to John Cridland, Director-General of CBI, we get a ‘cocktail of uncertainty, irrespective of who wins the election’.
However there is some good news, as Newton-Smith says that ‘falling oil prices should be positive for the UK economy overall, benefitting households and lowering costs for firms’. In a time where it is imperative for exporters to get price right in order to achieve success, lowering production costs will be top of many firm’s agendas.
In a step to help guide British businesses through this uncertainty, David Seall, DMH Stallard Manufacturing Strategic Adviser and James Colvin, partner at DMH Stallard, are currently undertaking an independent export strategy report, following interviews with a range of successful internationally-engaged businesses. It is hoped the report will become the benchmark to best practice for others considering export potential and is due to be published in the Spring.
For more information or to register to receive the report when it is published, please contact: