Things You Can Control

The InterTradeIreland All-Island Quarterly Business Monitor (April-June 2016) indicated that over 95% of businesses surveyed across the island have no plan in place to deal with the consequences of the UK’s vote to leave the EU. Moreover, nearly one in five report that this uncertainty will lead to a decrease in their level or speed of investment.

Crucially, this uncertainty and degree of pessimism comes at a time when the wider economic and business back drop is very positive, with 90% of businesses reporting they are stable or growing. Encouragingly, also, is the result that almost two thirds of businesses on the island state that they have the ambition to grow in the immediate future.

In the meantime we encourage businesses to focus on the things they can control, such as:

1. Customer and Supplier Relationships

Focus on developing close value-adding partnership relationships with customers or suppliers that can endure potentially destabilising changes in pricing relationships.

2. Business Planning

Possessing a clear and concise plan for your business that identifies clear objectives, critical processes, threats and opportunities is a vital step to navigating uncertainty. Clearly this plan should be reviewed and adjusted on a regular basis.

3. Innovation

Innovation should play a key part in your business plans. Uniqueness in a product or service offering comes with a premium that can offset disadvantageous cost movement. InterTradeIreland’s Challenge Programme  shows businesses how to build innovation into their DNA.

4. Currency Hedging

A currency hedging plan reduces a business’s risk of losing out when the value of the currency you are selling in declines relative to the company’s core operating currency. As such, hedging is a risk management strategy that protects rather than creates profits. Guidance on hedging can be provided by your bank.