Brexit: Økonomiske og strategiske konsekvenser for Danish Crown

SRO - Brexit

Indhold

Abstract:2

Problemformulering:3

Afgræsning:3

Metode:3

Redegørelse:4

Analyserende del:5

Effekt af Brexit for Danish Crown:7

Konklusion:8

Litteraturliste:9

Abstract:

This assignment is written about Brexit, and the economic and strategic effects of it. Its primary content is the topics mentioned before, however it also consists of the problem definition and an interpretation of it. To narrow this subject down, there has been set different boundaries for this assignment. After that it tells about the methods I have used, which is primarily the internet. The reason for this is it is the easiest, largest and quickest way of getting intel for a topic. I have also used the given text ‘’What will Brexit mean for our bacon?’’, this text is given with the problem definition. I have also used some of the academic knowledge of Brexit from class. This is especially for the general knowledge of what it is, and how it happened. This knowledge helped drastically on working on the assignment. It helped understanding the culture of Great Britain. Something else that I used was the news there was at the time of Brexit. Just like the knowledge from class, the news from the time helped a lot to understand what was going on. The teaching from my other subject, helped in analyzing the economic and strategic consequences of Brexit. It also helped in finding out how it would affect Danish Crown negatively and seeing their goals for the future. Since Great Britain no longer is a member of the European Union the biggest economical consequent is, they are not a part of the free trade between the EU countries. This means duty and maybe tax on export goods from countries like Denmark. This is a problem because, if companies must pay more for raw materials, then the product will get more expensive to compensate for the increase in the cost price. The consumers are ending up paying more the products and maybe they will stop buying it. However there has been some negotiation on if they can join EEA. EEA is shot for ’’European Economic Area’’. This means that the countries in Great Britain can get the free trade back. Great Britain will then be able to have free trade with all the European Union members and the European Economic Area members. There has been a rumor that Great Britain will sign a ‘’no-deal’’. This means they will have to deal goods through World Trade Organization or ‘’WTO’’, this is not good since it will be in WTO’s terms. Brexit can have one of two basic outcomes for Danish Crown. If they join the EEA it will not be as bad as it could have been. They will get the free trade back, but if they don’t sign this agreement, this would be a problem to Danish Crown. However, if Great Britain signs the ‘’no-deal’’ then it could be a bigger problem for Danish Crown, and all the other exporters. It could mean that the trades will be a lot more expensive, especially for the freight charges to the Great Britain. In all conclusion Brexit has had a lot of discussion and a lot of critic. In the end it will come down to what Great Britain decides to do. When signing the EEA or the “no-deal” they will face the fact that they no longer have support from the EU.